Relations between Sino CEEC since 1990 s PROF
Relations between Sino. CEEC since 1990 s PROF. ZHU XIAOZHONG
Two periods of relations between China and CEEC Socialist time • 1949 -1989 postsocialist time • 1990 -
Socialist era 19491960 • Learning socialist construction experience from the Soviet Union and Eastern Europe • Two-way sending students 19601980 • Suffered from ideological competition between China and the Soviet Union • There were no inter-party relationship 19801989 • Learning how to carry out reform from Eastern Europe(Hungary, Yugoslavia) • Restoring trade, cultural and high-level visits
Post-Socialist era 1990 -1995: China’s observation and readjusting bilateral relations 1995 -2003: bilateral relations guided by the Budapest principles 2004 -2011: China put forward the Bucharest principles 2012 - China's Twelve Measures for Promoting Friendly Cooperation with CEEC
Some new factors influencing bilateral relations ( since 1990) the Soviet Union disappeared The Tibet question Domestic politics of CEEC China’s re-adjusting
Re-adjusting Chinese approach towards CEEC 1990 -1994 • Different system and values Chinese couldn’t be the obstacles in the opinion relations between China-CEEC • China respects CEEC people’s choice Chinese and develop bilateral relations on the bases of the Five Principles of opinion Peaceful Coexistence
Milestones in bilateral relations between China and CEEC July 1995：The Budapest principles by Jiang Zemin June 2004：The Bucharest principles by Hu Jingtao April 2012: 12 Measures for Friendly Cooperation with CEEC by Wen Jiabao Sept 2012: the Secretariat for Cooperation between China and CEEC
The Budapest principles 1 Respect the CEEC people’s choice 2 Develop the bilateral relations based on the five principles of peaceful coexistence 3 There are no fundamental interest conflicts in bilateral relations 4 China supports peaceful resolution of regional disputes and enhancing regional cooperation
The Bucharest principles 1 • To expand common grounds and mutual understanding the other’s interest concern 2 • To increase scale of two-way investments 3 • To broaden cooperation in the fields such as education, tourism, health and media 4 • To strengthen the cooperation in fields of anti -terror, nuclear proliferation, fight against cross-border crime, play the role of the UN
Levels of bilateral relations Friendly co-op relations—Hungary Comprehensive friendly co-op--Romania Strategic partnership—Serbia Strategic partnership--Poland
Numbers relating to bilateral relations Two sides • 37 sister provinces • 58 sister cities China • 58 Confucius Institutes in CEEC（23） Two sides • Traveling to China 230 thou. • Chinese tourists in CEEC 73 thou.
Numbers：Chinese in CEEC Country number Registered year Czech Republic Romania Serbia Hungary Bulgaria Poland Slovakia 4, 500 2007 2, 243 2002 5, 000 2008 8, 000 -10, 000 2011 8, 000 -10, 000 2005 5000 2011 5300 2012
Economic relations between Sino-CEEC
Bilateral trade between China and CEEC • 4. 3 bil. $ 2001 2012 • 520 bil. $ • Ave. grow 27. 6%/yy 2001 -2011
Trade between China and CEEC (2012) China’s Export 417 Bil. $ Biggest partner Poland China’s Surplus 30. 0 Bil. $ Total Volume of Trade 520 Bil$ China’s import 103 Bil. $ Smallest partenr B&H
Chinese Investment in CEEC Central Europe 830 mil. $ Southeast Europe 23. 5 mil. $
Trend of China’s investment in CEEC
China’s investment in Europe （2011） France 18% Luxembourg 27. 10% 1. 40% 3. 00% CEEC 5. 3% U. K 8. 6% Russia 17. 7% Sweden 9. 4% 9. 5% Germany
China’s investment in CEEC (852 Mil. $ to 2010)
China’s investment in Central Europe （816. 6 Mil. $） Slovakia 9. 8 Romania 124. 9 Slovenia 5 Bugaria 18. 2 Czech Republic 52. 3 Poland 140. 3 Hungary 465. 7
China’s investment in Southeast Europe （23. 9 Mil. $） Serbia 4. 84 Albania 4. 43 Montenegro 0. 32 Bosnia 5. 98 Macedonia 0. 2 Croatia 8. 13
China’s investment allocation in CEEC Mining and resources Other 4% Manufactoring 9% & Constructure 9% Transoport & logistics 9% Wholesale & retail 10% Leasing and Commecial service 44% Finance 15%
Measures aimed at approving economy and trade relations
China’s measures Guide for investment Jan. 2010 • ministry of commerce issued list of investment for processing trade for household appliance Economic Forum 25 June 2011 • the Central Europe Economic Forum in Hungary Economic Forum 27 April 2012 • the Central Europe Economic Forum in Warsaw
China’s mesures Warsaw Budapest June 2011 April 2012 Economic Forum Bucharest Nov. 2013
Chiina’s Twelve measure in 2012 Secretariat Trade Credit line Student exchange Forums Research fund
1/ Secretariat & research fund A secretariat for co-op between China and CEEC. It based in China's MFA, and charged with communication and coordination on matters related to cooperation. CEEC will, in the principle of voluntarism, each designate a counterpart department and a coordinator to take part in the work of the secretariat Research fund on relations between China and CEEC. China is ready to provide RMB 2 million yuan every year to support academic exchanges between research institutes and scholars of the two sides.
2/ Finance initiatives from China A US$10 billion special credit line, a certain proportion of which will be concessional loans, with a focus on cooperation projects in fields of infrastructure, high and new technologies, and green economy. CEEC may file project application to six Chinese Banks investment cooperation fund US$500 mil. in the first stage
3/Industrial Parks & promoting trade China encourages Chinese enterprises to cooperate with relevant countries to establish one economic and technological zone China sends trade and in each country inpromotion the next five years investment missions to CEEC and take measures to move forward bilateral economic cooperation and trade. China hopes to increase total two-way trade to 100 bil. US$ by 2015
4/ Establish an expert advisory committee & Tourism alliance Establish an expertpromotion advisory committee on the construction of transportation network between China and CEEC, to explore the building of regional highway or railway demonstration networks through joint venture, joint contracting Establish a tourism promotion alliance between China and CEEC, and explore the possibility of opening more direct flights between China and CEEC
5/ Forums in China in 2013 Educ ation al polic y Young Politician Cultural Cooperation
6/ In coming 5 years China will… Send 1000 Chinese to CEEC 0 0 0 s 5 e hip d i s v r o a Pr hol EEC s Sc to C ent d u t s I nv ite t stu o Ch 100 dy ina 0 p Ch to ine se
Six-point proposal by Li Keqiang in 2013 • First, China and CEE countries should intensify economic and trade cooperation, doubling China-CEE trade volume in five years and discussing a framework agreement for industrial investment in the near future.
Six-point proposal by Li Keqiang in 2013 • Second, China and CEE countries should promote cooperation on transportation infrastructure to open up interconnected land sea channels between China and Europe. China and CEE nations will also build a transport "artery" for China-Europe logistics by setting up bonded areas and distribution centers along railways and ports.
Six-point proposal by Li Keqiang in 2013 • Third, China and CEE nations should enhance "green cooperation. " China backs its enterprises to participate in the CEE nuclear electricity projects and hopes that the host countries would improve investment environment.
Six-point proposal by Li Keqiang in 2013 • Fourth, China and CEE countries should expand financing channels. They need to make good use of the 10 -billion-U. S. dollar special credit line and enhance financial cooperation by setting up branches of financial institutions branches in each other's markets, signing currency swap and settlement agreements.
Six-point proposal by Li Keqiang in 2013 • Fifth, China and CEE countries should further tap into potentials of cooperation at local levels to efficiently and effectively promote their cooperation.
Six-point proposal by Li Keqiang in 2013 • Sixth, China and CEE countries should enhance cultural exchanges by holding regular forums on culture and education, strengthening communication between young politicians, think-tanks and media as well as facilitating procedures for travel and work visa.
CEEC’s measures 26 July 2010 8 -11 Nov. 2010 12 March 2012 • “CEEC investment day”was held by CEE during China. Expo, advertise enviroment for investor，CEEC’s main industries • Forum on China’s investment was held by Czech ministry of industry and trade, Czech ministry of Foreign Affairs and Slovak ministry of economy in Czech Republic. About 150 persons, including businessman and experts, who came from Czech Republic, Slovakia, the EU and China • the Polish Ministry of Economy launched a strategy called “Go China”. It’s aim at encouraging Polish entrepreneurs to cooperate with Chinese business partners.
Discussion
Characteristics of Sino-CEEC (1) The base of bilateral Relations between Sino-CEEC changed from Ideology-driven to Interest-driven China’s understanding of CEEC is deepening: from the Budapest principles to the Bucharest ones Weakening of “traditional friendly relations” between China and CEEC
Characteristics of Sino-CEEC (2) Strategic needs Asemmentry Economic relations Structure of Bilateral relations
The Challenges facing China in bilateral relations How to understand CEEC（ region，group and individual country） Dualism of bilateral relations (bilateral and multiple) How to develop bilateral relations in context of divergence in value, asymmetry in economic relations
The Challenges facing CEEC in bilateral relations Don’t understand about China How to understand deal with arising China How to develop relations with China within the EU’s Framework policy How to develop bilateral relations in context of divergence in value and asymmetry in economic relations
1. Why China invest in CEEC Latin America Africa Going out CEEC Asia
1. Why China invests in CEEC To benefit the development to improve the size of China-Europe relations in a and quality of Chinamore comprehensive and Europe cooperation balanced manner Improving China-EU relations To help Europe to to play a constructive role in China-EU overcome the current relations difficulties
1. Why China invest in CEEC One country alone can block a decision that give CEEC increase leverage China seeks to capitalize on EU’s STRUCTURE Of DECISION
1. Why China invests in CEEC American pivot in Asia China has to look for new alliance to prevent itself from an isolated in Asia
2. What comments from…… The EU CEEC China
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