{"id":144,"date":"2021-07-26T16:27:48","date_gmt":"2021-07-26T09:27:48","guid":{"rendered":"https:\/\/uclg-aspac.org\/brlc\/?p=144"},"modified":"2021-07-26T16:27:48","modified_gmt":"2021-07-26T09:27:48","slug":"china-to-continue-multilateral-trade-development-policy-along-the-belt-and-road-initiative-in-2021-more-eu-nations-to-sign-bri-mou","status":"publish","type":"post","link":"https:\/\/uclg-aspac.org\/brlc\/2021\/07\/26\/china-to-continue-multilateral-trade-development-policy-along-the-belt-and-road-initiative-in-2021-more-eu-nations-to-sign-bri-mou\/","title":{"rendered":"China to Continue Multilateral Trade Development Policy Along the Belt and Road Initiative In 2021 \u2013 More EU Nations to Sign BRI MoU?"},"content":{"rendered":"<p><strong><em>Op\/Ed by Chris Devonshire-Ellis<\/em><\/strong><\/p>\n<ul>\n<li><strong><em>Central Government\u2019s \u201cEconomic Work Conference\u201d just held in Beijing\u00a0<\/em><\/strong><\/li>\n<li><strong><em>New alignment between domestic and foreign trade markets\u00a0\u00a0<\/em><\/strong><\/li>\n<li><strong><em>China foreign trade up 1.8% in 2020<\/em><\/strong><\/li>\n<li><strong><em>BRI and Dual Circulation Strategy are key trade issues\u00a0\u00a0<\/em><\/strong><\/li>\n<\/ul>\n<p>The Chinese Government\u2019s \u201cCentral Economic Work Conference\u201d was held from December 16-18, and outlined specific tasks for 2021, saying the country will promote high-quality growth, work to ensure the economy runs within an appropriate range and pursue high-level opening-up.<\/p>\n<p>Wang Wentao, China\u2019s newly appointed commerce minister has said that\u00a0China will widen high-level opening-up and intensify multilateral economic and trade cooperation in 2021 to ensure sustainable economic growth.\u00a0The government will pursue supply-side structural reform as the main task while emphasizing demand-side management next year, creating a dynamic balance between supply and demand based on higher standards, he said.<\/p>\n<p>In addition to building a modern commercial circulation system and developing a strong domestic market, Wang said the government will implement a broader and deeper opening-up to the global market and allow domestic and overseas markets to better reinforce each other to facilitate\u00a0<strong>\u201c<\/strong><a href=\"https:\/\/www.china-briefing.com\/news\/what-is-chinas-dual-circulation-strategy-and-why-should-foreign-investors-take-note\/\"><strong>dual circulation<\/strong><\/a><strong>\u201d\u00a0<\/strong>a core part of China\u2019s new national development and trade strategy.<\/p>\n<p><a href=\"https:\/\/uclg-aspac.org\/brlc\/wp-content\/uploads\/2021\/07\/asdasdasd.jpg\"><img loading=\"lazy\" decoding=\"async\" class=\"alignleft wp-image-145 size-full\" src=\"https:\/\/uclg-aspac.org\/brlc\/wp-content\/uploads\/2021\/07\/asdasdasd.jpg\" alt=\"\" width=\"872\" height=\"490\" srcset=\"https:\/\/uclg-aspac.org\/brlc\/wp-content\/uploads\/2021\/07\/asdasdasd.jpg 872w, https:\/\/uclg-aspac.org\/brlc\/wp-content\/uploads\/2021\/07\/asdasdasd-300x169.jpg 300w, https:\/\/uclg-aspac.org\/brlc\/wp-content\/uploads\/2021\/07\/asdasdasd-768x432.jpg 768w\" sizes=\"auto, (max-width: 872px) 100vw, 872px\" \/><\/a><\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p style=\"text-align: center;\"><span style=\"color: #808080;\"><em>Wang Wentao speaks at the Central Economic Work Conference<\/em><\/span><\/p>\n<p>The Dual Circulation Strategy is aimed at changing China\u2019s economy from a producer economy to a consumer economy. What it means is that China is looking to\u00a0Chinese consumer\u2019s domestic demand on one hand, while simultaneously developing conditions to facilitate foreign investment and boost production for exports on the other. The \u2018dual\u2019\u00a0nature of the concept\u00a0refers to the parallel emphasis on an \u2018internal\u00a0circulation\u2019 and an \u2018international\u00a0circulation\u2019, and a shift towards becoming a demand and innovation-driven economy.<\/p>\n<p>The implications of this have not yet sunk in overseas. Chinese Finance Minister Wang Yi, addressing the\u00a0<a href=\"https:\/\/www.silkroadbriefing.com\/news\/2020\/12\/21\/chinas-foreign-minister-at-the-belt-and-road-forum-for-international-cooperation-analysis-of-wang-yis-statements\/\"><strong>Belt &amp; Road Forum<\/strong><\/a><strong>\u00a0<\/strong>two weeks ago\u00a0stated quite expressly that:\u00a0<em>\u201cThis paradigm is aimed at promoting mutual openness and mutually reinforcing development between domestic and\u00a0international\u00a0circulations. It will fully unlock China\u2019s market potential and facilitate greater opening-up. China has a population of 1.4 billion and a middle-income group exceeding 400 million. This year, the value of its domestic retail market will surpass US$6 trillion. In the coming decade, the total import of goods into China is estimated to top US$22 trillion.\u201d<\/em><\/p>\n<p>Wang Wentao said that China will make full use of both domestic and international market resources to advance the coordinated development of domestic and external demand, imports and exports, foreign direct investment, and outbound direct investment.<\/p>\n<p>Under its plan, the Ministry of Commerce will work harder next year to stabilize foreign trade and investment, enrich economic and trade cooperation with partners related to the Belt and Road Initiative and boost the integration of domestic and foreign trade.<\/p>\n<p>Wang said China\u2019s economic growth has reached several historic achievements during its 13th Five-Year Plan period (2016-20), such as becoming a giant consumer market in its own right, a key trading power, an attractive destination for global capital and an active cross-border investor these past five years.<\/p>\n<p>Apart from mitigating the impact caused by the COVID-19 pandemic this year, Wang said China has firmly supported multilateralism, actively participated in global economic governance, effectively responded to economic and trade frictions with the United States and heightened business ties with many countries and regions in 2020.<\/p>\n<p>The ministry\u2019s meeting put forward policies of stimulating domestic demand and targeting demand-side growth. These moves are vital for the country to form a strong domestic market and boost foreign trade.<\/p>\n<p>The dual-circulation development paradigm will also enable China to fully unleash its market potential, providing more business opportunities across the globe as Chinese consumers wish to buy and have the income. This is great news for international manufacturers and exporters looking at the China market. As I pointed out in the article\u00a0<a href=\"https:\/\/www.china-briefing.com\/news\/a-new-china-for-2021-foreign-investor-friendly-access-overseas-direct-investment-in-hi-tech-projects-and-ma-and-more-belt-road-initiative-opportunities\/\"><strong>A New China For 2021<\/strong><\/a>\u00a0amendments to China\u2019s Foreign Investment Law and a relaxation of the 2020 Negative List, which determines foreign access to Chinese markets, are also repositioning the country as foreign investor friendly.<\/p>\n<p>Despite the disruption caused by the pandemic, China\u2019s January-November foreign trade amounted to 29.04 trillion yuan (US$4.44 trillion), up 1.8 percent on a yearly basis, while FDI in China grew 6.3 percent year-on-year to 899.38 billion yuan (US$137.49 billion) during the same period, according to the latest data released by the General Administration of Customs and the Ministry of Commerce.<\/p>\n<p>In one of the latest efforts to open its market and boost trade, China signed the\u00a0<a href=\"https:\/\/www.china-briefing.com\/news\/rcep-fta-signed-what-can-foreign-investors-in-china-expect\/\"><strong>Regional Comprehensive Economic Partnership<\/strong><\/a>\u00a0agreement, the world\u2019s largest free trade deal, with the 10 member economies of the Association of Southeast Asian Nations, as well as Japan, South Korea, Australia, and New Zealand in mid-November.<\/p>\n<p>The country will also advance talks on the Comprehensive Agreement on Investment, or CAI, with the European Union at its own pace with a view to reaching a comprehensive, balanced, and high-level pact, the Ministry of Commerce said.\u00a0The CAI aims to provide more opportunities and advanced institutional guarantees for bilateral investment. The conclusion of the agreement requires both parties to work together and meet each other halfway, said the ministry. The two parties have declared that they have both given\u00a0<a href=\"https:\/\/www.china-briefing.com\/news\/eu-china-give-political-approval-to-comprehensive-agreement-on-investments\/\"><strong>\u201cpolitical approval\u201d to the deal<\/strong><\/a>,\u00a0suggesting that this time around an agreement may well be achieved.<\/p>\n<p>Wang Wentao and Wang Yi\u2019s comments underline the continuing development of the Belt and Road Initiative as a series of dynamic trade corridors and illustrate it remains a key part of China\u2019s Foreign Policy.<\/p>\n<p><a href=\"https:\/\/uclg-aspac.org\/brlc\/wp-content\/uploads\/2021\/07\/asdasdasdsad.jpg\"><img loading=\"lazy\" decoding=\"async\" class=\"alignleft wp-image-146 size-full\" src=\"https:\/\/uclg-aspac.org\/brlc\/wp-content\/uploads\/2021\/07\/asdasdasdsad.jpg\" alt=\"\" width=\"900\" height=\"518\" srcset=\"https:\/\/uclg-aspac.org\/brlc\/wp-content\/uploads\/2021\/07\/asdasdasdsad.jpg 900w, https:\/\/uclg-aspac.org\/brlc\/wp-content\/uploads\/2021\/07\/asdasdasdsad-300x173.jpg 300w, https:\/\/uclg-aspac.org\/brlc\/wp-content\/uploads\/2021\/07\/asdasdasdsad-768x442.jpg 768w\" sizes=\"auto, (max-width: 900px) 100vw, 900px\" \/><\/a><\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>BRI member states have seen exports\u00a0<a href=\"https:\/\/www.silkroadbriefing.com\/news\/2020\/11\/10\/chinas-belt-and-road-initiative-member-countries-exports-up-28-in-three-years\/\">increase<\/a>, including those in ASEAN, and data from the\u00a0World Bank\u2019s\u00a0<a href=\"https:\/\/tcdata360.worldbank.org\/\"><strong>TDC360<\/strong><\/a>\u00a0show that ASEAN\u2019s exports increased by 30.7 percent. Although this cannot be fully attributed to the BRI, the BRI has helped accelerate the shift in global supply chains.<\/p>\n<p>Furthermore, concerns that BRI members would be swamped with cheap Chinese products have not materialized. Complete 2020 data is not yet to hand, but as we can see, when it comes to China\u2019s closest neighbors in ASEAN, exports from these countries to China increased in the past three years by an average of 30.74%, or 10% per annum. It is a trend that looks set to continue under the new Dual Circulation policy.<\/p>\n<p>It is a similar trend in the European Union, where we pointed out that EU countries who had signed off a BRI MoU with China have seen their exports rise by 5% faster than those who have not. That analysis can be found\u00a0<a href=\"https:\/\/www.silkroadbriefing.com\/news\/2020\/11\/20\/european-union-member-states-who-joined-chinas-belt-and-road-initiative-are-seeing-their-exports-rise-faster-by-nearly-5-more-than-those-who-have-not\/\"><strong>here<\/strong><\/a>.<\/p>\n<p>On a global basis, we tracked all 135 countries that are members of the BRI and found that on average, their\u00a0exports had increased by 28.8%\u00a0in the same 2016-2019 period. A full analysis and details of how each country fared can be found\u00a0<a href=\"https:\/\/www.silkroadbriefing.com\/news\/2020\/11\/10\/chinas-belt-and-road-initiative-member-countries-exports-up-28-in-three-years\/\"><strong>here<\/strong><\/a>.<\/p>\n<p>Clearly the Belt &amp; Road Initiative is here to stay and is an integral part of China\u2019s policy. With the EU about to do a deal with China, and the UK having left, interesting developments as concerns new European nations joining the BRI could well arrive in 2021.<\/p>\n<p>This article retrieved from: <a href=\"https:\/\/www.silkroadbriefing.com\/news\/2020\/12\/31\/china-to-continue-multilateral-trade-development-policy-along-the-belt-and-road-initiative-in-2021-more-eu-nations-to-sign-bri-mou\/\">https:\/\/www.silkroadbriefing.com\/news\/2020\/12\/31\/china-to-continue-multilateral-trade-development-policy-along-the-belt-and-road-initiative-in-2021-more-eu-nations-to-sign-bri-mou\/<\/a> , 19 May 2021, 2:00 PM Jakarta Time.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Op\/Ed by Chris Devonshire-Ellis Central Government\u2019s \u201cEconomic Work Conference\u201d just held in Beijing\u00a0 New alignment between domestic and foreign trade markets\u00a0\u00a0 China foreign trade up 1.8% in 2020 BRI and Dual Circulation Strategy are key trade issues\u00a0\u00a0 The Chinese Government\u2019s \u201cCentral Economic Work Conference\u201d was held from December 16-18, and outlined specific tasks for 2021,&hellip;&nbsp;<a href=\"https:\/\/uclg-aspac.org\/brlc\/2021\/07\/26\/china-to-continue-multilateral-trade-development-policy-along-the-belt-and-road-initiative-in-2021-more-eu-nations-to-sign-bri-mou\/\" class=\"\" rel=\"bookmark\">Read More &raquo;<span class=\"screen-reader-text\">China to Continue Multilateral Trade Development Policy Along the Belt and Road Initiative In 2021 \u2013 More EU Nations to Sign BRI MoU?<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":147,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"neve_meta_sidebar":"","neve_meta_container":"","neve_meta_enable_content_width":"off","neve_meta_content_width":0,"neve_meta_title_alignment":"","neve_meta_author_avatar":"","neve_post_elements_order":"","neve_meta_disable_header":"","neve_meta_disable_footer":"","neve_meta_disable_title":"","footnotes":""},"categories":[2],"tags":[13,10,6,11,9,12,8,7],"class_list":["post-144","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","tag-13","tag-belt-and-road-initiatives","tag-brlc","tag-central-economic-work-conference","tag-china","tag-economic","tag-news","tag-trade-development"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v16.1.1 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>China to Continue Multilateral Trade Development Policy Along the Belt and Road Initiative In 2021 \u2013 More EU Nations to Sign BRI MoU? 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