Fu Ziying:

As we all know, China is the largest developing country in the world, and the United States is the largest developed country in the world. China-U.S. economic and trade relations are of great significance not only to the two countries themselves, but also to the stability and development of the global economy. Since the establishment of diplomatic relations between China and the United States, bilateral economic and trade relations have been deepening and interests have become highly interdependent, which has brought tangible benefits to the both peoples and benefited the whole world.

The scale of economic and trade cooperation between China and the United States is huge, yet the stages of economic development, social systems, and cultural traditions are different, so it is normal to have economic and trade frictions. The key is how to enhance mutual trust, promote cooperation, and control differences. For a long time, each government has made tremendous efforts to overcome all kinds of obstacles and move economic and trade relations forward, which has served as the ballast and propeller of the overall bilateral relationship. However, the U.S. side has recently adopted unilateralism and protectionism, adopting a series of trade restrictions on China, and continuously raising tariffs on goods imported from China. Starting from basis of safeguarding the common interests of the two countries and the world trade order, China adheres to resolving disputes through dialogue and consultation and responds to U.S. concerns with the utmost patience and sincerity. However, the U.S. side has been contradicting itself and constantly escalating the situation, which has greatly affected China-U.S. economic and trade cooperation and has also caused serious threats to the multilateral trading system and the principle of free trade.

In order to clarify the facts of China-U.S. economic and trade relations, clearly state China's policy on trade friction with the United States, and pursue reasonable solutions of the issue, the Chinese government has compiled a white paper entitled "The Facts and China's Position on China-U.S. Trade Friction."

First of all, the White Paper systematically expounds the mutually beneficial and win-win characteristics of China-U.S. economic and trade relations from various perspectives of trade in goods, trade in services, and mutual investment - pointing out that both sides have benefited a lot from it. In particular, the United States has gained extensive and enormous economic benefits in its economic and trade exchanges with China and shared the opportunities and achievements brought about by China's development. The claim that the United States is "losing" in this relationship does not stand up to scrutiny.

Since last year, the U.S. government has accused China of "economic aggression," "unfair trade," "IPR theft" and "national capitalism," which have distorted the facts of China-U.S. economic and trade relations. Based on a large amount of data and facts, the White Paper makes a detailed analysis and clarification on how to view the U.S. trade deficit with China, how to look at the issues of fair trade, technology transfer between Chinese and American companies, China's intellectual property protection, Chinese companies' "going global," and China's subsidy policies and more.

At the same time, the White Paper points out that the United States itself has a large number of restrictive policies and practices on investment and trade which distort market competition, hinder fair trade, disrupt the global industrial chain, including: discriminating foreign countries' products in violation of the principle of fair competition, abusing the "National Security Review" to hinder the normal investment activities of other countries' enterprises in the United States, as well as the provision of large subsidies that distort market competition, using large-scale non-tariff barriers, and abusing trade remedy measures.

According to the White Paper, as a major establishing force and participant in rebuilding the international economic order and multilateral trade system after World War II, the United States should have been the spearhead in following the multilateral trade rules and addressing the trade conflicts with other member countries through dispute-resolving mechanisms under the framework of the World Trade Organization (WTO). However, the unilateral emphasis of "American First" has brought American domestic issues to the international community and politicized the economic and trade problems, causing damage to the national interests of China and other countries, as well as America's own image, thereby ruining its own interests in the long run.

The White Paper reiterates that, while the global economy has just been relieved from the shadow of the global financial crisis, recovery is yet to secure sound momentum. However, the United States has insisted on imposing a slew of unilateral trade protectionist policies, which have sabotaged the international economic order, challenged the global value chain as well as the international industrial division system, interrupted market expectations, and risked the global economic recovery with the enormous uncertainties it has created.

In its final chapter, the White Paper systematically elaborates China's stance.

First, China firmly safeguards its national dignity and core interests. China does not want a trade war, but it is not afraid of one. We have the confidence, resolve and capability to meet all risks and challenges. No external factor will hold back China's development. China has kept the door to negotiations open, but negotiations can only happen when there is mutual respect, equality, good faith and deeds matching words. Negotiations cannot be conducted at the cost of China's right to development.

Second, China is firmly committed to the sound development of China-U.S. economic and trade relations. The sound and steady development of China-U.S. economic and trade relations is in the fundamental interests of the two peoples and the common interests of people across the world. China would like to work with the U.S. in the same direction, act in a spirit of mutual respect and win-win cooperation, focus on economic and trade cooperation, properly manage economic and trade differences, and make vigorous efforts to foster a new China-U.S. economic and trade order that is balanced, inclusive and mutually beneficial, so as to contribute to the well-being of the two peoples.

Third, China is firmly committed to the reform and improvement of the multilateral trading system. China resolutely abides by and upholds the WTO rules, supports an open, transparent, inclusive and non-discriminatory multilateral trading system, and supports necessary reform of the WTO. China is working to promote trade and investment liberalization and facilitation, and make economic globalization more open, inclusive, balanced and beneficial to all.

Fourth, China is firmly committed to protecting property rights and intellectual property rights (IPR). China will keep improving its laws and regulations on IPR protection, and protect the lawful IPR of Chinese and foreign businesses in strict accordance with the law. China will enhance its cooperation with all countries to protect IPR, and hopes that governments of other countries will also step up their efforts to protect Chinese IPR.

Fifth, China is firmly committed to protecting the lawful rights and interests of foreign investors in China. China is committed to building an open and transparent legal system concerning foreign affairs, improving the business environment, and providing better, higher-quality services to businesses from all countries operating and investing in China. The Chinese government pays close attention to the legitimate concerns of foreign investors, and stands ready to respond to and address their specific concerns.

Sixth, China is firmly committed to deepening reform and opening wider to the outside world. China will not reverse course, but only deepen its reform. China will not close its door to the world, but only open wider. China will unswervingly deepen reform, expand opening up, comprehensively promote the rule of law and build a socialist country under the rule of law.

Seventh, China is firmly committed to mutually beneficial cooperation with other developed and developing countries. On the basis of reciprocity, China will work with relevant economic and trade partners to expedite the negotiations on multilateral and bilateral economic and trade cooperation. China will promote deeper cooperation under the framework of the Belt and Road Initiative and create new drivers for common development.

Eighth, China is firmly committed to building a community with a shared future for mankind. China will continue to act as a responsible major country, and join every other country in building an open, inclusive, clean and beautiful world that enjoys lasting peace, universal security and common prosperity.

In short, no matter how the international situation changes, China will promote world peace, contribute to global development, and uphold international order.

Thank you everyone!

Guo Weimin:

Thank you, Mr. Fu. Now, the floor is open to questions.