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VP urges US to fix trade issues by changing economic policies

Updated: 2012-02-16 14:53

By Wu Jiao and Chen Jia (China Daily)

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 VP urges US to fix trade issues by changing economic policies

China's Vice-President Xi Jinping makes a toasts before speaking to the US-China Business Council in Washington on Wednesday. Jewel samad / Agence France Press

WASHINGTON - Vice-President Xi Jinping called on the United States to adjust its economic policies and structure and remove restrictions on exports to China to address the trade imbalance.

In a principal policy luncheon speech Wednesday, Xi said China's trade surplus-to-GDP ratio dropped from more than 7 percent to 2 percent in 2011, and moved within the reasonable range by international standards.

The luncheon was co-hosted by the National Committee on US-China Relations and the US-China Business Council. Hundreds of business leaders, policymakers, and heads of cultural and civic organizations, current and former American government officials, and Chinese officials attended.

"The reform of the RMB exchange rate formation mechanism has played an important role in this process," Xi said.

"It is very important (in) addressing China-US trade imbalance that the United States adjusts its economic policies and structure, including removing various restrictions on exports to China, in particular, (and) easing control on civilian high-tech exports to China as soon as possible," Xi said.

"This will help balance China-US trade, stimulate economic growth and job creation in the United States and improve the balance of US international payments."

According to Chinese official figures, US exports to China reached $122.2 billion in 2011, up 20 percent from the previous year, while American imports from China jumped to $324.5 billion, an increase of 15 percent.

Xi said China has proposed to the United States a framework for promoting two-way trade and investment.

"Our two sides need to continue to work together to tide over difficulties, advance our business cooperation to a higher level and broader areas, and create new highlights of mutually beneficial cooperation," Xi said.

US Secretary of Commerce John Bryson said Xi's US visit is "an important and timely step", and Xi has made a strong commitment to healthy China-US relations.

"Each of us (is) only being successful if we are both successful. It is our responsibility to succeed together, and let's start from building our confidence and cooperation," he said.

China Daily

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