Translation. Region: Russian Federal
Source: People's Republic of China in Russian – People's Republic of China in Russian –
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Source: People's Republic of China – State Council News
Moscow, July 14 /Xinhua/ — Cooperation between China and Russia refutes the Western-imposed claims that "China's industrial policy distorts the global market" and "China's excess production capacity creates unfair competition." Such claims are absurd and unfounded. This was stated by Chinese Ambassador to Russia Zhang Hanhui in an article titled "The Era of True Friendship between China and Russia: Cooperation Refutes Misconceptions, Mutual Benefit Determines the Future," published recently in the Russian newspaper Trud.
“Politicians and media in the United States and Western countries have long been actively spreading groundless claims such as ‘China’s industrial policy is distorting the world market’ and ‘China’s excess production capacity is creating unfair competition’. They are trying their best to denigrate the industrial policy of developing countries and suppress their right to development based on the desire to maintain their economic hegemony,” the publication says.
The essence of these false claims, according to the Chinese diplomat, is “politicizing the economy and using economic and trade levers to achieve political goals.” “This line of behavior only creates obstacles to international trade, disrupts the stability of global supply chains, and ultimately leads to losses for all involved,” he warned.
Zhang Hanhui stressed that all countries have the right to stimulate economic development through the implementation of reasonable industrial policies. “In the context of the acceleration of scientific and technological revolution and industrial transformation, industrial subsidies have become an important tool for enhancing innovation potential and stimulating economic growth. Industrial subsidies are practiced in both developed countries and countries with developing economies,” the ambassador stated.
The article points out that China's industrial subsidy policy is based on the principles of openness, fairness and compliance with established standards. "It is not selective and applies equally to all market participants. China's state-owned enterprises, as independent market participants, do not enjoy any advantages under the subsidy policy due to their status and do not provide subsidies to other enterprises," the author noted, adding that the flexible subsidy model not only meets China's needs for industrial modernization, but is also fully consistent with the commitments China made when joining the World Trade Organization.
Zhang Hanhui called the US and Western countries' accusations against China regarding "overcapacity" "a cover for their protectionist policies." "Under the pretext of "overcapacity," some countries impose restrictions on Chinese exports and investment cooperation. All this is pure protectionism, artificial interference and division of the world market," he said.
The Chinese diplomat is convinced that only free trade and fair competition can form an optimal structure of global production capacities. He cited China and Russia as an example of such interaction. “Both countries have complementary economic advantages, great potential for cooperation and huge opportunities for development,” Zhang Hanhui believes. He drew attention to the fact that Russian President Vladimir Putin has repeatedly publicly refuted statements by the United States and Western countries about “China’s excess production capacity.”
“China and Russia, as stabilizing, positive and progressive forces in the international community, must continue to maintain unity, expand cooperation, strengthen trade, economic and energy ties, improve mechanisms that ensure a high level of trade and economic interaction, and effectively counter unilateral actions and protectionism,” concluded the Chinese Ambassador to the Russian Federation. –0–
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