Speech by Chinese Ambassador Xu Jianguo at Sister Cities New Zealand

(SCNZ) 2012 Annual Conference

May 10th 2012

Fruitful Achievements of China-New Zealand Relations

China-New Zealand all-round cooperative relationship has become a good example of peaceful co-existence and win-win cooperation between countries with different social systems, cultural backgrounds and development stages.

Politically, China and New Zealand have frequent exchange of high level visits and increasing political mutual trust.

Chinese Vice Premier Li Keqiang Visited New Zealand in 2009

Chinese Vice President Xi Jinping Visited New Zealand in 2010

Chinese Vice Premier Hui Liangyu Visited New Zealand in 2011

Chinese Chairman of CPPCC Jia Qinglin Visited New Zealand in 2012

New Zealand Prime Minister Visited China in 2009

New Zealand Deputy Prime Minister Bill English Visited China in 2011

New Zealand Foreign Minister Murray McCully Visited China in 2012

Economically, China-New Zealand economic and trade cooperation has become the most outstanding part of our bilateral relations.

China and New Zealand Governments Signed FTA on April 7,2008 in Beijing, China

Last year, our bilateral trade exceeded 13.3 billion dollars. In 2011, New Zealand’s export to China achieved a year-on-year increase of 22%, more than 1 billion in dollar terms. China is now New Zealand’s second largest trading partner and export market.

Fonterra Entered the Chinese Market

China and New Zealand have also achieved fruitful results in cultural, education and tourism areas.

China has become New Zealand’s biggest source of international students and the fourth largest and fastest growing market of international tourists.

In New Zealand, one out of every four international students is from China.

Last year, over 150,000 Chinese tourists visited New Zealand while 120,000 New Zealanders visited China.

The 3 Confucius Institutes and 8 Confucius Classrooms in New Zealand make it easier for New Zealanders, especially the young people, to learn about Chinese language and culture.

This year, almost 400,000 New Zealanders, that is 10% of the national population, took part in the annual Chinese Spring Festival celebrations in New Zealand.

The development of regional communication and cooperation between our two countries is also flourishing.

There are now 29 pairs of sister provinces or cities between China and New Zealand.

China-New Zealand relations are solidly founded on the good political, economic and people-to-people relations. Looking ahead, we are firmly confident that the prospect of China-New Zealand relations will be even rosier and brighter.

China’s Economic Development

In recent years, China has made great achievements in economic and social development. China now is the 2nd largest economy in the world.

With over 30 years of fast economic development, China has formed solid foundation for further development.

Since 1978, China’s GDP has been growing by 9.8% annually. In 2011, China’s GDP reached almost 15 trillion US Dollars, taking up 9.5% of the global volume. In 2011, China’s foreign exchange reserve was over 3.7 trillion US Dollars.

China has huge domestic demand to promote sustainable economic development.

Last year, China's urbanization rate for the first time exceeded 50%. That means half of the Chinese population still live in rural areas. Each additional percentage point in this figure means more than 10 million rural residents becoming city dwellers. This will create enormous demand for consumption and investment.

China’s reform and opening up policy will add vigor to its economic development.

China’s coming economic reform lies in the transformation of economic development pattern, readjusting economic structure and improving the quality and efficiency of economic development.

At present, China’s general tariffs level has been reduced to 9.8%, far below the average level of developing countries. In next 5 years, China’s total import is expected to exceed 8 trillion US Dollars and its investment overseas over 500 billion dollars, which promises huge opportunities for other countries.

China is a country with 20% global population. China insists on peaceful development and improvement of its own people’s living conditions. China cannot develop and progress in isolation of the world, nor can the world achieve prosperity and stability without China.

In recent years, China’s contribution to world economic growth has exceeded 10%. In tackling the international financial crisis, China has contributed significantly to world economic recovery.

New Zealand government formulated the China Strategy in 2012

Looking ahead, China will join with New Zealand and other countries, to respond to challenges and share development opportunities. We firmly believe that with our joint efforts, the international financial crisis will finally be overcome and global peace and prosperity will be realized.

Thank you!