Baowu News

[ 2018-11-11 ]

On November 6th, during 1st China International Import Expo, international cooperation forum of central SOEs themed at “deepening reform, expanding opening-up, and promoting enterprise development with unobstructed trade” was held in National Exhibition and Convention Center. Director of State-owned Assets Supervision and Administration Commission of the State Council Xiao Yaqing, Director General of United Nations Industrial Development Organization Li Yong, and Vice Minister of Ministry of Commerce Wang Bingnan attended the forum and made speeches respectively. Leader of Central SOE trading group and deputy director of SASAC of the State Council Shen Ying hosted the forum.  

Party Secretary and Chairman of China Baowu Steel Group Corporation Limited Chen Derong, and representatives of domestic enterprises of SINOCHEM Group and COFCO, and foreign enterprises of KGHM of Poland, Ericsson, Rio Tinto Group were invited as guests for CCTV’s Dialogue program at the forum, and carried out dialogues on topics of opening up, cooperation, and win-win development etc. with the host, talking about opening up to the outside world and enterprise development. Party Secretary and Chairman of Baosteel Co., Ltd. Dai Zhihao attended the forum.  

Xiao Yaqing expressed in his speech that CIIE keynote speech of President Xi Jinping deeply described China’s mandate of supporting free trade and economic globalization, announced key measures of further actively opening market to the world, claimed clear standing of China in fully deepening reform in a ceaseless way and fully expanding opening up in a relentless manner in the new era, demonstrated China’s responsibilities and accountability in pushing forward opening up at a higher level, building of open-type world economy, and constructing a community with shared future for the mankind. Central SOEs should lead in the implementation and carrying out of requirements of President Xi Jinping and strive for creating and building for the first level in fully expanding opening up as exemplary models. Xiao Yaqing emphasized, CIIE as a juncture, China’s international communication and cooperation should be deepened at a deeper level, in a wider scope, and according to higher standards to integrate with global economy; China’s enterprises should jointly explore wider development space with enterprises from various countries.     

Li Yong and Wang Bingnan expressed in their speeches, CIIE was devised, raised and deployed in person by President Xi Jinping, and was up to now the first nation-level expo themed at import in the world. This demonstrated China would unswervingly pursue its opening-up strategy of mutual benefits and win-win, and reclaimed the door of opening-up in China would not be turned off, yet it would only be opened increasingly wider. They praised, SASAC and central SOEs had played important roles for the successful holding of CIIE and had made contributions to pushing forward international trade cooperation and promoting global economic prosperity. They mentioned, to fully support SOE opening-up, cooperation, overseas trading and bilateral investment, full-scale service would be provided. They also believed, by holding this forum, new momentum would be injected to deepen opening-up and cooperation and widen cooperation channels for enterprises both at home and abroad.    

During dialogues, host ofDialogue program Chen Weihong invited six Chinese and foreign guests including Chen Derong, Chairman of SINOCHEM and CHENCHINA Ning Gaoning, President of COFCO Yu Xubo, Chairman and CEO of KGHM of Poland Chludzinski, President and CEO of Ericsson Börje Ekholm, member of Rio Tinto Group executing committee Simone Niven to come to the stage for dialogues. They expressed own opinions, and discussed together great significance of opening up to the outside world and cooperation for enterprise development.   

Under a general backdrop of the first CIIE, the dialogue between the host and guests was naturally unable to get away from “buying, buying, buying”. Opening the “shopping carts” of the guests of Chinese enterprises, from grease, oil materials, crude oil etc. raw materials for life and production, to foods of wine, meat and chemical fertilizers, plastics etc. products for consumption upgrading, with continuous deepening of opening up to the outside world of China, both consumption goods for life and raw materials for production were undergoing transformation and upgrading. Guests of Chinese enterprises believed, these were exactly strong evidence of economic rapid growth, rapid development of more enterprises and ceaseless enhancement of people’s livelihood after forty years’ reform and opening up of China. Guests of foreign enterprises expressed that central SOEs were their important cooperation partners; China’s reform and opening up for forty years had brought in great development opportunities for them, and China had become their vital market.   

Since China’s accession into WTO in 2001 to 2017, what changes had occurred to imported goods in the “shopping carts” in category and quantity and what problems were illustrated behind these changes? From interactions between the host and guests on the stage and audience offstage, people were not difficult to sense that the opening up to the outside world had brought in opportunities, development and fruits to all. “CIIE was not China’s solo, but the world’s cantata.” Cooperation between Chinese enterprises and overseas enterprises had already developed from mere product import and export to cooperation in soft power. Complementing each other with advantages of respective sides and common development were mega trends of the future.      

During participation in topic discussions, Chen Derong pointed out straightforward the impression left by steel enterprises’ “shopping carts” was relatively “grave”. China was global largest iron ore import country, 90% of iron ore demands were settled by international market. With increase of steel and material demands, our demands for iron ore were also displaying a growth momentum. China’s steel industry would closely follow up steps of development of international advanced enterprises, track advanced technical equipments and satisfy production requirements for high-end products. In viewpoint of Chen Derong, beginning from China’s accession into WTO till 2017, the percentage of iron ore in the “shopping cart” of China Baowu was still ranked first. The difference was that, in the past, iron ore was totally dependent on importing, and later on on cooperation with foreign enterprises by setting up joint ventures in mining. In the aspect of technical equipments, domination by former whole production line import in the past had changed into focusing on high-tech, and importing core equipments for production lines. Entering into the era of AI and big data, China Baowu ceaselessly enhanced intelligent manufacture and was currently cooperating with relative enterprises in discussing on importing overseas advanced technical service. In future, with increasing enhancement of industrial concentration level, total demands for iron ore would also further increase, and requirements for quality would be higher. Under requirements by environment protection for green production and emission reduction, demands for iron ore by steel enterprises would transform gradually to demands for new materials. Due to trade protectionism, we also had occasions of willing to buy while iron ores were not available. Chen Derong expressed when answering relative problems that trade protectionism could only stimulate our increasing in input on technical R&D and innovation and enhance self R&D capacity and strength. China Baowu hoped to strengthen cooperation with global suppliers in equipments and technologies to display relative competitive advantages and promote mutual development.         

After the forum, thirteen central SOEs also signed transaction contracts on spot. Leaders and guests present at the forum jointly witnessed contract signing. Among these, contracts were signed by China Baowu and Rio Tinto Group. After that, Chen Derong accepted interview from reporters of Bloomberg News at the site.

Source:Baowu News Centre