China to Open Up Wider to Outside World: Minister

BEIJING, August 3 (Xinhua) -- China will continue its drive to open up to the outside world whether it joins the World Trade Organization (WTO) now or in the future, China's trade minister has said.

Shi Guangsheng, minister of foreign trade and economic cooperation (MOFTEC), made the remarks in a speech at a national conference last week. The speech was revealed here on Tuesday.

"China will, despite the time of its accession to the WTO, continue to further open up to the outside world according to the need of national economic development and the set policy of opening up," he said. "The opening up drive will continue in an active and steady manner."

The minister said that opening up to the outside world is a basic policy of China, and that to achieve new breakthroughs in the opening up process is a prerequisite and guarantee for China's foreign trade and economic growth.

"Without opening up to the outside world, China cannot achieve its economic prosperity," he stressed.

Shi promised that China will continue to lower its customs duties and establish an effective, flexible import coordination mechanism. By the year 2005, the average import tariffs of industrial goods will be cut to 10 percent.
Currently, China's average import tariff is 17 percent.

Non-tariff restrictions will also be reduced, he said.

In addition, China plans to open up more fields to overseas investors such as finance, insurance, telecommunications, foreign trade, tourism, commerce, education, medical sector and transportation.
The trade minister said that China will take the actual need of national economic growth into consideration and allow overseas investors to establish joint ventures or solely overseas-owned businesses in these fields.

The current restrictions on overseas-funded businesses in the accounting and legal consulting service sectors in terms of its geographical location, quantity and business scope will also be trimmed, he said.

Since the beginning of the year, China has published regulations concerning overseas investment in travel agencies and commercial firms. Those regulations, officials say, are part of the efforts to attract more overseas investment.

Overseas investors are now allowed to expand their commercial businesses from 11 cities such as Shanghai and Shenzhen to all capital cities of China's provinces.