China can't develop isolated from the world, Xi's No 2 says

[SINGAPORE] China and the world must work together to boost global economic growth, Vice-President Wang Qishan said, vowing that Beijing will continue opening up more to foreign investment at a time when more countries are raising barriers over national security concerns.

"China can not develop in isolation of the world and nor can the world develop without China," Wang said Wednesday (Nov 17) at the Bloomberg New Economy Forum in Singapore. "China will not waver in its resolve to deepen reform and expand opening up."

"Going forward, China will keep its arms wide open, provide more market investment and growth opportunities to the world," he added. "And to contribute its part to the building of a noble world economy and a community with a shared future for mankind."

Wang, technically second-in-charge to President Xi Jinping, spoke a day after the Chinese leader held a virtual summit with US President Joe Biden. The outcome was generally positive, with both sides agreeing to continue talking on a range of topics even as they continue to spar over issues like Taiwan.

Wang said the US-China relationship impacts "the future of the world", and said both sides should "act on the important common understandings reached between the two presidents, keep their focus on cooperation and manage and control differences".

In recent years, the US and some of its allies have put more restrictions on Chinese investment over national security concerns while also blocking exports of advanced technology. Those moves, along with a global shortage of crucial semiconductors that go into everything from phones to cars, has prompted Xi's government to seek technological breakthroughs to ensure China isn't dependent on the West as it strives to dominate industries critical to growth over the coming decades.

Although there's clearly competition between the US and China, the Chinese side hopes that "healthy competition" is possible between the two countries, said Wang Huiyao, an adviser to the Chinese government and founder of the Center for China and Globalization, a non-government think tank.

He added that the warm meeting between Xi and Biden sent a "positive message" that the world's two superpowers can cooperate.

"It really set a new tune, and sent a strong message, that the two largest economies have to work together," Wang Huiyao said in an interview with Bloomberg Television.

Other highlights from Wang's speech include:

The world needs to promote "fair and equitable distribution of vaccines worldwide"

Countries should keep supply chains "stable and smooth"

Leaders need to share fruits of development and pursue a "low carbon transition of the economy in a holistic way"

The world should harness technology to improve productivity

Countries should reform the World Trade Organization and the International Monetary Fund

Wang used an appearance at the forum last year to call for a shift away from protectionism, telling the audience that countries "must rise above exclusive blocs and reject the zero-sum mentality", without mentioning the US directly.

The New Economy Forum is being organised by Bloomberg Media Group, a division of Bloomberg LP, the parent company of Bloomberg News.

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