The United States needs to ease its control of high-tech products to China to advance trade and investment, Chinese Ambassador to the U.S. Zhang Yesui said here Friday.
Speaking at the first China General Chamber of Commerce-U.S.A Annual Gala, Zhang told business leaders from both countries that U.S. exports to China, which accounted for less than 7 percent of China's total imports, was not compatible with the status of the overall bilateral relationship and China's demand.
"The question is: To what extent is the U.S. ready to fully utilize the potential Chinese market?" Zhang said.
In Zhang's opinion, the rapidly expanding domestic consumer market in China was a great opportunity for U.S. exporters.
According to research results, consumption in China would be growing at a fairly fast pace in the next five years and total imports were expected to reach more than 8 trillion U.S. dollars as the Chinese government intensified efforts to expand domestic demand.
"This will provide further opportunities to farmers, manufacturers and workers in the U.S. and other parts of the world," Zhang said.
But U.S. exports to China were growing slowly, and the proportion of U.S. high-tech products in China's overall high-tech imports had been declining considerably, from 18.3 percent in 2001 to only 7.1 percent in 2010.
"If the U.S. had been able to maintain its 18.3 percent share in 2010, it would have meant an increase of 46 billion dollars to its exports to China," Zhang said.
China would have a 600 billion U.S. dollar market for civil aviation, integrated circuits, machine tools and other products by 2020. But most of these products fell under the U.S. export control regime, Zhang said.
"If current practices continue, many U.S. businesses will see opportunities easily lost," he said.
The ambassador also said China-U.S. business ties had brought tangible benefits to the peoples of both countries over the past four decades.
"It is estimated that between 2001 and 2007 alone, U.S. exports to China brought about 2.5 million new jobs to the U.S.," Zhang said. According to a Morgan Stanley report, four to eight million domestic jobs are closely associated with China-U.S. trade.
Meanwhile, U.S. imports of Chinese high-quality but inexpensive products had saved American consumers more than 600 billion dollars in the past 10 years, which had helped boost economic growth and lower inflation in the U.S., he said.
Zhang also saw great potential in advancing mutual investment. He said there was a growing interest among Chinese investors in the United States, but the investment was not growing as fast as it should.
Among the 317 billion U.S. dollars that Chinese companies had invested abroad by the end of 2010, only about 5 billion dollars, or 1.5 percent, was made in the United States.
He expressed hope the U.S. side could take steps to provide an open and friendly environment for Chinese investment, which would serve both countries' interests.
Source:xinhuanet