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President Xi Jinping delivereda keynote speech at the open-ing ceremony of Asia-PacificEconomic Cooperation CEOsummit, pledging that all countries inthe Asia Pacific region shall work andconnect with each other. The connec-tivity and infrastructural constructionof Asia Pacific region is the precondi-tion for regional economic integrationand provides drivers for long-term eco-nomic growth.
On November 11, 2014, PresidentXi jinping announced at the press con-ference for the 22nd APEC LeadersInformal Meeting that the summit hasapproved "APEC Connectivity Blue-print 2015-2025" (hereinafter referredto as Connectivity Blueprint), in an at-tempt to meet the proposals and com-mitments made by meeting parties, andstrengthening connectivity in terms ofhard ware, soft ware and people. AlsoAPEC has made tremendous progressin connectivity, but challenges still ex-ist. Infrastructural construction andcommunication technology applicationare still unbalanced, the software con-nectivity has been challenged by variousmanagement obstacles or capacity gap;in the people connectivity, it requiresconcerted efforts remove obstacles topeople connectivity.
Connectivity is of vital importanceto the government and business indus-try and also the Asia Pacific region. Toachieve connectivity between developedand emerging economies of the Asia Pa-cific region will help stimulate regionaleconomic growth and promote econom-ic prosperity and continuity of the AsiaPacific region.
The Connectivity Blueprint stipu-lates that the hardware connectivityinvolves various cross-area questionsand APEC will make key investmentsinto environmental protection andrecovery, to strengthenfinancing forinfrastructural construction for APECeconomies through public and privatepartnership.
President Xi addressed the closingceremony of APEC leaders informalmeeting that it is important to furtherexpand cooperation in financing for in-frastructural construction and promotepublic and private partnerships to helpresolve financial bottlenecks that ham-pers regional connectivity.
Data from Asia Development Bankshows that during 2011-2020 there willbe a 80 trillion fund gap for infrastruc-tural construction of Asian regions. OnOct. 24, 2014 finance ministers and rep-resentatives from 21 countries, includingChina, India and Singapore, singed amemo in Beijing to open Asian Infra-structure Investment Bank, with legalcapital of 100 billion USD. The sharedistribution will take into account theGDP-based weights of 21 membershipcountries. The bank is created to offerfunding for infrastructure projects ofun-der-developed countries across Asia, toreduce capital outflow and meet capitalgap in the infrastructural construction. On November 9, 2014, Presi-dent Xi Jinping announced at the 2014APEC CEO Summit that China willinject 40 billion USD into the Silk RoadFund and proposed a set of measures tostrengthen connectivity and cooperationin "One-belt, One-road" project.
Mr. Luan Lixin, Deputy directorof Xinjiang Commecial Associationand Chairman of Xinjiang ErdaoqiaoCultural Tourism Group, told China'sForeign Trade: "I feel more confidentafter this APEC meeting, as it showsthe central government is always caringand supporting Xinjiang's development.President Xi mentioned several timesthe Silk Road Economic Belt. The silkroad has a long history and today whenwe talk again about the Silk Road Eco-nomic Belt, it has great modern sig-nificance. I believe that the Silk RoadEconomic Belt will further promotelocal economic development. Xinjiangcommands a strategic importance andis the starting point ofimplementingthe economic belt strategy. As the SilkRoad Fund is created, it will providebetter funding support for infrastruc-ture projects along the Silk RoadEconomic Belt. We hope the centralgovernment will offer more capital andpolicy support for companies along theSilk Road."
APEC CIT(Committee onTrade and Investment) Chair JohnLarkin points out that the investmentinto infrastructure projects in Asiawill have bright future and promotingpublic-private partnership is an impor-tant aspect in the investment in infra-structure projects. The public-privatepartnership could be achieved onlywith two preconditions: the first is thatthe public and private sector shall havetrade development capacity; the secondis that it is imperative to advance overallinfrastructure investment to providemore transparency for private sector andmake long-term investment sustainableand public-private partnership prosper.Leung Chun-ying, Hong Kong ChiefExecutive, said that the Hong Konggovernment is fully supportive of AsiaInfrastructure Investment Bank. HongKong is also willing to share its success-ful experiences in infrastructure con-struction with other economies.
Software Connectivity toFacilitate Efficient Asia-PacificSupply Chain
The Connectivity Blueprintstressed that it is important to take con-certed efforts to facilitate trade throughstructural and regulatory reforms andmake traffic and logistics more conve-nience.
For example, it is encouragedand supported to create unitary win-dow system in 2020 among all APECeconomies and cross application ofunitary window system and paperlesstrade are promoted. In the realm of eco-nomic structure reform, APEC TradeFacilitation Multiyear Program aims tofacilitate constructions at all economiesto help improve key commercial facilita-tion indicators by 25% such as operationcost, speed and easy access. Cambodia is not member state ofAPEC, but its prime minister Hun Senwho also attended this APEC Sum-mit, said that it will be a very good op-portunity for Non-APEC economiesto be involved in the dialogue. In thefuture connectivity development willbecome sustainable in energy, logistics,transportation and manufacturing inthe ASEAN and APEC regions. TheinSein, President of Myanmar, said thatMyanmar hopes to use its geographicadvantage to make itselfthe logistics basefor East Asia and Southeast Asia. Hehopes this will shorten shipping distanceand improve shipping efficiency.
Chen Jiabiao, General Manager ofZhejiang Trautone Trading Companywhich specializes in Australian producetrade, told Chinas Foreign Trade thatstrengthening connectivity will bringmore benefits to trading company, "Asobstacles are removed and the countriesbecome more open, our companies havebenefited from free tariff and lowercosts for importing from New Zealand,thanks to the newly-signed free tradeagreement between China and NewZealand."
Xing Jinrong, Huida SanitaryWare Co., Ltd, said: "As President Ximentions the we shall achieve win-winsituation as this is key to the develop-ment. The communication and ex-change of information will be of vitalimportance to promote the trade andeconomic integration. This will benefitthe overall economic development ofthe Asia-Pacific region, as well as ourcompanies." She made further comple-ment that "under the framework, theinfrastructural construction, invest-ment banking and maritime silk roadeconomic belt, have provided real op-portunities for our company. To put itmore specifically, if the trade obstacleis not broken, the company is veryhard to make progress. That is why weexpect innovation model and trade fa-cilitation."
You Lizhong, President of NingboMeijia Tool Co., Ltd. who is alwaysfocused on international economic de-velopment, told China' Foreign Tradethat in the past his company mainlyexports products to European and U.S.Market, but now to emerging markets,especially APEC member countries.He said, "the globalization is very im-portant to the export-oriented compa-nies. The regional economic integrationhas provide many good opportunitiesfor the trade companies and customers.As APEC countries have been closerin relationship, we are trying to graspthe opportunity. After President Xivisited Russia, our order to Russia hasincreased a lot since his visit. We havealso been exploring India, Vietnam andother emerging markets with muchsuccess. We have received till Novem-ber of 2014 a total order value of 2.3million USD, with about 70% comingfrom APEC region. South Americacontributed l million,Japan 0.3 millionand the U.S. 0.5 million. Our companybenefited a lot." People Connectivity IncreasesMutual Friendship
The Connectivity Blueprint pledgesthat we shall be committed to facilitat-ing cross-border exchange of peopleand innovative ideas. Under this themewe will discuss issues including com-mercial travel, cross-border education,tourism facilitation and technical talentexchange. The APEC Business TravelCard is the most remarkable achieve-ment. It is a travel certificate designed tofacilitate business people's travel amongAPEC countries and is equal to three-year visa. The card holder could applyfor visa for free with his own official orpersonal passport and enjoy quick passto the custom. Normally the card holdercould stay in the APEC countries nomore than 60 0r 90 days.
Now 21 APEC countries havejoined the program (U.S. And Canadacurrently not). By October 2014, Chinahas issued more than 40,000 cards, withabout 30,000 being effective, 18% oftheworld total and ranking the first of allAPEC economies. More and more busi-ness people are taking use ofthis card togo abroad for business purposes. XingJinrong said that this card has made hertravel more convenient and easy, butshe also said that as there are still manyobstacles, sometimes the travel may beaffected. The Connectivity Blueprint isgiving promise to increase the numberofAPEC card holders and efficiency ofcard utilization.
U.S. President Barack Obamapledged at APEC CEO Summit thatthe U.S. and China have agreed withnew visa policy , with F-1 student visaextending from current l-year effectiveperiod to five years; B-1/B-2 business ortourism visa's effective period extendsfrom one year to ten years.
Obama said this new visa policyarrangement will benefit those frequenttravelers a lot. In 2013, about l.8 millionChinese people visited the U.S., bring-ing 21 billion USD revenue to the U.S.and creating more than 100,000 jobs.He said that such opportunity shall beexpanded which is good for both coun-tries' interests and economic benefits.
"I hope both countries' trade andinvestment relationship will furtherdevelop. China is the fastest-growingexport market of the U.S. and China-related investments in the U.S. Hasincreased 6 times in the past 5 years.Chinese companies have been hiringmore American people locally andcreating tremendous job opportunities.To further develop both sides' tradeand investment cooperation will bringmore job opportunities to both coun-tries," he said.
Also, tourism and cross-bordereducation are important parts of APECregion's economic growth. APEC re-gions has implemented many trade fa-cilitation initiatives and the Connectiv-ity Blueprint pointed out that by 2025,the APEC region will receive about 0.8billion people, and by 2020, there willbe l million exchange students aroundAPEC regions annually. On November 8, 2014, Price Wa-terhouse Coopers issued APEC CEOsurvey report "APEC New Vision-Growth Platform with Higher Con-nectivity".This report focuses on 2014APEC Beijing meeting and shows thatinvestment has been increasing in all21 APEC member countries. China,U.S., Indonesia, Hong Kong and Sin-gapore are top investment destinations.This also indicates that APEC membercountries are well connected and 57%interviewees say they will try to con-struct or expand production or logisticsfacilities in APEC countries and Chinawill be first choice of investment. It isestimated that in the next 3-5 years,infrastructure project investment willreach 56 billion USD in APEC regionand data or distribution center will bekey projects of such investment. Thereport says that about 67% businessleaders are planning to increase invest-ments in 2015. Wu Weijun, PWCsenior partner in Beijing: said that "Nomatter it is real world or fictional world,the long-term planning of Asia-Pacificregion and growing momentum of theregion, have boosted and supported thecompanies' confidence".
On November 11, 2014, PresidentXi jinping announced at the press con-ference for the 22nd APEC LeadersInformal Meeting that the summit hasapproved "APEC Connectivity Blue-print 2015-2025" (hereinafter referredto as Connectivity Blueprint), in an at-tempt to meet the proposals and com-mitments made by meeting parties, andstrengthening connectivity in terms ofhard ware, soft ware and people. AlsoAPEC has made tremendous progressin connectivity, but challenges still ex-ist. Infrastructural construction andcommunication technology applicationare still unbalanced, the software con-nectivity has been challenged by variousmanagement obstacles or capacity gap;in the people connectivity, it requiresconcerted efforts remove obstacles topeople connectivity.
Connectivity is of vital importanceto the government and business indus-try and also the Asia Pacific region. Toachieve connectivity between developedand emerging economies of the Asia Pa-cific region will help stimulate regionaleconomic growth and promote econom-ic prosperity and continuity of the AsiaPacific region.
The Connectivity Blueprint stipu-lates that the hardware connectivityinvolves various cross-area questionsand APEC will make key investmentsinto environmental protection andrecovery, to strengthenfinancing forinfrastructural construction for APECeconomies through public and privatepartnership.
President Xi addressed the closingceremony of APEC leaders informalmeeting that it is important to furtherexpand cooperation in financing for in-frastructural construction and promotepublic and private partnerships to helpresolve financial bottlenecks that ham-pers regional connectivity.
Data from Asia Development Bankshows that during 2011-2020 there willbe a 80 trillion fund gap for infrastruc-tural construction of Asian regions. OnOct. 24, 2014 finance ministers and rep-resentatives from 21 countries, includingChina, India and Singapore, singed amemo in Beijing to open Asian Infra-structure Investment Bank, with legalcapital of 100 billion USD. The sharedistribution will take into account theGDP-based weights of 21 membershipcountries. The bank is created to offerfunding for infrastructure projects ofun-der-developed countries across Asia, toreduce capital outflow and meet capitalgap in the infrastructural construction. On November 9, 2014, Presi-dent Xi Jinping announced at the 2014APEC CEO Summit that China willinject 40 billion USD into the Silk RoadFund and proposed a set of measures tostrengthen connectivity and cooperationin "One-belt, One-road" project.
Mr. Luan Lixin, Deputy directorof Xinjiang Commecial Associationand Chairman of Xinjiang ErdaoqiaoCultural Tourism Group, told China'sForeign Trade: "I feel more confidentafter this APEC meeting, as it showsthe central government is always caringand supporting Xinjiang's development.President Xi mentioned several timesthe Silk Road Economic Belt. The silkroad has a long history and today whenwe talk again about the Silk Road Eco-nomic Belt, it has great modern sig-nificance. I believe that the Silk RoadEconomic Belt will further promotelocal economic development. Xinjiangcommands a strategic importance andis the starting point ofimplementingthe economic belt strategy. As the SilkRoad Fund is created, it will providebetter funding support for infrastruc-ture projects along the Silk RoadEconomic Belt. We hope the centralgovernment will offer more capital andpolicy support for companies along theSilk Road."
APEC CIT(Committee onTrade and Investment) Chair JohnLarkin points out that the investmentinto infrastructure projects in Asiawill have bright future and promotingpublic-private partnership is an impor-tant aspect in the investment in infra-structure projects. The public-privatepartnership could be achieved onlywith two preconditions: the first is thatthe public and private sector shall havetrade development capacity; the secondis that it is imperative to advance overallinfrastructure investment to providemore transparency for private sector andmake long-term investment sustainableand public-private partnership prosper.Leung Chun-ying, Hong Kong ChiefExecutive, said that the Hong Konggovernment is fully supportive of AsiaInfrastructure Investment Bank. HongKong is also willing to share its success-ful experiences in infrastructure con-struction with other economies.
Software Connectivity toFacilitate Efficient Asia-PacificSupply Chain
The Connectivity Blueprintstressed that it is important to take con-certed efforts to facilitate trade throughstructural and regulatory reforms andmake traffic and logistics more conve-nience.
For example, it is encouragedand supported to create unitary win-dow system in 2020 among all APECeconomies and cross application ofunitary window system and paperlesstrade are promoted. In the realm of eco-nomic structure reform, APEC TradeFacilitation Multiyear Program aims tofacilitate constructions at all economiesto help improve key commercial facilita-tion indicators by 25% such as operationcost, speed and easy access. Cambodia is not member state ofAPEC, but its prime minister Hun Senwho also attended this APEC Sum-mit, said that it will be a very good op-portunity for Non-APEC economiesto be involved in the dialogue. In thefuture connectivity development willbecome sustainable in energy, logistics,transportation and manufacturing inthe ASEAN and APEC regions. TheinSein, President of Myanmar, said thatMyanmar hopes to use its geographicadvantage to make itselfthe logistics basefor East Asia and Southeast Asia. Hehopes this will shorten shipping distanceand improve shipping efficiency.
Chen Jiabiao, General Manager ofZhejiang Trautone Trading Companywhich specializes in Australian producetrade, told Chinas Foreign Trade thatstrengthening connectivity will bringmore benefits to trading company, "Asobstacles are removed and the countriesbecome more open, our companies havebenefited from free tariff and lowercosts for importing from New Zealand,thanks to the newly-signed free tradeagreement between China and NewZealand."
Xing Jinrong, Huida SanitaryWare Co., Ltd, said: "As President Ximentions the we shall achieve win-winsituation as this is key to the develop-ment. The communication and ex-change of information will be of vitalimportance to promote the trade andeconomic integration. This will benefitthe overall economic development ofthe Asia-Pacific region, as well as ourcompanies." She made further comple-ment that "under the framework, theinfrastructural construction, invest-ment banking and maritime silk roadeconomic belt, have provided real op-portunities for our company. To put itmore specifically, if the trade obstacleis not broken, the company is veryhard to make progress. That is why weexpect innovation model and trade fa-cilitation."
You Lizhong, President of NingboMeijia Tool Co., Ltd. who is alwaysfocused on international economic de-velopment, told China' Foreign Tradethat in the past his company mainlyexports products to European and U.S.Market, but now to emerging markets,especially APEC member countries.He said, "the globalization is very im-portant to the export-oriented compa-nies. The regional economic integrationhas provide many good opportunitiesfor the trade companies and customers.As APEC countries have been closerin relationship, we are trying to graspthe opportunity. After President Xivisited Russia, our order to Russia hasincreased a lot since his visit. We havealso been exploring India, Vietnam andother emerging markets with muchsuccess. We have received till Novem-ber of 2014 a total order value of 2.3million USD, with about 70% comingfrom APEC region. South Americacontributed l million,Japan 0.3 millionand the U.S. 0.5 million. Our companybenefited a lot." People Connectivity IncreasesMutual Friendship
The Connectivity Blueprint pledgesthat we shall be committed to facilitat-ing cross-border exchange of peopleand innovative ideas. Under this themewe will discuss issues including com-mercial travel, cross-border education,tourism facilitation and technical talentexchange. The APEC Business TravelCard is the most remarkable achieve-ment. It is a travel certificate designed tofacilitate business people's travel amongAPEC countries and is equal to three-year visa. The card holder could applyfor visa for free with his own official orpersonal passport and enjoy quick passto the custom. Normally the card holdercould stay in the APEC countries nomore than 60 0r 90 days.
Now 21 APEC countries havejoined the program (U.S. And Canadacurrently not). By October 2014, Chinahas issued more than 40,000 cards, withabout 30,000 being effective, 18% oftheworld total and ranking the first of allAPEC economies. More and more busi-ness people are taking use ofthis card togo abroad for business purposes. XingJinrong said that this card has made hertravel more convenient and easy, butshe also said that as there are still manyobstacles, sometimes the travel may beaffected. The Connectivity Blueprint isgiving promise to increase the numberofAPEC card holders and efficiency ofcard utilization.
U.S. President Barack Obamapledged at APEC CEO Summit thatthe U.S. and China have agreed withnew visa policy , with F-1 student visaextending from current l-year effectiveperiod to five years; B-1/B-2 business ortourism visa's effective period extendsfrom one year to ten years.
Obama said this new visa policyarrangement will benefit those frequenttravelers a lot. In 2013, about l.8 millionChinese people visited the U.S., bring-ing 21 billion USD revenue to the U.S.and creating more than 100,000 jobs.He said that such opportunity shall beexpanded which is good for both coun-tries' interests and economic benefits.
"I hope both countries' trade andinvestment relationship will furtherdevelop. China is the fastest-growingexport market of the U.S. and China-related investments in the U.S. Hasincreased 6 times in the past 5 years.Chinese companies have been hiringmore American people locally andcreating tremendous job opportunities.To further develop both sides' tradeand investment cooperation will bringmore job opportunities to both coun-tries," he said.
Also, tourism and cross-bordereducation are important parts of APECregion's economic growth. APEC re-gions has implemented many trade fa-cilitation initiatives and the Connectiv-ity Blueprint pointed out that by 2025,the APEC region will receive about 0.8billion people, and by 2020, there willbe l million exchange students aroundAPEC regions annually. On November 8, 2014, Price Wa-terhouse Coopers issued APEC CEOsurvey report "APEC New Vision-Growth Platform with Higher Con-nectivity".This report focuses on 2014APEC Beijing meeting and shows thatinvestment has been increasing in all21 APEC member countries. China,U.S., Indonesia, Hong Kong and Sin-gapore are top investment destinations.This also indicates that APEC membercountries are well connected and 57%interviewees say they will try to con-struct or expand production or logisticsfacilities in APEC countries and Chinawill be first choice of investment. It isestimated that in the next 3-5 years,infrastructure project investment willreach 56 billion USD in APEC regionand data or distribution center will bekey projects of such investment. Thereport says that about 67% businessleaders are planning to increase invest-ments in 2015. Wu Weijun, PWCsenior partner in Beijing: said that "Nomatter it is real world or fictional world,the long-term planning of Asia-Pacificregion and growing momentum of theregion, have boosted and supported thecompanies' confidence".