Despite their different backgrounds, participants of Sunday's Asia-Pacific Business Forum all share the goal of forging new business ties with China as it progressively integrates into the world economy.

Foreign companies and agencies reiterated their commitment to the Chinese market and Chinese enterprises were confident that closer regional cooperation would bring about new opportunities for their development.

"Chinese private enterprises share the same weak points among them, so when we look for complementary co-operation, we should go international," said Zheng Yuewen, vice-chairman of the All-China Federation of Industry and Commerce.

According to Zheng, who is also the chairman of the Creat Group, the lack of support for a sound financial system has hampered the development of Chinese private enterprises, an area where international co-operation is in urgent need.

"Due to limited financial products and various restrictions on the use of financial instruments, it is extremely difficult for private enterprises to obtain full capital support," said Zheng.

Against such a background, local private enterprises have tried to seek overseas listings to obtain international capital.

He called for enhanced trade cooperation in the Asia-Pacific region to help local private companies.

Zheng added that these private enterprises are also faced with the difficulties imposed by low-level management and research and development support where cooperation with overseas companies would be beneficial.

After 26 years of development, private enterprises have already taken up an important part of the Chinese economy by contributing to the nation's rapid growth in gross domestic product (GDP) and creating a large number of jobs.

Zheng said that Chinese enterprises excel with their low cost of production, huge market and competent manufacturing capacity. These merits are drawing foreign companies to show increasing interest in China.

"As China's economy continues to expand, there will be further opportunities to deepen our business and trade relationships," said Clive Brown, minister for State Development of Western Australia.

Brown's agency has already set up a packed agenda for co-operation with China, reaching a wide range of fields including minerals, agriculture, education and liquefied natural gas, a clean energy source.

Noting the growing market and economy, Steven J. Schneider, chairman and CEO of GE (China) Co, Ltd observed that the three areas of road, electricity and medical equipment will offer new business opportunities for overseas businesses.

Zhang Yansheng, director of the Institute for International Economic Research under the State Development and Reform Commission noted that through expanding investment overseas, China will transfer part of its processing and manufacturing and part of its raw materials supply overseas, while replacing some trade with investment.

Meanwhile, the nation will continue to increase its imports from neighboring regions and increase its investment, said Zhang.

Last year, China became the world's third-largest importer and the fourth-largest exporter.

(China Daily April 26, 2004)