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Vital deals signed on Xi's trip to Mongolia

By WU JIAO in Ulan Bator and ZHAO SHENGNAN in Beijing ( China Daily ) Updated: 2014-08-22 00:12:47

Xi told Elbegdorj that developing relations with Mongolia is a priority for Chinese diplomacy, adding that the two nations should integrate their advantages during cooperation.

"China has the willingness and capacity to help Mongolia translate its advantages into economic development through close cooperation," Xi said.

He proposed a "three-in-one" cooperation model, integrating mineral resources, infrastructure construction and financial cooperation, to help improve Mongolia's limited infrastructure and transportation links with China and cover Mongolia's shortage of capital.

With natural resources worth an estimated $1.3 trillion, Mongolia has not fully tapped its advantages since a law was introduced in 2012 limiting foreign ownership in "strategic" sectors.

Growth is the weakest for four years and inflation is rising. Foreign investment dropped by 70 percent in the first half of the year, according to Bloomberg.

China accounts for more than half of Mongolia's external trade and receives nearly 90 percent of its exports, mainly copper, coal and animal products. Bilateral trade has soared over the past decade, reaching $6 billion last year.

Gao Shumao, former Chinese ambassador to Mongolia, said that having realized the negative effect of the foreign ownership law, which had been revised last year, Mongolia hoped to reverse plummeting foreign investment and revive its economy.

Both sides also signed a deal allowing Mongolia to use six ports in northern and northeastern China for imports and exports. Officials said the ports included Tianjin, Dalian and Jinzhou.

What they said

"We highly value travelers from our neighboring countries, such as China and Russia. ... China and Mongolia, as neighboring countries, are complementary to each other in terms of tourism. I hope President Xi's visit can accelerate the steps of tourism cooperation.

Tsedevdamba Oyungerel, Mongolian minister of culture, sports and tourism

"A quarter of Mongolians are herders or semi-nomadic shepherds, who have been severely influenced by climate change. We hope to strengthen cooperation with China regarding environmental protection. As a prairie city, China's Ordos has had a successful experience against climate change and desertification, which we have long been anxious to learn about. President Xi's trip will focus more on business cooperation than on environmental protection this time, but I firmly believe that a cooperative plan between the two countries will be rolled out in the future."

Oyun Sanjaasuren, Mongolian minister of environment and green development

"Our president has carried out greater effort in fighting against corruption since he took office, like the anti-corruption work that President Xi has pursued during his term. More respect for laws and regulations is one obvious reason that China has developed significantly in recent years. So we legislated heavily against corruption in the past several years. I think the two countries' leaders may launch talks this time to share ideas and jointly facilitate the anti-corruption work for their countries."

C.H. Unurbayar, human rights and legal adviser to the president of Mongolia

"China is trying to achieve the Chinese dream. Mongolia is also at a crucial period of economic development, which indicates that there will be new content in economic and trade cooperation between the two countries."

Qu Xing, president of China Institute of International Studies

"Communicating demands of the peoples of China and Mongolia is the booster to develop bilateral relations. After all, they are the protagonists in the exchanges of various fields. China and Mongolia have played an exemplary role in the border issue. The good-neighborly and friendly relations between the two countries have attracted attention from other neighboring countries."

Gao Shumao, the former Chinese ambassador to Mongolia

"President Xi's visit to Mongolia will continue to promote bilateral strategic cooperation and coordination in international and regional affairs, which will be conducive to peace, stability and prosperity in Northeast Asia in the long term."

Huang Jiakui, director of China's Mongolia Research Council

"It is important for Mongolia to ship its coal to overseas markets over the sea. Before this trip, President Xi Jinping has suggested an idea that China should be friendly and open to neighboring countries, which is a wonderful opportunity to develop our cooperation on mineral resources."

Jigjid Rentsendoo, state secretary of Mongolia's Ministry of Mining

Contact the writers at wujiao@chinadaily.com.cn and zhaoshengnan@chinadaily.com.cn

Du Juan contributed to this story.

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