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Ex-Chancellor warns Germany not to be defensive on Chinese investment

By Fu Jing in Hamburg, Germany ( chinadaily.com.cn ) Updated: 2016-11-23 21:59:24

Ex-Chancellor warns Germany not to be defensive on Chinese investment

Former German chancellor Gerhard Schroder received the China-Europe Friendship Award on Wednesday in Hamburg,Germany in recognition of his outstanding achievements in cultivating relations with China. [Photo by Fu Jing/chinadaily.com.cn]

Former German chancellor Gerhard Schroder said on Wednesday that Germany should not become "defensive" in attracting Chinese investment,which would be essential for job creation in the country's export-dominated economy.

The former chancellor joined business leaders in calling on China and EU to speed up various efforts, including investment talks, to contribute global growth and development against rising uncertainties worldwide.

"Germany should therefore not take a defensive approach to Chinese investment in our economy," said Schroder when addressing the two-day Hamburg Summit: China meets Europe which started here on Wednesday.

China's Vice-Premier Liu Yandong is expected to respond at the closing ceremony on Thursday. Liu will arrive in Hamburg on late Wednesday and stay through Saturday, meeting German officials and promoting science, education, culture and sports exchanges between the two countries.

Schroder said:"The German economy wishes not only to sell its products in world markets, but also to create local jobs and training opportunities."

He said Germans have become well aware that investment and openness are the elements that drive the German economy forward.

"Without them, we cannot advance,"said Schroder. "This is because the German economy is dependent not only on foreign investment, but also on foreign knowledge and know-how."

Regulatory institutions at German and European levels have recently tightened their approval procedures when dealing with rising Chinese investments.

Schroder was among a handful of European leaders in previous years who built strategic partnerships between China and Germany and China and EU.

At the opening of the forum, the former chancellor also received the China-Europe Friendship Award in recognition of his outstanding achievements in cultivating relations with China.

Fritz Horst Melsheimer, president of the Hamburg Chamber of Commerce, called for an investment treaty between the EU and China to be agreed as soon as possible within the next year in order to put bilateral economic relations swiftly onto a more solid legal basis.

Ex-Chancellor warns Germany not to be defensive on Chinese investment

Former German chancellor Gerhard Schroder received the China-Europe Friendship Award on Wednesday in Hamburg,Germany in recognition of his outstanding achievements in cultivating relations with China. [Photo by Fu Jing/chinadaily.com.cn]

"The Sino-EU investment agreement is essential for EU-China relations to reach their full potential. And we do hope that the agreement will be concluded in 2017,"said Melsheimer.

Melsheimer said China's economic slowdown, stagnation in many European countries and United Kingdom's vote for Brexit are pressing challenges that will affect the bilateral economic relations between China and European Union.

Facing the difficulties, Schroder said China and Germany have a special responsibility to respond these challenges. "The efforts will determine the direction which the globalized world will take - politically and economically," said the former chancellor.

Schroder has urged more open dialogues between Europe and China to achieve the goal of improving economic relations and the understanding of each other.

Li Yizhong, chairman of China Federation of Industrial Economics expressed his confidence in the continuous boosting of bilateral trade and investment flow.

"Many figures have shown that foreign investors are strongly confident in China's investment environment and economic prospects," said Li, former minister in charge of information technology and work safety.

Li said that the sum of direct investment from 28 EU countries surpassed seven billion dollars during January-August period this year, a 48.7 percent year-on-year increase.

"I also hope we could wrap up the ongoing investment talks as soon as possible to further facilitate bilateral investment activities," said Li.

To contact the reporter: fujing@chinadaily.com

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