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China, Japan to boost cooperation amid financial crisis

(Xinhua)
Updated: 2009-04-29 23:33

BEIJING -- Chinese Premier Wen Jiabao and his Japanese counterpart Taro Aso on Wednesday pledged to further cooperation in dealing with the global financial crisis and lead regional economic growth.

Wen asked the two major world economies to stabilize bilateral trade and investment, expand cooperation in energy-saving and environmental sectors, information and communication technology, green economy and high-tech industries, as well as to cultivate new growth points.

Related readings:  Wen, Japanese PM discuss bilateral ties, global downturn  Japanese PM arrives in Beijing for two-day visit  FM: Japanese PM's visit aims at deepening co-op with China

China and Japan, whose economies rely heavily on exports to Western markets, were hit hard by the global financial crisis.

Sino-Japanese trade slid by 7.4 percent year on year in December and dropped by 24 percent in the first quarter of this year, figures from the Chinese Ministry of Commerce show.

Wen proposed China and Japan to expand cooperation with members of the Association of Southeast Asian Nations (ASEAN), push forward substantial cooperation between China, Japan and South Korea, promote the multilateralization of the Chiang Mai Initiative and the construction of the Asian bond market.

The Chiang Mai Initiative, a bilateral currency swap arrangement to help countries tackle a possible foreign capital flow shortage, has been upgraded to the Chiang Mai Initiative Multilateralization, a regional foreign reserve pool.

ASEAN and China, Japan and South Korea have agreed to inject US4120 billioninto the reserve pool in case of a financial crisis.

Wen urged China and Japan, both members of the Group of 20 that involves major world economies, to firmly oppose to trade protectionism, strengthen international financial monitoring and seek positive results in the reform on the international financial system.

"While facing global challenges, we all countries should work hand in hand, and China will consecutively play its positive and constructive role," Wen told Aso during their talks in the Great Hall of the People.

Wen also said China had established a mechanism to prevent and contain the spread of swine flu, and would enhance international information flow and cooperation to safeguard the public health.

China would step up contact and coordination with Japan on regional and international affairs, promote peace, harmony and prosperity of Asia and the world, he said.

Wen also reiterated China's stance and opinion on the East Sea issue.

In his turn, Aso said that Japan and China shoulder important responsibility and influence for the peace and stability of Asia and the world.

Aso, who is here for a two-day visit, pledged to work together with China, expand cooperation in energy saving and environment sectors as well as climate change.

Under the context of the global financial crisis, Japan and China should strengthen coordination, contribute jointly to the recovery of the Asian and world economies and enrich their strategic and mutually beneficial relations, Aso acknowledged.

Japan would cooperate with China in dealing with swine flu, he said.