Nanning, the famous Green City in China, is now embracing its fruitful and flowery golden autumn of this year. At 9 a.m. October 22, the Fifth China-ASEAN Expo (CAEXPO) was held in Nanning International Convention Center, Guangxi Province.
Wang Qishan, member of Politburo Standing Committee of the Communist Party of China and Vice Premier of State Council of the People's Republic of China, Mr. Samdech Hun Sen, Prime Minister of the Kingdom of Cambodia, Lt-Gen Thein Sein, Prime Minister of the Union of Myanmar, Mr. Bounyang Volachit, Vice President of the Lao People’s Democratic Republic, Mr. Prospero Nograles, Speaker of the House of Representatives of the Republic of the Philippines, Mr. Hoang Trung Hai, Vice Prime Minister of the Socialist Republic of Viet Nam, HRH Princess Hajah Masna of Brunei, senior officers from Malaysia, India, Thailand and Singapore, Li Zhaozhuo, Vice chairman of the National Committee of the Chinese People's Political Consultative Conference and Surin Pitsuwan, secretary-General of ASEAN attended the opening ceremony.
The 5th China-ASEAN Business & Investment Summit (CABIS) was held after the opening ceremony. Vice Premier Wang Qishan delivered a keynote speech, and the Secretary-General of the UN Conference on Trade and Development (UNCTAD), Mr. Supachai Panitchpakdi and so on attended the summit and give speeches.
2 p.m., “Vietnam-China Trade and Investment Cooperation Forum” was held in 101 Conference Room. The forum, concerning the topic of “Vietnam – A Rapidly Developing Market Settling into the World and Regional Economy”, discussed the issues such as accelerating the construction of ASEAN-China Free Trade Area (ACFTA) and the “Two Corridors and One Circle” investment and business cooperation between these two countries, and the bilateral economic cooperation promotion in depth.
Signing ceremony of three projects was held on the forum. Zongshen Group Chongqing Minerals Company and Vietnam Haocheng Mining and Processing Co., Ltd entered into (Intentional) Framework Agreement on Joint Investment and Cooperation in Iron Ore Resources and Iron-Making Project in Nghe An, Vietnam. The main contents include: (I) both parties shall establish a joint working group to fulfill the outcomes reached on September 15, 2008, during the visit to Zongshen Group by Fan Tingze the Governor of Nghe An Province, Vietnam and Hu Defu, the Executive Vice Governor of Nghe An Province, Vietnam, which include: 1. to control (hold stocks of) 60% of all iron ore resource in Nghe An Province. According to the data from the geology and mineral exploration authorities of Vietnam, there are other ten mines with workable iron ores of over 60 million tons; 2. to bring partial iron ore resources bordering Ha Tinh Province into the coverage of the joint venture. The provincial leaders of Nghe An have agree to broker the deal; 3. to bring partial iron ore resources in central Laos into the coverage of the joint venture, and the provincial leaders of Nghe An have agree to broker the deal; 4. the governor of Nghe An Province has promised that, to fully support the development of the joint venture, Nghe An Province would only approve the joint venture, as the only company, to conduct the project of pig-iron smelting, and it would also apply administrative intervene: providing that all raw iron ores and iron essence can only be sold (and exported) after processing and smelting. (II) Upon the confirmation of iron ore resources, both party shall register the foundation of a joint venture – “Vietnam Zongshen Haocheng Minerals Exploitation, Processing and Export Joint Stock Co., Ltd.” (temporary name). (III) Upon the foundation of the joint venture, the Vietnamese partner shall gain the full minerals exploration and exploitation rights of 4 mines in Yilu County, Nantan County, Qingzhang County and Gunguang County for the joint venture. Zongshen Group Chongqing Minerals Company shall hold over 65% of the joint venture. (IV) the joint venture to acquire 870 mu lands from the appointed industrial park in Nghe An Province (18km from Nghe An Port) to start the pig-iron smelting factory with annual output of 1 million tons. Judging from the preliminary calculations, the pig-iron smelting factory with annual output of 1 million tons built by the joint venture (which has a total volume of about 1,350 cubic meters, and the investment in each cubic meters to be RMB 380,000), and the total investment in the plant is RMB 513 million; the investment in the sintering process production lines is expected to be RMB 200 million; the investment in supporting concentrating mill is expected to be RMB 200 million [i.e. (5.13+2)×30%]. The investments in above three items are totaled RMB 927 million; if plus the RMB 300 million in coking process, the total investment will reach RMB 1,227 million. To add the initial costs and expenses such as mining right, the total investment will reach RMB 1,500 million. (5) As to the source of capital, both parties agreed to go future into the investigation of the project and take proactive actions.
Huang Zhonghai, Vice premier of Vietnam, Ruan Chengbian, Vice Minister of Vietnam Ministry of Industry & Trade, Huang Wenyong, Executive Vice President of Vietnam Chamber of Commerce and Industry, Ruan Shicui, Vice Governor of Thua Thien-Hue Province, Vietnam, Gao Hucheng, Vice Minister of Ministry of Commerce of People’s Republic of China, Yang Daoxi, Vice Chairman of Guangxi Autonomous Region, China, and Sun Shenlin, Vice Chairman of Chongqing CPPCC, attended the signing ceremony.
In the address before the signing ceremony, Huang Zhonghai, Vice premier of Vietnam, said, “The governments of Vietnam and China will provide more favorable conditions for the enterprises of both countries. We will develop Vietnam-China all-side strategic partnership, led by “Sixteen Words” policy and the policy of “Good Neighbor, Good Partner, Good Friend and Good Comrade”, to promote closer cooperation between enterprises of China and Vietnam”. Gao Hucheng, Vice Minister of Ministry of Commerce of People’s Republic of China, said: “Chinese government will adhere to its policy of “remaining a good partnership with adjacent countries”, pay great attention to the mutually benefited cooperation with ASEAN countries including Vietnam. The Chinese government is willing to further enhance the cooperation with Vietnam in all aspects, proactively encourage and support Chinese enterprises with fund and technical power to cooperate with Vietnamese enterprises in infrastructure and resources. By giving a push to the cooperation between China and ASEAN, we will make it another highlight of China-ASEAN sub-regional cooperation.” |