In the context of growing progress of cooperation on the establishment of China-ASEAN free trade area,and the broad exploitation of China's western region, China's Guangxi region has actively broadened and deepened multifaceted ties with 10 ASEAN members, helping its economy take off faster.

Guangxi is taking advantages of its strong points and special national policies designated for the region to beef up cooperation relations with ASEAN (the Association of Southeast Asian Nations) which will be concretized by the organization of a China-ASEAN trade fair late this year. The fair will be a focal point of Guangxi, and show the region's regarding Vietnam as a breakthrough in penetrating the huge ASEAN market.

Guangxi, which adjoins Hong Kong, Guangdong and Macao to the East, the Beibu Gulf to the South, and Vietnam to the Southwest, lies in the center of the China-ASEAN free trade area and acts as the convergent point of the Chu River Region, the western region's economic belt and the ASEAN economic belt. It is the only area in China which adjoins both land and sea of ASEAN countries.

Having coastal areas and an autonomous region, Guangxi enjoys three national policy groups which are to lure foreign investment in the coastal region, develop the western region, and prioritize the autonomous region.

All natural and manmade favorable conditions not only reinforce the close ties between Guangxi and other Chinese localities, but also help expand the good economic and trade relations between Guangxi and Southeast Asian countries, especially Vietnam -- the main entrance to the ASEAN.

Most of the Chinese goods exported to ASEAN members, especially Vietnam, go through Guangxi. A large volume of ASEAN goods entering China via roads and air routes pass the region before penetrating deeper into the mainland. The ASEAN became China's fifth largest trade partner, while China was the ASEAN's sixth biggest trade partner last year with trade turnovers of 78.2 billion US dollars. Among ASEAN members, Vietnam has emerged as Guangxi's biggest trade partner with two-way trade increasing 35.7 percent to 665 million dollars in 2003.

To bring the economic and trade ties between Guangxi and the ASEAN to a new height, the region is speeding up its infrastructure improvement, especially road construction, and has

built an integrated network of road, sea and air transport. The construction of an expressway from the region's capital city of Nanning to the Friendship Gate at China-Vietnam border is being accelerated.

After opening to traffic in 2006, the expressway will be Guangxi's key road leading to the ASEAN via Vietnam. At that time, the travel time between Nanning and Vietnam's capital city of Hanoi will be shortened to four hours from eight hours, which will facilitate road transport among Guangxi and such ASEAN countries as Thailand, Laos and Cambodia.

While the inauguration of the China-ASEAN trade fair is approaching closer and closer, Guangxi has sent a large number of economic, trade, cultural and tourism delegations to Vietnam and several other ASEAN members to enhance bilateral ties, mainly by conducting economic activities, including sales promotion, and introduce fairs and exhibitions for better mutual understanding between the region and enterprises in the ASEAN. Under an agreement reached by leaders of China and ASEAN countries in Bali,Indonesia in October 2003, a China-ASEAN trade fair is held annually in Nanning. The fair's theme is to accelerate the construction of a free trade area and share cooperation and development opportunities on the win-win basis.

To introduce the fair and strengthen mutual understanding and cooperation between Guangxi and Vietnamese businesses, the region's trade and economic delegation led by Li Jinzao, vice chairman of the Guangxi Zhuang Autonomous Region, in late July 2004, paid a two-week visit to Vietnam to meet with local officials and entrepreneurs. Their meetings with Vietnamese deputy prime minister Vu Khoan, minister of foreign affairs Nguyen Dy Nien, and deputy ministers of Trade, Industry, and Planning and Investment turned out important achievements. During the meetings, Vietnamese officials stated the China-ASEAN trade fair is a significant event which will foster the economic and trade ties between Vietnam and Guangxi, saying they would attend the important fair and encourage local enterprises to participate in.

For his part, Li said that to develop the medium- and long-term cooperation between Guangxi and Vietnam, the two sides should have a closer connection between overall planning with specific projects and ensure their effective implementation. For this reason, he put forth a five-point proposal, namely reinforcing cooperation on transport construction, exploitation of coal resources in Vietnam, mining of aluminum ores in the country, tapping Vietnamese tourism potential, and transport facilitation at border gates.

Source: Xinhua