2. PROF. ZHU XIAOZHONG Relations between Sino- CEEC since 1990s

3. Two periods of relations between China and CEEC 1949-1989 Socialist time 1990- post- socialist time

4. Socialist era Learning socialist construction experience from the Soviet Union and Eastern Europe Two-way sending students 1949- 1960 Suffered from ideological competition between China and the Soviet Union There were no inter-party relationship 1960- 1980 Learning how to carry out reform from Eastern Europe(Hungary, Yugoslavia) Restoring trade, cultural and high-level visits 1980- 1989

5. Post-Socialist era 1990-1995 : China’s observation and re- adjusting bilateral relations 1995-2003 : bilateral relations guided by the Budapest principles 2004-2011 : China put forward the Bucharest principles 2012- China's Twelve Measures for Promoting Friendly Cooperation with CEEC

6. Some new factors influencing bilateral relations ( since 1990) the Soviet Union disappeared The Tibet question Domestic politics of CEEC China’s re-adjusting

7. Re-adjusting Chinese approach towards CEEC 1990-1994 Different system and values couldn’t be the obstacles in the relations between China-CEEC Chinese opinion China respects CEEC people’s choice and develop bilateral relations on the bases of the Five Principles of Peaceful Coexistence Chinese opinion

8. Milestones in bilateral relations between China and CEEC July 1995 ： The Budapest principles by Jiang Zemin June 2004 ： The Bucharest principles by Hu Jingtao April 2012: 12 Measures for Friendly Cooperation with CEEC by Wen Jiabao Sept 2012 : the Secretariat for Cooperation between China and CEEC

9. The Budapest principles Respect the CEEC people’s choice 1 Develop the bilateral relations based on the five principles of peaceful coexistence 2 There are no fundamental interest conflicts in bilateral relations 3 4 China supports peaceful resolution of regional disputes and enhancing regional cooperation

10. The Bucharest principles 1 To expand common grounds and mutual understanding the other’s interest concern 2 To increase scale of two-way investments 3 To broaden cooperation in the fields such as education, tourism, health and media 4 To strengthen the cooperation in fields of anti-terror, nuclear proliferation, fight against cross-border crime, play the role of the UN

11. Friendly co-op relations —Hungary Comprehensive friendly co-op--Romania Strategic partnership—Serbia Strategic partnership--Poland Levels of bilateral relations

12. Numbers relating to bilateral relations 37 sister provinces 58 sister cities Two sides 58 Confucius Institutes in CEEC （ 23 ） China Traveling to China 230 thou. Chinese tourists in CEEC 73 thou. Two sides

13. Numbers ： Chinese in CEEC

14. Economic relations between Sino-CEEC

15. Bilateral trade between China and CEEC 4.3 bil.$ 2001 520 bil.$ 2012 Ave.grow 27.6%/yy 2001-2011

16. Total Volume of Trade 520 Bil$ China’s Surplus 30.0 Bil.$ China’s import 103 Bil.$ Smallest partenr B&H Biggest partner Poland China’s Export 417 Bil.$ Trade between China and CEEC (2012)

17. Chinese Investment in CEEC

18. Trend of China’s investment in CEEC

19. China’s investment in Europe （2011）

20. China’s investment in CEEC (852 Mil.$ to 2010)

21. China’s investment in Central Europe （ 816.6 Mil.$ ）

22. China’s investment in Southeast Europe （ 23.9Mil.$ ）

23. China’s investment allocation in CEEC

24. Measures aimed at approving economy and trade relations

25. China’s measures ministry of commerce issued list of investment for processing trade for household appliance Guide for investment Jan.2010 the Central Europe Economic Forum in Hungary Economic Forum 25 June 2011 the Central Europe Economic Forum in Warsaw Economic Forum 27 April 2012

26. China’s mesures Economic Forum Budapest June 2011 Warsaw April 2012 Bucharest Nov.2013

27. Chiina’s Twelve measure in 2012 Secretariat Student exchange Trade Credit line Forums Research fund

28. 1/ Secretariat & research fund A secretariat for co-op between China and CEEC. It based in China's MFA, and charged with communication and coordination on matters related to cooperation. CEEC will, in the principle of voluntarism, each designate a counterpart department and a coordinator to take part in the work of the secretariat Research fund on relations between China and CEEC. China is ready to provide RMB2 million yuan every year to support academic exchanges between research institutes and scholars of the two sides.

29. 2/ Finance initiatives from China A US$10 billion special credit line, a certain proportion of which will be concessional loans, with a focus on cooperation projects in fields of infrastructure, high and new technologies, and green economy. CEEC may file project application to six Chinese Banks investment cooperation fund US$500 mil. in the first stage

30. 3/ Industrial Parks & promoting trade China encourages Chinese enterprises to cooperate with relevant countries to establish one economic and technological zone in each country in the next five years China sends trade and investment promotion missions to CEEC and take measures to move forward bilateral economic cooperation and trade. China hopes to increase total two-way trade to 100 bil.US$ by 2015

31. 4/ Establish an expert advisory committee & Tourism promotion alliance Establish an expert advisory committee on the construction of transportation network between China and CEEC, to explore the building of regional highway or railway demonstration networks through joint venture, joint contracting Establish a tourism promotion alliance between China and CEEC, and explore the possibility of opening more direct flights between China and CEEC

32. 5/ Forums in China in 2013 Cultural Cooperation Young Politician Educational policy

33. 6/ In coming 5 years China will… Send 1000 Chinese to CEEC Invite 1000p to China to study Chinese Provide 5000 Scholarships to CEEC students

34. Six-point proposal by Li Keqiang in 2013 First, China and CEE countries should intensify economic and trade cooperation, doubling China-CEE trade volume in five years and discussing a framework agreement for industrial investment in the near future.

35. Six-point proposal by Li Keqiang in 2013 Second, China and CEE countries should promote cooperation on transportation infrastructure to open up interconnected land and sea channels between China and Europe. China and CEE nations will also build a transport "artery" for China-Europe logistics by setting up bonded areas and distribution centers along railways and ports.

36. Six-point proposal by Li Keqiang in 2013 Third, China and CEE nations should enhance "green cooperation." China backs its enterprises to participate in the CEE nuclear electricity projects and hopes that the host countries would improve investment environment.

37. Six-point proposal by Li Keqiang in 2013 Fourth, China and CEE countries should expand financing channels. They need to make good use of the 10-billion-U.S.- dollar special credit line and enhance financial cooperation by setting up branches of financial institutions branches in each other's markets, signing currency swap and settlement agreements.

38. Six-point proposal by Li Keqiang in 2013 Fifth, China and CEE countries should further tap into potentials of cooperation at local levels to efficiently and effectively promote their cooperation.

39. Six-point proposal by Li Keqiang in 2013 Sixth, China and CEE countries should enhance cultural exchanges by holding regular forums on culture and education, strengthening communication between young politicians, think-tanks and media as well as facilitating procedures for travel and work visa.

40. CEEC’s measures “CEEC investment day”was held by CEE during ChinaExpo, advertise enviroment for investor ， CEEC’s main industries 26 July 2010 Forum on China’s investment was held by Czech ministry of industry and trade, Czech ministry of Foreign Affairs and Slovak ministry of economy in Czech Republic. About 150 persons, including businessman and experts, who came from Czech Republic, Slovakia, the EU and China 8-11 Nov.2010 the Polish Ministry of Economy launched a strategy called “Go China”. It’s aim at encouraging Polish entrepreneurs to cooperate with Chinese business partners. 12 March 2012

41. Discussion

42. Characteristics of Sino-CEEC (1) The base of bilateral Relations between Sino-CEEC changed from Ideology-driven to Interest-driven China’s understanding of CEEC is deepening: from the Budapest principles to the Bucharest ones Weakening of “traditional friendly relations” between China and CEEC

43. Asemmentry Strategic needs Structure of Bilateral relations Economic relations Characteristics of Sino-CEEC (2)

44. The Challenges facing China in bilateral relations Dualism of bilateral relations (bilateral and multiple) How to develop bilateral relations in context of divergence in value, asymmetry in economic relations

45. The Challenges facing CEEC in bilateral relations How to understand and deal with arising China How to develop bilateral relations in context of divergence in value and asymmetry in economic relations

46. 1.Why China invest in CEEC Going out Latin America Asia CEEC Africa

47. 1.Why China invests in CEEC to improve the size and quality of China- Europe cooperation To benefit the development of China-Europe relations in a more comprehensive and balanced manner To help Europe to overcome the current difficulties to play a constructive role in China-EU relations Improving China-EU relations

48. 1.Why China invest in CEEC One country alone can block a decision that give CEEC increase leverage China seeks to capitalize on EU’s STRUCTURE Of DECISION

49. 1.Why China invests in CEEC American pivot in Asia China has to look for new alliance to prevent itself from an isolated in Asia

50. 2.What comments from…… The EUCEECChina