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China expects France to play an active role in pushing the European Union (EU) to stick to the principles of free trade, said Chinese Commerce Minister Bo Xilai in Beijing on Wednesday.

 

Bilateral trade between China and EU benefits both countries. The EU importers, exporters and consumers have benefited from two-way trade, said Bo at the 17th meeting of the Sino-France Economic and Trade Mixed Commission that opened in Beijing on Wednesday.

 

The French Minister Delegate for Foreign Trade Christine Lagarde and Bo presided over the meeting.

 

Bo expressed his regret over the recent anti-dumping charges lodged by the EU. Both France and Italy for months lobbied in favor of recently imposed tariffs on China-made leather shoes.

 

The competitiveness of China's textile industry and shoe products come from China's labor and technological advantage, said Bo, noting that the EU is more competitive in high-end products. "Trade protectionism will damage the interests of both sides," he said.

 

Lagarde said French-China economic and trade relations are very important to France. France expects to settle trade disputes and promote the steady development of economic and trade relations between France and China, she said.

 

In the first three quarters of this year, Sino-French trade increased by 18 percent year-on-year, statistics from the Chinese Commerce Ministry showed. By the end of September, France has invested US$7.68 billion in China.

 

Bo said the two sides have great potential to enhance cooperation in the energy, aviation, transportation, agriculture and service sectors.

 

He welcomed French companies to invest in China's west, central and northeast regions and to share in China's economic growth.

 

Lagarde said France will continue to encourage French companies to invest in China and promote cooperation between small and medium-sized enterprises in the two countries.

 

Regarding the Doha Round trade liberalization talks, Bo said China expects the developed countries to make substantial concessions so negotiation can resume as soon as possible.

 

Lagarde expressed her regret over the stagnated trade talks and said France expects to work with all sides concerned to push for a positive outcome to negotiations.

 

During the meeting, Chinese and French officials also exchanged views on trade, intellectual property right protection and other topics.

 

Lagarde is in Beijing accompanying French President Jacques Chirac, who arrived on Wednesday for a four-day state visit to China.

 

(Xinhua News Agency October 26, 2006)