400 million Euro debt which bought

One word summed up the relationship between China and the EU may be hard, but the EU Trade Commissioner Karel de Gucht has given an amazing answer: the results of China-EU bilateral trade cooperation is really very "delicious."

July 22, "China as a trading engine" as the theme of the EU - China Trade Day in Belgium - European Union Exhibition Hall. In an interview with Karel de Gucht, "International Finance News" interview, said: "This 'delicious relationship' not only in the geographical indication cooperation, but also in other areas."

Buy European bonds, the Chinese are very smart

"China is very important for the EU." Karel de Gucht said, is based on the relationship between each other's needs, most recently, the Chinese Administration of Foreign Exchange to buy hundreds of millions of euros of European government debt, which includes Spain and Greece bonds.

Appears in Karel de Gucht: "Although the European economy is still in a difficult period, it is still a good investment. I believe we can maintain and increase value-added effect." He further analysis that Europe has Start the 860 billion euros of the rescue plan, this huge relief funds from the EU, the euro area member states and the IMF shared.

This reporter learned that the purchase SAFE Spain and Greece, the scale of national debt at 4.2 billion euros. In response, Vice President of Fudan University economics, finance professor Jian Sun said: "rescue plan launched in the EU context, the European sovereign debt crisis will not spread further, this time to buy European bonds are a good choice."

In general, the national foreign exchange reserves is to maintain exchange rate stability and monetary liquidity. Jian Sun told the "International Finance News" reporter, after a large number of holders of U.S. Treasury bonds SAFE can be said that this is the best global investment flows of the assets. However, the U.S. national debt is a bubble, prices high, the low rate of investment income, especially in the secondary market.

"From the increased foreign exchange reserves, rate of return perspective, the SAFE should buy some Japanese government bonds." Jian Sun pointed out that the market is too high for Japan's fiscal deficit to assess, resulting in low prices of Japanese government bonds. "From the perspective of investment income, to buy Japanese government bonds is a good choice."

Of course, the purchase of European bonds, particularly the crisis to buy bonds issued in Spain and Greece have the same effect. Jian Sun analysis shows that: "The launch rescue plan, reducing the risk of European government bonds, reducing the possibility of default." In addition, Li-Jian Sun view, "time to buy debt in Europe is also a strategic consideration, can achieve diversification of investments, and EU to establish a good working relationship. "

Breaking barriers, the EU is very positive

While Europe is concern about the debt purchases, the trade barriers between China and the EU also "hot." In an interview with Karel de Gucht, "International Finance News" interview, said: "China-EU cooperation in trade protectionism is a key exchanges, in addition, there are topics such as intellectual property protection."

Data show that trade volume between China and the EU established diplomatic relations of the year from 2.4 billion to 420 billion U.S. dollars in 2008, an increase of 175-fold; in 2009, by the global financial crisis, EU trade volume fell to 364.1 billion U.S. dollars; in 2010 on six months, the EU trade volume more than 210 billion U.S. dollars, up 37%, recovered to pre-crisis levels.

"China-EU trade relations have always been the most stable relationships, rapid development of trade provides an opportunity for both sides, bringing his interest." Karel de Gucht said, now, the Europeans bought many goods from China, and China's many automobiles, the machines are in Europe; Europe needs China to provide labor-intensive products, China needs high-end products in Europe.

However, Karel de Gucht acknowledged EU trade relations have also been some very difficult issues, such as intellectual property protection. He told reporters that a number of European companies set up R & D centers in China, "but their environment for foreign investment in China began to express concern."

Karel de Gucht said, according to the Chinese government put forward a series of encouraging independent innovation policies, including the only locally registered companies can participate in government procurement, "which will affect the foreign R & D initiative, is not conducive to intellectual property protection . At present, enterprises in the EU's positive proposal, part of the Chinese government has started to adjust. "

Shanghai Expo theme "Better City Life", Karel de Gucht proposed the "trade for a better life" 3-point proposal that China and the EU to further increase investment opportunities in the local market; to ensure that government procurement more open and transparent; further strengthen the protection of intellectual property.

"In the challenging environment, China and the EU should become the backbone of partners and the world economy." Karel de Gucht, I believe, "In the future, we will gain more cooperation in the 'delicious' results."