Wen Jiabao: EU Not To Take Part In Oppression Of RMB Appreciation

On the issue of exchange rate, Wen Jiabao expressed the hope that the European side would maintain an objective and fair position on the RMB exchange rate and play an active role in the thirteenth EU China leaders' meeting, which was co chaired by the chairman of the European Council, Fan Longpei and the chairman of the European Commission Barroso.

At the Sixth China EU business summit on the same day, he urged the EU not to press the renminbi to appreciate. "If China's economic and social problems arise, it will bring disaster to the world."

Wen Jiabao also suggested that the China EU leaders' meeting should promote two major problems, namely, recognizing the status of China's market economy and lifting the ban on arms sales to China, so as to remove obstacles to further development of Sino EU relations.

After the meeting, China and Europe published a joint press communique, which commentated on the European Union's previous human rights problems.

Calmness, wisdom and courage

"Two years ago, when the financial crisis broke out, my speech at the China Europe Business Summit emphasized confidence. Today I want to emphasize calm, wisdom and courage."

Speaking at the Sixth China EU business summit, Wen Jiabao said.

Turning to the European Union's interest in the issue of RMB exchange rate, Wen Jiabao said for the three time "do not press".

Wen Jiabao pointed out that if the RMB exchange rate is unstable, enterprises will be unstable, employment will be unstable and society will be unstable. If China's economic and social problems arise, it will bring disaster to the world.

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"Many of China's export enterprises have a profit margin of only 2% to 3%, with a maximum of 5%.

If the RMB exchange rate is appreciated by 20% to 40% according to the requirements of some people, China's export enterprises will fail a lot, workers will lose their jobs, migrant workers will return home, and the society will be hard to stabilize.

China's economic crisis is not a good thing for the world.

He said.

When attending the thirteenth China EU leaders' meeting on that day, Wen Jiabao appealed to all responsible countries in the world not to fight trade wars and currency wars.

It is hoped that the European side will maintain an objective and fair position on the RMB exchange rate and play an active role.

"China has not stood idly by."

For the issue of investment environment that European enterprises are concerned about, Wen Jiabao said in a speech at the China EU business summit, "I want to tell you that China will unswervingly push ahead with reform and opening up. There will be no change.

Only with reform and opening up can China develop.

The basic policies of reform and opening up will not change.

The only change is that the management of foreign investment is more standardized and orderly now.

Wen Jiabao said that entrepreneurs' concern for the investment environment is nothing more than three aspects: first, intellectual property rights; two, independent innovation; three, government procurement.

"I can tell you responsibly that all enterprises registered in China are entitled to national treatment. The products manufactured by foreign-funded enterprises in China are made in China. We should not only protect your intellectual property rights, but also protect all your legitimate rights and interests."

Wen Jiabao also reminded the European side that the EU is China's strategic partner. When some countries in the euro area had difficulties, China did not stand idly by, firmly held and purchased Euro bonds, and helped Iceland, Greece, Spain, Portugal and Italy in the most difficult times.

"In the future, we will continue to support and help some countries tide over difficulties.

The entrepreneurs here clearly know that China is a good friend.