Chinese Ambassador to Bangladesh Li Jiming shares his perspectives on the intensity and clients of bilateral cooperation between Bangladesh and China in an exclusive interview with Porimol Palma of The Daily Star, on the occasion of the 73rd anniversary of China’s founding today.
What are the achievements of the recent visit to Bangladesh of Chinese State Councilor and Foreign Minister Wang Yi?
China and Bangladesh are friendly neighbors and strategic cooperation partners. During the visit, China and Bangladesh renewed their commitment to their classical friendship, reiterated the one-China principle, agreed to deepen strategic integration and strengthened practical cooperation, jointly committing to maintaining stability in the region and beyond in a challenging foreign environment.
Bangladesh is experiencing economic hardship as a result of the Covid-19 pandemic and the war between Russia and Ukraine. How can China Bangladesh mitigate this immediate challenge?
To address existing challenges, I Bangladesh can do the following with China: first, enroll in the Global Development Initiative (GDI) proposed through China; second, make full use of and obtain duty-free benefits for 98 per cent of Bangladeshi products exported to China; third, to advance the studies on the Bangladesh-China FTA and strengthen the signature for the advancement of the economy between Bangladesh and China; fourthly, to promote the memorandum of understanding on the special assistance plan for crisis prevention and mitigation; and fifth, to announce paintings similar to the taka-renminbi currency exchange and strengthen Bangladesh’s foreign currency payment capacity.
China has two new initiatives: the Global Development Initiative (GDI) and the Global Security Initiative (GSI). What implications do they have for Bangladesh?
President Xi Jinping presented such projects in reaction to the pressing wishes of emerging countries, as well as global progress and world peace, in accordance with the guideline of policy coordination and practical cooperation, to help emerging countries maintain national stability, promote the economy. the recovery and advancement of the 2030 Agenda. I whereas these spaces are also at the centre of Bangladesh’s concerns; those responses will really help Bangladesh resolve existing demanding situations and difficulties of progress if they can be implemented well. China is in a position to work with Bangladesh to advance the implementation of GDI and ISM, strengthen coordination in foreign and regional affairs, safeguard the non-unusual interests of our two countries and other emerging countries, jointly announce regional progress and prosperity, and build a network of paintings with a shared future.
China is willing to align the Belt and Road Initiative (BRI) with Bangladesh’s Vision 2041. How will this be done?
Bangladesh’s Vision 2041 provides a roadmap for driving expansion and sets out comprehensive approaches to eliminate poverty, inequality and human deprivation. By implementing the plan, Bangladesh is expected to make immediate adjustments in agriculture, industry and industry, education, health, shipping and communications, etc.
The BRI is the right path to achieve tangible and intangible effects applicable for an innovative, harmonized, green, open, quality and shared progression, which protects and maintains peace and promotes the well-being of people in the post-Covid-19 era. The BRI is proposed through China, but is not the exclusive property of China. Since its inception, the BRI has aimed to integrate all stakeholders into progression strategies. Bangladesh was one of the first countries to respond to the BRI and has one of the countries with maximum cooperation and fruitful effects under the BRI.
As strategic cooperation partners, it is natural for Bangladesh and China to coordinate in terms of progression strategies. We have established the Joint Economic and Trade Committee as the institutional arrangement for Bangladesh-China economic and industrial cooperation. According to data from China, the bilateral industry between countries, particularly in 2021, exceeded $25 billion. Revenues from China’s contract projects in Bangladesh remained at the forefront of South Asian countries, with China’s investment in Bangladesh increasing more than 290% year-on-year.
To further strengthen the integration of the progression strategy, the two sides can work in combination in various areas. First, we want to further strengthen political mutual trust, consolidate the basis for win-win results, improve threat control and control, and ensure the environment for cooperation in the face of a changing foreign situation. Second, we will need to further strengthen intergovernmental cooperation and promote the implementation of primary projects. Thirdly, we deserve to make full use of high-quality projects and expand the volume of cooperation. , such as the Bangabandhu Bangladesh-China Friendship Exhibition Center, zero-tariff processing for 98% of Bangladeshi products exported to China, and large-scale foreign exhibitions such as China International Import Expo and Canton Fair. Fourth, we want to explore new opportunities and tame new growth problems. Specifically, we can announce PPP cooperation, advance studies on bilateral FTAs, jointly respond to the pandemic and climate change, repair rivers, expand green and low-carbon energy, and co-paint on a virtual economy.
Bangladesh’s exports to China are less than $1 billion annually, bilateral industry is $25 billion. Why is the industry hole so big?
About a third of Bangladesh’s imports from China are textile fabrics, cotton yarn, artificial filaments and cut fibres, all of which are unfired fabrics vital to Bangladesh’s GMI industry. Apart from uncooked fabrics, 27% of Bangladesh’s imports from China consist of machinery. and mechanical appliances, machinery and electrical appliances, and sound parts, recorders and players, which are vital devices for Bangladesh’s production industries and infrastructure projects.
In other words, although there is an industry deficit, imported uncooked fabrics and mechanical appliances (accounting for the maximum quantity) are all of great need and help Bangladesh’s exports, production and development of GMI. Therefore, we want a smart attitude to see this transitional industry imbalance, and we are working very hard to increase Bangladesh’s exports to China, to reduce the industry deficit and maintain the industry balances. The duty-free remedy of 98% of tariff lines is granted through the Chinese government, exactly to build increase Bangladesh’s exports to China.
Since 1 September, China has granted duty-free treatment to 98% of Bangladesh’s products, which has accumulated to 1%. Can this lead to a significant increase in exports to China??
Several types of key leather products have been added, which is news for Bangladeshi exporters in the leather industry, an industry with enormous potential. as the “Bangladesh Leather and Leather Products Promotion Webinar” is underway and is helping Chinese leather production enterprises to identify industrial relationships with leather exporters in Bangladesh.
Dhaka and Beijing have signed an agreement for 27 projects worth an estimated $20 billion. To date, 8 projects have been carried out and $3. 8 billion has been disbursed. Why is this and how can it be accelerated?
Well, that’s not accurate enough. Bangladesh and China have actively cooperated and worked together to announce the progress of MoU projects. As far as I know, most of the primary projects are progressing smoothly, more than 8 have been completed and many of the rest are expected to be completed by the end of 2024.
Here, we will have to explain that the Memorandum of Understanding on Strengthening Cooperation in Investment and Productive Capacity, signed on the scale of the Chinese Xi Jinping Preaspectnt in Bangladesh in 2016, is not a delivery of a basket of Government Concessional Loans (GCL) or Preferred Buyer. Credit (PBC). The 27 projects attached to the MOU are just a list of projects to consider for promotion through either party, not a list of GCL or PBC projects. It deserves to be emphasized that only the projects that have been evaluated and approved through either aspect and for which loan agreements have been signed are the GCL and PBC projects, for which the Chinese aspect would be dedicated to providing GCL or PBC credit support.
Chinese Foreign Minister Wang Yi submitted to sign a memorandum on the Public-Private Partnership (PPP) Cooperation Framework. How can the signaling of this MoU help?Is the PPP style more efficient?
This will help governments to better play the regulatory role, choose higher quality enterprises to participate in Bangladesh-China economic cooperation, frequently improve the quality and potency of cooperation, and avoid further risks. At the same time, it will help Chinese enterprises participate more and more widely in the structure of Bangladesh in the fields of energy, urban development, ports, rail transport, roads and bridges, airports, etc. We believe that the signing of a G2G Memorandum of Understanding on PPPs is an ideal way to strengthen bilateral cooperation and will serve the interests of both parties.
High allocation prices and the feasibility of advertising are a concern. There is a lot of communication about this in the case of the port of Hambantota in Sri Lanka. Do you have a new policy in mind related to the profitability of Chinese allocations and financing?
All Chinese allocations have been assessed and approved by the Government of Bangladesh and the Chinese Government prior to implementation. The economic viability and cost-effectiveness of the allocations have been fully demonstrated through professional establishments on both sides and identified through either government. Bangladesh and China will continue cooperation and combined paints in this area. If someone can call an allowance funded by single Chinese that is commercially or financially unviable, let me know.
How would you like to cooperate in moving towards the environment and replacing the combat climate when Bangladesh is at the forefront of challenges?
Climate replacement and green progression is one of the 8 spaces of GDI. Within this framework, China will carry out broader cooperation with Bangladesh on renewable resources and blank energy. We will inspire and advise Chinese corporations to adopt more complex technologies and appliances to invest in greener energy. projects in Bangladesh.
A common belief is that China is doing enough to resolve the Rohingya crisis, given that it has strong influence in Myanmar. How do you respond to criticism?
China has played a facilitating role between the two countries and has consistently maintained that the factor deserves to be dealt with peacefully through bilateral negotiations and consultations. creating an enabling environment for the commencement of repatriation. Due to the political renewal in Myanmar early last year, negotiations on the Rohingya factor were suspended between Bangladesh and Myanmar. However, the goal of the factor propelled the two neighbors down the path of discussion, which led to a new commitment at various levels, adding the 5th assembly of the joint implementation organization held in June this year. We call on all like-minded countries to do the same. The foreign network will have to play a constructive role in the process of locating a lasting solution to the Rohingya factor.