Opening to the omnidirectional outside

The Chinese Government decided, in 1978, to realize the reform of the economic system; at the same time, he began step by step to put in practice the policy of opening to the outside of planned way and. As of 1980, five special economic zones settled down. Three are in the province of Guangdong: Shenzhen, Zhuhai and Shantou; one in the province of Fujian: Xiamen (Amoy). The villa is the province of Hainan. In 1984, 14 coastal cities were abrieron to the outside: Dalian, Qinhuangdao, Tianjin, Yantai, Qingdao, Lianyungang, Nantong, Shanghai, Ningbo, Wenzhou, Fuzhou, Guangzhou, Zhanjiang and Beihai. After 1985, the deltas of the Changjiang and the Zhujiang, the triangular region of the south of Fujian, the peninsulas of Shandong and Liaodong, the province of Hebei and the independent region of the ethnic group were abrieron successively zhuang of Guangxi. These abiertas economic zones form the open economic strip of the coast. In 1990, the Chinese Government decided to operate and abrir the new zone of Pudong, in Shanghai, and a group from cities to borders of the Changjiang river, forming a strip of opening in the river basin of this river with the new zone of Pudong like “dragoon head”. In 1992, he decided abrir to a group of cities of the borders and all the capitals of provinces and independent regions of the interior, and in some big cities and medians he established 15 free zones of customs rights, 32 zones of economic and technological industrial development and 53 zones of industrial development of discharges and new technologies. In this way a context of opening to the omnidirectional outside and multiple layers was formed, that Integra the coast, the border borders of the Changjiang river, zones and the rear areas. As different preferential policies are executed, these zones abiertas to the outside play the role of “display cabinet” and diffuser in the following aspects: to develop the economy oriented towards the outside, to gain currencies by means of the exports and to introduce technologies outposts.

In the five special economic zones to policies and special administrations are applied. Taking like main the product processing and the exports, science, the industry and the commerce are combined. Special the economic zones are accumulated experiences so that the country abra the international market as far as the foreign investment and to the development of the commerce with the outside. In the last years, these zones are at the top in China and play an exemplary role in the structural creation, the elevation of industrial branches and the extension of the opening. 1999 the companies of discharges and new technologies of Shenzhen became most promising of the city. The production of this sector reached a value of 81,980 million of yuanes, number that represents the 40.5 percent of the total value of the industrial production of the municipality. This success has placed to this sector between the first positions of the country.

The opening to the outside enormously impels the development of the foreign trade of China. In 1999, the global amount of import and exports reached 360,650 million dollars, 318 times the one of 1950, that was of 1,130 million dollars, and 16.5 times the one of 1978. The foreign trade of China happened of the thirty second place in 1978 to ninth of the world in 1999.

In these last 21 years, the commerce with the outside of China has registered enormous changes. First, the composition of merchandize of import and exports improve incessantly. Between the exported merchandize, the proportion of primary like foods, agricultural products and secondary products and crude petroleum descended from the 53.5 percent in 1978 to the 10.2 percent in 1999; the one of finished industrial products it raised of the 46.5 percent in 1978 the 89.8 percent in 1999. Mainly, they quickly increased the exports of mechanical and electrical products, of 1,410 million dollars in 1980 to 77,000 million dollars in 1999. Secondly, the companies with foreign investments became o'clock of increase of the commerce with the outside of China. In 1981, the volume of exports of the companies with foreign investments occupied the 0.1 percent of global of exports of China and the one of imports, the 0.5 percent. In 1999, the one of exports of the companies with foreign investments represented the 45.5 percent and the one of imports 51.8 percent. Third party, China is pluralizando its international markets. In 1980, the number of countries and regions that had relations of commerce with China were around 180, and in 1999 it arrived at 228. Thanks to the rise of the Asian economy, in 1999 the exports from China to the countries of Asia underwent a recovery and their exports to North America, Europe, Africa and the Australian Continent also increased of constant way. Quarter, the agile and multiple forms of the commerce extended the interchanges with the outside. Now, the commerce of elaboration and the one of smaller volume in the border zones increase in great margins and it has formed a situation of simultaneous development of the commerce generally, the one of elaboration and assembly with matters provided by the clients, the one of elaboration with concerned matters and the one of smaller volume of the border zones.

Growth of the foreign trade
(million dollars)

While the economic zones are abren special, China has carried out a series of reforms of the structure of foreign trade, for example, extending the local faculties to evaluate and to ratify the exports, fomenting the autonomy of the management and export of the companies of the foreign trade, etc. the old structure has changed basically in which the foreign trade was managed of monopolistic way by the State and was highly concentrate, did not separate the governmental functions of the enterprise ones and the gains and losses were in charge unificadamente of. The State step by step reduced the administration of the plans of directive character in the foreign trade and of the respective companies. One settles down little by little the management system in which the foreign trade with the economic methods like the customs taxes is regulated, the rates of currencies, the credits, etc.

The forms of use of the external bottoms are: the loans, the direct investments of the outside and other investments of the outside (international rent, compensatory commerce, and elaboration and assembly). At the moment, the retailers of more than 170 countries and regions of the world have invested their bottoms in China. As of 1980, year in which the first mixed company of but-foreign investment was created, China pushes the use of external bottoms taking it like an important aspect from the fundamental state policy of the opening the outside. At the outset the companies of foreign investment were dedicated to the elaboration industry, soon the basic industries and those of export were developed towards. They extended his spheres of investment towards the field of the commerce, the finances, the information, the consultancy and real estate. Although the companies of foreign investment are concentrated mainly in the cities of the coast, have been developed step by step towards the inner cities of China. In the last years, like improvement little by little the atmosphere of investment of China, the great international partnerships and transnational companies consider that China is a great market and come to this country to invest their bottoms. Of the first 500 greater transnational companies of the world, 300 have invested in China. The foreign investments constitute an important source of bottoms for the economic construction of China. In 1999, the volume of the direct investments of the outside reached 40,300 million dollars. There were in that year 16,918 projects of direct foreign investment. Between 1979 and 1999, the amount of direct investment was of 305,900 million dollars. Until year 1999, China altogether ratified 342,000 projects with participation of external bottoms. The majority of the 100,000 companies of external bottoms in functions has managed well obtaining considerable yields.

Increase of the used foreign bottoms
(million dollars)

In the decade of the 50, China began to provide economic and technical aid to other developing countries. As of 1978, year in which began to realize the reform and the opening, one sped up of the aid. The projects of economic and technological aid are related to agriculture, forestry, the hydraulic use, the industries light and textile, the foods, the electrical energy, the industries mechanical, metallurgical and chemical, the transports and communications, the public culture, education, health and works. There is median and projects great spread, and other small ones, that implies little investment, are fast and with high yield. Until year 1999, China had given aid to the outside in than 1,500 projects, scattered more in more than 130 countries and regions.

The work hiring in the outside and the cooperation of labor services with other countries constitutes a new cause. At the moment, China has work contracts and cooperation of labor services in 187 countries and regions of the world. In 1999, China signed work contracts and services by a volume of 13,000 million dollars. Of them, 11,200 million really were fulfilled. It sent to more than 380,000 people/times to the foreign countries like labor maintenance staff.