Japan should play a "constructive" role at the upcoming G20 summit in the Chinese city of Hangzhou because cooperation is in the interests of all parties, China's top diplomat told a visiting Japanese envoy.
The Chinese move will make the Hangzhou summit the most representative of developing countries in G20 history.
The theme of this year's G20 summit is "Toward an Innovative, Invigorated, Interconnected and Inclusive World Economy", with "inclusive and interconnected development" being expected to be high on the agenda. Encouraged by Western countries to embrace global governance, China has become much more proactive in pushing global cooperation since the G20 was founded. He too called for cooperation to ensure the success of the G20 summit.
The 13th Five-Year Plan set out China's intention to "actively participate in global economic governance and [to contribute to the provision of] global public goods, increasing [the power of dialogue] in global economic governance". China has an important responsibility to make Group of Twenty not just a platform for discussions, but a meeting where many issues can be solved. In addition, countries will try to reach an agreement on the facilitation of the transfer technologies - a new stage of greater freedom of trade. The agreement is estimated to increase the global trade volume by 1 trillion U.S. dollars each year, and create 21 million new jobs worldwide, including 8 million in developing countries. Global trade growth will remain subdued this year at 2.8 percent, according to the World Trade Organization, and this will be the fifth consecutive year with growth below 3 percent.
Protectionism, as it often does at times of sluggish economic growth, is on the rise. In developing countries, imports are declining and manufacturing sectors are shrinking.
At the end of the 20th century, China was an observer of global governance, on the sidelines of the G7 and not yet a member of the World Trade Organisation (WTO).
The world economy is still undergoing profound adjustment after the global financial crisis and the current model of economic development seems unable to solve some problems associated with economic restructuring and sustainable development.
At the G20 Trade Ministers Meeting held in China's financial hub Shanghai in early July, the G20 members endorsed the G20 strategy for global trade growth, by pledging to lead by example to lower trade costs, harness trade and investment policy coherence, boost trade in services and enhance trade finance. It also refers to concepts like business models, the new ways to stimulate growth in the world economy. World leaders will look into re-vitalize and re-energize markets around the globe at a time of transformation and challenges.
The summit will show what kind of approaches and solutions to these problems exist and whether or not countries are ready to work together and follow some political and economic settings. If a serious declaration that encourages countries to take different measures for economic and financial recovery of the economy is developed at the summit under the Chinese presidency, it will be considered that China has fulfilled its task.