Business leaders hail improved Sino-French relations

By Ding Qingfen (China Daily)
Updated: 2009-04-09 09:43

The recent improvement in Sino-French relations is good for business.

French business leaders in Beijing Wednesday said being on better terms is conducive to operations in China and will help them through the financial crisis.

"It is a new start. I am delighted to see the change," Jorge Mora, CEO of Veolia Environment Asia, said at the 15th China-France Economic Forum held Wednesday in Beijing.

"If we are not optimistic about China, we would not be optimistic about the world."

In the past 15 years, Veolia has invested in water treatment, transportation and energy in China and Chinese business has enjoyed an annual growth of 10 percent.

"I believe the growth rate will be sustained in the future," he predicted.

Sino-French relations soured when French President Nicolas Sarkozy met with the Dalai Lama in December.

However, things improved when the presidents of the two nations met at the G20 summit in London last week.

In a joint statement released after the April 1 meeting, France reiterated: "Tibet is an integral part of Chinese territory."

Analysts said it was a sign relations are back to normal.

"It's good news for us," said Jean-Pascal Tricoire, president and CEO of Schneider Electric, an electrical equipment company.

"The United States is our largest market worldwide, followed by China. But in three to seven years, China will surpass the US," he said.

Schneider has set up two international research and development centers in the country during its 20 years of operations in China.

At Wednesday's forum, former French prime minister Jean-Pierre Raffarin said: "France should be always listening to Chinese voices. The two sides are heralding a new round of bilateral relations."

Chinese officials assured French executives that the country could maintain relatively fast growth.

Beijing is confident of achieving an 8 percent growth in GDP this year, said Chen Zhili, vice-chairperson of the Standing Committee of the National People's Congress.

France is China's fourth largest trading partner, and China is France's seventh. China-France trade has maintained growth amid the financial crisis, although there was some slowdown. France said its trade with China in 2008 surged by 4.7 percent from a year earlier to 39.86 billion euros.

"France has advanced technology and skills in energy, aerospace and environmental protection. These are what China needs most," said Wu Jianmin, former Chinese ambassador to France.