China-Kazakhstan relations grow stronger

On January 3, 1992, the Republic of Kazakhstan established diplomatic relations with the People's Republic of China.

In addition to its embassy in Beijing (established in December 1992), the Republic of Kazakhstan also set up a consulate general in the Hong Kong Special Administrative Region in August 2003 and in Shanghai in May 2005.

Developing good neighborly relations with China is a top priority in Kazakhstan's foreign policy.

Major achievements

In 15 years of diplomatic relations, China and Kazakhstan have reached major political agreements. They comprise China's security guarantee to Kazakhstan (statement of the government of the People's Republic of China on February 8, 1995); final settlement of the border issue (joint communique on November 23, 1999, Kazakhstan-China protocol on demarcation of the line of state border on May 10, 2002, and agreement between the Republic of Kazakhstan and the People's Republic of China on the state border on December 20, 2006); and the agreement on cooperation on cross-border river use and protection on September 12, 2001.

When President Hu Jintao visited Kazakhstan in June 2003, the two countries approved the Kazakhstan-China Cooperation Program (2003-2008), which confirms major orientations of future mutual cooperation. In May 2004, the governments of the two countries signed an agreement on establishing the Kazakhstan-China Cooperation Committee, which has become the main mechanism to continuously promote bilateral relations in a systematic way.

In July 2005 in Astana City, the presidents of the two countries signed a joint declaration on establishing and developing a relationship of strategic partnership, marking a new stage in mutual relations between the two nations.

Kazakh President Nursultan Nazarbayev and President Hu signed an agreement on the strategy for cooperation in the 21st century and the development of economic cooperation in December 2006, when the Kazakh leader paid a state visit to China.

From August 17 to 18 this year, President Hu Jintao paid a state visit to the Republic of Kazakhstan, during which he had meetings with President Nazarbayev, Head of Senate Kassym-Jomart Tokayev, and Kazakh Prime Minister Karim Massimov.

The two presidents exchanged views on strategic cooperative partnership. They also signed a joint communiqu to sum up the summit talks.

Meanwhile, foreign ministers of the two countries exchanged notes on opening a Consulate General of the People's Republic of China in Almaty.

During President Hu's visit, the two parties also signed the program of cooperation in the non-raw material economic sectors. The program involves development of cooperation to rationally diversify the balance of trade. The two sides signed nine agreements in all.

Today, both Kazakhstan and China continue to display thriving vitality in their relations, on the basis of mutual cooperation, which includes political dialogue. Summits and high-level meetings at regular intervals have also played an important role in taking the bilateral relationship further.

Since 2003, the Kazakh and Chinese presidents have met 12 times under bilateral or multilateral frameworks. They met four times in 2006 alone, the occasions for the meetings including the Shanghai Cooperation Organization (SCO) anniversary summit in Shanghai (June 13-16), the Conference on Interaction and Confidence-Building Measures in Asia (CICA) Summit (June 17, Almaty) and G8 Summit in St Petersburg (July 17), as well as the Kazakh President's visit to China from December 19 to 22. They are clear proof of the strategic nature of bilateral relations between the two nations.

During the visits, the two parties signed 14 documents covering the spheres of border issues, the economy, energy, cross-border rivers and education.

In 2006, Kazakh foreign minister K-J. Tokayev, then Deputy Prime Minister K. Massimov and Kazakh cabinet ministers in charge of bilateral cooperation paid visits to China. Chinese officials visiting Kazakhstan during the year included delegates of the National People's Congress of China, and the Shanxi Provincial, Xinjiang and Beijing party secretaries. In January 2006, Vice-President Zeng Qinghong attended the inauguration ceremony of the President of the Republic of Kazakhstan, an unprecedented gesture.

From March 17 to 18 this year, Kazakh Prime Minister K. Massimov visited the border-crossings at Dostyk-Alashankou and Korgas-Khorgos to acquaint himself with border customs and frontier inspection performance, and infrastructure for goods delivery.

Wide range of cooperation

Kazakhstan and China continue to cooperate vigorously in the world arena, which includes such international and regional frameworks as the UN and SCO. China supports the convention of the CICA. It cooperates with Kazakhstan in sponsoring the congresses of the Leaders of World and Traditional Religions, with a view to facilitate harmony and dialogue among all religious sects.

The two countries are developing bilateral relations based on the framework provided by the China-Kazakhstan Cooperation Committee. Comprising 10 special sub-committees, the committee also supervises the performance of the Cross-Border Rivers Joint Committee. At the third meeting of the China-Kazakhstan Cooperation Committee (November 17, 2006, Beijing), Kazakh Deputy Prime Minister K. Massimov and Vice-Premier Wu Yi summarized the past performance of the committee and lay down cooperation guidelines for the next year.

The two nations continue to set standards for development and cooperation under the Cross-Border Rivers Joint Committee. In December 2006, the Kazakh President signed a significant agreement with his Chinese counterpart on the exchange of hydrological and hydrochemical data and the launch of scientific activity on cross-border rivers, during his state visit to China.

Bilateral cooperation also exists in the security and military fields. In August last year, the National Security Committee of Kazakhstan and the Public Security Ministry of China carried out an anti-terrorist exercise in the border areas. Law enforcement agencies of the two countries continue to work together to crack down on traffic in drugs, weapons and explosives, as well as on organized transnational crimes. Each year, Kazakhstan sends servicemen for programs in Chinese military academies.

Economic ties

The two countries maintain a strong momentum in economic and trade ties.

In August 2005, Kazakhstan completed negotiations and signed a protocol with China on Kazakhstan's access to the World Trade Organization.

According to Chinese data, China has invested about $8 billion in Kazakhstan in recent years.

Kazakhstan is next only to Russia among East European and Central Asian countries in terms of trade with China, and ranks 30th among China's worldwide trade partners. Chinese statistics show that trade between the two countries reached $8.3 billion in 2006, up 22 percent over the previous year (the trade volume stood at $7.23 billion in the first seven months of this year, up 63.3 percent year-on-year).

The presidents of the two countries have set the objective of expanding the index to $15 billion in 2015.

Compared with exports worth $3.6 billion (up 24 percent), Kazakhstan's imports from China were worth $4.7 billion (up 21.9 percent) last year, representing an enlarged trade deficit with China. In 2006, Kazakhstan's trade deficit with China amounted to $1.14 billion, up 15 percent over the previous year. Raw materials constitute the bulk of its exports to China, with little diversity in their composition.

To counter the negative influence of a growing trade deficit, Kazakhstan reached an agreement with China under the framework of the Economic and Trade Cooperation Sub-Committee. They have set up a package of measures to improve the commodity circulation structure between the two nations. These include enhancing the efforts of Kazakhstan's business delegates in China to promote Kazakh products on the Chinese market, so as to create favorable conditions to boost exports of Kazakh traditional commodities and new products. In addition, the committee studies issues related to great diversity in customs statistics in both countries (according to Kazakhstan data, the trade volume between the two countries was $5.51 billion in 2006, including $3.59 billion worth of exports and $1.92 billion in imports).

The two countries give priority to altering the trend of Kazakhstan's inclination to export mostly raw materials to China, by expanding mutual cooperation in non-raw material sectors, and setting up joint ventures utilizing high technologies. So far, Kazakhstan has been tapping the potential of cooperating with Chinese companies in the petrochemical industry, as well as machine building and other non-raw material economic sectors.

Kazakhstan and China continue to develop the Korgas international border cooperation center, which is expected to become a cornerstone for regional economic and trade cooperation and the setting up of joint ventures.

The two sides are also continuing to develop cooperation in the energy sector, which is of strategic significance in their mutual relationship. In December 2005, the Atasu-Alashankou oil pipeline was put into use, indicating bright prospects for the export of Kazakh oil to burgeoning markets. It also makes for better utilization of transit potentials. When the Kazakh president visited China last December, the two countries reached an agreement on main principles directing the construction of the second stage of the China-Kazakhstan Kenkyiak-Kumkol oil pipeline. They also discussed constructing a natural gas pipeline between the two countries.

Cooperation in the transportation field is another priority for both nations. Last year, freight delivered over the Dostyk-Alashankou railway station increased 19 percent to reach 13.1 million tons. The two countries have also reached primary consensus on regulating vehicle transportation. In September 2006, the two countries opened up 22 international passenger and freight transportation lines. The number of Chinese tourists and entrepreneurs visiting Kazakhstan is increasing steadily. At present, concerned organizations of the two countries are studying the feasibility of opening more flight routes, which is expected to expand transit capacity and facilitate further development of economic and trade ties, and the tourism industry.

On the whole, China and Kazakhstan are proceeding steadily on the path of all-around and win-win cooperation. They have elevated bilateral relations to the strategic partnership level, and have signed the China-Kazakhstan cooperation strategy agreement in the 21st century, thus creating more opportunities to deepen bilateral relations in all respects.

The article is provided by Kazakh Embassy in China

(China Daily 10/15/2007 page6)