Prime Minister Li Keqiang Orders Development of Northeast Including Underdeveloped Liaoning Province
PM Li Emphasizes RCEP Opportunities and Speed of Opening... "Release Water to Raise Fish"
[Asia Economy Beijing=Special Correspondent Jo Young-shin] The Chinese leadership has expressed its intention to develop the northeastern region of China, including Liaoning Province, indicating that investment and the attraction of foreign companies to this area are expected in the future. The northeastern region borders North Korea and has a coastline of over 2,000 km, but it has become a neglected area since the full-scale development of the western region began.
According to China's state-run Xinhua News Agency and the People's Daily on the 25th, Premier Li Keqiang held a leadership group meeting the day before, attended by Vice Premiers Sun Chunlan and Hu Chunhua.
At the meeting, Xinhua reported that measures to revitalize the economy of northeastern China during the 14th Five-Year Plan period (2021?2025) were discussed.
Premier Li said, "To promote the comprehensive rejuvenation of the northeast region, reforms must be deepened," adding, "Financial support policies such as tax reductions for investment enterprises in the northeast and deductions for research and development (R&D) expenses are necessary." He also used the metaphor, "We must release water to raise fish." Li further emphasized the need for reform of state-owned enterprises, stating, "The competitiveness of state-owned enterprises must be enhanced."
Li also stressed the need for opening up to the outside world to utilize the geographical advantages of the northeastern coastal and border areas, urging, "Please accelerate the pace of opening up for the development of the coastal economic belt."
He particularly mentioned the Regional Comprehensive Economic Partnership (RCEP), emphasizing the need to build competitiveness to seize new opportunities presented by RCEP. The RCEP includes 15 countries: South Korea, Japan, Australia, New Zealand, and the 10 ASEAN countries.
Premier Li also highlighted agriculture in the northeast region. He said, "Support for agriculture must be expanded to build a national grain base," and added, "Industries related to agriculture, such as equipment manufacturing, should be actively fostered."
Given that the northeast region is close to South Korea and was once an area where South Korean companies actively entered, it is expected that the Chinese government will seek to attract South Korean companies.
Meanwhile, Liaoning Province has announced plans to promote the development of the coastal economic belt centered on Dalian Port following the announcement of the 14th Five-Year Plan.
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