Foreign Correspondence

[Amaunet]

China and Cuba edge even closer

The Associated Press Wednesday, November 24, 2004
HAVANA President Hu Jintao of China ended his first day of a state visit to Cuba by witnessing a marathon signing of 16 agreements with the Cuban government, including deals to buy nickel, build a nickel production plant and begin exploration projects for the mineral.

Hu and President Fidel Castro of Cuba looked on as ministers and business executives from both countries signed the different accords, which also included a 10-year extension to pay back loans given to Cuba in the early 1990s.

Under the nickel accords, Cuba will provide 4,000 metric tons of a nickel derivative to China annually, starting next year, adding up to a total of 20,000 metric tons by 2009.

Last year, Cuba became the world's fifth-largest nickel producer, generating 75,000 metric tons, worth more than $400 million.

The agreements also call for the creation of joint ventures to handle the construction of a new nickel plant in Moa, a mineral-rich region in the eastern Holguín Province, with a production capacity of 22,500 metric tons.

It also calls for nickel exploration projects in unnamed parts of the island.

The business ventures will be 51 percent Cuban and 49 percent Chinese, and will involve a Chinese company, Minmetals, as well as Cuban nickel businesses.

China also granted Cuba a loan extension, under which Cuba will have an additional 10 years to pay off four different interest-free loans received from China between 1990 and 1994. Those years, which represented difficult economic times, are known in Cuba as "the special period."

China will also donate $6 million to Cuban hospitals and health clinics, as well as cloth for school uniforms worth about another $6 million. China also agreed to finance one million televisions for Cuba.

Other agreements included cooperation in the fields of biotechnology, telecommunications and meteorology, as well as plans to teach Chinese to Cuban students.

Hu spent Monday and Tuesday in Havana. After his arrival, he met with Castro for several hours before the agreements were signed.

Castro, 78, shattered his left kneecap and broke his right arm in a fall last month. He sat in a wheelchair, his leg propped up.

Hu, who was personally invited by the Cuban leader, praised the country's socialist revolution. He highlighted friendship between the two nations, saying: "Chinese-Cuban ties have passed the test of changing and adverse international circumstances."

Relations between the two countries were tense during the Cold War, when the island had a strong alliance with the Soviet Union. But since the Berlin Wall fell in 1989, political and commercial relations between Cuba and China have steadily strengthened.

The Chinese president flew to Cuba after attending the Asia-Pacific Economic Cooperation forum in Santiago. This was his first to Latin America since he took office in March 2003.

Hu's visit coincided with a meeting in Havana of about 400 Chinese and Cuban businesspeople to discuss potential business deals. Hu was expected to attend that forum on Tuesday.

In opening remarks of the meeting on Monday, China's vice minister of commerce, Ma Xiuhong, said business between Cuba and China had grown 36 percent this year.

Ma said deals between the two countries reached $401 million between January and November this year - 36 percent more than in all of 2003.

"This reflects the disposition of Chinese business people to strengthen relations with Cuba," Ma said.

China, which is Cuba's third trading partner after Venezuela and Spain, makes up 10 percent of Cuba's foreign commerce, according to a statement made at the forum by Ricardo Cabrisas Ruiz, Cuba's minister of government.

Thirteen Chinese companies operate in Cuba, with total investments of $50 million.

Seven Cuban companies can be found in China, with investments of $15 million.


http://www.iht.com/articles/2004/11/23/news/china.html


China, Cuba agree to expand cooperation

www.chinaview.cn 2004-11-23 13:11:57


HAVANA, Nov. 22 (Xinhuanet) -- Chinese President Hu Jintao and Fidel Castro, president of the Cuban Council of State, agreed here Monday to expand bilateral cooperation in political, economic and other areas.

Hu Jintao arrived here Monday afternoon for a state visit. He met with Castro soon after his arrival and they agreed to work together to expand mutually-beneficial cooperation.

China and Cuba established full diplomatic relations in 1960. Hu said in the meeting with Castro that China-Cuba relationship has withstood the test of time and the change of international situation.

"We have helped each other and treated each other with sincerity," Hu said. "We are friends and brothers. A better relationship between China and Cuba will serve not only interests of our two countries, but also world peace and common development."

Hu proposed that China and Cuba increase exchange of visits by leaders of the government, the parliament, political parties, and non-governmental institutions.

China and Cuba can also expand cooperation in areas of tourism, aquatic products and bio-technology, Hu said.

In addition, China and Cuba can strengthen cooperation in international arenas to safeguard the interests of the developing nations and world peace, said the Chinese president.

Two-way trade between China and Cuba has been about 400 millionUS dollars annually over the past three years. The trade volume reached 401 million dollars from January to September this year, up 36.7 percent.

China mainly imports sugar and nickel from Cuba and exports machinery and electronic products to Cuba.

Castro told Hu that he has paid great attention to China's development and been reading a lot about China lately. He said he was glad to see China's fast growth and the expansion of Cuba-China cooperation.

Castro said he agreed with Hu's proposals. He said Cuba hopes to purchase about one million more color TV sets from China as the 1.3 million sets Cuba previously imported from China were "very good" in quality.

Hu briefed Castro about China's socio-economic development and China's new development strategy characterized by the concept of human first and balanced and sustainable development.

Castro listened attentively and raised questions now and again.

Following their conversation, China and Cuba signed a number of agreements on their cooperation in plant quarantine, bio-technology, education and economy.

Cuba is the last leg of Hu's Latin America trip. Previously he visited Brazil, Argentina and Chile, where he attended the annual APEC leaders' meeting. Enditem



http://news.xinhuanet.com/english/2004-11/23/content_2250498.htm