Full text of premier's interview with Pakistani media (3)

But there is great potential to be tapped in China-Pakistan economic cooperation. China takes its trade imbalance with Pakistan seriously and is taking measures to address this issue. Pakistan's export to China last year increased by nearly 50 percent. This has enhanced our confidence. China will step up consultation with Pakistan on second phase tax reduction negotiations under the framework of China-Pakistan Free Trade Area. I have given instruction that a Chinese trade and investment promotion delegation be sent to Pakistan to pursue various cooperation projects. During my visit, I will also talk to Pakistani leaders about the formulation of a long-term plan for boosting bilateral business cooperation. Our two sides should focus on carrying out priority projects in connectivity, energy development and power generation and promoting the building of a China-Pakistan economic corridor.

Both China and Pakistan have a big population and broad market potential. China is fully implementing the strategy of development in China's western region and expanding westward opening, and Pakistan is also in a crucial stage of development. The Chinese government will continue to encourage Chinese companies to invest and do business in Pakistan. We also welcome Pakistan to participate in projects for leapfrog development in Xinjiang. Our two countries should draw on each other's strengths, jointly unlock cooperation potential and bring more tangible benefits to our two peoples.

4. You have chosen South Asia as the first destination of your first foreign visit as Chinese Premier. You will visit India first and then Pakistan. Would you talk to us about China's policy towards South Asia?

Li: South Asia is important in boosting the development of Asia. It is a vibrant and promising region. Peace, stability and development are the common pursuit of countries in this region. China shares borders with five South Asian countries. China's destiny is closely connected with that of South Asian countries in both good and hard times. We hope that countries in the region will live in friendship and cooperation and build South Asia into a land of unity, stability, happiness and harmony.

We recognize the positive contribution Pakistan has made to maintain peace and stability, combat terrorism and promote development in South Asia as well as the huge pressure from various sides on it. The international community should give Pakistan full understanding, recognition and necessary support. On behalf of the Chinese government, I wish to reiterate solemnly China's continued firm support to Pakistan in its efforts to uphold independence, sovereignty and territorial integrity and achieve national stability and development. This is what China-Pakistan comprehensive strategic cooperation is all about.

5. Many people outside China follow with great interest domestic and foreign policies of the new government in China. They want to know whether China will seek hegemony when it grows stronger, and some are concerned whether China can sustain growth. How would you address these two concerns?

Li: In my view, such concerns are uncalled for.

As an old saying in China goes, "To raise a family, one needs to know the price of rice and firewood." As the premier of a big country with 1.3 billion people, what I have to face every day are the "seven daily necessities of a family", namely firewood, rice, cooking oil, salt, soy sauce, vinegar and tea. In other words, I need to address issues that affect people's lives. The Chinese people want better education, more stable jobs, greater social security, improved housing conditions and richer cultural life. To manage well these seemingly "simple" things is not easy. China remains a developing country. To achieve modernization is an arduous task for us. The pursuit of peaceful development is not just a foreign policy goal; it is also determined by China's reality. China will not seek hegemony even when it grows stronger. Having had a full share of sufferings in modern history, we Chinese believe that you should not do unto others what you do not want them to do unto you.

In the era of globalization, interdependence is the basic feature defining state-to-state relations. The law of the jungle is not the way to govern human society; only mutually beneficial cooperation will make the world a better place. I want to stress that to pursue peaceful development is the unshakable resolve of the Chinese government. Likewise, to uphold China's sovereignty and territorial integrity is also the unshakable resolve of the Chinese government. These two principles go hand in hand and conform to norms for maintaining regional stability and international peace and order.

Disagreement and frictions among countries are unavoidable. What is important is how you deal with them. One could either take an intransigent approach to these issues and hype them or properly handle them through consultation based on mutual respect. This is a yardstick to test whether a country is broad-minded. It is only in recent years that the Chinese have started to lead a good life. We cherish such good times, and want to embrace the world with a more open mind. And we hope that others will look at China with the same open mind. As a major developing country, China will work with other countries to uphold peace and prosperity in the 21st century.

China still faces a grave and complex external environment in pursuing development. The global economic recovery remains weak, protectionism resurfaces from time to time, and the monetary policy of quantitative easing as pursued by some countries may cause negative impacts. We are proactively coping with these issues and stepping up cooperation with other countries. We have confidence in China's economic development because a solid foundation has been built in the past 30-plus years of reform and opening-up and there is huge potential for further development. China will continue the policy of reform and opening-up and maintain sustained growth by pursuing industrialization, IT application, urbanization and agricultural modernization. This will create more opportunities for the global economy.