Distinguished guests, Ladies and gentlemen:

Good Afternoon!

First of all, on behalf of Chinese Ministry of Commerce and the committee of the 3rd China Beijing International Fair for Trade in Services(CIFTIS), I’d like to extend my warm welcome and sincere appreciation to all the guests present here.

In the modern world, culture, economy, politics and science and technology are mutually and deeply integrated, and cultural factors play a more and more important role in trade and economic development. To develop cultural trade is an important way to raise the soft power of national culture. Culture import reflects a country or nation’s culture inclusiveness and confidence while culture export could show its cultural influence. Both of them demonstrate the hard power inside culture soft power and are important components of soft power. To develop cultural trade is an important way to enhance culture industry to be a pillar industry of national economy. Against the backdrop of economic globalization, we need to make full use of two markets and two kinds of resources by introducing competition to domestic market and participating in global competition so as to realize the historic goal of making culture industry a pillar industry of national economy. To develop cultural trade is an important content of accelerating to transform development modes of foreign trade. With low consumption of resources, high added value and strong absorptive capacity of employment, especially high cultural value, cultural trade is a high-end area of international trade. To develop cultural trade and improve cultural industry is conducive to optimizing trade structure and leading the development of relevant industries.

Over recent years, China’s foreign cultural trade has grown rapidly, which is represented in four aspects: Firstly, the scale is expanding. In 2013, China’s total trade of cultural products registered US$27.41 billion, among which, US$25.13 billion was from the export, 2.6 times that of 2006. Cultural service trade totaled US$ 9.56 billion, of which US$ 5.13 billion was from export, 3.2 times that of 2006. Secondly, the structure is gradually optimized. In 2001-2013, Chinese cultural service exports saw an annual average growth of 26.3%, 7.2 percentage points higher than that of cultural products exports, accounting for 17% of the total exports of cultural service and products, increasing from 9.1%. Thirdly, emerging cultural trade enjoys a robust momentum. At present, digital and Internet technology is widely used in cultural industry. New emerging businesses in animation, video games, post-production of film-video and database service areas are transforming technical and cost advantages into export competence so as to increase the exports of culture with high technical demands and mature conditions. Fourthly, goals of outward investment have been diversified. Over the recent decade, goals of Chinese cultural businesses’ outward investment have extended from building marketing channels to gaining technical advantages, cost advantages, and talents advantages with a strong intention to extend both updream and downdream of overseas industrial chains. According to statistics by the Ministry of Commerce, the direct investment made by Chinese culture, sports and entertainment businesses had soared up to US$ 180 million in 2013 from US$760,000 in 2006.

But, compared with the developed countries in the world, Chinese foreign cultural trade is still in its starting stage from scale to quality, which is mainly reflected in that the scales of enterprises for cultural export are small, the number of influential multinational cultural enterprises is not large, deficit can be seen in such content products trade as film and television, publication and commercial performance for a long time and the policy environment for supporting the development of foreign cultural trade still needs to be further optimized.

Ladies and Gentlemen,

The State Council formally introduced Opinion on Accelerating the Development of Foreign Cultural Trade in March and made an overall deployment for foreign cultural trade, which are significant measures for developing cultural industry in the new period, promoting Chinese culture to go abroad and raising the level of the open economy. We will make solid progress in implementing various policies and measures in the documents issued by the State Council, strengthening the guidance of policy, optimizing the market environment, expanding market players, and improving trade structures, so as to further push forward the development of foreign cultural trade.

Firstly, the role of cultural trade in Chinese cultural export should be further played by overall development. Chinese cultural export cannot be separated from the mutual promotion and coordinated development of cultural exchange, cultural communication and cultural trade. We will pay more attention to the roles of enterprise entity and market operation in Chinese cultural export, shifting from sending out to selling out, from going out to going in, and promote the cooperation between cultural trade and investment to be an important channel for Chinese cultural export in the new period. Meanwhile, we will also intensify the leading role of government and social participation, fully play the unique role of cultural exchange and cultural communication, improve the level of foreign cultural exchange and strengthen the capability building of international communication.

Secondly, the vitality of enterprises in cultural market should be further stimulated by deepening reform. We will vigorously promote the reform of foreign investment mechanism, revise Measures on Foreign Investment Management, simplify administrative licensing procedures of foreign investment including cultural fields and expand foreign investment and cooperation in cultural fields. The reform of foreign investment mechanism will continue to deepen and the amendment work of “three laws for foreign investment” will be promoted so as to expand cultural opening-up and create a sound environment. Recently, Measures on Foreign Investment Projects Approval and Record Management has been officially released, which precisely modified foreign investment projects management from comprehensive approval to the combination of limited approval and general filing. We will implement more convenient measures on such aspects as convenient customs clearance, administrative approval of cultural export and enterprises’ personnels going abroad for public affairs.

Thirdly, the export pattern of foreign cultural trade should be further optimized by scientific planning. We will give full play to characteristics and advantages of cultural exports in various regions, focus on depending on free trade zones like Shanghai Free Trade Area and special customs controlling zones, establish platforms for cultural products and service export and form the cultural export pattern with Yangtze River Delta, Pearl River Delta and Bohai Rim as the forefront and central and western regions as the support. Meanwhile, we will plan various overseas cultural trade promotion activities as a whole, fund capable organizations and enterprises to hold or participate in such promotion activities as various cultural trade matchmaking symposiums and exhibitions and push forward to form the pioneering situation of international cultural market for stabilizing Chinese-speaking market, deeply ploughing European and American markets and expanding emerging markets.

Fourthly, financial and tax policy for supporting the development of foreign cultural trade should be further refined by making more efforts. We will encourage and lead cultural enterprises to expand content innovation, give support to such aspects as cultural service export, overseas investment, construction of marketing channels, market development, building of public service platforms and talent cultivation of cultural trade, carry out zero tax rate or tax exemption for cultural products and service exports encouraged by the country, support integrative development of culture and science and technology, encourage enterprises to conduct technological innovation, promote cultural enterprises to actively take advantage of international advanced technology, raise the capabilities of digesting, absorbing and re-innovating, intensify financial service and vigorously support cultural enterprises to go abroad on such aspects as credit, bond, guarantee, insurance and foreign exchange.

Fifthly, the public service level for cultural enterprises to develope trade investment activities should be further improved by efficient docking. We will continue to reinforce intellectual property rights protection in cultural fields and cultivate a sound environment for the healthy development of Chinese and overseas enterprises, intensify the public information service of foreign cultural trade, provide trade and investment information from different countries for cultural enterprises who exploit international market, push forward the construction of industry intermediary agencies, focus on playing roles of export promotion, self-regulation, international exchange and talents training, strengthen statistic work of foreign cultural trade, improve foreign investment statistics in cultural fields and release statistical data of foreign trade and foreign investment uniformly.

Ladies and Gentlemen,

The extensive and profound Chinese culture, which is the common spiritual wealth of the whole world, has a long history and makes a unique contribution to the development of human civilization. We are willing to work with people from various countries to raise the sail of trade, start the culture trip and make contribution to the exchange, creation and prosperity of the world culture.

Wish this conference a great success.