OREANDA-NEWS. July 04, 2011. An agreement to set up a Belarusian-Chinese industrial park will be signed in September this year, Deputy Prime Minister of Belarus Anatoly Tozik said as he met with Vice Minister of Commerce of the People Republic of China Chen Jian.

The Vice Premier stressed positive trends in mutual trade. “In 2005 the trade equaled USD 800 million. This year it is expected to reach USD 3 billion,” said Anatoly Tozik.

“Belarus and China are implementing joint projects worth almost USD 6 billion, of which USD 3.5 billion is the credit support from Chinese banks,” Anatoly Tozik said and expressed his gratitude to the Export-Import Bank and China Development Bank, with which Belarus has been cooperating most actively.

When speaking about specific projects, the Deputy Prime Minister named the Minsk CHP plant-2, the act of commissioning of which was signed. “This is the first project in the energy sector that has been successfully implemented jointly with the Chinese corporation,” said Anatoly Tozik and added that in September 2011 another major project will be implemented at Minsk CHP-5.

More than 20 offices of Chinese corporations and subsidiaries operate in Belarus. According to Anatoly Tozik, Belarus and China have reached a new phase in bilateral relations, i.e. opening of joint companies and implementation of mutually beneficial projects with FDI. In his words, Belarus-China Midea-Horizont is quite a success. “Very soon the company is expected to reach the production of 3 million of microwave ovens and build up several more plants to produce household appliances in Belarus,” the Belarusian official said. A joint company to produce hydro-mechanical transmissions for heavy trucks has been also set up in Belarus.

There are joint companies with Belarus’ investments in China, too. A joint chassis production plant was opened there some 15 years ago. Another joint company manufactures dump trucks in the PRC. A joint production facility of forage harvesters in Harbin is expected to reach 1,000 vehicles this year. The two sides have started assembling Belarusian high-energy tractors, the equipment that has big prospects on the Chinese market, according to Anatoly Tozik.

“We encourage our Chinese friends to take part in privatization of large industrial enterprises in Belarus. We would welcome the arrival of Chinese capital into Belarus' banking sector,” Anatoly Tozik said.

According to him, European and Russian banks actively operate in this sector. “The Belarusian side would like to see the Chinese capital in this sector," said the Deputy Prime Minister.

Anatoly Tozik believes that the countries should make greater efforts to implement the swap agreement signed two years ago, when Belarus and China exchanged the national currencies equivalent to \\$3 billion. “Unfortunately, the agreement is practically not working. I think we should make efforts together to engage this resource more actively in the interests of both countries,” said Anatoly Tozik.

“It is high time Belarus and China entered a new phase of development and launched projects, mutually beneficial for the two countries. We are talking, first of all, about a China-Belarus industrial park,” Anatoly Tozik said.

Belarus suggests that the project is given an interstate and intergovernmental status and the relevant agreement is signed in September.

“We got familiar with the organization of work at the China-Singapore Suzhou Industrial Park. I believe we are able to develop a similar industrial park in the center of Europe. We have already allocated a big area for its construction, 80 square kilometers,” the official said.

Anatoly Tozik assured the Chinese official that all necessary conditions would be created for a smooth operation of the park. “We are ready to offer Chinese companies the most favorable conditions for doing business in Belarus. Belarus, Russia and Kazakhstan have founded the single customs area and are expected to set up the single economic space in the near future. Goods, capital and services will move free throughout the Customs Union,” the Vice Premier of Belarus stressed.

The Chinese official, for his part, has noted that the Belarus-China industrial park project is supported by the Chinese Government. “The major goal for the governments of the two states is to create all necessary conditions for an investment inflow into the park,” he said. The Chinese Vice Minister of Commerce also expressed hope that the agreement would be signed in September this year.