Five years ago, Wei Hanhui, an entrepreneur from Guangxi Zhuang Autonomous Region in southwest China, obtained a license for the operation of a major iron mine in north Vietnam.

Now he makes an annual profit of about US$2 million from the mine and employs over 500 local residents.

He has also encouraged Vietnamese businessmen to invest in China. One of them has invested in the electronic products market in Yunnan Province and another invested in an automobile accessory manufacturer in Hubei.

Wei's personal experience mirrors the growth of trade between China and ASEAN countries, who are China's fifth largest trading partner after the European Union, the United States and Japan.

According to Gao Hucheng, Vice Minister of the Ministry of Commerce, the trade volume between China and ASEAN countries topped US$143 billion for the 12-month period from July 2005, up 22 percent on the previous 12 months period.

By the end of 2005, over 1,000 Chinese non-financial enterprises had invested in ASEAN countries in areas ranging from processing, construction, hotels and mining, to electronics and transportation. 

The Chinese Government will added another US$5 billion of preferential loans in 2006 to encourage further investment, according to Xu Ningning, Vice Secretary General of the China-ASEAN Business Council.

"Chinese companies will have more business opportunities as the Sino-ASEAN free trade zone pick up pace in its building, and state favorable policies will spur more businessmen to invest in ASEAN nations," said Gu Xiaosong, Vice Chairman of the Guangxi Academy of Social Sciences.

Meanwhile, China has attracted a total of US$ 38.5 billion from ASEAN countries. China is now the third largest trading partner of Singapore, Thailand and the Philippines, the second largest of Myanmar and the number one trading partner of Vietnam.

"China has not only played an important role in the expansion of our foreign investment and export growth, but also set an example in economic reform for us to learn from," said an economist from Vietnam surnamed Nguyen.

(Xinhua News Agency October 23, 2006)