As the United States reviews its restrictions on hi-tech exports to China, the Ministry of Commerce (MOFCOM) urged the US to shorten the timetable for loosening export controls. According to the visiting Commerce Secretary Gary Locke, Obama has asked Secretary of State and relevant agencies to re-examine the U.S.'s limits on hi-tech equipment shipped to China. Though the US must maintain oversight of sensitive technologies dealing with national security, it needs to loosen restrictions on technologies that pose no harm to the US, according to Locke.

Hi-tech export control is among the topics, including anti-protectionism and intellectual property rights, to be discussed between Chinese and US trade officials during Obama's visit, a MOFCOM spokesman said. MOFCOM also urged the US to loosen the hi-tech export restrictions as soon as possible, as the “Washington's restrictions indeed affected unbalanced Sino-US trade ties and strongly restrained the competitiveness of US-made products.”

Chinese hi-tech imports from the US have shrunk since 2001. Eight years ago, the US accounted for 18.3 percent of Chinese hi-tech imports - it is now at 7 percent, tensions between China and the US have been rising as the US has imposed 10 anti-dumping and anti-subsidy investigations on Chinese products this year.

Locke said trade disputes are a "natural part" of bilateral trade ties and "the US is not engaged in protectionism." Several agreements related to clean-energy technologies will be signed between China and the US during Obama's visit, Locke said.

Direct investment from the US to China was $2.83 billion in the first 10 months, ranking fifth in terms of amount after individual investments in Hong Kong, Taiwan, Japan and Singapore, according to figures released by Ministry of Commerce.

Foreign direct investment in China continued to grow in October for the third consecutive month, indicating that China remains buoyant on the prospects of attracting foreign funds.

China's foreign direct investment increased to $7.1 billion in October, up 5.7 percent over the previous year. More than 18,000 foreign-invested companies were approved in the first ten months, down 20.1 percent year on year, involving investments worth $70.9 billion. (Source: Xinhua News Agency, 11/17/2009)