Free trade "good medicine" for global recovery: Premier Li

Premier Li Keqiang on Wednesday called free trade a "good medicine" for global economic recovery, and called for joint efforts to promote a key pro-trade agreement of the World Trade Organization (WTO).

Chinese Premier Li Keqiang meets the representatives of enterprises at the Annual Meeting of the New Champions 2017, or Summer Davos, in the city of Dalian, northeast China's Liaoning Province, June 28, 2017. [Photo: gov.cn]

The premier's comments came as he answered a question from Patrice Motsepe, founder and executive chairman of African Rainbow Minerals, during a meeting with global business leaders at the ongoing Annual Meeting of the New Champions 2017, or Summer Davos, in Dalian. 

The WTO passed the Agreement on Trade Facilitation in 2013 to tackle protectionism rising amid lingering influence of the global financial crisis.

While China completed its domestic legal procedures to approve the treaty within two years, nearly one third of signing countries have yet to do so.

"We hope all parties will work together to make the agreement take effect this year," Li said, adding that the implementation will boost global trade by 1 trillion U.S. dollars.

China has taken actions to smooth foreign trade, such as quicker customs clearance.

Li believes free trade and investment will provide consumers with more options and will drive domestic industries to innovate and upgrade.

While reiterating China's stance, Li also recognized mitigation measures. "Of course we also have to take into account countries' different conditions. There can be some cushions against excessive impacts, which will require mutual understanding and negotiations."