Remarks by Ambassador Tan Jian at the Production Commencement Ceremony

of the Wuxi JP Textile Corporation

(Hawassa, 18 January, 2018)

Your Excellency Ato Tadesse Haile, State Minister at Prime Minister’s Office,

Your Excellency Ato Sisay Gemechu, CEO of Industrial Parks Development Cooperation,

Your Excellency Dr. Balachew Mekuria, Deputy Commissioner of Ethiopia Investment Corporation,

Your Excellency Ato Tewodros Gebiba, Hawassa City Mayor,

Mr. Cen Williams, Representative of PVH of the US,

Mr. Yang Nan, Chairman of Wuxi JP Textile (Ethiopia) PLC,

Distinguished Guests,

Ladies and Gentlemen,

A very good morning to all of you.

It is a great pleasure to attend the production commencement ceremony of Wuxi JP Textile Corporation. On behalf of my colleagues Economic and Commerce Counsellor Mme Liu Yu and Secretary Han Chao and myself, I wish to extend our warm congratulations to Mr. Yang Nan and staff of Wuxi JP company. I also wish to pay tribute to the officials of Ethiopia government and representatives of companies in HIP and all those contributed to the development of this Park.

I am the newly appointed ambassador of China and came to Ethiopia on 4/12 2017. This is my 2nd month in office, 1st visit to an industrial park. I paid a visit to the Park yesterday afternoon. You may ask how I feel. Well, I am deeply impressed. It reminds me of China 20 years ago. And in many aspect, HIP is much better.

Let me share with you my initial observations.

First, the HIP is clean, green and efficient. The construction, the roads, the sewage treatment and waste processing facilities, the one-stop service, the labour intensive companies, they are all telling that the HIP is well-designed, well-managed, well-functioning. It is generating jobs, taxes, foreign revenues and bringing in technological and managerial skill to Ethiopia.

Second, Ethiopia is making big strides in industrialization. For developing countries, industrialization is key to development. Free trade is good, of course. But if trade is promoted not hand-in-hand with investment, developing countries will remain raw material and commodities providers. This is not good – and not fair.

Ethiopia is implementing the GTP. Building industrial parks, like the special economic zones in China decades ago, is a core component. For many countries, Industrialization started with textile, like UK, Japan, China. Now in Ethiopia, we see 1) yarn spinning -- a Chinese factory broke the ground in Dire Dawa two days ago; 2) fabric mill – this Wuxi JP company starts to produce; 3) garments – many factories are manufacturing apparel in the and other industrial parks. We see a manufacturing chain, upstream, middle stream and down stream.

Ethiopia is integrating itself in the global value chain.

Third, Chinese enterprises are supporting Ethiopia industrialization and very active in the building of industrial parks. The CCECC has undertaken the major work of HIP infrastructure building. Many Chinese companies, like the Wuxi JP TE, have moved in the industrial park. In fact, the first industrial park in Ethiopia – the Eastern Industrial Zone, was built by a Chinese entrepreneur. Chinese companies have participated in the construction and management of the Addis Ababa to Djibouti Railway, the 758 km long, electrified and trans-boundary rail that helps alleviate the transportation bottleneck of Ethiopia, a landlocked country.

Some people say Chinese companies are exporting surplus production capacity, exporting outdated assembly lines, exporting pollution. I say, in advancing the Belt and Road Initiative（“一带一路”倡议）, we are exporting our high quality production lines. Wuxi JPTE is a case in point. Its production technology and equipment are advanced. There is zero liquid discharge and zero pollution – ZERO.

Fourth, the HIP is witnessing the north-south cooperation, south-south cooperation and tripartite cooperation. US company PVH is coordinating the manufacturing and sale. Wuxi JP TE is providing textile fabric to Indian, Indonesian and Sri Lanka factories to make garments. This is a value chain that we participate; this is a win win cooperation. This is a common destiny （命运共同体）we all share.

Ladies and Gentlemen,

With all the above compliments, please allow me to share with you my two suggestions.

One, I suggest relevant ministries of Ethiopia continue to improve the investment environment. There is a saying in Chinese, 筑巢引凤，which means building the nest and attract the phoenix. The industrial park is a nest; companies phoenixes. I believe the Ethiopia government will continue to respond to the requests and complaints of the companies housed in the industrial park and help solve difficulties. The phoenixes already nested in the Park will spread the word of the good investment environemtn. More and more phoenixes will come, for sure.

Two, I suggest both the government and companies attach more importance to capacity, HRD. Wuxi JP company has set a good example. It has trained 33 Ethiopian students, 8 months at the Confucius Institute in Ethiopia and 6 months in China. This investment will pay off. Ethiopia has HR in abundance. As an age-old civilization, Ethiopian people are intelligent and diligent. This is its most important comparative advantage.

Distinguished Guests,

China will host two important events in 2018.

In September, the China Africa Cooperation Forum Summit.

In November, the China International Import Exhibition in Shanghai.

China is a middle income country with a per capita income of more than US$9,000. This is a market of 1.3 billion people. It has the largest middle income population.

It is the policy of China and the work of my Embassy to encourage Chinese companies and businessmen to invest in Ethiopia. As partners and brothers of Ethiopia, China will continue to share its experiences, lessons learned with Ethiopia; continue to support its development.

We are quite optimistic that Ethiopia will be successful in achieving industrialization.

As the only African country that has never been colonized, Ethiopia has inspired other African countries to win political independence.

With its double-digit growth for over a decades, Ethiopia could again inspire other African countries to achieve economic development.

I wish the success of Wuxi JPTE!

I wish the success of the HIP!

I wish the success of north-south, south-south and tripartite cooperation!

May the China Ethiopia relations develop further to a new high!

I with everyone ere all the best in 2018, the year of dog!