One-China policy foundation of Sino-US relations, says Li

One study says people aren’t as nice as they think

Premier Li Keqiang's measured words on China-U.S. relations after the closing of the annual congressional session suggest Beijing seeks to avoid rocking the boat ahead of a change in party leadership this year. Here are highlights of the event.

Li also struck a confident tone in the country's financial stability, ruling out the possibility of systemic risks as "the country has plenty of policy options at its disposal".

In the wake of the Xi-Trump conversation, Li said he saw "bright prospects" for bilateral relations.

Li said China will look to cut taxes and fees on companies by 1 trillion yuan (US$144.67 billion) this year, while adding that the government has enough policy tools to handle any risks.

While many analysts doubt the strength and consistency of Chinese official data, even some veteran China sceptics agree that economic activity did pick up previous year, buoyed by heavy government stimulus in the form of record bank lending and billions in government infrastructure spending, as well as a speculative housing boom.

Earlier this month, China's National Socio-Economic Development Plan for 2017 set a 6.5-percent target for GDP growth following last year's record low growth figures.

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China's foreign exchange reserves are sufficient to cover imports and foreign debt payments, Li said at his news conference at the end of the annual meeting of China's parliament, and added that normal use of foreign exchange by firms and individuals will be guaranteed.

Acknowledging potential risks in the financial sector, Li said the government will take them seriously and adopt prompt and targeted measures to prevent them from spreading.

China always takes an open attitude to various regional trade agreements, and the country will seize any possible opportunity to improve the world economy through multilateral trading system. "China has no intention to overreach itself". China would also strengthen its macro economy, which would assist in sustaining its growth in general, boosting operating industries, and businesses.

Made in China 2025 is to enhance the quality of products, better meet consumers' demands, and constitutes an important part of the supply-side structural reform.

Li told reporters China maintains a "clear" position that supports the denuclearization of the Korean peninsula but all countries must return to dialogue to "solve the problem".

In his closing remarks, Li described the "One China" policy as the "foundation" of his country's relationship with the United States that "cannot be undermined".

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