Beijing (AFP) June 21, 2009China denied it was discriminating against foreign manufacturers Thursday, after issuing a document ordering local governments to favour domestic companies when purchasing goods."This document is aimed at maintaining a fair market environment for competition, which is also in line with China's law on government procurement," foreign ministry spokesman Qin Gang told reporters.
"Therefore, there is no such thing as discrimination against foreign enterprises or products."
Earlier this month, the National Development and Reform Commission, China's economic planning agency, ordered local governments to buy Chinese goods when carrying out projects linked to the nation's massive economic stimulus package.
"For government procurement, apart from cases where products and services are not available domestically or cannot be acquired on reasonable commercial terms, domestic products should be purchased," the document said.
The call for preferential treatment for Chinese firms follows claims by local businesses that a large part of Beijing's stimulus money has gone into foreign pockets, state media said.
Qin said the order was fully in line with the law on procurement which was issued in 2002.
"The Chinese government unswervingly has adopted an openness policy based on mutual benefit and a win-win outcome and resolutely opposes all forms of trade and investment
protectionism," he insisted.
China unveiled a four-trillion-yuan (580-billion-dollar) package in late 2008 aimed at revitalising the economy, which has been hit by the global meltdown.
According to the China Daily, there are no figures available on the value or proportion of foreign products purchased under the stimulus budget.
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