Minister for Enterprise, Trade and Employment Micheál Martin, T.D. in an address today to the International Conference on China in the 21st Century: Culture, Politics, Business, at University College Cork, said that trade between Ireland and China has continued to grow exponentially at a rapid and sustained level. Our two-way trade in 2006 surpassed the €5.5 billion mark.

Martin said that the trade balance is currently in China’s favour – but that is hardly surprising. China- the acknowledged “Factory of the World” meets Ireland’s need for raw materials, parts and components to feed our own manufacturing facilities. We acknowledge China’s inputs to the Irish economy as a key element in our continued industrial growth.

"At the same time I am even happier to acknowledge that Ireland’s export trade to China continues to boom- in recent times even more steadily in relation to services exports. Ireland’s knowledge –based economy, built on innovation and technology, is substantially shaped by the emergence of strong technology-led and export-focused Irish companies. Companies, which have become world leaders in their respective industries.

Ireland, thus, has much to offer the Chinese market  - and China recognises that fact," the Minister said.

Martin said that Irish innovation in key sectors- information and telecommunications technologies, education and training, environmental and engineering, life sciences and medical devices, aviation, electronics, industrial machinery and food and drinks products- have resulted in steadily increasing sales to China.

"China, the most vibrant and discerning market in the world, will continue to be a key target for Irish companies. And let the record show, that this, our Cork International Conference on China in the 21st Century marked a renewed impetus in the relationship between our two countries," he concluded.

Finfacts Comment:  It would be difficult to discern from the Minister's address that the "Irish companies" that are mainly responsible for increasing exports to China are from the foreign-owned sector in Ireland.

An international advisor to Irish government and State agencies warned on Wednesday, June 06, 2007 that Irish businesses lack the confidence to become world business leaders.

Innovation specialist Professor Danny Breznitz of the Georgia Institute of Technology says our research infrastructure is too narrow in its focus and may not be sustainable.

He says we are not creating enough new businesses, and when new businesses are set up, the financial supports are not there to keep them innovating.