Excellencies, ladies and gentlemen,

I am happy and privileged to be here in Shanghai, for so many years an economic engine of China and East Asia.

It was also here, to Shanghai, that many adventurous Norwegians came, during the empire of the 19 ^th> century and the republic of the 20 ^th>, to seek interesting lives as tradesmen, sailors and missionaries.

Once again, Shanghai is emerging as a leading economic centre in Asia.

I have been looking forward to this visit with particular interest. We are all struck by the pulsating activity and signs of vigorous growth.

Shanghai’s economic importance will only increase in the years to come. As in times past, our focus today, the maritime sector, commands a key role.

Maritime activities continue to be the single most important sector in our bilateral economic relations.

This partnership has many facets.

First, a considerable number of Norwegian-owned or controlled ships are engaged in the transport of goods to and from Chinese ports.

Second, many Norwegian shipowners choose to build their ships in Chinese yards. As we speak, 19 ships and two oilrigs are under order for construction in China for Norwegian owners.

Third, Norwegian manufacturers of ship’s equipment have found a growing market in the Chinese shipbuilding industry. This includes many small and medium-sized enterprises. Ten of them have decided to establish joint companies in Shanghai.

All this I welcome.

Let us not forget the human aspects of this partnership. Our successful maritime cooperation relies on the human factor. For years Norwegian vessels have had able Chinese seamen on board. The quality and competence of these seamen is greatly appreciated by Norwegian shipowners.

The establishment of the maritime training centre here in Shanghai, in cooperation with the China Shipping Group, testifies to the commitment of Norwegian shipowners. They are committed to making a long-term investment in this partnership.

Looking ahead, we can detect what will influence our maritime industries and our partnership.

First, China's membership of the World Trade Organisation will result in more trade. More trade will increase the need for transport services in general and shipping services in particular.

Second, the competition in the shipping industry will become even more intense. The market-driven pressure to find more cost-effective operations will continue. Responding to this challenge, Norway and China could benefit from close cooperation between their maritime industries.

Third, we expect the growth of China's shipbuilding industry to continue. China is a world leader, both in the construction of big tankers and bulk ships, as well as technologically advanced vessels.

No less than seven high-technology LPG tankers are currently under construction here in Shanghai for the Norwegian shipowners I. M. Skaugen.

Safety at sea and environmental protection are becoming fundamental challenges to the entire maritime industry. Here, too, closer collaboration is beneficial to the industries of both our countries.

The cooperation agreement between Det norske Veritas and the China Classification Society that was signed in Beijing two days ago is an important step in this respect.

Safety and environmental issues will have to be dealt with by the industry itself. Yet, international laws and regulations are vital. My country is a leading proponent of that key multinational work.

Some say unilateral or regional regulation of safety and environmental matters is the best way forward.

I say that solutions at this level are unsatisfactory and often cause unnecessary disturbances in the market.

Shipping is a truly global industry. Safety and environmental problems are of a global nature. It is my firm belief that we need multinational solutions to these common problems.

The International Maritime Organisation is the prime forum for the development of international legislation in this field. As two major maritime nations, Norway and China share the vision of a viable framework for the shipping industry. International standards are established by consensus in the IMO. I am pleased that our two countries have developed a fruitful dialogue within the framework of this organisation.

During our political discussions in Beijing we agreed to review the bilateral shipping agreement between Norway and China, dating back from 1974. This review should provide the ground for strengthening and widening our considerable maritime cooperation.

Because there is still room for development.

That is why we congregate in Shanghai today.

We are here to identify common interests. We are here to explore new ideas and opportunities. We are here to build networks and to establish personal contacts.

I trust this will result in the strengthening of old bonds and in the creation of new ties, to the benefit of all.

I wish you every success in your endeavours and thank you for your attention.