On July 4, 2018, the ‘New Situation • New Asset Management • New Journey - 2018 China AMC Strategic Cooperation Summit Forum’ sponsored by China Orient Asset Management Co., Ltd. (hereinafter referred to as China Orient) was successfully held in Beijing. Representatives of asset management industry from four major asset management companies, local asset management companies, and industry investors attended the meeting to study and analyze the challenges and opportunities facing China's non-performing asset (NPA) industry under the new situation, discuss the construction of a NPA industry ecosphere featured by inclusiveness, mutual trust, openness and cooperation, jointly negotiate and seek a new path for sustainable and high-quality development of asset management companies, and work together to build a new development pattern of NPA industry featured by integration and development, harmony and win-win result.

Wu Yue, Chairman of China Orient, said in his speech that driven by relevant departments and under unremitting efforts of all market participants over the past 20 years, China’s NPA industry has witnessed drastic changes growing out of nothing and expanding from small to large. At present, China's economy is in conversion period of new and old drivers in which production capacity is cleared, profits are restored, and structure is reshaped. Affected by multiple factors like economic restructuring and so on, the NPA supply will continue to go up in the coming years. The NPA industry is facing historic development opportunities. Industry development urgently needs a standardized, orderly and healthy market environment.

Chairman Wu Yue emphasized that we must stick to right & wrong concept of law observation, compliance, fairness and order, observe business ethics, promote industry self-discipline, and establish and maintain the normative and healthy market order; set up development view of innovation, openness, equality and mutual learning, make innovations on business models, expand service areas and service connotations, and make continuous efforts to improve the disposal efficiency of NPA and market-oriented operation capability as well as promote the concept of cooperation featured by mutual consultation, joint construction, sharing, and win-win result, cultivate new concepts of cooperation, establish new platforms for cooperation, stimulate new driving force for cooperation, achieve complementary resource advantages, build a new pattern for the openness and cooperation in the industry, and work together to promote the sustainable development of the industry.

Chairman Wu Yue said this year China Orient will allocate 100 billion funds to the NPA market, enhance cooperation with various asset management companies, significantly increase the proportion of NPA business, continue to optimize the group business structure, and strive to reach the goal of high-quality development.

Wang Yiming, deputy director of the Development Research Center of the State Council conducted a professional interpretation of the current macroeconomic situation. Wu Xiaoqiu, vice president of Renmin University of China delivered a keynote speech themed by ‘Be Highly Alert to the Spread of Financial Risks’. Zhong Wei, director of the Financial Research Center of Beijing Normal University, gave the keynote speech on ‘Looking at Sino-US Trade Dispute with History as a Mirror’, a speech starting with the Sino-US trade imbalance. Zhong analyzed its causes and impacts, and dissected the experience and lessons using the Japan-US trade war as a case.

The forum also invited Kiyoshi Fushitani, board director and senior executive director of ORIX Corporation of Japan, to share the development situation of Japan's NPA industry, and relevant experience and lessons. On June 19 this year, China Orient and ORIX Corporation signed a ‘1 + N’ strategic cooperation agreement in Dalian. Both sides will conduct in-depth cooperation in enhancing asset cooperation, forging financial service platform, sharing project resources and management experience, helping construct regional financial center, and many other aspects.