Kentucky governor brimming with ideas for trade

Good conversation

Bevin met with people from various industries, including automobiles, pharmaceuticals, healthcare and agriculture, and held extensive talks.

Gesturing with his thumb and forefinger, he said, "I have a stack of business cards this thick of people who are interested in further conversations.

"There are so many potential ways in which capital can be invested (in Kentucky)," he added. "And it's exciting, because my economic development team is following up and working closely with every one of them."

The trip to China followed a visit to Kentucky in August by Cui Tiankai, China's ambassador to the United States, who met with Bevin and various government and business leaders in Frankfort.

Bevin said: "It's a good conversation. It needs to happen here at the sub-national level and at the local level. We need to have company-to-company, province-to-state, person-to-person dialogue, and this is my commitment. This is why I went to China.

"I want to get to know through sister states and sister cities the opportunity for that sub-national level of dialogue," he said. "This is how long-term partnerships are built, this is how strong relationships are built, and this is how good business is done."

Referring to the trade tensions between the two countries, Bevin said he was "positive things will be sorted out".

"America and China are the two largest economies in the world. Our two countries comprise 40 percent of global GDP. We must work it out. If we don't work it out, it's bad for America. If we don't, it's bad for China. If we do, it's good for both of us," he said.

Bevin added that he was "confident that we can open markets in both directions, so that Chinese goods can come into America, and American goods can come into China".

"The people of America want to buy from China; the people of China want to buy from America. Let's make this possible, and good things will happen."

At the two-day G20 summit in Buenos Aires, the Argentine capital, which starts on Nov 30, President Xi Jinping and his US counterpart Donald Trump are expected to discuss trade frictions on the sidelines of the meeting.

Bevin said he "truly believes that our presidents and their negotiators will work this out".

"In the meantime though, I am continuing to work at that sub-national level. I'm not waiting for them. I know they will catch up... We're out there having these conversations," he said.

Kentucky, a powerful force in the US auto industry, is home to 513 auto-related facilities that employ more than 100,000 workers. Major automakers have been building vehicles in the state for generations, and it ranks fourth nationally for the number of automobiles and trucks assembled and it is the No 1 producer of light vehicles per capita.

The governor, who met with auto industry representatives in China, said: "I told them there are no Chinese automobile plants in the United States. I want the first one to be in Kentucky. And I will do everything that I can to make it possible for the first one to be here.

"Whether it's a joint venture or even a direct investment, I think the possibility is incredible," he added. "This is a big marketplace; if you can sell cars in the United States of America, you can sell cars anywhere in the world."

The pharmaceutical sector is another area in which Kentucky has shown its strength.

"Healthcare ... long-term care is something that we have great knowledge about," Bevin said.

In the report of the 19th National Congress of the Communist Party of China, released in October last year, Xi stated the government will "actively respond to the aging of the population; build a policy system and social environment for caring and respecting the elderly; promote the integration of medical resources and resources for supporting the elderly; and accelerate the development of that industry".

Bevin said, "I want to create a dialogue between Kentucky and China on long-term care, because there's an aging population in China, and President Xi has said directly'I want all of our provinces, I want our cities, and I want our companies to focus on investing on how we are going to resolve this.'

"We want to be part of that solution," the governor said.

Kentucky is home to about 600 dairy farms, with some 56,000 milk cows. The state produces about 454 million kilograms of milk a year, according to the Kentucky Dairy Development Council.

Bevin said the state abounds in dairy products, which are needed in China, and he believes this is another sector for investment and cooperation.

"There is a need for dairy products in China. (However) there's not a lot of land for dairy cows in China. So the ability to have raw milk produced there is small, but protein powders and powdered milk are very-much needed, and there's not enough of it to meet demand in China," he said.

"In Kentucky, we have dairy farmers who are trying to find a market for their milk, because Americans have more milk than we need."