Capitalism Counting on China; POTC Sees Global Financial Markets Collapsing in '09

LONDON (AFP)--The U.K. government said Thursday that building its relationship with China was now a "major priority", adding that it could help the rest of the world tackle the fallout from the credit crunch. --In the first government document to spell out a new strategy for dealing with Beijing, the government said Chinese policies were "enormously significant" for London's approach to issues including the economy. --But the government warned it would be "candid" with Beijing on human rights and Prime Minister Gordon Brown urged China to make progress on the issue and on developing the rule of law as it goes through huge social change. --The government said China's increasing power - it is now the third-biggest economy in the world - made it a "vital" partner in restoring world economic stability as countries try to drag themselves out of the global financial downturn. --Foreign Secretary David Miliband launched the document Thursday in Manchester, northwest England, just over a week before Chinese Premier Wen Jiabao is due to visit the U.J.. Brown said in the foreword: "The emergence of China as a global economic and political force is one of the most significant developments of our time. --"We must work together if we are to deal with the major challenges we face. --"I am convinced that Britain, Europe and the rest of the world can benefit from China's rise - provided we get our response right. --"Cooperation with China is vital to reduce poverty, to resolve conflict, and to develop an effective framework to address climate change. To achieve all of this we need China and China needs the rest of the world." --Miliband told BBC radio that, while China had a fast-growing economy, "they don't want to repeat the mistakes that we made in the 20th century when we built up our economy". --He added: "I think we can work very closely with them on (the) climate change issue." Click here to go to Dow Jones NewsPlus, a web front page of today's most important business and market news, analysis and commentary: http://www.djnewsplus.com/access/al?rnd=ZWP1ohQhaFHw9rngChnHhA%3D%3D. You can use this link on the day this article is published and the following day. (END) Dow Jones Newswires January 22, 2009 12:35 ET (17:35 GMT) Copyright (c) 2009 Dow Jones & Company, Inc.- - 12 35 PM EST 01-22-09