President Xi Jinping and his wife arrive in Bali for the annual APEC Conference 2013 (Creative Commons)

Together, these economies account for half the world’s output, 45% of trade and 3 billion of the world’s population. 

In past years, the prime seat has belonged to the U.S. at the conference. However, because of the U.S. government shutdown, President Obama has made the decision to pull out of the APEC forum to focus instead on passing a new budget in Congress.

This year, the prime seat belongs to the President of China, Xi Jinping. China, the world’s second largest economy, is already the largest trading partner of many of the 21 nations that make up the APEC.

This year, President Xi is APEC’s final speaker and will deliver the keynote address titled, “China in transition: What can the Asia Pacific expect?” The address will revolve around China’s slightly slowing economy in 2013 and the structural challenges in employment, environment and social issues. Xi will also promote the point that much of the economic success in Asia Pacific is linked to what occurs in China.

According to CNN, President Xi released remarks referring to a Chinese saying: “the ocean is vast because it admits hundreds of rivers," and that China will continue in its progress of Asia-Pacific economic cooperation with an “open attitude."

Other key points to be made by China include the continuing territorial disputes between China and Japan over islands in the East China and South China Seas. The disputed islands in the East China Sea include the Senkaku islands (Japan) and the Diaoyu islands (China). In the South China Sea, there are continued disputes over an oil and gas-rich island chain that is claimed by a number of South East Asian countries.

China has continued to warn its alliance countries such as the U.S., Japan and Australia to refrain from getting involved in regional disputes.

“The United States, Japan, and Australia are allies but this should not become an excuse to interfere with territorial disputes, otherwise it will only make the problems more complication and harm the interest of all parties,” said Chinese Foreign Ministry spokeswoman Hua Chunying.

“We urge the relevant countries to respect facts, distinguish right from wrong, be cautious, and stop all words and deeds that are not beneficial to the proper handling of the issue and undermine regional stability,” Hua said in comments on the foreign ministry website.

The APEC conference will conclude tomorrow. 

Reach Staff Reporter Joseph Krassenstein here.