britain will roll out the red carpet for xi jingping this week on his first state visit to the u.k.berg looks at the grand welcome being prepared for the chinese leader, and what britain is hoping to get out of the visit. ng's hostsnt xi jingpi are laying on some lavish hospitality's. he will die with the queen at buckingham palace, address the houses of parliament, and even take a ride in a royal carriage. forfive-star treatment china's leading trade partner in europe. vest 25rrently in billion pounds of u.k. and britain wanted to hit 100 billion by 2025. of their investment is a nuclear power plant, and they are also offering 12 billion pounds in a contract for the rail scheme. chinese are also said to be eyeing further investments, and london could become the first overseas financial center to open a market for chinese sovereign debt issued. little wonder both sides are hailing this as a golden era. let's bring in our hong kong reporter at large, david tweed. great to see you. we are all getting ready for this visit -- it has been everywhere. how has it in for trade in china? dav

but first, we begin on chinese president xi jingping's visit to the united states. betty what does he hope to : accomplish in the u.s.? >> i think a lot can be accomplished. i believe the following three areas are very important. first, it is for the two leaders to have in-depth discussions following the discussion in california and in beijing about the international situation, about our respective country's policies. to chart a way forward further in our relationship. we expect that there will be quite a few positive practical cooperation results flowing from the visit. what people called "deliverables." i believe that the president will reach out to the american society to build the friendship between our two people. betty: people have said for this visit could be compared to the visit in 1979. is that important to the relationship between the u.s. and china. is that accurate? how critical is this visit to china? >> his visit to the united states was a historic visit, opening up the relationship between our two countries. i think this visit is also vitally importa

jingping was to talk to a western statesman, he turns to henry kissinger, 92 years old, still number guy in the eyes the chinese leaders. that tells you something. it tells you that he has amazing staying power, and it also tells you that they haven't really found a replacement for him. one of the arguments i have been making recently is that there is an american strategy, if you put it in historical perspective. on henry kissinger's watch, you would never have allowed the russians to become the powerbrokers in the middle east. he would never have allowed the russians and the chinese to get closer together to one another. i think there are some big strategic mistakes being made right now, and the full consequences of those mistakes i think will only become clear over the next two or three years, after president obama has left office. his successor, whoever that may be, will be dealing with a huge mess in the middle east. you ain't seen nothing yet. if you go back to 2010, 2011, you can see the fourfold increase in fatalities and armed activity. most of that is concentrated from north

but first, we begin on chinese president xi jingping's visit to the united states.hat does he hope to accomplish in the u.s.? >> i think a lot can be accomplished. i believe the following three areas are very important. first, it is for the two leaders to have in-depth discussions following the discussion in california and in beijing about the international situation, about our respective country's policies. to chart a way forward further in our relationship. we expect that there will be quite a few positive practical cooperation results flowing from the visit. what people called "deliverables." i believe that the president will reach out to the american society to build the friendship between our two people. betty: people have said for this visit could be compared to the visit in 1979. it is that important to the relationship between the u.s. and china. is that accurate? how critical is this visit to china? >> his visit to the united states was a historic visit, opening up the relationship between our two countries. i think this visit is also vitally important. the

it will be the first under president xi jingping's leadership, coming during a period of sub 7% growth. for more, let's bring in tom orlik in beijing. tom, first of all, let's start with the rate cuts from the pboc in the motivation behind it. so much discussion about the pboc carrying out a neutral monetary policy. are they shifting to ease mode now? if you have cut interest rates six times in the space of a year it is pretty difficult to argue you are doing anything apart from using. asing.m e they seek growth week,, inflation low they want to do something about it. . , since the middle of august we have seen extraordinary amounts of capital flowing out of china's financial system, expectations of yuan depreciation triggering record capital outflows in september. cut,eserve requirement which we saw in parallel with the rate cut on friday, is meant to offset that. there is money flowing out of the country, there is no requirement cut. period, this year leadershiprowth, convenes and us we look ahead to next year what are the growth targets going to look like and will they still be the

xi jingping hans: volkswagen recall that investment in r&d.insisting them a lot be any job losses. you get a slightly different view from the ceo. he's clearly warning of pain. here is a quote. review all planned investments and what is not absolutely vital will be canceled or delayed. i will be completely clear. this will not be painless." volkswagen as a company has way more employees than toyota which roughly has the same sales, 10 million units a year. volkswagen has 600,000 employees. potential areas of cutbacks with they arets -- thinking of investing another $1 billion in mexico. that could be off. executive bonuses will be difficult to push through. the labor union leader was talking about how the will not be personal cutbacks before executive onus is our trimmed. and then you look at what they spend on r&d, 17.4. their r&d budget. you mentioned opulence. r&d budget is the same as ford and general motors combined. more than apple and google together. so clearly, they spend a lot on r&d. they've always one to move forward. it is a compa

xi jingping and david cameron signed a nuclear power agreement worth 6 billion pounds. china owning a 30% stake in britain's first new nuclear plant to be built in the generation. >> last year, the united kingdom was the fastest-growing economy in the g7, and we are the leading champion within the european union of open markets and free trade agreements. here again, we are determined to take our relationship to the next level, including to the asian infrastructure investment bank, which will be in a norma's benefit to the region, as well as opening up more opportunities from british business to drive growth and jobs. guy: for an update on where we us.d, nejra joins what do we have thus far -- is there anything still to come? nejra: a big week of deals. we were told that we were looking at 30 billion pounds that would create 3900 jobs in the u.k. the headline was this nuclear deal, the hinkley point project with china putting up one third of the cost. britain's first nuclear plant in three decades and the most expensive atomic energy station ever. please adls across seve