|
G-whatever, China is here
The voice of Beijing will be heard at the Group of Eight gathering in Japan of
the world's so-called leading countries, if only in side discussions. Yet the
present and future size of its economy and growing role in world affairs make
China's presence unavoidable, to the extent that the very relevance of the G-8
is open to doubt. - Francesco Sisci (Jul 8, '08)
Midwest tests Sinosteel's
edge
The recent 85% increase in iron ore prices agreed between China's steelmakers
and miner Rio Tinto adds edge to Sinosteel's bid for Australian ore producer
Midwest. Rival miner Murchison is hanging in with its own offer while
hedge-fund king Philip Falcone is also a player in a high-stakes game whose
outcome may yet be decided by bureaucrats. - Alan Boyd
(Jul 2, '08)
Health support for China
investors
China's tumbling stock market shows little willingness to turn around after a
more than 50% decline since October. Yet as the economy continues its fast
growth, pockets of strength remain. The healthcare system is one such as it
emerges from its post-privatization shambles. - Peter Navarro
(Jun 30, '08)
China's shoppers
stock up on cards
The number of credit cards used by China's consumers doubled in the first three
months of this year. That should please the issuing banks, and the government.
The downside for the banks is that Chinese card users pay off their debt. - Catherine
Jiang (Jun 25, '08)
Temblor shakes China's big dam
ambitions
The earthquake that shattered much of China's Sichuan province last month has
increased concern about the country's network of dams, many built on dangerous
fault lines, and its plans to build many more to help fuel the country's
economic growth. (Jun 25, '08)
 CHAN
AKYA
Vietnam's hard economic
lesson for China
The unraveling of the Vietnam investment story in the past few weeks shows
dangers for other large Asian economies, in particular China, which faces the
dual dangers of rapidly rising inflation and heightened risks in its financial
sector. The term Middle Kingdom seems destined to mean something altogether
less salutary in coming years (Jun 23, '08)
China steel pipes in US
cross hairs
The US International Trade Commission's decision to back tariffs of up to 700%
on Chinese-made circular steel pipes establishes the firm precedent that US
companies harmed by Chinese subsidies can seek countervailing tariffs to offset
China's mercantilist advantage. It also has implications for the US
presidential race. - Peter Navarro (Jun 23, '08)
China fuel hike shakes
up markets
International crude oil prices tumbled and China's motorists rushed to the
pumps after Beijing unexpectedly raised the price of diesel, petrol and jet
fuel by upwards of about 17%. The government raised subsidies to ease the
impact on farmers and others, but more increases are expected to follow. - Olivia
Chung (Jun 20, '08)
 China
sharply hikes energy prices (AFP)
 SUN
WUKONG
Beijing lets punters sink
China's mainland-listed shares, in a near-continuous plunge since last October,
have been held back from an even deeper abyss by a series of government
interventions. Investors last week looked to Beijing for one more trick to
protect their funds. There was none. - Wu Zhong (Jun
16, '08)
SUN
WUKONG
'Cats'
mistake cream for mice
Thirty years on, the consequences of Deng Xiaoping's decision to break
with China's past and its Maoist command economy are now evident to the world
in a vastly richer country and its more affluent population. President Hu
Jintao's efforts to encourage imaginative efforts to continue this remarkable
advance are having mixed success. - Wu Zhong
(Jun 12, '08)
China's land income leaking away
Billions of dollars of land-sale proceeds are being hidden away, with much
"misused", by officials in China's leading cities as they shun central
government rules covering the increasingly valuable commodity. At the same
time, illegal land grabs are soaring. - Olivia Chung (Jun
12, '08)
China stumbles in
forging Russia gas deals
China, its demand for energy to fuel its fast-growing economy outpacing its
local productive capacity, is handily placed next door to energy-rich Russia.
It should be an ideal partnership, but inept negotiating by Beijing is slowing
development of a much-needed gas partnershp. - John Helmer(Jun
10, '08)
China's (maybe) brilliant
telecom call
China's long-awaited restructuring of its telecommunications sector should
increase market competition, speed up technological development and open the
doors to increased foreign participation. It may also leave space for China
Mobile to further consolidate its monopoly power. - Peter Navarro
(Jun 6, '08)
SUN
WUKONG
Quake opens responsibility
fault line
The earthquake that recently devastated much of central China prompted an
outpouring of donations from the country's citizens. Corporations also pitched
in, but in the case of China's leading property developer, highly profitable
China Vanke, some was not enough. - Wu Zhong (Jun 5,
'08)
China strategy stamped on
Afghan deal
Success in securing rights to Afghanistan's Anyak copper field last month
underlines China's determination to strengthen links with its neighbors while
developing its own remote western regions. Much more of that determination will
be needed to overcome the obstacles that have so far prevented exploitation of
Aynak's potentially vast resources. (Jun 4, '08)
China picks up the pieces
Enterprises hit last month by China's huge earthquake are getting back to
business, some more quickly than others thanks to plants built to withstand
such shocks. Supplies remain a problem, while the outlook for the tourism
industry is poor. - Olivia Chung (Jun 3, '08)
Loans path eases for China's
farmers
China's farmers, and the country's agricultural output, are set to gain from
changes in rules covering rural banking and affecting lenders ranging from
giants such as HSBC Holdings to local outfit UA Easy Lenders. - Olivia Chung
(May 29, '08)
China presence in
Cambodia grows
Ethnic Chinese families close to Cambodian Prime Minister Hun Sen are playing a
key role in putting Chinese companies in touch with top Cambodian officials,
resulting in deals worth billions of dollars. (May
29, '08)
Rift knocks another chip
off HK credibility
A family feud splitting the board of Hong Kong's biggest developer, Sun Hung
Kai Properties, involving battling brothers, a long-time lover and claims of a
false medical diagnosis, has caused much local amusement. It is also the latest
incident this year to call into question the priority given in the city and
elsewhere in Asia to corporate governance. - Kent Ewing and
Olivia Chung (May
27, '08)
West takes credit for
China's emissions
China's insistence that it will not hold back economic growth to assuage
concerns about the impact that expansion is having on the world's climate has
attracted the opprobrium of many in the West, such as US presidential candidate
John McCain. Yet Western companies are playing an important role in helping
China clean up its act. - Craig Meer and Vincent Shie
(May 16, '08)
China's embrace leaves US
in cold
China's determined efforts to improve relations with Southeast Asian
neighbors and to strengthen transport and trade links should bring improved
prosperity to the region. The success of Beijing's initiatives also underlines
the diminishing role to be played in the region by the United States.(May
15, '08)
SUN
WUKONG
'Devalue' call undermines yuan
true faith
China for two years has let its currency steadily appreciate against the US
dollar, all the time berated by the US and other leading trade partners who
insist the yuan should strengthen even faster. Now a Bank of
China analyst argues that Beijing should throw its currency policy
into reverse and devalue. What gives? - Wu Zhong
(May 13, '08)
China's
weakness the greater danger
Claims that China is an emerging superpower overlook the reality
that the ineffectually governed country will struggle for decades to get and
stay beyond subsistence. The West, rather than fearing China's expansion,
should be preparing for a dramatic setback in Chinese economic growth and
resulting breakdowns in domestic order.
(May 12, '08)
Pressure grows on China's
grain prices
Good harvests, subsidies and a mix of government controls have isolated China
from the worst of international grain price increases. That is unlikely to last
as farmland is lost to urbanization and impoverished farmers flee the land. - Sally
Wang (May 12, '08)
Hong Kong savers seek
yuan protection
Residents in Hong Kong and other parts of greater China are increasingly moving
their savings into mainland accounts to escape the impact of falling local
currencies and low interest rates. With the yuan forecast to gain 15% against
the US dollar by the end of the year, the flood of transfers is likely to grow.
- Olivia Chung (May 6, '08)
China faces trade war
climate challenge
China's growing economy has brought the country to the center of the debate on
curbing greenhouse gas emissions. Its reaction to moves by the US Congress to
tax imports from other major greenhouse gas emitters could prove crucial in
determining the most effective means of forcing international action on global
warming.
(May 5, '08)
China's inflation carries
long-term risks
Concern in China over rising inflation is justified, given the potential it can
have for creating social unrest. Yet failure to recognize the core causes of
higher prices, and whether these are imported from the global economy, may lead
to the wrong decisions being made and unsought consequences.
(Apr 30, '08)
SUN WUKONG
Moving markets
and mountains
The new overseer of China's financial affairs was barely in office before
polishing his "Mr Fix It" reputation by turning around the plummeting stock
markets. Curbs on refinancing by listed companies are expected to be Wang
Qishan's next mountain-moving stroke. All very impressive - but his is still a
visible hand that would be better not seen. - Wu Zhong
(Apr 29, '08)
India, China hold
G8 options
European leaders such as British Premier Gordon Brown and President Nikolas
Sarkozy of France are pushing for India and China to sign up for full
membership of the rich nations' club known as the Group of Eight. But their
counterparts in New Delhi and Beijing have good reason to hold back. - Sreeram
Chaulia (Apr 28, '08)
Food prices dim
biofuel glow
China's determination to promote biofuels as an alternative to polluting coal
and oil is being undermined as growers of the core products find themselves
squeezed by the rising cost of agriculture products and government control of
fuel prices. (Apr 25, '08)
Tax cut reverses shares plunge
 The
Chinese government has scored at least a temporary success with its latest move
to halt the plunge in the country's stock market, among the world's worst
performers this year. Shares jumped almost 10% after an overnight cut in stamp
duty, raised 11 months earlier, helped return confidence to investors.
(Apr 24, '08)
Chinese
shares rocket (AFP)
US media the last hurdle for
China buyouts
Chinese companies looking to expand overseas are already aware of potential
hostility from Washington to encroachment on US companies. Yet even if legal
barriers were not thrown up, another bar could prove insurmountable - the
antagonistic US media. - Thomas H Wilkins (Apr
23, '08)
Guangdong keeps value in
clear-out
Chinese government efforts to clear low-value manufacturers out of Guangdong
province and encourage production there of more up-market goods may be bringing
results if the exodus of shoemakers from the key manufacturing and exporting
hub is any guide. - Olivia Chung (Apr 21, '08)
China caught in potash crunch
China has found that its market muscle counts for little when it comes to
buying the fertilizer essential to maintain its output of rice and other crops.
New contract terms more than doubled the price it pays for shipments from
Russia, and competition with other consumers is set to intensify. Suppliers,
meanwhile, are seeing their share prices soar. - John Helmer
(Apr 21, '08)
China's exporters seek
dollar balance
Exhibitors at China's largest trade fair face tough decisions this year as the
country's currency continues its inexorable rise against the US dollar, in
which most international trade is denominated. Ask customers to tie their
purchases to the euro or see even further erosion to thinning profit margins.
(Apr 21, '08)
Exposed: China's red
billionaire village
It was a marriage made in heaven - the best of Mao Zedong thought partnered
with the mechanics of a market economy. The money rolled into Nanjie village,
the villas went up and the natives sat back while migrants did the chores.
There was only one hitch - and now the bills are coming in. - Poon Siu-tao
(Apr 17, '08)
China growth shrugs off
freeze
China's central bank has further clamped down on the ability of lending
institutions to hand out money as the economy expanded by more than 10% in the
first quarter despite a fierce winter and inflation showing little sign of
slackening. - Olivia Chung (Apr 17, '08)
TARGET IRAN, Part 2
Euro mantra undermines
sanctions
Chinese exporters have a three-line code to beat United States-imposed
sanctions on Iran. The mantra's heart - the euro and the Europe-focused SWIFT
banking transaction network - point to the likely long-term winners and losers
in this financial tug-of-war. (Apr 11, '08)
This concludes a two-part article.
US stocks open to
China savers
Chinese can now invest their cash in US stocks under a deal signed this week.
Such purchases might look attractive, given recent declines in Shanghai-listed
equities, and will help channel some of China's vast US dollar holdings into
the private sector rather than being parked in US government securities. But
look for a trickle rather than a flood of funds. - Richard Komaiko
(Apr 9, '08)
China gets energy issues
down on paper
China has made a breakthrough in its approach to a central feature of its
fast-growing economy merely by drawing up a white paper outlining a national
energy strategy. As Beijing strives to meet its often conflicting challenges,
it needs to set about refining that strategy, ideally with substantial help
from the international community. (Apr 8, '08)
Strong yuan may be China's
savior
Chinese writers and economists rarely share the United States perspective that
the yuan should appreciate faster to ease the trade deficit between the two
countries. Conspiracy theorists have popular support. Yet a major appreciation
of the yuan could be the most effective way of bringing China's inflation under
control. (Apr 7, '08)
Macau's rotten basket of
riches
In the space of a few years, Macau has metamorphosed from a sleepy backwater
into the richest place in Asia. New casinos are the driving force and their
owners the main beneficiaries. Strip out the gambling money and another reality
is evident - the locals are still picking up crumbs from the rich folks' table.
- Kent Ewing (Apr 3, '08)
Global slowdown tests China's
goals
The continuing global impact of the financial crisis in the United States
complicates Chinese government efforts to curb inflation, boost investment in
agriculture and drive ahead with economic restructuring.
Open skies a plus-plus
for China, US
The number of flights operating between the United States and China is
increasing, but slowly, with China appearing reluctant to recognize the
economic benefits that would accrue if the present limits were thrown out. - Thomas
H Wilkins (Apr 2, '08)
Power crisis for Guangdong
industry
Manufacturers in Guangdong province, one of China's key industrial centers,
face a long troubled summer as they battle rising costs, labor shortages and
doubts over the strength of global markets, particularly the US. Adding to
their burdens, the area is forecast to suffer its worst electricity shortages
in three decades. - Olivia Chung (Mar 31, '08)
Flight, pain mark latest
China revolution
Small-time foreign investors in China are closing their factory doors and
catching the next flight home, leaving debts and unpaid workers behind, as they
fail to keep pace with the country's changing industrial focus. Taking their
place on incoming flights are better-heeled investors, more fully equipped to
survive in the fast-modernizing economy. (Mar 27,
'08)
China's insurers look to
looser shackles
Consumers attracted by higher returns elsewhere have been shunning the
once-buoyant Chinese life insurance industry, whose product attractions are
limited by a government-imposed ceiling on interest rates paid on policies.
Freedom to set their own rates, now under consideration, may help domestic
companies win back customers and meet the challenge of increasing overseas
competition. - Olivia Chung (Mar 26, '08)
Economic path opens for
China reunification
The Taiwanese electorate's support for Ma Ying-jeou and Beijing's restraint in
the runup to the island's recent presidential election have created an
atmosphere in which economic ties can strengthen and help move China towards
reunification. (Mar 26, '08)
Cambodian
dam plans suffer
information drought
Cambodia, with its own fast-growing economy
and a shortage of energy, plans to build a series of hydropower projects that
would help to supply its own needs while creating an opportunity to supply
electricity to neighboring countries. Yet even projects underway lack
transparency while the strong presence of Chinese companies is also raising
concern. (Mar 25, '08)
SPEAKING FREELY
China
risks caution overkill
after Bear prudence
CITIC Group's decision to cancel its US$2 billion cross-shareholding deal with
Bear Stearns highlights China's new mood of caution on investing in Western
banks and may coincide with a rethink regarding its own financial
organizations. Yet a return by China to the world of rigid financial sector
compartmentalization would be in neither its own nor the global financial
system's interests. - Sebastian F Bruck (Mar 25,
'08)
Green
challenge to China's mega-projects
China's fast pace of growth has come at huge cost in pollution and degradation
of the countryside. Residents are now making their voice heard in protest
against projects ranging from refineries to train lines. Assessment reports by
the high-powered State Environmental Protection Administration will now play a
key role - once it has some updated rules to follow. Candy Zeng
(Mar 19, '08)
Strait talk boosts Taiwan
stocks
Overseas investors are buying up Taiwanese shares on the prospects of this
week's presidential elections leading to improved relations between Taipei and
Beijing. - Olivia Chung (Mar 18, '08)
China opens door wider to
foreign funds
The Chinese government, after a lull of more than a year, has reopened its
doors to allow overseas funds - in this case reportedly Norway's global pension
fund, one of the world's largest - to invest in the yuan-denominated share
market. The move may help lift share prices, though retail investors see
something more sinister at work. - Sally Wang (Mar
14, '08)
Big test for Taiwan
prediction market
Taiwan's presidential election this month is more than a challenge for the
island's political heavyweights. It will also test the accuracy of a market
designed to forecast who will come out on top of such contests. Even if real
money cannot be used, a successful outcome will help attract more converts in
Asia to what is becoming a global phenomenon. - Jonathan Adams
(Mar 13, '08)
Subprime blues hurt China
shares goal
Beijing's plan to take some heat out of the economy by encouraging retail
investors to buy overseas shares has been damaged by the impact on global
markets of the US subprime crisis. Regulators are now expected to relax the
rules so that a wider range of companies can list in Shanghai. - Olivia Chung
(Mar 12, '08)
SUN
WUKONG
Guangdong looks
for
closer delta embrace
A rising star of China's Communist Party is looking to create a unified trade
zone incorporating Hong Kong, Macau and Guangdong province, a move that would
help his own ascendancy while giving a boost to the Pearl Delta region, where
industry is being eroded by rising costs. -
Wu Zhong (Mar 11, '08)
SPEAKING FREELY
Don't be lazy,
snooze at work
Asia's culture of napping has reached a new level in China, where the state has
authorized sleeping on the job, at least for a little while. It's time to wake
up to the age of the "cubicle nap" and experts say the results are eye-opening.
Increased productivity, safety and morale surely put to bed any Western notions
of the dangers of a work-day doze. - Matt Young (Mar
6, '08)
China
looks to stamp duty cut
Pressure is building on the Chinese government to cut the stock trading stamp
duty as a means of injecting new life into a market that has slumped from the
record highs of last year. - Olivia Chung (Mar 6,
'08)
China confirms inflation enemy
number one
Premier Wen Jiabao told China's Parliament on Wednesday the government would
take more steps to curb inflation and cool the economy. His determination was
underlined by setting a GDP growth target well short of non-government
forecasts. - John Ng and Olivia Chung
(Mar 5, '08)
Iran gas: China waits as
India wavers
 The
possibility of India buying Iranian gas by way of a pipeline running through
mutual neighbor Pakistan has been a talking point for the past decade. Yet as
Islamabad and Tehran prepare to sign a gas purchase agreement this month, India
is holding back amid security concerns and US disapproval of the plan.
Energy-hungry China may seize the opportunity. - Siddharth Srivastava
(Mar 5, '08)
Taxmen hover over $22bn Ping An fund plan
Ping An Insurance shareholders vote this week on a plan by the firm to raise
more than US$22 billion by selling shares and bonds. Their decision might be
swayed by the Chinese tax authority's move to run a rule over the insurer's
acounts. - Sally Wang (Mar 4, '08)
Total recall in China
Headline-grabbing incidents of toxic Chinese-made products - from toys with
lead paint to contaminated fish and adulterated drug products - mask the
progress the country has made in cleaning up its act. More can be done and will
be, if civil aviation safety and action over doping in sports are any guide. - Dali
L Yang (Mar 4, '08)
HK-Macau bridge planners
take costly option
A proposed 36-km bridge to straddle the Pearl River Delta
between Hong Kong and Macau is to be developed under the build-operate-transfer
system of funding, with a 50-year operating period. It is a remarkable choice
given the wealth of the local governments involved. - Henry C K Liu
(Mar 4, '08)
China
business looks homewards
An appreciating currency and government policies that add to the expense of
selling products overseas are encouraging China's exporters to look to domestic
markets to maintain sales momentum. (Mar 3, '08)
SPEAKING FREELY
Cultural bias a drag on China
business
Visitors to China easily assume a superior stance when faced with aspects of
the country not to their liking. Business leaders risk losing out when they
dismiss its apparently monolithic political culture as one without prospect of
change. - Matt Young (Feb 28, '08)
Discounts mark China property
price slide
China's government may be having some success in its efforts to cool the
country's housing market. Land in Shanghai is selling at less than half the
prices fetched last November, while developers are breaking new ground with
discounts. (Feb 28, '08)
China turns up heat on hot
money
Illegal banks responsible for moving billions of yuan across China's borders,
notably into mainland and Hong Kong stock markets and property, are to get
increasing attention from authorities concerned about the country's financial
stability. - Olivia Chung (Feb 27,
'08)
SUN
WUKONG
Shares drive may drown a
golden goose
The Chinese government, keen to reduce the amount of cash in the economy, is
encouraging more companies to raise money in the stock markets rather than
through bank loans. The result is a plethora of proposals for new share issues
by listed companies such as insurance giant Ping An, whose need for the cash is
open to question. - Wu Zhong (Feb 26,
'08)
SPEAKING FREELY
China has
poll breather on yuan pressure
Calls by the Group of Seven and the International Monetary Fund for faster
appreciation of the yuan, allied to China becoming the US's biggest supplier of
imports, are unlikely to stir Beijing into action this year, with US
politicians and the public distracted by the battle for the White House. - Tim
Brown (Feb 25, '08)
China's
green race against urban surge
An unprecedented move to the cities by China's rural population will create
huge demands for new housing over the next two decades - and concomitant
pressures on the environment. Developers are taking some steps in the right
direction to limit the damage. - Josh Adams (Feb
22, '08)
Squeeze
to follow China freeze
The Chinese government looks set to step up its efforts to squeeze cash from
the economy as January figures indicate numerous interest rate rises and curbs
on bank lending have failed to do their job. Yet higher borrowing costs
will hurt farmers and businesses trying to rebuild from a winter savaging.
- Olivia Chung (Feb 21, '08)
Chinese bonds signal
early end
to 'tight' money
The Chinese government made clear its determination to rein in inflation with
an end-of-year announcement that monetary policy would be tightened. Yet the
country's bond market suggests that nothing has changed - even that the policy
direction might soon be reversed. - Mark A DeWeaver (Feb
21, '08)
China
tightens grip on grain
Increased harvests in China are failing to meet growing demand for grain,
raising concerns over China's ability to feed itself and prompting the
government to curb the flow of grain exports. - Olivia Chung
(Feb 20, '08)
China stakes much on new stock
board
China is resurrecting plans to launch a growth board for listing small
companies as a route to encourage more start-ups, further develop its venture
capital industry, and soak up liquidity in the booming economy. - Candy Zeng
(Feb 15, '08)
Wealthy sovereign, poor
citizen
China's willingness to pour funds into the likes of Blackstone is a vote of
confidence in the future of America's economy. Yet the Chinese government could
instead distribute the foreign reserves it garners to its poorest residents.
Only a few dollars a day; but when was the last time someone offered to triple
your income? - Richard Komaiko (Feb 13, '08)
Macau loses as Asia’s
Las Vegas
Revenues pulled in by southern China’s gaming haven are set to surpass southern
Nevada’s. That won’t make it Las Vegas and Macau should be thankful. - Muhammad
Cohen (Feb 12, '08)
China helps create a future
for Congo
China's agreement to take on big infrastructure projects in the Congo in return
for copper and cobalt reserves aroused deep suspicions and claims of
neo-colonization. Yet the deal could help transform the African country's
economy - and save President Joseph Kabila's political future.
(Feb 11, '08)
Asia's SMEs see healthy
outlook
Asia's small-business entrepreneurs are looking to expand domestically and
internationally this year, as the prospects in strong regional economies
outshine the creeping gloom from the US. - Olivia Chung
(Feb 11, '08)
China’s retail rethink
Mall developments boasting Prada boutiques and Tissot displays are a
growing feature of China's booming economy. But many are bedevilled by poor
management, poor location, poor design, poor choice of tenants and worse,
prices way beyond even the country's growing middle class. The way ahead for
most is downmarket. - Josh Adams (Feb 8, '08)
Poisoned dumplings kill
$500m merger
China-made snacks that sickened Japanese consumers, nourished conspiracy
theories and gave a queasy turn to Beijing-Tokyo relations also nauseated
executives at the world's third-biggest tobacco company as the poisoned
dumplings killed off a US$500-million merger plan. (Feb
7, '08)
No cooling China's economic
engine
The blizzards that have knocked out chunks of China's industry and wrecked the
holidays of millions of workers will likely prove merely a storm in a teacup
when it comes to their effect on the country's runaway economic growth. - Zhou
Jiangong (Feb 7, '08)
Profits high from China's online
'opium'
A government warning that online gaming is a form
of spiritual opium has failed to halt China's millions of players entering
fantasy worlds and driving up the profits of the game providers. - Catherine
Jiang (Feb 6, '08)
India's Suzlon
catches wind in China
China's determination to use more wind-generated power is pulling it
ahead of India in the newly popular sector. It is also creating openings
for Suzlon and other companies based across the Himalayas. -
Pallavi Aiyar (Feb 6, '08)
SUN WUKONG
Protection(ism) against the big
freeze
Heavy snowstorms have helped expose a flaw in China's efforts to hold down food
prices, as authorities in the free-wheeling city of Guangzhou make a pig's
dinner of market forces. - Wu Zhong (Feb 5, '08)
China's aviation in take-off
mode
Links with Boeing and Airbus have helped leaders of China's aviation industry
recognize key tricks of the trade, from Six Sigma methodology to customer
service. Amid continuing restructuring, an indigenous rival may be ready within
20 years to take on the Western giants. (Feb 4, '08)
Last call for Guangdong
shoemakers
Shoemakers in China's richest province are among thousands of businesses forced
to close under the weight of rising costs and government pressure to modernize
business in Guangdong. - Olivia Chung (Feb
4, '08)
Fund pioneer quits China bull
ring
A pioneering mainland China fund manager is taking a lone path once more - by
turning his back on what many in the business still believe is a bull market
with legs.- Candy Zeng (Jan 31, '08)
Macau adds up gambling debts
Macau, growing fat on a casino boom, is starting to look beyond the mainland
and gambling for future business. Some folk, though, are looking at the city
itself, and are wondering if more than cash has been thrown away with the
gambling chips. - Muhammad Cohen (Jan 30,
'08)
Inflation gloom in China snow
chaos
China's worst snow storms in 50 years may help to drive up inflation, say
analysts. Stranded travelers bear witness to that, as hard-won wages disappear
to buy rail-station lunch boxes and bus fares home. - Catherine Jiang and Olivia
Chung (Jan 29, '08)
Price freezes squeeze
Chinese farmers
A government-imposed freeze on prices for household necessities is welcomed by
urban consumers. Yet the bulk of China's population lives in rural areas, where
farmers are finding little relief from rising wages and other costs.
(Jan 28, '08)
China's small banks head
to market
China's city-based banks, though dwarfed by financial behemoths such as ICBC,
are riding the country's wave of prosperity by cashing in on their local-market
knowledge. Now they aim to soak up cash sloshing around in savings accounts by
selling shares. - Olivia Chung (Jan 25, '08)
China: Partner or
predator in Africa?
China's links with Africa, frequently portrayed as imperial or in conflict with
US interests, in fact present a huge opportunity for all parties involved.
Along with strategic targeting of aid, African governments hold the key if they
improve laws and regulations and ensure technology transfer in deals with
foreign firms. - (Jan 24, '08)
China expansion fastest in 13
years
Slowing economic growth towards the end of last year may indicate that
government efforts to rein in the Chinese economy are starting to bite. Even
so, GDP growth of 11.4% in 2007 was the fastest since 1994. - John Ng
(Jan 24, '08)
SUN WUKONG
China
investors face taxing challenge
Overseas businessmen in China familiar with the rule of law in their home
countries can have a tough time coming to terms with the ways of local Chinese
officials. The results can deter investments in the areas that need it most. - Wu
Zhong (Jan 23, '08)
Angel savaged by
Hong Kong bears
The upturn in Hong Kong and other Asian stock prices after the overnight US
interest rate cut came too late to save numerous retail investors caught in the
market stampede.
- Olivia Chung (Jan 23, '08)
China sees opportunity in
US recession
A recession in the United States could have negative effects on the booming
Chinese economy. Yet the present crisis also creates opportunities for China's
banks and other businesses, flush with cash, to buy overseas assets. And
influence US political backrooms at the same time. (Jan
23, '08)
China's SOEs brave declining markets
China Coal is leading a parade of large companies selling shares into mainland
stock markets that last year lapped up record-setting IPOs. The latest sales
may help to soak up excessive liquidity, but similar demand is not guaranteed.
- John Ng (Jan 22, '08)
China's
short-term price fix
Chinese consumers may welcome the latest efforts by the government to rein in
the rising cost of food and other necessities, but analysts warn that any
slowdown in price rises will be a temporary affair. - Olivia Chung
(Jan 18, '08)
China tightens squeeze
on economy
The Chinese government has imposed a range of price controls on essential
products and for the 11th time in barely a year raised the reserve ratio for
commercial banks as it continues its efforts to rein in the economy. (Jan
17, '08)
Labor law strengthens
Chinese union
China's Labor Contract Law, introduced on January 1, joins a litany of
legislation designed to protect workers' rights and interests, while on the
factory floor these remain precarious and are routinely ignored or violated by
management. Even so, the new law presents an opportunity to create a genuine
and effective collective bargaining system. (Jan
17, '08)
Sour market looks sweet
to China's developers
Chinese property developers are lining up to build on US$7 billion raised
through share sales in Hong Kong last year, even as share prices plunge and
government measures to rein in the property market start to bite. - Olivia
Chung (Jan 16, '08)
SPEAKING FREELY
Investing in China: Fool's gold?
The enthusiasm of US investors to pour money into China belies the differing
histories of the two countries. China, its take on the present colored by
precedents such as the opium wars, is not of a mind to let foreigners take
profits made in the domestic market out of the country. Variations on the theme
abound. - Thomas I Palley (Jan 15, '08)
China's yuan,
trade surplus climb
China's currency continues to hit new highs after foreign exchange
reserves passed US$1.5 trillion and the country's trade surplus jumped almost
50% in 2007 from a year earlier. Slowing export growth towards the end of last
year won't halt demands from the US for an even stronger yuan.
(Jan 14, '08)
China imposes
price freeze to curb inflation
As Chinese consumers contend with rising costs for basic necessities,
particularly food, the government this week imposed a price freeze on gas,
water and public transport and pledged to impose severe penalties on companies
that raised prices without approval. (Jan 10, '08)
No holding back China IPO market
After a year in which mainland China topped New York and London in money raised
through initial public offerings, the domestic markets are set for an even
stronger 12 months, particularly if the government gives the go-ahead to
Shanghai listings by China Mobile and other overseas incorporated Chinese
companies. - Olivia Chung (Jan 9, '08)
SUN
WUKONG
Shanghai breaks with
market principles
Shanghai, a key player in China's dramatic transformation into a capitalist
economy, is moving to ban Chinese who come from elsewhere in the country from
buying housing in the city. The action flies in the face of free-market
principles and Beijing, an opponent of protectionism in international business,
should crack down on it at home. - Wu Zhong
(Jan 8, '08)
Experimental drugs flourish in
China
Critically ill foreigners are turning to China for potential cures as the
country moves to the front of the global biotechnology industry with drugs and
gene therapy treatments unavailable elsewhere. The progress is linked to an
absence of clinical trials and a regulatory environment that falls short of
Western standards. (Jan 8, '08)
QDII funds get bite of
China's A-shares
A scheme designed to give Chinese retail investors a chance to put money into
overseas stocks and bonds will now give access to the country's super-charged
yuan-denominated A-shares. Some commentators claim the change is ridiculous,
even as the scheme will also be expanded outside China beyond the present limit
of Hong Kong. - Olivia Chung (Jan 7, '08)
|
