Nov. 23 – China’s Ministry of Finance has stated that the nation’s state-owned enterprises recorded an average 9.2 percent profit level in October over September’s figures, boosted in part by growing demand for vehicles and housing.
The previous ten months – November 2008 through August 2009 – had all shown a decline in profits of about 10.6 percent from the previous year. The September-October increase represents the first month on month growth for nine months. Continue reading
Jul. 2 – China will soon build a 700 square kilometer coastal economic belt in the northeastern Liaoning Province specializing on shipbuilding, petroleum refining, advanced equipment manufacturing, raw materials, high-tech industries and agriculture processing, according to reports.
The province is located in the country’s northeast bordering the Bohai Gulf, North Korea, the Yellow Sea, Jilin Province, Hebei Province and Inner Mongolia. It is traditionally a major metal producer and is one of the top raw material production centers in the country.
Plans for the new zone will include the ports of Dalian, Jinzhou, Yingkou, Huludao and Dandong. “The zone will become an important engine for the rejuvenation of the the northeast industrial base,” said Lin Muxi, Economics School dean of Liaoning University told Xinhua.
Jun. 23 – China will implement more tax cuts next month to help the struggling export market.
The substantial cuts will cover around 100 categories of goods that include fertilizers and agricultural products. One example of a deep tax cut is the discount on phosphate fertilizer now set at 10 percent from the previous 75 percent.
The country is the second largest exporter in the world and custom bureau figures show that exports dropped by a huge 26.4 percent to US$88.8 billion in May. Beijing has been quick to give more tax cuts, and rebates but the measures are only a salve to the real root of the problem – depressed export demand caused by global economic crisis.
A tax cut at least will be better for exporters as opposed to tax rebates because the effect on cash flow is immediately felt.
Jun. 18 – In its China Quarterly Update, the World Bank changed its economic growth forecast for China from 6.5 percent to 7.2 percent on account of its stimulus package fueling an investment boom.
While China’s economy has continued to feel the brunt of the global crisis, very expansionary fiscal and monetary policies have kept the economy growing respectably, according to a World Bank statement.
The agency warned though that it was still not sure if a sure recovery was on the way although Beijing’s plan to offset plunging exports by investing on public works seem to be working to support economic growth.
A look at the growth shows that government-influenced investment has risen while market-based investment has slowed. According to the report, consumption has held up well as well as imports although exports have continued to drag growth.
Jun. 16 – The country’s first bioenergy research center was launched last Sunday in the Guangxi Zhuang autonomous region’s capital city of Nanning as part of Beijing’s new energy development plans.
The research center aims to find ways to effectively use cassava, sugar cane and sweet sorghum for new energy development; commodities that are abundant in the region.
China’s bioenergy resources are estimated at five billion tons. The first cassava-for-alcohol fuel project in the country with an annual capacity of 200,000 tons began in Beihai city of Guangxi in 2007.
SHANGHAI, Apr. 1 – Zhangjiang High-tech Park located in Pudong New Area still continues to be a top destination for FDI with a recent signing of contracts with local and international companies worth an estimated RMB4 billion.
Government officials told Shanghai Daily that the investment is expected to generate more than RMB20 billion in output in the next two years.
Last year, Zhangjiang Park was able to secure 149 foreign investment projects amounting to US$1.295 billion; an increase of 8.8 percent from the previous year.
The park also qualifies for a RMB1 billion industrial fund set by the government to develop its bio-pharmaceutical industry. The pharmaceutical industry in the park reported earning of RMB9.53 billion last year, an increase of 15 percent.
Mar. 9 – China will eventually cut export-related taxes to zero and offer financial help for struggling exporters, the commerce minister said in an interview.
The Commerce Minister Chen Deming told the Study Times newspaper, the government would “according to international rules steadily restore zero tax rates for export products,” as well as ensure high-energy and resource-consuming exports are curtailed.
“We should have ample confidence, seize opportunities to advance and lift our share of the international market.” he said, “Strive by all means to maintain stable export growth and prevent a dramatic fall in external demand.”
China’s meteorological bureau guarantees good weather for Olympics
BEIJING, Feb. 1 – Beijing’s Meteorological Bureau announced yesterday at a Beijing Olympics Organizing Committee meeting that they are fully prepared to take control of the most unpredictable element in sports – the weather. China is a world leader along with the Russians in what is known as “weather modification science;” however this has usually been deployed to create rain, rather than eliminate it.
Cloud seeding for example has long been used by the Chinese since the 1950s to bring on downpours, particularly in the North, where desertification has eaten away at precious arable land resources, and trying to induce rain to fall in the drier provinces. There has been success – deserts are slowly waning in China and more land is being reclaimed. The Russians, too, have long been experts in this field – sophisticated rain seeding carried out over Chernobyl prevented much contaminated rain from reaching further than it did in the aftermath of the nuclear catastrophe. However, the reverse procedure – ensuring no rain falls – is little used. Continue reading
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