China Top Business News Weekly news digest

[eInfiniti 0]

China Top Business News (Week of 10/19/09):

 

During the 3rd quarter, China's GDP was up 8.9%, industrial output up 12.4%, and retail sales up 15.1%. During the first 9 months, fixed-assets investment was up 33.4%, CPI down 1.1%, and PPI down 6.5%

Chinese government is still highly concerned about inflation. For September, CPI was up 0.4% from August while PPI was up 0.6%. However, the government will continue the proactive fiscal policy and moderately easy monetary policy for the time being.

China will require a security deposit on imported nylon 6 from the US, EU, Russia and Taiwan. The decision followed a preliminary ruling of the Ministry of Commerce, which states that nylon 6 has been dumped on the Chinese market and caused substantial damage to the domestic sector.

Although the value of China's currency, Yuan, has hovered at around 6.83 to the US dollar, international short-term speculative funds have started to rush back in since the 2nd quarter. This is after the massive exodus of the funds during the previous two quarters because of the global financial crisis.

Profits of China's 135 largest State-owned enterprises (SOEs) fell 13.7% in the first 9 months from the same period last year.

China Top Business News (week of Oct. 26, 2009)

 

- China has reiterated its commitment to proactive financial policies and moderately loose monetary policies amid speculation that it might be preparing an exit strategy. But, the central bank continued to withdraw liquidity through open market operations this week with a net drain of 133 billion yuan from the market, sending the net withdrawal in October to 156 billion yuan ($22.85 billion), the biggest monthly drain since February.

 

- China's overseas investment was almost triples in Q3. It surged 190% year-over-year to $20.47 billion in the third quarter. The first nine months saw overseas investment rise 0.5% over the previous year to $32.87 billion.

 

- China's retail sales will grow around 16% in 2010 as boosting domestic demand will remain the focus of policy, a commerce official said on Thursday.

 

- The fall in China's foreign trade would be less than 20% in 2009. Because of a lower comparison basis in Q4 and policies to stimulate exports, the foreign trade would fall at a slower pace or even rise slightly the rest of the year. Compared with a year earlier, foreign trade dropped 24.9% in Q1, 22.1% in Q2 and 16.7% in Q3.

 

- Chinese Premier Wen Jiabao has urged to deepen reforms in the country's medical system and social security network.

 

China Top Business News (week of Nov. 2, 2009)

 

- A leader in a Chinese government think tank said on Thursday China's 2010 macroeconomic policy should focus on maintaining steady economic growth and stable prices. Earlier, a Department of Commerce official said the yuan exchange rate should also be maintained relatively stable so that domestic manufacturers and exporters can better predict and adjust to the market.

 

- The Purchasing Managers' Index (PMI) of China's manufacturing sector rose to 55.2 percent in October, up 0.9 percentage points from the previous month. The non-manufacturing PMI rose to 62.1 percent in October, the highest for 2009, up 3.2 from the previous month.

 

- The Ministry of Commerce said it had launched anti-dumping, anti-subsidy investigations into US-made off-road vehicles and sedans with engine displacements of 2.0 liters and above.

 

- The rise in new orders at the 106th Canton Fair (China Import and Export Fair) signaled export demand recovery from its bottom. The combined volume topped $30.47 billion, up 16.2 percent from the spring Canton Fair.

 

China Top Business News (week of 11/9/2009):

 

- China's CPI dipped 0.5% year-over-year in October while the PPI dropped 5.8%. Both declines were slower than previous month. Food prices went up by 1.6%; non-food prices dropped 1.6%. CPI is expected to grow either in November or December.

 

- China's economy appears to be well on its way to recovery, following the latest economic data. Spurred by the government's massive stimulus package, industrial production rose 16.1% year-over-year in October, the largest growth since March 2008. Retail sales rose by 16.2%, largest since December.

Car sales rose 43.6% in October. Sales of home appliances were higher by 35.4%.

 

- China's imports decreased by 6.4% in October while exports dropped 13.8%. For the first 10 months, imports were down by 19%; exports were down by 20.5%. The trade surplus for the first 10 months was down 27.2% to $159.23 billion.

 

- China's new Yuan-denominated loans were down 51% in October compared to the previous month. Loans outstanding at the end of October were 34.2% higher than a year earlier, almost the same as September's 34.2%. The M2 money supply was up 29.4% in October. Yuan lending in the first 10 months totaled 8.92 trillion yuan, far exceeding the government's target of 5 trillion yuan for the entire year.

 

- People's Bank of China, the central bank, said in its quarterly report of monetary policy, for the first time, that the bank would improve the mechanism of the exchange rate determination "based on international capital flows and movements in major currencies". Experts suggest that it means that

China would not let the yuan gain against the US dollar in the short term.

 

China Top Business News (week of 11/16/2009):

 

- China's foreign direct investment saw a third consecutive monthly increase in October, up 5.7% year over year. The FDI actually used in the first 10 months amounted to $70.9 billion, down 12.6% from last year. The manufacturing sector used 12.5% for the first 10 months and the service sector used 14.5%.

 

- The United States and China have pledged to rebalance each other's economy and move in tandem on forward-looking monetary polices for a strong and durable global economic recovery, according to a China-US joint statement released in Beijing on Tuesday.

 

- China announces price hikes of electricity for non-residential use. Nationwide, rates will go up by 2.8 cents or 0.4 US cents per kilowatt hour on average.

Residential electricity prices would not be raised for the time being. However, they would be charged on a progressive basis in the future, which means prices increase with consumption. Nationwide power consumption in October rose 15.9% year over year to 313.42 billion kilowatt-hours, up for the 5th consecutive month since June.

 

- China's Minister of Education warned that the country's record number of 6.3 million college graduates next year would pose "severe challenges" to the job market.

[H.O.D 0]

China is surely growing with each year - that fact is undeniable. And I'm sure the present superpowers are getting more and more nervous about China's growth. It's a good thing after all, but I only wish the internal conflicts, i.e, between the people and the government would settle soon too. Only then would there be some huge impact on other countries. Until China is fighting with itself, I don't think there can be any complete progress. Still, well done!!!

[The Simpleton 2]

China is rapidly developing every year and this the rest of the world will indeed give a mixed reaction to this. Countries like th US, UK, etc will be apprehensive about this while Asian countries will be happier for the growing power among their "community". They already have the world's largest internet population (not to forget the largest human population ) and that means tons of human resources! No wonder they're progressingThese updates are really interesting - can you quote a source? Are there updates for other countries as well?

[index.html 0]

This is normal and I home all my items are from China but also in the market all Chinese products is not high quality though the price is very low and only because the price is good

Edited November 24, 2009 by index.html (see edit history)

[webishqiptar 0]

I think, everything is made in China. But this is the fact I hate Chinese products mostly, they are all copied(not original) and they have a low quality(just like Turkish ones). But they're taking control of the market because of the low cost products. If I had the possibility to, I wouldn't even buy a packet of cigarettes from China . I have nothing with Chinese people, but they must try to be original.