Friday, 19 February 2010
Beijing says it wants to spur Chinese inventions with a “Buy China” policy that gives preference to domestic technology companies. But the tactic has provoked an outcry from Washington and business groups that say it will choke off access to the massive market for goods from software to clean power equipment.
Today’s dilemma is familiar to China. That means Beijing may opt for a familiar solution: a variation of the compromise approach it took in July 2005 when it moved off a de facto peg to the dollar. That involved making a small appreciation, then setting the currency on a path of gradual gains. Authorities also widened the yuan’s daily trading band, in a mostly unsuccessful attempt to convince markets that the yuan could go down as well as up.
It’s become apparent from recent events that America’s political, business and scholarly elites have fundamentally misjudged China. Conflicts with China have multiplied. Consider: The undervalued yuan and its effect on trade; the breakdown of global warming negotiations in Copenhagen; China’s weak support of efforts to prevent Iran from acquiring nuclear weapons; its similarly poor record in pushing North Korea to relinquish its tiny atomic arsenal; the sale of US weapons to Taiwan; and Google’s threat to leave China rather than condone censorship.
Thursday, 18 February 2010
China is bounding into the year of the tiger with a sense of self-confidence it has never felt before, secure in the belief that its rise is inexorable and that its voice, and soon its power, will extend into every corner of the earth. This month, statistics showed that China overtook Germany as the world’s largest exporter in 2009, confirming its growing economic clout.
Wednesday, 17 February 2010
For years, ships from other countries, laden with oil, machinery, clothes and cargo, sped past this small town near India as part of the world’s brisk trade with China.
Now, China is investing millions to turn this fishing hamlet into a booming new port, furthering an ambitious trading strategy in South Asia that is reshaping the region and forcing India to rethink relations with its neighbours.
Tuesday, 16 February 2010
Deep inside a Chinese military engineering institute in September 2008, a researcher took a break from his duties and decided — against official policy — to check his private e-mail messages. Among the new arrivals was an electronic holiday greeting card that purported to be from a state defense office.
China’s economy will slow down and may even be at risk of a crash because of the nation’s excess capacity and as loan growth slows, investor Marc Faber said.
China Milk Products Group Ltd., a supplier of raw milk and dairy cow embryos, said it’s defaulting on some repayment obligations because it hasn’t enough money outside China to pay for early redemption of its bonds.
More than 130,000 websites have been closed in the mainland’s crackdown on internet pornography, although less than 12 per cent of them were actually pornographic.
The one-child policy may have reined in China’s population growth but it has done nothing to change the preference for sons deeply rooted in traditional culture. And an official crackdown on fetal sex determination and sex-selective abortion has had limited impact, as evidenced by Hong Kong’s emergence as a mainland birth hub since a landmark Court of Final Appeal ruling gave permanent resident status to children born in Hong Kong of mainland parents.
Tony Chan Chun-chuen has launched a court challenge to the seizure by police of documents that he claims are covered by legal professional privilege. This follows a police search of the premises of Chan’s former law firm Haldanes, as part of their investigation into suspected forgery by the fung shui master after he lost the court battle for Nina Wang Kung Yu-sum’s fortune.
Last April, when global financial markets were collapsing, a Chinese Web site named Sohu.com made a bold move to spin off its online gaming unit and list it on the Nasdaq Stock Market.