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All posts by RWZ - 214. page

Xinhua report: “Mutated” Protectionism Attacks “Made In China”

International Herald Leader, under Xinhua News, reported from Beijing that traditional protectionism is no longer the primary weapon against China. Some countries are attacking “Made in China” with “mutated” protectionism.

European and American countries are currently hiding protectionism behind accusations raised by their NGOs. Examples are attacks under the names of “animal protection” and “labor rights”. The Xinhua report concluded that, the goal of this kind of “hidden” protectionism is to reduce imports from China. The report also suggested that Chinese NGOs should fight back by various means.

Source: Xinhua Net, March 31, 2009.

The Chosun Ilbo: Super-Sovereignty Reserve Currency Triggers US-China Currency War

China recently suggested the creation of a “global currency” to replace the US dollar. The US is firmly against the proposal. US President Obama told the press on the March 24 that “the US dollar is extraordinarily strong.” Primary US economic officials retorted on the same day.

Despite US rebuttal, Mr. Zhou Xiaochuan, Governor of the central bank of China, mentioned this “international reserve currency” issue again on March 25. The new members of the G20 are skeptical about the current international currency system.

The article quoted a Russian official announcement on the necessity of a G20 discussion on a new IMF international currency. The British Prime Minister was also quoted on his dismissal of such a discussion.

Source: The Chosun Ilbo, March 26, 2009

US Vigilant of China’s Challenge to US Dollar

Global Times, under Chinese state daily news, Renmin, reported from New York that the United States responded strongly against China’s call for a new international reserve currency to replace US dollar.

The report referred to an AFP article which quoted President Obama as stating that the“US dollar is extraordinarily strong” on March 24.
Earlier, US Fed Chairman Ben Bernanke and Treasury Secretary Tim Geithner both agreed that they’ll “unconditionally” refuse the switch to an international currency. The Wall Street Journal reported the story in an article entitled :“China Points the Finger at US Dollar”. The New York Times believes that this demonstrates China’s worry about the safety of its assets in US dollars as well as China’s intent to use this as a playing card in the G20 Summit.

Source: Renmin/Global Times, March 25, 2009

China Preparing Major Move in South China Sea

An article was posted in a popular Chinese discussion forum suggesting that China should rapidly improve naval and air forces to deal with the increasing threats introduced by the countries bordering the South China Sea.

The article emphasized a need for aircraft carriers. It also compared the current naval and air capabilities between China and those of Malaysia, Vietnam, Indonesia, and the Philippines. Detailed mid-term and long term strategies were laid out.

Source: Teng Xun Forum, March 24, 2009

Xinhua: Foreign Countries Cannot Force China to Drink Coke

After Coca-Cola’s acquisition of Hui Yuan failed the antitrust review by the Chinese Ministry of Commerce, the news quickly gained media attention. The failed acquisition triggered a range comments.

Many Foreign media cited trade protectionism as the cause. Because the case sets the precedent for Chinese Antitrust Law governing a foreign acquisition, Chinese researchers indicated that the reported reactions reflected a worry about future foreign acquisitions. The Wall Street Journal insisted this was a warning to foreign investors.

Foreign media also brought up the potential negative effect on Chinese investments overseas. Chinese experts dismissed this view as they believed the ruling was merely based on protecting healthy competition as they stated that there was no bias against international corporations.

Source: Xinhua News/International Herald Leader, March 23, 2009

Embezzlement Spreading, Science and Education Based Revitalization Dissolving

The academic corruption case in Zhe Jiang University struck China. With more and more dark news being unveiled, it seems that a national trend is forming by which the nation’s large academic investments are embezzled by corrupt individuals.
With millions in hand, a research group in Zhe Jiang University produced twenty fake theses and the university has so far offered no explanation. 

A growing number of such scandals have been reported in recent years. According to the China Society and Technology Association, due to poor administration, only 40% of its funding was actually spent on activities related to its projects.

Source: The Sun News, March 19, 2009