Economy/Resources - 258. page

Outlook Weekly, a magazine by Xinhua News, published an article suggesting that “there is a strongly rising public opinion that the Chinese currency RMB should become an international currency to match China’s world power status.”

The article cautioned that although the world suffered the damage brought by the US Dollar monopoly in recent years, there are still a great deal of risks for RMB internationalization. Risks mentioned in the article are: reduced capability for the central government to control Chinese macro economy, lowered stability of the economy, much heavier international responsibilities.

Source: Outlook Weekly, April 4, 2009.
http://news.sohu.com/20090408/n263256840.shtml

Xinhua reported that China’s steel exports were a mere 1.91 million metric tons in January, a drop of 54.6% from a year earlier. Exports in February went down further to 1.56 million metric tons. China Iron and Steel Association warns that China may soon import more steel than export. Slack domestic demand, reduced international orders, trade barriers in the West and competition from other countries are said to have contributed to the downturn.

On April 8, 2009, seven US steel companies and trade unions filed an anti-dumping petition against Chinese steel products with the US government. On the same day, the European Commission announced its decision to impose anti-dumping duties ranging from 15.6% to 24.2% on Chinese seamless steel pipe.

Source: Xinhua, April 14, 2009
http://news.xinhuanet.com/herald/2009-04/14/content_11183107.htm

China’s General Administration of Customs announced on April 10, 2009 that China’s total amount of imports and exports was $162 billion in March, 2009, a decrease of 20.9% from last year. Among that, exports were $90.3 billion, a decrease of 17.1% and imports were $71.7 billion, a of 25.1% decrease. The trade surplus was $18.6 billion, an increase of 41.2% over the previous year.

Source: BBC Chinese, April 10, 2009
http://news.bbc.co.uk/chinese/simp/hi/newsid_7990000/newsid_7993500/7993522.stm

BBC Chinese reported from Australia that according to a recent poll, more than half of Australians are against the Chinese acquisition of Australian mining assets. Yet, nearly an equal amount of people polled are for or against keeping close ties with China.

The media played an important role in bringing the heated debate between the ruling party and the opposition to the general public.

“Communist China” was frequently used in reference to China in the report.
 
Source: BBC Chinese, April 6, 2009. http://news.bbc.co.uk/chinese/simp/hi/newsid_7980000/newsid_7986000/7986049.stm

Bank of China is set to enter the news industry and make it a key sector of the bank’s 2009 operational plan, according to Wang Zhaowen, the spokesperson of Bank of China. Bank of China foresees the news industry as a potential sector with growth opportunities and wishes to provide comprehensive services including banking, security, insurance, investment and financial consulting.

Source: Securities Daily, March 23, 2009
http://media.people.com.cn/GB/40606/9007075.html

The International Finance News for Chinese state media People’s Daily reported that six industries started to enjoy increased export tax rebate rates on April 1. The six industries are Apparel and Textiles, Light Industry, Electronics and Information, Steel, Nonferrous Metal, and Petrochemical.

This is the second time China has increased export tax rebate rates this year. Export companies welcomed the move in general. However, some suggested that due to the decline of exports they tend to sell more goods to the domestic market. Also, due to the international financial crisis, the rate increase may result in more anti-dumping investigations.

Source: International Finance News/People’s Daily, April 1, 2009.
http://finance.people.com.cn/GB/1037/9060251.html

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.
http://news.xinhuanet.com/herald/2009-03/31/content_11104980.htm

Xinhua published an article from Security Times, which argues that since China has become the number one debt holder of the US, China should have more say.

The article argued that accumulating US dollars in the short-term by China is unavoidable since other foreign reserves are not as appealing as the US dollar, but this approach may be harmful to China in the long term. As the creditor, China faces two risks: the default risk of the US dollar, which is unlikely, and the exchange rate risk. It was written in the article that China should reduce its foreign reserve and accumulate more raw materials instead.

Source: Securities Times, November 20, 2008
http://www.p5w.net/today/200811/t2018539.htm

Also published on: Xinhua, November 20, 2008
http://news.xinhuanet.com/fortune/2008-11/20/content_10385110_1.htm