Economy/Resources - 263. page

The sapping demand caused by the global financial crisis has hit hard on several coastal provinces in China. The Ministry of Human Resource and Social Security recently sent a notice, emphasizing a stable employment as the most important task. Shandong and Hubei provincial authorities require government review and approval before any company fires more than 40 people. The Qingdao city of Shandong even demands a nod from local officials before laying off 20 workers or more than 10% of the total employees.

In south China, media has reported thousands of close-downs amid the crisis, some senior managers even committing suicide or fleeing overseas. Although the government has announced the 4 trillion yuan (586 billion dollars) stimulus package, there are widespread doubts on whether the plan can effectively make up for the job losses. The government fears outburst of serious social problems, if not well tackling the shaky job market.

Source: BBC Chinese, November 18, 2008
http://news.bbc.co.uk/chinese/simp/hi/newsid_7730000/newsid_7735600/7735671.stm

Officials from Guangdong Province openly denied the rumor of “50,000 factories are closing down” and disclosed that the total number of factories closed between January and September were 7148 with most of them being the small to medium size factories.

On November 14 and 15, Premier Wen Jiabao visited Guangzhou, Shenzheng, Dongguan, and Foshan in Guangdong and called for financial infusion to support the small to medium size companies in the region.

Source:
Xinhua, November 17, 2008
http://news.xinhuanet.com/local/2008-11/17/content_10368571.htm
Xinhua, November 15, 2008
http://news.xinhuanet.com/newscenter/2008-11/15/content_10362860.htm

The China Banking Regulatory Commission requests that the banking sector monitor the international financial crisis and its adverse impact on China’s economy closely. The banks are requested to improve the forecast and management of major potential risks, and to monitor and control credit risks of crisis-stricken industries and related markets.

Source: Xinhua, November 12, 2008
http://news.xinhuanet.com/newscenter/2008-11/12/content_10347102.htm

On November 5, Premier Wen Jiabao chaired a State Council meeting and discussed the measures to expand the domestic consumption to ensure smooth economy growth.

It was agreed that it is necessary to adopt a macro economic policy in light of the world economic crisis which will contain the execution of proactive fiscal policies and loose monetary policy; speed up the projects to improve people’s living standard as well as infrastructure, bio-environment and natural disaster recovery. The measure will also include the effort to improve the living standard of the low income group.

Source: Xinhua, November 11, 2008
http://news.xinhuanet.com/newscenter/2008-11/09/content_10331258_1.htm

In little over two weeks from October 11 to October 27, 1.2 million people boarded the train from Guangzhou Train Station. The number is 130,000 higher than the same period last year. Most of them are migrant workers who were affected by factory shutdown and chose to return back to their hometown. Experts predicted that the trend of factory closing is currently moving from the south towards the east part of China.

Source: Mingpo, November 9, 2008
http://www.mingpaonews.com/20081109/gba1.htm

Privatization of land will not solve China’s problems, said Huang, an Agriculture official, at a press event on November 4, 2008.  Huang stated that China agriculture sector cannot compete with that of the United States because of low land per capita (1.38 mu per person) and its small scale of economy.  The right way, according to Huang, is to increase the efficiency of land use and the scale of economy through transfer of  land use right. 
  
Source: Xinhua, November 7, 2008
http://news.xinhuanet.com/fortune/2008-11/07/content_10319517.htm

Chinese Customs authorities released export statistics for the first three quarters of 2008 showing an 11.8% net growth of export, totaling $1,074 billion.  It is a reduction of 8.1 percentage point comparing to the same period last year. The reduction was mostly caused by the decrease in the traditional and bulk products. A China Customs official warned that China cannot ignore the impact on its import and export trade of the U.S. financial crisis.

Source: Xinhua, November 6, 2008
http://news.xinhuanet.com/newscenter/2008-11/06/content_10317019.htm

Minister of Human Resources and Social Security alerts local authorities to “closely monitor the impact of changing economy that may have on employment.” His directive was made during his visit to Guangdong, one of the fastest growing regions in China. According to Shenzhen job market statistics, the number of employers hiring started to decrease in the 2nd quarter 2008. It was down 30% in 3rd quarter comparing to the 2nd quarter. On the other hand, job seeker increased close to 40 percent in the past 4 months.

Earlier release from National Development and Reform Commission shows that over 67,000 enterprises of small and medium sizes closed down in the first 6 months of 2008.

Source: China Federation of Trade Unions, November 6, 2008
http://acftu.people.com.cn/GB/67561/8291394.html
Xinhua, September 8, 2008
http://news.xinhuanet.com/house/2008-09/08/content_9848744.htm