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Xinhua: Canada Extended Review Schedule for CNOOC Acquisition of Nexen

Xinhua recently reported that Paradis, the Canadian Minister of Industry, announced on October 10, 2012, that the federal schedule for review of China National Offshore Oil Corporation’s (CNOOC’s) acquisition of the Canadian energy company Nexen will be extended for 30 more days. Under the Investment Canada Act, the transaction is subject to the approval of the Federal Government of Canada. The Act was designed to regulate transactions over CAN$330 million to ensure that Canada will enjoy a “net profit.” If the US$15.1 billion acquisition is successful, it will become China’s largest acquisition of an overseas company. Paradis’ announcement suggested that the case is under “complete, careful, and strict” review. Nexen is a global independent energy company listed on the Toronto and New York stock exchanges. The company focuses on the development of Western Canada’s oil sands and shale gas, as well as conventional oil and gas exploration in the North Sea, offshore West Africa, and the deep-water Gulf of Mexico.
Source: Xinhua, October 12, 2012
http://news.xinhuanet.com/fortune/2012-10/12/c_123812747.htm
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Do You Want another Nuclear Bomb to Drop on Your Country?

On October 12, 2012, China Gate (www.wenxuecity.com) reprinted an article originally published in China News Week titled, “Do Not Be Provocative, Japan. Do You Want another Nuclear Bomb Dropped Down?” On the dispute on the Diaoyu Islands (the Senkaku Islands), the article criticizes both Japan and the U.S. According to the article, the U.S. cannot be a true friend to China because China’s system is different from that in the West. The Chinese government has to continue its support North Korea so as to counteract the United States.

The article ends with a warning to the Japanese government and its people: “Do you want another nuclear bomb to drop on your country?”

Source: China Gate, October 12, 2012
http://www.wenxuecity.com/news/2012/10/12/2030522.html

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China to Up Overseas Investment Despite Huawei and ZTE Probe

China’s National Development and Reform Commission (NDRC) announced 16 overseas investment projects, as two of its largest telecommunications companies – Huawei and ZTE – are blocked by U.S. lawmakers as national security threat.

According to Xinhua, the sheer number of the announced projects hit a new high this year, including seven energy related projects as well as others spanning the areas of finance, communications, and infrastructure. A Ministry of Commerce official said that the government is willing to support enterprises’ overseas direct investment to divert the excess capacity and alleviate the Europe and the U.S.’s anti-dumping pressure.

The official statistics show that China’s net overseas direct investment in 2011 was $74.65 billion, a year-on-year growth of 8.5%, ranking No. 6 around the world. As of the end of 2011, a total of 13,500 investors established 18,000 enterprises in 177 countries (regions). It’s estimated that the investment will exceed $500 billion during the “12th Five-Year Plan” period (2012 – 2017).

Source: Xinhua, October 11, 2012
http://news.xinhuanet.com/2012-10/11/c_113343280.htm

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People’s Daily: Noda’s Government Can No Longer Resolve the Diaoyu Islands Crisis

People’s Daily published an article on its website analyzing the Japanese media’s reaction to China’s handling of the latest Diaoyu Islands dispute. The article observed that China’s four state-owned commercial banks refused to attend the annual meeting of the International Monetary Fund (IMF) and the World Bank held in Tokyo, Japan on October 9, 2012. This has made the Japanese media extremely worried.
 

On October 9, Chinese fishing boats and ocean surveillance ships appeared again in the Diaoyu Islands’ waters. The Japanese media seemed to have nothing else to talk about except for the "Chinese government ships cruising the Diaoyu Islands" for nine consecutive days. 
Chinese scholars believe that, after the Democratic Party of Japan came to power, they crossed the “not-to-touch” bottom line that both sides, Japan and China, had set on the Diaoyu Islands issue and have made it so the "mutual trust" no longer exists. In the "Diaoyu Islands collision incident in September 2010, the Japanese side arrested Chinese captain Zhan Qixiong and handled the incident using Japanese domestic law; then again last month, Japan nationalized the Diaoyu Islands according to Japanese law. "Today, China no longer trusts Noda’s government; we expect that the next Japanese government will be able to deal more flexibly with the Diaoyu Islands issue." 
Source: People’s Daily, October 10, 2012 
http://world.people.com.cn/n/2012/1010/c1002-19221920.html
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Global Times: Large Japanese Insurance Companies Stopped Offering Strike Policies in China

Global Times recently reported that all large Japanese insurance companies have temporarily stopped offering strike policies to Japanese investors in China. It is widely believed that Japanese investments in China will face much higher risks if the lack of strike insurance continues. Ongoing tension in recent Japan-China relations has resulted in a large number of strikes against Japanese owned companies in China. The Japanese insurers are carefully monitoring the situation and will make decisions about business offerings based on the future developments of the anti-Japan movement in China. Most of the Japanese owned companies in China have an SRCC (Strike, Riot or Civil Commotion) clause in their insurance policies in regards to strike coverage.
Source: Global Times, October 7, 2012
http://finance.huanqiu.com/view/2012-10/3167489.html
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People’s Daily: Overseas Chinese Media Need to Report More about China

On September 15, 2012, Wang Chen, Deputy Director of the Propaganda Department, met with the overseas media partners of People’s Daily overseas edition. Wang urged the oversea’s China media partners to carry more news reports about China so that they could help promote understanding between China and the countries where the media are located. Wang commended the Chinese media, especially the overseas edition of People’s Daily, for gaining an increased power of discourse on the world stage through establishing working relationships with the overseas Chinese media in different countries. According to Wang, People’s Daily has reached complete coverage around the world and formed a unique advantage in broadcasting China’s voice overseas.

Source: People’s Daily, September 16, 2012
http://politics.people.com.cn/n/2012/0916/c1026-19018967.html

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China Launched a Second Satellite for Venezuela

On September 29, 2012, China News reported  that China just successfully launched a second satellite for Venezuela, named VRSS-1. The satellite was delivered by the Long March II-4 rocket. The VRSS-1 is a remote sensing satellite with a design based on the Chinese CAST2000 satellite platform developed by China Aerospace Science and Technology Corporation. The satellite was actually manufactured by China Great Wall Industry Group Co., Ltd. In the year 2008, China successfully launched a communications satellite for Venezuela as well. This new launch is the 168th mission for the Long March rocket program. 
Source: China News, September 29, 2012
http://www.chinanews.com/gn/2012/09-29/4223249.shtml
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People’s Daily: 55,500 Airline Tickets between China and Japan Cancelled

People’s Daily carried an article that the Japanese newspaper, Yomiuri Shimbun, had originally published, saying that the tension between China and Japan was affecting airline travel. The two major Japanese airlines, All Nippon Airways and Japan Airlines Corporation, reported that, by the close of the day on September 25, 2012, 55,500 ticket reservations for the period of September to November for flights between China and Japan had been cancelled. The head of All Nippon Airways told the reporter that the airline was using smaller airplanes to deal with the cancellations and had not reduced the total number of flights. He admitted that the cancellations would have a huge impact on the airline’s business but hoped that the volume would pick up once the Japanese companies reopened their businesses in China.

Source: People’s Daily, September 27, 2012
http://japan.people.com.cn/35463/7962771.html

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