News
8/15/2007

China Plans Big Bond Sale__Wall Street Journal
China's Ministry of Finance is to sell 600 billion yuan ($79.2 billion) in special government bonds next week to kick off funding of a new government investment agency, according to a person familiar with the transaction.

China's Reliance On Oil Imports Reaches a Record__Wall Street Journal
China's dependency on crude-oil imports hit a record 48.8% in July on a drop in domestic oil production and record volumes of oil coming in from abroad.

Our Risky New Financial Markets__Wall Street Journal
If some institutions are really "too big to fail," then other means of discipline will have to be found.

China’s toymakers press for tighter controls__Financial Times
China’s toy industry group has urged manufacturers to sign a public pledge to improve product safety after Mattel issued its second worldwide recall of Chinese-made toys that might contain lead paint

Rothschild buys stake in Chinese bank__Financial Times
Family-owned investment bank acquires 5% interest in Qingdao City Commercial Bank for €25.4m, becoming the latest western institution to invest in the sector.

 

8/14/2007

As More China Assets Go Public, Shipping, Autos Are Bright Spots__Wall Street Journal
China is pushing a new round of restructurings by state-run companies that will put more assets into their publicly traded arms. That could make some of those listed companies more attractive -- though investors will want to carefully choose which ones fit their portfolios.

China Sets Rules to Ease Corporate-Bond Issuance__Wall Street Journal
China's securities regulator gave long-awaited approval for listed firms to issue corporate bonds on a trial basis, a milestone for the country's budding bond market.

China Central-Bank Move Signals Cash Is Abundant__Wall Street Journal
China's central bank drained cash from the local banking system, a regularly scheduled operation but one that underlines officials' confidence that its financial system is largely unaffected by credit woes elsewhere that have required central banks to pump money into markets.

China moves to beat Wall St to the punch__Financial Times
At least five Chinese securities firms are preparing to sell shares through domestic initial public offerings before the end of the year in expect­ation of an onslaught of competition from the world’s largest investment banks.

Pru lifts stake in Chinese joint venture__Financial Times
Prudential, the UK’s second-largest life assurer, has increased its stake in its Chinese fund management joint venture.

China to reveal limited subprime losses__Financial Times
Chinese state lenders are expected to announce losses from their exposure to the US subprime lending market when they release their first-half results in the coming weeks.



8/13/2007

The Forbidden City of Terry Gou__Wall Street Journal
In an era when manufacturing has been defined by outsourcing, no one has done more to shift global electronics production to China than Hon Hai's founder Terry Gou. And his company's massive Shenzhen plant provides a window into the sometimes-secretive world of manufacturing in China.

Why Asian Financial Stocks May Be a Good Buy__Wall Street Journal
Investors hunting for buying opportunities may want to look to Asia, where jitters over widening credit troubles have driven down the share prices of some financial institutions that actually have little exposure to the problem.

China Tightens Local Oversight __Wall Street Journal
President Hu's administration, suffering from a string of embarrassing scandals, is moving to take authority away from China's powerful local governments.

China to reveal limited subprime losses__Financial Times
Chinese state lenders are expected to announce losses from their exposure to the US subprime lending market when they release their first-half results in the coming weeks

Chinese inflation hits 10-year high__Financial Times
The inflation rate hit 5.6 per cent in July, raising expectations of further tightening measures and increased concerns about a knock-on impact on the real economy

Sinopec in fresh talks over $5bn refinery__Financial Times
Sinopec, China’s largest energy company by revenue, has revived negotiations with a number of foreign partners to build a $5bn-plus refinery in southern Guangdong, near Hong Kong.



8/10/2007

Bear Stearns looks to China as crisis rolls on __Financial Times
The company’s chief executive is planning to travel to China amid speculation about a possible joint venture with Citic, the state-owned financial conglomerate.

China attacks GE turbine standards __Financial Times
Beijing charged that imported gas turbines made by General Electric, the US industrial institution known for its exacting manufacturing standards, had ‘big safety and quality problems’.

China inflation threat caps energy prices __Financial Times
Beijing, facing a spectre of higher inflation, reins in power producers from passing on to consumers the costs of soaring coal prices.

HSBC gets rural foothold in China __Financial Times
HSBC is to become the first foreign bank to break into rural China as part of the country’s pilot programme to expand banking in rural areas.

Nasdaq Eyes China Firms__Wall Street Journal
Chinese firms are likely to become the largest group of foreign companies listed on Nasdaq by the end of next year, Nasdaq's vice chairman said.

U.S. Firm's China-Tire Recall Is Smaller Than Anticipated__Wall Street Journal
The U.S. importer at the center of a dispute over Chinese-made tires said it is recalling about 255,000 tires, a far smaller number than it originally said posed a safety risk. 



8/9/2007

Hong Kong Aims to Embrace Nearby Shenzhen__Wall Street Journal
Hong Kong has spent much of its decade under Chinese rule trying to maintain its economic autonomy from the mainland. But the city is now embracing a different strategy: integration.

Top IPO Market: China?__Wall Street Journal
China Construction Bank hired three domestic underwriters for its expected $6.5 billion Shanghai IPO, putting China on track to challenge the U.S. as the largest IPO market this year.

Property on China's Mainland Gains Allure as Hong Kong Cools__Wall Street Journal
As mainland China's property prices continue to shine, investors may want to keep an eye on big Hong Kong property companies that are increasingly turning their attention north of the border.

China Weighs Cap On Foreign Stakes In Insurance Firms__Wall Street Journal
China's insurance regulator issued draft rules that would cap the stake foreign investors can take in domestic insurers at 25%, the same limit as that for foreign investment in Chinese banks.

ADB warns on rising inequality in China __Financial Times
China and Nepal have the largest rich-poor gaps in Asia following a decade in which income distribution in the region has become increasingly skewed in favour of the rich.

Beijing sets plans to better food safety __Financial Times
China will spend $1.1 bn to improve food safety by 2010 and give more power to regulators as the country scrambles to restore confidence in its products after a series of scandals.



8/8/2007

China's Baidu, Sky High, Still Rates 'Buy' __Wall Street Journal
Baidu.com shares have soared this year, even as competition intensifies. But some analysts and investors still call the Chinese Web-search firm a "buy" for those seeking a long-term play on the country's booming Internet.

Lenovo Weighs Buying Stake In European Computer Maker__Wall Street Journal
Lenovo Group Ltd. said it is in talks to buy a stake in Netherlands-based computer maker Packard Bell BV, which could give the Chinese computer company a leg up in the European consumer market.

Fiat, Chery Forge Venture To Target Chinese Market__Wall Street Journal
Italian auto maker Fiat SpA and China-based Chery Automobile Co. will form a joint venture to produce Alfa Romeo- and Fiat-brand cars for the Chinese market, marking a shift in partners that should improve Fiat's prospects in a key market.

Chinese investors flood stock market __Financial Times
Chinese retail investors are flooding back into the stock market, with nearly 1m new trading accounts opened every week as mainland shares ignore the volatility affecting global financial markets.



8/7/2007

A Year Out, Beijing Games Test China's Rising Power__Wall Street Journal
Beijing is finding that China's economic rise -- and its unique priorities -- are making it difficult to deliver on the ambitious Olympic promises it made.

Chevron Taps Into China's Energy Output With Pact to Develop PetroChina Gas Field __Wall Street Journal
U.S. energy company Chevron Corp. won the right to help develop a PetroChina Co. natural-gas field in Sichuan province, people familiar with the situation said, marking a rare inroad by a foreign company into China's onshore oil and natural-gas production.

McDonald's Aims to Boost China Image With Wage Rise__Wall Street Journal
McDonald's Corp. is raising wages and adopting new uniforms, stepping up efforts to burnish its image as an employer in China amid tightening labor laws and scrutiny by China's government-backed trade union.

China poised to give more cash to banks__Financial Times
China is preparing a second round of billion-dollar cash injections from its bulging foreign exchange reserves into state banks, according to official media reports in Beijing.



8/6/2007

China Exports Could Start to Slow__Wall Street Journal
China may show a slowdown in export growth starting with July's trade data, but the shift -- from a tax-policy change rather than concerns over recalls -- is expected to be limited.

Shares in China Close at Record__Wall Street Journal
Most Asian-Pacific region stocks finished Friday higher, despite intraday volatility, with Chinese issues rising to a record high. Japanese shares ended slightly lower, as gains in exporters were matched by losses for banks.

Steel Offer in China Tests Players' Resolve__Wall Street Journal
China Oriental Group is the target of a takeover bid by its vice chairman and 28% owner, Diana Chen Ningning.

3i makes first China onshore investment__Financial Times
The UK private equity firm 3i is making its first direct investment in China, after a regulatory overhaul designed to manage more closely the increasing levels of foreign capital entering the country

Concerns over Chinese postal law__Financial Times
China should improve transparency of a new law governing the country’s $6bn-a-year express delivery market, say executives at UPS, the package delivery group

Cash for journalists skews Chinese media__Financial Times
Stopping the practice of paying ‘transport money’ for reporters to turn up, which critics say distorts coverage in an increasingly competitive market, is an uphill task for companies



8/1/2007

Beijing Games Officials Penalize Firms__Wall Street Journal
Beijing Olympic organizers are taking corrective measures against four Olympic-merchandise factories that were found guilty of violating labor laws.
 
U.S. Pushes China on Safety__Wall Street Journal
A U.S. team is in China to try to improve safety of food and drug imports.

People’s Bank of China buys stake in BG__Financial Times
People’s Bank of China purchases 0.46% stake in Britain’s third largest gas producer, and analysts say the shareholding might be raised further

Jisco takes model approach in S Africa project__Financial Times
Steel group seeks to counter accusations that China is on a neo-colonial scramble for the continent’s minerals through its joint venture near Pretoria