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China

World Bank Suggests Investor-Friendly Changes to Stabilize Chinas Rocketing Economy

By Mike Caggeso Staff Writer A slew of cold-hard statistics came out of China yesterday (Wednesday), reinforcing the nation's need to manage growth, interest rates and inflation. The World Bank's quarterly report said China's GDP is expected to grow a staggering 11.3% in 2007 and around 11% in 2008.  Its CPI index (the bellwether for […]

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Alcoa Sells Chalco Stake for $2 Billion

From Staff Reports Alcoa Inc. (AA ), the biggest U.S.-based aluminum producer, has sold its nearly 7% stake in China's largest aluminum maker for $2 billion. The Pittsburgh-based Alcoa sold its interest in Aluminum Corporation of China Ltd., also known as Chalco (ACH ), for the equivalent of $2.23 a share, a 15% discount to […]

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Mattel Recalls Signal China's Arrival

By Keith Fitz-GeraldContributing Editor On the heels of yet another Mattel Inc. (MAT) recall last week, many investors are wondering if shoddy manufacturing and poor quality control will be China’s undoing. I don’t think so. In fact, I’m sure of it. As a longtime China observer, I can tell you that that this is an […]

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China Communication Construction Taunts Barred U.S. Investors With 136% First-Half Profits, 130% YTD Stock Gains

By Mike Caggeso Staff Writer China Communication Construction Co. released striking first-half numbers that parallel the country's massive trade explosion. Profits rose 136%, revenue rose 24% and earnings per share leaped 90% during the first half, CCCC reported in its first half-year earnings statement since its December 2006 IPO in Hong Kong. Infrastructure construction, which […]

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Intel Starts Work on $2.5 Billion China Chip Plant

From Staff Reports Intel Corp. (INTC), the world's largest chipmaker, said Saturday that construction work already has started on its $2.5 billion chip manufacturing plant in China – its first actual manufacturing plant in Asia. Named "Fab 68," the new Intel chip-manufacturing facility will be "an integral part of our global manufacturing network while bringing […]

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Chinese Banks Go Public to Satisfy Bull Market Demand

By Jason Simpkins Staff Writer China Construction Bank Corp. is gearing up for what is likely to be the world's second biggest public stock offering this year.  The amount the bank expects to raise was not disclosed in the preliminary prospectus released Tuesday.  But based on current share prices it's estimated that the stock offering […]

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Beijing's Finance Minister Resigns

From Staff Reports China's finance minister resigned Thursday, the day after President Hu Jintao criticized finance officials over a lack of integrity, the Reuters news agency reported last week. The precise motivation for Jin's replacement remains unknown, but several Chinese sources have suggested that a sex scandal was his undoing.  According to published reports, the […]

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Government Ready to Intervene in China's Inflation Troubles

By Mike Caggeso Staff Writer China’s growing inflation rate will force government intervention later this year, Su Ning, deputy governor of the People’s Bank of China, said. Inflation hit a 10-year high at 5.6% in July. Food prices — hampered by a lackluster wheat harvest and an outbreak in pig diseases — accounted for 80% […]

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China Sells Record Amount of Bonds to Fund Its Government Investment Arms

From Staff Reports China sold $79 billion in bonds — the world’s biggest bond sale — to help fund a state-run investment company that will help manage its $1.33 trillion in foreign-exchange reserves, also the world’s biggest. China’s Ministry of Finance said in a statement yesterday (Wednesday) that it sold the 10-year bonds carrying 4.3% […]

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China's Crude Oil Imports Surge to Record High

By Jason Simpkins China’s crude oil imports climbed 39% to a record high last month, and Saudi Arabia was the nation’s largest supplier. China’s oil imports have more than tripled in the last five years, and that amount is only going to increase as the world’s second-largest energy consumer tries to keep pace with its growing […]

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China's Mobile Phone Competition Will Escalate as Business Grows

By Mike Caggeso China Mobile Ltd. (NYSE: CHL), the world’s largest cell phone provider, continues to pummel its competition. Last week, the company posted a stronger-than-expected 25% increase in first-half profits, which rose from $3.87 billion to $4.85 billion. And yesterday (Tuesday), China Mobile announced it added a record 5.6 million customers in July, up […]

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China's Blazing Economy Demands Fourth Rate Hike in Five Months

By Jason SimpkinsStaff Writer Desperate to try and cool off an economy that’s grown at 10% or better for four straight years, China’s central bank raised interest rates yesterday (Tuesday) for the fourth time since March. China’s CSI 300 Index has climbed approximately 144% this year, after having already doubled in 2006. However, the nation’s rapid […]

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Fixed Asset Investment In China Rises to $747 Billion, a 26.6% Increase

By Jason Simpkins Investment in China’s fixed assets – factories, property and equipment – increased 26.6% in the first seven months of 2007, fueling concerns that China’s national economy could overheat. In a related development, inflation has reached a ten-year high, putting even more pressure on China’s central bank to raise interest rates, and slow […]

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Virulent Pig Virus Viewed as "Threat" to China, Global Business

From Staff Reports A virulent swine virus is “sweeping” China’s pig population – causing pork prices to spike, and spawning fears of a pandemic that could race through this huge country’s pig farms, according to a report in the International Herald Tribune newspaper. This is a development investors should watch, for if it ends up […]

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