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MOSCOW, July 28 (Xinhua) -- China and Russia have reached broad consensus on the proper handling of the sudden closure of the Cherkizovsky Market through friendly negotiations, said Chinese Vice Minister of Commerce Gao Hucheng here Saturday. Gao, who arrived here Wednesday, heads a Chinese delegation for talks on the impact of the June 29 closing of the market, where tens of thousands of Chinese vendors had been operating. Local analysts said the shutdown has marked an inevitable transformation of the nongovernmental trade between China and Russia and necessitated a change in mindset and operation mode among Chinese businessmen in Russia. REASONS BEHIND THE ABRUPT SHUTDOWN Cherkizovsky is Russia's biggest wholesale market. Police abruptly shut down the nearly 300-hectare market in northeastern Moscow on June 29 after disclosure by .Russian Federal Supervision Service for Consumer Rights Protection and People Welfare of various illegal and irregular operation in the markets Russian Prosecutor General's Office said the shutdown was due to bad sanitary and fire control conditions, but local media believe many factors have prompted the closure. A June report tendered by Minister of Industry and Trade Victor Khristenko stated that contraband goods not only cost the government great loss in taxation, but also undermine the development of the country's light industry. The report suggested promoting legal, standardized chainstores and cracking down on terminal markets notorious for the sales of counterfeited and shoddy products and goods entered the country through "grey customs clearance". Russian Federal Supervision Service for Consumer Rights Protection and People Welfare, Prosecutor General's Office, Federal Migration Service , Moscow municipal government and other government agencies even proposed shutting down the market for good. The latest poll conducted by research group Levada Center also showed that among 94 percent of Moscow citizens who know about the closure, 67 percent support the move. Another online poll conducted by newspaper Izvestia also showed that over 80 percent of netizens are in favor of the shutdown. "GREY CUSTOMS CLEARANCE" HAMPERS SINO-RUSSIAN TRADE Over the past 20 years, the people-to-people trade between China and Russia has undoubtedly made great contribution to bilateral economic and trade cooperation, said Gao Xiyun, Economic Minister Counselor of Chinese Embassy in Russia. However, it is also an undeniable fact that problems such as "grey customs clearance" had seriously hampered the health development the bilateral people-to-people trade, he said. The so-called "grey customs clearance" is a long-standing practice that involves intermediaries handling customs clearance for bulk commodities loaded in planes or containers trucks. After paying the so-called "customs clearance companies," the consignors of the goods do not have to deal with Russian customs authorities in person. Consequently they receive no official customs declaration documents. In recent years, the Russian government has strived to rectify its domestic market order. For a time, goods that entered the country through "grey customs clearance" were regarded as contraband, and their owners would face penalties, including fines or even outright confiscation. Prior to the market closure, on Sep. 11, 2008, the Investigation Committee at the Russian Prosecutor General's Office sealed up a large part of Chinese merchants' container storehouse in the Cherkizovsky market. CHINESE BUSINESSMEN NEED TO CHANGE MODES OF OPERATION Some 60,000 Chinese are doing business in Cherkizovsky Market, making the market the biggest Chinese business community in Moscow and even the whole Russia, according to figures from the Chinese Chamber of Commerce in Russia. The abrupt closure of the market, in addition to the closedown of the container storehouse, has caused great economic loss to Chinese merchants and their domestic enterprises. Gennady Gudkov, Deputy Chairman of the Security Committee of the Russian State Duma said though the closure of the market is justified, the vendors there should be given advance notice of the closure. Gao Hucheng said China has no objections to Russia's crackdown on smuggling, but the Russian side should protect the personal and property safety of the Chinese citizens without hurting their dignity. While enforcing the law, the Russian side should try its best to keep the economic losses of the Chinese business people to the minimum. Some Chinese analysts noted that Russia's cracking down on smuggling and rectifying domestic markets would help regulate trade channels, improve trade environment, therefore conducive to sustained and sound development of bilateral trade in the long run. Li Huilai, Charge d'Affaires of the Chinese Embassy in Russia, said the only way out for Chinese merchants is to transform their operation mode and do their business in accordance with law and regulations. JOINT EFFORTS URGED TO EXPAND NORMAL TRADE CHANNELS In recent years, China has strengthened export supervision and instructed Chinese enterprises and businessmen in Russia to operate honestly and abide by the laws and regulations there. China and Russia share a common goal in creating a trade environment that is standardized, transparent and convenient. In June, China and Russia established a customs cooperation committee and set up a long-term mechanism to normalize bilateral trade order in a bid to raise the level of customs clearance facilitation and create favorable conditions for the crackdown and eventual eradication of the "grey customs clearance." Gao's delegation, comprising officials from the ministries of commerce and foreign affairs, the General Administration of Customs and trade officials from Zhejiang, Fujian and Hebei provinces reached three consensus with the Russian side on the closure issue. The two sides agreed to further develop the Sino-Russian strategic cooperative partnership, deepen bilateral trade cooperation and properly settle the closure issue through friendly negotiations. The governments of China and Russia attached great importance to their strategic cooperative partnership and had agreed that the sudden closure of the market should not hurt their friendly cooperation, Gao said. The two sides should promptly initiate a customs cooperation mechanism, and develop a work plan to stop illegal activities including "grey customs clearance," regulate customs declaration channels and raise customs clearance efficiency. Analysts believe that with the constant improvement and development of Sino-Russian trade and economic cooperation, the issue of "grey customs clearance" could be fully resolved.
BEIJING, Oct. 1 (Xinhua) -- A grand evening gala to celebrate New China's 60th founding anniversary started Thursday evening at the Tian'anmen Square when 60 birthday-candle-shaped fireworks exploded into the sky and lit up the vast square. Red, pink, white and orange fireworks shot up into the night sky, lighting up the Tian'anmen Rostrum and 56 giant decorative columns, which were set up on the square to represent China's 56 ethnic groups. Fireworks are seen in the celebrations for the 60th anniversary of the founding of the People's Republic of China, on the Tian'anmen Square in Beijing, capital of China, Oct. 1, 2009 That was the beginning of a 33-minute fireworks feast in the evening. Earlier this month, the Beijing Daily quoted pyrotechnist Ding Zhenkuan as saying that the display would send nearly 42,000 shells into the sky, doubling the number fired at the Beijing Olympics opening ceremony last August. Following candle-shaped fireworks, a teenage boy, standing at the podium for the flag-raising ceremony, played with a trumpet the melody of the song of "My motherland". As the boy was playing the trumpet, more than 4,000 performers gathering under the podium began to play the magic effects of more than 4,000 LED-light-equipped trees. Vice director of the gala, Zhao Dongming, called the performance as "light cube", referring to the well-known Olympic architecture "Water Cube", or the National Aquatics Center. The building, equipped with LED lights, can put on various colors at night. The performers of the "light cube" displayed a rolling effect of the 60 years from 1949, when the People's Republic of China was founded, to 2009. Fireworks meanwhile again shot up and exploded in the night sky, creating the Arabic numeral of "60," symbolizing New China's 60th birthday. Seconds later, a fireworks-armed curtain, standing opposite to the Tian'anmen Rostrum, was ignited and began to explode. The exploding fireworks on the curtain -- 90 meters wide and 25 meters high -- created the sun, river, waterfall and mountains, representing the vast land of China. A grand performance is staged in the celebrations for the 60th anniversary of the founding of the People's Republic of China, on the Tian'anmen Square in central Beijing, capital of China, Oct. 1, 2009

WASHINGTON, July 28 (Xinhua) -- Holding an umber basketball in his hand, Chinese Vice Premier Wang Qishan became the center of attention at the end of the first round of the China-U.S. Strategic and Economic Dialogue on Tuesday. The basketball, with Barack Obama's autograph, is a gift from the U.S. president to Chinese Vice Premier Wang Qishan who is the co-host of the "Economic Track" of the dialogue. The basketball is considered a symbol of the U.S. government's hospitality and gratitude to Chinese officials for their efforts in making this dialogue a success. U.S. President Barack Obama (R) presents a basketball to Chinese Vice Premier Wang Qishan (C), special representative of Chinese President Hu Jintao, as Chinese State Councilor Dai Bingguo (L) stands by in the Oval Office of the White House in Washington, on July 28, 2009. Obama met with Chinese Vice Premier Wang Qishan and State Councilor Dai Bingguo, special representatives of Hu, here on Tuesday. Wang Qishan and Dai Bingguo were in Washington to participate the two-day US-China Strategic and Economic Dialogue concluded here on July 28. During his closing address, Chinese State Councilor Dai Bingguo, co-host of the "Strategic Track," introduced the basketball to reporters, as he hailed the "in-depth, broad, candid, and productive" discussions between the two sides and expressed the Chinese delegation's appreciation of what the American government has done to arrange the dialogue. He also said that the Chinese side will work together with the U.S. side to make good preparations to ensure that President Obama's first visit to China later this year will be a success. Chinese Vice Premier Wang Qishan (L), special representative of Chinese President Hu Jintao, holds a basketball presented by the U.S. President Barack Obama as a gift in the Oval Office of the White House in Washington, on July 28, 2009. It was not the first time that basketball took the central stage during the two-day meeting. During his speech at the opening session on Monday, Obama, who is a well-known basketball fan, reached out to his Chinese guests by quoting Chinese NBA star Yao Ming. "As a new president and also as a basketball fan, I have learned from the words of Yao Ming, who said, No matter whether you are new or an old team member, you need time to adjust to one another," said the president. "Well, through the constructive meetings that we've already had, and through this dialogue, I'm confident that we will meet Yao's standard," he said.
BEIJING, Oct. 10 (Xinhua) -- China appreciates India's decision to terminate a trade investigation into Chinese-made passenger car tires, the Ministry of Commerce (MOC) said Saturday. The decision would not only help boost the steady development of bilateral trade ties, but also benefit the downstream businesses of India, the MOC said in a statement on its website. China hoped to increase exchanges and cooperation on trade issues with the Indian government and encouraged dialogue and cooperation among industries for mutual benefit, it said. The Directorate General of Safeguards under India's Ministry of Finance initiated a safeguard investigation on passenger car tire imports from China in May, according to the statement. A safeguard duty, a temporary relief, usually takes the form of increased duties to higher than bound rate or standard rates or quantitative restrictions on imports. According to Indian government statistics, from April to December last year, India imported 20 million U.S. dollars worth of tires involved in the case from China.
BEIJING, July 29 -- The securities watchdog is mulling further measures to plug the loopholes that showed up in the latest round of initial public offerings (IPO), according to Shang Fulin, chairman, China Securities Regulatory Commission (CSRC). The CSRC is generally satisfied with the results of the recent reforms, but also identified a number of areas that need to be improved. One of these areas is the lack of a provision to block institutional investors from taking advantage of the new allotment system by masquerading as personal investors in their IPO applications. "Some institutional investors were known to have circumvented the subscription limits on their accounts by making applications through personal investor accounts opened with borrowed ID cards," said Lu Junlong, analyst, China Finance Online. "Stockbrokers keen on earning commission fees usually turn a blind eye to such irregularities," he said. People watch the index screen at a stock market in Shanghai, China, July 1, 2009. The CSRC said it is planning to take steps to safeguard individual investors' interests. This has defeated, to some extent, the primary objective of the reform, of increasing the allotment of new shares to personal investors. In the past, the deluge of applications from well-financed institutional investors had largely crowded out applications from individual investors. Because of the loophole, the ratios of allocation of newly issued shares to personal investors in the past several IPOs were still deemed too low. For example, the ratio of allocation in the IPOs of Guilin Sanjin Pharmaceutical, one of the first companies to obtain a stock exchange listing after the lifting of the IPO suspension, was only 0.17 percent. The ratio of allocation in the Sichuan Expressway IPO was 0.26 percent, while it was 2.83 percent for China State Construction Engineering Corp's public float. "The ratio of allocation to subscription is at a low level, similar to the lottery system in the past," said Zhu Hongbin, an investor with over 10-year experience in the market. Considering the wide price gap between the primary and secondary markets, many institutional investors borrowed heavily from banks to subscribe for new shares. Easy credit and cheap money have given institutional investors a much greater edge over small investors in the fight for IPO allotments. "As long as the interbank seven-day repurchase rate stays below 3 to 4 percent, we can make profits by subscribing to new shares," a Shanghai-based fund manger said, who refused to be named. The investors' feverish penchant for newly listed stocks saw Sichuan Expressway Co soar 202 percent on debut. The bourse suspended trading in the scrip for two times to allow for a cooling off period on the first day. The company's issue price was 3.6 yuan, nearly 20 times the PE (price-to-earnings) ratio. After collective bidding, the opening price soared to 7.6 yuan and the shares finally closed at 10.9 yuan after touching a high of over 15 yuan. The high price was beyond the expectation of many analysts. According the reports from 23 securities firms, most analysts thought the reasonable price could be around 5 yuan. Guotai Junan Securities Co was the most optimistic, which estimated the shares could be worth around 7 yuan. The shares subsequently began to slump and closed at 9.81 yuan, with many individual investors burning their figures. According to the Shanghai Stock Exchange, individual investors were the main buyers for the new shares of Sichuan Expressway on its first trading day. Among the 74,000 accounts that bought shares on that date, about 99.9 percent was personal accounts. Institutional investors, including fund mangers, securities firms and insurance companies, did not join the speculation. According to CSRC Chairman Shang Fulin, the regulators are working on a plan to educate individual investors and also exploring effective mechanisms to protect investors' rights.
来源:资阳报