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BEIJING, Sept. 12 (Xinhua) -- China's Minister of Commerce Chen Deming said Saturday the U.S. decision to impose special protectionist tariffs on tire imports from China was grave trade protectionism and sent a wrong signal to the world.Chen told Xinhua the U.S. government's decision, which was made Friday night, violated related rules, failed to honor its commitment made on the G-20 financial summit and was not based on the truth. "It was a misuse of the special safeguard measures and sent a wrong signal to the world," Chen said, stressing China resolutely opposes the U.S. decision. The decision came after the U.S. International Trade Commission determined that a surge of Chinese-made tires had disrupted the domestic market and cost thousands of jobs in the U.S. The two sides didn't reach an agreement in spite of rounds of negotiations over the case, Chen said. According to a Los Angeles Times report Saturday, within 15 days, the U.S. would add a duty of 35 percent in the first year, 30 percent in the second and 25 percent in the third on passenger vehicle and light-truck tires from China. Chen said China reserves the right to bring the case to the World Trade Organization (WTO) while continuing to take necessary measures to support the tire industry and deal with the negative impact caused by the case. Fan Rende, president of the China Rubber Industry Association, said the organization has sent a protest letter to U.S. President Barack Obama, calling the decision an "extremely unfair" one as it lacked objective bases. The association also recommended the Chinese government to resort to the WTO Dispute Settlement Mechanism to handle the case, and appeal to the United States Court of International Trade to protect interests of the related enterprises. Although President Obama's ruling on the tire case was said to be based on law by the U.S. government, it is seen as a resolution under political pressure at home. Yao Jian, spokesman of the Ministry of Commerce, said the domestic political pressure pressed the U.S. government to not only impose the tariff and also propose other unreasonable demands involving many industries and push China to adjust fiscal and tax policies. The U.S. decision was made regardless of opposition from many U.S. organizations. The U.S. Tire Industry Association, the American Coalition for Free Trade in Tires, the American Automotive Trade Policy Council, and the Retail Industry Leaders Association have all expressed strong opposition after the U.S. International Trade Commission recommended the decision to the U.S. government . NO GOOD TO ANYONE The Ministry of Commerce (MOC) said on its web site Saturday that the U.S. lacked bases for the case because tire products exported to the U.S. from China actually declined 16 percent in the first half of this year, compared to the same period last year. China's tire exports to U.S. in 2008 only rose 2.2 percent from 2007. It said the business situation of the U.S. tire producers has shown no apparent changes after the entry of Chinese products. There exists no direct competition between China's tire products and the U.S.-made ones as China's tires mainly go for the U.S. maintenance market. Vice Commerce Minister Fu Ziying said in August that the slowdown in the U.S. tire industry is a result of the global downturn, not that of China's increasing tire exports to the U.S. China's tire exports to the U.S. tripled between 2004 and 2007 while, during the same period, U.S. tire manufactures doubled profits. "This means the increase of China's tire exports did not cause any substantial harm to the U.S. tire industry," Fu said. According to Fan, about 40 percent of the tire output in China is exported, and one third of the exports go to the United States. The 35 percent tariff means China would not export tires to the U.S. in the first year, which would affect employment of about 100,000 people and result in a loss of 1 billion U.S. dollars in export, he said. He added the tariff would not solve problems faced by the U.S. tire industry, but would hurt interests of enterprises from both countries and hurt trade relationships. Four U.S. companies have businesses in tire production in China and they account for two thirds of exports to the U.S., and the tariffs will have a direct impact on these companies, the MOC said. The increased tariffs would also raise tire prices for U.S. consumers, which would further weaken the government efforts to revitalize the auto industry. Some consumers may even consider postponing replacing old tires, creating concern for safety, according to the MOC. The move will also produce a chain reaction of trade protectionism and slow the current revival of the world economy, the ministry said in a statement on its website Saturday. Leaders from around the globe have reached consensus to oppose trade protectionism since the outbreak of the financial crisis. But the tire case, lacking factual bases, is an abuse of protectionist measures. It not only hurts the interests of China, but also those of the U.S., the ministry said. The Associated Press (AP) reported Saturday many of the nearly two dozen world leaders Obama is hosting at the upcoming G20 summit in Pittsburgh are critical of countries that protect their key industries. The report said Obama has also spoken out strongly against protectionism and other countries will view his decision on tires as a test of that stance. According to the MOC, China is the second-largest trading partner with the U.S. and vice versa. China believes the Sino-U.S. economic trade cooperation is significant. The country would not like to see damages to bilateral trade relations caused by protectionism. Chinese Premier Wen Jiabao slashed protectionism at the opening ceremony of the Summer Davos Forum Thursday in Dalian, northeast China, saying it would only slow world economic recovery and ultimately hurt the interests of the businesses and people of all countries. "We must resist and redress all forms of covert protectionist activities," Wen said, noting as an active participant in economic globalization, China will never engage in trade or investment protectionism.
TAIPEI, Aug. 11 (Xinhua) -- At least 62 people were killed and 57 others are missing in Taiwan as of 8 p.m. Tuesday local time after Morakot, the worst typhoon to hit the region in nearly five decades, swept across the island. Another 35 people were injured after the typhoon hit much of the central-south part of the island. The casualty list did not include a crew of three on board a helicopter that crashed during a disaster-relief mission in southern Pingdong. Powerful wind paralyzed the power supply for 1.58 million households as of 6:30 p.m. Monday, 1.51 million of which have restored power. Typhoon Morakot also damaged telecom facilities in central-south Taiwan, according to local disaster-relief authorities. A helicopter prepares to take off to rescue trapped residents in Kaohsiung county of south China's Taiwan Province, Aug. 11, 2009. Helicopters rescued many residents trapped by flood and mudslide caused by Typhoon Morakot on Tuesday morning as the weather became clear. At least 62 people were killed and 57 others are missing in Taiwan as of 8 p.m. Tuesday local time after Morakot, the worst typhoon to hit the region in nearly five decades, swept across the island According to statistics released by local agriculture authorities, as of 10 a.m. Tuesday local time, losses in the agricultural and fishery sectors stood at about 6.85 billion New Taiwan Dollars (about 209 million U.S. dollars). Disaster-relief centers have dispatched helicopters to transport villagers and air-drop goods in mountainous regions in central-south Taiwan where roads and bridges were destroyed by floods. People have started to repair homes and infrastructure in parts of central-south Taiwan where water started to retreat, local media reported. Rescuers carry residents to a medical station in Kaohsiung county of south China's Taiwan Province, Aug. 11, 2009. Helicopters rescued many residents trapped by flood and mudslide caused by Typhoon Morakot on Tuesday morning as the weather became clear. At least 62 people were killed and 57 others are missing in Taiwan as of 8 p.m. Tuesday local time after Morakot, the worst typhoon hit the region in nearly five decades, swept across the islandIn Tainan, Kaohsiung and Pingdong, the water supply for 710,000 households was cut off by flood and it was estimated that at least 24 hours are needed to bring the system back to normal. People from a wide range of social sectors including government, enterprises, entertainment and TV stations donated cash and goods worth millions of New Taiwan Dollars to support disaster-relief work. Red Cross organizations on both the Chinese mainland and Taiwan have called for people to make donations in relieving the disaster. An agricultural company in Fujian Province said it was contacting authorities in Kaohsiung County amid its attempt to send vegetables to Taiwan. In Mount Ali, a renowned and popular scenic spot, 16 mainland tourists trapped during the typhoon were evacuated Tuesday afternoon. The Kuomintang party on Tuesday thanked the mainland for the latter's concern over Taiwan's losses in typhoon Morakot. Cross-Straits goodwill and interaction displayed in times of major disaster should be cherished by people on both sides, read the letter written by Kuomintang. On Tuesday, the mainland-based Cross-Straits Agricultural Exchange Association sent its condolences to farmers and fishermen who suffered losses in typhoon Morakot via a letter forwarded to the Taiwan Farmer's Association. The mainland association said it was willing to provide necessary assistance in disaster-relief and reconstruction based on the needs of the Taiwan association.

PHUKET, Thailand, July 21 (Xinhua) -- China is willing to cooperate with the Philippines to push forward the relations between the two countries, said Chinese Foreign Minister Yang Jiechi in the meeting with his Philippine counterpart Alberto Romulo Tuesday. The Chinese government encourages and supports competitive enterprises to invest in the Philippines, and it also promotes cooperation in areas such as agriculture and new energy, said Yang. Chinese Foreign Minister Yang Jiechi (L) meets with his Philippine counterpart Alberto Romulo in Phuket, southern Thailand, July 21, 2009The Philippines will also work with China to push forward the relations between the two countries, said Romulo. The year 2010 marks the 35th anniversary of establishment of diplomatic relations between the two counties. Both Yang and Romulo will take part in an ASEAN Regional Forum held on Thursday. The ASEAN, or the Association of Southeast Asia Nations, groups Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, the Philippines, Singapore, Thailand and Vietnam.
HONG KONG, Sept. 28 (Xinhua) -- The launch of Renminbi sovereign bonds in Hong Kong on Monday shows China's efforts to boost the international use of the yuan step by step, officials and analysts said. The bond issue, worth only 6 billion yuan (878.5 million U.S. dollars), marked a key milestone in the internationalization of the RMB. Hong Kong was chosen for, and will benefit from, the milestone bond sale thanks to its unique position as the international financial center providing desired cushion against the potential risks when the program was launched, analysts said. BOOSTING INTERNATIONAL USE OF RMB The bond issue in Hong Kong came earlier than expected, said Hu Yifan, an economist with CITIC Securities. "The need for the RMB to go international and convertible has been growing along with the increasing importance and openness of the Chinese mainland economy and the risks arising from over- reliance on the United States dollar as the reserve currency," said Tse Kwok-leung, head of economic research of Bank of China ( Hong Kong) Limited. China has been launching pilot RMB programs over the years, but the pace has obviously quickened since the onset of the global financial crisis. Pilot RMB programs launched in Hong Kong over the past 12 months also included yuan-denominated cross-border trade settlement and trade financing, yuan bonds issued by policy banks, commercial lenders and the branches of foreign banks, and currency swaps. The sovereign bond issue would help "boost the international use of the RMB in a steady and orderly manner," the Chinese Ministry of Finance quoted Acting Chief Executive of the Hong Kong Special Administrative Region (HKSAR) Henry Tang as saying. The sovereign bond sale in Hong Kong serves the purpose of water testing to "see how it is received by international investors." Hong Kong has a unique strength in that it provides the desired cushion against potential risks when the pilot programs were launched, given that the mainland capital market was yet to open up, Tse said. BOOSTING NASCENT BOND MARKET IN HONG KONG The bond issue ahead of the Chinese National Day showed the central government's support for Hong Kong, Vice Minister of Finance Li Yong said. It will help Hong Kong build on its strength as an international financial center by boosting the nascent bond market in Hong Kong, Tse Kwok-leung said. "It calls for a banking system, a stock market and a bond market, all developed, to make a developed international financial center," Tse explained. Hong Kong has been aspiring to be the leading international financial center in the Asian time zone. Government statistics showed that the total assets of Hong Kong's banking system and the size of its stock market were both about six times its gross domestic product, compared with a bond market equivalent to 43 percent of its gross domestic product. Bonds issued in Hong Kong in 2008 totaled 424.4 billion HK dollars (54.4 billion U.S. dollars), with 67 percent issued by the Hong Kong Foreign Exchange Fund, which was established to defend the Hong Kong dollar peg to the U.S. dollar. The other 33 percent were accounted for by development banks from outside Hong Kong and corporate bonds issued by local players. There were no sovereign bonds. Tse said the bond issue will also help improve the liquidity of, and diversify, the local bond market. It will also improve the operation of the RMB bond market in Hong Kong by helping find the benchmark interest rate in the local market. Tse said the demand for sovereign bonds issued by an economy as strong as the Chinese mainland was huge, given the impact of the global financial crisis on the corporate bond market. Vice Minister of Finance Li Yong also said he believed the bonds will be well received. "I believe the RMB sovereign bonds will prove popular with investors looking for safe and prudent investments. I definitely think it will be successful," Li said.
来源:资阳报