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BEIJING, Sep. 14 -- Just two days after the decision by the United States to levy heavy import tariffs on Chinese tires, the government here has reacted by launching an anti-dumping and anti-subsidies investigation into automotive and chicken exports from the US. The Ministry of Commerce (MOFCOM) Sunday did not label it as retaliation against the tire dispute, but said it acted simply in a response to domestic concerns. The probe, which is in line with World Trade Organization (WTO) rules, follows complaints from Chinese manufacturers that US-made products entered the nation's markets with "unfair competition" and harmed domestic industries, said the ministry in a statement. MOFCOM added it is still opposed to trade protectionism and committed to working towards global economic recovery. US President Barack Obama's signed a document "to apply an increased duty to all imports of passenger vehicle and light truck tires from China for a period of three years" on Friday, according to the White House. In addition to the existing duties of 4 percent, tariffs will rise a further 35 percent in the first year, 30 percent in the second and 25 percent in the third. The levy will take effect before Sept 26. The move was met with anger in China. Minister of Commerce Chen Deming branded the decision a violation of WTO rules, a grave act of trade protectionism and a breach of the commitment the US made at the Group of 20 (G20) financial summit in London in April. "This is an abuse of special safeguard provisions and sends the wrong signal to the world," he said in a statement on the MOFCOM website. He assured China would do everything in its power to protect the legitimate rights of the tire producers but did not elaborate. However, in an earlier statement, ministry spokesman Yao Jian said the country would "reserve all legitimate rights, including referring the case to the WTO". Washington played down the dispute on Saturday, claiming it is simply "enforcing the rules" and did not expect the move to escalate into a trade war. However, the US could also levy heavier tariffs on other imports from China, such as steel, aluminum and chemical products, according to an industry insider who asked to remain anonymous. The US Commerce Department on Thursday said it had made a preliminary decision to impose duties ranging from 11 to 31 percent on imports of Chinese steel pipes used for oil and gas wells. The ruling supports the proposal made by the nation's steel producers led by US Steel Corp, which claimed Chinese imports were granted unfair subsidies. MOFCOM, however, said the ruling is not in line with the subsidy and anti-subsidy agreements under the WTO framework. Chinese officials and their US counterparts have been unable to reach an agreement after five months of talks. However, the new tariff is lower than the 55 percent proposed by the US International Trade Commission (ITC) based on a petition led by the United Steelworkers union (USW) that said tire imports had tripled since 2004, causing plant closures and job losses. MOFCOM spokesman Yao said the move would push the cost onto the consumers, cause US wholesalers and retailers to scramble to find other suppliers, and fail to create new jobs in the US. "Chinese tire producers pose no direct competition to those in the US," he said before adding that China's tire exports to the US had not witnessed a remarkable increase as claimed by the USW. Last year, the country's tire exports to the US grew by just 2.2 percent compared to 2007 and, in the first half of this year, fell 16 percent compared to 2008, explained Yao. "Four US companies have tire production operations in China and account for two-thirds of exports to the US. The tariffs will have a direct impact on them," he said. Cooper Tire and Rubber Co, a US-based tire maker, warned that higher tariff could disrupt markets. The company said in a statement it believes in free and fair trade, and that the ITC's proposed remedy "is not appropriate or acceptable and could have significant negative impacts causing considerable market disruption". The industry insider told China Daily the closure of many US tire factories "is, to some extent, a result of the strategic adjustment of the tire industry", with many tire firms moving production of low-end tires off-shore to make use of cheap labor. "President Obama's decision is not in the interest of companies seeking higher profit margins," the insider said. Analysts claim the actions of the Obama administration are at odds with its public statements about how protectionism could deepen the ongoing crisis. The US and China, the world's two major economic engines, vowed to cooperate in the fight against the world recession but this dispute has caused friction before its top officials meet at a G20 summit in Pittsburgh on Sept 24-25. Obama is also expected to visit China in November. The tariff change has also sparked debate in the US. USW's International President Leo Gerard hailed the tariff hike by saying it "sent the message that we expect others to live by the rules, just as we do". However, Marguerite Trossevin, legal counsel to the American Coalition for Free Trade in Tires, a pro-business group, said: "We are certainly disheartened the president bowed to the USW and disregarded the interests of thousands of other US workers and consumers."
BEIJING, Oct. 11 (Xinhua) -- Chinese State Councilor Liu Yandong Sunday stressed the importance of nurturing more first-class financial personnel for the nation. Liu made the remarks when visiting the Beijing-based Central University of Finance and Economics (CUFE) to convey congratulations on its 60th founding anniversary. CUFE is the first university specialized in financial and economic studies established by the People's Republic of China. It is one of the 100 universities to which the Chinese government attaches top priority in the 21st Century. Noting that finance is an important state function, and the core of modern economy, Liu expected the university to play a better role in cultivating innovation-oriented financial talents. She also called on the university to contribute more to the national and local development programs.
BEIJING, Sept. 27 (Xinhua) -- Chairman Ning Gaoning of China National Cereals, Oils & Foodstuffs Corporation (COFCO), said Sunday the corporation's total investment in the northwestern Xinjiang Uygur Autonomous Region would reach 10 billion yuan (1.46 billion U.S. dollars) over the next five years. Ning made the remarks during his visit to the Xinjiang-based subsidiary companies of the corporation, the country's largest oil and food producer. Currently, COFCO's accumulative investment in the region is about 5 billion yuan, focused on tomato processing, sugar manufacturing, and beverages. Ning said the corporation would double investment over the next five years due to confidence in the region's growth potential, but did not say for which the future investment would be targeted. In 2005, COFCO made an investment in Xinjiang's Tunhe Investment Co., Ltd. by taking over a 37.2 percent share of Tunhe. So far COFCO Tunhe has become the largest tomato ketchup producer in Asia, and the second largest in the world.
BEIJING, July 22 (Xinhua) -- China's top three telecommunication operators, China Telecom, China Mobile and China Unicom, invested 80 billion yuan to boost the third-generation (3G) network so far this year, the Ministry of Industry and Information Technology said Wednesday. China Mobile, the leading mobile network operator, has opened 3G service in 38 companies based on the domestically-developed TD-SCDMA 3G standard, and is expected to expand the service to 238cities by the end of this year. China Telecom has also offered 3G service using the U.S.-developed CDMA2000 standard in 342 cities, while China Unicom has expanded its network based on Europe's WCDMA standards to 100 cities. The top three operators have started trial 3G operation, which allows mobile phone users to download data faster, make video calls and watch TV shows. The ministry expected the three operators would invest 170 billion yuan (24.87 billion U.S dollars) in 3G network construction this year. China's top three telecommunication operators are expected to invest 280 billion yuan in 3G products and network construction from 2009 to 2010, said Lu Xiangdong, Vice President of China Mobile Communications Corporation here Wednesday. It is estimated that the growth of China's multimedia industry, e-commerce and cultural creative industries stimulated by the 3G technology will generate at least 2 to 3 trillion yuan of social investment, Lu said in addressing 2009 China-UK Internet Roundtable Conference Wednesday. According to China Internet Network Information Center, the country's Internet users reached 338 million by the first half of this year. Mobile Internet users rose 32.1 percent in the first half of this year to 155 million, boosted by the launch of 3G service.
BEIJING, Oct. 9 (Xinhua) -- The inaugural World Media Summit began in Beijing on Friday with a speech from Chinese President Hu Jintao that drew praise from many foreign media members. Tom Curley, president and chief executive of The Associated Press, said that he was delighted to hear some 15 months after the Beijing Olympics that the progress of China opening up to the world would continue. Curley said that Hu's speech seemed quite sincere and that the president's appearance at the summit "was an important gesture as well." Chinese President Hu Jintao (C) waves to the participants as he arrives for the opening ceremony of the World Media Summit at the Great Hall of the People in Beijing, capital of China, on Oct. 9, 2009. The two-day summit, hosted by Xinhua News Agency, opened here Friday morningThe AP also said that news coverage of China has expanded dramatically in recent years amid rising global interest in its economic boom and Beijing's larger role in global affairs. The news agency also paid close attention to China's pledge to safeguard the legitimate rights and interests of foreign news organizations and reporters. Foreign media coverage had played an "important role" in telling the world about the changes in China, Hu was quoted by the AP as saying. The Chinese president also called on media organizations to promote peace. South Korea's Yonhap News Agency said Hu elaborated on China's media policies in his speech and pledged that the Chinese government would safeguard the legitimate rights and interests of foreign news media and continue to facilitate foreign media coverage of China in accordance with the law. South Korea's JoongAng Daily reported that a three-day "media Olympics" Opened in Beijing, China. The newspaper said that the summit puts a heavy emphasis on the coexistence, competition, dependency and convergence of the traditional media and new media. "It is also noteworthy that China is pursuing ambitious media reconstruction strategies by planning and hosting such a large-scale event," the newspaper said. Japan's Kyodo said that representatives from about 170 media organizations worldwide began two days of talks Friday in Beijing. The talks, Kyodo said, focused on the potential for cooperation and competition between new and traditional media in an era of globalization with growing use of digital and multimedia technology. The Jiji News Agency of Japan said Chinese media are tapping into the world market by providing multi-language services and going multimedia. It said Xinhua is expanding its business by launching a TV news service and developing online and mobile phone services.