News in review Friday, March 1 to Thursday, March 7
Updated: 2013-03-08 12:30
Friday _________________________ March 1
More Students Returning Home
China's "brain drain" continued to be in reverse last year.
More than 272,000 students returned to the country after studying overseas, the Ministry of Education said.
That was 86,700 more than in 2011, a 46 percent increase, according to the authority. At the same time, 399,600 students went abroad, up 17.65 percent.
The top two reasons for students returning are more economic opportunities and career development, according to the Center for China and Globalization and Mycos, a consulting firm.
According to the ministry, 328,330 international students studied in China in 2012, an increase of 12.21 percent over 2011. Of the 2.64 million students who have gone abroad since 1978, 1.09 million - about two-fifths - have returned, the ministry said.
US will be the No 1 M&A target
Chinese companies seeking mergers and acquisitions this year will make United States their No 1 target, industry experts from international accounting firm KPMG said.
In 2012, there were 40 M&A deals valued at $11.1 billion involving Chinese companies in the US, which, after Canada, is the second-largest destination for China's M&A capital, according to data from the company.
"Because of the strong capability in high-end manufacturing, competitive energy prices in the US, the strong support from local governments and the huge potential of the consumer market, the US is quite attractive for Chinese investors," said Peng Yali, director of research with KPMG's Global China Practice.
American pork faces a tighter additive ban
US pork exporters must certify that products they ship to China don't contain residue of an additive that studies have found causes side effects in humans such as anxiety, high blood pressure and increased heart rate.
The requirement, which took effect on March 1, bans the additive ractopamine, fed to US-raised swine to produce leaner meat. China has banned the additive in animal feed and animal products since 2011.
China, which is the world leader in both pork production and consumption, is the third-biggest international market for the US.
The US Meat Export Federation has asked Chinese authorities to delay implementation of the requirement because it said its members weren't given enough notice and some shipments now in transit won't meet it, according to Bloomberg News.
The US Agriculture Department has asked for information from China about documentation needed to satisfy the requirement, but it hasn't received a response, Dow Jones Newswires quoted an agency official as saying on March 1.
"The new factor that we are struggling with is the requirement that the product arrive with a negative test for ractopamine that would have some type of certifications with it, and that is a new requirement," Joe Schuele, a spokesman for the USMEF, told China Daily.
China is No 2 on Forbes list of billionaires
China is again No 2 when it comes to the most billionaires on Forbes magazine's annual list of the world's richest people.
Of the 1,426 billionaires on the list, 442 are from the United States, followed by China, 122, Russia, 110, and Germany, 58.
The list includes 122 billionaires from the Chinese mainland, 39 from Hong Kong and 26 from Taiwan. Last year, 95 billionaires from the Chinese mainland made the list, down from 110 in 2011, due to depressed stock prices in the world's second-biggest economy.
Zong Qinghou(pictured below), 67 and head of beverage giant Wahaha Group, regained the title of richest man on the Chinese mainland. Zong ranked 86th on the Forbes list with a net worth of $11.6 billion, up 60 places from last year. He's the only Chinese mainland billionaire whose net worth exceeds $10 billion this year, according to Forbes.
Economic growth, urbanization and consumer spending have been the main sources of China's growing ranks of super-rich.
China goes for the world's priciest cars
China is racing to become the world's largest market for the most expensive cars, and will overtake the United States and sell more than 2.3 million premium cars by 2016, according to a report by McKinsey & Co.
Premium-car sales in China reached 1.25 million in 2012, making it the world's second-biggest market after the US.
McKinsey named 23 top brands as "premium", including Acura, Aston Martin, Audi, Bentley and BMW.
A fourth of the 1,200 premium car buyers in China who participated in McKinsey's survey said they are willing to spend more on a car because they are confident in their career and business prospects.
Overseas investment to expand
China's investment overseas is expected to grow by 15 percent this year, according to The nation's top economic planning agency.
Outbound direct investment in the non-financial sector, which grew 30 percent year-on-year in 2012, is expected to increase by 15 percent this year to $88.7 billion, the National Development and Reform Commission said in a report.
The nation's top economic planning agency said China will "adopt a more proactive opening-up policy this year".
GDP target same as last year: 7.5%
China's growth target for this year is the same as last year: 7.5 percent.
Premier Wen Jiabao announced the target in his last Government Work Report to the National People's Congress in Beijing and also set an inflation target of 3.5 percent, below the 4 percent target of 2012. GDP increased by 7.8 percent in 2012 from a year earlier, a 13-year low.
Economic growth in 2011 was 9.3 percent and 10.4 percent in 2010.
Wen also called for income distribution reform and the narrowing of the income gap. "We should use the power of consumption to unleash the potential of economic growth," he said.
Wen said the government should be "determined to solve prominent environmental pollution problems" and should take action on safeguarding people's health. (Photo 1)
US leads in clean energy trade
The United States had a $1.6 billion trade surplus in clean energy trade with China in 2011.
The two countries traded more than $8.5 billion worth of clean energy goods and services in 2011, the last year for which data are available, according to the report by the Pew Charitable Trusts.
The report includes three major clean-energy sectors: solar, wind and energy smart technologies. Solar energy accounts for 56 percent and energy smart technologies account for 35 percent of the surplus in the three sectors.
Qoros with a 'Q' makes its auto debut
Qoros showed its first model at the Geneva Motor Show this week. The four-door compact car, the Qoros 3 Sedan, is aimed at young buyers in China and Europe.
German luxury-vehicle producer Audi AG sought a temporary injunction last week to stop the new independent carmaker from China from using the letter Q, claiming the Qoros name violates its right in using the letter Q on its SUVs. A Geneva court rejected the request and ordered Audi to pay 15,000 Swiss francs ($15,880) in costs to Qoros.
Qoros Auto Co Ltd is a 50-50 joint venture established in 2007 by Chery Automobile, China's biggest automaker by sales, and Israel Corp, the largest holding company in its namesake country. It was the only Chinese automaker at the show. (Photo 3)
There are 40 that are rated five-stars and 12 four-stars. No, they're not restaurants. They're toilets. Since 2008, the city of Linfen in Shanxi has spent more than 50 million yuan ($8.03 million) building more than 160 public toilets in the faux style of China's famous buildings. Some of the toilets are designed like imperial palaces and the Bird's Nest. The city also spends 3 million yuan every year managing the toilets. Liu Jiang / for China Daily
(China Daily 03/08/2013 page8)