Rebar futures drop as producer prices decline

Steel reinforcement-bar futures in China fell for the first time in five sessions after the government said the decline in factory-gate prices deepened, raising concern that an economic slowdown may be protracted. Rebar for delivery in October on the Shanghai Futures Exchange fell 1.3 percent to close at 3,621 yuan ($584.75) a metric ton. Before Thursday, futures rebounded 3.9 percent from a five-month low of 3,530 yuan on May 2. The producer price index fell 2.6 percent from a year earlier, after March's 1.9 percent drop.

Industrial metals retreat with China's weaker demand

Copper fell by the most in a week as a larger-than-expected retreat in China's producer prices indicated weaker demand from the largest user. Aluminum, lead, zinc, nickel and tin also declined. Copper for delivery in three months lost as much as 1.4 percent, the most since May 1, to $7,315 a metric ton on the London Metal Exchange and was at $7,334 at 3:01 pm in Shanghai. The metal climbed as much as 3 percent on Wednesday to $7,480 a ton, the highest since April 12.

Chi-Med license deal for cancer drug by year-end

Hutchison China MediTech Ltd, the drug manufacturer controlled by Hong Kong billionaire Li Ka-shing, is in talks to license a cancer treatment based on traditional Chinese medicines, said Christian Hogg, the company's chief executive officer. The Hong Kong-based company, known as Chi-Med, completed due diligence with potential partners and will probably reach an agreement by year-end, Hogg said in an interview in London, where the shares trade. The medicine may be used to treat colorectal, lung, breast and gastric cancers, he said.

Greenland Group takes control of HK company

Shanghai-based property developer Greenland Group is buying HK$3 billion ($386.6 million) worth of an additional issue of Hong Kong-listed SPG Land Holdings Ltd to become its controlling shareholder. An agreement was signed between the two parties on Wednesday. After the deal, Greenland will hold a 60 percent stake of the Hong Kong-listed company, and the latter will change its name to Greenland Hong Kong Holdings Ltd. Greenland Group has longed for a capital platform. Zhang Yuliang, president and chairman of the company, said the Shanghai municipal government expected an overall listing of the company.

Pharmaceutical ingredient exhibition to be held

Organized by the China Chamber of Commerce for Import & Export of Medicines & Health Products, the 13th session of CPhI China, an international exhibition on pharmaceutical ingredients industry, will be held in Shanghai from June 25 to 27. The annual export-oriented exhibition is to display the new technologies and products of China's pharmaceutical ingredient producers. It will provide an exhibiting platform for 2,500 exhibitors from more than 20 nations and regions as well as more than 40,000 professional purchasers worldwide.

DHL announces new China-Europe service

DHL Global Forwarding, a major provider of air, sea and road freight services in Europe and Asia, introduced a second multi-modal overland service connecting Asia and Europe on Wednesday. A train will depart every Friday from Chengdu to Europe, passing through western China and Kazakhstan until it reaches DHL's intermodal hub in Malaszewicze, Poland. The new weekly service comes as an addition to DHL's daily service, which departs from Shanghai and runs along the trans-Siberian North Corridor. It will reduce the overall Asia-Europe transport time by up to eight days, further cutting costs and CO2 emissions, it said.

China raises gasoline, diesel prices on Friday

China will hike the retail prices of gasoline and diesel by 95 yuan ($63.32) per ton starting Friday, according to the country's top economic planner on Thursday. The benchmark retail price of gasoline will be increased by 0.07 yuan per liter and diesel by 0.08 yuan per liter, said the National Development and Reform Commission.

China Daily -Agencies

(China Daily 05/10/2013 page14)