Posts tagged ‘China’

07/12/2014

China looking to curb fertilizer, pesticide use | Reuters

China, the world’s top producer of rice and wheat, is seeking to cap the use of chemical fertilizers and pesticides that have helped to contaminate large swathes of its arable land and threaten its ability to keep up with domestic food demand.

More than 19 percent of soil samples taken from Chinese farmland have been found to contain excessive levels of heavy metals or chemical waste. In central Hunan province, more than three quarters of the ricefields have been contaminated, government research has shown.

China is the world’s top consumer of pesticides but almost two thirds of pesticides are wasted, contaminating both land and water, an environment official said last year.

“We need to be determined to control the use of fertilizer and pesticides,” said chief economist at the agriculture ministry Bi Meijia.

Zhejiang province in eastern China plans to cut the use of nitrogen fertilizer by 8 percent in the next three years, Bi said, and the whole country could cap the growth in use of fertilizer and pesticides by 2020.

Still, China is aiming to remain self-sufficient in its staple crops, even as it moves to control pesticide and fertilizer use, Bi and another agricultural official said.

China recorded a bumper grains harvest in 2014, with output up about 1 percent to 607.1 million tonnes, official data showed, the 11th consecutive year of rising production.

via China looking to curb fertilizer, pesticide use | Reuters.

07/12/2014

Transparency International Socks China for Corruption – Businessweek

Given all the emphasis Chinese President Xi Jinping has put on fighting corruption over the past two years, you might think China was getting a lot cleaner. More than 80,000 officials have already been punished for breaking party rules, the graft-fighting Central Commission for Discipline Inspection announced earlier this week.

China's President Xi Jinping

But in reality, corruption may be getting worse, according to a survey by Transparency International released today. In its annual Corruption Perceptions Index, the Berlin-based watchdog found that China dropped four points, to 36, on a scale from zero, or highly corrupt, to 100, or very clean, over last year.

That put it alongside Turkey, Rwanda, Malawi, and Angola as the countries where conditions deteriorated most. Meanwhile, China fell from 80th least-clean country to the 100th worst place amongst the 175 countries rated, the report shows. Cleanest was Denmark, while North Korea and Somalia were tied for worst.

“We have heard a lot about government efforts to prosecute corruption and corruption scandals in China. Its commitment to catch ‘tigers and flies’—public officials big and small—indicates the government is serious,” wrote Transparency’s Srirak Plipat in a blog post on the organization’s website today.

Still, the worsening situation poses “a hugely challenging question: how effective is a top-down approach when you don’t have transparency, accountable government and free media and civil society?” Plipat wrote.

The larger picture across Asia was hardly more encouraging. All told, 18 of the 28 Asian countries ranked fell below 40 on the index. The “scores of countries from Asia Pacific, the world’s fastest growing region, are a resounding message to leaders that, despite many public declarations and commitments, not enough is being done to fight corruption,” Plipat wrote.

via Transparency International Socks China for Corruption – Businessweek.

04/12/2014

Family support planned for aging population – China – Chinadaily.com.cn

China will support the role of family in providing care to the elderly as the country responds to the rapid aging of its population, a top health and population official of China said during the 2014 World Family Summit.

“China will actively respond to population aging and include it as part of China’s national plan for development,” Li Bin, minister of the National Health and Family Planning Commission, said during the summit, which concluded on Wednesday in Zhuhai, Guangdong province. “The government will help families increase their capacity for elder care and provide more training to them.”

To cope with its rapidly aging population, China will establish social security and health support networks for the elderly and provide a better environment to serve the elderly, she said.

The government will create policies targeted at the development of families and invest more human resources to help families guard against potential risks, she said in a speech during the summit.

The number of people aged 60 or above in China reached 202 million last year, accounting for nearly 15 percent of the country’s population, according to a report released by the commission in November.

More than 20 percent of families in China had at least one member aged 65 or older in 2010, and almost half of all people aged 65 or above live with their children, according to the report. Most elderly Chinese are still cared for by their families, the report said.

A severe shortage of quality elderly-care institutions and traditional beliefs are the major reasons family members mostly care for their own elderly, experts said.

via Family support planned for aging population – China – Chinadaily.com.cn.

04/12/2014

India Ranked Less Corrupt Than China for the First Time in 18 Years – India Real Time – WSJ

Transparency International’s annual survey ranked India as less corrupt than China for the first time in 18 years as a nationwide outcry against corruption helped lift global perceptions of the South Asian nation.

In the yearly ranking of least-corrupt countries, India jumped 10 places from in its ranking last year to 85th out of the 175. China tumbled 20 places in the ranking to number 100. The last time India did better than China in the rankings was 1996.

The Berlin-based watchdog surveyed multilateral banks, big foundations and other international institutions about the level of corruption in different countries to come up with its annual Corruption Perceptions Index which was used for the rankings.

Perceptions about India were helped as street protests and national elections focused the world’s largest democracy’s attention on corruption, said the Berlin-based watchdog.

The call for a crackdown on corruption led to new laws and a new government. Prime Minister Narendra Modi, came to power in May on pledges to fight corruption.

Transparency International India executive director Ashutosh Kumar Mishra gives credit to the anti-corruption movement sparked by Gandhian Anna Hazare. His high-profile protests helped force the previous government to create a number of anti-corruption bills.

China slipped below India after it lost more ground than almost any other country in the rankings, suggesting that many observers are unconvinced by President Xi Jinping’s high-profile campaign to combat corruption.

While the two Asian giants have had the same rankings in 2006 and 2007, this is the first time China has been below India in the rankings since 1996, the first year Transparency International had rankings.

While it may have gained a little ground this year, India still has a long way to go before it can be ranked near the least-corrupt countries like Australia, Canada, Singapore and Denmark.

via India Ranked Less Corrupt Than China for the First Time in 18 Years – India Real Time – WSJ.

04/12/2014

China bolsters support for farm sector with tax breaks | Reuters

China is increasing its support for agriculture by renewing select tax breaks that have expired, the government said on Wednesday, in another move to support the real economy.

A farmer plants paddy on a terrace field in Suichuan county, Jiangxi province May 20, 2014. REUTERS-Stringer

China’s stumbling economy this year has pared banks’ tolerance for risk when they lend, further reducing the supply of loans to small-time borrowers who are usually ignored by banks because they are deemed to be high-risk borrowers.

Financial companies do not have to pay a business tax on the interest earned on agricultural loans worth no more than 100,000 yuan ($16,260), the Chinese cabinet said after a weekly meeting.

Their corporate income tax would also be discounted by 10 percent to “muster the enthusiasm of financial institutions when it comes to lending to farmers”, the cabinet, or State Council, said in an online statement.

The tax breaks, previously in place but had expired, would be reinstated and are effective until the end of 2016.

Insurers that sell insurance to crop and livestock farmers would also get a 10 percent discount on their corporate income tax, the government said.

A tax break that cuts the business tax to three percent for financial firms working within counties would also be extended until the end of 2016, the cabinet said.

Buffeted by a slowing housing market and slowing domestic demand and investment, China’s economy is forecast by some analysts to be sliding towards its worst downturn in nearly a quarter of a century this year.

Annual growth in the world’s second-largest economy could fall to 7.4 percent, a Reuters poll showed in October.

To rejuvenate the real economy, China announced a cut in interest rates of 40 basis points on Nov. 21 in a move that the central bank said was aimed at lowering borrowing cost.

via China bolsters support for farm sector with tax breaks | Reuters.

04/12/2014

Intel to invest $1.6 billion in China factory | Reuters

Intel Corp (INTC.O) will invest $1.6 billion (1 billion pounds) to upgrade its factory in the city of Chengdu in western China, the latest sign of how the chipmaker is deepening ties in a market that is proving increasingly troublesome for some U.S. technology peers.

Indonesian youth walk past an Intel sign during Digital Imaging expo in Jakarta March 5, 2014. REUTERS/Beawiharta

As part of the upgrade, Intel said in a statement on Thursday it would bring its most advanced chip-testing technology to China. In exchange it will receive local and regional government support for construction.

“Deploying our newest advanced testing technology in China shows our commitment to innovating jointly with China,” Intel executive vice president William Holt said in the statement. “The fully upgraded Chengdu plant will help the Chinese semiconductor industry and boost regional economic growth.”

The announcement comes three months after Intel purchased a minority stake in a government-controlled semiconductor company to jointly design and distribute mobile chips, an industry that China considers to be of strategic importance.

Intel’s fortunes in China contrast with the travails of its rival, Qualcomm Inc (QCOM.O), which is expected to announce in the coming days a potentially record-breaking settlement with Chinese antitrust regulators.

China’s investigation into San Diego-based Qualcomm, as well as a spate of recent probes against firms including Microsoft Corp, have prompted an outcry from foreign business lobbies. They say the Chinese government is increasingly adopting strong-arm tactics to yield technology-sharing or other arrangements beneficial to domestic industry.

The government, meanwhile, has defended its regulatory scrutiny as even-handed. It has pointed to a history of Qualcomm and Microsoft facing similar antitrust probes in Western countries.

Analysts say there is a broad recognition that foreign companies must do more to stay in China’s good graces.

via Intel to invest $1.6 billion in China factory | Reuters.

03/12/2014

China’s Left-Behind Children are Lonely, Underperforming, and Sad – Businessweek

China has an estimated 61 million “left-behind children”—youths in the countryside who grow up separated from migrant worker parents. A survey has just detailed the problems facing an alienated generation whose members are usually raised by relatives, educated in rural boarding schools, or even forced by circumstance to live alone.

China's Left-Behind Children Are Lonely, Underperforming, and Sad

Without proper attention, many regularly suffer injuries, says a report released on Nov. 30 by the China Youth & Children Research Center. Almost half of the group’s members (known in Chinese as liushou ertong) has been injured in accidents involving cuts, burns, animal bites, traffic accidents, and electric shocks. That was 5.3 percent higher than the rate of injury experienced by other children, the study said.

With most attending underfunded, overcrowded rural schools—or even dropping out—the academic problems facing left-behind children are particularly severe. More than four-fifths reported problems with declining scholastic performance, and 43.8 percent were not interested in studying.

Just under 70 percent of left-behind children reported being unable to understand their class lessons. About one-half had problems finishing homework, 40 percent were late for classes, and 5.5 percent were often absent—all higher rates than those experienced by children raised by their parents.

Without access to adequate social support, many reported experiencing negative feelings. Almost one-half were irritable, while around 40 percent said they were unhappy. One-fifth said they had problems losing their temper without good reason.

Left-behind girls were even more vulnerable than boys, repording higher rates of problems in each of these areas, as well as a lower sense of self-worth than their male counterparts. As for loneliness—a problem experienced by all the left-behind children— girls again suffered more: Some 42.9 percent of left-behind girls said they often feel lonely. That’s 6.2 percent higher than their male counterparts reported, and it’s 6.7 percent higher than girls who live with their parents.

via China’s Left-Behind Children are Lonely, Underperforming, and Sad – Businessweek.

03/12/2014

Under Pressure: The 10-Story Machine China Hopes Will Boost Its Aviation Industry. – China Real Time Report – WSJ

The engineers started closing the rollerdoor the moment they saw a foreigner walking toward them.

Standing around laughing in blue overalls and yellow hard hats, they went quiet the moment I started walking up the drive. I asked if I could take a peek behind the door. They said it was a secret.

Still, I managed to catch a glimpse of two floors’ worth of the 10-story-tall machine Beijing hopes will play a major role in driving China’s aviation and aerospace industries: an 80,000-ton closed-die hydraulic press forge.

Repeated requests for a tour of the forge were declined. Both Zhang Jian, the head of propaganda at Erzhong Group, the company that built and operates the forge, and Wang Yu, the secretary of the board of directors of Erzhong’s Shanghai-listed unit, said that the forge is “confidential.”

It’s not immediately clear what about the machine – which is painted green with Erzhong Group printed across it in red Chinese characters – is so secret.

The machine is the biggest of its kind in the world. The biggest forge in the U.S. can exert only 50,000 tons of pressure, and is operated by Alcoa AA +0.93% in Ohio. France has a 65,000-ton machine, and Russia has a machine capable of exerting 75,000 tons of pressure.

But the technology China is using is nothing new. It is based on modifications of Russian designs from the 80s, according to a person involved in the development process.

More sensitive is was China can potentially do with it.

Press forging involves shaping a piece of metal under high pressure by squeezing it into a mold. That alters the flow of the metal’s grain – its internal structure – allowing engineers to create stronger and lighter components than would be possible by just beating them into shape or welding them together. Greater pressure results in stronger components.

The Erzhong forge can exert up to 80,000 tons of downward pressure using five columns. Flipped upside down, it could lift China’s Liaoning aircraft carrier, with room to spare for a handful of submarines. Airbus is using the Russian forge to make landing gear components for the A380, the world’s biggest passenger plane. Having the world’s biggest forge should allow China to produce large components of higher strength than possible elsewhere.

The technology was pioneered during WWII by Germany, which didn’t have a sufficient supply of steel and so had to mold its air force out of more brittle, but lighter metals, according to Tim Heffernan, a writer who has researched the U.S. forge program. The end of the war brought the start of the jet age, and the U.S. government provided support for the building of forges around the country, so that the country was able to produce light planes that were sufficiently strong to withstand supersonic speeds.

Alcoa’s forge has been producing parts for Boeing and Airbus for decades. The company says it supplies almost all forged wheel and brake components for U.S. military aircraft and helicopters, including the F-35 Joint Strike Fighter, the U.S. military’s newest fighter jet.

Erzhong hasn’t explicitly said what the forge will be used for, but academics involved in its development process said there are potential military applications.

The first component produced by the forge at its official launch in April last year was the landing gear for the C919,  China’s long-awaited and much behind schedule narrow-bodied passenger aircraft being built by the Commercial Aircraft Company of China.

via Under Pressure: The 10-Story Machine China Hopes Will Boost Its Aviation Industry. – China Real Time Report – WSJ.

02/12/2014

South Asia’s hydro-politics: Water in them hills | The Economist

IT IS a thrill trekking beside the upper Marsyangdi river in northern Nepal. On view are spectacular waterfalls and cliffs, snowy Himalayan peaks, exotic birds and butterflies. But just where tourists and villagers delight in nature, hydropower engineers and economists have long been frustrated; in such torrents they see an opportunity that for too long has been allowed to drain away.

Himalayan rivers, fed by glacial meltwater and monsoon rain, offer an immense resource. They could spin turbines to light up swathes of energy-starved South Asia. Exports of electricity and power for Nepal’s own homes and factories could invigorate the dirt-poor economy. National income per person in Nepal was just $692 last year, below half the level for South Asia as a whole.

Walk uphill for a few hours with staff from GMR, an Indian firm that builds and runs hydropower stations, and the river’s potential becomes clear. An engineer points to grey gneiss and impossibly steep cliffs, describing plans for an 11.2km (7-mile) tunnel, 6 metres wide, to be blasted through the mountain. The river will flow through it, before tumbling 627 metres down a steel-lined pipe. The resulting jet—210 cubic metres of water each second—will run turbines that at their peak will generate 600MW of electricity.

The project would take five years and cost $1.2 billion. It could run for over a century—and produce nearly as much as all Nepal’s installed hydropower. Trek on and more hydro plants, micro to mighty, appear on the Marsyangdi. Downstream, China’s Sinohydro is building a 50MW plant; blasting its own 5km-long tunnel to channel water to drive it. Nearby is a new German-built one. Upstream, rival Indian firms plan more. They expect to share a transmission line to ill-lit cities in India.

GMR officials in Delhi are most excited by another river, the Upper Karnali in west Nepal, which is due to get a 900MW plant. In September the firm and Nepal’s government agreed to build it for $1.4 billion, the biggest private investment Nepal has seen.

Relations between India and Nepal are improving. Narendra Modi helped in August as the first Indian prime minister in 17 years to bother with a bilateral visit. Urged by him, the countries also agreed in September to regulate power-trade over the border, which is crucial if commercial and other lenders are to fund a hydropower boom. Mr Modi was back in Kathmandu for a summit of the South Asian Association for Regional Co-operation, on November 26th and 27th. Governments think the normally rudderless body could find a purpose in energy integration—though the talks were poisoned by poor relations between Pakistan and India. Another big Indian hydro firm agreed with Nepal’s government, on November 25th, to build a 900MW hydro scheme, in east Nepal, known as Arun 3. Research done for Britain’s Department for International Development suggests four big hydro projects could earn Nepal a total of $17 billion in the next 30 years—not bad considering its GDP last year was a mere $19 billion.

All Nepal’s rivers, if tapped, could feasibly produce about 40GW of clean energy—a sixth of India’s total installed capacity today. Add the rivers of Pakistan, Bhutan and north India (see map) and the total trebles.  Bhutan has made progress: 3GW of hydro plants are to be built to produce electricity exports. The three already generating produce 1GW out of a total of 1.5GW from hydro. These rely on Indian loans, expertise and labour.

Why a Himalayan cross-border hydropower rush now? In Nepal projects were once scuppered by local politics, a ten-year civil war, suspicion of India and a lack of regulation that put off creditors. Slowly, such problems are being tackled. The war ended in 2006. It helps, too, that the terms of the projects look generous to the host. For Upper Karnali, GMR will set aside 12% of electricity production, free, for Nepali consumers. It will also give Nepal a 27% stake in the venture. After 25 years of operation the plant will be handed to Nepal.

A second reason, says Raghuveer Sharma of the International Finance Corporation (part of the World Bank), was radical change that opened India’s domestic power market a decade ago. Big private firms now generate and trade electricity there and look abroad for projects. India’s government also presses for energy connections over borders, partly for the sake of diplomacy. There has even been talk of exporting 1GW to Lahore, in Pakistan—but fraught relations between the two countries make that a distant dream.

via South Asia’s hydro-politics: Water in them hills | The Economist.

28/11/2014

Narendra Modi woos Saarc nations, pledges slew of investments to counter China – The Times of India

India pledged a slew of regional investments at Saarc summit this week, seeking to counter China’s growing economic inroads into its backyard as it remains embroiled in bitter rivalry with Pakistan.

Prime Minister Narendra Modi said South Asia‘s largest economy would fund regional infrastructure, health facilities and even a communications satellite, and promised to free up its markets to exporters in smaller countries in the region.

Modi, who won a landslide election victory in May, has made clear that boosting India’s influence in its immediate neighbourhood is a key strategic priority for his government.

Critics say the previous Congress party government began to take relationships for granted, allowing economic giant China — which shares a border with four of India’s neighbours — to step into the breach.

But the failure of the South Asian Association for Regional Cooperation (Saarc) to make any significant progress during a two-day meeting underscored the scale of the challenge New Delhi faces.

Cross-border trade among the eight Saarc nations — Afghanistan, Bangladesh, Bhutan, India, Nepal, the Maldives, Pakistan and Sri Lanka — still accounts for less than five percent of total commerce in the region.

“Indians want to keep South Asia as their exclusive sphere of influence,” said Sreeram Chaulia, dean of the Jindal School of International Affairs in Delhi.

“To do that… we need to play the economic game and we need to play the connectivity game better. We have been protectionist, and that is not good,” he said, welcoming Modi’s pledge to help smaller nations reduce their trade deficits with India.

Leaders signed just one agreement, on energy cooperation, at a summit that was overshadowed by the rivalries between India and Pakistan, leading host country Nepal’s Prime Minister Sushil Koirala to say that Saarc had fallen short of expectations.

Nepal, long under the political influence of New Delhi, has benefited hugely from China’s bounty over the last decade, getting much-needed new roads and other infrastructure. Even the venue where the leaders met was built with Chinese money.

It is among several Saarc nations including Pakistan and Sri Lanka that reportedly support full membership for China, which currently enjoys observer status in the regional grouping.

India has resisted promoting its regional rival to full membership status, which comes with the power to veto agreements.

Frustrated by the slow pace of progress towards regional cooperation, it has also sought to woo its neighbours outside the Saarc framework.

via Narendra Modi woos Saarc nations, pledges slew of investments to counter China – The Times of India.

Law of Unintended Consequences

continuously updated blog about China & India

ChiaHou's Book Reviews

continuously updated blog about China & India

What's wrong with the world; and its economy

continuously updated blog about China & India