China Readings for September 22nd

  • 10 Reasons Why Sina’s Regulatory Risks are Overblown | iChinaStock – Share of Sina plunged 15% yesterday on investor concerns over regulatory uncertainties such as licensing issues and VIEs investment structure. But I think these regulatory risks, if under closer scrutiny, are overblown. And here is why.
  • Locke’s lifestyle and new mission-global times- The attention Gary Locke has received as the new US ambassador to China is far more than his role deserves. Besides his attitude toward many aspects of the bilateral relationship, his personal life has aroused fierce discussion among the Chinese public. He flew economy class, carries a backpack and buys coffee with discount vouchers. His normal image has won him praise from some Chinese media.It is reminiscent of the discussion over US Vice President Joe Biden dining in a cheap restaurant in Beijing. Some Chinese media’s expectations of their officials shine through in these comments.

    It would not be bad if these actions were covered by the media, whilst keeping a level head. It loses value when Locke’s every move  is packaged by the media as being part of the class of US officials. Some journalists like to romanticize what they see out of a lack of knowledge and may hold Locke up as a mirror for Chinese officials.

  • Jim Chanos: China has tons of contingent debt via state-owned enterprises | Credit Writedowns-
  • India to sell BrahMos missile to Vietnam | The Asian Age – The BrahMos Aerospace —the Indo-Russian joint venture that has developed the BrahMos supersonic cruise missile — is keen to sell the missile to Vietnam with which India is developing a strong strategic relationship, sources have confirmed
  • China defends chicken tariffs after US complaint – Yahoo! News – China said Wednesday that tariffs it imposed on imports of U.S. chicken last year are legal, after the United States filed a complaint with the World Trade Organization saying Beijing violated international trade rules.
  • The Commerce Ministry said on its website that China “believes the anti-dumping and countervailing measures it has taken on chicken products originating in the United States are in accordance with the law and conform to WTO rules.”
  • Why Did Sina Shares Plunge 15% Tuesday? | DigiCha – Winter is coming to Beijing, it appears to be coming to the Chinese Internet, I have heard rumblings of a coming Internet “rectification campaign” in October, and so investors should be careful. People say buy when there is blood in the streets, but when it comes to Chinese Internet stocks there is always the chance that there will be blood and Internet company body parts in the streets before the regulators are done.
  • GM, SAIC to develop electric vehicles in China | Reuters – General Motors Co and its Chinese partner SAIC Motor Corp signed an agreement on Tuesday to develop and build electric vehicles in the world’s largest auto market.
  • The deal will allow GM and SAIC to eventually offer electric vehicles (EVs) that qualify for expected Chinese “green” subsidies, something GM’s Chevrolet Volt plug-in hybrid electric car does not qualify for since it is not built in China, GM Vice Chairman Steve Girsky said.
  • Asia Unbound » China’s Premier Wen Jiabao Ups the Political Ante… Again – more wishful thinking masquerading as political analysis by liz economy
  • Sina Refutes Licensing Rumors, Bracing for Gov. Regulation-Caijing- Rumors spread through the services created “huge damage” to individuals and to the government, which has posed a “serious challenge” for the government’s effort to filter information and control society
  • Sina refuted a rumor earlier today that it had failed in getting one of the four licenses that the government would soon require the Chinese Internet companies to continue with their twitter-like services.
  • .The rise and rise of Mandarin – but how many will end up speaking it? – Telegraph- it is actually not that hard. 1.3 billion chinese speak it// China’s growing importance in the world has convinced millions to start learning Mandarin, but how many will end up able to speak one of the world’s most difficult languages?
  • Dogs spared from dinner death-global times- The eighth Dog Meat Festival in Zhejiang Province will not be happening after local officials folded under public pressure and banned the event
  • China’s New Rich Turning to High Life at Sea – NYTimes.com -
  • Chinese Internet Users Embrace ‘Neo-Colonialist’ U.S. Ambassador Gary Locke – China Real Time Report – WSJ- Don’t be fooled, citizens of China: Newly arrived U.S. ambassador Gary Locke’s humble do-it-yourself demeanor is all part of a crafty neo-colonialist plot.
  • India to sell BrahMos missile to Vietnam | The Asian Age – The BrahMos Aerospace —the Indo-Russian joint venture that has developed the BrahMos supersonic cruise missile — is keen to sell the missile to Vietnam with which India is developing a strong strategic relationship, sources have confirmed.

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