Monday, May 21, 2012

Investment News and Commentary from Emerging Markets in Asia - China, India and ASEAN





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2point6billion.com discusses investment news and events from the emerging markets of Asia - including India, China and the ASEAN countries. It is produced by the Asian foreign direct business advisors at Dezan Shira & Associates from their offices across emerging Asia.



Culture & History

China and Japan Hold High-level Maritime Negotiations

By Nicholas Clement

May 17 – On Wednesday, China held negotiations with Japan regarding maritime issues in the East China Sea, with their territorial dispute over the Diaoyu/Senkaku Islands on the top of the agenda. Currently involved in a naval standoff with the Philippines in the South China Sea and ongoing border disputes with India, it is increasingly clear that China’s relations with its neighbors are exemplified by geopolitical processes.

The territorial dispute over the Diaoyu Islands (which is currently controlled by Japan, yet also claimed by China and Taiwan) intensified last month when the governor of Tokyo, Shintaro Ishihara, announced plans to buy the islands from a private owner, claiming that they were extremely important to Japan as a source of natural resources. The reaction from China was negative; with Chinese Foreign Ministry Spokesman Liu Weimin stating that “any unilateral action taken by Japan on the Diaoyu and nearby islands is illegal and invalid and cannot change the reality of China’s ownership.” Continue reading

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China-Philippines Standoff: Territorial Tension in the South China Sea

By Nicholas Clement

May 10 – The South China Sea (SCS) continues to act as a regional flashpoint in the Asia Pacific, recently exemplified by the ongoing naval standoff between China and the Philippines. The current standoff began at the beginning of April when the Filipino navy intercepted Chinese fishing vessels in Scarborough Shoal, who they claimed were illegally operating inside of its 200-nautical mile exclusive economic zone (EEZ). Before the fishermen were arrested, however, China sent vessels from its maritime surveillance unit who placed themselves between the Filipino navy and Chinese fishing vessels – thus starting the standoff. Continue reading

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Exit China, Enter India – Expat Transitions: Part IV

Second-Tier City Beat – From Hangzhou to Pune

Olaf Griese has spent six years with Dezan Shira & Associates in Shanghai and has just recently relocated to Delhi. In this series of articles, he will detail the differences, as well as the pros and cons, of living in both China and India.

May 4 – Going from Hangzhou to Pune seems a long way, but it isn’t if you know a shortcut! Indeed, the point of departure for each is the corresponding country’s main commercial city: Shanghai or Mumbai. Numerous comparisons have been put forward comparing the latter two, and both cities are glittery, fantastic and have their own beat which sometimes doesn’t follow the same rhythm as the rest of the nation. Personally, I don’t think you can compare both cities. However, few comparisons have been made about the neighboring cities of Shanghai and Mumbai or, as we like to refer to them in business terms, “second-tier cities.” Continue reading

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China’s Panchen Lama Makes First Speech Outside of Mainland

Apr. 26 – Gyaltsen Norbu, the individual that China’s central government has hand-selected as the 11th Panchen Lama, made his first official speech outside of Mainland China on Thursday.

He took no questions at the World Buddhist Forum in Hong Kong and stayed away from controversial subjects, instead taking the opportunity to talk about Buddhism, Dharma, and using inner peace to achieve social harmony. Continue reading

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Exit China, Enter India – Expat Transitions: Part III

The Razor’s Edge at Khan Market

Olaf Griese has spent six years with Dezan Shira & Associates in Shanghai and has just recently relocated to Delhi. In this series of articles, he will detail the differences, as well as the pros and cons, of living in both China and India.

Apr. 17 – My normal Sunday routine is watching the F1 Grand Prix or going out to enjoy the sunshine and have a coffee in a nice café. This weekend I was able to do both. After watching the Grand Prix taking place in Shanghai, which finished at 2:30 p.m. New Delhi local time (time difference between New Delhi and Shanghai is only 2.5 hours), I decided to have a stroll around Khan Market.

The distance from my hotel to the market is about 4 kilometers. For such a short distance, a rickshaw was sufficient with a taxi representing the second-best choice. After the usual bargaining procedure (surprisingly similar to China), we agreed on a price off US$1 and we were heading south – passing the India Gate – towards Khan Market. Personal transportation costs are much cheaper in India than in China. For example, you can hire taxis for US$15 per day in New Delhi which includes traveling 40 kilometers within eight hours. Continue reading

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Exit China, Enter India – Expat Transitions: Part II

Apartment Hunting in Delhi vs. Shanghai

Olaf Griese has spent six years with Dezan Shira & Associates in Shanghai and has just recently relocated to Delhi. In this series of articles, he will detail the differences, as well as the pros and cons, of living in both China and India.

Apr. 10 – My first apartment when I arrived in Shanghai six years ago was on the 11th floor of a high-rise building in the city’s Hongkou District – an area popular among the local working class looking for cheap accommodations close to People’s Square. After a few years, I moved to Huaihai Road opposite the well-known Jiaotong University where I shared a flat on the 21st floor with a friend. Finally, just before coming to India, my last apartment was on Madang Road close to the old quarter at Tianzifang where I lived on the 15th floor. During all these years I worked out of our local Dezan Shira & Associates office on the 18th floor of Tian’an Center overlooking People’s Square. Generally speaking, I found living in Shanghai relatively easy and fairly hassle-free. Finding and maintaining an apartment was not difficult, and I was able to have friends and family stay whenever they visited. But I never lived below the tenth floor. That has interesting implications. Continue reading

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Indian Communist Party Rejects Modern China’s Ideology

Communist manifestos diverge due to concerns that China is losing its way over GINI coefficients and capitalism

Apr. 9 – The Communist Party of India (CPI) which has for decades followed policies issued by the Communist Party of China (CPC) is for the first time taking a critical stance on contemporary Chinese communism, including the decision to admit capitalists into the party and a widening income gap.

The CPI, currently holding its 20th Party Congress, has heard a draft ideological document, presented by CPI politburo member Sitaram Yechury which states that “negative tendencies” such as economic inequality, unemployment, corruption and nepotism have surfaced in China. Continue reading

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2point6billion.com provides news, commentary and analysis on business, culture and politics throughout China and India. The stories are contributed by the business experts at Dezan Shira & Associates, who have offices throughout south east Asia.



Dezan Shira & Associates provide a range of services for companies looking to undertake foreign direct investment into Asia, These include corporate establishment, accounting, tax, payroll, audit and due diligence. To learn more about the firm, please contact one of our specialists at china@dezshira.com, download our corporate brochure or visit at us www.dezshira.com


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