Sept. 13 – During the 10th China-ASEAN Expo, Chinese Premier Li Keqiang announced the proposal of a “Diamond Decade” between China and the ASEAN nations, which will seek to build greater economic cooperation between the two areas.
Premier Li was quoted as saying “we unanimously agreed that our common interests are expanding. We had the capabilities to create a ‘golden decade’ in the past. We also have the power to create a ‘diamond decade’ in the future.” Continue reading
Aug. 29 – The Prime Minister of Australia, Kevin Rudd, has recently unveiled Australia’s plan for bilateral engagement with India. Australia’s India country strategy will seek to build a stronger and more comprehensive relationship, a directive first revealed in Australia’s most recent White Paper.
“Australia’s relationship with India has perhaps the greatest potential to grow out of all of Australia’s significant bilateral relationships in Asia,” commented Rudd. “There is no greater symbol of the ties we share with India than the contribution and successes of the Indian diaspora who have made Australia home.” Continue reading
Aug. 16 – Buyers sourcing in China can expect marginally shorter delivery lead times and perhaps more competitive prices from suppliers as fresh government measures to stimulate growth take effect.
Announced by the State Council on July 24, 2013, the measures are targeted at SMEs, which are most impacted by the slowdown in manufacturing and exports. Dubbed as “mini stimulus” for the tight focus, the package has a three-prong approach. The state-owned Xinhua news agency said two of these measures are “designed to provide small businesses with a badly needed liquidity lifeline.”
Under the first measure, micro firms, or businesses making less than 20,000 yuan ($3,260) monthly in sales, will be exempt from value-added tax starting August 2013. About 6 million companies will be covered by the tax break, which aims to encourage hiring among these businesses, consequently reinvigorating production. Continue reading
By Nick Ottens
Jul. 31 – The world’s two largest economic powers avoided an escalation in their trade dispute on Saturday when they agreed to limit Chinese solar panel sales to Europe.
After six weeks to talks, and days before a European tariff on Chinese solar panels was slated to be raised, the body’s trade chief and his Chinese counterpart agreed to set a minimum price for panels from China and restrict its share of the European solar energy market.
The European Commission announced an 11.8 percent import duty on China’s solar panels last month and accused it of “dumping” its products on the European market at low prices, putting European firms out of business. Although European green energy companies are also usually subsidized by their national governments, they could not compete with China’s lower production costs and state subsidies for solar panel producers. Continue reading
P.S. Deodhar, in his latest book, Cinasthana Today, suggests that both India and China must forge deeper economic relations to maintain the momentum of growth and make this an Asian century.
By Sameer Patil
Jul. 15 – India and China can join hands to emerge as “India plus China” rather than “India versus China,” P. S. Deodhar suggests in his recent book, ‘Cinasthana Today: Viewing China from India’. This is an interesting perspective in light of the incursion by the Chinese army in the Depsang area of eastern Ladakh in May this year. The incursion was a shock to policy-makers in India, coming as it did after relatively stable bilateral progress over the past few years; for some, it revived the memories of the war in 1962 between India and China. Continue reading
June 13 – India and Myanmar formally committed to strengthening their bilateral trade and infrastructure investment relations during last week’s World Economic Forum on East Asia.
The forum, which was held in Myanmar’s capital of Nay Pyi Taw, was the first international gathering hosted in Myanmar since the country implemented economic and political reforms in 2011. The theme was “Courageous Transformation for Inclusion and Integration.”
During the forum, India’s Union Minister of Commerce, Industry & Textiles Anand Sharma met with Myanmar’s Chairperson of the National League for Democracy Daw Aung San Suu Kyi to discuss trade between the two countries. Their meetings were positive, and the two agreed on greater cooperation and cross-border investment efforts. Continue reading
By Nick Ottens
Jun. 4 – German chancellor Angela Merkel on Sunday promised to intervene on China’s behalf in its dispute with the European Union over the import of solar panels, deepening an economic relationship that already accounts for nearly $200 billion in global trade.
“Germany will do what it can so that there are no permanent import duties and we’ll try to clear things up as quickly as possible,” Merkel told reporters after meeting her Chinese counterpart Li Keqiang in Berlin. “We don’t believe that this will help us so we want to use the next six months intensively.”
The European Union accuses China of pricing its solar panels too cheaply at the expense of European competitors, even if they are usually heavily subsidized by their national governments as well. It is considering whether to impose punitive duties after the United States did so last year. Continue reading
2point6billion.com provides news and analysis on foreign trade in south east Asia, with a particular focus on China and India. The stories are contributed by the foreign direct investment experts at Dezan Shira & Associates, who have offices throughout China, India and Vietnam.