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Chengdu Investment News: October 15 2007-10-16 15:36:38 Chengdu’s popularity ranked fourth during Golden Week The leading Chinese online tourist services company Ctrip.com issued on October 7 the Rating of China Cities’ Popularity in “October First” Golden Week 2007, in which Chengdu ranked fourth, one position superior over last year, just behind Shanghai, Beijing and Hangzhou. Also according to the data from Chengdu tourism bureau and statistics bureau, by 18 hours of October 7, the city has received 4.929 million visitors and realized tourism revenue of RMB 2.302 billion during the Golden Week. Sichuan’s imports and exports topped the West It was learned on October 7 from Chengdu Customs that from January to August of this year, Sichuan’s imports and exports accumulated a total sum of US$ 8.86 billion, up 28.3% year-on-year. Sichuan’s foreign trade value ranked 14th in China and topped the West. Data show that private companies have become the major exporting force in Sichuan, while electromechanical and hig ...

Chinese Ladies are LOADED, 8 Tips for China Success, Globalization is ???, and Who is Us? 2007-10-15 18:29:11 China Has 106 Billionaires, Up From 15 Last Year and Yang Huiyan, a real estate scion, tops Forbes list of richest in China As if you needed any more proof that China is awash in money.. What I found interesting was that 4 of top 10 were in real estate, #1 and #2 are both females (Mao was wrong… women hold up more than half the sky), and China is now #2 behind the US for overall number of billionaires. 10 survival tips for Foreign expats who work in China Trying to sum up how to succeed in China (in 100 words or less) gets harder with each day. There are many different ways to define success, and Romain gives us a list of 10 things he thinks as being key to that. For me, I would add the following: China is not a guaranteed anything. There may be 1.3 billion people… and it may offer low costs… but with reward comes risk. If you are not prepared to fight for it, you don’t deserve it. China is not a bubble. It is a bubble bath. Once you have found a “clea ...

Let the Party Begin: CCPC Meeting Kicks Off Today 2007-10-15 04:23:34 I wa always told to stay away from several things while attending business functions, and I think had someone been telling me about red button issues behind the Great Firewall they would have been much the same. However, today I am going to make a quick departure from my typical politics free discussion to bring up the fact that (1) today marks the first day of all party discussions in Beijing and (2) I think this meeting of the minds is going to be a turning point. Why do I say this? Well… this summer has been an aweful one for China.  Internally there were cases of slavery, algae blooms, and corruption that hit the national stage… and externally, one only needs to type into Google “Lead Paint Barbie”. In the journal this morning, the lead article on China was China’s Congressional Congress  Heralds a Generational Shift (subscription required) and its main assertion is that through this meeting, we are going to see a change: The party’s 17th Nat ...

Scrap or Not: Raw Material Exports to China Have REAL Value 2007-10-14 14:21:13 Several years ago around the Chinese New Year holiday I became keenly aware of just how liquid and valuable scrap metals were as one of the drivers responsible for hauling our Aluminum plates showed up a day late and a ton short. More recently I heard of someone whose asked his cab driver (in China) why there were car seats in the middle of the street every 100 meters or so. The answer… the man hole covers had been stolen. Part in parcel with China has been the rise of commodity prices across the board. Metals, woods, plastics, and other raw inputs have all seen increased pricing, and for some this dynamic has provided for a very lucrative business model: Importing scrap railroad ties, man hold covers, wiring, computers, plastic bottles, paper… you name it. If it can be recycled and put back into another product… there is a value for it in China. and it wasn’t until recently when I read that a football game in the U.S. had to be canceled due to the field l ...

Brits Get Rich in China: Part 3 2007-10-13 10:03:31 http://www.youtube.com/watch?v=DLf4-PLgKDI Part 3 starts off with Peter pitching, and it comes out that he has failed to make a single sale after one month - Time to fish or cut bait for Peter. Cut to Tony who has set up a mansion of a store at the SNIEC Cushion Show in Shanghai. .. who is trying to figure out who wants to buy his cushions… or steal his patterns. “If you want a quarter of a million cushions in 10 weeks, you will get your cushions in ten weeks” Cut to Tony inspecting the site… which is uh.. way behind schedule. fortunately Tony’s business partner has a family member (her sister’s father in law) who can manage the job (That was convenient…). Tony is scared, and the entire staff goes to lunch at 11am. Cut to Vance on the Huangpu river and a bit more background on his business. 100+ suppliers for 50,000 bathrooms (a large supply chain for a single person). So… of to the border of North Korea where Vance looks to set up ...

New Era for Going Global 2007-10-12 22:11:57 A recent post pointed to US$200 billion being invested abroad by the state investment fund, but there is plenty of other money seeking an overseas home. The Hong Kong Trade Development Council updates the “going global” story: “According to a latest government statistical gazette, in 2006 China’s net outbound investment reached US$21.16 billion and the average annual growth rate is as high as 60% during the past five years…Experts with National Bureau of Statistics said that China’s enterprises have been putting more efforts to engage in building factories, acquisition and merger, equity exchange, offshore listing and the establishment of strategic cooperative alliances, instead of simply setting up offices in the old days, indicating that China’s outbound investment has already entered into a new era.“ One noteworth deal, highlighted by the Wall Street Journal involves a Chinese bank…in the US: “China Minsheng Banking Corp. said it will buy a 9.9% st ...

Market Madness? 2007-10-12 22:11:54 While the Hong Kong Standard last week reported on “Market madness”, it seems that punters are not too concerned about any bubble being burst. This week has seen new records for China’s A-shares. According to Forbes on Wednesday: “The benchmark Shanghai Composite Index closed up 55.57 points or 0.97 pct at a record 5,771.46” But individual stocks have seen even more eye-watering moves. According to an IHT report: “Shares of China Shenhua Energy Co., one of the world’s biggest coal sellers, almost doubled on their first day of trading in Shanghai on Tuesday…Shenhua rose as much as 91 percent after the Beijing-based company raised 66.6 billion yuan, or $8.86 billion, in the world’s largest share sale this year.” So, what next? Reuters reports that Alibaba will be listing in Hong Kong: “Alibaba.com (ALI.UL: Quote, Profile, Research), China’s largest e-commerce company, has won approval from the Hong Kong Stock Exchange for a long-anticipated IPO ex ...

Judicial Independence — When Local Authorities Pay the Judiciary Scant Attention 2007-10-12 15:33:46 Get a judgment somewhere in China. Then try to collect. There is little value in a judgment when the authorities flout its enforcement. Read this Washington Post article. The local government, against whom the judgment was entered, won’t pay and can’t be forced to. Yuci township, the subject of the story, is not a rogue element (although it may be run by rogues); in fact, it displays typical administrative behavior. It might possibly disgorge its illegal gain if a superior authority compels it to — a strategy used by a number of American bankers collecting on bad loans in China (”The governor of the province is a personal friend of mine, and if you don’t give me my $23.6 million today I will be having lunch with him tomorrow). But then, the judiciary is once again circumvented by the power structure which would — or would pretend? — to espouse judicial independence in the first place Read Original Post Here ...

Product Safety: House Committee on Energy and Commerce Testimony 2007-10-11 01:48:32 For those who read Last week, you may have noticed that I made a quick reference some Dr. Tea gave to the boys inside the beltway… well, here are a few more details on Dr. Tea as well as her testimony. So first… Dr. Tea (Professor Mary Teagarden), is a close friend of mine and of many Thunderbirds is one of those old China hands who have spent the better part of the last 30 years working with China. She lived in Beijing when you still had to ride your bike across town to schedule international phone calls, she has advised dozens of companies entering China, she has worked with various government entities, and that is why she was asked to The Hill to give her thoughts on the recent product recalls. Next.. the hearings Committee Questions Consumer Product Safety Commission, Mattel on Lead-Tainted Products and Toy Recalls The session was split into two panels, and while toys were the primary focus, more important issues were discussed (support for agencies, legislation n ...

Brits Get Rich in China: Part 2 2007-10-10 18:42:57 http://www.youtube.com/watch?v=neNuyzPe1Rw Part 2 jumps straight into the action with Vance making an inspection of product. while Vance is a real A$#hole and I am not a fan of his attitude, I must say that it is clear that Vance’s experience in doing business in China has taught him that onsite inspections are the only way to go… and that when possible, one must buy a quarry to get things done right… Following his purchase of a quarry, we ride along with a singing Vance through as he drives through toilet bowl city and tap fixture city to meet his man on the ground (Black Horse) who will apparently undercut anyone. This section is interesting is topped off when Vance feels a piece is too expensive and to bring the pricing down he strips the product down into pieces and then deconstructs the pricing piece by piece.. and saves 40%… Before he leaves though, he gets Black Horse to copy a product sold in Europe, and explains how he (read others) get around ...

AsiaInspection receives ‘E-Business of the Year’ Award from Alibaba ! 2007-10-09 21:57:18 Early September, AsiaInspection was extremely pleased to be rewarded for its successful online platform with the “E-Business of the Year” award from Alibaba.com, the leading online trade platform for global importers.Out of 1,200 initial candidates, AsiaInspection was eventually selected as one of the 10 winners for the Hong Kong region, and attended the Alifest event in Hangzhou on September,15th.AsiaInspection’s online platform now serves more than 1,200 Importers in 58 different countries. Jack Ma, Alibaba founder, with AsiaInspection’s CEO Sebastien Breteau. Read Original Post Here ...

Don’t mess up with Quality in China… 2007-10-09 21:57:17 These past weeks have seen a number of stories unveiled about quality issues on China productions, mainly on the food & drugs industries - and recently in the Toys industry. There are stories about this bun maker using cardboards found on the streets in his products, the counterfeit drinking water sold in Beijing, or the infamous use of antifreeze chemicals inside toothpaste…Finally, these last days, Dora the Explorer returned home, with Mattel announcing a recall for 1.5 million toys made in China (containing excessive lead levels). The matter is getting very concerning for the Chinese government. The execution of the the ex-Food & Drugs Administration chief Zheng Xiaoyu, after being convicted for bribery charges (he took about 6,5 million RMB to let defective drugs get SFDA approval, ultimately causing the death of at least a dozen patients) will certainly not be enough to restore the reputation of the “made in China”. Figures given by the Herald Tribune s ...

From China to Europe… by car ! 2007-10-09 21:57:17 Another step in the cultural exchanges between the West and China : one of AsiaInspection’s employees in Shenzhen just told me about how her brother has started with his wife on last July, 12th a 60,000 kms road trip from China to Europe !They will cross nearly 20 countries, for about 6 months, and keep a diary online to record their story. This trip is actually a big thing, since they will be allegedly the first Chinese couple to drive across Europe; they got sponsored by Volkswagen Shanghai (they drive an Octavia model, which was just released on Chinese market early June), HP, Michelin, … and will donate a part of the income generated by their story to Greenpeace. I wish a good trip to these modern heirs of the legendary Zheng He ! Read Original Post Here ...

A great appointment 2007-10-09 21:57:16 As you probably know, there has been quite a few changes in France’s political life these last weeks. Since last Monday, a new team is in command, under the leadership of president Sarkozy. AsiaInspection is particularly happy about the appointment of Mme Christine Lagarde, as French new Finance Minister, making her the first woman to hold such a position within the G8 countries ! When she awarded us the Prize of the Best French SME in China last October, I had the opportunity to discuss with her and was very impressed by her presence both charming and highly intense. After making her way to the top of the famous law firm Baker & McKenzie, she was ranked the 30th most powerful woman by Forbes in 2006 and i believe she will be a great asset to the government as France has too long been governed by people who had absolutely no idea about what a Company or a business is really about. I believe the clarity of her views as well as her 20 years of professional experience abroad wil ...

10 years of magic 2007-10-09 21:57:16 Today, is exactly the 10th year anniversary of the incorporation of my first business in Hong Kong, SEBO : it was indeed launched on the first working day of the China ruling. At that time I was confident the business environment wouldn’t be affected by the China ruling, and I think time has proved me right. Indeed Hong Kong has gone through hard times (98 crisis, SARS,…) pretty well and has shown an amazing ability to stay ahead of other financial centers in Asia. 10 years ago, lots of people predicted that Singapore or Shanghai would soon take over Hong Kong as a leading financial center but they have been proven wrong big time! The competition with Singapore is no more and the financial core and immaterial economy ( holdings, funds, lawyers,…) is strongly based in Hong Kong and is progressing each year. The main downside I have seen in the past 10 years is the pollution which reaches some days unbearable levels. I believe it is the duty of the Hong Kong people ...