JANUARY 19, 2011
U.S. Firms Decry China's Heavy Hand (click title to entry - thank you)
Alleged Bias by Regulators Is Likely to Be Contentious Issue Between Two Countries
By JAMES T. AREDDY
SHANGHAI—Almost one half of U.S. businesses surveyed in Shanghai complained of discrimination by domestic regulators, contradicting an assertion by Chinese President Hu Jintao that the playing field is level.The issue of alleged bias against U.S. companies is likely to be a major point of contention during Mr. Hu's visit to the U.S., which began Tuesday.
The U.S. is expected to push for greater market access to help narrow a huge trade imbalance in China's favor.
An annual survey by the American Chamber of Commerce in Shanghai, China's main commercial hub, found that 47.7% of 346 respondents said they face regulators who show a preference for domestic companies. The survey, of chamber members, found that 31.3% said treatment is balanced....
China give me every reason to believe they actually care about the American people and don't want our jobs outsourced to their country.
It might be that China knows exactly what it has to do to re-establish a good consumer base in the USA and is actively pursuing that path.
Communist governments are not big fans of instability in political systems. I am fairly confident as China gains a good financial foothold in the world, it will act in conscience to insure there is LESS, far less influence in global political systems by private, business enterprises than there is today. China was not happy about the global economic collapse of 2008.
I sincerely believe the 'so called discrimination' in China isn't discrimination at all; so much as the government directing the course of business to maintain a stable and controlling force among the billion + people within its borders.
American businesses and CEO's are spoiled. They think every place they put down a cornerstone to their 'market share' should bend to their demands and so called 'prowess.' That most certainly is not the case once a USA based company leaves the 'homeland' for foreign soil and nor should it be.
China is not going to capitulate its power to any other entity, especially not American investors that do nothing be crash markets, show incredible poor management and chronically seek corporate bailouts at the cost of the governments where they practice their craft.
China has a great deal of pride in itself and its journey into capitalism up to now. 2008 was a reality China did not expect and had absolutely no control to stop. The 'example' American businesses are showing China in the 'recent past' is not going to increase Chinese confidence in Western Capitalism. Quite the contrary, I would estimate.
It is interesting. Paulson spent most of his time as Treasury Secretary in China for one reason or another, but, was not as influential as he wanted to be. I remember one completely hideous picture of him in a Chinese newspaper where he was actually trying to make his eyes looks oriental by smiling as hard as he could. Talk about desperate. What a jackass. Paulson, not the Chinese.
I mean wouldn't he know that was as insulting as it comes? I guess not.
Goldman Limits Facebook Investment to Foreign Clients (click here)
By ANDREW ROSS SORKIN
8:55 p.m. | Updated
Just more than a week after Goldman Sachs offered its most prized clients a chance to invest in Facebook, the firm on Monday withdrew the opportunity from clients in the United States because of worries that the deal could run afoul of securities regulations.
The decision is a considered a serious embarrassment for Goldman, which had marketed the investment to its wealthiest clients, including corporate magnates and directors of the nation’s largest companies....
See, Goldman likes to play the power broker in its purest sense, not just the stockbroker. Goldman continues to principle that the more powerful the company is the more they can be anarchists and over power governments so they can have their way. Believe 2008 was nothing and everything went as planned. Goldman is looking forward to the NEXT 2008 collapse, only bigger next time. I am sure they regret having a Democratic President elected that actually decided to lead investigations and legislate regulations. Next time, they have to make their plans differently, like maybe have it occur in the middle of a term rather than the end.
Goldnan won't care the currency or the place where the most financial influence will be housed, it is just part of the challenge to 'have it all.'
President Hu Jintao is in a very interesting position. He has managed to expand the global fiscal influence of China at a time when it is stable, yet still learning. He is developing his own expertise and no longer views the USA 'expertise' as a necessary aspect to his own understanding of financial marketplaces and how best to have them serve his people. It is as it should be and I congratulate him for that.
Realizing he is working on his own capial base within the quality of life of his own people brings an greater understanding as to why he is here and seeking the 'Clean Energy Technologies' that President Obama has nurtured since the beginning of his first day in office. The Chinese people are very power hungry, but, not the kind Wall Street has to dole out. They are seeking electricity and cleaner methods of producing the electricity the people need. The Three Gorges Dam is testiment to that goal all by its own imposing reality.
China has been forced to use coal for energy and the pollution in some of its finest cities is very, very poor at times. Perhaps President Hu Jintao needs to visit with Lisa Jackson while he is here. She is brilliant and would be able to advise him on how to best set up his own "Chinese Environmental Protection Agency."
It is gratefying to see President Hu Jintao as a huge player in the concerns regarding Greenhouse Gases and the plight of safe energy while balancing those interests with Earth's delicate balance. He stated he would move China toward safer, cleaner energy and it would seem he is keeping his word. Let's hope the reality of his hopes actually play out once the contracts are signed and the people of China actually begin to enjoy better quality air and safer, cleaner energy. Corruption can be an incidious thing in a huge bureacracy that is the communist government of China.
I welcome the good President and wish the best and that for his people as well and I thank him for taking the global environment so seriously. I am most grateful.
Factbox: Business deals announced around Hu's U.S. visit (click here)
WASHINGTON
...CLEAN ENERGY
Alcoa Inc and China Power Investment Corp announced a collaboration on aluminum and clean-energy projects on Tuesday that could lead to as much as $7.5 billion in investments, the U.S. Department of Energy said.
Duke Energy Corp, AES China, a subsidiary of Virginia-based AES Corp, and Florida's UPC Management also entered into clean- or renewable-energy projects with Chinese companies.
UPC's Brian Caffyn said the company signed a deal for a joint venture with China Guodian Corp to develop and operate one gigawatt of wind projects in China, an estimated $1 billion investment that will take about three years to complete....
Alcoa Inc and China Power Investment Corp announced a collaboration on aluminum and clean-energy projects on Tuesday that could lead to as much as $7.5 billion in investments, the U.S. Department of Energy said.
Duke Energy Corp, AES China, a subsidiary of Virginia-based AES Corp, and Florida's UPC Management also entered into clean- or renewable-energy projects with Chinese companies.
UPC's Brian Caffyn said the company signed a deal for a joint venture with China Guodian Corp to develop and operate one gigawatt of wind projects in China, an estimated $1 billion investment that will take about three years to complete....
