Thursday, October 22, 2009

China economic growth accelerates


China has said it is on track to hit its growth target of 8% this year, after the economy grew 8.9% from a year ago in the third quarter.

The figure is up from the 7.9% rate seen in the previous quarter and is the country's fastest GDP growth since the third quarter of last year.

Separate reports show that industrial production and retail sales also accelerated in September.

The economy grew by 7.7% in the nine months to September.

Retail sales growth was 15.1% in the first three quarters of the year, the National Statistics Bureau said.

China's car market has become the world's largest, with sales up 34% to 9.66 million vehicles in the first nine months of the year.

Government investment

At the end of 2008 the Chinese government announced a 4 trillion yuan ($586bn; £354bn) stimulus plan involving increased spending on infrastructure, such as rail and roads, to boost the domestic economy as exports slumped.

Latest figures show that investment, accounting for nearly 88% of GDP growth earlier this year, is playing a vital role in China's growth.

Investment in factories, construction and other fixed assets rose by one-third in the first nine months of the year to a record 15.5tn yuan.

But factory owners say that in many cases, while the volume of goods they are producing has risen, the prices customers are prepared to pay for them are lower than before the financial crisis.

Unemployment is still high in many areas, and some factory workers are reported to be working shorter hours and earning less.

The next challenge for policy makers is to begin to withdraw elements of the stimulus plan, and to reduce the huge outflows of credit the country's state owned banks have issued, without damaging economic recovery.

As the stimulus is withdrawn, the hope is that demand from the private sector, from consumer spending and eventually from renewed demand for China's exports, will keep the country's growth rate stable.

Monday, October 19, 2009

China to move 15,000 from smelter

Officials in central China plan to relocate 15,000 residents after more than 1,000 children tested positive for lead poisoning, state media say.

Zhao Suping, mayor of Jiyuan city in Henan province, said the relocation would cost 1bn yuan ($146m), the official Xinhua news agency reported.

The residents live in about 10 villages around China's biggest lead smelter in Jiyuan.

Toxic emissions from the plant have been blamed for poisoning the children.

The children were moved away last week, and now the local government says a total of 15,000 people will be relocated.

The cost of the move will be borne by the lead company, officials have said.

The factory will keep operating, with its owners leasing the land surrounding the plant from the farmers, and setting up an exclusion zone for nearby villages.

'Health ignored'

Villagers say the government has not acted quickly enough to address their concerns - no timetable has been set for the relocation.

A resident of one village told Xinhua that high pollution levels were ignored in the quest for wealth.


"A few people got rich, but the whole village is poisoned," said 60-year-old Wang Shaozhou.

"How can we ignore people's health in the process of economic development?" Wang said.

The mayor of Jiyuan said the city's air quality had improved since 2003 when the city was officially listed as "seriously polluted".

Mayor Zhao told Xinhua there were plans to further reduce the pollution.

The poisoning in Henan is the latest in a series of toxic accidents that have left thousands of children sick across China.

According to the BBC's Quentin Sommerville in Beijing, Communist officials often overlook the damage that China's rapid industrialisation does to the local population.

Factories are often large contributors of local taxes, our correspondent says.

Sunday, October 18, 2009

Canadians intercept migrant ship


A ship carrying 76 suspected illegal migrants has been seized off Canada's Pacific coast, officials say.

Those on board the ship said they were trying to reach Canada, according to local authorities.

The identity of the migrants was not confirmed, although Canada's public safety minister said there were indications they were from Sri Lanka.

He said it appeared to be a case of human smuggling. The migrants, all men, were said to be in good health.

The merchant vessel, named Ocean Lady, was intercepted by a navy frigate off Vancouver Island before being escorted to a dock in Ogden Point in Victoria, British Columbia.

Officials there were carrying out health and safety and immigration checks.

Those on board the ship were pictured wearing civilian clothes. Some were shirtless.

"The signs do point toward human smuggling," said the public safety minister, Peter Van Loan.

Several ships attempting to smuggle migrants from China to Canada's Pacific coast were intercepted off Vancouver Island a decade ago.

Saturday, October 17, 2009

North Korean diplomat to visit US


A senior North Korean diplomat will be allowed a rare visa to visit the US later this month, officials have said.

The diplomat, Ri Gun, is the deputy negotiator in stalled talks on North Korea's nuclear programme. There have been recent moves to restart the talks.

One report said Mr Ri would attend a forum in California, while another said he was going to a meeting in New York.

He is also expected to discuss the nuclear issue in an informal meeting with a senior US counterpart.

"The State Department has decided to authorise the issuance of visas for Ambassador Ri Gun and his delegation to attend conferences in the United States in late October," said State Department spokesman Ian Kelly in a statement.

Kim Myong Gil, a minister at North Korea's UN mission, told the Associated Press news agency that Mr Ri would attend a private security forum in California.

AP cited a senior US source as saying Mr Ri was expected to discuss nuclear matters with a senior US diplomat during his visit.

Reuters news agency cited an unnamed source as saying Mr Ri would likely meet US diplomat Sung Kim, though the source said he had been granted a visa to attend a meeting of North Korean experts and scholars in New York.

Earlier this month North Korea said it was willing to return to multi-party negotiations on its nuclear programme, but it has said it wants direct negotiations with the US first.

The US has said it is willing to engage directly with North Korea, but only as part of a return to six-party forum party talks that Pyongyang pulled out of in April.

The six-party talks involve the two Koreas, China, the US, Russia and Japan.

Tensions have risen in recent months after North Korea launched a series of missiles and conducted an underground nuclear test - drawing UN sanctions in response.

The US wants North Korea to recommit to abandoning its nuclear programmes.

Wednesday, October 7, 2009

Obama seeks advice on Afghanistan


US President Barack Obama has met top national security advisers as speculation mounts over likely changes to US strategy in Afghanistan.

The president's Afghan "war council" discussed the volatile situation in neighbouring Pakistan.

It comes eight years after the start of US-led operations in Afghanistan and amid new evidence of fraud in recent elections in Afghanistan.

Last week the US commander there called for a substantial troop increase.

Gen Stanley McChrystal, appointed by Mr Obama earlier this year with a brief to revamp the US approach in Afghanistan, recently submitted a major strategy review to the president.

Pentagon officials now say a formal request for more troops - perhaps as many as 40,000, reports say - has been sent to the White House.

Wednesday's three-hour meeting focussed on Pakistan, ways to improve co-operation with Islamabad and how to continue "disrupting, dismantling and defeating al-Qaeda," a US official told Reuters news agency.

Another session on Friday will focus primarily on Afghanistan.

The meetings come as the Washington Post published voter turnout data from Afghanistan's recent presidential election.

The data, which had been kept confidential by the UN's chief envoy, Kai Eide, reflects badly on Afghan President Hamid Karzai, who in some provinces recorded tens of thousands more votes than estimates of the number of people who voted.

Afghanistan's election process has been dogged by accusations of fraud and malpractice since polling day in August.