China Watch Blog

China Watch Blog has learnt that a record number of 1.11 million overseas buyers have been invited to the 111th Canton Fair, which opened on April 15 in Guangzhou.

The spring session of the Canton Fair, China’s largest trade fair, is seen as a good opportunity for Chinese firms to boost exports. This is especially important when China’s foreign trade volume only grew 7.3 percent annually in the first quarter to US$859.37 billion, the slowest level since the fourth quarter of 2009, according to data released by the General Administration of Customs last week.

The fair, with the theme of “new starting point, new opportunities, new challenges,” will help to spark a 10 percent growth in the country’s foreign trade, said Deputy Minister of Commerce Zhong Shan.

The customs said that it is even more disturbing when the export-oriented provinces like Guangdong, Jiangsu and Zhejiang reported a slow growth of between 3 percent and 5 percent during the first quarter of the year.

Some Chinese enterprises taking part at the fair agreed the weak world economy, the sluggish global recovery, increasing cost and worsening trade frictions have contributed to the dismal foreign trade situation.

Many Chinese companies have used other measures to promote exports such as targeting relatively remote foreign markets or upgrading the quality of their products.

The fair has offered free admission to attract overseas and new buyers. More than 200,000 buyers may attend this year’s spring session, Liu Jianjun, spokesman for the fair, said at a press conference on Saturday.

China Watch Blog reports that Chengdu, the capital city of China’s southwestern Sichuan Province, will host the Fortune Global Forum 2013, a conference for world leaders and business elites running from June 6 to 8, 2013.

This will be the fourth time the forum is held in China, but the first time for it to take place in the western region, whose development will be one of the focal points of the forum, the Shanghai Daily reported.

With the theme of “China’s New Future,” the 12th session of the conference will also take a close look at the evolution of China’s domestic economy and its emerging role in the global context, discussing the “China century,” resource solutions, innovation and technology, global finance and economic recovery.

“At a time when China is at the forefront of global business, Chengdu is the ideal venue for the next Fortune Global Forum,” Andy Serwer, managing editor of Fortune magazine, said at a press conference in Beijing today.

He described the city as a dynamic magnet for multinational companies and a leader in a wide range of industries from automotive and logistics to technology and services. Up to 212 Fortune 500 companies have set up their operations in Chengdu. And thirteen foreign banks have opened up branches there, the most among China’s central and western cities.

In 2010, Forbes magazine predicted Chengdu would be one of the world’s fastest-growing cities in the next decade. Citigroup and a think-tank with The Economist listed the city as the most competitive in central and western China.

Ge Honglin, mayor of Chengdu, said the forum attendants will see how a Chinese inland city coped with the world’s financial turmoil and accelerated its economic transformation.

“It will be an opportunity for the world to better understand Chengdu, and Chengdu to further integrate into the world,” Ge said.

China Watch Blog received this from one of our readers, who claims this is a true account of what was heard on a recent flight from Shenzhen to Qingtao by China Southern Airlines:

China Southern aircraft

“Good afternoon, Ladies and the German. This is your cheap purser Wang Lui speaking. On behalf of China Sudden Airlines, I would like to welcome you on board our Bowling 737 from Shenzhen to Qingtao. Members of my crew speak Chinese and other languages that you do not know. It is a great pressure serving you to-die. Should you need any resistance during the fright, peace do pest the call button. I and my gals are available to make you feel comfortable. Meanwhile, the airkwaft is going to fry. Peace sit upright and keep you belt tightly fastened until dinner is served at five dirty p.m. Hope you would enjoy your fright with us. Funk u ..”

China Watch Blog reports that Prolexic Technologies, the global leader in Distributed Denial of Service (DDoS) protection services announced that during the first quarter of 2012, more than six of Prolexic’s top global financial services clients received significant Distributed Denial of Service (DDoS) attacks.

Due to this spike in DDoS activity, Prolexic Technologies, the global leader in DDoS protection services, is recommending that all online businesses should develop a mitigation playbook to minimize the disruption and confusion that typically occurs at the outset of a DDoS attack.

Prolexic cites having a mitigation “playbook” as one reason why the impact from these attacks was minimized. As a result, its financial services clients avoided the media spotlight and resulting negative publicity.

“Because these companies had worked with us to develop and test a mitigation playbook in advance, the usual panic that can grip an organization during a DDoS attack was avoided,” says Neal Quinn, Prolexic’s vice president of Operations. “In addition, Prolexic was able to deploy its mitigation services faster and more efficiently.”

Prolexic recommends that all online businesses should develop a mitigation playbook to minimize the disruption and confusion that typically occurs at the outset of a DDoS attack. This is a best practice that Prolexic implements with all clients.

In simple terms, a playbook is a rehearsed and tested plan that outlines in detail who in an organization needs to be involved in the event of a DDoS attack, their roles and responsibilities, as well as a detailed communications strategy.

“DDoS attacks are deliberate, targeted events – happening on a daily basis – that demand a preparedness plan much like homeowners preparing for hurricane season,” said Quinn. “When the hurricane inevitably hits, they don’t panic because they knew what to expect and what steps to take to protect their investment.”

To maintain business continuity, Prolexic encourages online businesses to make DDoS mitigation part of their enterprise incident response practices.

China Watch Blog has learnt that Sun Hung Kai Properties Ltd plunged on March 30 – the most in 14 years and lost US$4.9 billion of market value after anti-graft investigators arrested the billionaire brothers who run Hong Kong’s biggest developer.

Co-chairmen Thomas and Raymond Kwok were detained by the Independent Commission Against Corruption, Sun Hung Kai said on Thursday. Rafael Hui, a former No. 2 official in the government, was also arrested on March 29, a source said.

The arrests mark one of the highest-level investigations in the ICAC’s 38-year history.

Sun Hung Kai plunged 13 percent, the most since January 1998, to close at HK$96.50 (US$12.43) in Hong Kong on Mar 30 after a suspension on Thursday. The stock has dropped 17 percent since the company said on March 19 that Executive Director Thomas Chan Kui-Yuen was arrested by the ICAC.

Citigroup Inc and Barclays Plc cut their ratings on the developer’s stock.

China Watch Blog has learnt that two major Chinese microblogging sites, weibo.com and t.qq.com, have suspended comment functions after they were punished for allowing rumors to spread.

According to a Shanghai Daily report, the t.qq.com, run by Tencent, put up an online announcement this morning that it has decided to suspend comment function from March 31 to April 3 to clean up rumors and other illegal information spread through microbloggings.

The weibo.com operated by Sina also released an announcement today saying it would suspend comment function during the above-mentioned period.

Chinese authorities have closed 16 websites and detained six people responsible for “fabricating or disseminating online rumors”.

The State Internet Information Office (SIIO) and Beijing police said that those websites were closed for spreading rumors of “military vehicles entering Beijing and something wrong going on in Beijing,” which were fabricated by some lawless people recently.

Beijing police also detained six people for allegedly fabricating and spreading the above-mentioned rumors, particularly through microblogging posts, according to the Beijing Municipal Bureau of Public Security.

A spokesman with the SIIO also said with regard to a number of rumors having appeared on weibo.com and t.qq.com, the two popular microblogging sites have been “criticized and punished accordingly” by Internet information administration authorities in Beijing and Guangdong respectively.

China Watch Blog wishes to inform readers that tonight (Mar 31) at 8.30pm, Hong Kong joined hundreds of millions of people in over 6,400 cities across 150 countries and regions, and every continent in a moment of unprecedented global unity to show the way forward on sustainability by switching off its lights.

Hong Kong participates in Earth Hour

Earth Hour 2012 began at 8:30pm tonight for one hour and participation has reached record levels. The Hong Kong community, as in previous years, have shown overwhelming support for Earth Hour: The Government House, the Chief Executive’s Office and Legislative Council Complex participated in the lights-out event. In addition, over 3,300 companies and buildings, all universities and over 340 secondary and primary schools in Hong Kong have also supported WWF’s Earth Hour.

“Earth Hour itself might last just one hour, but its spirit surely goes beyond that. Our theme this year is ‘Go beyond the hour, set your own energy saving target’. We believe that every individual has the power to make a difference. With each of us having an energy saving target, we can reduce our energy consumption, and make Earth Hour every hour of every day,” says Trevor Yang, Chairman of WWF-Hong Kong.

Earth Hour is a symbolic event that clearly demonstrates that small actions such as turning off your lights for one hour can collectively make a difference. According to “Hong Kong Energy Index”, 26 percent more energy was wasted in the overall energy consumption in Hong Kong over the past two decades (1990-2008). This year, WWF is calling on people to support Earth Hour not only by turning off the lights for one hour in a year, but also by going beyond the hour and contributing to a sustainable future by doing their part at home every day.

Hong Kong’s famous skyline was dimmed from 8:30-9:30pm. Landmarks and iconic buildings participating in Earth Hour include: International Finance Centre, Manulife Financial Centre, International Commerce Centre, Exchange Square One, Two and Three, Jardine House, Cheung Kong Center, Cultural Centre, Hong Kong Convention and Exhibition Centre, Pacific Place, Standard Chartered Bank Building, HSBC Building, Tsim Sha Tsui Clock Tower, Tsing Ma Bridge, Mega Box, Festival Walk, SOGO Causeway Bay, One Island East, Sino Plaza, Central Plaza, 1881 Heritage, Sun Hung Kai Centre, Hopewell Centre and Nina Tower.

Besides the WWF event at Cultural Centre Open Piazza, WWF also organized a series of activities during the day including a tram parade and street promotion to invite Hong Kong citizens to celebrate and witness this memorable event together.

Just before the countdown, 150 maracas handmade by Earth Hour school ambassadors out of recycled bottles are being distributed to guests to count down with fun. The handmade maracas also demonstrate the spirit of maintaining a sustainable lifestyle. In addition, a number of spontaneous events will be held in homes and communities all over the city. Corporations have involved their staff in Earth Hour. In the catering industry, restaurants and hotels are dimming or switching off their lights. Shops have provided Earth Hour special offers and campuses are also participating in the lights-out event.

Standard Chartered Hong Kong 150th Anniversary Community Foundation continues to be the Lead Sponsor of Earth Hour in Hong Kong for the third consecutive year.

Around the world, citizens in 150 countries and regions have confirmed that they would switch their lights off for Earth Hour 2012. This includes a number of international landmarks such as the Forbidden City in Beijing, the Eiffel Tower in Paris, Buckingham Palace in London, the Golden Gate Bridge in San Francisco, Table Mountain in South Africa, and the Christ the Redeemer statue in Rio de Janeiro as well as the Sydney Opera House.

China Watch Blog has learnt that over 200 robotics teams from across the United States, Brazil, Turkey, the United Kingdom, Jamaica and Canada converged at the Jacob K. Javits Convention Center on March 16-18, 2012 to battle it out at the FIRST Mega Weekend Competition for a spot at the World Championships to be held in St. Louis, MO on April 25, 2012.

The New York City Mega Weekend comprised of three distinct and unique competitions held over the course of three days including:

NYC FIRST Robotics Competition (FRC) – Rebound Rumble – FRC combines sports excitement with the rigors of science and technology. Under strict rules, limited resources, and time limits, teams are challenged to fund, design a brand, exercise teamwork, and build and program robots to perform tasks against competitors.

This year’s regional winners include team 1635 – Newtown High School from Elmhurst, NY, team 125 – Brookline High School, Boston Latin School, Catholic Memorial School and Revere High School from Boston, MA, and team 522 – Mckee Vocational High School from Staten Island, NY. More information on the FIRST Robotics Competition can be found at http://www.nycfirst.org/programs/frc.

NYC FIRST Tech Challenge (FTC) – Bowled Over – FTC is designed for head-to-head competition. Teams are responsible for designing, building, and programming robots to compete in an alliance format against other teams. This year’s competition champions were teams 2753 – Team Overdrive – from NJ, team 4995 – Francis Lewis High School – from Queens, NY and team 5484 – Enderbot – from Corning, NY. More information can be found at http://www.nycfirst.org/programs/ftc.

NYC FIRST LEGO League Championship (FLL) – Food Factor – FLL introduces younger students to real-world engineering challenges by building LEGO-based robots to complete tasks on a thematic playing surface. FLL teams, guided by their imaginations, discover exciting career possibilities and learn to make positive contributions to society. Winning teams include the Brics-2-bots – RoboGbots, Ryan Lions, and the Packer Collegiate Institute – Swedish Chefs. More information can be found at http://www.nycfirst.org/programs/fll.

China Watch Blog has learnt that UNWTO Secretary-General, Taleb Rifai, opening the ITB Travel Trade Show (Berlin, Germany, 6 March 2012) said that one billion tourists are key to creating jobs and stimulating the economy.

Budapest

They expected to travel this year and are a vital force for economic growth and social welfare, he said.

“By the end of 2012, one seventh of the world’s population will have crossed international borders as tourists in a single year,” said Rifai in his keynote speech at the official opening of ITB.

Budapest

This “extraordinary number” will contribute to more jobs, higher income possibilities and countless opportunities for development, so critical at this time of economic uncertainty, he added.

“With growth comes responsibility,” continued Rifai. Tourism, if properly planned and managed, can be one of the most promising sectors for achieving a more economically, environmentally and socially sustainable future, he said.

“Imagine how business models would be transformed if one billion people demanded sustainable practices from hotels and tour operators. Imagine how many would benefit if one billion people bought local produce or hired a local guide. These are small actions, but given the size of our sector, their impact would be huge.”

Referring to the challenges facing international tourism as it reaches one billion, the Secretary-General spoke of the many people still facing barriers to travel.

“Complicated, lengthy and overpriced entry formalities are making it extremely difficult for tourists, especially from emerging economies which are leading growth in terms of outbound markets, to travel,” said Rifai, adding that obstacles such as burdensome visa processes are not just a barrier to travelers, but to “growth, job creation and free trade.”

The Secretary-General called on the tourism sector to unite around the issue of travel facilitation as a means to stimulate demand and, as a result, create jobs. “Travel facilitation must top our agenda and we must speak together on this if we are to be heard at the highest levels of decision-making,” he said.

“It is in this belief that UNWTO has joined the voices of the sector such as the World Travel & Tourism Council (WTTC), the International Air Transport Association (IATA), the International Civil Aviation Organization (ICAO) and the World Economic Forum (WEF), to advance this important issue.”

China Watch Blog reports that about 1,118,000 purchasers have been invited to attend the 111th session of China’s largest trade fair – China Import and Export Fair (Canton Fair), up 12.13% more than the previous fair attendance – which will open on April 15 in Guangzhou.

Guangzhou

A total of 702 booths are added in this session to offer a platform to ease export pressure and promote a steady growth of China’s foreign trade.

According to Liu Jianjun, spokesman of Canton Fair, the fair, which will be held under the economic pressures facing the international economy, is being held at a time of rising risk of fluctuating production costs and other factors.

Although some SMEs have chosen to abandon their manufacturing and are engaged in capital investment, there are still a great number of enterprises which want to deal with the risks and challenges involving the country’s export trade.

“The Import Pavilion of the Canton Fair is very popular, which indicates that the Import Pavilion has great development potential,” said Liu.

Liu was quoted as saying in a GZNews.com report that the Western enterprises are willing to expand exports to China, hoping to revitalize the manufacturing sector and improve the employment rate.