IN BRIEF (Page 14)

Technology

Apple to open first Hong Kong store

Apple, which has four stores on the Chinese mainland, will open its first Hong Kong store this quarter in the International Finance Centre, said Carolyn Wu, a Beijing-based Apple spokeswoman.

Wu also said Apple will open a second store in Shanghai by the end of the year.

Apple is striving for greater growth in China via the expansion of its Apple Store network and the roll out of cheaper iPhones.

The Asia-Pacific - which accounts for about one-fifth of Apple's total revenue - and Greater China, in particular, helped Apple's revenue surge 82 percent to $28.6 billion in the April-June quarter.

Dell to partner with Baidu for electronics

Dell Inc plans to partner with China's top search engine Baidu Inc to develop tablet computers and mobile phones, targeting the Chinese market dominated by Apple Inc and Lenovo devices.

The two will work together on the Streak 5 tablet, a five-inch Android-based tablet that will be discontinued in the United States soon. China is one of the fastest growing markets for tablets and is home to more than 900 million cell phone subscribers.

Trade

China unhappy with tire dispute ruling

China expressed regret on Sept 5 over a World Trade Organization (WTO) ruling which rejected a Chinese complaint against "protectionist" measures taken by the United States against Chinese tire imports.

"China regrets that the WTO Appellate Body in its report released on Sept 5, 2011, decided to uphold the panel report on the US - 'Measures Affecting Imports of Certain Passenger Vehicle and Light Truck Tires from China'," the Chinese Preferment Mission to the WTO said in a statement.

The WTO ruled in favor of the US in a 123-page report that centers on a 2009 US decision to impose 35 percent tariffs on Chinese tire imports, quoting damages to its own tire industry.

Li & Fung predicts steady holiday sales

Victor Fung, billionaire chairman of the Li & Fung Group, which includes the world's biggest supplier to retailers, said receipts during the Christmas season will match last year's as the global economy recovers.

"We still see overall retailing to be actually still recovering," Fung, whose group, Li & Fung Ltd, supplies Wal-Mart Stores Inc and Macy's Inc. "Volume in money terms will be quite steady."

Li & Fung, which sells most of its products to the United States, has gained 24 percent in Hong Kong trading since Aug 11, when its profits for the first-half of the year beat analysts' estimates.

Investment

Coke investing $4b in China

Coca-Cola Co, the world's largest maker of soft drinks, is investing in bottling plants and delivery trucks in China as it targets an increase in average per-capita consumption from the current two drinks a month.

Coca-Cola plans to invest $4 billion with its Chinese bottling partners, Swire Beverages Ltd and COFCO Coca-Cola Beverage Co, over the next three years to widen its lead over rival Pepsi Co Inc. Most of that will be spent to build bottling plants, buy trucks and expand the distribution infrastructure.

Coca-Cola has more than 40 factories in China and employs more than 48,000 people, according to an Aug 18 statement from the company.

Energy

CNPC wins deal to drill for Afghan oil

China National Petroleum Corp (CNPC), the nation's biggest oil and natural gas company, won a bid to develop an oilfield in northern Afghanistan, beating rivals from Australia, the United Kingdom, the United States and Pakistan.

The blocks of land awarded to CNPC are in a region of mostly barren hills with few paved roads and one operating oil well, at Angot.

This is China's second prominent acquisition of Afghan raw materials after the Metallurgical Corp of China won the right in 2007 to mine the country's biggest known copper deposit, in Aynak, south of Kabul.

Steel

China seeking new sources for iron ore

China, the world's largest steelmaker and iron ore consumer, is further diversifying its overseas ore supplies by significantly increasing imports from nontraditional countries, an industry official said.

Iron ore imports from countries other than Australia, Brazil, India and South Africa reached 64.63 million tons in the first half of this year, accounting for 19.3 percent of imports and up nearly 4 percent from last year, said Xu Xu, chairman of the China Chamber of Commerce of Metals, Minerals & Chemicals Importers & Exporters.

He said emerging regions, such as Peru, Chile and Canada, are being explored while also trying to develop relationships with other iron ore exporters, such as Russia, Vietnam and Kazakhstan.

Finance

Consortium buys BofA stake in CCB

A Chinese consortium was the biggest buyer of the China Construction Bank Corp (CCB) stake sold by Bank of America Corp (BofA) last month, according to people familiar with the deal.

The State Administration of Foreign Exchange, the National Social Security Fund and Citic Securities Co Ltd bought half of BofA's 10 percent holding in late August.

BofA generated $8.3 billion by selling 13.1 billion of its shares to the Chinese lender.

Global debt rating agency in the works

China's Dagong Global Credit Rating Co is aiming to cooperate with fellow rivals to the world's three largest graders of debt in an effort to strengthen international competition.

Dagong, the Beijing-based company founded in 1994, came up with the plan this year and options regarding the structure of the cooperation. The site of any headquarters are still being discussed, Chen Jialin, deputy general manager of the International Department.

The proposal, while undefined, signals that the Chinese firm is stepping up its efforts to rival Standard & Poor's, Moody's Investors Service and Fitch Ratings.

Funds sought for Shanghai Disneyland

The State-owned Shanghai Shendi Group is seeking more than 20 billion yuan ($3.13 billion) in financing from a dozen local banks to back the construction of a Disney theme park in Shanghai, banking sources told Thomson Reuters Basis Point.

The Shanghai government will own 57 percent of the proposed theme park, while 43 percent of it will be owned by Walt Disney Co.

Agencies - China Daily

(China Daily 09/09/2011 page14)