IN BRIEF

Auto

Volvo to manufacture sedans in China

Swedish premium vehicle brand Volvo AB, owned by Zhejiang Geely Holding Group Co Ltd, will make China one of its global bases as it prepares for local production of the first model in the country in 2013.

"The first locally produced model, a medium-sized sedan, will be launched in 2013, followed by a small sedan in 2014," said Shen Hui, senior vice-president of Volvo and chairman of Volvo Cars China Operations.

The two models, tailored to grab volume sales in China, are under development, led by Volvo's new research and development center in Jiading district, Shanghai.

Chrysler to recall 7,153 Jeep Wranglers

US automaker Chrysler will recall 7,153 imported Jeep Wrangler vehicles in China from January 13, 2012 to fix problems that could pose safety risks, China's top quality watchdog said.

The recall affects Chrysler's Wrangler models manufactured between September 1, 2007 and July 9, 2010, the General Administration of Quality Supervision, Inspection and Quarantine said in a statement on its website.

A faulty skid plate in the affected cars may create increased risk for fire, the statement said.

Finance

Currency swap deal with HK doubled

The People's Bank of China doubled the size of a currency swap with Hong Kong to 400 billion yuan ($63 billion, 47 billion euros) on Tuesday, in a move aimed at giving the financial center a bigger relief valve to cope with rising demand for trade settlement in the currency.

The expansion will also boost confidence in the government's intention to internationalize the yuan. The currency has taken a knock in recent weeks as trade limits between Hong Kong and the mainland were hit and offshore yuan prices diverged significantly from onshore prices.

During the past two years, China has used Hong Kong as its main testing ground for boosting trade settlement in the tightly controlled yuan.

Deals

Nestle acquires 60% stake in Yinlu

Swiss food giant Nestle SA officially completed the acquisition of a 60 percent stake in China's Yinlu Foods Group.

At a ceremony in the southeastern city of Xiamen, home to the headquarters of Yinlu, the two sides also announced they will jointly invest 2.5 billion yuan in Yinlu to expand current and build new production facilities nationwide.

Chen Qingyuan, chairman of Yinlu, said the company would seek Nestle's help to make Yinlu an international brand and to expand in the international market.

Media

Focus Media rebuts Muddy Waters' claims

Shanghai-based Focus Media Holding Ltd rebutted a report by US-based short-selling research firm Muddy Waters LLC, which claimed that the Nasdaq-listed digital media advertiser had exaggerated the number of television screens in its advertising network.

Regarding Muddy Waters' claim that it had overstated its advertising network assets and deliberately overpaid for acquisitions, Focus Media said in a statement on Nov 22 that the accusation "is absolutely false, and in order to defend investors' interests, the company will pursue legal remedies".

Retail

Apple adopts yuan for online payment

Apple Inc's online store has started accepting payments made in Chinese yuan, to gain a further foothold in the world's biggest Internet market.

The App Store, which sells software applications for devices such as the iPhone and iPad, started accepting the currency in mid-November in an unannounced move. The App Store previously listed prices and accepted payment only in US dollars, requiring consumers to use payment cards with access to foreign exchange.

Tech

Microsoft to speed up growth in China

Microsoft Corp is working on a five-year plan for accelerated growth in China, where it has invested extensively but faces challenges in monetizing the full potential of the world's largest PC, mobile phone and Internet market, a senior company executive said on Nov 21.

Jean-Philippe Courtois, senior vice-president of Microsoft and president of Microsoft International, said his company is working on the plan for the company's 2013 to 2017 fiscal years, which starts in July.

Courtois, who is in charge of Microsoft's sales and marketing activities outside the United States and Canada, said he is dedicated to enabling much faster growth in China, which is his company's priority and his priority in international expansion.

Logistics

Airbus opens logistics center in Tianjin

Airbus SAS has opened a logistics company in Tianjin to provide support services for all the aircraft maker's programs in China.

Airbus (Tianjin) Logistics Co (ATL), the first such center for Airbus in Asia, will handle all the company's transportation needs, including materials and plane parts, between China and Europe.

The logistics center is situated in the Tianjin Free Trade Zone Comprehensive Bonded Area, close to other Airbus facilities, including the assembly line for the A320 aircraft.

China Daily-Agencies