"The China Price" - The best business article I have seen in years.

http://www.chineseembassy.org/eng/ziliao/3602/3604/t18009.htm

http://www.newvision.co.ug/D/8/12/505922

http://english.peopledaily.com.cn/200610/13/eng20061013_311609.html

 

http://www.nationalvanguard.org/printer.php?id=5190

http://www.hindu.com/thehindu/2001/08/18/stories/05182524.htm

If the truth be told, all of the above sucks.

Why, because it takes the piss out of people who are willing to do the hard slog, gain knowledge/education, use their creativity in order to create a better life for themselves. It takes the piss out of balanced economic systems.

I have lived amongst and seen that poverty, and I have no sympathy for those bone headed idiots. Because losers only want free handouts and play the blame game.

What have the Chinese to gain from loaning to the 3rd world, because we in the West are talking about "debt relief."

And if the Chinese are so willing to lend to those indebted nations, then, they could pay their debt off, and there would be no need for debt relief.

 

They need a dose of this. Hell yeah.

http://youtube.com/watch?v=b1rE2WsyZK4&mode=related&search=

http://youtube.com/watch?v=GGem3imV53k

http://youtube.com/watch?v=EeSivpHLztI&mode=related&search=

 

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1000: What have the Chinese to gain from loaning to the 3rd world, because we in the West are talking about "debt relief."

And if the Chinese are so willing to lend to those indebted nations, then, they could pay their debt off, and there would be no need for debt relief.



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October 30, 2006

SouthAmerica: Here is part of you answer.


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The Quest for Natural Resources


For the past decade, the Chinese economy has been expanding at a nearly double-digit annual growth rate.

This rapid expansion requires enormous resources, especially energy. China’s sharply accelerating domestic energy demand, combined with declining domestic petroleum production and insufficient coal output, has spurred Beijing to pursue stable overseas sources of hydrocarbon fuels.

By 2004, China had become the world’s second largest oil consumer, behind only the United States Chinese oil consumption is expected to increase by 10 percent per year, while China’s oil and gas imports are forecast to increase from the present 33 percent of China’s total oil and gas demand to 60 percent by 2020. Asian oil and natural gas production is not growing fast enough to meet Chinese demand, and a large portion of Middle Eastern oil and gas production is normally allotted to U.S. and European markets.

In an attempt to gain control over its oil and gas consumption needs as world spot market prices rise precipitously, Beijing has focused on African nations as likely hydrocarbon acquisition targets. An estimated 25 percent of China’s total oil imports currently comes from Africa, and Beijing has placed a high priority on maintaining strong ties with its African energy suppliers through investment, high-level visits, and a strict policy of “noninterference in internal affairs” that Africa’s dictators find comforting.

Chinese government firms have invested billions of dollars in foreign exchange and have used Chinese engineering and construction resources on infrastructure for developing oil, gas, mineral, and other natural resources in dozens of African countries, including Algeria, Angola, Gabon, Nigeria, Sudan, and Zimbabwe. The PRC’s new African energy investments are clearly intended to supplement its Middle Eastern oil imports.

· Sudan, which now supplies 7 percent of China’s total oil imports, has benefited from the largest Chinese investments. The China National Petroleum Corporation (CNPC) is the single largest shareholder (40 percent) in the Greater Nile Petroleum Operating Company, which controls Sudan’s oil fields, and has invested $3 billion in refinery and pipeline construction in Sudan since 1999.

· In March 2004, Beijing extended a $2 billion loan to Angola in exchange for a contract to supply 10,000 barrels of crude oil per day. Under the agreement, the loan will be heavily reinvested in infrastructure construction, with 70 percent of the loan funds going to Chinese companies and the remaining 30 percent going to local subcontractors.

· In July 2005, PetroChina concluded an $800 million deal with the Nigerian National Petroleum Corporation to purchase 30,000 barrels of oil per day for one year.

· In January 2006, China National Offshore Oil Corporation (CNOOC), after failing to acquire American-owned Unocal, purchased a 45 percent stake in a Nigerian offshore oil and gas field for $2.27 billion and promised to invest an additional $2.25 billion in field development.

· Gabon’s declining oil industry also saw massive investment from China National Petrochemical Corporation (SINOPEC), which plans to explore Gabon’s onshore and offshore oil reserves.

· South Africa and Zimbabwe remain Beijing’s major sources for platinum and iron ore.

· In 2004, there were more than a dozen exchange visits of high-level party and government officials between China and African countries. Most of the exchanges have centered on economic and energy cooperation. For instance:

· In February 2004, Chinese President Hu Jintao visited Algeria, Gabon, and Nigeria—the three African oil giants—to consolidate further the security of energy supplies.

· In June, Chinese Vice President Zeng Qinghong visited Tunisia, Togo, Benin, and South Africa, which have significant mineral reserves.

· In October–November 2004, National People’s Congress Chairman Wu Bangguo visited Kenya, Zimbabwe, Zambia, and Nigeria.

All of these visits focused on joint oil, mineral, and renewable resource exploration opportunities in the region. In return, top leaders from Kenya, Liberia, South Africa, and Zimbabwe visited Beijing and secured further investment and economic assistance from China. In January 2006, Foreign Minister Li Zhaoxing’s trip to six West African nations—Cape Verde, Senegal, Mali, Liberia, Nigeria, and Libya— was accompanied by the release of “China’s African Policy,” an official Chinese government paper aimed at promoting economic and political cooperation as well as joint energy development without interfering in each other’s internal affairs.

The Chinese government has combined its efforts to secure exclusive access to African natural resources...

...Chinese Deputy Foreign Minister Zhou Wenzhong’s comments in a recent interview demonstrate China’s utter lack of concern for political volatility in Africa:

“Business is business. We try to separate politics from business.


Source: The Heritage Foundation


.

 

So there is now a flood of cheap Chinese goods into those African countries that is killing the local businesses.

Just like the cheap goods that are imported into the US and the rest of the world.

For example, every 1 job lost at Ford or GM, there are about 8 other secondary jobs also lost.

The difference is that the politicians in the democratic West get elected by free and fair elections (except in Florida where they can't count) whereas the 3rd world dictators don't.

There is no need for "debt relief" as the Chinese have put the 3rd world in a position to pay off their debt.

http://finance.yahoo.com/

http://biz.yahoo.com/ap/061030/goodyear_job_cuts.html?.v=20

Just today some Auto parts company (I think, correct me if I am wrong) filled for Chapter 11, but can you find that story anywhere?

I see Goodyear is to close a plant in Texas with a loss of 1100 jobs (but still a job is a job), and it is worse when it is lost needlessly

 

Dura Automotive files chapter 11

http://www.marketwatch.com/news/sto...w&guid={03DA4427-0AC9-443E-90CA-284083F1D4E8}

 

Although it sucks to lose jobs it seems both you and southamerica don't understand that "losing" jobs that can be done cheaper someplace else is an opportunity to move on to doing something of more value. All this talk about "oh no, we're losing jobs" and how America is going down because of this is nonesense and shows how people can not look forward to trying to see beyond what they know.

That's just natural evolution, progress, and moving forward. It frees up the human resources of a country to do what is worth more, which is to innovate and create. Look at all those natural resource rich countries (middle east, south america) vs. human talent resource rich countries (Japan, Switzerland). Guess which countries have a better standard of living and in general, wealth for it's citizens?

It's all about being innovative and adapting to new circumstances and creating a new future. If a country can't do that then they deserve what they get, which is to be eaten by those that can.

This is precisely why America is so powerful, not just because of the military. But because of the creativity and innovation that comes out of it. Look at Japan's industry, all copied from American ones. Cartoons, cars, video games, etc. The TV you watch and even the internet you are using was all developed in the US (although the web protocol was developed in Europe).

The US should be worried the day it stops innovating and creating new ways to live life. It should be not be worried because jobs are moving overseas to make companies more efficient and profitable. Or because you walk down the street and see some old infrastructure and declare a country is going down because of that, that's just plain dumb, silly, and third world thinking.

btw, what happend to those Terry Tate links, funny as hell.

 

The US should be worried the day it stops innovating and creating new ways to live life. It should be not be worried because jobs are moving overseas to make companies more efficient and profitable. Or because you walk down the street and see some old infrastructure and declare a country is going down because of that, that's just plain dumb, silly, and third world thinking.
[/QUOTE]

I am with you, although I do not live in the US.
You have the courage of your convictions and you are obviously prepared to live with the outcome ... good on you.

 

does anyone of you make a point NOT to buy Chinese stuff when you go shopping?

 

Excellent Commentary All
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I would like to take it one step further....

What is interesting to note is how antiquated the US form of government is...

Votes are a matter of buying communication means and saying what people want to hear...

Watch it now....

Two days before the election the announcement of the Hussein verdict.....oil moves down sharply in the same two month period...the stocks market performs exceptionally well in the same two month period...The list goes on...Politics is just another product of big business...

This is manipulated nonsense...
...............................................................................................

And here again this is just part of the globalization equation...in that Bush and Co...is really a product of Oil and Co...
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In terms of innovations...the USA should be the first to create a better democracy...The people of the US would simply input what they want to do with their tax money...and how they want to raise the money....via the internet...

Why let an antiquated system based on a handful of 10 word sentences to be repeated at voting time decide who is going to allocate tax money ?

Why have two parties...why have any party ? The party system is total nonsense....
.............................................................................................

Yes...political as well as manufacturing innovation are very real forms of progress...Countries will find where their equilibrium is by a truer internet based democracy...

Never again will a country have need to have parties face off against one another....etc...
............................................................................................

Innovation comes out of need to create a means to an end...and globalization will force innovation and creativity...

The main issue being what do the displaced people do...who are above 50 ....list goes on...

But this is the force for creativity no doubt...
...................................................................................

What I look forward to are countries who have no party oriented system which chases votes every 2 to 6 years with video clips and soundbites...

What I look forward to is the capitalization of all companies in all countries which will trade freely on a single exchange 24/7....This is coming,,,coming sooner rather than later....

Change...is very uncomfortable...and non complacent....and may all continually prepare themselves for adaptation...
...........................................................................................

China...India....Brazil.....without a doubt have progressed because of increasing levels of innovation...and let there be no doubt that the USA has created the core of innovation that other countries are enjoying...

The world is coming closer together in how each other lives each day....and who knows...may one day have one language and one currency....

One of the main keys in my opinion is the capitalization of the worlds best businesses and the ability to trade them on a singular electronic exchange....