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Govts & Policies

Crude oil output sees sharp drop

China's crude oil output fell 9.9 percent year-on-year in August, the biggest monthly drop since 2003 as refineries slashed production amid sluggish global oil prices, data from the National Bureau of Statistics showed on Monday. Meanwhile, imports trended upward after private refineries were given permission to import crude last year. In the first eight months, China's crude oil imports rose 13.5 percent compared with the same period last year, while refined oil output gained 2.1 percent.

Steel province in robust profit rise

Northern China's Hebei province, home to a quarter of China's steel manufacturing, reported robust profit growth in the first half this year after a drastic price plunge last year, according to the provincial metallurgical industry association. Steel makers in the province made 15 billion yuan ($2.2 billion) in profits in the first six months, up 181 percent year-on - year. The profit margin stood at 3.02 percent, the association said.

Companies & Markets

Yili in talks to avoid hostile takeover

Management team of dairy-product maker Inner Mongolia Yili Industry Group Co is seeking support from unidentified investors to avoid being subject to hostile takeover, Caixin reported, citing an unidentified person from Yili Industrial. Yili also seeks talks with Sunshine Insurance and other shareholders after share suspension, Caixin cites the person as saying.

Fulida to buy 17% of Wellard stake

Chinese textile maker Fulida Group Holdings Co agreed to buy 17 percent of Wellard Ltd, the Australian livestock exporter that has slumped since listing in December 2015. The share purchase, from a company controlled by Wellard Chief Executive Officer Mauro Balzarini, will make Fulida the second-biggest investor in Wellard, according to a stock exchange filing on Monday. While exact terms of the sale were not disclosed, Wellard has tumbled 83 percent since the initial public offering, cutting the company's market value to A$94 million ($71 million).

BYD to expand California plant

Chinese carmaker BYD will expand its electric vehicle plant in the US city of Lancaster in southern California, tripling the size of its facility, employment and production capability in next three years. Stella Li, president of BYD America, said recently that the world's largest manufacturer of electric vehicles would continue to invest in Lancaster and provide more development opportunities for local residents.

Fiat Chrysler in faulty airbag recall

Fiat Chrysler Automobiles is recalling nearly two million cars worldwide due to faulty airbags and seatbelts. The Detroit News quoted the automaker as saying that the vehicles being called back are equipped with a particular occupant restraint control module and a front impact sensor wiring. When cars collide under certain circumstances, the airbags might fail to deploy and the seatbelt might not sufficiently tighten to protect passengers.

Around The World

IMF chief urges corruption fight

International Monetary Fund Managing Director Christine Lagarde has called for efforts to combat corruption in order to restore trust in institutions and promote globalization. "Coming on the heels of the financial crisis, this backlash (against globalization) has evolved into a deeper problem - a growing gap in trust in institutions," Lagarde said at the International Bar Association Conference on Sunday. She cited a 2016 survey result from the consulting firm Edelman as saying that trust among the broader public in government institutions and the financial services industry was the lowest since 2008, while trust among the elites in all institutions is at an all-time high.

Foreigners buy S. Korean stocks

Foreign investors purchased South Korean stocks for three months in a row, financial watchdog data showed on Monday. Foreign net buying of local stocks reached 1.85 trillion won ($1.64 billion) in August, keeping a buying trend for three months since June, according to the Financial Supervisory Service. Offshore investors held local stocks worth 467.6 trillion won as of the end of August, accounting for 30.5 percent of the total market capitalization. It was the first time in 15 months that foreign ownership percentage topped 30 percent.

'Blue economy' for Caribbean nations

A new World Bank report has urged Caribbean countries to adopt the "blue economy" to boost growth and gain greater resilience to external shocks. The report, "Toward a Blue Economy: A Promise for Sustainable Growth in the Caribbean", estimated that ocean-based industries will outperform the growth of the global economy and double their contribution to the GDP by 2030.

US consumer sentiment still flat

US consumer sentiment kept flat in early September as better economic prospects were offset by declines in income prospects and buying plans. The preliminary reading of the consumer sentiment for September was 89.8, the same as the level in August, said the Thomson Reuters/University of Michigan index of consumer sentiment. "Modest gains in the outlook for the national economy have been offset by small declines in income prospects as well as buying plans," said survey director Richard Curtin.

New opportunities drive service sector

Growth in New Zealand's services sector accelerated last month, according to the latest performance of services index out on Monday. The BNZ-Business New Zealand PSI for August was 57.9 on a scale where above 50 indicates expansion and below 50 contraction. It was up 3.4 points from July, and was the highest value since December 2015. Business New Zealand chief executive Kirk Hope said in a statement that many of the comments in the PSI survey mentioned new customers and markets creating enhanced opportunities for growth.

17 countries invest in Myanmar SEZ

A total of 17 countries and regions involving 79 companies have invested in Myanmar's Thilawa Special Economic Zone, official report quoted the economic zone authorities as reporting on Sunday. Foreign investment in the Thilawa SEZ also hit $838.3 million as of July with Singapore-based companies topping the investors in the SEZ with $372.147 million, revealed the Directorate of Investment and Company Administration of Myanmar.

Nepal to grow by 4.8 percent in 2017

Asian Development Bank has projected that Nepal's economy would grow by 4.8 percent in the current fiscal year 2016-17 which is lower than Nepalese government's target of achieving 6.5 percent growth in the year. The agency said that Nepal's economic outlook is moderately optimistic.

Confidence hikes in Macedonia

The confidence indicator in Macedonia's manufacturing industry in August is 0.5 percentage points higher than the previous month, local media said. Confidence indicator increased by 5.5 percentage points compared to the same period last year, according to the national statistical office. The current volume of production orders in August was also more satisfactory compared to the previous month, and is expected to continue to increase for the next three months.

(China Daily 09/20/2016 page14)