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Govts & Policies

China launches first freight train to London

China on Sunday launched its first freight train to London, China Railway Corporation said. Departing from Yiwu West Railway Station in eastern Zhejiang province, the train will travel for about 18 days and more than 12,000 kilometers before reaching its destination in the United Kingdom. Yiwu is known for producing small commodities, and the train mainly carried goods including household items, garments, cloth, bags and suitcases. It will pass through Kazakhstan, Russia, Belarus, Poland, Germany, Belgium and France before arriving in London. London is the 15th city in Europe added to China-Europe freight train services.

Outstanding external debt rises in Q3

China's outstanding external debt reached $1.43 trillion at the end of September. This represents a 3-percent rise from $1.39 trillion at the end of June, according to the State Administration of Foreign Exchange website. The steady increase in outstanding external debt shows that the sector has almost finished deleveraging. China's external debt will continue to rise at a steady pace, making the country's international payments more balanced.

Ministry to strengthen property supervision

China will strengthen housing market supervision to ensure healthy development of the sector, according to an official statement. The Ministry of Housing and Urban-Rural Development reported violations of 21 real estate developers, which in hopes of boosting sales, spread rumors, published false information, operated without licenses, or hoarded unsold homes. The companies will face administrative penalties ranging from business suspensions to fines, with serious cases being transferred to the police. The ministry said it will continue to act tough on such activities to expel "black sheep" from the market.

Banking industry sees rising external assets

China's banking industry recorded more external financial assets by the end of September compared with the second quarter, according to official figures. China's banking industry, excluding the central bank, reported external financial assets of $827.6 billion by the end of September, up from $777.9 billion at the end of June, the State Administration of Foreign Exchange said. However, the nation's banking industry witnessed external liabilities growing at an increased pace, reaching $979.6 billion by September, resulting in net external liabilities of $152 billion.

Companies & Markets

Retail giant to buy logistics company

Chinese retail giant Suning Commerce Group Co Ltd announced on Monday that it plans to spend 4.25 billion yuan ($612.13 million) to purchase Hangzhou-based logistics company Tiantian Express, in a bid to offer expanded delivery capabilities and then solve the last mile problem. Jiangsu Suning Logistics Co Ltd, the logistics affiliate of Suning Commerce Group, will spend 2.975 billion yuan buying the 70 percent stake in Tiantian Express. After the delivery, Suning Logistics or its operating company will purchase the remaining 30 percent stake in Tiantian Express for 1.275 billion yuan within 12 months.

Westar increases use of drones in Kansas

Westar Energy is increasing the use of drones for such things as inspecting equipment, navigating remote areas and managing some emergencies, as the utility tries to improve safety and efficiency while also saving money, company officials said. Westar and Kansas State University's Polytechnic Campus offer an unmanned aircraft systems program and have one of the nation's largest enclosed drone flight facilities on the polytechnic campus in Salina. Now, it has begun deploying unmanned aircraft commercially, The Topeka Capital-Journal reported. "It's absolutely a cost savings at this point," said Jason Klenklen, supervisor of transmission maintenance. "Instead of using manned aircraft, we're using unmanned aircraft."

Around The World

Eurozone economy expanded in 2016

The eurozone economy was expected to grow by about 1.6 percent in 2016, slightly stronger than market expectations, partly thanks to the perseverance of the European Central Bank in pumping money into the market through a bond-buying program since January 2015. Of equal significance, the year 2016 has been the first full year that the eurozone's gross domestic product was back to its pre-crisis size. Risks, however, have also markedly risen in 2016 in the 19-country eurozone. "Much of the concern in the eurozone now centers on the euro," banking giant HSBC said earlier in a special report.

Aussie road crashes cost $20b annually

Road crashes are costing the Australian economy up to $20 billion every year, the government said. The Australian government aims to lower the number of road crashes by 30 percent by 2020. Following a number of years with low numbers of road crashes and fatalities, the government has urged Australian motorists to be careful when driving after deaths on the road jumped across the nation in 2016. In Victoria alone, the road toll jumped from 252 in 2015 up to 291 in 2016, a 15 percent jump in just one year. Police have described 2016 as a "horror time", while the state's Assistant Commissioner Doug Fryer said the deaths affect countless family members and friends, as well as the healthcare system.

S. Korean exports fall 5.9 percent in 2016

South Korean exports declined last year, marking the second yearly fall, but the economy posted a trade surplus thanks to faster reduction in imports than exports, a government report showed. Exports, which account for about half of the economy, reached $495.5 billion in 2016, down 5.9 percent from the previous year, according to the Ministry of Trade, Industry and Energy. The overseas shipments dipped 8.0 percent in 2015 after growing 2.4 percent in the previous year.

President hopes for more growth

Portuguese President Marcelo Rebelo de Sousa said he hoped for more economic growth in 2017, in his speech to mark New Year's Day on Sunday. He said the country has taken "small steps" but much was still left to do. "2016 was a year of immediate management, of political stabilization and concern with financial rigor," he said. "2017 has to be a year of long-term management and of defining and executing a sustained economic growth strategy." He added that the country had learnt that by working together success was possible.

Sri Lanka targets 2.5 million tourists

Sri Lanka said on Monday that it has set a target of 2.5 million tourists in 2017 as the island nation is becoming a popular tourist destination. Tourism Minister John Amaratunga said that the country had already exceeded the 2 million tourist arrival mark in 2016 and now it hoped to attract a further 2.5 million tourists by the end of 2017. Up to November, the nation had attracted more than 1.8 million tourists, mainly from India and China.

Positive outlook for Macedonia in 2017

Macedonia's economy is expected to grow 3 percent in 2017, the National Statistics Office announced. According to the office, the country's economic growth in 2017 will be mainly driven by its exports, which is expected to grow by 6 percent. The sector of construction is expected to expand 5.2 percent, services 2.8 percent, agriculture 2.3 percent, and industry to around 2 percent, according to the office. Finance Minister Kiril Minoski said earlier the country's economic growth rate was expected to hit 2.3 percent this year.

(China Daily 01/03/2017 page14)