IN BRIEF (Page 24)

UK begins review of reactor design

China General Nuclear Power Corp said the British government has begun an assessment of the company's plan to build a nuclear power plant at Bradwell in southeastern England. The British government asked nuclear regulators on Jan 10 to begin their assessment of CGN's design - the Hualong One reactor - a process industry experts expect to take about five years. The company is confident that Hualong One will meet the United Kingdom's stringent safety and security requirements, said Mao Qing, project manager at CGN.

Trade with China supports US jobs

Trade with China supports some 2.6 million jobs in the United States, including jobs that Chinese companies have created directly in the US, according to a report released on Jan 10 by the US-China Business Council. The report - Understanding the US-China Trade Relationship - said that as the Chinese middle class grows over the next decade, likely exceeding the entire US population by 2026, US companies will have opportunities to tap into a lucrative customer base that can further boost employment and economic growth. The report indicates that nations trading closely with China outperform those with less integrated trade ties, and that trend will continue.

Cross-border online shopping sees gains

The popularity of cross-border online shopping is growing in China, with younger people and families being the driving force, according to a report issued by Amazon China. The report showed that Black Friday, the US shopping spree after Thanksgiving, is getting more popular among Chinese consumers, with sales doubling from Consumers with less than two years of cross-border online shopping experience accounted for more than 50 percent of the total. Young and highly educated consumers with high incomes are the major group of Amazon China's cross-border online consumers. Nearly 80 percent of the consumers are younger than 35 and about 90 percent have at least a bachelor's degree. Consumers with monthly salaries over 5,000 yuan ($720; 683 euros; 594) accounted for 62 percent of cross-border online shoppers in 2016, according to the report. Families with children accounted for 84 percent of shoppers.

Volkswagen recalls 49,480 vehicles

Volkswagen China will recall 49,480 vehicles due to brake design defects, starting Feb 6, according to China's quality watchdog. The recall involves imported Beetles produced between July 1, 2012 and Aug 6, 2015, and imported Golf Variants produced between July 1, 2012 and July 6, 2013, according to a statement from China's General Administration of Quality Supervision, Inspection and Quarantine. The brake system may malfunction because of a defective noise filter on brake boosters.

Investment banks seek bigger stakes

Morgan Stanley and UBS Group AG have reportedly engaged in discussions about increasing their holdings in their China securities business, reflecting growing confidence in joint ventures on the Chinese mainland, according to a Bloomberg report. A source familiar with the matter told China Daily that Morgan Stanley would raise its stake to 49 percent, the maximum allowed under current regulations. The source said the plan is still subject to regulatory approval.

Currently, Morgan Stanley holds 33.3 percent in its China joint venture Morgan Stanley Huaxin Securities Co. UBS responded in an email to China Daily, saying that the bank has been holding talks since last year with several shareholders about buying their stakes in its mainland securities joint venture. UBS holds 24.99 percent in its China joint venture UBS Securities China.

McDonald's sells major China share

Fast-food chain McDonald's Corp announced on Jan 9 the sale of 80 percent of its Chinese mainland and Hong Kong operations to a consortium including CITIC Ltd and Carlyle Group LP. The move will help it expand amid growing competition, but analysts warn that challenges remain. The $2.08-billion deal will give CITIC and CITIC Capital a controlling stake - 52 percent of the new entity - with US buyout firm Carlyle holding 28 percent and McDonald's 20 percent, making it the largest franchisee outside the United States. With the transaction, McDonald's is franchising all of its more than 2,600 stores on the Chinese mainland and Hong Kong for 20 years, a major step toward turning around its fortunes in Asia and cutting costs globally, according to Phyllis Cheung, the company's chief executive officer in China.

CEFC China Energy signs new deal

Private group CEFC China Energy has signed a new deal with a unit of Kazakhstan's state oil and gas company owning assets mainly in Europe to go ahead with a stake transfer that was agreed a year earlier, CEFC executives said on Jan 9. A year ago CEFC agreed to pay $680 million for 51 percent of KMG International, a fully owned unit of Kazakh state oil and gas firm KazMunayGaz that owns a key refinery in Romania and nearly 1,000 petrol stations in Europe.

Baidu approved for direct banking

Chinese internet giant Baidu has received approval to open a bank, joining its tech counterparts in offering banking services. The country's top banking regulator approved the establishment of Baixin Bank, with joint investment from China CITIC Bank and Baidu. Direct banks are those without any branch networks, offering services remotely via online and telephone banking.

6 locomotives delivered to Kenya

Kenya has received six locomotives from China that will run on a China-funded standard-gauge railway due to start trial operations in June. A ceremony was held on Jan 11 at a port station in the coastal city of Mombasa, where the locomotive shipment docked. Minister for Transport and Infrastructure James Macharia and Chinese envoys attended the ceremony to receive the locomotives, which were manufactured by China Railway Construction Corp. In his opening remarks, Macharia said the delivery of the first batch of locomotives marked a major milestone "in the journey to complete the Mombasa-Nairobi SGR project".

Company to hire more Djibouti residents

Chinese construction giant China Civil Engineering Construction Corp has vowed to raise the number of local staff for its operations in Djibouti. The company signed a memorandum of understanding on Jan 11 with the Djibouti Technical Vocational Training department to hire vocational school graduates as part of its commitment to increase the number of its local staff in its varied operations. According to the agreement, the company will hire graduates of Lycee Industrial and Commercial School, which was built by CCECC about 25 years ago.

(China Daily European Weekly 01/13/2017 page24)