Recently in Doing business in China Category

By Aaron Pan | Bloomberg News
May 11, 2008

Africans living in the southern Chinese city of Guangzhou are being forced to leave the country because of new visa policies, the South China Morning Post reported, citing an unidentified spokesman for the community.

Nearly half of the 10,000 Africans in the city have already been forced to leave because their visa-renewal applications have been denied and at least 100 people are stranded in Macau without enough money to return home, the newspaper reported.

African nationals in the city have been running small businesses on flexible, six-month ``F'' visas and are now being given only tourist visas of up to 15 days, the Morning Post said.

The General Committee of African People in Guangzhou has sent a letter to 10 African embassies in Beijing asking them to press the Chinese government on the issue, the newspaper added.

>> Read the news

By David Barboza | The New York Times
May 10, 2008

The mud and brick schoolhouses in the lush mountain villages of this remote part of southwestern China are dark and barebones in the best of times. These days, they also lack students.

Residents say children as young as 12 have been recruited by child labor rings, equipped with fake identification cards, and transported hundreds of miles across the country to booming coastal cities, where they work 12-hour shifts to produce much of the world's toys, clothes and electronics.

"Last year I had 30 students. This year there are only 14. All the others went outside to find work," said Ji Ke Xiaoming, 35, a primary school teacher whose students in Erwu Village are mostly ages 12 to 14. "You know, we are very poor. Some families can't even afford a bag of salt."

China is now investigating whether hundreds, perhaps thousands, of poor children of the Yi ethnic minority group in Liangshan were lured or even kidnapped to work in factories that are increasingly desperate for the kind of cheap labor that powered China to prosperity over the past two decades.

Labor recruiters -- government investigators and some local residents portray them as con men -- have connected two radically different parts of China's turbulent society. They have brought together ethnic minorities untouched by economic development in their mountainous isolation, and factory owners in the prime export manufacturing zones of southern Guangdong Province, near Hong Kong.

Exporters have struggled to adjust to soaring inflation, a fast-rising currency and, with some irony, stricter enforcement of labor laws that make it harder to hire regular workers on a seasonal basis. Using child workers from a remote region, many of whom cannot even speak Mandarin, the country's main national dialect, have provided a temporary, albeit illegal, solution.

A scandal involving Liangshan's children first came to light late last month, when Southern Metropolis, a state-run newspaper, reported that as many as 1,000 school-age workers from the area were employed in manufacturing zones near Hong Kong.

The report was deeply embarrassing for Beijing, which is preparing to host the Olympics and coping with international criticism of its handling of riots in Tibet. Last week, the authorities in Liangshan said they had detained several people for recruiting children and illegally ferrying them off to factories.

And officials in Dongguan, one of the manufacturing zones where the children worked, said that they had "rescued" more than 160 young people from factories. The legal minimum working age in China is 16.

Now, officials have begun to play down the scandal, saying there is little evidence of widespread violations of child labor laws. A two-day government sweep involving more than 3,000 factories around Dongguan, which was conducted after the initial raids, turned up only 6 to 10 children, officials said.

But residents of Liangshan say abject poverty, drug abuse and a lack of jobs have forced many children to head for factories. Sometimes it is with their parents' permission. Other times, children disappear, on their own or with job recruiters, and then call home from a factory dormitory, hundreds of miles away.

>> Read the complete report

By Ben Blanchard - REUTERS | via (UNCENSORED) Yahoo! News
May 08, 2008

China will not guarantee it won't censor the Internet over this summer's Beijing Olympics, nor can it guarantee to stamp out piracy of Olympic-branded goods, officials said on Thursday.

Wang Wei, executive vice president of the Beijing Olympic organizers, had promised media would have "complete freedom" to report over the event, but rights groups have regularly criticized China's commitment to that pledge.

China maintains a tight grip over the Internet, whose use is exploding in the world's most populous nation, preventing access to sites it considers anti-government, such as those of the banned spiritual group Falun Gong or Tibet independence groups.

"China has always been very cautious when it comes to the Internet," Technology Minister Wan Gang told a news conference as the Olympic torch was being paraded atop Mount Everest.

"I've not got any clear information about which sites will be shut or screened. But to protect the youth there are controls on some unhealthy websites.

"We will guarantee as much as possible" that sites will not be blocked over the Olympics, he added. "Every country limits access to some websites. Even in developed countries not every site can be accessed."

As part of China's plan to hold a "high-tech Olympics," broadband wireless Internet services will be widely available, according to a handbook issued at the same news conference, to ensure "convenience for journalists (and) promptness of news."

Last week, the United States said again it was concerned about Internet controls in China.

>> Read the complete article

By The Epoch Times
May 04, 2008

After the French protest at the Beijing Olympic Torch relay, official Chinese media have been highly critical of France. Since then, a retaliatory boycott on French goods has been advocated, resulting in a Chinese protest and boycott of the France-invested retailer Carrefour. Yet the escalating boycott has begun to unintentionally hurt Chinese suppliers of Carrefour as well.

On April 24, a food supplier in Beijing received a fax from Carrefour requesting a goods return. "If the boycott continues, we will certainly suffer greater loss in the future," said the helpless supplier who mentioned that other food suppliers also received goods return notice from Carrefour.

A Beijing supplier was told to go to Carrefour and process 70 boxes of returned goods, or their order would be null and void. "Seventy boxes equates to about a 10 day sales amount in Carrefour," explained the supplier.

According to a China Business Journal report, from the over 100 Carrefour outlets, 95 percent of the goods come from over 1,000 local suppliers in China. Based on Carrefour's unconditional goods return contract, the loss from returned goods will eventually be borne by the suppliers.

"The protests in Beijing, Shanghai, Guangzhou, and Suzhou are relatively restrained," said a Carrefour manager, whose name was withheld by request, "The protests outside our stores in Hefei, Xuzhou, Kunming, Changsha, Wuhan, and Qingdao are very intense." Carrefour stores in Wuhan and Hefei have had to suspend operations due to the protests.

"Because of the boycott, our total sales declined almost 20 percent in the past few days. We are gradually receiving goods return notices from various Carrefour stores," said the manager.

Yang, a General Manager from the Shanghai Chengxie Logistics Distribution Ltd. is very concerned as his company supplies between 70 to 80 percent of the goods for Carrefour Shanghai. In his opinion, many goods have to wait two months before one can see the true impact of the goods return on them.

Yang said that for Carrefour, the incident is merely a sales loss in the short term, and subsequently a partial profit loss. But the real victims are the over 1,000 Chinese suppliers, he said.

Yang explained that Carrefour normally operates on a three-month accounting cycle and returns goods unsold in two months. "Now the goods return rate for Carrefour is about eight percent," said Yang. "If the rate reaches over 20 percent after one or two months, it will hurt the suppliers greatly, especially the food suppliers."

A fresh produce supplier verified that with fewer Carrefour customers, the fresh produce may be affected the most. "Our product sales will decrease at least 30 percent on the whole, and the returned products that cannot be sold will all be borne by the suppliers."

>> Click here to read the original article in Chinese

By Agence France Presse | via UNCENSORED Yahoo! News
May 01, 2008

US actress and activist Mia Farrow accused China on Friday of "underwriting the atrocities in Darfur" as she tried to put pressure on Beijing to end years of bloodshed in the Sudanese region.

Farrow, speaking in Hong Kong as the Olympic torch relay was borne through the southern Chinese city, is using the high profile of this summer's Beijing Games to highlight China's support of the Sudanese government.

"It isn't a pretty way to say this, but China is underwriting the atrocities in Darfur through the oil revenues which now top 4 billion US dollars a year," she told AFP in an interview.

"Some 70 percent of that money has been used to attack the population of Darfur."

>> Read the news

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This page is a archive of recent entries in the Doing business in China category.

Beijing 2008 is the previous category.

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Beijing 2008
Silenced - China's Great Wall of Censorship. This book takes the reader on a fascinating and disturbing trip behind China’s Great Wall of Censorship. It also tells the story of Voice of Tibet, the radio station China couldn’t silence.

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  • han: This just shows that how China cannot exist within a vacuum. Everything is inter-related. Y... [more]
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