Companies
Baosteel braces for U.S. legal battle
Baosteel Group, which owns Baoshan Iron and Steel Co. Ltd., China’s largest and most advanced integrated steel manufacturer in Shanghai, has said it will defend its legal rights in accordance with international regulations and laws in the case relating to United States Steel Corp.’s complaint against Baosteel.
On April 26 U.S. Steel Corp. filed an application against Baosteel and other Chinese steel makers under Section 337 of the U.S. Tariff Act of 1930, seeking to bar import of Chinese carbon and alloy steel products. U.S. Steel Corp. alleged that 40 Chinese companies, including Baoshan, have exported steel products to the U.S. in violation of Section 337. It also alleged a conspiracy by the Chinese steel companies to control prices, misappropriating trade secrets and misstating the origin of products, over which the U.S. International Trade Commission has launched an investigation.
Baosteel denied the allegations, calling them groundless, and said its operations are market-oriented and legal. It underlined its independent research and development efforts and accused U.S. Steel Corp. of disrespecting and vilifying it and its R&D staff.
Zhang Xiaoli, a senior analyst with the industrial information provider MySteel.com, said it is easy to understand why steel products from China are cheaper than those made elsewhere. Chinese steel makers can produce more and enjoy lower labor costs, she said. So production costs are lower, but this also creates serious problems such as oversupply and fierce competition.
“Chinese steel companies made 1.1 billion tons of steel products last year, and about 112 million tons of that was exported, including 2.4 million tons to the U.S. Exports to the U.S. were down from 3.5 million tons in 2014.”
Zhang Tieshan, another analyst with MySteel.com, said the pricing of Baosteel products is open and transparent. The fact that Baosteel makes half the country’s auto sheets means the company has…
China
Government subsidies don’t boost Chinese firms’ productivity
China’s industrial subsidies have caused considerable controversy both internationally and domestically. Trading partners have accused China of unfairly favouring its indigenous firms with subsidies, leaving foreign companies at a disadvantage in the race to lead the technologies of the future.
Governments around the world regularly spend an enormous amount of money subsidising businesses. But few spend like China. A 2022 report suggests that China spends 1.7–5 per cent of its GDP on industrial policies, more than most countries.
(more…)Companies
Chinese Smartphone Manufacturer Lays Off 3,000 Employees Following Closure of Chip Design Division
OPPO, a major Chinese smartphone maker, announced the closure of its chip design company ZEKU Technology (ZEKU).
OPPO, a major Chinese smartphone maker, announced the closure of its chip design company ZEKU Technology (ZEKU).
(more…)Companies
Company Owned by Chinese Billionaire Guilty of Paying $1 Million in Bribes to LA Councilman
A Los Angeles real estate firm owned by a Chinese billionaire is guilty of paying more than $1 million in bribes to a Los Angeles city councilman as part of a scheme that involved luxury cruises, high-rolling trips to casinos, and prostitution.
A Los Angeles real estate firm owned by a Chinese billionaire is guilty of paying more than $1 million in bribes to a Los Angeles city councilman as part of a scheme that involved luxury cruises, high-rolling trips to casinos, and prostitution.
(more…)- China’s November 2024 Economy: Navigating Mixed Signals and Ongoing Challenges
- Ukraine war: 10% of Chinese people are willing to boycott Russian goods over invasion – new study
- Australia Can Enhance China’s Credibility in the CPTPP
- Gordonstoun Severs Connections with Business Led by Individual Accused of Espionage for China
- China Dismantles Prominent Uyghur Business Landmark in Xinjiang – Shia Waves
- China Expands Nationwide Private Pension Scheme After Two-Year Pilot Program
