| Boss Resigns
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(CFP) |
He Xiangjian, 70, Chairman of the Board and President of Midea Group, one of China's largest home appliance producers, announced on August 25 he is leaving the top position with the privately owned electronics giant.
He's resignation will be followed by a huge management restructuring, in which a group of younger managers will take leading positions in the corporation. However, He will continue to make contributions to Midea as its largest shareholder, the announcement said.
Midea's leadership transition provides the long-awaited answer to whether it would continue to remain a family firm or grow into a publicly listed enterprise.
It is believed that the leadership change of Midea not only ushers in a new era for the corporation, but also offers a successful example for many other private enterprises in China. In the next 10 years, most Chinese private companies will face the challenge of leadership transition as their founders go into retirement.
China's State Council, the cabinet, approved establishment of a state-level "new area," a type of special economic zone, in northwestern Gansu Province, the fifth of its kind in the country.
Lanzhou New Area (LNA), located in Qinwangchuan Basin in the north of the provincial capital Lanzhou, will serve as an important industrial platform and growth engine to boost the economic development of China's northwest, said an official with the provincial government on August 29.
LNA is expected to focus on strategic adjustment of the economic structure and develop a circular economy and energy-saving industries with local characteristics, according to the official.
Covering an area of 806 square km with a population of 100,000, LNA has attracted 90 investment projects so far, with a total value of 70.7 billion yuan ($11.13 billion), according to statistics released by its management committee.
Besides LNA, there are also Pudong New Area in Shanghai, Binhai New Area in Tianjin, Liangjiang New Area in Chongqing and Zhoushan Islands New Area in Zhejiang Province.
China's largest domestic automobile manufacturer and exporter Chery Auto announced on August 29 that it would recall over 18,000 vehicles from markets in Brazil, Uruguay, Chile, Argentina and Singapore.
Company spokesman Jin Yibo said 18,875 vehicles, including Tiggo SUVs and A3 compact sedans, would be recalled from these markets as gaskets or exhaust systems installed in these vehicles contained small amounts of asbestos, which violated regulations set in these countries.
The company performed inspections on all exported vehicles based on the regulations of different countries before announcing the recall, said Jin.
The inspection was carried out after Australian authorities found cancer-causing asbestos in the two models, forcing the company to recall 23,000 vehicles in Australia starting on August 15.
As small amounts of the substance are used in the engines, it will not threaten the health of drivers or passengers, but may do harm to maintenance personnel.
Jin said the company has established an operation standard for overseas after-sales service points to replace all related parts, based on local work safety protection regulations in Australia.
Chery Auto exported 159,000 vehicles last year, up 84.1 percent year on year, maintaining its status as a leading auto exporter in China.
China National Offshore Oil Corp. (CNOOC), the country's largest oil and gas producer, said on August 28 it has opened 26 new offshore blocks for cooperation with foreign companies.
The blocks were the second batch made available by CNOOC for cooperation, with one block located in the Bohai Bay, three in the East China Sea, and another 22 in the South China Sea, according to a statement on CNOOC's website.
The 26 blocks cover a total area of 73,754 square km.
It also said that foreign companies may access data concerning the blocks after applying. Data will be available for viewing until November 30.
In June, CNOOC opened a total area of 160,124 square km as its first batch of offshore blocks in the South China Sea for cooperation.
According to the semiannual report of CNOOC Ltd., the company is aiming to meet a production target of between 330 million and 340 million barrels of oil this year. Production in the first half totaled 160.9 million barrels, down 4.6 percent year on year.
The International Finance Corp. (IFC), a member of the World Bank Group, has agreed to provide 300 million yuan ($47 million) to Fosun Pharma to help the company expand its business, the IFC announced on August 29.
Fosun Pharma produces both generic and innovative medicines. It is also one of the largest suppliers of anti-malaria drugs to developing countries through international institutions like the World Health Organization and the International Red Cross. It has so far provided anti-malaria drugs to more than 300 million people in Africa and Southeast Asia.
The loan will provide long-term funding to Fosun Pharma's subsidiaries in China to help upgrade manufacturing facilities, including those located in less-developed regions, and further enhance product performance, according to a statement from the IFC.
The loan is the IFC's second to the company. In 2006, it offered 320 million yuan ($50.79 million) through the issuance of a local-currency bond, which helped Fosun Pharma expand its manufacturing and distribution businesses.
The IFC is the largest global development institution focused exclusively on the private sector. In the 2012 fiscal year, its investment reached an all-time high of more than $20 billion, according to the statement.
The China International Publishing Group (CIPG) sealed two cooperation deals on August 30 at the 19th Beijing International Book Fair running from August 28 to September 2.
CIPG's Foreign Languages Press (FLP) and Cengage Learning Group signed the memorandum of understanding on strategic cooperation. Their first joint project was the English version of Speeches of Zhu Rongji. Cengage Learning will put the book into its Gale catalog, making online reading easier.
In addition, FLP will work on the launch of the translation and international co-publishing project of the English edition of Mao Zedong—A Biography with Cambridge University Press and the Central Party Literature Press. The six-volume Chinese-language book is 2.05 million characters in length. FLP will translate it into English and publish it in the Chinese mainland, while Cambridge University Press will publish the English version internationally. | 
