TRADE REBOUND: An overseas container vessel docks at Shanghai's Yangshan Deep-Water Port. The latest statistics from the Shanghai Customs showed signs of a foreign trade recovery in imports in January and February, which increased 4.1 percent, though exports decreased 2 percent year on year (CHEN FEI)

World Bank Optimistic

The World Bank (WB) predicted that the Chinese economy will grow 9.5 percent year on year in 2010, with a shift from government-led investment to a mix of solid consumption, recovered exports and stable investment.

"Despite the global recession, China's economy grew 8.7 percent in 2009, and the growth momentum continued in the first months of 2010," said the WB's latest China Quarterly Update, a regular assessment of China's economy.

The WB suggested more flexibility in China's implementation of its fiscal and monetary policies, given the remaining uncertainty about the world economy.

Crude Oil Deal

CNOOC Ltd., China's biggest offshore oil explorer, agreed to buy a 50-percent stake in Argentine producer Bridas Corp. for $3.1 billion to meet the demand from the world's second biggest energy consumer.

The deal marked China's latest move to increase its oil reserves. It will also raise CNOOC's reserves by 12 percent, boosting its average daily production and providing the company entry into Latin America.

In addition, the investment will bring CNOOC closer to a partnership with BP Plc, Europe's largest oil company. While Bridas owns a 40-percent stake in Pan American Energy LLC, Argentina's largest crude oil exporter, BP owns the remainder of Pan American.

BYD's Expansion

Chinese battery and automaker BYD Co. Ltd. will expand its capital expenditures by 58 percent to 10 billion yuan ($1.46 billion) this year to build manufacturing facilities and achieve its goal of doubling sales.

BYD had planned a third vehicle production base in Changsha of Hunnan Province, and a new plant in Xi'an of Shaanxi Province. Earlier this month, it agreed to team up with Daimler AG to develop electric cars for the Chinese market.

BYD is also expanding into overseas markets with traditional and new energy vehicles. It planned to sell its E6 electric cars to U.S. customers in the second half of 2010, and may also build a manufacturing facility in the United States.

Coal Port Construction

China plans to build a new port terminal in Huludao, Liaoning Province to help with the country's coal transportation, Xinhua News Agency reported.

The port will support an annual throughput of 50 million tons of coal when its first phase becomes operational by 2012, and the annual throughput will eventually be expanded to 500 million tons by 2020, according to the report.

In addition, a 300-km railway will be built to link the port directly with Xilingol, a major coal production base in Inner Mongolia Autonomous Region where the transportation bottleneck has made it difficult to move resources to users in coastal and southern regions.