Ensure Export Safety

China defended its recent export safety problems, saying it had taken a responsible attitude and made earnest efforts to ensure the quality and safety of Chinese exports.

"China attaches great importance to the quality and safety of Chinese exports," said Chinese Foreign Ministry Spokesman Qin Gang at a regular news briefing.

Qin attributed the export problems to "misunderstanding," illegal producers and differences in the inspection systems and policies of China and other countries.

Qin also urged the media not to exaggerate the problems. "We understand the concerns of consumers abroad about food and medicine safety. Meanwhile we hope the media can cover the issue in an objective and rational manner," he said.

"We are willing to carry out cooperation with other countries on product safety and quality."

Strategic Auto Agreement

Chinese carmaker Chery and U.S. automaker Chrysler will sign a strategic cooperative agreement, according to a press release issued after Chinese Vice Premier Zeng Peiyan met with Chrysler Chief Executive Tom LaSorda on July 2.

LaSorda is in Beijing to attend the signing ceremony of the agreement, on which no further information is available.

Chery, based in east China's Anhui Province, is the flagship of Chinese indigenous brands and became China's seventh largest automaker and fourth largest producer of sedans in 2006.

Zeng hopes Chrysler and its Chinese partner will jointly explore the markets at home and abroad so as to achieve win-win and mutually beneficial results.

China has produced and sold more than 7 million automobiles and become the world's second biggest automobile market, said Zeng.

Homegrown Jet Takes Shape

The main body of China's first domestically designed and manufactured commercial aircraft was completed in Shanghai at the end of June.

The Advanced Regional Jet 21-a small feeder plane-is estimated to cost its maker, China Aviation Industry Corp. (AVIC) I 5 billion yuan and will be finished by the end of the year, officials said.

The jet stands 8.4 meters tall and is 33.5 meters long. It can seat up to 90 passengers.

The first test flight has been scheduled for March next year, and AVIC I plans to deliver the planes to customers by September 2009. It has received 71 domestic orders for the ARJ21-700 series so far but hopes to secure international orders by the end of the year.

A Shares for Coal

China Shenhua Energy Co. Ltd. (CSECL), the country's top coal producer, has announced plans to launch an initial public offering of no more than 1.8 billion A shares on the Shanghai Stock Exchange.

The IPO will increase the company's total stock by 9.05 percent to more than 19 billion shares and reduce the proportion of H shares traded in Hong Kong from 18.8 percent to 17.1 percent.

Investors who buy the yuan-denominated A shares will be treated exactly the same as existing H shareholders, according to a company statement.

The pricing of the shares will depend on market conditions and proposals by the China Securities Regulatory Commission. The statement did not specify how much the company hopes to raise through the IPO.