Jaguar Land Rover China will recall 337 vehicles due to substandard fixings in their rear calipers and steering boxes. Provided to China Daily

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Jaguar Land Rover China recalls vehicles

Jaguar Land Rover China will recall 337 vehicles due to substandard fixings in their rear calipers and steering boxes, the country's consumer quality watchdog has announced.

The company has decided to recall 190 of the Evoque and Freelander models produced on June 11 in 2012, as the fixing bolts in the vehicles' rear calipers were not torqued properly, which can cause the bolts to loosen and create unusual noises during operation, the General Administration of Quality Supervision, Inspection and Quarantine said in an online statement.

The substandard fixings may lead to ineffective braking and sudden tire deflation.

Peugeot Citroen China JV sales hit 440,000

Dongfeng Peugeot Citroen Automobile Company Ltd in Central China's Hubei province said it sold a record 440,000 cars last year.

In a press release, the 50-50 joint venture between Chinese carmaker Dongfeng Motor Corp and French carmaker PSA Peugeot Citroen said 223,800 Citroen autos and 216,200 Peugeots were sold by Dec 28.

Sales jumped 8.2 percent year-on-year, outperforming the industry average.

Lifan aims to build auto plant in Ethiopia

Automaker Chongqing Lifan Group said it plans to build a car plant in Ethiopia to double its current output, Gasgoo Automotive News has reported.

Since 2007, the Chinese company has made about 3,000 cars in the African country annually, accounting for about 70 percent of the cars made in Ethiopia, Gasgoo said.

Roger Tian, deputy general manager of the company, said auto demand in Ethiopia is growing fast. In the past three years, car sales grew at an average of 30 percent per year, and sales growth is projected to reach 40 percent in 2013. The new plant is expected to start operation next year.

Investment

CRBC to build two highways in Serbia

China Road and Bridge Corporation on Dec 28 signed a pre-contract agreement with the Serbian Ministry of Regional Development and Local Self-Government to build two regional highways in the country.

The two projects, a 110-kilometer motorway with six lanes from Pojate to Preljina and a 27-km motorway with four lanes from Novi Sad to Ruma, are valued at 642 million euros ($850 million).

Wanxiang close to buying battery maker

Wanxiang Group, a Chinese auto parts maker, is one step from closing a $256 million (193 million euros) deal to purchase commercial assets of US advanced battery maker A123 Systems, which went bankrupt in October.

Delaware Bankruptcy Court Judge Kevin Carey on Dec 11 approved Wangxiang's purchase, made at an auction in Chicago on Dec 6 and 7. Wanxiang won the bid over three other American companies. The deal excluded A123's contract with US military and government, as some US military leaders and politicians worry that sensitive technology will slip into foreign hands.

To complete the deal, Wanxiang needs the approval of the Committee on Foreign Investment in the US, a group of government agencies chaired by the US Treasury Department, says Pin Ni, head of Wanxiang's US subsidiary since 1994.

Chinese investment in US hits record level

Chinese foreign direct investment in the United States hit record levels in 2012 and shows little sign of slowing, despite worries by some that the inflow of Chinese money presents a growing security risk.

Chinese companies concluded deals worth $6.5 billion (4.9 billion euros) in 2012, an increase of 12 percent from the record $5.8 billion in 2010, according to a report by New York-based Rhodium Group, which tracks Chinese FDI.

The most appealing US sectors to Chinese investors were oil and gas exploration, advanced manufacturing that helps Chinese firms move up the value chain, and assets that allow investors to gain solid returns, such as utilities, real estate and hospitality, according to the report.

Energy

China's Hanlong to obtain African mine

Chinese mining firm Hanlong is expected to take over Australia's Sundance in February, the company disclosed, a move that will put it in control of a major iron ore mine in West Africa.

Sundance controls the Mbalam mine sites in Cameroon and the Republic of Congo. The acquisition will start on February 26 and end on March 1 after documents are submitted to the Australian Securities and Investments Commission, officials with the privately held Hanlong Group said on Dec 28.

The offer will save Hanlong 2 billion yuan ($315 million; 238 million euros) for the deal, which was originally valued at A$1.7 billion ($1.76 billion; 1.33 billion euors).

Sinopec, ConocoPhillips team up on research

Sinopec Group has announced its subsidiary, Sinopec Exploration Southern Co, and ConocoPhillips China have signed an agreement focusing on shale gas exploration and production research for the Qijiang block in the Sichuan Basin.

The Qijiang block is located in the southeast area of Sichuan province. Exploration faces challenges such as complex geological conditions, and the fact that the main target layer is buried deeply.

The research project, which covers an area of 3,917 square kilometers and will last two years, will help to evaluate the potential of shale gas exploration in the area, and improve the engineering technology of exploration at Sinopec.

Retail

Apple fined for copyright violation

A Beijing court ruled against Apple Inc in a copyright dispute on Dec 27, saying the company must pay a fine for selling unlicensed electronic versions of books online.

The Beijing No 2 Intermediate People's Court ordered Apple to pay a total of 1.03 million yuan ($165,908; 125,061 euros) to eight Chinese writers and two companies for violating their copyrights.

The plaintiffs said they spotted applications containing unlicensed electronic versions of their books available for download last year, adding that the books were downloaded in great quantity, resulting in large economic losses for their authors, their lawyer said.

The court concluded that Apple violated the plaintiffs' "right of communication through information networks", an element of China's Copyright Law, by providing apps that contained unlicensed electronic versions of the books.

The company also failed to carry out its duties regarding the care of apps it provides online, the court said.

Policy

Beijing, Shanghai start visa-free transit policy

Travelers from 45 countries can now benefit from a 72-hour visa-free stay policy in Beijing and Shanghai, a move that could attract more transit visitors.

Tourists holding third-country visas and plane tickets can now apply for a transit without a visa at Beijing's international airport. Foreign visitors are not permitted to leave Beijing to other Chinese cities during the 72 hours, and have to depart China from the capital city. The 45 countries were listed in accordance with the numbers of inbound overnight visitors in Beijing from 2009 to 2011.

The same policy also took effect in Shanghai, where visitors can submit applications at Pudong and Hongqiao airports.

Economy

GDP growth to exceed 8 percent

A state think tank expert has forecast China's GDP growth this year will exceed 8 percent and consumer prices inflation to be higher.

Lu Zhongyuan, deputy director of the Development Research Center under the State Council, said there is no doubt China's economy will grow by more than 8 percent in 2013 and the government should focus more on promoting sustainable growth and containing imported inflation.

China's economy has bottomed out in June last year, buoyed by the country's economic restructuring, innovation incentive and the market's self-stabilizing forces, Lu said, adding the momentum will continue to drive up growth in the year ahead.

China Daily-Agencies

(China Daily 01/04/2013 page19)