Regulations

New Rules Released to Encourage M&A, Reorganization of Enterprises

Sources told the media that the Opinions for Accelerating the M&A and Reorganization of Enterprises drafted by the Ministry of Industry and Information Technology will be released soon. This document is intended to encourage commercial banks to provide credit support for enterprise M&A and reorganization. For different industries, the support will be delivered in different areas, e.g. for new industries including new energy, electronic information, biopharmaceutical, encourage large, medium and small enterprises to form a strategic alliance and join forces in R&D, production, market and personnel training. According to the Opinions, non-government investments are allowed in industries and sectors where foreign investments are used, in addition, measures are taken to deregulate the restrictions over equity interest, and accelerate the reform of power, telecom and petroleum industries which are state controlled. Chinese Text

MIIT Regulates Photo Voltaic Industry

In line with the guidelines of the State Council’s executive meeting on curbing the overcapacity and redundant construction of some industries, and according to the requirements of the MIIT executive meeting, departments concerned under MIIT have taken action for tight regulation over the photo voltaic industry. The Electronic Information Department worked with the Departments of Planning, Industry Policies, Energy-Saving and Comprehensive Utilization to convene a symposium on polycrystalline silicon production survey and photo voltaic industry cooperation & development, which heads of related industry associations, research institutions, domestic polycrystalline silicon and solar cell enterprises attended. The meeting deliberated the establishment of a polycrystalline silicon industry monitoring and warning system. At the meeting, industry representatives responded positively to MIIT’s proposal about the founding of a photo voltaic industry alliance. Chinese Text

China to Draft Climatic Changes Response Plan

China is deliberating and drafting a science & technology development plan to respond to global climatic changes, said Wan Gang, Minister of Science and Technology, at a press conference held on Sept. 30. Wan explained that global climatic changes are a main concern of all the people currently and in the future, and China, having got involved in a series of international programs against climatic changes, has launched a special action, working on climatic changes issues, control of green house gas emission, mitigation of climate changes, development of technologies and related policies. Currently, China is calling a meeting of the science & technology world to work out a science & technology development plan against global climatic changes, so as to respond to climate changes effectively. Chinese Text

Trade & Investment

MOF to Further “Household Appliances to Farmers” Policy Implementation

The Ministry of Finance called the third inter-ministerial conference on “household appliances to farmers” on Sept. 29, and the Minister of Finance Xie Xuren said the next stage’s task is to further the implementation of the policy of “household appliances to farmers”. According to the Minister, in addition to increasing policy implementation efforts, the Measures for Assessment of “Household Appliances to Farmers” Work, and the Assessment and Administration of Enterprises Chosen for Supplying Household Appliances to Farmers need to be distributed in an effort to encourage local governments and makers of selected appliances to pay much attention to the work of “household appliances to farmers”. Xie called for increased attention to payment of subsidy funds. Chinese Text

3G Mobile Communications

TD-LTE: Highlight of ITU Telecom World 2009

ITU Telecom World 2009 was held by ITU in Geneva, Switzerland on Oct.5 – 9. China Mobile, ZTE and Datang exhibited China’s proprietary TD-LTE technology, a latest 3.9G mobile communication technology, in which a number of visitors showed great interest. On the first day of this exhibition, the United Nations Secretary-General Ban Ki-moon and ITU Secretary-General Dr Hamadoun Touré witnessed the real time image transmission of Shanghai World Expo venues through using this technology. According to Chinese exhibitors, the success of China’s proprietary TD-LTE will greatly boost the global competitiveness of Chinese communication industry. Chinese Text

China Mobile to Accelerate Overseas Acqusitions

China Mobile Chairman Wang Jianzhou said that China Mobile plans to increase its strength through merging foreign counterparts continuously, and that Asia will be the key area for China Mobile to implement its overseas merger strategy. Despite China Mobile’s operations focus is still on domestic market now, it will attempt to seek opportunities for further growth in other large countries, according to the chairman. Wang told the media that “We will be looking for an opportunity of business growth in emerging markets throughout the world, and Asia is the first target.” China Mobile kicked off the expansion of operations overseas a couple of years ago, and acquired a majority of stakes in Paktel, the fifth largest mobile operator in Pakistan, two years ago, at a total price of USD460m. In subsequent years, China Mobile acquired the rest stakes of such company. Chinese Text

Datang Wins WLAN Deals for 11 Provinces

Following the winning of China Mobile’s WLAN deals for its headquarters, Datang Telecom won China Mobile’s WLAN equipment deals for 11 provincial branches, of which, Hebei, Sichuan and Shanxi are provinces where WLAN projects are first implemented. WLAN as a mature wireless broadband access technology is showing a momentum of strong growth in three application markets. “As a complementary means of 3G applications, WLAN deployment cycle is improving with the development of 3G, and now the WLAN industry has entered a period of high-speed growth,” said a Datang Telecom senior official. Chinese Text

Semiconductor

Largest Optic Stick Base Launched in Wuhan

On Sept. 30, the optic fiber industry prefabricated stick base of Fujikura Fiberhome Opto-Electronic Material Technology Co., Ltd., a joint venture of Fujikura Limited and Fiberhome Technologies, was launched in Wuhan on Sept. 30, and a largest and most advanced optic stick manufacturing base will take shape upon the completion of this project. This project will establish the optics valley of China as the leader in domestic optic communication industry. Fiberhome is a leading supplier in optics communication industry and one of the leading enterprises based in the Wuhan optics valley, while Fujikura Ltd. Is one of the international communication giants. This joint venture was founded on May 8, 2009. The optic fiber prefabricated stick is a core component in the optic cable industry chain, and only a few enterprises can produce it, the sticks used in China are largely imported products. Chinese Text

Internet

GAPP to Launch E-game Industry Rectification

Sources said the General Administration of Press and Publication will conduct a thorough check of online game service providers for their approval documents and operation status, and no enterprises without an Internet publication permit can publish online games or operate online game service. GAPP will take measures to improve the examination & approval procedures for imported online games, ban any smuggled online games and illegal operation activities for foreign online games, revoke any domestic online games without going through registration formalities, and tighten dynamic supervision over online games having gone through registration formalities so as to prevent dissemination of newly added unhealthy content and functions. Chinese Text

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