Japan Economy Forum

[dlclong]

time to move out of town then

To learn the West , it's u so treated China.
Do not forget solar anti-dumping.....Do not do to others what you would not have them do to you
己所不欲勿施于人
China counter too late, so that some people more and more arrogant.

 

[rcrmj]

China tried that in the past, and the result was the opium war.

Make sure you build a strong navy to enforce your rules this time.

mate i am surprised that yours views of the world is so backward, i thought 'cold war' mentality was the benchmark, but you took this to the level of early 19th century ``lol

 

[BoQ77]

This could be the end of a love story.

 

[NiceGuy]

No hope for China to get rid of foreign cars. Chinese never can make a good car engine, so no one (even Chinese) will buy China cars

 

[BoQ77]

That is why we publicly release the DF-41. Asking anyone to come and pick a fight against us.

Even China Minister of MOD would not interfere to this topic.
So you think you are China Minister of MOD ?

Stick to the topic. That's better.

China may think that they learn enough from Western and Japan, now it's their turn.

 

[TaiShang]

Well, it is their country, and our business operations there should be sensible of the changing dynamic in China. As in any organizations that experience external change, one needs to adapt to the strategic shifts. Japan has over 4,300 businesses with offshore locations in China. It is thus important for the Japanese Keidanren [Japan Business Federation] to 1) understand the policy shifts in China, and to 2) adapt. To ensure the continued economic cooperation with minimal hiccups, pay the fine and enact new policies and procedures that takes into consideration these legal changes. Back to work.

NSK: Have fully cooperated with investigation
CCTV.com

The Japanese auto parts suppliers quickly responded to the anti-monopoly investigation and say they will modify their policies to conform with all laws and regulations in China.

The suppliers say they will also start training their staffs to better follow China’s anti-monopoly laws. Ball bearing maker NSK says it has fully cooperated with the NDRC’s investigation into the sale of its bearings in China and has launched an internal audit of its practices.

Meanwhile, GAC Toyota Motor and Guangqi Honda Automobile both plan to cut the prices on their spare parts in China. Guangqi Honda says it will lower its parts prices September 1st.

 

[Aepsilons]

NSK: Have fully cooperated with investigation
CCTV.com

The Japanese auto parts suppliers quickly responded to the anti-monopoly investigation and say they will modify their policies to conform with all laws and regulations in China.

The suppliers say they will also start training their staffs to better follow China’s anti-monopoly laws. Ball bearing maker NSK says it has fully cooperated with the NDRC’s investigation into the sale of its bearings in China and has launched an internal audit of its practices.

Meanwhile, GAC Toyota Motor and Guangqi Honda Automobile both plan to cut the prices on their spare parts in China. Guangqi Honda says it will lower its parts prices September 1st.

Good to hear this. As the old adage goes, "When in Rome, do as the Romans do..."

 

[libertad]

I've been noticing China harassing foreign companies under bogus 'crimes'. This is cronyism at work. We have that problem here in US as well but its not nearly as bad as China. China is harassing foreign companies to help their local companies, they don't want to compete fairly. The tarriffs are bad enough, but when you add this nonsense it turns into defacto monopoly for local companies because they are not bothered.

That would be best news for the domestic Chinese companies as they get market share to the massive Chinese market. Foreign companies are a burden to China.

The foreign companies that leave China, the better it is for China.
But the foreign companies are begging China to get access to the massive Chinese market.

Chinese companies may have monopoly on local market, but they are non existent on the INTERNATIONAL market. Your protectionism hinders your ability to go expand globally because you are afraid to compete. The soviet union had local monopoly too, but they still can't compete with Japanese and western companies even today. This is the fate of Chinese companies. If I was China I would embrace international companies and learn as much as i can from them. Remove all tariffs and try to compete with them fairly. South Korean companies are much better than Chinese and have massive global presence. Where are the Chinese companies???

 

[TaiShang]

Chinese companies may have monopoly on local market, but they are non existent on the INTERNATIONAL market. Your protectionism hinders your ability to go expand globally because you are afraid to compete. The soviet union had local monopoly too, but they still can't compete with Japanese and western companies even today. This is the fate of Chinese companies. If I was China I would embrace international companies and learn as much as i can from them. Remove all tariffs and try to compete with them fairly. South Korean companies are much better than Chinese and have massive global presence. Where are the Chinese companies???

Hope this will ease your concerns:

13 Chinese Companies Going Global In 2013
Forbes

Chinese companies “going global” reached unprecedented levels in 2012, and this phenomenon is set to continue next year. According to China’s Ministry of Commerce, the country’s non-financial overseas direct investment reached $58 billion during the first 10 months of 2012 –nearly 26% year on year growth. What may be even more interesting about the current phase of Chinese companies’ overseas expansion is not just the quantity of firms, but also their diversity in terms of their industries and geography.

Chinese foreign direct investment has long been characterized as focusing on securing raw materials in emerging markets like Africa and Latin America. But as the list of the top 13 Chinese companies going global below demonstrates, this is no longer the case. Chinese investment continues in strategic natural resources like oil and gas; however, companies in industries ranging from consumer electronics, entertainment, athletic apparel and even luxury boating are all pushing beyond the borders of the Middle Kingdom. Through expansion overseas, they aim to gain access to new distribution channels, international managers, brand recognition and technological expertise in global markets.

While some of the names appearing on the top 13 for 2013 are well on their way to becoming househould names, a few of the others may come as a surprise…

#1 Lenovo (Consumer Electronics)

In September 2012, the personal computer giant finalized its purchase ofBrazil’s CCE for $147 million in cash and stock. That deal followed its 2011 acquisition of German PC-maker Medion, and a recent joint-venture withJapan’s NEC. Next year will surely see more Lenovo acquisitions.

#2 Huawei Technologies (Telecommunications)

Huawei made headlines in 2012 after the U.S. House Intelligence Committee ruled that the firm, along with competitor ZTE, posed a potential threat to national security. However, the ruling does not appear to be hindering Huawei’s success in other international markets, with one Forester analyst calling the firm “the United Nations of Telecommunications.” Huawei’s success is not solely limited to emerging markets in Asia, Africa and the Middle East. Overall, European markets have also been welcoming of the firm. Huawei recently announced that it would invest $2 billion in Britain and plans to invest $90 million to open a research center in Finland in 2013, not to mention the company already has over 7,000 employees in the region.

#3 Dalian Wanda (Entertainment & Commercial Real Estate)

Run by China’s second wealthiest person, Wang Jianlin, Dalian Wanda surprised the American entertainment industry when it purchased AMC Entertainment for $2.6 billion in September of this year. The deal marked the largest acquisition of an American firm by a Chinese company. Wang has already gone on record as stating that Dalian Wanda will acquire a British business early next year, and he is in active talks with Hollywood studios in the U.S.

#4 SANY (Diversified Industrial)

In late January, Sanyagreed to buy a 90 percent stake in German industrial firm Putzmeister for more than $400 million. Through this acquisition, Sany transformed seemingly overnight into a global competitor to market leaders like U.S.-based Caterpillar and Japan’s Komatsu. Later in September, the U.S. government blocked an attempt by one of Sany’s subsidiaries to build a wind farm in Oregon due to national security concerns. This is unlikely to slow down Sany’s global expansion, which already includes plants in Germany, America, Brazil and India, along with a growing presence in sub-Saharan Africa.

#5 CNOOC (Oil & Gas)

CNOOC first made headlines in 2005 when it attempted to buy Unocal Corporation for an astounding $18.5 billion. This deal is well known among China watchers as the classic example of U.S. government intervention to block a China-U.S. cross-border acquisition. However, CNOOC has recovered well, achieving success in international markets like Canada where it purchased OPTI Canada in 2011 for $2 billion. More recently, it made headlines with a $15 billion acquisition of Canada’s Nexen. CNOOC, along with competitors like Sinopec, will continue its push to acquire energy assets around the world in 2013.

The remainder of the Top 13 for 2013 are listed below along with their key highlights from 2012.

#6 Bright Foods (Consumer Goods)

Key Highlights: Announced in May plans to purchase a 60% stake in UK’s Weetabix breakfast cereal brand for $1.9 billion.

#7 Li Ning (Athletic Apparel)

Key Highlights: Re-entered the United States with e-commerce model through Digital Li Ning. Signed high-profile endorsements including NBA star Dwayne Wade.

#8 Haier (Home Appliances)

Key Highlights: In November 2012, Haier obtained a more than 90% share in New Zealand’s Fisher &Paykel Appliances.

#9 Shandong Heavy (Diversified Industrial)

Key Highlights: State-owned Shandong Heavy, best known for its bulldozer production, purchased a 75% stake in Italian luxury yacht-maker Ferretti for $228 million in January 2012.

#10 ZTE (Telecommunications)

Key Highlights: Announced that it would invest $30 million in the U.S. to demonstrate its long-term commitment to the market.

#11 Tencent (Online Gaming)

Key Highlights: Acquired 49% stake in Singapore’s Level-Up for $27 million following its 2011 acquisition of U.S.-based Rio Games for $400 million.

#12 Alibaba (E-Commerce)

Key Highlights: Alibaba is in the business of international e-business. It is actively signing strategic agreements to make it easier for small and medium-size corporations around the world to conduct business on Alibaba.com. For example, it most recently signed a strategic agreement to make it easier for Pakistani businesses use its Alibaba.com platform.

#13 Geely (Automotive)

Key Highlights: In December 2012, Geely gained access to Volvo car technology through agreement. The company was also reportedly interested in buying a stake in Aston Martin, which it later denied.



Joel Backaler (@joelbackaler) is a director at Frontier Strategy Group. A fluent Mandarin-speaker and former Fulbright scholar, Backaler writes extensively on the topic of Chinese firms’ growing influence beyond the walls of the Middle Kingdom.

 

[tonyget]

Chinese companies may have monopoly on local market, but they are non existent on the INTERNATIONAL market. Your protectionism hinders your ability to go expand globally because you are afraid to compete.

You mean like how US government using anti-dumping law protect local solar panel manufacturer ?

 

[libertad]

You mean like how US government using anti-dumping law protect local solar panel manufacturer ?

I agree we have protectionism too. We also have protection against cheaper Chinese steel which sucks for us. Protectionism is bad and i hate when we do it as well.

.....

How many of those are subsidised by the government?

 

[xunzi]

How many of those are subsidised by the government?

0

Even China Minister of MOD would not interfere to this topic.
So you think you are China Minister of MOD ?

Stick to the topic. That's better.

China may think that they learn enough from Western and Japan, now it's their turn.

They can leave or bring their troop over and fight us. We welcome both. We make it easy for our friend to decide.

 

[Aepsilons]

Japan Defense Shares Beats National Benchmark as Abe Beefs Up Military: Chart


Defense-related shares in Japan beat the national benchmark and U.S. peers since Prime Minister Shinzo Abe came to power and embarked on a policy to strengthen the military and lower barriers to arms exports.

The CHART OF THE DAY tracks defense gauges for Japanese, American and European equities and counterpart geographic benchmarks normalized from Dec. 14, 2012, just before Abe led an election victory, through Aug. 18. Goldman Sachs’s new Japan defense measure of 20 companies was the biggest gainer at 72 percent, with the Topix index next at 60 percent. In each pairing, the aerospace-military group beat the broader index, which also included the Standard & Poor’s 500 and FTSE Eurotop 100.

“Since we expect the defense theme to become a long-term secular theme in the Japanese market, we see scope for improved relative performance ahead for related stocks,” Goldman Sachs analysts led by Chief Japan Equity Strategist Kathy Matsui said last week in a research note to unveil the gauge. Mitsubishi Heavy Industries Ltd., Kawasaki Heavy Industries Ltd. and Toshiba Corp. are among the component stocks.

Boosting Japan’s military capabilities has been one of the focuses of the Abe government, amid a territorial dispute with an increasingly assertive China. In 2013 Abe increased the defense budget for the first time in 11 years, and this year relaxed an effective ban on defense exports. Even with the changes, defense spending will account for less than 1 percent of gross domestic product, compared with 4 percent in the U.S. and 1.3 percent in China, according to estimates by Japan’s Ministry of Defense.


Photographer: Yuriko Nakao/Bloomb
National Defense Academy of Japan (NDA) cadets dismantle and reassemble rifles during a... Read More

That change “should provide Japanese firms with the opportunity to jointly develop defense technologies and manufacture equipment, as well as boost defense-related exports over time,” the Goldman analysts wrote. Abe’s cabinet also passed a resolution reinterpreting the constitution to allow Japan to defend other countries.

“The challenge for investors is implementation since individual company defense exposures are relatively small” compared with U.S. and European counterparts, Goldman said in the report. About 13.5 percent of Mitsubishi Heavy’s revenue in the first half of calendar 2014 was categorized as defense/space products and services, data compiled by Bloomberg show.



Japan Defense Shares Beats National Benchmark as Abe Beefs Up Military: Chart - Bloomberg

 

[Aepsilons]

Equities investment boom spurs demand for bankers in Japan


TOKYO —

Financial institutions located in Japan continue to aggressively seek bilingual, junior to mid-level banking professionals, says recruiting company Hays in Japan.

According to the recruiter, jobs have been created for junior equity analysts, banking operations staff, internal controls specialists, regulatory reporting professionals and research analysts.

“We are seeing demand for these professionals across every domain in financial services,” says Jonathan Sampson, Regional Director of Hays in Japan. “Japanese equities posted a 57% gain in 2013 and there is potential for further share price increases as the policies of Prime Minister Shinzo Abe aim to boost economic growth.

“The demand is so high that it is not uncommon to see firms consider middle or back office professionals to be trained and hired into front office roles. In general, the trend has been to allow for a lot more flexibility as it is an extremely candidate short market.”

Equity professionals have been in increasing demand due to the more active stock market in Japan and the GPIF’s (Government Pension Investment Fund) recent announcement that it will adjust its asset allocation to increase the amount of money invested in both Japanese and foreign equities. This is significant as it is the world’s largest pool of retirement savings.

“Many asset management firms see the value in investing in equities and are trying to add junior talent who can grow into sophisticated fund managers in the future,” says Sampson. “We have seen an increase in roles within settlements for both foreign and Japanese equities. Furthermore, due to a pick up in mergers and renewals project work, the data management and client on-boarding function has seen a sharp increase in activity, creating demand for staff.”

According to Hays, internal controls continues to be the main area of focus within financial services this year. There is strong demand for equity focused professionals in compliance as well as a continued demand for junior candidates in audit.

“For the next couple of months we predict higher activity within hedge fund and asset management internal controls, specifically for compliance officers who have experience obtaining business licenses from the FSA,” says Sampson.

Banks are also looking for junior bilingual candidates to support their various equity/fixed income/coverage research teams. “These research analysts need strong quantitative and qualitative skills, sound economic understanding, an ability to create and read financial statements and models, and strong communication skills,” says Sampson. “These skills are needed in order to support senior analysts and relay vital information on stocks and market trends to traders and fund managers.”


Equities investment boom spurs demand for bankers in Japan ‹ Japan Today: Japan News and Discussion

 

[TaiShang]

How many of those are subsidised by the government?

I wish all of them. But none of them.

Read on:

Why Should Taxpayers Give Big Banks $83 Billion a Year?

The top five banks -- JPMorgan, Bank of America Corp., Citigroup Inc., Wells Fargo & Co. and Goldman Sachs Group Inc. - - account for $64 billion of the total subsidy, an amount roughly equal to their typical annual profits (see tables for data on individual banks). In other words, the banks occupying the commanding heights of the U.S. financial industry -- with almost $9 trillion in assets, more than half the size of the U.S. economy -- would just about break even in the absence of corporate welfare. In large part, the profits they report are essentially transfers from taxpayers to their shareholders.

China finds that U.S. automakers received unfair subsidies
Auto News

That sounds like great news for automakers and the blue-collar workforces who build those vehicles, but China's Commerce Ministry says that some of the American vehicles benefited from unfair subsidies. The ministry issued a statement that U.S. automakers that produce sedans and utility vehicles of 2.5 liters and larger "engaged in dumping and were given subsidies." The term "dumping" details an instance where an automaker will "dump" overflow capacity into another country, which in turns hurts that country's local auto industry. China also alleges that the vehicles in question were given subsidies by by the federal government and the state of Michigan. General Motors, Chrysler and U.S.-built BMW and Mercedes-Benz models were among those cited in the statement.