After anxious years during the recession, it is always a welcome relief when some bright spots in the world economy happen. China’s economy surprised many with better than expected manufacturing numbers. With the slowdown in Europe and sluggish economies in other major export markets, many were not optimistic about China’s capacity to continue relying on manufacturing as their catalyst for growth.

China's Bird's Nest Stadium

There were also concerns that most of the growth have come from investments especially in real estate. However, government moves to reduce the amount of risk-taking in real estate have worked well in bringing housing prices down. According to a report on The Economist, new home prices have fell in 52 of 70 cities in China.

Ken Peng, an economist at BNP Paribas says, “Today’s data [on manufacturing] further confirmed a soft-landing for China. However, consumer demand may weaken after holiday effects disappear.”

If you are currently an importer from China, let this piece of good news reassure you that the economic Armageddon is not as close as we thought it might be. ChinaDirect Sourcing offers you the opportunity to find the right suppliers and learn how to deal with them effectively. This February, come to our “Doing Business in China” workshop and see how you can save millions in your import transactions. You can also learn how to protect your intellectual property through our supplier agreements that can help you ward off possible theft. So sign up now and see what a whole world of difference ChinaDirect Sourcing can do for your company.

As you may have guessed, it’s China. In some recent interviews to promote his newly released book, Jim O’Neill, Chairman of Goldman Sachs Asset Management and an economist more known for coining the term BRICs economies, said that China will be the main driver of the world economy. The world should now pin its hopes on China.

O’Neill is one of the analysts who feel confident about the world economy. With the current concerns in Europe, it’s often overlooked that China and the other emerging economies are in and by themselves growth centers that can keep the world economy from spiraling into another major recession. According to him, the world can survive a Greek default primarily on the back of growth in emerging economies, especially China. O’Neill predicts China will grow consistently during this decade by about 7.5% annually.
Exactly how big is China, and what makes it capable of neutralizing a possible Greek default? O’Neill says China creates economies the size of Greece every four months. He added that China’s political structure has enabled it to control inflation and avert a property bubble, because of its greater flexibility in adjusting its economic policies. The recent changes and the better than expected growth results in China in spite of the European morass, can mean the government might even have the capacity to begin some kind of stimulus. The predictions of a hard landing for China have not held water. If China, according to O’Neill grows at the pace he predicts to be at 7.5% annual GDP, its economy will be bigger than Europe and the US combined by the end of the decade.
The current worries heard from many analysts are in the Italian and Japanese economies. Italy is a concern because of the size of its economy and debt, while Japan struggles with an overvalued Yen.
So how important is China for the global economy? Let’s just pray that China and the other emerging economies and some of the healthier developed economies continue to flex their muscles for the remainder of this decade.
As an importer, you can also be part of a group that continues to experience growth in spite of the lingering uncertainties. Lindy Chen and her team of experts invite you this February to a workshop that will open your eyes to the possibilities of importing and saving your company millions of dollars. Ms. Chen will teach you how you can improve your importing procedures and introduce you to the best ways you can deal with your Chinese suppliers. Treasure is found by those who seek it. Come to the February 9th edition of “Doing Business in China,” and see how Lindy Chen and her ChinaDirect Sourcing team can help your bottom line.

Here’s the interview with Jim O’Neill:

A famous analyst once said that the only thing China needs to remain politically stable is prosperity among its people. With the Arab spring and the power that social networking sites have in galvanizing dissent, the key to keeping China from descending into chaos in the next decade is prosperity. In other words, the Chinese want prosperity more than freedom. In welcoming a new lunar year, traditions practiced by both the mainland and overseas Chinese, clearly show the people’s desire for upward mobility. The quest for prosperity underlies many of the traditions that celebrate the start of another year.
The most commonly observed tradition is the giving and eating of a glutinous rice cake called nian gao. Nian gao is actually a homonym for higher year. “Nian” means sticky and it sounds like the word, “year” in Chinese, while “gao” means cake and is pronounced exactly the same as the word high. So the phrase has a double meaning symbolizing a yearly improvement or climbing higher every year.

Other traditions include giving away of “hong bao” which literally means, red envelope. These are cash gifts wrapped in special red envelopes. Family and friends come together during this time dressed in beautiful clothes.
According to Catherine Harris, the custom among New Zealand’s Chinese residents is to wear red and to start cleaning up accounts by paying off debts. Red is for good luck and clearing up accounts is believed to be a good start for the new year. The year of the dragon has traditionally been considered good for business. An official at the New Zealand China Trade Association believes that the dragon year will be the first of three years of major positive changes. The official mentions an old saying, “In the spirit of the dragon horse.” This meant that the luck of the dragon will continue on through the following years of the snake and horse.
This article was brought to you by ChinaDirect Sourcing. Start the year of the dragon right by focusing your resources on your core business. Let Ms. Lindy Chen and her CDS team take care of your importing needs. You can start by joining her on February 9 for CDS’s Brisbane edition of “Doing Business in China.” This will be the first in 2012. Be a witness to all the updates for this year of the dragon. So hurry! Book now and see what 2012 has to offer your importing business!

Was it a rock star?  Obama?  Nope!  It was just the iPhone 4S. Yes, the Chinese, like their American counterparts seem to have a extreme liking for Apple products.

According to recent news reported on NBC news, things can go out of control in these widely anticipated sales. The introduction of the iPhone 4S in Beijing was a case in point. Perhaps even an extreme case.

Fearful of a repeat of the riots that happened in the launch of the iPad 2, Apple store officials decided not to let a hoard of buyers into their store on the pre-announced day of initial sales for the iPhone 4S. It turns out that many of these buyers are actually hired by scalpers who resell Apple products at a handsome markup. These scalpers need to hire people to circumvent the Apple rule that each buyer is only entitled to buy 2 iPhones.

Well, the results were eggs being thrown and security personnel being hurt. The people outside felt betrayed. “Yes it’s expensive. I spent a whole month’s salary to buy an iPhone 4S. It’s just so cool!” says one (NBC).

Do the Chinese love their iPhones? Well…

Perhaps what these people also know is that some of the parts inside the iPhone may yet be one of the products that China exports to Apple. China is not just a leading exporter of merchandise, but also intermediate components that make up many of our electronic devices.

If you have a product that you’ve worked hard developing but are afraid of your supplier stealing your intellectual property, ChinaDirect Sourcing offers you the peace of mind you’ve been looking for. To catch a glimpse of what ChinaDirect can offer, here’s an open invitation for you to join this February’s, “Doing Business in China” workshop. This could mean thousands and even millions of dollars saved by you or your company, simply by protecting you from intellectual property theft.

You can also learn more about the Chinese business culture, the way the importing process can be made more cost efficient, and many other ideas that can set you on your way to importing more effectively. Lindy and her team and experts will be very happy to welcome you there. See you!

In a recent article by Emma Reynolds, research studies were cited that some of the worst crises that have happened in recent history have coincided with the building of skyscrapers.

The Petronas Towers in Malaysia

Here are some examples from history and even current ones:

The Petronas Towers in Malaysia was built in 1998, just when the Asian financial crisis began.

The Empire State Building was built during the Great Depression.

The Burj Khalifa in Dubai, 2010. We all know what happened.

A Barclays Capital analyst attributes this to “a widespread misallocation of capital and an impending economic correction.”

There also are fears of China being one of the dominos that have yet to fall because of such improprieties in capital allocation. In London, any surprise that The Shard, the tallest building in Western Europe, is now near its completion?

So the next time you want to show off your prescience to your friends, just look up to the skyline of your city. You might be able to earn a living being an economic analyst!

This article was brought to you by ChinaDirect Sourcing, Australia’s leading name in import consultancy.

As managing director, Ms. Lindy Chen would like to invite you to her first “Doing Business in China” workshop this February 9, 2012. If you have been reading this article, you must be one of many who have been frustrated with missed deliveries and stolen intellectual property from your dealings with some import brokers. ChinaDirect is the clear alternative to your importing needs. Attend this February event and find out how Ms. Chen and her team of experts can help you solve your problems. See you there!