[newbrunswick]NEWSBRIEFS.docx

[new brunswick]NEWSBRIEFSChinesemilkcompaniestoget$4.9binsubsidiesChinesemilkpowdermakersaresettoreceiveUS$4.9billioningovernmentsubsidiestosupportsectorconsolidation，Reutersreported.YiliIndustrialGroup（600887.SZE），ChinaMengniuDairy（2319.HKG），FeiheInternational（ADY.NYSE），andHeilongjiangWondersunDairywillallbenefitfromthesubsidies.ThegovernmentwantstheChinesemilkpowdersectortogrowinordertocompetewithinternationalrivals.ImportedbrandssuchasDanone（BN.EPA）andNestle（NESN.VX）sawtheirmarketsharegrowduetoamilkscandalin2008wheremilkpowderthatwastaintedwithmelaminekilledsixinfantsandmademanymoreseriouslyill.Sino-EUtalkstoopendoortofree-tradepactTheEuropeanUnionispreparingtoholdtalkswithChinaoneasingbusinessrelations，leavingroomtodiscussafreetradepact，Reutersreported，citingEUofficials.BrusselsandBeijingwanttoencouragebillionsofeurosofnewinvestmentbetweentheEUandChina.Lastyear，theEUbecameChina’sbiggesttradepartnerwithtradebetweenthetwoeconomiesgrowingtoUS$580billion.Bilateraltradehasdoubledsince2003tooverUS$1.3billionperdaybutChinareceivesjust2%oftheEU’sinvestmentabroad.ChinaraisesholdingsofUSmortgagebondsChinaremainsthebiggestforeignbuyerofUSdebtandincreaseditsholdingsofUSgovernmentagencydebtandmortgage-backedsecuritiesinJuly，TheWallStreetJournalreported，citingdatafromtheUSTreasuryDepartment.ThepurchasesbrokethepreviousbuyoutrecordofUS$16.9billioninApril，andarethelatestsignthecountryhasn’tsteppedawayfromfundingtheUS，analystssaid.ChinawasanetbuyeroftreasurynotesandbondsinMayandJunewhenmanyotherinvestorscutbacktheirholdingsamidsignsthattheFederalReservecouldreduceitsbondpurchases.ChinaannouncesnewelectriccarsubsidyprogramChinaisintroducinganewroundofsubsidiesforfuel-efficientvehiclesaspartofitseffortstocurbpollution，Bloombergreported.ThecentralgovernmentwillprovideasmuchasUS$9，800towardthepurchaseofanall-electricpassengervehicleandasmuchasUS$81，600foranelectricbus，accordingtoajointstatementbytheNationalDevelopmentandReformCommissionandfinance，scienceandindustryministries.Fuel-cellvehicles，whicharepoweredbyhydrogen，wereincludedforthefirsttimeintheplanbutsubsidiesforhybridcarswereincludedonlyinaseparateplanwithfarlowerincentives.　　Chinaearmarks$13bon2013energydevelopmentChinaplanstospendUS$13.07billiononoilandgasexplorationthisyearinordertosecurefuturesupply，Reutersreported，citingstatemedia.OilandgasinvestmentinChinahasrisenfromUS$3.1billionin2002toUS$11billionin2011，theofficialXinhuanewsagencysaid.Morethan5billiontonsofpetroleumreservesand2.6trillioncubicmetersofnaturalgaswerediscoveredbetween2008and2011.Astheworld’sbiggestenergyconsumingcountry，Chinahaspromisedtocutitsgrowingdependenceonoverseasoilandgassupplies.ChinaopensdoortosixforeignhedgefundsChineseregulatorshaveapprovedatrialprograminShanghaitoallowforeignhedgefundstoraiseyuanfromdomesticinstitutionsforforeigninvestment，TheWallStreetJournalreported.EachhedgefundwillbeallowedtoaccumulateuptoUS$50millionworthofyuaninChina.Despiteitbeingfarsmallerthanasimilarprogramsetupin2006fordomesticinvestors，theprogramhassignificanceasChina’sleadershavepledgedtomoveawayfromacommandeconomy.HubertTse，apartnerattheShanghai-basedlawfirmBoss&Youngsaid：“Thisisaverygroundbreakingdevelopment，regardlessoftheinitialsizeofthispilotprogram.”Chinaeyesaseatat$4tnglobalservicetalksChinaislookingtogetinontalksthatwillrewritetherulesfortheUS$4trillionglobaltradeinservices，FinancialTimesreported.TheUS，theEUandalmosttwodozenothercountrieslastyearlaunchedtalkstowardsanewTradeinServicesAgreement，orTiSA，whichcoversabout70%ofglobaltradeinservices.MeetingsbetweenUSandChineseofficialshavetakenplacerecentlyanditisunclearwhethertheUSwould，orcould，blockChinafromtakingpart.ChinahasalsoheldtalkswiththeEU，saidpeopleclosetothenegotiations.ZhejiangcityselectedaspilotforlandreformChinesegovernmentofficialshavedesignatedHaining，acityinChina’scoastalZhejiangprovince，asapilotforreformthatwouldallowforeasiersalesofcollectivelyownedruralland，SouthChinaMorningPostreported.Thecityisawaitingfinalapprovaltopromulgateaseriesof“groundbreaking”policies，whichofficialsdescribedasa“powerfulweapon”tospureconomicgrowth.Accordingtoofficialswithknowledgeofthereform，rurallandforresidentialuseinHainingwouldhitthepropertymarketandallowlocalfarmerstosellhousestodevelopersorurbanresidentsfreelyaspartofanurbanizationdrive.。