W.T.O. Upholds Tariffs on Tires From China

Last year the Obama administration imposed tariffs of up to 35% on tires from China, arguing that the surge in imports had threatened domestic manufacturing.  China's ascession agreement into the WTO included a special safeguard section that allows the U.S. to make this argument, and this case marks the first time the U.S. has invoked this section of the WTO agreement.  Unlike traditional antidumping case, the U.S. only had to demonstrate that U.S. companies suffered "market disruption" from imports.  This week, a WTO dispute resolution panel ruled that the U.S. tire tariffs were legitimate and legal.  China vows to appeal the ruling.


W.T.O. Upholds Tariffs on Tires From China - NYTimes.com

U.S., S. Korea reach deal on auto trade Ford will back - Drive On: A conversation about the cars and trucks we drive

While Korean automakers are selling hundreds of thousands of cars in the U.S., U.S. automakers aren't experiencing nearly the same level of success in South Korea, where Korean brands dominate more than 97% of the domestic market.  This has long been a sore point for U.S. automakers and unions, who argue that the U.S. market is too open for Korean exports while the Korean market remains relatively close.  The proposed U.S.-Korea Free Trade Agreement may solve these problems, and negotiators have come to agreement on a key number of points that may see more U.S. cars in South Korea soon.

U.S., S. Korea reach deal on auto trade Ford will back - Drive On: A conversation about the cars and trucks we drive - USATODAY.com

Euro Zone Is Imperiled by North-South Divide

When economies run into trouble and start slowing down, governments often turn to devaluing their currencies to make exports cheaper, and therefore more competitive.  The U.S. is in effect doing this now, by printing more money and engage in quantitative easing, driving down the value of the U.S. dollar worldwide.  In the Euro zone, however, individual countries do not control the value of the Euro.  The Euro zone makes sense when countries have similar economic profiles, but recently economists have realized that southern European countries like Portugal, Spain and Greece have uncompetitive economies, with high social benefit costs, high budget deficits, and high wages.  Unlike bigger and more competitive economies in France and Germany, however, they lack strict work habits, innovation, and suffer from inefficient labor markets and tax systems.  This divide is causing a crisis in the Euro zone, a crisis some believe may result in the ultimate embarrassment: the abandonment of the Euro experiment altogether.
 
Euro Zone Is Imperiled by North-South Divide - NYTimes.com

Sri Lankan Accountants Attract Global Outsourcers

War-torn Sri Lanka has 10,000 certified accountants, with another 30,000 in training.  Outsourced accounting offices in Sri Lanka are doing work for global giants including HSBC.  A U.S. CPA makes $59,430 while a Sri Lankan CPA makes $5900, making their work both affordable and high quality. 

Sri Lankan Accountants Attract Global Outsourcers - NYTimes.com

Fiji Water to Leave Fiji

Fiji Water, makers of high-end bottled water from the Pacific island of Fiji, is a privately held company owned by a billionaire couple from California, the Resnicks, who also own POM Wonderful and a few other well-known brands.  Fiji Water is often criticized for the huge expense and energy cost of shipping empty containers to Fiji to fill up with water and then shipping it around the world to affluent consumers.  Fiji Water, on the other hand, argues that its operations create jobs for hundreds of Fijians who would otherwise be unemployed.  Fiji underwent a military coup in 2006 and is now widely viewed as a state in decline with a dictator in charge.  The country recently announced it was increasing the "extraction tax" on water from 1/3 of a Fijian cent to 15 cents a liter.  The company has responded by announcing that it will shut down its operations and pull out of Fiji, demonstrating that human rights abuses and a military dictatorship aren't enough to stop business, but an export tax will do it.

Fiji Water to Leave Fiji - TIME NewsFeed

Wal-Mart International Chief McMillon Seeking Growth in China, Brazil

Wal-Mart, the world's largest retailer, sees more opportunity in emerging markets than in Europe, according to the company's International CEO, Doug McMillon.  At the top of the list is China, followed by Brazil.  The company is looking overseas for growth as sales in the U.S. stagnate and slow down.  Wal-Mart operates 4100 stores in 41 countries outside the U.S., with annual sales topping $100 billion.  Its most recent entry is to purchase 51 percent of South Africa's Massmart for approximately $2.3 billion, stopping short of buying the entire company due to objections from local unions.  Hit the link below for a video interview with McMillon in which he explains the company's international expansion strategy.

Wal-Mart's McMillon Interview - Video - Bloomberg

China’s Censorship Backfires in ‘Li Gang’ Case

In late October this year, a college student named Chen Xiaofeng was inline skating with a friend on the campus of China's Hebei University.  A VW sedan, driven by a drunk driver, struck them head on, killing Chen.  The driver tried to speed away, but was stopped by security guards.  "My father is Li Gang!" he yelled at them.  Li Gang is the Deputy Police Chief in the Beishi district of Baoding.  When the Communist Party tried to suppress the story for fear of populist reaction to the son of a high-ranking official being given favored treatment, the opposite happened on the Internet.  Soon, the driver was arrested and the phrase "My father is Li Gang" has become a mocking catchphrase.

China’s Censorship Backfires in ‘Li Gang’ Case - NYTimes.com

Japan’s Farmers Oppose Pacific Free-Trade Talks

Japan maintains a 777% tariff on imported rice, as well 252% on wheat, 360% on butter, 320% on sugar, and 38.5% on beef.  As a result, Japanese consumers have to pay some of the highest prices in the world for basic foods.  Now, Japanese industry groups are urging the government to reduce tariffs in return for greater market access to big economies such as the U.S.  Japanese farmers, however, are terrified that dismantling the tariffs will lead them to ruin.

Japan’s Farmers Oppose Pacific Free-Trade Talks - NYTimes.com

Chinese Build 15-Story Hotel In Just Six Days, Rest On Seventh

Chinese Build 15-Story Hotel In Just Six Days, Rest On Seventh

Gap Joins a Retailer Rush to the Chinese Market

With sales in the U.S. sluggish, Gap Inc. is setting its sights on China's fast-growing consumer market, opening a flagship store in Shanghai today.  The company expects to open Old Navy and Banana Republic stores in the future.

Gap Joins a Retailer Rush to the Chinese Market - NYTimes.com

Free-Trade Pact With South Korea Still Not Finished

At the G20 summit meeting in Seoul, President Obama failed to reach an agreement with South Korea over the last two sticking points in a proposed US-Korea Free Trade Agreement.  The sticking points are autos and beef, both of which face a tough time in the Korean market.  Both sides have set themselves a deadline of weeks (not months) to finalize a deal that may mean better market access for Ford to the South Korean market.

Free-Trade Pact With South Korea Still Not Finished - NYTimes.com

Cotton Clothing Price Tags to Rise

Get ready to pay a lot more for T-shirts and jeans.  Flooding in Pakistan and bad weather in India and China means that there is a worldwide shortage in cotton.  This shortage recently led to a record high price for cotton, meaning that everyone in cotton's supply chain, from farmers to processors to manufacturers to retailers, are going to raise prices soon.

Cotton Clothing Price Tags to Rise - NYTimes.com

India’s Soaring Currency Attracts Foreign Investors, but Exports Suffer

The Indian rupee has climbed 9% against the dollar in the last 16 months.  That has taken a toll on a key Indian export -- textiles -- because it makes exporting more expensive.  Instead of fighting the appreciation like Brazil, however, India is letting the currency strengthen for now.  A stronger currency is helping the country to develop a modern consumer economy, and is fueling a boom in inward investment from giant shopping malls to new car dealerships.

India’s Soaring Currency Attracts Foreign Investors, but Exports Suffer

Once Banned, Dogs Reflect China’s Rise

Twenty years ago, there were hardly any dogs in Beijing. In the communist era, dogs were likely to be herders, guards, or meals, rather than companions. China's rapid globalization and increasing wealth, however, means that dogs are common these days, and increasingly pampered.

Once Banned, Dogs Reflect China’s Rise - NYTimes.com

Aviation World at Odds Over Loans for Aircraft

This week, negotiators from the U.S., E.U., Japan and Brazil are meeting to discuss the sensitive topic of how airliner sales should be financed and how much government assistance should be permitted to state-owned airlines in buying new aircraft.  Under a current "home-market" rule, airlines based in the U.S., France, Germany, Britain and Spain cannot use government loans to help them buy aircraft.  That may change under a new agreement.

Aviation World at Odds Over Loans for Aircraft - NYTimes.com

The Simpsons

In response to allegations that The Simpsons outsources most of its animation to a company in South Korea, UK graffiti artist Banksy created this controversial opening sequence for the show last week.



YouTube - Simpsons: "- Sent using Google Toolbar"

Jili Journal - Silk Craft Fades in Village That Clothed Emperors

The Chinese village of Jili was once known throughout the world as a producer of extremely high quality silk.  Using traditional methods of sericulture, villagers produced silk for emperors and royalty everywhere.  Now, industrialization means most silk is produced in factories.  Environmental degradation means the water in Jili is no longer clean enough for sericulture.  And higher wages in booming cities elsewhere means there are no longer any young people willing to learn the craft of silkmaking in Jili.  Within a few years, the town will probably close its last silk mill, as the NY Times reports.

Jili Journal - Silk Craft Fades in Village That Clothed Emperors - NYTimes.com

Singapore Casino Experiment Pays Off

Singapore Casino Experiment Pays Off - WSJ.com

Rampant Fraud Threat to China’s Brisk Ascent

From students who cheat on college entrance exams to pilots who fake their flying credentials to dairy companies that sell poisoned infant milk to scholars who promote fake or unoriginal research, rampant fraud is beginning to emerge in China. Fang Shimin (above), exposes academic fraud on his website, New Threads. He has exposed more than 900 cases of fakery, some involving university presidents and nationally known researchers.

Rampant Fraud Threat to China’s Brisk Ascent - NYTimes.com

China's Car Economy Revs Up

China has built more than 30,000 miles of expressways in the last decade.  Auto sales were up 46% last year to 13.6 million vehicles, and there are expected to be 200 million vehicles on the road by 2020.  Business models that started in the U.S. fifty years ago to capitalize on this new car culture are taking off in China.  From McDonald's drive-in's (there are currently 105 with 100 more planned for each of the next three years) to suburban strip malls to big box retailers to hotels to tourism to parking lots to commercial radio stations, the domestic car culture is driving big investment -- and big profit potential -- for these industries.

China's Car Economy Revs Up - WSJ.com

Yum Brands Raises Profit Outlook, Helped by China

Faced with a mature market and slow growth in the U.S., Kentucky-based Yum Foods (which owns the Taco Bell, KFC and Pizza Hut brands) has looked to China to propel new profits.  That strategy is paying off, with the company reporting a 6% jump in revenue in China, compared to only 1% in the U.S.

Yum Brands Raises Profit Outlook, Helped by China - WSJ.com

In Vietnam, Politburo Tries 'Friending'

In communist Vietnam, the authoritarian government clings to tight control of the media and squashes dissent even while the economy is allowed to flourish under relatively free enterprise rules.  The rise of social media sites like Facebook and Twitter has the government worried about subversives, so the government has launched its own social media site, go.vn, with many features that would look familiar to a Facebook user.  The big difference?  Pre-registration with a person's real name and government-issued ID number, as well as government monitors who closely read what's posted online.

In Vietnam, Politburo Tries 'Friending' - WSJ.com

Volkswagen Aims At Fast Lane in U.S.

German automaker Volkswagen says it wants to overthrow Toyota to become the world's biggest carmaker.  In order to do that, it has to do something to improve its sales in the U.S., which at 2.2% market share are behind even Kia.  Now, VW says it's about to do something it's never done before -- tailor its cars for mainstream American driving tastes.

Volkswagen Aims At Fast Lane in U.S. - WSJ.com

Philippine Low Cost Carrier Jazzes Up Inflight Safety Demo to Lady Gaga

A Thai Region Where Husbands Are Imported

A Thai Region Where Husbands Are Imported - NYTimes.com

Free donuts as Krispy Kreme opens in Bangkok

Above, shoppers line up at Siam Paragon yesterday as Krispy Kreme opened its first outlet in Thailand.

Free donuts as Krispy Kreme opens in Bangkok | CNNGo.com

Medical Tourism Recovering in Thailand

Medical Tourism Recovering in Thailand - CNBC.com

Captain's Release Sparks Furor in Japan

The Chinese boat captain captured by Japan and arrested for being in territorial waters claimed by Japan has been released after China began to withhold exports of rare earth minerals to Japan late last week.  That has sparked a furor in Japan, where many Japanese citizens believe the government caved in to China.  Now, China is demanding an apology and compensation from Japan, something Japan has flatly denied it will do.  Japan in turn is seeing compensation from China for damage caused to its naval vessels during the incident.  Above, protesters rally in Hong Kong with signs saying "Japan Get Out."

Captain's Release Sparks Furor in Japan - WSJ.com

China Imposes a Steep Tariff on U.S. Poultry

A year ago, President Obama imposed a stiff tariff on tires from China in an antidumping case. Less than two days later, the Chinese began an investigation into whether the United States harmed China's poultry industry by exporting chicken parts for less than it cost to produce them. Now, China has decided to impose tariffs on American poultry of up to 105.4%. The United States exports about $4 billion a year of chicken products, of which $678.2 million went to China last year. It is one of the few industries in which the U.S. maintains a positive trade balance with China.

China Imposes a Steep Tariff on U.S. Poultry - NYTimes.com

Top Executives Find It Pays to Spend Time in Asia

Kasper Rorsted, CEO of German company Henkel (above), just spent nearly six weeks working in Asia, an unusually long time away from headquarters for a CEO.  His trip spanned 9 countries and involved nearly 100 meetings.  The company makes 14 percent of its sales and 20 percent of its profits in Asia Pacific, and nearly 20 percent of its employees are based in the region with that number poised to grow to one-third in the coming years.  Many companies are now considering moving headquarters to Asia, or splitting their headquarters to include a "co-HQ" in Asia.  Once Cisco executive puts it this way: after changes in trade, manufacturing, development and research, "the next phase of globalization will be the decentralization of headquarters functions."

Top Executives Find It Pays to Spend Time in Asia - NYTimes.com: "- Sent using Google Toolbar"

One-on-One With Thailand's PM

Thailand's economy is one of the best performing in Asia, as this video demonstrates.

One-on-One With Thailand's PM - CNBC.com: "- Sent using Google Toolbar"

Thai Property Fundamentals Very Sound

Thai Property Fundamentals Very Sound - CNBC.com

China's Premier Threatens Japan Over Boat Dispute

Japan's arrest of a Chinese fisherman in disputed waters is causing a major rift between China and Japan. For the Chinese, this is a chance to show domination over a former invader. For Japan, it's a chance to stand up to a growing power. For the U.S., it's a chance to countervail China's growing influence in the region. No resolution is in sight.

China's Premier Threatens Japan Over Boat Dispute : NPR

Ikea Expects to Double Buying of Goods in India

Swedish furniture giant Ikea is privately held, which means it does not have to worry about declaring dividends to shareholders.  As such, its strategy is driven by long term growth, not short term profits.  The company therefore adheres to a management style that is not always the norm.  For example, Ikea will not form joint ventures even if local law requires it.  This week, Ikea CEO Mikael Ohlsson (above) announced IKEA is scrapping plans to open stores in India because of the local requirement that foreign retailers partner with an Indian partner and own a maximum of 51% of the Indian operation.  In spite of that, Ikea plans to spend about 1 Billion Euros in the next three to four years on Indian suppliers, mainly in textiles and fabrics.

Ikea Expects to Double Buying of Goods in India -- NY Times.com

Toiling Far From Home for Philippine Dreams

The town of Mabini, in the Philippines, is filled with large new homes much more luxurious than standard Filipino homes.  They are largely unoccupied, built by the 15% of the town's citizens who are OFWs -- Overseas Filipino Workers.  Working mainly as maids, nurses or service workers, these Filipinos return money to the Philippines as remittances, which rose from $7.6 billion in 2003 to $17.3 billion in 2009.  These payments now account for more than 10% of Phillipines' GDP and are the main factor driving the country's economic growth.

Toiling Far From Home for Philippine Dreams - NYTimes.com

U.S. Steps Up Criticism of China’s Practices

China spends $1 billion a day to maintain the value of its currency against the US Dollar.  By buying its own currency, it artificially maintains the currency at around 6.7 RMB to the USD, allowing its exporters an advantage in important foreign markets.  Now, the Obama administration, led by Treasury Secretary Tim Geithner (above), is stepping up attacks on China and its trade practices, including currency manipulation, theft of intellectual property, and continued market restrictions for U.S. products and services.

U.S. Steps Up Criticism of China’s Practices - NYTimes.com

A Thai City of Sleaze Tries to Clean Up

For years, Pattaya has been known as a sleazy, drug-infested town rife with prostitution and organized crime.  Now, the beachside town, only a two hour drive from Bangkok, is re-inventing itself as a family-friendly resort with luxury hotels, shopping malls, fancy restaurants, and polo tournaments.

A Thai City of Sleaze Tries to Clean Up - NYTimes.com

Boeing Received Illegal Aid, WTO Says

A preliminary report by a WTO dispute panel ruled that Boeing received illegal aid from the federal government as well as Washington state.  Airbus is jumping on the report claiming that it vindicates their claim of illegal aid to Boeing, but Boeing and American officials are urging restraint until the report is made public
Boeing Received Illegal Aid, WTO Says - WSJ.com

Volvo's Big China Gamble

When Chinese car manufacturer Geely bought Swedish car manufacturer Volvo, it announced plans to expand the Volvo brand in China, where it is currently tiny (selling only 24,000 cars last year, in a market of over 13 million).  Yesterday, Geely group chairman Li Shufu revealed much more ambitious plans -- Volvo will build as many as three assembly plants in China, each capable of producing 100,000 cars a year, and all for sale in China.  This would cement Geely as one of China's largest auto makers, and may position the ambitious Chinese company for global growth.

Volvo's Big China Gamble - WSJ.com

EU Raises Tariffs on Wheels

At the urging of wheel manufacturers in Europe, the European Union has agreed to extend antidumping duties on aluminum wheels from China, and to raise those duties to more than 23%.  The move was fiercely opposed by car manufacturers like BMW and Volkswagen, who fear that their businesses in China may be affected by retaliation by the Chinese government.

EU Raises Tariffs on Wheels - WSJ.com

Cuba to Cut State Workers in Tilt Toward Free Market

More than 85% of Cuba's 5.5 million workers are employed by the communist state.  Now, in a recognition that this is a failed policy, the government has announced plans to lay off half a million workers and create hundreds of thousands of private sector jobs.  Up next: a recognition that private wealth is good?

Cuba to Cut State Workers in Tilt Toward Free Market - WSJ.com

Chinese Remake the ‘Made in Italy’ Fashion Label

Prato, Italy, is now home to Europe's largest concentration of Chinese.  In this city, in the heart of Tuscany, they work for over 3,200 companies making low-end clothes, shoes, and accessories, often with materials imported from China.  Their products get the exclusive "Made in Italy" label, and now Italians are growing resentful at how the Chinese are beating them at their own game.

Chinese Remake the ‘Made in Italy’ Fashion Label - NYTimes.com

Entrepreneurs Rise in Ashes of India’s Caste System

In India, the caste system has worked for decades to keep members of the lower caste from advancing.  That's changing in India's southern region, where entrepreneurship and the growth of high tech businesses has allowed people like Chezi Ganesan (above), to rise to riches.  In India's north, however, progress is much slower, as this NY Times report illustrates.

Entrepreneurs Rise in Ashes of India’s Caste System - NYTimes.com

A Very Curious IKEA UK Commercial

On Clean Energy, China Skirts Rules

China is now the world's leading producer of solar panels and other key technologies to implement Green Power (above, a wind turbine made in China being unloaded at the port in Los Angeles).  It got that way through heavy government subsidies such as free land grants and low interest loans.  Those measures are not WTO-compliant, and today a U.S. union filed a complaint with the Obama administration, forcing it to open an investigation into Chinese practices into growing its green manufacturing industry.

On Clean Energy, China Skirts Rules - NYTimes.com

Sweden Is A Better Place To Do Business Than The U.S. - Great Speculations - Buys, holds, and hopes - Forbes

The World Economic Forum has released its annual ranking of the world's top ten most competitive economies.  A couple years ago, the United States ranked #1, a position it has held for a long time.  Then last year Switzerland took the top spot, leaving the U.S. in the #2 position.  This year, Sweden and Singapore have taken over the United States, leaving the U.S. in the #4 position.

Sweden Is A Better Place To Do Business Than The U.S. - Great Speculations - Buys, holds, and hopes - Forbes

Maersk to Use Cleaner Fuel in Hong Kong Shipping

Hong Kong has a pollution problem.  Air pollution there regularly soars above the levels deemed safe for humans by the World Health Organization.  A major contributor to the problem is the city's proximity to deep sea ports, and the ships that dock there.  Container ships that dock in Hong Kong as well as other Asian cities use bunker fuel, a cheap fuel that is high in sulfur and nitrogen.  When the same ships traverse European shipping lanes, however, they have to use a far cleaner low-sulfur fuel.  Now, Maersk shipping lines is voluntarily adopting the use of low-sulfur fuel for all its ships that dock in Hong Kong port.  The move will cost the company $1 million a year, and already other companies have said they will follow suit.  The most interesting thing about this story is that the Hong Kong government had nothing to do with this move to clean up the air.  It dd, however, issue a statement that it welcomed the move.

Maersk to Use Cleaner Fuel in Hong Kong Shipping - nytimes.com

Lack of Security Leads Japanese to Seek 2nd Jobs

An interesting phenomenon is taking shape in Japan, long known as the land of lifelong job security.  The workplace is transforming, more companies are willing to let workers go, and salaries have stagnated or declined. As a result, more and more Japanese, such as Hiroko Yokogawa (above), are taking on second and third jobs.  In fact, a startling 17% of workers between 20 and 50 have a side job.
Lack of Security Leads Japanese to Seek 2nd Jobs - NYTimes.com

Red Shirts Test Thai Limits

Months after a deadly government crackdown on Thai protesters, the "Red Shirts" are regrouping and re-organizing.  This weekend, they held a rally in Pattaya that drew 4000 people and featured a telephone call from their leader, ousted former Prime Minister Thaksin Shinawatra.  Whether this means the Red Shirts will escalate their demands again or whether this is a limited display remains to be seen.  One thing's for sure -- efforts at healing and reconciliation in Thailand will remain slow and measured.

Red Shirts Test Thai Limits - WSJ.com

Hon Hai Looks to China's Interior

If you've never heard of Hon Hai before, you should. Hon Hai is the world's biggest electronics contract manufacturer. Its factories produce iPads, iPhones, and other PCs, videogame consoles, printers, cell phones and other electronics for Dell, HP, Sony, Nokia, and Nintendo. The company's revenue will reach $85 billion this year, and it has grown tremendously -- it is 30 times bigger than it was a decade ago, and this year has cut back it's forecast growth -- from a historical trend of 30% to "only" 15%. In China, Hon Hai is the largest private employer and the third largest employer overall. Now, the company is betting big in China, with plans to invest $3.5 billion in new facilities in China's inland. Within two years, 50% of Hon Hai's workers will be in inland China, up from 20% today. Eventually, the company expects it will have 1.5 million employees on its workforce.


Hon Hai Looks to China's Interior - WSJ.com

Toyota Feels Exchange-Rate Pinch as Rivals Gain

The Japanese Yen is at a 15-year high against the US dollar, and a 9 year high against the Euro.  While this makes it a nice time to be a Japanese tourist going to the U.S. or Europe, it's killing Japanese manufacturers like Canon and Sony.  For a large industrial powerhouse like Toyota, it's a real crisis.  Toyota, which imports 35% of its American-sold vehicles from Japan (Honda only imports 10%), is going to lose more money with currency losses than the massive recall it recently conducted to fix accelerator pedals.

For every yen that the Japanese currency gains in value against its assumed dollar rate of ¥90, Toyota says, it loses ¥30 billion, or $357 million, in operating profit. If the exchange rate stays at the current ¥84 to a dollar, Toyota’s operating profit for its financial year ending next March, which the company forecasts will reach ¥330 billion, could fall by half.

Toyota Feels Exchange-Rate Pinch as Rivals Gain - NYTimes.com

Currency Trading Hits $4 Trillion

Currency trading volume has hit a whopping $4 trillion worldwide, a 20% gain from the $3.3 trillion last recorded in 2007.

Currency Trading Hits $4 Trillion - WSJ.com

In China, Western Firms Keep Secrets Close

Cree, a North Carolina-based manufacturer of LED diodes and lights (above), continues to manufacture wafers in the United States even though it owns a factory in China.  Why?  Because of fears that the valuable intellectual property may fall into the hands of competitors or rivals willing to steal the technology.  More and more Western firms are following Cree's example as intellectual property theft and violations continue to be a serious problems for companies doing business in China.

In China, Western Firms Keep Secrets Close - WSJ.com

U.S. Likely to Find China Subsidized Aluminum

The U.S. Commerce Department is expected to announce tomorrow that China illegally subsidized about $550 million worth of extruded aluminum (aluminum squeezed into shapes like the window frames above), opening the door for higher duties as early as next week.


U.S. Likely to Find China Subsidized Aluminum - WSJ.com

In Toledo, the 'Glass City,' New Label: Made in China

In 1900, there were over 100 glassmakers in Toledo.  The Toledo Museum of Art is building a $30 million Glass Pavilion to reflect the legacy of America's "Glass City."  Unfortunately, none of the glass in the Museum of Art is made in Toledo -- it is all made in China.

In Toledo, the 'Glass City,' New Label: Made in China - WSJ.com

Protests Fan Hong Kong Anger Over Manila Killings

A tragedy unfolded last week when a fired police officer in Manila took a tourist bus full of visitors from Hong Kong hostage.  The crisis ended more than 12 hours later when the gunman started shooting at tourists and Filipino commandos began storming the bus in heavy rain.  Eight tourists died, as did the gunman.  Now, new details are emerging that are angering Hong Kong citizens, causing tens of thousands to march today in memory of those killed and to express anger at the Philippine government.  This is a real test for newly elected President of the Philippines, as his handling of this matter may determine the future success of one of his key economic strategies for future growth - promoting tourism especially among rich Asians such as those from Hong Kong.

Protests Fan Hong Kong Anger Over Manila Killings - NYTimes.com

New Dissent in Japan Is Loudly Anti-Foreign

 In famously polite Japan, a new wave of ultra-right citizens are protesting the presence of all things foreign, from Korean workers to Halloween.  The result is embarrassing for the majority of Japanese, and hopefully not a sign of things to come for visitors to Japan.

New Dissent in Japan Is Loudly Anti-Foreign - NYTimes.com

Outsourced Call Centers Return Home to the U.S.

The world is changing rapidly -- just a couple years ago, call center jobs were routinely outsourced to India and the Philippines. Now, falling wages in the U.S., rising wages in Asia, and customer satisfaction means that some call centers are returning home to the U.S.

After Upheaval, Not All Is Well With Thai Youth

As Thailand struggles to rebuild its economy and society after the deadly anti-government protests earlier this year, a new threat is emerging -- bored, listless, drug-addicted youth. Thailand's schools, permissive social attitudes, general disrespect for rule of law, and widespread availability of addictive drugs are all to blame, as this report points out.


After Upheaval, Not All Is Well With Thai Youth - NYTimes.com

How Big Really?

What would the Great Wall of China look like if it was built in the U.S.? How much area would the flooding in Pakistan cover if it is was in Ohio? These questions, and more, are depicted visually and with great effect by the BBC's new website, Dimensions. Some pretty cool stuff.

Flash Mob Hits Target

Cool Nissan Commercial from the EU

Southeast Asia Links Up to Compete

The average factory worker in Vietnam makes $136 a month, in Indonesia it's $129 a month. In China? $413 a month. As wages continue an upward spiral in China and the country moves further up the value chain, companies are scrambling to line up lower cost factories in Southeast Asia. Corruption and infrastructure problems continue to impede growth in the region, however.

Southeast Asia Links Up to Compete - WSJ.com

EU Ordered to Remove High-Tech Tariffs

The 1996 Information Technology Agreement required 70+ countries to reduce tariffs on high tech goods to 0%. The European Union refused to drop tariffs on three HTS categories: cable television boxes that also deliver Internet content, flat panel computer screens, and printers that can also scan, fax or copy. These products were subject to a tariff of 6-14%, leading to higher prices in the E.U. for imported products in these categories. In 2008, the U.S., Japan and Taiwan filed suit against the E.U. in the WTO arguing these tariffs were illegal, and this week the WTO handed the three countries a victory, ordering the EU to bring their tariffs into line with the agreement. The EU now has 60 days to appeal.


EU Ordered to Remove High-Tech Tariffs - WSJ.com

Mexico-U.S. Trucking Dispute Heats Up

Under NAFTA, the U.S. is required to permit semi trucks from Mexico on to U.S. highways, just like Canadian trucks are permitted. Under pressure from trade unions in the U.S., the Bush administration and now the Obama administration has resisted allowing Mexican trucks in, claiming they fail to meet U.S. safety standards. Mexico has now retaliated with tariffs on various U.S. products, including new tariffs announce this week on pork, certain cheeses, ketchup, chewing gum, dried and fresh apples, oranges, and pistachios. Mexico hopes targeting these industries, with powerful lobbying groups, will pressure these industries to press Washington to allow the trucks into the U.S.


Mexico-U.S. Trucking Dispute Heats Up - WSJ.com

Watch a 747 Get a New Paint Job

How do you make an aging 747 look brand new again? Get a new paint job of course! It's not quite as easy as going to Maaco, though, as this video aptly demonstrates.

Virgin Atlantic plane livery time-lapse movie from johnson banks on Vimeo.

The Rise of Text Messaging

Text messaging is quickly replacing email as a preferred form of communication, especially among teen girls, who send an average 100 text messages a day (compared to their male counterparts, who text 30 times a day or adults over 18, who text 10 times a day). Companies who understand this can reach a key demographic. In spite of that, the U.S. still lags the rest of the world. Check out the graphic and the link below for more information.


The Rise of Text Messaging

Japanese Retailer's New Policy: 'English Spoken Here'

What is the universal language of business? English of course! In Japan, Rakuten is joining a growing list of companies that moving to an English-only policy even for Japanese employees. The movement is driven by the desire to expand overseas and attract/retain top talent.

Japanese Retailer's New Policy: 'English Spoken Here' - WSJ.com: "- Sent using Google Toolbar"

Foreign Schools Court U.S. Professors

This is Dr. Xu Bin, a former tenured professor at the University of Florida's Warrington School of Business. He left his position there to become a faculty member at China Europe International Business School in 2003 in Shanghai. He becomes part of a growing number of foreign-born U.S. business school professors being lured overseas by more competitive salaries, lighter course loads, more research time, and access to emerging economies.


Foreign Schools Court U.S. Professors - WSJ.com

Bumpy Ride Ahead for Air Industries

Airlines are consolidating and becoming more efficient. Airfares are going lower. Temporarily stored planes are being dusted off and returned to service. This is good news for airlines, but not good news for Boeing and Airbus, who after decades of bitter competition are facing new market realities about their future. A bruising WTO battle that has drawn blood from both sides, plus renewed competition from Bombardier, are adding to their problems.

Special Report - Aviation - Bumpy Ride Ahead for Air Industries