Consumer Confidence Up

Consumer confidence in China increased in the fourth quarter of 2012, said market research firm Nielsen in January. Confidence increased to 108 points in the last quarter of 2012, two points more than the third quarter, and the same level recorded at the end of 2011. According to the survey, in the fourth quarter, rural consumers were the most optimistic, while people living in large cities were less confident about consumption. Consumer attitudes toward consumption in the next six months were at the same level as the previous quarter. But expectations for employment and personal economic status have risen.

High-End Server

The Tiansuo K1 System, the first high-end server independently developed by the Inspur Group Co., based in east China's Shandong Province, was officially put on the market in January after four years and 750 million yuan ($120 million) worth of research and development. It is expected that this move will help break the dominance of foreign companies in the high-end server industry. High-end servers have much higher processing capacities and are core equipment used by the financial, telecommunications and energy industries, as well as other important sectors.

Free Trade Zone

In January, Shanghai officially announced plans to set up a pilot free trade zone (FTZ) in its Pudong New Area, the city's financial and commercial hub. An FTZ is an area within which goods may be imported, handled, manufactured or reconfigured, and re-exported without the intervention of customs authorities. The Pudong FTZ would function in accordance with international norms and be established this year. Shanghai has applied for a permit to build the FTZ on the basis of its existing comprehensive bonded zones. If the application is approved, it would become the first FTZ on the Chinese mainland.

Boosting Mergers

The Ministry of Industry and Information Technology (MIIT) recently announced that the government has revealed specific requirements intended to increase mergers in several sectors, among which are the automotive, steel, cement, shipbuilding, electrolytic aluminum, rare earth, electronic information and pharmaceutical industries. The government hopes to consolidate scattered production capacity and upgrade industrial structures in order to increase the international competitiveness of enterprises. At the Central Economic Work Conference in December 2012, the government pledged to adjust China's industrial structures and resolve the overcapacity problems that have hobbled some sectors.

Top Gold Producer

China produced more gold than any other country in 2012, making it the largest producer for the sixth consecutive year, according to data released by the China Gold Association in February. China's gold output increased 11.66 percent over the previous year to hit a record high of 403 tons in 2012. The increase has been attributed to favorable government policies, which have allowed the industry to grow quickly and made it an economic pillar in many of the country's gold producing areas. China surpassed South Africa to become the largest gold producer in 2007.

Tongrentang Retail Network

The Beijing Tongrentang Group, a traditional Chinese medicine (TCM) company, said it will open 100 new self-operated pharmacies around China and 10 more stores overseas this year. The TCM maker already has more than 1,500 self-operated pharmacies in China and more than 70 overseas, including in the United States, the UK, Australia, and Singapore. The company has said that despite the high costs associated with opening new pharmacies, particularly in the areas of land, labor and registration, the company must continue to expand to build a full industrial chain and guarantee the brand's sustainable growth.

Support Service Biz

The Chinese Government will provide subsidies and rewards for several types of businesses in the service sector, according to a joint document released in February by the Ministry of Finance and the Ministry of Commerce. Funds will be allocated from the Central Government to benefit housekeeping, e-commerce, recycling, second-hand car sales and other businesses that make people's lives more convenient, facilitate the distribution of goods or promote a green economy. Subsidies and rewards to each business project will not exceed 30 percent of total investments, the document said. China aims to boost the development of its service sector to make domestic consumption a bigger player in its economy and lessen its dependence on industrial investment and exports.

Internet Start-ups

Many Chinese young people are making their living online as the economic slowdown takes its toll on China's more conventional job market. An Internet business boom has helped create more than 10 million jobs in China, which has helped alleviate current employment pressures, according to a new report by the Ministry of Human Resources and Social Security. The report showed that young people made up the majority of those involved in Internet entrepreneurship, including online shop owners and employees, as well as those working in areas closely related to e-commerce. Internet businesses allow more freedom and diversity in employment choices, according to the report.

Numbers

12.8%

Increase of China's fiscal revenue in 2012

$1.74 trillion

Total value of China's petrochemical industry production in 2012

240 million

Number of vehicles in China at the end of 2012

$500 million

Value of a World Bank loan granted to Tunisia for the country's 2013 budget

1.5 million tons

Expected copper output for Zambia in 2013