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The Economy Of China

Saturday, September 5th, 2009

Currently China’ economy ranks it #4 in the world so there is no doubt the regulations of the People’s Republic of China are working well for the people of China. However, the biggest criticized of the Chinese economy is that it appears the rich people keep on getting richer and the poor people never escape from poverty.

To help with the growing gap in the different social classes China underwent a political balancing act to help rectify the situation. This process was introduced in the 1990′s. The government worked hard to instill market reform. China really seemed to do well with the changed until the energy crisis that occurred in the late 1990′s. One issue that many countries have to contend with is unemployment. China appears to have the opposite problem. Since 2005 they have had a shortage of workers in the labor force to keep up with the continuous growth.

Skilled workers are needed for the corporations and technology while unskilled laborers are needed for tending to the farms. China is the 3rd worldwide in the amount of production annually in their factories. Agriculture is a huge part of the Chinese economy with more than 300 million people working in that area. The foods grown in China are highly exported. It is estimated that their food exports feed up to 20% of the world’s population.

The growth of China has some of the leaders in the country worried though. They are continually increasing the amount of natural resources they consume on an annual basis. The pollution and other environmental problems that come from the high number of factories are a concern. China’s economy is certainly growing, but it has a long ways to go, which means there are lots of opportunities available.

The China Import Market

Tuesday, May 5th, 2009

The China import market is of increasing interest to many UK small businesses as the China economy continues to expand. But freight forwarding from China is something that UK businesses see as something of a mystery, compared with freight forwarding to and from Europe and other more familiar countries. It is important to take advice from a freight forwarding company with experience of China import as China is expected to continue to be the leading factory of the world, with its efficient manufacturing, low labour costs and high quality international freight infrastructure.

Although labour costs in China are rising, they remain competitive and, with the possible exception of apparel, it is predicted that China will further increase its share of global production. In particular, there is ample scope to increase exports to Europe, where levels of China import do not yet match the US levels. As China’s economy is growing so fast, there are many infrastructure changes happening that affect freight forwarding and other freight services. This means that it can be hard for the business owner to keep up to date on all the changes that may affect his own international freight.

There is already a capacity shortage problem in Shanghai, so we are now seeing expansion of deepwater ports in Ningbo, especially after the recent opening of the Hangzhou Bridge. The port of Shanghai is fighting against its flagging growth and is implementing strategies designed to turn Shanghai into a major Asian hub to rival Hong Kong and Singapore. This will be achieved partly by establishing feeder ports along the Yangtse River, establishing a regional feeder network with Shanghai as the centre of a massive international freight hub.

This international freight development ties in with the government’s plan to create a year round shipping channel from Chongquing to the sea. By summer 2009, when the Three Gorges Dam is completed, the average river journey time between Chongquing and Shanghai will be cut in half, to about seven days. And this will be complemented by a billion dollar riverside railway project that will slash the journey time between Chonngquing and Shanghai from 41 hours to 10.

These kind of huge infrastructure projects are happening all over China and revolutionising the options for international freight forwarding from China. UK businesses that are entering the China import market should make sure that they choose a freight forwarding company with know-how, up-to date knowledge and an experienced local network of freight forwarding agents. Not all shipping companies can provide this winning combination.

The importance of a strong local freight forwarding network cannot be emphasised enough, when it comes to China import, so choose your freight company wisely. In Chinese culture, conducting business is based on trust and relationships, therefore it is vital to appoint a freight forwarder or shipping company with a network who have already established this trust.