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China to pour $9 bn into Brazil this year: report
by Staff Writers
Beijing (AFP) July 5, 2011

China is expected to pour $9 billion into Brazil this year, with half for investment in the country's high-tech sector, state media said Tuesday, citing a senior Brazilian trade official.

Chinese investment in Brazil's technology industries will hit $4.5 billion this year, Alessandro Teixeira, Brazil's deputy minister of development, industry and foreign trade, said in comment carried by the China Daily.

Capital from China had previously been poured into the farm and mining sectors, and Brasilia has been urging Chinese companies to invest in non-raw material industries to help balance the country's economy, the report said.

"Seventy percent of the trade between Brazil and China is basically commodities," Teixeira said. "But we are keen to improve commercial relations in medium and high-end technology."

He added that both governments had reached an agreement to boost Chinese investment in the high-tech sector.

China has in recent years become Brazil's largest trading partner, overtaking the United States, and in 2010 was the largest investor in the South American nation, pumping in about $30 billion.

Two-way trade has grown from $2.3 billion in 2000 to $56.4 billion in 2010, according to Brazilian officials.

Chinese telecom equipment makers ZTE and Huawei Technologies Co have invested heavily in Brazil in recent years, the China Daily said.

ZTE has an industrial park in Hortolandia, close to Sao Paulo. The company's sales revenue in Brazil reached $600 million last year and is expected to grow to $1 billion this year, the report added.

In April, Brazilian President Dilma Rousseff said during a visit to China that Huawei had announced it will build a research centre in the Sao Paulo area, with total investment of $300-400 million.




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China cement firm to build Indonesia plants: media
Shanghai (AFP) July 5, 2011 - China's Anhui Conch Cement Co has signed a preliminary agreement to invest an estimated $2.35 billion to build four cement plants in Indonesia, Chinese media reported Tuesday.

Cement products made by the company's first overseas factories will be sold in Indonesia and exported to neighbouring countries, the China Business News reported, citing Anhui Conch's deputy general manager Zhang Mingjing.

The Chinese firm also plans to build coal-fired power plants to supply electricity to the cement factories in the Southeast Asian country, Zhang added.

China, the world's biggest cement producer, made 1.88 billion tonnes of cement in 2010, accounting for about half of global production.

But the government has warned the energy-intensive industry is too fragmented and plagued by overcapacity.

The Ministry of Industry and Information Technology said in May it aimed to close outdated domestic factories that had accounted for 133.55 million tonnes of annual cement production as part of a wider crackdown on heavy polluters.





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TRADE WARS
Antwerp diamond industry ties up with China
Brussels (AFP) July 4, 2011
The Antwerp diamond industry, world capital of the gem, on Monday announced an investment deal with leading Chinese bank ICBC. The Antwerp World Diamond Centre (AWDC) in a statement announced the deal with ICBC, which could act as an intermediary to provide finance for diamond transactions in Antwerp. "It is the first time a Chinese bank entirely commits and decides to finance the diamon ... read more


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