world growth

world growth

Tuesday, January 29, 2013

Indonesia to import 2500 ships from China

China's ship building industry is already second largest in the world after South Korea.
I am sure this order will further boost China to become the number one ship builder in the world.

Indonesia will import 2,500 ships from China to improve the logistics and distribution among ports scattered throughout the archipelago.

The Indonesia Chamber of Commerce and Industry or Kadin will import the ships, Xinhua reported.

Kadin has signed an agreement with China worth $5 billion, said Natsir Mansyur, vice chairman of Kadin's trade, distribution and logistics division.

The ships will be delivered within five years starting 2013.

"Indonesia's logistics costs are quite high due to limited infrastructure and armada, we need to boost the logistics operations," Natsir said.

Located in South East Asia, Indonesia is the world's largest archipelago with 17,000 islands.

A report by the World Bank in 2012 showed Indonesia's position in logistics performance index was at 2.94 in the scale of 5, lagging behind its regional peers such as the Philippines and Vietnam.

Sunday, January 6, 2013

Sudan seeks China trade in yuan

Sudan has asked its biggest trading partner China to use the yuan currency and Sudanese pounds rather than US dollars in their commercial exchanges, the central bank governor said on Wednesday. "If the Chinese agree to that, we might quit completely from dollars," Mohamed Khair al-Zubair told reporters.

"The Chinese economy is now the second biggest in the world and soon will become the biggest," he explained. Beijing has been hoping for wider use of the yuan in its international trade but the dollar remains the dominant currency in global transactions.

Energy-hungry China is the largest foreign investor in Sudan's oil sector, with two-way trade between the countries valued at $10 billion last year, according to a website of the Chinese embassy. A special Chinese envoy has been trying to resolve a dispute over oil exports between Sudan and South Sudan, which took 75 percent of the country's oil output when it gained independence in July. The vast majority of Khartoum's export earnings came from petroleum, leaving the government scrambling for ways to bolster its finances while fighting rising inflation - which the government sees reaching 17 percent next year - and the sharp devaluation of the Sudanese pound.

Beijing is also a major military supplier to Khartoum, which has suffered from US economic sanctions since 1997. In June, Chinese President Hu Jintao welcomed his Sudanese counterpart Omar al-Bashir to Beijing, where they signed economic agreements and sparked the anger of Washington, rights groups and the United Nations. Bashir is wanted by the International Criminal Court for crimes against humanity, genocide and war crimes allegedly committed in Sudan's Darfur region.