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Monday, November 3, 2008

Factory Slump Puts China on Verge of Recession

I love it ,China Appears to be going in the right direction now , DOWN !
It is about time that china feels the Pinch of hard times , no jobs and just a shitty outlook for the near future!
In our worst times China is swooping in to buy American companies in a hard way ,trying to buy 40% of a washington ore company that will Hand over control of almost all our ore to China!!!
I say Fuck them, help them with their hard times by Boycotting them!
give them a taste of what we have been going through, and see what they have to say about it ,PAYBACKS ARE A BITCH !!!
see my other post at Report on Arrakis

from china news Anyone who was looking for China somehow miraculously to save the world economy is going to be terribly discouraged by the latest signs of a economic slowdown in the Middle Kingdom. The CLSA China Manufacturers Purchasing Managers Index (PMI) showed that factory activity contracted sharply during October, with the index falling to its lowest level since the surveys began in June 2004.

Based on monthly questionnaires sent to 400 Chinese manufacturers asked to give month-on-month comparisons, the survey is widely considered one of the most robust leading indicators in China, where economic data are often suspect. The PMI is also important because manufacturing accounts for about 42% of China's gross domestic product. A rating of 50 is the cutoff for expansion/contraction. In October it registered 45.2, down from 47.7 in September. "Chinese manufacturers are seeing their order books cut, both at home and abroad, as the world economy falls into recession," Eric Fishwick, head of economic research at Hong Kong-based CLSA said with the release of the report. "The coming 12 months will be difficult for manufacturers, China included."

The growing signs of slowdown (, 10/29/08) are manifold. In Guangdong province, traditionally the center of China's light industry, nearly half the toy manufacturers have gone out of business. Some have moved to cheaper locations inland, but others have disappeared altogether, often leaving workers with several weeks of unpaid wages. On Oct. 16, Hong Kong-owned Smart Union Toy left 6,000 workers in the southern city of Dongguan in the lurch after it closed without warning. The government may now have to compensate workers from Smart Union, which produced toys for Mattel (MAT) and Walt Disney (DIS), for unpaid wages.

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