Industrial cooperation in spotlight at Nairobi expo
The inaugural China-Africa Industrial Capacity Cooperation Expo, which concluded in Kenya’s capital of Nairobi on Dec 16, saw strong interest in Sino-African industrial cooperation. The expo attracted more than 50 Chinese companies from diverse sectors to showcase their products and services. It also featured interactive sessions between Chinese and African companies keen to forge partnerships. Adan Mohamed, Kenya’s cabinet secretary for trade, industry and cooperatives, says the Nairobi expo reinforced the crucial role of China in advancing industrial progress in Africa. At the four-day event, African officials also participated in roundtables aimed at showcasing investment opportunities in their home countries to Chinese investors. Improved product quality and business structure brought China’s steel export price to $798.80 (675 euros; £597) per metric ton in October, the highest level since February 2014, according to the China Iron and Steel Association. In the first 10 months of this year, the average export price of steel products was $700.80 per ton, which was $211, or 43.1 percent, higher than the same period last year. Despite a 30.4 percent year-on-year drop in steel exports to 64.49 million tons in the 10-month period, revenues from the exports only shrank by 0.3 percent to nearly $45.2 billion. This reflected improvement in both the structure and quality of steel exports, says Gu Jianguo, deputy head of the CISA. Most of China’s steel enterprises performed better thanks to the country’s continued capacity-cutting efforts, which are a key part of the ongoing supply-side structural reform. China Resources Power Holdings Co announced on Dec 19 that it would join forces with its parent company to form a consortium in its latest effort to acquire a 30 percent stake in an offshore wind farm company based in the United Kingdom. The third-largest Hong Kong-listed mainland generator said its total investment in the acquisition would be £600 million ($803 million). According to the company, it will hold a 40 percent stake in the consortium. Its parent company, China Resources, will hold the remaining 60 percent. China will restrict the business activities of insurers with low asset liability management capabilities in a bid to address risks in the sector, according to the country’s insurance regulator. Insurance companies will be rated from A to D by the regulator, based on their ability to ensure the matching of maturity, cash flow and cost on both sides of their balance sheets, and those with low ratings will be banned from certain investment activities, according to draft rules released by the China Insurance Regulatory Commission. Companies with a D rating, the lowest, will be banned from launching new products for a certain time. Salaries of the top management of these companies will also be restricted. Insurers with high ratings will be able to use their funds more freely.