Wednesday, January 19, 2011

More businesses criticize China relationship

I am not a fan of China's civil rights of form of government, but the following rules seem to make sense for any country. Perhaps the US should adopt some of them

Jay Hancock's blog: Business news: Stock markets, banks and economic observations with columnist Jay Hancock

JANUARY 19, 2011

As the NYT points out, the U.S. corporate establishment has on balance been supportive of the status quo in U.S.-Chinese relations. The steel companies complained about dumping, but Walmart and multinationals were quite happy with the cheap labor China provided and the huge potential of its market.

Now, with continued intransigence by China with regard to Western access to its internal consumption market, corporate America is putting more pressure on Washington to put more pressure on China. American multinational corporations, experts said, are hurt by Chinese regulations that openly favor Chinese companies over foreign ones for government contracts. These rules, which are intended to stimulate technological innovation in China, have the effect of cutting American and other non-Chinese companies out of many of the big contracts there.