Finance

The People’s Bank of China said on Wednesday that new yuan-denominated lending decelerated in October to 253 billion yuan (US$ 37.04 billion), the lowest monthly level of 2009 so far. The October figure was less than half the 516.7 billion yuan of new lending in September. New lending has returned to more reasonable levels since the third quarter, with the monthly average at about 400 billion yuan, sources close to regulators told Caijing.

Driven by robust car and housing sales, China's retail sales rose 16.2 percent year-on-year in October, the biggest gain in nine months, the National Bureau of Statistics said on Wednesday. Retail sales expanded 15.3 percent in the first 10 months, following 15.1 percent growth in the first three quarters, the NBS figures showed. China introduced a raft of measures this year to spur domestic consumption, after the global financial crisis curbed demand for exports.

China's exports fell 13.8 percent year-on-year in October to US$ 110.76 billion, while imports declined 6.4 percent to US$ 86.78 billion, the General Administration of Customs said on Wednesday. The trade surplus was the year's highest, at US$ 24 billion, and almost double the US$ 12.9 billion recorded in September, according to customs figures. The rate of decline in exports slowed in October, following a 15.2 percent fall in September, though the decline in imports accelerated from the 3.5 percent drop the previous month.

Industry

An investigation into the big three state-owned airlines' fuel hedging activities is still ongoing despite fair value gains that have allowed them to show paper profits, a source from the State-owned Assets Supervision and Administration Commission told Caijing on Friday. Air China Ltd, China Eastern Airlines and China Southern Airlines all posted fair value gains on their fuel derivative contracts in their most recent financial reports covering the third quarter. However, the focus of the investigation by SASAC is in compliance by the state-owned enterprises, rather than whether their positions are profitable.

France's Groupe Danone said Thursday that a ruling in its favor by a Stockholm arbitrator will not affect its plan to settle a dispute with its estranged China partner, Hangzhou Wahaha Group, the mainland's leading food and beverage producer. Danone also said the two sides will end all legal action after the settlement plan is executed, as stipulated in their agreement. On Sept. 30, several hours after the settlement was announced, Danone obtained the favorable ruling from the Stockholm arbitrator, leading to speculation it may cancel the settlement and seek to enforce the ruling in China.

Politics and Law

A total of 36 A/H1N1 deaths have been reported on China's mainland, according to China's Ministry of Health on Nov. 11. The ministry said 31 provinces, municipalities and autonomous regions have reported 62,871 A/H1N1 patients, of which 47,077 have recovered. The State Food and Drug Administration (SFDA) have distributed 41 million vaccinations. So far, it is estimated that nearly 11 million people have been inoculated.

A Tianjin-based textile company has been shut down for producing and selling so-called "anti-H1N1 masks," the SFDA stated on Nov. 11. The Mingda Co. claimed it had invented a special mask that could kill the H1N1 virus. It said the National Influenza Center proved the mask was effective. The spokesperson of the SFDA said that they have never approved the production of any anti-H1N1 masks.

China's Ministry of Health and the SFDA will initiate a joint program to regulate the sale of non-drug products, said the administration on Nov. 11. Non-drug products refer to products such as health foods or cosmetics that claim to have medicinal properties. In certain regions, the sales revenue of non-drug products accounts for 10 percent of total revenue in drugstores, according to a survey conducted by the SFDA in 2008.

The majority of expressways in northern China's Hebei Province have been temporarily closed due to heavy snow, Xinhua news agency reported on Nov. 11. Expressways passing through Hebei have been blocked, with the exception of the Beijing-Shenyang expressway, Tangshan-Tianjin expressway and Shenyang-Haikou expressway. Due to the heavy snow, six people died in Hebei Province, reported Xinhua News Agency .

Visiting Chinese President Hu Jintao met with Singaporean President S. R. Nathan on Nov. 11, to exchange views on deepening bilateral relations. The same day, Hu met Singaporean Minister Mentor Lee Kuan Yew and made a three-point proposal on the enhancement of bilateral ties. Hu said China is prepared to provide Singapore with a pair of pandas next year, to celebrate the 20th anniversary of diplomatic relations between the two countries. President Hu Jintao attended the 17th annual gathering of APEC leaders in Singapore on Nov. 13.