Cashed up with plenty of U.S. dollars China is in a good position to buy up big in Europe and Australia.
The G20 summit has shown the problems of post-industrial Europe which cannot expect to enjoy export-led growth demanded when most of the countries no longer manufacture on the scale necessary to pay their way in a global world. (The Guardian Weekly, 2.7.10, P1.) Governments are terrified that they will be punished severly if they fail to take deficit reduction seriously. As for the markets, it is certainly true that sovereign debt is their concern now.
Inflation or deflation, what does it matter, Europe is broke, except for Germany, wages are much too high and nobody wants to work in industry. Global warming and all that crap.
China has the money, China has the eager and skilled workers and China will colonize Europe.
The European Commission is worried about availability of rare earths, niobium, platinum and has published a list of 14 critical metals or groups of metals that are important to Europe’s economy and may become difficult for Europe to procure. Just one example; In recent months, China, which controls 95% of rare earths, has started cutting back exports, raising tensions in European industry.
Europe needs certain metals for the production of it’s own electronic vehicles and needs to exploit mineral resources in Europe. This is opposed by the Greens. The World Trade Organisation has yet to settle the dispute between the U.S., Europe and China over rare earths. (The Guardian Weekly 2.7.10, p.3.)
While Europe and America dither China is busy buying up Europe and Africa.
As soon as this month, Chinese manufacturers hope to get approval to develop a dollar 60 million plot in Athlone, Central Ireland. The Athlone project, which has yet to gain planning approval, involves shippping 2,000 Chinese workers to build a “Chinese hub” of factories on a 24o hectare stretch of land outside the County Westmeath town, that will eventually employ 8,000 Irish staff and how many Chinese? The advantage to China? The manufacturers would gain access to the lowest corporation tax rates in Europe and doorstep access to the eurozone for their products. Tariffs and quotas imposed by the E.U. and individual countries would be bypassed.
Greece is also the beneficiary of the billions of dollars in Chinese government coffers. Chinese Vice-premier, Zhang Dejiang, signed a series of industrial co-operation deals last week. Chinese businesses will invest in Greece. Chinese shipping group Cosco will build a dollars 3.5.billion massive container-handling facility at the port of Piraeus. There is also talk of Cosco building a huge logistics centre there, from where trucks would be able to move containers around the rest of the continent. There is talk of Beijing money being injected into the loss making Greek railway operator, OSE, the Airports and even the postal service.
The Greek government should let China take over the Government and the country.
London has attracted 34 Chinese foreign direct investment projects and is seen by the Chinese companies as a natural base for expanding into Europe.
Europe is finished! What about Australia? All because of the greed of the financiers of Europe and America and the export of World Industry to China and it’s eager and low cost workers!
The Chinese are using American money to buy up the World. Unbelievable, but then Left wing politics was never about making money and now even the Tories are Left wing.
Source : Here
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