Small is big at Guangzhou auto show

DOMESTIC automakers at the Guangzhou auto show this week introduced small, inexpensive cars for consumers squeezed by a slowing economy and increasingly expensive gasoline.

Zhejiang Geely Automobile Group, for example, showed the Panda, including an electric version, while Ford Motor Co. unveiled a four-door version of the small Fiesta. The Fiesta goes on sale in the United States in 2010 with a different grille and fascia. Most of the new small cars at the show have engines with displacements of 1.0 to 1.6 liters. The small cars are aimed at consumers born after 1980, who tend to be urban, affluent and tuned to global trends

Govt. raises export rebates on textiles

THE State Council approved a plan to raise export rebates on textiles and garments to 17 percent from 14 percent, the 21st Century Business Herald reported Thursday, without saying where it got the information.

The newspaper didn’t say when it will take effect. China has raised the rebates three times since July, the Guangzhou-based newspaper said.

China, Peru wrap up talks for free-trade pact

PERU and China have successfully concluded talks for a free-trade agreement that will strengthen ties between two of the world’s fastest-growing economies, Peruvian President Alan Garcia said Thursday.

The pact would be China’s second agreement with a resource-rich country in Latin America, whose exports it needs to fuel a roaring economy. The deal could be signed as early as March after final details are worked out. China and Chile signed a free-trade agreement three years ago.” China is the second-largest market for Peruvian exports after the United States. Peru ships mostly copper, iron ore and zinc to the Asian giant, while China sends mobile phones, machines and other high-tech items to Peru.

China stocks top pick among emerging markets

EMERGING market and Asia-dedicated fund managers consider China their “emerging market of choice” amid the global slowdown and ongoing concerns about the health of the world economy, Merrill Lynch & Co., Inc. said Thursday in releasing the results of its monthly money managers survey.

Nearly half of the managers said China is their pick among the BRIC countries — Brazil, Russia and India, as well as China. India was their least preferred market.