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Strategies & Market Trends : Booms, Busts, and Recoveries -- Ignore unavailable to you. Want to Upgrade?


To: Hawkmoon who wrote (51954)8/1/2004 3:03:13 PM
From: maceng2  Read Replies (1) | Respond to of 74559
 
to continue to play this up and act the part of the international bully..

Oh come on HM, someone from the USA tagging China as the "international bully" is a bit much. Iran knows international bullies, and they were not from China.

Britain and the USA's CIA did not help Iran during the 1950's and we reaped the whirlwind in the 70's. In the 80's we got our buddy Saddam to attack Iran with massive loss of life and human suffering. Now we say Saddam is the bad guy. Yes, there are international bullies who need controlling.

angelfire.com

iranian.ws

anyway, Iran knows who to turn to when a friend is needed.

dailystar.com.lb

========================================================

China's rise golden opportunity for Middle East
Economic benefits likely to be huge

Emergence of second global trading giant will provide smaller countries with greater choice and independence

By Habib Battah
Daily Star staff
Monday, July 12, 2004



HONG KONG: Middle Eastern states are likely to gain greater economic independence through China's emergence as a global economic superpower, according to Iran's consul general here.

China's rise as the powerhouse of the world economy is "inevitable" and the Arab world should urgently prepare itself for the changing international commercial order, said Reza Agharazi in an interview with The Daily Star.

"This is a new opportunity for independent countries of the world and also for the Middle Eastern countries," he said. "If they want to boost commerce and expand their economies, they can choose an Asian country and the first is China."

The world's second-largest economy is also likely to widen its sphere of political influence over the region, added Agharazi, the first official to fill the Hong Kong post in 15 years.

Boosting trade with China will give Middle Eastern countries "the opportunity to not always be connected with other countries," he explained, while drawing a contrast between what he saw as China's non-colonial past compared to the history of Western influence across the region.

Arab states, he said, "will be able to stand on their own feet, and a better and safer economy will bring a better and more peaceful future."

Agharazi predicted China's membership in the UN Security Council would allow it to increase its sway over Iraq policy and the Middle East peace process. "I think they (China) need peace for a secure market and they have shown the world that the are interested in this through the latest speeches and political conversations."

China has good relations with Arab countries, he added, and "supports their views." The soft-spoken diplomat then mused: "Maybe the Chinese government can affect the Israeli government - I don't know."

According to Agharazi, Iran is the primary source for the oil that fuels China's stellar economy, whose Gross Domestic Product (GDP) topped $6.4 trillion in 2003, growing at just over 9 percent annually.

Iran boasts bold economic plans as well. Its GDP reached $510 billion last year, growing at some 7.6 percent, the third highest rate in the region after India, according to official figures.

Unlike most Arab countries, Iran enjoys a trade surplus with China's growing economy, which is second only to the US in terms of size. Agharazi is quick to point out that non-oil exports, such as petrochemicals, metals and foodstuffs accounted for $1.25 billion out of $3.5 billion in total exports to China.

And with the two countries signing a memorandum of understanding this year, liquefied natural gas exports will also become a major contributor to bilateral trade, which is projected to grow from $6 billion last year to at least $10 billion over the next 5 years - "maybe sooner" Agharazi said.

Chinese firms have already secured several contracts in Iran, in oil exploration, highway construction, and to build Tehran's upcoming metro subway system. Following a $20 billion deal struck with Japan this year, the largest in the 35 year history of its fuel industry, Iran expects to draw $100 billion for the development of oil, gas and petrochemicals over the next 10 years with up to 21 sites now available for joint ventures.

Iran is also looking for partners for massive tourism, telecommunications and infrastructure projects such as its 4,000 kilometer stretch of the 140,000 kilometer Great Asia Highway project, which will connect Europe with East Asia.

"There have been many partnerships signed between Iranian and Chinese companies," he added, urging Arab countries to follow suit and capitalize on a market of 1.3 billion consumers.

"This is a very big market in the world. If Middle Eastern countries prepare for this and improve the quality and standards of their products the future market of China will be very good for them."

Agricultural products, exotic fruits, and foodstuffs were among his suggestions as possible exports.

Boosting trade between China and the Middle East is a "win-win situation" according to Jeffrey Lam, head of the Hong Kong Trade Development Council.

"In the past we shipped all our exports to the US and European markets," while today, Hong Kong, which handles 25 percent of mainland trade (receiving the largest amount of Chinese exports after the US) is now showing greater interest in diversification.

"Its not that the US or EU will not be as important as in the past - many people that relied on one market are now looking to be more balanced, so that if the economy goes bad in one place, you will still be able to balance with others. I don't want to get into politics, but I think it's good to be more balanced," he said.