Chinese Logic
Here's a good one. As I understand the argument, western companies use greener and more eco-friendly technologies than Chinese companies, so the government has decided to place heavier regulations on western enterprises to ensure cleaner manufacturing?
The new Catalogue for the Guidance of Foreign Investment Industries should help balance out the country's trade by reducing the number of supportive policies aimed at exporters.Try this one on for size. Instead of making things much more difficult on western operations, why don't you consider enforcing the regulations you already have in place on CHINESE companies. Maybe you can start with state-owned Chinese companies. It's pretty clear that Chinese companies are the ones with the environmental issues, so it is a pretty sure bet that if you enforce environmental laws against your own, your environment will improve.
More importantly, it should give a shot in the arm to efforts to save energy and protect the environment by encouraging greener use of foreign investment.
So now that the government has decided to reduce the external trade imbalance, guiding foreign investment away from export operations will help.
However, what makes the new guidelines so crucial to the country's sustainable development is their emphasis on encouraging energy-saving and eco-friendly foreign investment in this country.
In their hunger for economic growth, many local governments have tried to absorb as much foreign investment as possible, regardless of the energy and environmental costs.
But with the authorities promising to cut energy intensity by 20 percent and pollution by 10 percent between 2006 and 2010, the blind pursuit of growth is never an option.
It is believed that foreign investors, especially those from developed countries, tend to come equipped with needed technologies and the expertise to meet stricter energy and environmental requirements.
By encouraging energy-efficient and eco-friendly production, it is hoped that the new guidelines will unleash a continuous inflow of foreign investment, driving China's campaign to go green.
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