At a time when the federal government is spending billions of stimulus dollars to stem the tide of U.S. layoffs, should that same government put even more Americans out of work by buying cheaper foreign products? In this case, Chinese condoms.
In a move expected to cost 300 American jobs, the government is switching to cheaper off-shore condoms, including some made in China.
Source: The Kansas City Star
~News submitted by upthecreek
According to Bloomberg: “China’s exports fell by the most in almost 13 years as demand dried up in the U.S. and Europe, worsening the outlook for jobs and industrial production in the world’s third-biggest economy.”
“China’s economic slide has already cost the jobs of 20 million migrant workers, adding pressure on the government to boost consumption and expand a 4 trillion yuan ($585 billion) stimulus package. Government researchers have advocated weakening the yuan against the dollar to support exports, a move that could add to trade tensions amid the worst financial crisis since World War II.”
“Imports declined 43.1 percent in January from a year earlier, the biggest decline since Bloomberg data began in 1995, on the nation’s waning demand for raw materials for manufacturing and lower commodity prices.”
“China’s industrial output grew 5.7 percent in December, down from 17.4 percent a year earlier.”
“Taiwan’s shipments to the mainland slumped 64 percent in January because of weaker demand for electronic components.”
“Philippine shipments to China fell 58 percent.”
“India imposed a six-month ban on imports of Chinese toys last month, citing health concerns.”
According to AP, Guardian: “A world manufacturing slump eased in January but data showed the global economic downturn, which Beijing said had already cost as many as 20 million jobs, was still in full swing.” […]
“Chen Xiwen, director of China’s Office of the Central Rural Work Leading Group, said a recent survey showed 15.3 percent of the 130 million migrants moving from villages to cities and factories had returned jobless to the countryside.
That, combined with this year’s 6 million to 7 million new entrants in the rural labor market, would leave China with about 25 million jobless and potentially restive rural unemployed this year, Chen said. “
China has embarked on active measures to minimize job cuts and has pledged to boost employment this year:
Source: China Daily
According to CNN Money: “China’s ocean of blue-collar workers is streaming back to the country’s farming hinterland, bringing thwarted aspirations and rising discontent in tow as their city jobs, their paths out of poverty, fall victim to the global economic crisis.”
“Officials estimate that more than 10 million migrant laborers have already returned to the countryside as thousands of companies have been dragged under by weak global demand for everything from clothes to cars.”
“Over the past three decades, about 130 million people have left China’s countryside for the smokestacks, assembly lines and construction sites of cities.”
“Many economists forecast growth next year of less than 7.5%, the country’s lowest since 1990 and a level that would swell the ranks of the jobless.”
“The social security ministry says 10% of all migrants have already gone back to the countryside.”
According to IHT: “China’s exports fell for the first time in seven years, the government reported Wednesday, sliding 2.2 percent in November and providing stark evidence that the global financial crisis had arrived here in earnest. In October, by contrast, exports had surged 19.2 percent.
Imports also plunged sharply last month, falling 17.9 percent and widening the trade surplus to $40 billion from $35.2 billion in October.”
According to WSJ: “The World Bank cut its forecasts for China’s economic growth because of weaker housing demand and softer private investment and consumption as well as the global downturn.
In its latest China Quarterly Update, the World Bank said China’s economy will likely grow 9.4% this year, slower than 11.9% in 2007 and its earlier projection of 9.8%.
The bank cut its growth forecast for 2009 to 7.5% from 9.2% earlier.”
According to Reuters: “The governor of a Chinese province sat down with protesters after they fought pitched battles with police, a rare concession by a leader and a sign of government concerns about stability as the economy slows.
Xu Shousheng held a meeting with 10 representatives in Wudu in the poverty-stricken northwestern province of Gansu two days after the riot in which dozens were injured, state media said.”
Riots in China
Photo: Reuters
According to AP: “Two engineers from China who pleaded guilty to the rare charge of economic espionage against the U.S. are facing sentencing today, in a case that highlights national security threats surrounding sensitive technologies. Fei Ye, a U.S. citizen, and Ming Zhong, a permanent resident of the U.S., admitted in 2006 that they stole computer chip designs from their Silicon Valley employers and tried to smuggle the secrets to China to launch a government-backed startup there. The engineers each face a maximum of 30 years in prison.”
According to International Herald Tribune: “Yin Weimin, China’s minister of human resources and social security, warned that unemployment would rise further next year and that “stabilizing employment is the top priority for us right now,” Reuters reported. It was a sign that the Chinese authorities were increasingly concerned about the potential social fallout in a slowing economy.”
Data dim hopes of Asian stability
Photo: The Associated Press
According to CNN: “China’s job outlook is “grim,” and the global financial crisis could cause more layoffs and more labor unrest until the country’s economic stimulus package kicks in next year, the nation’s minister of human resources and social security said Thursday.
Thousands of graduates crowd a jobs fair in Nanjing but vacancies are becoming harder to find. The stimulus package, unveiled earlier this month, will pump $585 billion into rebuilding communities destroyed by the May earthquake, constructing railways, housing, airports and highways, and funding other projects.”
China fears job riots
Photo: CNN
According to BBC News “China is preparing to cut the state workforce in the latest move to keep economic recession which has gripped South East Asia at bay.The minister of Labour, Li Boyong, said redundancies in the state sector this year were likely to add about 3.5 million to the country’s jobless total.”
China fears fast-rising unemployment could trigger social unrest
Photo: BBC
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