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GENEVA -- China has reached understanding with the United States and Mexico on their alleged trade subsidy measures, sparing a WTO panel ruling on the case, the Chinese WTO mission said here on Thursday.Chinese Ambassador Sun Zhenyu signed respective memorandums of understanding with his US and Mexican counterparts "regarding certain measures granting refunds, reductions or exemptions from taxes or other payments" at the WTO headquarters on Thursday, the mission said in a statement.In the MOUs, China made it clear to the United States and Mexico that "the policy of exemption for certain foreign-invested enterprises from payments to the State for worker allowances is no longer operative."Besides, the policy of value-added tax (VAT) refund to enterprises for the purchase of domestically produced equipment does not constitute prohibited subsidies as provided by relevant provisions of WTO agreements."Other preferential policies on income tax pertinent to the disputes have been repealed or will be repealed along with the implementation of the new Enterprise Income Tax Law of China," the statement added.According to the Chinese mission, the MOUs will be notified to the WTO as mutually acceptable solutions to the above-mentioned dispute in accordance with the Dispute Settlement Understanding of the world trade body.The United States filed the case to the WTO in February and later was joined by Mexico. The two countries alleged that China was using tax breaks and other incentives to "subsidize" its exports, which might violate WTO regulations.A WTO panel was established in August to investigate the case, following failed consultations between the three sides.But the three sides finally reached understanding on the dispute through continued discussions.

BEIJING - The world's most populous nation began its week-long Lunar New Year holiday on Wednesday, but hundreds of thousands of people will probably spend the biggest festival of the year in the cold and dark.Currently, more than 3,000 people, including electricians, soldiers and armed police are struggling to repair power lines damaged by prolonged snow, rain and sleet to restore the power supply for Chenzhou, a city of about 4 million in central China's Hunan Province, which started its 12th day of power blackouts and water cuts on Wednesday.Staff workers of Hunan Grid repair the collapsed high-voltage power transmission tower in Changsha, capital of South China's Hunan Province, Feb. 3, 2008. [Xinhua] Wednesday marks the eve of Lunar New Year, known as Spring Festival, the most important festival for family gatherings in China with a population of 1.3 billion."Parts of the power lines have been recovered, and power supply will restore gradually for citizens in Chenzhou starting today," said Huang Qiang, vice general manager of the Hunan Electric Power Company under the State Grid Corporation of China.But power service is not expected to be resumed by 6:00 p.m. Wednesday, in eight counties, including Guiyang, Jiahe in Hunan Province, Zixi, Lichuan, Yihuang and Le'an in Jiangxi Province, Pingtang in Guizhou Province and Ziyuan in the Guangxi Zhuang Autonomous Region, the disaster relief and emergency command center under the State Council, China's cabinet, said in a statement late Tuesday.Freak winter weather featuring prolonged snow, rain and sleet since mid-January in China's eastern, central and southern regions has downed power lines, covered roads with thick ice, brought trains, buses and planes to standstill and stranded millions of people.The snow havoc, the worst in five decades, and even in a century in few areas, has led to deaths, structural collapses, blackouts, accidents, transport problems and livestock and crop losses in 19 provinces, municipalities and autonomous regions, according to the Ministry of Civil Affairs.More than 100 million people have been affected, and at least 60 people have died in the freezing weather.

International community should work together to support a "fast and smooth" implementation of the newly-announced agreement on sending hybrid peacekeeping troop to Sudan's Darfur region, China's special representative for Darfur Liu Guijin said on Friday. Meanwhile, political process with all parties involved should continue in order to help restore a lasting peace in that troubled area, he said after discussions with South African Deputy Foreign Minister Aziz Pahad and other foreign ministry officials in the South African capital on Friday. South Africa is part of Liu's trip to Africa for consultations after the Sudanese government on Tuesday accepted the deployment of a hybrid African Union-United Nations force of between 17,000 to 19,000 troops in Darfur. Liu said both Chinese and South African governments welcomed the decision, which was announced after a closed-door meeting of the UN, AU and the Sudanese government in Adis Ababa, Ethiopia, early this week. "China and South Africa hold similar view with regard to the Darfur issue... We need to give encouragement to the flexible attitude demonstrated in the recent meeting in Addis Ababa," Liu told a media briefing. The newly-appointed Chinese envoy, who made a fact-finding trip to Darfur last month, said this was achieved thanks to efforts of the international community. "Now the Sudanese government has responded positively," he said. The deployment of the hybrid peacekeeping troop is the final part of a three-phase support plan, also known as the Annan plan as it was put forward by former UN secretary-general Kofi Annan, with aims to end armed conflicts in Darfur. The AU, the UN and the Sudanese government agreed last November on the plan. With the first phase of the plan already underway, Sudan announced on April 16 that it approved the inauguration of the second phase, which involves the deployment of 3,000 UN troops and six attack helicopters in Darfur to support the 7,800-strong African force, as well as preparation for the next phase. The Sudanese government has been accused by the United States of delaying the deployment of the hybrid force. But Khartoum strongly requested that the joint force must be predominantly African one. Liu said the international community should now concentrate on how to support the deployment of the hybrid peacekeeping troop. He said China, as a permanent member of the UN Security Council, has been closely cooperating with the UN, AU and the Sudanese government on the Darfur issue, including the commitment to send 275 engineering troops to Darfur to support the second phase of the Annan plan, as well as 10 million U.S. dollars and other humanitarian support to Darfur. "We have been playing a role of bridge... We have been trying to give advice and to persuade Sudan to be more flexible to accept the UN plan," he said. Liu said he would also hold consultations with the AU Commission Chairman Alpha Oumar Konare in Addis Ababa, with officials of the Arab League during his visit to Egypt, and make another visit to Sudan. Liu said China opposed the move to put sanctions, which the United States threatened to use on Khartoum. "We do not need to rush to put more sanctions," he said. "It's not a proper time now. Peace has a future. We need to work together, make efforts and help with the newly deployed AU-UN hybrid operation." The Chinese diplomat also shrugged off the accusation on China' s failure to exert pressures on Khartoum, allegedly due to China's oil interest in Sudan. "Pressure cannot solve anything," he said. "No matter how many troops you send, without a political presence and cooperation of the government, we cannot find a long-lasting solution." "I think up to now we have been quite successful," he said. He said China's normal ties with Sudan have been "unnecessarily politicalized," which were "unfair and irrational." He said China will continue to be actively involved in projects, such as water-supply and establishing agriculture technology demonstration centers in Sudan, to help Sudan realize social and economic development, which "we regard as the root cause of the armed conflicts and humanitarian crisis."

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China Securities Regulatory Commission announced here on Friday that it has approved the initial public offering (IPO) plans of three domestic companies.     They are the Sichuan-based software and equipment provider Wisesoft, nitrocellulose producer Sichuan Nitrocell Corporation, and husbandry company Shandong Minhe.     It also approved the issue of three stock funds, bringing the total of newly approved funds of this kind to 18 since February. A bond fund also won approval.     New funds approved since February equals half of all funds approved last year, which would injects more capital into the declining stock market.     Though the market is less sensitive to new fund issue as more funds win approval, the accumulation of capital would possibly lead to positive short-term change in the market, analysts said.

China will cooperate more with the European Union (EU) to develop safety and security criteria for products, a leading official from the top product quality supervision authority said Wednesday.To increase joint efforts to establish a product safety control system, the two sides have agreed to establish a joint information platform for industrial products, Wei Chuanzhong, vice-minister of General Administration of Quality Supervision, Inspection and Quarantine (AQSIQ), said."We will assess what it will take to set up a database for the platform by the end of this year," Wei said."The information platform will help solve problems arising from bilateral trade, providing a more effective way to push forward win-win trade development," Wei said.Wei made the remarks after the sixth annual meeting of the Negotiating Mechanism on Sino-EU Industrial Product and WTO/TBT (World Trade Organization/technical bar-riers to trade), which took place in Beijing Wednesday.Under the negotiating mechanism, which was launched early in 2002, China and the EU have set up 10 working groups covering trade issues in several industrial sectors, such as textiles, medical devices, electrical and mechanical devices, chemicals and cosmetics.He said a four-month product-safety inspection campaign launched by the AQSIQ is currently underway nationwide.Prior to yesterday's meeting, the EU also signed the first agreement for cooperation on pharmaceuticals and related products with the Chinese State Food and Drug Administration, according to the delegation of the European Commission to China."We will not impose any discriminative supervision regulations on Chinese products exported to the EU market. Instead, we are willing to offer technological support to Chinese enterprises to ensure an effective control over product safety," Heinz Zourek, director general for Enterprise and Industry of the European Commission, said.

The government of Macao Special Administrative Region (SAR) logged 3.962 billion patacas (around 495 million U.S. dollars) in total revenue in January 2008, up 37 percent year-on-year, the government said.     The latest statistics released by the SAR government showed that a major share of the total revenue for January 2008 came from direct gaming taxes, which saw an increase of 30.9 percent year-on-year to 3.09 billion patacas (386 million U.S. dollars).     Thanks to the booming gaming industry in the island city, which has seen the opening of its 28th casino by the end of 2007, Macao's gaming taxes grew by 48 percent over the previous year to 29.3 billion patacas (3.7 billion U.S. dollars) in 2007, leading to an overall surplus of 21.8 billion patacas (2.7 billion U.S. dollars) in public finance, according to official statistics.     In its latest research report released Friday, the Bank of China Macao Branch forecast that due to the dynamic development of gaming and tourism industries and ballooning fixed-asset investment in the city, Macao's GDP will keep a growth rate of 13 percent in 2008, which is lower than the 27 percent rate of the previous year.

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Chinese Premier Wen Jiabao delivers a keynote speech at a national meeting to honor 355 Chinese counties and cities as models in the work of "Shuangyong," in Beiing, on Jan. 4, 2008. Wen called for greater efforts to be made in the area of unity between the army and the government and between the army and the people. [Xinhua]Chinese Premier Wen Jiabao on Friday called for greater efforts to be made in the area of unity between the army and the government and between the army and the people.He issued the call at a national meeting to honor 355 Chinese counties and cities as models in the work of "Shuangyong.""Shuangyong" is a word used to convey the concept of mutual support, namely that "the government and the people support the military and give preferential treatment to the families of servicemen and martyrs, and the military supports the government and cherishes the people."Wen said: "It is of extreme importance to consolidate the solidarity between the military and the government and between the military and the people." He noted that doing so would safeguard the country's economic and social development and the building of a modernized armed force.Chinese Premier Wen Jiabao presents awards to representatives during a national meeting to honor 355 Chinese counties and cities as models in the work of "Shuangyong," in Beiing, on Jan. 4, 2008. [Xinhua]Wen said that "shuangyong" had long been a good tradition and a unique political advantage for the Party, army and people.It is an irrefutable truth that "so long as the army and people are united as one, they can defeat any enemy," the premier said.Wen asked Party organizations and governments at all levels to put this work high on their agenda, strengthen guidance at grassroots levels, and incorporate the concept of "putting people first" into practice.

LOS ANGELES - More Chinese tourists are expected to visit the United States as new travel rules between the two nations are pending, a report said on Sunday.Southern California is a likely destination for middle- and upper-class visitors with money to spend, said the Los Angeles Times.Travels agencies are preparing for what they hope could be a boom in new Chinese tourism to the United States that is expected to occur next year.Both nations are finalizing a deal to ease entry restrictions and lift a ban in China on promoting travel to the United States, according to the paper.The negotiations have been going on for several years, but China's government news agencies and sources at the US Commerce Department said a deal should be completed within the next few weeks, said the paper.The new travel rules are expected to be a particular boom to Southern California, which already sees more Chinese tourists - 110,000 in Los Angeles County last year - than anywhere else in the United States. But travel officials expect that number to grow significantly if more members of China's emerging middle and upper classes are able to travel to the region for vacations.China's travel industry is currently prohibited from marketing the United States as a travel destination because of disputes over the strict entry process initiated after 9/11 - a reality that US officials blame on the need for national security and concerns about visitors overstaying their visas, said the paper.

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BEIJING - China's top legislature on Sunday started to read draft amendment to the Law on Lawyer which aims to make lawyers easier to meet criminal suspects, obtain evidences, improve their moral standards and allow them to open individual law firms. The draft amendment to the Law on Lawyer was on Sunday submitted to the six-day 28th session of the Standing Committee of the National People's Congress (NPC), or China's top legislature, for the first reading.

New statistics showing a continuous rise in house prices fly in the face of numerous media reports that domestic property prices have already started to decline in some cities.Policymakers should step up efforts to curb surging house prices now to avoid a later rush for homes in fear of further price hikes.Housing prices in 70 large- and medium-sized cities rose 10.5 percent year-on-year in November. The rise, 1 percentage point higher than that of October, hit a new high, undermining the government's efforts to stabilize house prices.As part of its macroeconomic controls to cool economic growth that is bordering on overheating, the government has introduced a host of tightening measures to rein in soaring house prices.For instance, the banking authorities recently made a strict definition of "second home" according to the property owned by the families of mortgage applicants rather than just the applicant.The rule will deal a heavy blow to speculative homebuyers as they will have to make a higher down payment and cannot enjoy preferential interest rates. In some cities, it was such speculative house purchases that considerably fuelled runaway property price hikes.Besides, the government also decided to adopt a tight monetary policy to check credit growth. In the absence of easy access to bank loans, it is believed that some developers may cut prices to promote sales due to liquidity concerns instead of hoarding houses for fatter profits.Under such circumstances, media reports from across show the country that house sales are shrinking and prices are plunging in cities that once boasted jaw-dropping amounts.It is surely not difficult for these reports to find an audience. Rocketing house prices in recent years have made home ownership a heavier than ever burden for most potential buyers.However, the latest house price data has proved it is only too premature to conclude that the property market has reached a turning point. The November figure indicates that the momentum of property price hikes in major cities remains strong.Only when the government substantially increases the supply of affordable homes for low-income groups and provides more land lots for development can the imbalance of demand and supply in the property market be addressed.