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SHANGHAI - One experimental clean-energy car runs on natural gas. Another uses ethanol distilled from corn. A third has a zero-emissions electric motor powered by a hydrogen fuel cell. Visitors walk around a Ryuga Mazda car on display during The Shanghai Auto Show in Shanghai April 21, 2007. These alternative vehicles were created not by a global automaker but by China's small but ambitious car companies, which displayed them Sunday alongside gasoline-powered sedans and sport utility vehicles at the start of the Shanghai Auto Show. At a time when they are still trying to establish themselves in international markets, Chinese automakers are already investing in such avant-garde research in a bid to win a foothold in the next generation of technology. "This is the tide of the industry. If you don't go with the tide, the industry will pass you by," said Qin Lihong, a vice president of China's biggest domestic automaker, Chery Auto Co., in an interview ahead of the show's opening. China's leaders are encouraging the development as part of efforts to cut pollution and rising dependence on imported oil and to make this country a creator of profitable technologies. Chinese manufacturers are getting help from foreign automakers in joint ventures and from research alliances with Chinese universities and government laboratories. Beijing has made cleaner cars a policy priority, targeting the field as one of 11 priority areas in a 15-year technology development plan issued in February 2006. It promised grants and tax breaks to support industry efforts. The campaign embodies one of Beijing's strategies in technology development: Pick new areas with no entrenched competitors so China can make breakthroughs without huge costs. While foreign automakers have a lead in conventional technology, "in new energy we're starting from almost the same line," said Chen Hong, the president of Shanghai Automotive Industries Corp. "So we believe we can catch up with other auto companies and make great progress in developing new energy vehicles," Chen said. China's leaders are pressing its auto, steel, manufacturing and other industries to improve energy efficiency and cut pollution. They see China's rising reliance on imported oil as a strategic weakness. China already is the world's No. 2 oil consumer after the United States and saw imports soar by 14.5 percent in 2006, driven by economic growth that has topped 10 percent for the past four years. A boom in car sales has added to smog shrouding China's major cities, which are among the world's dirtiest. Vehicle sales jumped 25.1 percent last year to 7.2 million units, including 3.8 million passenger cars. At the Shanghai show, both SAIC and Chery displayed experimental fuel-cell sedans, while they and a third Chinese automaker, Chang'an Automobile Group Co., also showed gasoline-electric hybrids. SAIC said it will start selling its hybrid next year, while Qin said Chery's would go on the market in two to three years. "The hybrid will be our focus," SAIC chairman Hu Maoyan said at a news conference. "The fuel cell will be our direction." SAIC has spent 100 million yuan ( million) on fuel cell research, according to state media. Chery had the widest array of alternative vehicles on display at the Shanghai show. They included models outfitted to run on bio-diesel made from vegetable oil or a "flexible fuel" choice of compressed natural gas or ethanol. Foreign automakers also are playing a role in China's research. General Motors Corp. has a joint-venture technology center with SAIC in Shanghai and operates three experimental fuel cell buses in the city. DaimlerChrysler AG has three of its own fuel cell buses running regular routes in Beijing in a research project with the technology ministry. Foreign automakers including GM, Ford Motor Co., BMW AG and Honda Motor Co. displayed their own hybrids and experimental fuel cell cars at the Shanghai show. Company officials said hydrogen fuel cells, which produce power with no exhaust, are the cleanest option. But they say it could be a decade or more before such technology is commercially feasible, due partly to the need to create a network of hydrogen filling stations. Chinese authorities also are looking at other possible fuels such as natural gas and methane extracted from coal, said Mei-Wei Cheng, the president of Ford's China operations. "This is not an easy decision, because every option has pros and cons," Cheng said. "The government is trying to find a solution as quickly as possible, but this is a difficult problem."

Chinese photographers said the South China tiger on digital pictures, released by forestry authorities and widely discussed on the Internet, is a fake.A preparatory digital picture appraisal center under the China Photographers Society, released the results on Sunday after a team of photographic experts assessed the 40 digital pictures provided by NetEase, a Chinese Internet company.The State Forestry Administration, however, on Tuesday refused to comment on the authenticity of these pictures, saying its responsibility is to protect the wildlife.Cao Qingyao, SFA spokesman, did cite previous investigation resultsat a press conference in Beijing, saying the investigators found some traces of South China tigers in Shaanxi, and said a new investigation in the area is under way, and the results will be announced as soon as possible. The center said technological analysis from last Tuesday through Sunday showed the South China tiger on the 40 pictures was not real and could not serve as evidence for the existence of the wild animal.The pictures must have been taken by people with photographic experience or under guidance and could not be done independently by a person without any photographic experience, claimed experts.The digital picture, purporting to be a wild South China tiger crouching in the midst of green bushes, was released by the Forestry Department of northwest China's Shaanxi Province at a news conference on October12.Zhou Zhenglong, 52, a farmer and former hunter in Chengguan Township of Shaanxi's Zhenping County, photographed the tiger with a digital camera and on film on the afternoon of October 3, a department spokesman said.The Shaanxi forestry department said it had confirmed the 40 digital pictures and 31 film photographs were genuine.But the pictures released were not the original ones and they underwent modifications, such as time and signal, according to experts.Bao Kun, an expert who participated in the appraisal by the center, told Xinhua they announced the results out of "a citizen's sense of social responsibility."A detailed report concerning the appraisal would be announced in about a week, Bao added.In response to the appraisal results, the Shaanxi provincial forestry department said in a written statement to media that they had already "showed their attitude toward the South China tiger issue and would continue to pay attention to the matter.""We thank netizens and media for your care of the South China tiger and of the wildlife protection cause," the statement said, offering no direct comment on the appraisal results."In a statement on November 23 the department said: "We firmly believe this basic fact: That wild South China tigers exist in Zhenping county of Shaanxi Province."The South China tiger, from which other sub-species such as the Siberian tiger evolved, is listed as one of the world's ten most endangered animals.It is the only tiger subspecies native to China's central and southern areas. In the early 1950s, its population was 4,000 across the country. Since 1964, no sightings of wild tigers have been reported in Shaanxi.Its former habitats were in Guangdong Province, Guangxi Zhuang Autonomous Region and the central provinces of Hunan and Jiangxi.

A senior central bank official has rejected calls for a quicker increase in the flexibility of the renminbi exchange rate, saying the currency's role in rectifying global economic imbalances should not be exaggerated. Hu Xiaolian, deputy governor of the People's Bank of China, said more attention should instead be paid to growing protectionism to safeguard the health of the world economy, according to a central bank statement and Xinhua. She was speaking in Washington on Saturday at a conference during the semi-annual meetings of the International Monetary Fund (IMF) and the World Bank. The meetings are a venue for key financial officials of the two institutions' member countries to discuss global economic issues. Officials and economists at the IMF, which has a mandate to safeguard the global economy and render advice to member countries, said that Beijing should pursue a more flexible exchange rate, for the sake of both the Chinese economy and a more balanced global economy. However, China did not seem to see the advice as being appropriate. "The fund... should respect its member countries' core interests and actual economic fundamentals," Hu was quoted as saying. "Biased advice would damage the fund's role in safeguarding global economic and financial stability." In July 2005, China abandoned the renminbi's decade-old peg to the US dollar and let the currency appreciate by 2.1 per cent. Since then, it has gained almost another 5 percent against the dollar. However, there has been a persistent international chorus, led by the United States, arguing that China has not been moving quick enough in letting its currency rise. US lawmakers have said that the country's trade deficit was partly caused by what they believed an undervalued Chinese currency. Chinese officials say the yuan's flexibility would gradually increase but argue that radical steps would generate shocks in the Chinese economy which could spread to the rest of the world. "The IMF... should attach significance to stability of domestic economies (of member countries) when observing their contribution to outside stability," Hu said. She said the IMF should strengthen surveillance over the soundness of economic policies of countries whose currencies are used as major instruments in other countries' foreign exchange reserves. She was clearly referring to the US, whose low savings rate, and fiscal and trade deficits are agreed to be a key cause for global economic imbalances. Hu also called attention to what is seen as a rising protectionist sentiment, which has been causing troubles for China's exporters. "We call on all countries to harness the opportunities created by globalization... and resolutely oppose protectionism," she said.

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BRASILIA - China Wednesday called on the international community to observe the principles and framework set by the Kyoto Protocol and the United Nations Framework Convention on Climate Change.The appeal was made by Cao Bochun, vice director of the Environment and Resources Protection Committee of the Chinese National People's Congress, at the G8+5 Climate Change Dialogue forum held in this Brazilian capital."As a precondition of ensuring healthy human development, tackling climate change is today's and tomorrow's basic principle with which we should persist in confronting the problem," said Cao."Common but differentiated responsibilities" stated in the Kyoto Protocol and UN Framework Convention on Climate Change should be the basis and precondition for a rational move in handling climate change, he said.The Chinese legislator said at the forum that "China, as a responsible country, has a resolute and consistent policy in dealing with climate change."China will do its "best to boost its capability" to fight climate change based on China's reality, said Cao.The capability of the mini-thermal power plants closed by the Chinese government in 2007 as an environment-protection measure reached some 14.3 million kilowatts, he said, adding that the drive will continue.He also rebutted criticism of China's increasing greenhouse gas emissions, saying most of the critics have ignored a fact that transfer emissions account for some 30 percent of China's total greenhouse gas emissions, which means China has shifted some emission pressures from a lot of countries.The forum, initiated by then British Prime Minister Tony Blair, was established in 2005 for legislators from the Group of Eight industrialized nations - Britain, Canada, France, Germany, Italy, Japan, Russia and the United States - and their counterparts from five emerging economies - China, India, Brazil, Mexico and South Africa - to address the global climate issue and anti-poverty efforts.

BEIJING - China imported 139,900 sedans in 2007, up 25.13 percent over the previous year, with the largest share of 46 percent, or 63,800 units, coming from Germany, China Customs figures revealed.The sedan imports worth 5.01 billion US dollars, up 25.41 percent from the previous year, took up 45 percent of China's total automobile imports which has slightly overshot the previous year's total to stand around 310,889 units.China Trading Center for Automobile Import predicted late January that tariff reduction since July 1 had given a stimulus to China's consumption of overseas made automobiles, which could reach 300,000 in 2007.China customs figures showed about 79 percent of the imports were vehicles with an engine size of or larger than 2.5 liters.Japan exported 29,700 sedans to China, the second largest total, while the United States ranked third with 18,000 units.China's sedan exports, by contrast, more than doubled year-on-year to 188,600 units in 2007.Chery, the flag-bearer of Chinese brands, saw a 132-percent surge in exports in 2007, to 119,800 units. The carmaker, which has accelerated its expansion overseas in recent years, expected to export 180,000 units this year.Chang'an Automotive Group, China's fourth largest automaker, sold more than 40,000 cars overseas last year, against 21,700 in 2006.China, the world's third largest vehicle producer, after Japan and United States, found its auto output grow 22.9 percent to 9.04 million units last year, according to figures with the National Development and Reform Commission (NDRC), the country's top economic planner.The NDRC deputy economic performance department director Zhu Hongren said, since quantity was not a problem anymore, auto producers should increase their focus on quality.In 2006, China overtook Japan to become the world's second largest car market after the United States, with sales of 7.2 million units, up 25.13 percent year-on-year.Compared with their international counterparts, China's auto makers are still small in terms of production scale and behind in technology. In addition, the country's auto boom has created growing problems, such as increasing traffic jams and pollution.

BEIJING - The Silk Street market in Beijing, popular among tourists for cheap goods, tarnished its reputation as authorities seized fake name-brand sneakers and sports wear in the latest raid at the market. Law enforcement workers on Saturday confiscated 553 shoes of pirated Nike, 408 counterfeit Adidas shoes and 160 fake sports suits of the two famous brands after inspecting 11 booths at the market. An official with the Chaoyang branch of the Beijing Administration of Industry and Commerce said they had dealt with dozens of cases of fake products in the shopping mall so far this year. But the selling of fake goods still exists, especially at weekends, according to the official. The official said they are keeping tight inspection on fake goods. The Silk Street market, or Xiushui market in the Chaoyang District, has been popular with overseas tourists who have flocked to buy counterfeit and knock-off luxury clothes and accessories since 1985. In March 2005, the outdoor market moved to a multi-story building next to the Xiushui Street.

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Nearly 5,000 officials were punished for squandering public funds in the first half of this year, according to the Ministry of Supervision (MOS).The government took disciplinary action ranging from warnings to dismissal against 4,866 officials from the Communist Party of China and government bodies, after an investigation found their use of funds violated rules.The joint investigation of officials suspected of using public funds for banquets, overseas tours, luxury cars or entertainment was launched earlier this year by the MOS, the Ministry of Finance, National Office of Audit, Government Offices Administration of the State Council and the Ministry of Foreign Affairs.Earlier this month, the Central Commission for Discipline Inspection (CCDI), the Party's graft buster, slammed officials at a local procuratorate for taking an overseas tour on taxpayers' money.Xu Wenai, vice procurator-general of East China's Anhui Province, was removed from his post for wasting public funds on the trip to Finland.A delegation of 10 people from the procuratorate headed by Xu was found to have fabricated an invitation from the Finnish government in November 2006.The CCDI investigation found the delegation also tampered with business travel routes, adding a number of destination countries.The incident caused a nationwide stir, with many provinces considering tighter regulations to screen officials who plan to take overseas trips for international conferences or study.The central authorities have urged government at all levels to implement the country's anti-corruption policies and called on all Chinese officials to avoid wasting public funds.Xinhua-China Daily

China has paid its dues to the UN in time, one of China's representatives to the world body has said."This year, assessed contributions (UN membership dues) and peacekeeping assessments both will go up significantly for China, with the total being 0 million, a 42 percent increase against last year," a member of China's delegation to the Fifth Committee of the 62nd UN General Assembly, Yu Hong, said.Speaking at a conference on "Improving the Financial Situation" of the UN in New York last week, he said China has provided equipment worth more than million to its peacekeeping troops in Sudan and Liberia, too.The country will pay the bulk of its outstanding peacekeeping dues before the end of the year, Yu said."China has a very good reputation in fulfilling its financial promises to the UN," Wu Miaofa, a UN expert with the China Institute for International Studies, said. "China has become an active participant and constructor of the organization."The increase in China's financial contribution and its fulfilment of the promises show that it's willing to shoulder more international responsibility, he said.The UN's financial condition has deteriorated this year because of the rise in unpaid contributions."A sound financial condition is most important for the UN to perform its functions as the most important world body," Wu said, urging all member states to honor their financial obligations in time.

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In the latest move by some countries to construct new embassies or give their missions in Beijing a makeover, the Australian embassy will spend million refurbishing its already elegant building, the Australian ambassador announced Tuesday.The refurbishment will cover much of the embassy's high-traffic areas and incorporate all four levels of the Chancery building.A new 2,500-sq m annex building will also be constructed on the site, the ambassador added.The project will begin immediately after the 2008 Olympics and is scheduled for completion in 2010.Geoff Raby, the Australian ambassador to China, said the number of embassy staff had increased to 190 resident Australian diplomats and their families and 120 Chinese staff.He recalled there were about 32 Australian staff and 60 Chinese employees when construction of the embassy was completed in 1992, making it one of more iconic buildings in Beijing."The Australian embassy in China is one of our biggest embassies in the world," Raby said.It is a sign that Australia attaches more importance to its relations with China, the ambassador said.Woods Bagot, a global studio specializing design and consulting that operates in Australia, Asia, the Middle East and Europe, will implement the project with Chinese local design institute UAD and multinational engineers Arup."The (Australian) government demanded new thinking for a new diplomatic era in China," Jason Marriott, managing principal of Woods Bagot, said.The Australian embassy is located in the second diplomatic neighborhood on Dongzhimenwai Street.The first diplomatic neighborhood is near Jianguomenwai and a third one is north to Liangmahe.The United States has plans for a new embassy project in the third diplomatic neighborhood after Republic of Korea and Malaysia finish their new buildings.Wang Fan, a researcher of international relations with China Foreign Affairs University, said the embassy building and renovation boom symbolized how important China was to foreign countries' diplomatic strategies.

Chairman of the US Joint Chiefs of Staff Marine Gen. Peter Pace inspects the guard of honor during a welcome ceremony at the Defence Ministry in Beijing March 22, 2007. [Reuters]"Clearly, both the United States and China have enormous military capacity, but equally clearly neither country has the intent to go to war with the other. So absent of intent, I don't find threat," General Peter Pace, chairman of the Joint Chiefs of Staff said. "We should not focus on how to fight each other but how to prevent military action. That is what my government is focused on, and that is what my Chinese counterparts here have said their government is focused on." Pace arrived in Beijing Thursday for a four-visit which as he said is aimed at boosting military ties Pace said he had discussed the sensitive topic of Taiwan with the Vice Chairman of the Central Military Commission, Guo Boxiong, Defence Minister Cao Gangchuan and Foreign Minister Li Zhaoxing. "It is not surprising that in each of the meetings, the issue of Taiwan came up. It is clearly a fundamental issue with China," he said. Asked about the possibility of a conflict over Taiwan, he said: "I believe there are good faith efforts among all the leadership to prevent that." Pace said he had repeated US President George W. Bush's position that the US leader "would not support Taiwan independence" and that Washington wanted the issue to be handled peacefully. Pace's visit follows a US announcement last month that it plans to provide over 400 missiles to Taiwan.China's military is proposing officer exchanges and other confidence-building measures with the US Army and may be inching closer to setting up a "hotline" for emergency communication with Washington, according to Pace. Pace said he immediately agreed to study the proposals put forward Friday by Gen. Liang Guanglie, chief of the PLA's General Staff Department. "To me this was a very good, open discussion and one that I found very encouraging," Pace told reporters in Beijing. Liang's proposals included sending Chinese cadets to the Army academy at West Point as well as participating in joint exercises and humanitarian and relief-at-sea operations "that might be able to build trust and confidence amongst our forces." Military exchanges were largely suspended following a collision between a US spy plane and a Chinese jet fighter over the South China Sea in 2001.  Pace said the sides agreed to keep discussing setting up a "hotline" between either military or civilian leaders that would help ease any future friction. "The Chinese military understands as well as I do that the opportunity to pick up the phone and talk to somebody you know and smooth out misunderstandings quickly is a very important part of relations between two countries," Pace said.