According to a report by the Asian Development Bank (ADB) economic growth in China is expected to dip to hit 9.9 percent this year and 9.7 percent in 2009. Concerning the East Asia in general the growth rate will moderate to 7.6 percent in 2008 and 2009 comparing with a growth rate of 9 percent in 2007. Such economic growth slowdown is attributable to the global economic slowdown, sharp rise in food and energy prices and inconstancy of the financial markets.

Rising inflation is a serious threat to the region’s sustained, strong growth as high import costs of food and fuel threaten to trigger a price and wage spiral, unleashing more inflation, the insider commented. Although the inflation rate had dropped 1.6 percent in February, the possible energy price liberation may bring the high rate back. And all signs show that a second-round price effect may be underway.

And the worsen economy situation especially the banking crisis has triggered global worry that the economic slowdown across the globe may continue. And Chinese economy is influenced by it.

From the slogan of Beijing Olympics, we can clearly assert the Chinese government put much emphasis on the environmental protection. The notion of the coming Olympics is to bring the world the Green Olympics, the Scientific Games and People’s Olympics, which highlighted the importance of environment and ecology.

According to a piece of news from China Daily, China has made a distinguished progress in the energy efficiency and energy consumption optimization. Most of provinces have reached the destination of energy-using cut of county’s 11th Five-Year Plan, especially the Hainan province, whose energy consumption per 10,000 yuan of GDP was less than 0.9 tons of coal equivalents, a very low level compared with other provinces.

Due to different industrial structure, Hainan province may own its advantage in the tourism and other smokeless industries, which consume less coal and crude oil. In contrast, the heavy industry based provinces are not lucky enough to avoid the serious pollution and huge energy consumption. However, I want to take Switzerland and Singapore as examples, although the main industry in these two countries is not heavy industry, but the national economy of them play an essential role in the world stage. Attributed to the reorganization of domestic industry structure, the sunrise and smokeless industry began to emerge as the important source of the taxes and GDP.

As the trend of world economy and the regulation of development, it’s a tendency that the industry would be more environment-friendly and the products would be more energy-saving. Hence, it’s the high time for the Chinese enterprises to adjust their strategy to meet the demands of the consuming market and contribute to the environmental protection.

Outsourcing industry is the promising industry, which is both energy-saving and environment-friendly. BPOVIA is the exact example to support my assumption. By providing the service of virtual assistants, it would cost little energy and desert no wastes. The implement of BPO and ITO are mainly based on the IT technology. Moreover, KPO (knowledge process outsourcing) and PPO (personal process outsourcing) has become the major service items of BPOVIA, which extremely help to reduce the cost of the clients and the wastes on the products and other regions. Since the service-providers and clients will never see each other during the transaction. The energy consumption of transportation will be saved.

According to the statistics released by the Customs, the export growth in June dropped by 20.6 percent to $21.35 billion, compared with that of May which witnessed a growth of 28.1 percent. Experts attribute the slowdown to the shrinking demand caused by the global economic slowdown and the increasing pressure on Chinese manufacturers because of yuan appreciation and high raw material cost. Based on this, it is estimated the export slowdown may continue in the next half of the year, forcing the government to reconsider certain export-related policies.

Some insiders said that the declining export growth is attributable to the rising labor and raw material costs, and the government’s tightening policies implemented since last year. And the global economic slowdown is making the situation worse.

The custom figures also show that the trade between China and India is increasing the fastest among China’s major trading partners. The bilateral trade stands at $29 billion, up 69 percent. EU remains China’s largest trade partner, followed by the US. And the imports of primary goods increased fast, which many be caused by the increasing price of the commodities in the international market.

An analyst with HSBC, said that the figures should raise people’s expectations on favorable government policies for export sectors. For example, the textile industry has called for a rise in export tax rebate. And Chinese government has since last years lowered or even removed the export tax rebate of some productions to curb the trade surplus. But some sectors are struggling as a result of a global slowdown, yuan appreciation and rising operating costs, hampering exports anyway.

According to the recent news from China Daily, one of the Beijing based outsourcing company was awarded the China Best Outsourcing Provider during the 5^th China International Summit for Client Service. To better serve its multinational clients, the company opened branches and research & development (R&D) centers in the US, Singapore. On the purpose of tackling with the challenges raised by the appreciating of RMB and rising labor cost, the company moved to the city located in centre China, where it can enhance its R&D and service capabilities.

As the recent research demonstrates, each professional in Indian companies on average generates double the revenue of its counterpart in China-while the value create by each employee in US companies is among the highest. The leaves a wide space for Chinese software outsourcing firms to develop future up the value chain.

Thus, it’s a trend for the outsourcing companies to extend their business to other regions of the world. BPOVIA is one of the ambitious outsourcing companies planning to establish its branch in Chicago, Illinois. Besides, the staff from BPOVIA are all proficient, energetic and earnest. BPOVIA have the capacity for the tasks from data entry, office work to the tasks require more advanced skills like website design, graphic design, internet research, etc.

The opening of branch in other countries is one of BPOVIA’s strategic destinations. Owing to the wise choice, the foreign customs would contact with company more easily. In addition, it’s definitely a terrific opportunities for the firm to broaden the business and promote the popularity and image. What’s more, the chain company in other countries will help the custom to save the time and cost on the process of bargaining and negotiation, which would eventually help the customs to make more profits. By offering efficient and flexible service, clients can focus on their core business and gain a competitive advantage in the market.

While world leaders gathered in Japan to find solutions to rising energy and food prices, a Chinese official reiterated that China’s support to biofuel development has not caused the global food price surge. Zeng Xiao’an, a deputy department director of the Ministry of Finance said China’s scale of fuel produced form corn is very small and China has already stopped all new projects.
China’s corn-based ethanol production capacity is only 1.3 million tons. But in the US, it’s 19.8 million tons. The US plans to produce 110 million tons of biofuel by 2020. It’s the United States that should take the blame for its massive production of fuels from corn and other grains that has pushed up their global prices. Facing the soaring food prices, especially since last August, the World Bank has said developed countries should reduce the amount of grain being used for fuel and increasing grain aid to regions worst hit by the food crisis.
Having a large population to support, China will not develop biofuel at the cost of grain security, said Zeng, but the central government will offer financial support for biofuel from agricultural waste, such as wheat straw, corn stalks, animal feces and non-grain farm produce, which China produces quite amount every year.
China has always encourage farmers to use green energies like biogas, methane which are both energy saving and environmentally friendly. And China is striving to build a environmentally friendly society.