Google, Sina.com team up
Search engine Google will team up with China’s top public portal Sina.com to tap into the world’s second largest online market, the Economy Daily reported. The two giants will work together in search and advertising. The partnership gives Google access to Sina.com’s customers in a country whose online search market is predicted to be worth US$590 million (RMB4.5 billion) by 2010. Google’s market share in China is about one-third of the nation’s top search engine Baidu.com. However, in the first quarter of 2007, Google’s Chinese market share gained two percentage points to 19%, while Baidu.com dropped one percentage point to 57%. Google spent US$5 million on a 2.6% stake in Baidu.com in 2004, selling the shares two years later for approximately US$63 million.

Shenyang Machine finds buyer, wants more
Northeastern-based Shenyang Machine Tool sold a 30% stake to US-based Cornerstone Financial, the official Xinhua news agency reported, citing Liu Yongsheng, the chief of Shenyang’s State-owned Assets Supervision and Administration Commission, which owns Shenyang Machine. No price was reported for the deal. Liu said the company was looking for a buyer for a further 19% stake. China’s largest machine-tool maker put 49% of the company up for sale last November through the Shanghai United Assets and Equity Exchange, according to the news agency.

Baoji signs titanium supply deal
Baoji Titanium Industry signed a US$131 million (RMB1 billion) contract to supply titanium to American aircraft manufacturer Boeing for a period of three years, the 21st Century Business Herald reported. Baoji Titanium – based in the northern province of Shanxi – will deliver 4,300 tons of titanium products to Boeing from 2007 to 2009, 780 tons of which are schedule to be delivered this year, according to a statement submitted to the Shanghai Stock Exchange. Major aircraft manufacturers such as Boeing and Airbus are using titanium to roll out lighter and more fuel-efficient aircrafts. China’s annual output of titanium is expected to reach 100,000 tons by 2010, compared to 19,000 tons last year.

2,000 pay for China Southern pilot training
Two thousand people have paid US$90,000 (RMB710,000) each to apply for a pilot training program offered by China Southern Airlines, the Yangcheng Wanbao reported. The company said it will employ graduates from the 18-month training program, which will include 250 hours flying time. Each hour of flying time will cost between RMB3,000 and RMB10,000, making up more than 90% of the training fee. Southern Airlines is the first carrier in China to ask students to pay for their own tuition. Normally, airline companies in China will cover all training expenses for pilots. A shortage of pilots and industrial relations disputes has prompted many Chinese carriers to employ pilots from overseas.

Ford recalls Mondeo sedans
US automaker Ford recalled 7,924 Mondeo sedans in China due to faulty dynamos, China Auto News reported. The recall covers 2.0-liter Mondeo manual sedans made locally between 7 January 2005 and 15 December 2006, the General Administration of Quality Supervision, Inspection and Quarantine said. The faulty dynamos may cause engines to stall.

Chongqing Lifan plans IPO
Chinese motorcycle and vehicle maker Chongqing Lifan is planning a Shanghai listing by the end of this year to support its overseas expansion ambitions, the Shanghai Securities News reported. The company, which started making compact cars in 2006, is aiming to raise US$590 million (RMB4.5 billion) by 2015 through the stock market, bank loans and commercial bills to build eight factories abroad. It also plans to increase sales of buses, trucks and cars 12-fold from 50,000 in 2006 to 600,000 by 2015. Lifan has abandoned its previous plan to go public in Hong Kong as a result of the Chinese government’s initiatives to encourage local equity offerings.

China Gas to invest in Inner Mongolia
China Gas said it will invest RMB400 million building a long-distance natural gas pipeline to meet soaring local demand for fuel in Inner Mongolia, China Economy reported. The 230-km pipeline will take gas from the Sulige gas field to the city of Erdos in Inner Mongolia. Sulige is China’s largest operating gas field. “On the one hand, the project will spur our cash flow and bring financial benefits to shareholders,” a company officer said. “On the other, it will assure us a stable supply of natural gas to underpin our downstream market.” China Gas is expected to supply 400 million cubic meters of gas in 2007, up from 176 million cubic meters last year.

ZTE inks major deals
Shenzhen-based telecommunications equipment maker ZTE Corp said it signed a US$310 million agreement to build a high-speed wireless network for China Mobile, China Business reported. ZTE, China’s largest publicly listed telephone equipment manufacturer, will provide China Mobile with cell phone network equipment worth US$278 million, with the remainder of the deal covering services. ZTE also said California-based Qualcomm Inc had increased an order for semiconductors from US$300 million over two years to US$500 million.