MNI China Press Digest, Aug 29: Local Debt, Property, Trade

     BEIJING (MNI) - The following lists highlights from the Chinese press for

Wednesday:

     China should further control risks of local government debt Ministry of

Finance Liu Kun stressed, according to the official Xinhua News Agency. China

will curb some invisible debt by clamping down on illegal practices in

public-private partnerships, government investment funds and in governments'

activities to purchase services, Liu said. The central government will further

restrict projects at the local level that cannot repay the debt, Liu said. China

will more quickly issue plans and guidance for the market-based transformation

of local government financing vehicles, Liu noted.

     The Chinese government's tight regulations on the property market are

expected to affect property sales and housing prices in the "Golden September"

and "Silver October" period, which usually sees robust sales due to developers'

promotional activities, Securities Daily reported. China should be determined to

tackle problems within the property market and prevent housing prices from

rising, the Head of NDRC He Lifeng said on Tuesday, said The Daily. China should

quickly build a long-term system for the stable and healthy development of the

property market, stressed the Head of the Ministry of Finance Liu Kun on

Tuesday, according to The Daily. A special project to clamp down on illegal

practices of the property market, which seven governmental departments started

together in June, will last until December. During this time, property policies

will remain tight and the property market has high chances of cooling, the

newspaper said, citing an analyst from E-house Real Estate Research Institute.

     Most of the Americans participating in the August U.S. hearing on slapping

USD200 billion in tariffs on Chinese goods expressed disagreement on the

possible action, reported the official Xinhua News Agency. The tariffs would

increase costs for American consumers and companies, according to participants,

Xinhua said. Substitutes for Chinese goods would be hard to find, many noted,

Xinhua noted. Some tech companies stated that China did not force tech transfer

or infringe on their IP, according to Xinhua.

--MNI Beijing Bureau; +86 (10) 8532-5998; email: iris.ouyang@marketnews.com

--MNI Beijing Bureau; +86-10-8532-5998; email: beijing@marketnews.com

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