The implications of industrial disputes in China in the first half of 2010

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China is an East-Asian country governed by the  (CPC) under a  system, where the president is Hu Jintao and Wen Jiabao the Premier Minister. The capital is Beijing, a large city of approximately 11 million people.

It is one of the biggest countries in the world and its area is about 9.5 million square-kilometers. The population exceeds 1.2 billion (93% Han Chinese and 7% immigrant including Mongol, Zhuang, Manchu and Uighur) or almost one-sixth of world’s population.

China owns the inside of these five border regions and 22 provinces, including Hong Kong but with a special administration.

The official language is Mandarin, as spoken in Beijing. But there are also many different dialects.

China’s major industries are iron, steel, coal, machinery, textiles and renewable energies. The currency used is the Yuan Renminbi (RMB).

In contrast, mainland China's eastern-seaboard is low-lying and has a 14,500 kilometer-long coastline. This is bounded by the , beyond which lies ,  and . The Chinese civilization was born more than 6,000 years ago and is one of the world’s first civilizations. China was plunged in civil wars that separated the country into two main political camps; the Kuomintang and the communists. In 1949, when the war was almost finished and won by the Communist Party, they created the People’s Republic of China.

Before 1978, the People's Republic of China was a -style centrally-.  and capitalism did not exist. The People's Republic of China was self-closed throughout its first three decades. To propel the country towards a modern industrialized communist society, Mao Zedong instituted the  in 1958 which concerned the development of agriculture and industry. He wanted China to compete with the USA, but his plan failed. In 1978, Deng Xiaoping established a Chinese economic reform which aimed to transform China's stagnant, impoverished  into a  capable of generating strong . This reform was a success and has permitted China to become one of the most important countries in the world. Today China has an important international role and is involved in several organizations and it labour is recognized in the worldwide, lot of companies move out their production but there is more and more pressure on the labour.

We will study the consequences brought about by the industrial disputes in China during the first half of 2010. First we will focus on the ascent of China, secondly why these disputes appeared and finally, we will analyze the consequences.


           China is a country which has experienced several wars, change of government and huge poverty rates. China follows the Japanese model of coastal Greenfield heavy industrialization.

In 1978, economic reforms began and happened in two main stages.

The first, in the early 1980s promoted the decollectivization of agriculture, foreign investment and agreement for entrepreneurs to get own their own businesses. In spite of this measure, most businesses did not grow and has even slowed growth.

The second stage, in the late 1980s promoted the privatization, outsourcing of much state-owned industry and the lifting of price controls, regulations and protectionist policies.

However, sectors such as banking and petroleum remained at state monopolies. The sector which benefited the most was the private, which in 2005 represented about 70% of China’s GDP.

Following Mao's death and the end of the ,  and the new Chinese leadership began to  and move to a market-oriented  under one-party rule. But the Communist Party of China tried to insert a market economy in developing special zones.

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The idea of development zones and export bases had emerged in the early 1960s without much result.

The first Special Economic Zones (SEZs) was created in  near Hong Kong and then in other Chinese cities. Exports were boosted by a steady devaluation of the Yuan, whose value almost halved against the US dollar between 1980 and 1985.

At this period, exports began to surge. For example, in 1985 exports reached $25 billion compared to $10billion in 1978.

The SEZs were created with special privileges such as tax breaks and subsidies to attract foreign investment, technology and expertise.

With to the ...

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