China says U.S. benefits from its market

BEIJING, Jan. 18 (UPI) -- The growth of U.S. investments in China shows the Communist giant has become "the profit engine" for U.S. business, People's Daily said.

In a lengthy piece, "Trade engagement with China benefits U.S.," published ahead of President Hu Jintao's much publicized summit meeting with U.S. President Barack Obama in Washington, the official organ of the Chinese Communist Party said the United States had invested $65.2 billion in about 59,000 projects in China as of the end of last year, "making China the profit engine for American business."

The report, quoting last year's survey by the U.S. Chamber of Commerce in China, said 71 percent of American business in China was profitable in 2009 and 46 percent of those interviewed said they made more money from their China investments than others. The report said more U.S. investments were planned by major corporations this year in China, now the second largest trading partner with 2010 bilateral trade totaling more than $385 billion.

The article reminded that currently, "China holds the largest amount of U.S. bonds" and even during the global financial crisis, China "continued to buy them, which played an important role in maintaining a stable U.S. financial market."

It said despite these benefits and developments, Washington has "continued to voice its discontent about China, especially on problems such as China's 'excessive trade surplus and the 'undervalued' yuan."