Arraya,
I’ve been following the Chinese acquisitions of commodity producers. The Rio tinto debacle was interesting one. I agree there is a concerted china govt policy to lock up and secure commodity supply.
We’ll be seeing more and more Chinese cars in the US in coming years. Alot of components already being made there. Volvo is now Chinese owned. Huge amount of production already going on. Interesting player in emerging electic/hybrid market will BYD, huge producer of batteries, primarily for cell phones. Now taking that knowhow and applying it to car batteries. They have the scale to drive down prices to make electic vehicles feasible. Buffet is big investor. I’mI scoping some targeted investments in that area. Chinese love cars.
Smartest thing the Chinese government can do is to mandate that 20% of cars in China be electic or be hybrid. They could jumpstart a domestic clean car industry, leapfrog the west, and help clean up their pathetically polluted cities. My prediction is you will see inexpensive, good Chinese made all electric and hybrid cars in 7 years, earlier with with China owned (originally western brands, e.g Volvo)
