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Curbing polluters: Guangming Daily
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Some multinational companies cause environmental pollution in China in the pursuit of huge profits, says an article in Guangzhou Daily. The following is an excerpt:

Recently, the State Environmental Protection Administration made public the results of its inspection of illegal environmental deeds committed by 130 multinational companies, and three of them were found to have violated environmental regulations. According to another research institute, Research Center of the Public and Environment, as many as 260 multinational companies have caused water pollution in China while more than 50 have caused serious air pollution.

The key reason for the entry of polluting foreign enterprises into China is that local governments are so eager to attract foreign investment, they usually neglect environmental standards. Many multinational companies cherish their reputations as environmental protectors, but in China, this is not the case.

These companies consume a great amount of resources and reap huge profits, leaving severe pollution behind.

The fundamental reason for China's overheated economy and excessive liquidity is that these multinationals have focused on China's cheap labor force and loose environmental regulations. As a result, China's trade surplus expands, foreign currency reserves increase and liquidity becomes excessive.

In fact, 60 percent of the trade surpluses is caused by multinational companies. The poor environmental law is also to blame for the excessive liquidity.

Therefore, to protect the environment and ensure healthy economic growth, we must curb the severe pollution problems caused by multinational companies.

(China Daily January 15, 2008)

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