China to Start New Round Rural Computer Promotion

BEIJING, Mar 12, 2009 (SinoCast Daily Business Beat via COMTEX)

China will start the second round of bidding invitation for the subsidized promotion of low-price computers in the rural market of 31 provinces and municipalities around the country.

The Ministry of Commerce has announced a list for companies that are going to provide circulation services in the new round of household appliance promotion, including THTF (SHSE: 600100), Founder Technology (SHSE: 600601),Lenovo (SEHK: 0992) and China Mobile Ltd. (SEHK: 0941 and NYSE: CHL).

Amid the financial crisis, the Chinese PC market will be in hot water in the year of 2009, and witness sales volume of about 40.61 million, climbing 3% from a year earlier, predicted market research institute IDC.

The second round of promotion is to boost computer sales volume of 250 million at least, and sales value of not less than CNY 10 billion in the rural market, believed analysts.