International Law

Fun with Reciprocity

By Stan

Fund managers associated with the Chinese government have indirectly confirmed they were interested in picking up the stakes, probably at distress prices, in Morgan Stanley, which is battling for survival. But they worry that the US government will block any such move by the newly created China Investment Corporation. [read more]

Here’s a nifty idea: Washington and Beijing agree that if the former allows a Morgan Stanley deal to go through, then the latter will stop making noises about the proposed Coca-Cola acquisition (of a large Chinese juice company).

Sounds fair, doesn’t it?

Besides, the U.S. government doesn’t really care about this stuff, they just don’t want to look bad in front of their rabid nationalistic constituents. Believe me, these days most Americans will be happy to see anyone pick up a distressed financial services company.

Now is a good time for deal making.

Full post as published by China Hearsay on September 22, 2008 (boomark / email).