US Benefits From China Stimulus

Construction in China boosts US business, from steel to fried chicken
By Clay Dillow,  Newser Staff
Posted Apr 30, 2009 9:29 AM CDT
A worker stands near the Chinese Pavilion under construction at the site of the World Expo 2010 in Shanghai on Tuesday.   (AP Photo)
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(Newser) – While Americans await the fruits of their $787 billion bailout, China is moving ahead with public-works projects at a staggering pace, pumping up its own economy as well as America’s, the Wall Street Journal reports. US industrial-equipment makers, struggling with effectively zero domestic growth, are back near record levels in China, where, for example a $930 million bridge project began just 11 days after approval.

China has a backlog of “shovel-ready” projects for its $585 billion stimulus, popularizing a new buzzword: jiakuai, or “build it quick.” The boom has also bolstered US steelmakers, increasing demand and keeping Chinese steel from flooding foreign markets. Construction isn’t the only beneficiary: Yum Brands, parent of KFC and Pizza Hut, opened 98 new restaurants in China in the first quarter, with 475 planned this year.