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International Business News
AirAsia launches 'Redbox' low-cost courier service
Al-P, Kuala Lumpur
Budget carrier AirAsia Thursday launched "Redbox," an express courier service it says will be 50 percent cheaper than its rivals.
AirAsia founder Tony Fernandes said the new venture would expand the low-cost carrier's non-airline revenue and help protect it from future oil-price spikes.
"There is a huge untapped consumer market. I don't think many individuals use courier services," he told a news conference.
Fernandes said the Malaysian courier industry was worth 500 million ringgit (140 million dollars) annually and that he intended to capture 30 million ringgit of that in the first year, a goal he said was "easily achievable."
The company is billing Redbox named after the airline's signature colour -- as the world's first low-cost courier service.
"It will build strong revenue, and bring costs down for business so they can be more efficient," Fernandes said.
Currently, 12 percent of AirAsia's revenue is from ancillary services like food sold on planes, and Fernandes is aiming to boost that figure to 20 percent within the next few years.
AirAsia is partnering with Mail Boxes Etc, which will provide collection points for packages, and technology consulting firm DMSBT, which will establish an Internet service to track individual shipments.
China's car sales surge 36pcin June
AFP, Beijing
Sales of China's domestically made cars rose 36.5 percent year-on-year in June, another sign that government stimulus measures were driving the sector's recovery, state media said Thursday.
Chinese car makers and their joint ventures with foreign partners sold more than 1.1 million units in June, Xinhua news agency reported, citing the China Association of Automobile Manufacturers (CAAM).
In the first six months of the year, car sales increased by 17.7 percent from the same period in 2008 to 6.1 million units, while output jumped 15.2 percent to 6.0 million units, both new historic half-year highs, it said.
June marked the fourth consecutive month that car sales topped 1.1 million units, CAAM said.
The government's revitalisation plan for the car industry, signs of a recovery in the general economy and the return of consumer confidence helped the sector, said Zhu Yiping, CAAM's assistant secretary general, according to the report.
"The global financial crisis had some short-term impact on the domestic auto market. But it did not change the industry's fast development trend," she said.
Australian jobless rate edges up to 5.8pc, beats forecast
AFP, Melbourne
Australia's unemployment rate edged up 0.1 points to 5.8 percent in June, official figures showed Thursday, reaching a six-year high but beating analyst forecasts.
The figure, lower than the expected 5.9 percent, raised hopes that the government's prediction of eight percentplus unemployment next year would prove pessimistic.
The Australian Bureau of Statistics said part-time employment defied expectations to rise by 400 positions over the month, while full-time jobs declined by 21,900.
"This is a tremendous result," Commsec chief economist Craig James told Sky Business.
"The fact that we've had this global financial crisis, most economies around the world are in recession and unemployment rates in other parts of the world up around 9.0-9.5 percent."
The government predicted in its May budget that unemployment would hit 8.25 next year, peaking at 8.5 percent in mid-2011, although the jobs market was proving more resilient than expected.
Philippines central bank trims interest rates further
AFP, Manila
Philippine monetary authorities Thursday trimmed key interest rates by a 25 basis points as part of efforts to boost a stalling economy, the central bank said.
The bank's policy-setting monetary board reduced the overnight borrowing rate to 4.0 percent and the overnight lending rate to 6.0 percent amid signs inflation would not be a problem any time soon, a central bank statement said.
The key rates are now down two percentage points from December 2008, and the central bank suggested its rate- cutting exercise was now done for the time being.
Monetary authorities estimate that average inflation would be "keeping within the target ranges for 2009 and 2010," the statement said.
"Given prevailing downside pressures on prices and output due to the impact of weaker global economic activity on domestic demand, the reduction in policy rates will support economic activity as banks are expected to pass on the lower borrowing costs to clients," it added.