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China Brides Want Diamonds.
Prices for diamonds in China are increasing between 30 and 40 percent according to Kevin Tomlinson, director of natural resources for Williams De Broe in London. Tomlinson told Australia's PM radio show that demand for diamonds in China is increasing because brides-to-be in China "are demanding of their men that if they want to get married, then they need to have a diamond." He added that demand growth has added pressure on the industry to find and mine more diamonds, especially in Australia.
Most analysts say the growth of the middle class in China has only just begun. This week, China revised gross domestic product (GDP) figures from 2004 pointing to larger gains than originally thought. For year 2004 China ranked No.7 in the world (behind Italy) at $1.6 trillion. On December 20, China revised its 2004 figures ahead 16.8 percent to $1.98 trillion, or slightly below France at No.5. But analysts say China is underestimating its total weight (and does not include Hong Kong or Macau in figures) to hide the nation's real strength.
If China included Hong Kong in national figures, it would jump to No.4, replacing the United Kingdom. The United States' economy is measured at $11.7 trillion, Japan at $4.6 trillion, and Germany at $2.7 trillion.
China measures its GDP with service sector returns (41 percent,) agriculture (13 percent,) and manufacturing (46 percent,) whereas nearly 70 percent of the United States' economy is based upon consumer spending.
According to Hu Yanni, of CSC Securities Co Ltd, consumers in China are not yet willing to spend their money on nonessential consumption, because they feel more pressure to spend on necessities, he told China's Interfax.
How do you say 'bling-bling' in Chinese?
Bling-bling!
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