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Despite its bankruptcy reorganization in 2009 and efforts to turn around the American market, GM remains one of the best- positioned automakers in emerging markets, Magliano said."GM took the big risk moving into China with Buick some years ago, but now its global footprint is actually better than even Toyota's," he said. "Ford has made some good moves, but they are still trying to catch up in emerging markets."Nonetheless, the auto market is growing almost too fast for Chinese cities to control traffic. Car registration in Beijing has increased to 4.8 million from 2.8 million since 2005, with 700,000 new cars registered in the last year alone. The boom has created massive traffic problems in China's capital, the report said.In 2009, China surpassed the United States as the largest automobile market in the world. Across the nation, sales of passenger cars rose 33 percent in 2010 over the previous year, the report quoted the China Association of Automobile Manufacturers as saying.

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The White House Office of Political Affairs during the George W. Bush administration violated the law by giving briefings to political employees, concludes a government report issued Monday.The report says the electoral success of the Republican Party and possible strategies for achieving it often were on the agenda at some 75 political briefings at 20 federal agencies from 2001 to 2007. Prohibited political activities were prevalent in the months running up to the 2006 midterm elections, according to the report.The Office of Special Counsel concluded that such briefings should take place away from the federal workplace during nonbusiness hours and that attendance should be completely optional.Those who gave the briefings said they were intended to boost morale among political appointees and provide an overview of the "political landscape."However, witness testimony, e-mail messages and PowerPoint slides used at some of the briefings indicate that the meetings were more overtly political."Because most of the briefings took place during normal business hours and in government buildings, many of the briefings implicated the Hatch Act's prohibition against engaging in political activity while on duty or in a federal workplace," the report found.The Office of Special Counsel oversees compliance with the Hatch Act, which prohibits federal employees from engaging in partisan political activity.Hatch Act penalties call for violators, at most, to be removed from their government positions, so the report would appear to have no impact now that the Bush administration has been out of office for two years.A telephone message left at the Office of Special Counsel was not immediately returned.According to the bureau, Beijing's auto insurance premium income hit 15.28 billion yuan ($2.3 billion) in 2010, up 39.5 percent from the previous year. That of commercial auto insurance reached 11.97 billion yuan last year. That means the local government's restriction on auto purchases will probably result in a premium income loss of nearly 3.6 billion yuan this year based on average growth in the previous years.Auto insurance currently accounts for 42 percent of Beijing's property and casualty insurance market.To ease the worsening gridlock in the capital city, which boasts a population of about 20 million, municipal authorities now issues just 20,000 new vehicle license plates a month, meaning annual sales will plunge to 240,000 units in 2011 from 891,000 units in 2010.Local large property and insurance companies will suffer the most from the plummeting auto sales this year, with most of them registering negative growth in January, according to industry insiders.But as very few foreign insurance companies are running auto insurance in China right now, the impact on them will be quite limited."We still maintain a positive growth from the auto insurance sector in January, thanks to a big proportion of existing business and a much smaller part of new business," said Long Tong, marketing manager of Liberty Mutual Insurance Company (Beijing branch). It is the second-largest non-life-insurance company in the United States.According to Jiang Caishi, vice president of the country's largest non-life insurer PICC Property & Casualty Company Ltd, the company will make more efforts in exploring existing business either through improving services or products to offset the loss from the premium income of new auto insurance in Beijing.At the Justice Department, spokeswoman Tracy Schmaler declined immediate comment.