UPDATE 1- PRESS DIGEST - China - July 1

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BEIJING/SHANGHAI, July 1(Reuters) - Chinese newspapers available in Beijing and Shanghai carried the following stories on Tuesday. Reuters has not checked the stories and does not vouch for their accuracy.

CHINA SECURITIES JOURNAL

-- Huayi Electric Co (600290.SS) and a new energy subsidiary of Huaneng Group plan to build a wind farm in eastern China's Zhejiang province with 34.32 megawatts of capacity. The two parties plan to invest a total of 300 million yuan ($44 million) in the project.

-- Steel product exports in June may hit a high for the year due to the increasing price difference between the overseas and domestic markets, but analysts said an export tax hike to curb outflows was unlikely anytime soon.

-- Caterpillar Inc (CAT.N) announced plans to build a plant in Nanjing in eastern China to make small hydraulic excavators. Construction may start in early 2009, pending government approval. It did not give an investment figure.

SHANGHAI SECURITIES NEWS

-- Russia's Avtotor auto plant has stopped assembling vehicles for Chinese companies, dealing a blow to Chinese automakers with ambitions in Russia.

-- Shang Fulin, chairman of the China Securities Regulatory Commission, recently reiterated a commitment to promote healthy and stable development of the markets.

CHINA BUSINESS NEWS

-- Baosteel Group, China's top steel producer, launched production at a plant in the southwestern city of Chengdu that will produce 460 million beverage cans annually.

FINANCIAL NEWS

-- China's securities regulator has approved the initial public offering application of Everbright Securities, one of the country's 10 biggest brokerages and the second one to win IPO approval.

CHINA DAILY (www.chinadaily.com.cn)

-- Up to 30,000 people took part in a "mass action", a Chinese term for riots or demonstrations, in Weng'an county, Guizhou province on Saturday, torching government buildings and smashing and burning cars after local residents were angered by alleged police and official abuse.

-- More than $4 million from Norway, the European Union and the United Nations Development Programme will be invested to help 31 Chinese provinces draft programmes to tackle climate change in the next two years.