The Shanghai Food & Drug Safety Administration is jittery these days. After a string of product safety scandals, it has decided to investigate Johnson & Johnson baby products for potential carcinogens, after a US health and environmental activist group published a report claiming they contain levels of carcinogenic formaldahyde and 1,4-dioxane. According to Johnson & Johnson, the trace levels of these compounds are low enough for the US Food and Drug Administration, but China can’t afford to risk taking their word for it. Nor is China willing to abandon its claim to the resource-rich Spratly Islands. China is considering sending more “advanced fisheries patrols” to the area, presumably the same sort of fisheries patrol it send to pester a US intelligence vessel last week. Chery Automobiles has decided to hold off on its JV with Fiat, but says it’s not breaking off the relationship, it just needs some time alone. If Fiat is suspicious, it has cause; Chery Chairman Yin Tongyao allowed that Chery might be secretly interested in Volvo.