PRC Economy - New Reflections : April 20 2015

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panduranghari
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Re: PRC Economy - New Reflections : April 20 2015

Postby panduranghari » 30 Mar 2018 11:57

Suraj saar is correct as usual.

To add, HK$ is a play on CNY. In 2016, the PBoC brought onshore Yuan - CNH and offshore Yuan - CNY, together. They were trading at different prices thus permitting arbitrage. So now post IMF SDR basket inclusion, the HK monetary authority has to work doubly hard to keep themselves where they are. If they let the exchange rate rise, then MANY loans will go sour. But market forces usually win inspite of the best efforts of the central bankers.

Raghava ji,

Could the 2 events you are wondering about be - the CCP party congress with reappointment of Jinping and the decision of Jinping to be a leader for life?




Austin
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Re: PRC Economy - New Reflections : April 20 2015

Postby Austin » 04 Apr 2018 17:49

Donald J. Trump
@realDonaldTrump
·
55m
We are not in a trade war with China, that war was lost many years ago by the foolish, or incompetent, people who represented the U.S. Now we have a Trade Deficit of $500 Billion a year, with Intellectual Property Theft of another $300 Billion. We cannot let this continue!

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Re: PRC Economy - New Reflections : April 20 2015

Postby Austin » 04 Apr 2018 17:50

$300 billion of IPR theft how is that possible ?

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Re: PRC Economy - New Reflections : April 20 2015

Postby nam » 04 Apr 2018 17:56

This is our chance to pull the rug under Chini manufacturing. Need to market ourself to American companies to spread their SC to include India and reduce risk.

Austin
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Re: PRC Economy - New Reflections : April 20 2015

Postby Austin » 14 Apr 2018 20:57

Fareed: Trump is right. China cheats on trade.


kit
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Re: PRC Economy - New Reflections : April 20 2015

Postby kit » 14 Apr 2018 23:18

Well the Trumper, if he does walk his talk, may walk right into his second presidency !!

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Re: PRC Economy - New Reflections : April 20 2015

Postby Austin » 18 Apr 2018 11:24

gab.ai/TheCol
‏ @desertfox61I
36m36 minutes ago

The dropping figures of GDP
1. Balance of trade dropped
2. Drop in industrial sector share
3. Drop in New investment

Image

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Re: PRC Economy - New Reflections : April 20 2015

Postby pankajs » 04 May 2018 23:53

http://www.scmp.com/news/china/economy/ ... ut-efforts
Stop the bleeding: private firm sends SOS over China’s debt-cut efforts

The bad news from private Chinese manufacturing conglomerate DunAn Group reached a head this week, catching many investors off guard.

The 31-year-old group based in Hangzhou, Zhejiang province, announced it was cancelling plans to issue two short-term bonds to raise a total of 900 million yuan (US$141.57 million) as well as suspending trading in two bonds and the stocks of two listed subsidiaries.

The announcement came just days after the group, which employs about 29,000 people, made a direct appeal to the province’s governor, Yuan Jiajun, for a bailout.

<snip>

“If a credit default happens, it will deliver a serious blow to many financial institutions in Zhejiang and may even cause systemic risks,” the group said.

The plea comes as Beijing tries to stamp out financial risks by tightening its grip on shadow banking, issuing new rules for the asset management industry, and consolidating financial regulation.

Analysts said deleveraging would not change any time soon as a policy focus, but the slow expansion of overall credit and declining corporate profits could hit growth later this year.

This is not a story of a company going bankrupt which is how most folks will read it.

If China is serious about controlling the sky-high risk that has piled up because of its policies following the 2008 GFC how many such instance are we going to see going forward? And what will be its impact on the growth story that is China?

If the Chinese government backs off in the face of many "too big to fail" company implosion what will happen to the "systemic risks" that they are trying to avert using this latest "deleveraging ... policy focus"?

One way or the other there is going to be a massive dislocation in the Chinese economy within the next 10 years.

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Re: PRC Economy - New Reflections : April 20 2015

Postby pankajs » 04 May 2018 23:58

http://www.scmp.com/news/china/economy/ ... uld-signal
China’s first current account deficit for 17 years ‘could signal fundamental shift’

Beijing has registered its first quarterly current account deficit in nearly 17 years, at a time when Washington has seized on the huge bilateral trade imbalance to pressure for more Chinese imports, wider market access and a level playing field.

The State Administration of Foreign Exchange (SAFE) said on Friday that China had recorded a deficit of US$28.2 billion in its current account – which covers merchandise and service imports and exports – for the first three months of 2018, in what is the first quarterly deficit since the second quarter of 2001.

SAFE tried to play it down by saying that the rare red figure in the current account was a result of “seasonal factors”, but economists said it could signal a fundamental shift in China’s international payment position, which in turn is a result of global economic rebalance in the last decade.

<snip>

This key source of hard currency for Beijing is starting to dry up. The merchandise trade surplus dropped 35 per cent year-on-year to US$53.4 billion in the first three months of this year, SAFE said. Meanwhile, the service trade deficit, including tourism, was US$76.2 billion, resulting in an overall current account deficit, according to China’s official balance of payment figures.

The previous deficit dated back to 2001, when the country joined the World Trade Organisation, which paved the way for the explosive growth of its exports and an economic take-off in general.

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Re: PRC Economy - New Reflections : April 20 2015

Postby Vasu » 07 May 2018 12:04

China is about to give global finance the chance of a lifetime

To deliver on longstanding pledges and help stave off the threat of tariffs from U.S. President Donald Trump, Chinese officials have set a June 30 deadline to ease ownership and business restrictions for banks, securities firms, asset managers and life insurers.

Securities firms like Goldman Sachs Group Inc. and UBS Group AG have an opportunity to boost their share five fold as they take more direct control of joint ventures, projections by Bloomberg Intelligence show. Insurers including AIA Group Ltd. are set to cash in on their already healthy presence, while banks like HSBC Holdings Plc and Citigroup Inc. face a steeper road ahead to build market share, but will reap juicy profits as they do so.

Earnings at foreign banks are set to grow by more than 10 times by 2030. Even so, they’ll remain bit players. The broader impact will come as their entry improves lending standards and chips away at a system that’s geared heavily in favor of bloated state-owned enterprises, to which banks channel loans betting that Beijing will bail them out if needed.

Foreign-backed securities ventures’ profits are forecast to almost quadruple as their share increases five fold by 2030. UBS has already submitted an application to acquire a majority stake in its Chinese venture, becoming the first global bank to take advantage of the latest commitment to open up. Goldman Sachs -- which has been quietly laying the groundwork for a beefed up onshore business -- plans to significantly increase both headcount and the amount of capital it deploys once it can get control.

As part of the opening measures, China pledged to lift foreign ownership in mutual fund management and futures firms to 51 percent by June and remove any limit in three years. Given the massive investment pool, if foreign firms can squeeze just a 6 percent share by 2030, that would give them $1.8 trillion in assets under management.

China’s big financial opening won’t be without risks and setbacks. The heavy hand of the state will need to recede before foreigners jump in with confidence. Capital account opening -- with all the volatility that can entail -- will need to resume so investors know they can get their cash out, not just in.

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Re: PRC Economy - New Reflections : April 20 2015

Postby pankajs » 13 May 2018 13:00

http://www.scmp.com/news/china/economy/ ... onger-term
China’s new way to kick the can down the road on government debt: longer-term bonds
The finance ministry will for the first time allow provincial and municipal governments to issue 15- and 20-year bonds – previously the longest maturity was 10 years – according to a notice released earlier this week.

<snip>

“Debt repayment pressure is big this year, particularly for some of the local governments,” said Wen Laicheng, a professor of fiscal science at the Central University of Finance and Economics in Beijing. “It’s a standard practice that many new issuances will be used to repay old debt.”

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Re: PRC Economy - New Reflections : April 20 2015

Postby pankajs » 13 May 2018 13:08

http://www.scmp.com/news/china/economy/ ... ises-alarm
‘One leak and we’ll all drown’: top Chinese lawmaker raises alarm over river of local government debt [14 March 2018]
China’s debt mountain remains an ominous threat to the world’s second-biggest economy, and will take years to remedy, according to a prominent Chinese lawmaker.

Yin Zhongqing, who was re-elected on Tuesday as a deputy director of the National People’s Congress’s financial and economic affairs committee, said Beijing’s official figures for local government debt – 16.5 trillion yuan (US$2.6 trillion) overall as of the end of last year – could be underestimates, with many government liabilities disguised as corporate debt.

Yin said internal government assessments put the size of “hidden and disguised” local government debt at “at least 20 trillion”, making China’s official figure less than half of the real total.

Yin also said the percentage of non-performing loans in China’s banking system at the end of last year was much higher than the official 1.74 per cent because banks often rolled over problematic loans or hid risky debts.

Yin said the cause of the country’s debt problem was excessive printing of money in the past decade, with the amount in circulation quadrupling between 2007 to 2017 to 168 trillion yuan, or over 200 per cent of China’s nominal GDP.

“It is like a river hanging over our heads – if there’s a leak, it will drown us,” he said.

<snip>

But Yin said the local government debt situation “is even more dangerous than before because they [liabilities] have been covered up” in forms such as equity investment, government service procurement, public-private partnership projects and state-owned enterprise debt.

“This is actually debt incurred by local governments, and they will eventually default.”

The assessment gives a glimpse of the concerns at the top about financial risk, a priority Chinese President Xi Jinping has set for the coming years.

There are many risks, but the focus is on financial risk. Financial risk is the biggest risk and can lead to the worst possible result,” Yin said. “When we are talking about systemic risks, we are talking about financial risks; when we are talking about preventing risks, we mean a financial crisis must be avoided.”

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Re: PRC Economy - New Reflections : April 20 2015

Postby pankajs » 14 May 2018 07:41

Nothing is written in stone and future is unpredictable but more and more economic commentators are convinced that the China growth story is ending.

http://www.scmp.com/news/china/economy/ ... xi-jinping
China’s economic growth story will be cut short under Xi Jinping, research firm predicts

Economists say expansion will slow to 2 per cent by the end of next decade because of headwinds and structural restraints
China’s growth will slow to 2 per cent by the end of the next decade from 6.9 per cent last year, a London-based research firm has predicted, painting a gloomy picture for the world’s second biggest economy.

<snip>

The Chinese government has also forecast a modest slowdown in growth. An article in state-run People’s Daily in 2016 by an “authoritative figure” widely thought to be Liu He, who is now vice-premier, argued that China’s growth curve would be “L-shaped” – meaning it would hover long-term at a medium growth level.

But Beijing does not expect a sharp deceleration. Cai Fang, vice-president of the Chinese Academy of Social Sciences, a prominent government think tank, told the South China Morning Post in March that economic growth was expected to remain above 3 per cent through 2050.

Cai Fang's statement can be interpreted in multiple ways but I read it as 3% average over the next 30-35 years.

This is where India will catch up with China in the medium and long term. Do you best in India and China problem will take care of itself in the long-term. That India will have to make some tactical adjustments in the interim is to be expected.

This is where patience comes in as a strategic choice ... a damn good choice!

This is what I had written a few days back on this very page on risk to the Chinese economy, extrapolating from another news item from China.
pankajs wrote:If China is serious about controlling the sky-high risk that has piled up because of its policies following the 2008 GFC how many such instance are we going to see going forward? And what will be its impact on the growth story that is China?

If the Chinese government backs off in the face of many "too big to fail" company implosion what will happen to the "systemic risks" that they are trying to avert using this latest "deleveraging ... policy focus"?

One way or the other there is going to be a massive dislocation in the Chinese economy within the next 10 years.

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Re: PRC Economy - New Reflections : April 20 2015

Postby Austin » 14 May 2018 14:52

Donald J. Trump

@realDonaldTrump
President Xi of China, and I, are working together to give massive Chinese phone company, ZTE, a way to get back into business, fast. Too many jobs in China lost. Commerce Department has been instructed to get it done!

8:31 PM - May 13, 2018

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Re: PRC Economy - New Reflections : April 20 2015

Postby pankajs » 15 May 2018 10:51

Forget outsiders like myself but what are the insiders saying ....

http://www.scmp.com/news/china/economy/ ... st-beijing
China’s financial risk greater than official numbers suggest, Beijing adviser says
Nation’s economy has been ‘hijacked’ by property, creating a huge threat to financial stability, government counsellor Xia Bin warns
In a speech made in the Chinese capital, Xia Bin, who has been advising the State Council – China’s cabinet – on financial policy since 2009, painted a far less rosy picture of the country’s financial industry than the one presented by Beijing.

“Systemic risks are elusive and spread fast” in China, said the 67-year-old, who was a key figure in a clean-up campaign of non-banking financial institutions two decades ago, when he was a senior official at the People’s Bank of China.

Beijing must remain alert to the threat of a financial crisis, he said, adding that government indicators did not reflect the true dangers.

China’s official non-performing loan ratio, for instance, bore little resemblance to the true figure, he said.

“From a dynamic perspective, it should be beyond [the official figure of] 2 per cent.”

Similarly, banks’ exposure to the property market was far higher than official figures suggested, he said. Official numbers say that about a quarter of all outstanding bank loans are linked to real estate, but Xia said the real figure could be as high as 80 per cent if all loans that used property as collateral were taken into account.

The whole Chinese economy had been “hijacked” by property, and that had created an enormous threat to the country’s financial stability, he said.

<snip>

Much of China’s financial risk stems from a massive government stimulus package. From 2009-12, the combined money supply was 50 trillion yuan (US$7.89 trillion), while a further 70 trillion yuan was pumped into the economy in the five years that followed.

Xia said that China had learned a lesson from adopting such a loose monetary policy and that it would not be seen again.

“[The government] needs to strike a delicate balance,” he said. “If it tightens [its monetary stance] too much, bigger risks will appear, but it can’t keep loosening it, as it will eventually have to take responsibility [for doing so].”

The growth of M2, the broad measure of money supply, slowed to 8.3 per cent at the end of last month, from 17.8 per cent in 2008.

In its monetary policy report released on Friday, China’s central bank said “structural and other deep-rooted problems still restrain the economic growth” and that “there are still heavy tasks for structural adjustment, reforms and resolving important risks.

If this is true then India has to just focus on Indian economy/growth, strengthen border [defensive stance], work with our neighbors when possible and let the Xina story unfold and run its natural course.

This is patience as a strategy.


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Re: PRC Economy - New Reflections : April 20 2015

Postby Austin » 20 May 2018 08:51

China Will `Significantly' Boost U.S. Purchases. By How Much is the Question.
Ros Krasny and John McCluskey
May 19, 2018, 11:13 PM GMT+5:30
Updated on May 20, 2018, 6:44 AM GMT+5:30

Beijing envoy says both sides pledge to avert trade war
No word on reports China to cut surplus by $200 billion


https://www.bloomberg.com/news/articles ... hite-house

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Re: PRC Economy - New Reflections : April 20 2015

Postby A_Gupta » 20 May 2018 17:26

The fragility of the Chinese economy is also touched upon in this Bloomberg opinion piece:
https://www.bloomberg.com/view/articles ... force-open
China's Economy Is Too Frail to Force Open

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Re: PRC Economy - New Reflections : April 20 2015

Postby Austin » 27 May 2018 11:33

Trump Says China's ZTE to Pay $1.3 Billion Fine to Re-Open

https://www.bloomberg.com/news/articles ... n-business

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Re: PRC Economy - New Reflections : April 20 2015

Postby Austin » 29 May 2018 21:18

US To Impose 25% Tariff On Chinese Tech Goods

https://www.zerohedge.com/news/2018-05- ... tech-goods

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Re: PRC Economy - New Reflections : April 20 2015

Postby pankajs » 01 Jun 2018 09:59

http://www.scmp.com/business/companies/ ... ing-crisis
Will China’s debt woes develop into a full-blown banking crisis?

A rising tide of corporate debt defaults is spooking investors in China’s financial markets and sparking some concern that another banking crisis may be just around the corner.

More than 20 mainland firms have failed to meet bond or loan repayments so far this year, many of them the victims of monetary tightening as Beijing tries to ward off financial risks by reducing borrowing levels.

With bonds worth about 20 trillion yuan (US$3.12 trillion) due to expire within the next year, and tighter liquidity making it difficult for indebted companies to access new financing, there are fears the number of defaults could start to spiral.

<snip>

China’s debts at the end of last year’s second quarter represented 268 per cent of the country’s economic output, according to a JP Morgan report.

Unlike in western financial markets where bond defaults are nothing unusual, repayment failures in China are often viewed as a potential cause of social unrest.

It was not until March 2014 that China’s bond market saw its first default when Shanghai Chaori Solar Energy Science & Technology failed to make an interest payment.

Prior to that, the authorities would step in to bail out struggling corporate borrowers with cash injections or restructuring plans to ensure repayments would be made.

China could do it again i.e. rollover the loans and report pristine bank balance sheet with zero NPA.

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Re: PRC Economy - New Reflections : April 20 2015

Postby Austin » 03 Jun 2018 17:06

China warns US that tariffs will kill any chance of trade benefits

http://money.cnn.com/2018/06/03/news/ec ... index.html

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Re: PRC Economy - New Reflections : April 20 2015

Postby Austin » 04 Jun 2018 14:32

Steve Bannon Weighs in on Trump's China Strategy


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Re: PRC Economy - New Reflections : April 20 2015

Postby A_Gupta » 08 Jun 2018 17:11

https://www.bloomberg.com/view/articles ... king-about
For all the talk of China’s mountain of debt, defaults and deleveraging, there’s a chasm nobody is talking about.

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Re: PRC Economy - New Reflections : April 20 2015

Postby Austin » 15 Jun 2018 18:28

Trump slaps China with $50 billion in trade tariffs on imports :lol:

https://www.rt.com/business/429851-trum ... g-with-50/

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Re: PRC Economy - New Reflections : April 20 2015

Postby chola » 15 Jun 2018 18:42

Trade war is on! No turning turning back this time.

For those of you who thinks China is playing Unkil over NoKo?

Trump got the chinis to pressure Fatty Kim into the Singapore meeting by delaying the tariffs. Once they had direct communications with the NKoreans, he punches the lizard in the nose with the tariffs. LOL

You watch, the US is going to get NoKo to give up nukes by giving them access to the US market (like fellow E Asian commie Vietnam.)

And the US won’t have to withdraw from SK which is what the chinis want.

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Re: PRC Economy - New Reflections : April 20 2015

Postby Austin » 15 Jun 2018 23:46

Why China 'holds all the aces' in a full-blown US-China trade war

https://www.cnbc.com/2018/06/15/why-chi ... e-war.html

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Re: PRC Economy - New Reflections : April 20 2015

Postby nam » 16 Jun 2018 01:32

There is very simple work around for this drama. For example, Foxconn, a taiwanese company, which makes Iphone will "suddenly" start making them in it's factories in India.

Translation. Manufacture in China, move the phones to country like India and export from India. Everyone is happy. Some US Companies, who genuinely want to balance their risk would ask OEM to have units in other places.

Overall, it is an opportunity for us. We will not get another opportunity like this. And as long as US and India is a market, will always hold the ace.

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Re: PRC Economy - New Reflections : April 20 2015

Postby Austin » 16 Jun 2018 08:04

US will also impose tariffs Barrie’s on india on some or other ground indeed it has done so.

US wants all manufacturing to come back in their own country

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Re: PRC Economy - New Reflections : April 20 2015

Postby Austin » 16 Jun 2018 20:10

China Imposes 25% Retaliatory Import Tariffs on 659 US Goods Worth $50 Bln

https://sputniknews.com/business/201806 ... a-tariffs/

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Re: PRC Economy - New Reflections : April 20 2015

Postby Yagnasri » 18 Jun 2018 07:18

I think the US as a market has good scope to pressurise China as long as DT at the helm of the affairs. With the kind of exports, they do to the US-China will be deeply damaged is there is a serious trade war. The US, on the other hand, may have a lot of popular support for the Trade wars and there are other countries from which they can import the stuff though not in the quantities they need and not in a short notice period. More problematic will be US treasury bills China own now. That will be the threat to the US.

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Re: PRC Economy - New Reflections : April 20 2015

Postby Austin » 19 Jun 2018 10:57

US Futures Plunge After Trump Calls For $200BN More In Chinese Tariffs, Beijing Vows To "Hit Back"

https://www.zerohedge.com/news/2018-06- ... iffs-china
Update 2:China has just made it clear that the relentless tit-for-tat trade war escalation isn't stopping any time soon:

CHINA SAYS TO HIT BACK IF U.S. ROLLS OUT NEW TARIFF LIST

CHINA MOFCOM SAYS U.S. TARIFF DECISION AGAINST MARKET RULES

CHINA WILL TAKE STRONG COUNTERMEASURES IF U.S. ISSUES NEW LIST

CHINA COMMERCE MINISTRY SAYS IF U.S. PUBLISHES ADDITIONAL IMPORTS TARIFF LIST, CHINA WILL HAVE TO ADOPT COMPREHENSIVE MEASURES TO FIGHT BACK FIRMLY: RTRS

CHINA COMMERCE MINISTRY SAYS U.S. THREATS ON $200 BILLION TARIFFS LIST DISOBEYS NEGOTIATION AND CONSENSUS REACHED PREVIOUSLY BETWEEN TWO COUNTRIES: RTRS

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Re: PRC Economy - New Reflections : April 20 2015

Postby Rahulsidhu » 19 Jun 2018 12:25

Looks like the Americans haven't been very smart about the new tariffs:

https://www.bunniestudios.com/blog/?p=5349

The new 25% tariffs announced by the USTR, set to go into effect on July 6th, are decidedly anti-Maker and ironically pro-offshoring. I’ve examined the tariff lists (List 1 and List 2), and it taxes the import of basic components, tools and sub-assemblies, while giving fully assembled goods a free pass. The USTR’s press release is careful to mention that the tariffs “do not include goods commonly purchased by American consumers such as cellular telephones or televisions.”

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Re: PRC Economy - New Reflections : April 20 2015

Postby g.sarkar » 19 Jun 2018 23:18

https://www.reuters.com/article/us-usa- ... SKBN1JF18O
What can Beijing do if China-U.S. trade row worsens?
Ryan Woo JUNE 19, 2018
BEIJING (Reuters) - China and the United States sank into a deepening trade conflict that roiled financial markets Tuesday after U.S. President Donald Trump threatened to impose tariffs on an additional $200 billion of Chinese products, prompting Beijing to accuse Washington of starting a trade war.Trump said Monday his threat was retaliation for China’s decision to raise tariffs on $50 billion of U.S. goods over the weekend, a move that itself was in response to additional U.S. tariffs on Chinese products announced Friday.
The sheer size of Trump’s latest threat makes it impossible for an in-kind response from China since the value of the goods involved exceeds by $70 billion the total value of U.S. imports to China last year, U.S. data shows. China could be prompted to react in other ways. Here are some possible scenarios.
MORE TARIFFS
After threatening on Friday additional tariffs of 25 percent on $50 billion of American products, China can raise tariffs on more U.S. goods, such as aircraft. It could also increase the size of the tariffs on the goods that it is targeting.
But it can only go so far.
China imported $129.89 billion of U.S. goods last year, compared with U.S. purchases of $505.47 billion of Chinese products, according to U.S. data. The figures differ from those provided by Chinese customs, which showed China imported $153.9 billion of U.S. goods and the U.S. purchased $429.8 billion of Chinese products. Either way, even if Trump goes on to impose tariffs on $300 billion or even $400 billion of Chinese goods, Beijing could only levy duties on a total of $100-plus billion of U.S. products. To escalate the trade war, China would have to turn to non-tariff measures.
BUSINESS BOTTLENECKS
China could create costly bottlenecks for U.S. imports.
In May, importers and industry sources told Reuters that China had intensified inspections of goods shipped from the United States, compared with more random checks in the past. The products affected ranged from pork and vehicles to fresh apples and cherries.
Importers said they had been told that the checks were merely “technical” in nature. U.S. apples, cherries, some vehicles and pork are already on China’s tariff hit-list. China could also impose new regulations on U.S. products and companies to either limit their presence in the world’s second-largest economy or even ban them altogether. For years, U.S. firms such as Facebook and Alphabet’s Google have long been blocked from offering their products in China.
.....
Gautam

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Re: PRC Economy - New Reflections : April 20 2015

Postby A_Gupta » 02 Jul 2018 17:10

https://www.bloomberg.com/news/articles ... tocks-slip
China Stocks Sink in Worst Start to Second Half in Three Years
Shanghai stocks have tumbled into a bear market amid concern the economy will struggle to withstand rising tensions with the U.S. China’s purchasing manager index readings for June released on Saturday showed a gauge of export orders shrinking, suggesting the trade war is already weighing on growth. Domestic issues are also hurting sentiment, with a gauge of property shares falling to the lowest since October 2016 on Monday.

"Expectations that China will impose more property controls are weighing on developer shares as the market is still overheated," said Jiang Yining, a Shanghai-based analyst with Capital Securities.

souravB
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Re: PRC Economy - New Reflections : April 20 2015

Postby souravB » 04 Jul 2018 02:39

China Presses EU Against USA
China is putting pressure on the European Union to issue a strong joint statement against President Donald Trump’s trade policies at a summit later this month but is facing resistance, European officials said.

This bit is very interesting
Despite Trump’s tariffs on European metals exports and threats to hit the EU’s automobile industry, Brussels shares Washington’s concern about China’s closed markets and what Western governments say is Beijing’s manipulation of trade to dominate global markets.

“We agree with almost all the complaints the U.S. has against China, it’s just we don’t agree with how the United States is handling it,” another diplomat said.

pankajs
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Re: PRC Economy - New Reflections : April 20 2015

Postby pankajs » 04 Jul 2018 22:59

Party .. party !!

https://www.theepochtimes.com/chinese-r ... 82378.html
Chinese Regime Pushes Into Private Sector With Stipulated Role in Company Charters

Dai Wei, Ofo’s CEO, said the company’s move would allow the Party committee to provide input into the company’s major decisions.

“Many private internet companies are all establishing Party committees” within their companies, said Dai, adding that he believed it was important for the Party to be “incorporated into business management” and “corporate development.”

According to Xinhua, Ofo officially established its Party committee in July 2017. Since then, major decisions such as employee hiring and appointments have all gone through the committee first before implementation.

Two state-run companies, Shanghai Guosheng Group, an investment company, and Guiyang Baiyun City Construction Investment Company, have also recently announced that they will incorporate the Party into their company charters.

Party committees are part of the Chinese regime’s efforts to exert its influence on all facets of society. Universities and workplaces—both domestic and foreign companies—are required to establish such committees, though enforcement of this rule has only become stringent in recent years. A recent Xinhua article bluntly points out the Chinese regime’s intentions: “to guarantee that the Party’s leadership infiltrates every aspect [of the company] and allows the Party to be the core of corporate governance.”


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