China Economy: News & Discussion

[SexyChineseLady]

Despite the chip bans, China actually suffers far less from the chip shortages because they make a lot of the mature nodes used in products like cars.

China’s automakers flood Mexico’s markets thanks to ample chip supplies
While manufacturers in Mexico struggle with production, sales of Chinese cars are booming.

China’s automakers flood Mexico’s markets thanks to ample chip supplies

While manufacturers in Mexico struggle with production, sales of Chinese cars are booming.

restofworld.org

Augusto Galván has worked with carmakers in Mexico for over 20 years. He runs a factory in central Mexico that builds custom air-conditioning systems for manufacturers in the region’s automaking industry, including Toyota and Volkswagen. During his time in the industry, his factory’s managers usually leased cars for company travel from carmakers Galvan has provided air conditioners to. But this year, the managers have gone with Chinese brands, like Chirey and MG, for the first time. “It surprised me that they would choose them, but it turns out they were the only ones immediately available at the dealerships,” Galván told Rest of World.

During the first six months of 2022, Chinese carmakers like MG, Chirey, and JAC Motors have increased their sales in Mexico by 200% compared to 2021, according to the Mexican Association of Automotive Dealers (AMDA). The spike is happening as non-Chinese carmakers manufacturing in Mexico — like BMW, Volkswagen, and General Motors — are struggling to get their hands on semiconductors to keep producing vehicles, both for export and the local market. Talking to car dealership managers, customers, and employees from the auto industry, Rest of World found that Chinese carmakers are seizing the opportunity provided by the semiconductor crisis to start selling to a consumer base that has long been buying cars from elsewhere.

“Mexico is one of the largest car producers in the world,” André Oliveira, business consulting partner for Sintec, a consulting firm specializing in the automotive, IT, and manufacturing businesses, told Rest of World. “However, it doesn’t have chip factories and depends on imports, mainly from Asian countries.” AMDA added that installing a semiconductor factory in Mexico takes at least three years.

 

[SexyChineseLady]

So it begins

China's Zhengzhou, home to world's largest iPhone factory, ends Covid lockdown

Major Chinese cities, including financial hub Shanghai and Zhengzhou — home to the world's largest iPhone factory — said Wednesday they were lifting Covid lockdowns.

amp.cnn.com

China's Zhengzhou, home to world's largest iPhone factory, ends Covid lockdown. Other cities do the same
By Juliana Liu, CNN Business
Updated 9:48 AM EST, Wed November 30, 2022

Hong Kong(CNN Business)Major Chinese cities, including financial hub Shanghai and Zhengzhou — home to the world's largest iPhone factory — said Wednesday they were lifting Covid lockdowns.

 

[KurtisBrian]

So it begins

China's Zhengzhou, home to world's largest iPhone factory, ends Covid lockdown

Major Chinese cities, including financial hub Shanghai and Zhengzhou — home to the world's largest iPhone factory — said Wednesday they were lifting Covid lockdowns.

amp.cnn.com

China's Zhengzhou, home to world's largest iPhone factory, ends Covid lockdown. Other cities do the same
By Juliana Liu, CNN Business
Updated 9:48 AM EST, Wed November 30, 2022

Hong Kong(CNN Business)Major Chinese cities, including financial hub Shanghai and Zhengzhou — home to the world's largest iPhone factory — said Wednesday they were lifting Covid lockdowns.

In Korea, a K and G are the same, Gim/Kim, Gimchi/Kimchi.
Think in the same terms in English and we have Ken become Gen or a Negative. Ken, a plastic toy DOLL person who represents a negative man of the Genghis horde (hoard). Interestingly Nazi (Na is sodium aka so dumb, so dumb ite) German Hilter's first name is A DOL(L) F.
Do the same with my handle and Kur tis becomes Gur tis. rug.
Remove Kurtis/Gurtis and the rug is pulled out from everyone.

Guess we will see if the rug has indeed been pulled out from everyone.

 

[FalconSlayers]

China's economy has a lot of greys, their only hope only remains infra and real estate to maintain their economy since manufacturing output has saturated, they build bullet trains like no tomorrow and then sit on $1 trillion in debt caused by it. They have literally 40,000 km of bullet trains and they want to fuckin take it to 80,000 km coz they know constructing such infeasible bullshit will sustain china's GDP even if it means a $2-3 trillion debt getting added coz most of chinese HSR is burning cash like crazy.


They literally built 8,685 km of metro rail which didn't make financial sense but they still did it and are still building thousands of kilometres of metro just to boost growth because such high value projects cost a bomb hence perfect for their economy, not to mention all the roads-to-nowhere built and still under construction which they take pride in showing how prosperous and developed they are, they can jerk over saying we have more bullet train lines than the rest of the world combined or we have more metro length than the rest of the world combined, it just adds to their debt and hinders long term growth prospects.

Real estate is what floats chinese economy thats why CCP reduced interest rates further while rest of the world was increasing it to control inflation because reducing interest rates will give relief to chinks buying their 2nd, 3rd or 4th home which remains idle for decades and creates ghost cities.


Shit like this can't be and shouldn't be replicated by India if it wants its long term prosperity, we build infra with feasibility in mind and grow accordingly, we're spending $2 trillion under National Infrastructure Pipeline on necessary infra and not tofu dreg BS.

 

[Arjun Mk1A]

That Bullet train construction is basically Ego Trip of CCP Province Heads. They built some non-profitable ones and got fucked up.

 

[Varzone]

So it begins

China's Zhengzhou, home to world's largest iPhone factory, ends Covid lockdown

Major Chinese cities, including financial hub Shanghai and Zhengzhou — home to the world's largest iPhone factory — said Wednesday they were lifting Covid lockdowns.

amp.cnn.com

China's Zhengzhou, home to world's largest iPhone factory, ends Covid lockdown. Other cities do the same
By Juliana Liu, CNN Business
Updated 9:48 AM EST, Wed November 30, 2022

Hong Kong(CNN Business)Major Chinese cities, including financial hub Shanghai and Zhengzhou — home to the world's largest iPhone factory — said Wednesday they were lifting Covid lockdowns.

Do you think the protests had something to do with it?

 

[Varzone]

 

[KurtisBrian]

Mob rule. Mob wants to steal the wealth of others. Just like parasitic mobster thieves creep in to do in other places. Usually via debt or begging for a job. The revenge part is the greedy retarded mob is a bom(b) for the economy, wealth, creativity and nation.

by their deeds you will know them.

 

[SexyChineseLady]

Do you think the protests had something to do with it?

Most definitely

 

[RoaringTigerHiddenDragon]

Looks like the peasants are slowly waking up to reality. The CCP destroyed HK and the peasants are now apologizing for it. At least the peasants have some honor. Will the CCP tyrants ever grow a spine? Probably not. They will continue to be the slimy, bottom feeding, back stabbing dirty bas$%#ds.

 

[RoaringTigerHiddenDragon]

That Bullet train construction is basically Ego Trip of CCP Province Heads. They built some non-profitable ones and got fucked up.

The guy who first was put in charge of the HSR was a CCP Vice President who massively benefited from corruption. He was jailed but most likely executed by now. It is clear that the HSR was used to launder money and benefit from bribes by the corrupt party secretaries. There is a reason these party secretaries own a dozen luxury cars and several mistresses with hefty allowances to go shopping for pradas and Burberrys. A small cut of everything goes to these leeches who are sucking blood of the poor peasants everywhere.

 

[Abdus Salem killed]

Redirect Notice

www.google.com

 

[ym888]

The guy who first was put in charge of the HSR was a CCP Vice President who massively benefited from corruption. He was jailed but most likely executed by now. It is clear that the HSR was used to launder money and benefit from bribes by the corrupt party secretaries. There is a reason these party secretaries own a dozen luxury cars and several mistresses with hefty allowances to go shopping for pradas and Burberrys. A small cut of everything goes to these leeches who are sucking blood of the poor peasants everywhere.

It was Liu Tiejun, China's minister of railways, who was sentenced for corruption. It is true that he embezzled a lot of money, but when he was in office he led the rapid development of China's high speed rail, so many Chinese people think he did a good job.

 

[SexyChineseLady]

HSR has grown hand in hand with the growth of China's economy, technical base and urbanization.

If it is not worth it then China would have stopped many moons ago because it is a huge infrastructure project that if there were no economic return then there would have been no money to build it!

The return for China's economy from HSR is in fact 8 percent according to the World Bank

 

[RoaringTigerHiddenDragon]

HSR has grown hand in hand with the growth of China's economy, technical base and urbanization.

If it is not worth it then China would have stopped many moons ago because it is a huge infrastructure project that if there were no economic return then there would have been no money to build it!

The return for China's economy from HSR is in fact 8 percent according to the World Bank
View attachment 184602

HSR investments were done for one and one reason only. To boost GDP artificially when CCPia was hit by the global financial crisis in 2008. Most lines are bleeding. With huge debt and massive line losses, the HSR is perennially caught in a debt trap.

China looks to slow growth of struggling high-speed rail

Plan will derail local governments' efforts to boost economic figures

asia.nikkei.com

 

[SexyChineseLady]

HSR investments were done for one and one reason only. To boost GDP artificially when CCPia was hit by the global financial crisis in 2008. Most lines are bleeding. With huge debt and massive line losses, the HSR is perennially caught in a debt trap.

China looks to slow growth of struggling high-speed rail

Plan will derail local governments' efforts to boost economic figures

asia.nikkei.com

To boost GDP artificially. What does that mean? Can you boost your income artificially and suddenly buy a new car?

You either have the money to buy the car or not

 

[RoaringTigerHiddenDragon]

To boost GDP artificially. What does that mean? Can you boost your income artificially and suddenly buy a new car?

You either have the money to buy the car or not

Yes you can. You can borrow shit loads of non-existent money and just build and build until real estate becomes 30% of your GDP. GDP does not measure asset quality and that’s the trap the stupid CCP economists have fallen in trying to match the west dollar for dollar. However, the asset quality and returns of assets in democratic countries like India are much higher and more transparen.
And for the CCP politburo when all these assets start declining in value and collapsing, you can bleed the peasants even more by directing all their hard earned moneys to be used as collateral to generate even more risky debt and keep building assets that are constantly declining in value. Hence no long term value generation in your stock markets. Now that the economy has collapsed in CCP land, the party secretaries have nowhere to hide. The pants are off and peasants are lining up with sticks to bleed the CCP goons asses.
Of course the peasants get killed when they demand their money back from banks, but that is not going to stop them. CCP’s engineered, low quality GDP is at a total risk of collapse. Hence all the billionaires and millionaires are taking the first available boat to exit the dysfunctional CCPia.

 

[SexyChineseLady]

Yes you can. You can borrow shit loads of non-existent money and just build and build until real estate becomes 30% of your GDP. GDP does not measure asset quality and that’s the trap the stupid CCP economists have fallen in trying to match the west dollar for dollar. However, the asset quality and returns of assets in democratic countries like India are much higher and more transparen.
And for the CCP politburo when all these assets start declining in value and collapsing, you can bleed the peasants even more by directing all their hard earned moneys to be used as collateral to generate even more risky debt and keep building assets that are constantly declining in value. Hence no long term value generation in your stock markets. Now that the economy has collapsed in CCP land, the party secretaries have nowhere to hide. The pants are off and peasants are lining up with sticks to bleed the CCP goons asses.
Of course the peasants get killed when they demand their money back from banks, but that is not going to stop them. CCP’s engineered, low quality GDP is at a total risk of collapse. Hence all the billionaires and millionaires are taking the first available boat to exit the dysfunctional CCPia.

I'm sorry but this is nothing but a coping mechanism when you imagine that kind of convoluted scenario -- very similar to Indians saying China has no reliable aircraft engines when hundreds of frontline Chinese fighters are flying on them

You are bending logical facts that are staring you in the face. Infrastructure cannot be built artificially. You either have the wealth to do it or not. You cannot just borrow from some global bank somewhere (actually you can but they never give enough for a HSR network and you need to change your governance to match some Western criteria which isn't about to happen in commie China.)

Building infrastructure which requires real raw material which in turn requires hard currency is the last thing you'd do if you want to embezzle

Most officials in the third world steal money by NOT building anything and instead move the liquid assets (fund not used to actually build anything) overseas which is why countries from Uganda to India are underdeveloped in infrastructure. China is overdeveloped in infrastructure which locks wealth inside China.

Things in the world is very simple. You need real money to build things and you need lots of real money to build huge projects like the HSR network.

Anyways, who does China borrow from? China is a creditor nation, it loans to other countries including the US! And the HSR is a resource intensive project that requires lots of raw material especially iron ore from the rest of the world. Yes, artificial GDP will get the Australians, Brazilians and others to just give their resources to China free? Of course not

 

[RoaringTigerHiddenDragon]

I'm sorry but this is nothing but a coping mechanism when you imagine that kind of convoluted scenario -- very similar to Indians saying China has no reliable aircraft engines when hundreds of frontline Chinese fighters are flying on them

You are bending logical facts that are staring you in the face. Infrastructure cannot be built artificially. You either have the wealth to do it or not. You cannot just borrow from some global bank somewhere (actually you can but they never give enough for a HSR network and you need to change your governance to match some Western criteria which isn't about to happen in commie China.)

Building infrastructure which requires real raw material which in turn requires hard currency is the last thing you'd do if you want to embezzle

Most officials in the third world steal money by NOT building anything and instead move the liquid assets (fund not used to actually build anything) overseas which is why countries from Uganda to India are underdeveloped in infrastructure. China is overdeveloped in infrastructure which locks wealth inside China.

Things in the world is very simple. You need real money to build things and you need lots of real money to build huge projects like the HSR network.

Anyways, who does China borrow from? China is a creditor nation, it loans to other countries including the US! And the HSR is a resource intensive project that requires lots of raw material especially iron ore from the rest of the world. Yes, artificial GDP will get the Australians, Brazilians and others to just give their resources to China free? Of course not

- no country has real estate as 30% of gdp. And empty ghost cities, malls, theme parks all over. Anyone who thinks this is not asset inflation to prop up GDP needs to check into a mental asylum. HSR falls into the same category. 90% of lines are running at massive losses.
- anyone who does not acknowledge that the CCP forcibly directed the peasants’ savings to be invested in worthless projects and ponzi real estate schemes should be handed over to the peasants, especially ones whose families were killed during the run on banks to get their hard earned moneys out, so they can be shot in the town square.
- anyone who thinks India’s infrastructure is related to African levels of infrastructure , despite international rankings clearly putting India in top 50 rankings in every infrastructure sector, is a giant troll worthy of zero respect and need to be trampled upon like a cockroach.

Looks like you fit into all 3 above?

 

[SexyChineseLady]

- no country has real estate as 30% of gdp. And empty ghost cities, malls, theme parks all over. Anyone who thinks this is not asset inflation to prop up GDP needs to check into a mental asylum. HSR falls into the same category. 90% of lines are running at massive losses.
- anyone who does not acknowledge that the CCP forcibly directed the peasants’ savings to be invested in worthless projects and ponzi real estate schemes should be handed over to the peasants, especially ones whose families were killed during the run on banks to get their hard earned moneys out, so they can be shot in the town square.
- anyone who thinks India’s infrastructure is related to African levels of infrastructure , despite international rankings clearly putting India in top 50 rankings in every infrastructure sector, is a giant troll worthy of zero respect and need to be trampled upon like a cockroach.

Looks like you fit into all 3 above?

First of all, this is the actual distribution of China's GDP -- industry is BY FAR the largest contributor to its GDP (of course)

China: GDP composition by industry 2022 | Statista

A breakdown of China's GDP suggests that the contribution of industry and retail was more sizable than that of other sectors.

www.statista.com

Secondly, all those "ghost cities", malls, etc. still took a lot of capital to build which is a sign of surplus wealth in the real economy. You can say they are wasteful and inefficient use of money but they would never been built if China's GDP were fake or artificial as you say.

You can only pretend you have money to build a house until you actually need to build the house

Most countries cannot create infrastructure they desperately need never mind building excess whole cities like China is doing. You simply can't do that with "artificial" GDP because no one is going to accept empty air for actual materiel. The most you can say is they are wasteful.

(And the truth is we do not know if the so-called ghost cities are wasteful until you look into the future. China builds supply in advance because things especially real estate are cheaper now than in the future. But that is another discussion on developmental philosophy.)