Politics China's Economy and Politics

[Hiryu2.0]

Chinese Tech Titans Are Losing Their Global Backers

China’s biggest technology companies, which had generated rich returns for global investors in years past, are losing their appeal among many of their early backers.

www.forbes.com

 

[Picanha]

Thanks wasn't aware of that.

Berkshire Hathaway sold 600 million of BYD stocks.

Warren Buffett's Berkshire Hathaway has sold about $600 million of Chinese EV maker BYD's stock in under 2 months

Buffett's company has trimmed its stake in the automaker by 8% since mid-July, making a roughly 35-fold return on its money.

markets.businessinsider.com

Only Germans keep shoving billions in there until the very last minute as I predicted earlier Brudermüller sends some greetings and a much needed IG Farben Werk for Xitler.



Its already beginning

​

Exclusive: U.S. weighs China sanctions to deter Taiwan action, Taiwan presses EU

The United States is considering options for a sanctions package against China to deter it from invading Taiwan, with the European Union coming under diplomatic pressure from Taipei to do the same, according to sources familiar with the discussions.

www.reuters.com

 

[Picanha]

Instead of tax revenues ( -14% ) fine your populace bad celery 10000$ pricemeddling for potatoes 43000$

Must read the comments...

US$43,000 fine for ‘jacking up’ potato price shines light on China’s fiscal woe

Local authorities in China are struggling with slashed revenues resulting from the property sector slump as well as tax rebates as part of efforts to help coronavirus-hit businesses.

www.scmp.com

 

[Picanha]

SL Green takes control of Park Ave. office tower from bankrupt China firm

Pressing its campaign to establish a formidable East Midtown core, SL Green added another trophy to its burgeoning portfolio.

nypost.com

 

[Picanha]

China’s ponzi-like property market is eroding faith in the state

Its meltdown could scarcely come at a worse time for Xi Jinping

www.economist.com

Time is ticking....

 

[pigmode]

G7 nations to take tougher line on trade with China

The Group of Seven major economies have agreed to take a tougher, more coordinated stance toward China when it comes to trade, Germany’s economy minister said Thursday. After a two-day meeting with fellow G-7 officials, Minister for Economic Affairs and Climate Protection Robert Habeck told...

news.yahoo.com

“The naivety toward China is over,” Habeck said, referring to Germany's own position on China. “The time when one said ‘Trade, no matter what,' regardless of the social or humanitarian standards, ... is something we shouldn't allow ourselves anymore.”

 

[Picanha]

Ever few german companies want to go to China. They learned their lesson.

Only some selected few large corporations keep investing there 1/3rd of all EU investions are made by just 4 German companies.

Immer weniger deutsche Firmen wollen nach China

Eine neue Studie zeigt: Ein Drittel aller europäischen Investitionen entfällt auf nur vier deutsche Großkonzerne. Was das bedeutet.

www.sueddeutsche.de

 

[Picanha]

So when the totally not state controled GTCN feels compelled to set things straight...

European companies lean toward Chinese market as demand for sustainable shipments grow amid global turbulences - Global Times

www.globaltimes.cn

I guess the opposite is true.


For German companies it all ends with the Hermes Bürgschaften (Gov. guarantees) moving to other countries and not being able to be applied to China anymore.

Reading how they want to kill the West punish it and its children and my tax money should go to secure BASFs adventures there?

?

 

[Picanha]

Select German industries even "demand" the Hermes gurantees. Otherwise they will do.... yes what?

Make Habeck responsible for their adventures in KZ land?

BASF setzt auf Hermes-Garantien für China-Projekte | LUDWIGSBURG24

Ludwigsburg

www.ludwigsburg24.com

I bet they wouldn't do it without guarantees.

 

[Picanha]

China to Latin America: All your fish belong to us​

China to Latin America: All your fish belong to us

 

[Chazman]

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[Picanha]

A Ponzi scheme by any other name: the bursting of China property bubble

Only state intervention can save the day, but the pain is likely to fall on ordinary citizens, say observers

www.theguardian.com

Finally they begin to call it a Ponzi scheme.

The Chinese real estate market must be one of the most chaotic and criminal in any large economy. It begins with the fact that you can't own stuff in reality.

Once it really surfaces many people also in the West will lose trillions. Its not sustainable.

I was at the hardware store and looked at the poor quality stuff (armatures for baths) from China. Thats not sustainable once you don't find costumers for your sub-sub-par super expensive in relation products.

All pieces of flimsy metal you can bend it buttons on armatures made of plastic. I had a faucet whichs lifting button to switch from shower to faucet just ripped off piece of plastic it was. Why not put a metal cap on, it like we had in the pass good for a 100 years?

I threw it all out and replaced it for quality stuff


I already chose GIRA for the electric fittings in a project I had. I told the guys not to use cheap stuff.

Das ist Gira: Schalter, Smart Home, KNX und mehr.

Erfahre hier, wie Gira Dein Wohnen mit Smart Home-Produkten komfortabler macht.

www.gira.de

If I press them in 50 years they're still good.

If all their building construction is of similar quality....

 

[Picanha]

Steel production falling over 5%. Less export from Korea to China suggesting less production in China w. Korean parts.

Growth likely to drop from double digit to zero.

China’s Economy ‘Dismal,’ Will See No Growth, New Report

The country's growth under Xi likely dropped to zero from regular double-digit gains.

www.forbes.com

• “The financial world’s focus on a generational surge in inflation in advanced economies is stealing attention from a generational slowdown in China that is arguably of much greater importance for the long-term global outlook.”

In other words, ignore China’s economic worsening quagmire at your peril.

 

[Picanha]

Now also deflation risks, but expectable as the internal market seems broken and powerless.

It will be no deflation because of better efficiency.

Deflation Looms in China Amid Property Crisis, Survey Shows

China faces increasing risks from deflation as demand crumbles under the weight of an ongoing property crisis and is threatened by continued Covid restrictions -- a stark contrast with other major economies, according to a private survey.

www.bloomberg.com

 

[Picanha]

Now its out for all to see you have the "official numbers" and the "private numbers" - good ole communism

China's factory, services surveys suggest economy struggling to rebound

China's factory activity eked out growth in September, but a slowdown in services sector growth and a downbeat private manufacturing survey pointed to further cooling as the economy grapples with COVID-19 curbs and softening global demand.

www.reuters.com

 

[Picanha]

Fudging the figures in China. While we in the West see when we have a recession, which is natural and today its brought upon by outside events. We are quasi at war. In China ist just meddling in the numbers to fake growth and that everything is fine. A recipe for disaster because like Corona the economy is a real thing.

China crisis: Six numbers that highlight rising distress in Asia’s largest economy

Six seemingly random numbers, when threaded together, demonstrate that some kind of negative watershed event may not be too far off in China.

www.euromoney.com

Exports overstated by 15 % Chinese export numbers are higher than what US declares it has imported.

And much more in teh article

 

[Picanha]

This is what then happens to you. The CCP state doesn't care....

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In the West you could at least sue...

 

[Picanha]

Good explanation of Chinas government financing system presenting only good numbers from afar but lots of local government financing vehicles and humongous guarantees by the state for those companies. Now the scope tightens as to what can be provided by the state as every other stimulus leaves less room for an other one.

Sinking tax revenues add to it.

Thats why these financial actions now are always getting less and less money from the gov.

This impression is misleading, however. Lurking behind the central government’s excellent balance sheet lies a vast array of contingent liabilities, including debt issued directly by local governments, borrowing by local government financing vehicles, government-backed spending funds – special construction funds and government guidance funds – and debt borrowed by China’s enormous state-owned policy banks (China Development Bank, Export-Import Bank of China and the Agricultural Development Bank of China). These other forms of government debt in China are large and growing rapidly. Taken together, they are nearly five times larger than explicit central government debt (Figure 1).

China’s economic recovery is balance sheet constrained - OMFIF

The era of fiscal trade-offs in China has begun

www.omfif.org

The Balance Sheet Constraints on China’s Economic Stimulus

As China faces major economic headwinds, Beijing’s attempts to stimulate growth are constrained by large contingent liabilities and a struggle for fiscal control with local governments.

www.seafarerfunds.com