Year: 2024

Economic Slowdown of China Explained. China economy economy evergrande crisis china news real estate crisis economy of china china china economy explained economy slowdown economic slowdown 2024. China economic slowdown economic explained Biden India Russia xi jinping China economic crisis china economic growth chinese economy. GDP export resource minerals mines factory industry microchip import china us relations America economic condition of china. The economic situation of china china’s gdp over the years how bad is the chinese economy why china is slowing its economy china economy economics explained china economic crisis explained the future of chinese economy china vs us economy 2024. China has an upper-middle-income, developing, mixed, socialist market economy incorporating industrial policies and strategic five-year plans. It is the world’s second-largest economy by nominal GDP, behind the United States, and the world’s largest economy since 2016 when measured by purchasing power parity (PPP). China accounted for 19% of the global economy in 2022 in purchasing power parity(PPP) terms, and around 18% in nominal terms in 2022. The economy consists of public sector enterprises, state-owned enterprises, and mixed-ownership enterprises, as well as a large domestic private sector and openness to foreign businesses in their system. According to preliminary data released by the authorities, China’s GDP in 2023 was US$ 17.89 trillion with a real increase of 5.2% in 2024.Economy of China The FactsIn a little over four decades, China went from being one of the poorest countries in the world—with a real per capita GDP of only $156 US dollars in 1978—to joining the ranks of upper-middle-income countries with a real per capita GDP of $12,720 in 2022. The growth is particularly striking considering the country’s population size, sweeping territory, and vast heterogeneity.Comparing China’s real per capita GDP to the U.S.’s in purchasing power parity (PPP) terms, which takes into account differences in the two countries’ costs of living, China has grown from 4.1% of the U.S. per capita GDP level in 1990 to 28.4% of the U.S. level in 2022.Economy AnalysisIn an IMF report released in Jan 2024, the global financial policy body – also known as the IMF – projected China’s economic growth would drop to 4.6% in 2024, down from its 5.2% growth in 2023, and fall further to 3.4% by 2028.The property market, which has historically represented about a quarter of China’s GDP, has been a particular area of trouble for the Chinese economy lately, with a Hong Kong court ordering Chinese property giant China Evergrande, mired in more than $300 billion of debt, to liquidate.Also, the same analysis released on Jan 2024 predicted real estate investment will likely fall 30% to 60% in the next ten years relative to 2022 levels.China Economy SlowDownChina’s economic growth is likely to slow to 4.6% in 2024 and cool further to 4.5% in 2025, a Reuters poll showed, raising the heat on policymakers to roll out more stimulus measures amid deflationary pressures and a severe property slump.Gross domestic product or GDP is likely to grow 5.2% in 2023 – meeting the government’s annual growth target, partly helped by the previous year’s low-base effect which was marked by COVID-19 lockdowns, according to the median forecasts of 58 economists polled by Reuters.GDP in the fourth quarter of 2023 likely grew 5.3% from a year earlier, quickening from the third quarter’s 4.9% pace, the poll showed.Consumer inflation will likely pick up to 1.0% in 2024 from 0.2% in 2023, and rise further to 1.6% in 2025, the poll showed.The experts from major banks and institutions see the downturn deepening in the years ahead, predicting 4.4% for 2025 and 4.2% for 2026, amid the ongoing property crisis, weak consumption, and challenges posed by an aging population.The average forecast for the January-March quarter’s GDP growth was 4.5%, on a year-on-year basis. Industrial production in January and February increased by 7% on the year, inching up from 6.8% in December. Thanks to improved production-related indicators, the seasonally adjusted quarter-on-quarter growth rate was 1.2%, slightly up from 1% for October-December 2023. But a bit stronger than the 7.0957 yuan per dollar rate set by the Chinese central bank.The Chinese stock market has performed abysmally since 2022, seeing $2 trillion in losses.China’s aging population is dragging down the growth of the world’s No. 2 economy. Lombard Odier senior macro strategist Homin Lee expects the rate to be 3.9% in 2026, below the 4% mark.

The aging population is inevitable!

On July 23, Japan’s Nippon Steel Corporation announced it will end its 20-year joint venture with China’s Baosteel. The contract will be terminated at the end of August when it expires. Nippon Steel finds it challenging to expand its business in China and plans to focus its investment resources in the United States and India.The exodus of foreign capital from China is spreading from manufacturing to the beauty products sector. Japanese beauty brand Shiseido’s high-end skincare line, BAUM, announced it will withdraw from the Chinese market. The BAUM Tmall flagship store recently posted a closure notice, stating it will no longer accept new orders starting July 10.#chinaobserver

Recently, China has been experiencing continuous high temperatures, entering a peak period for fires. Reports of fire have been coming in from various provinces and cities.#chinaobserver

The program delved into the prevalent issue of trust deficit in contemporary China, as highlighted in Professor Feng’s research paper on governance through credit overextension. This phenomenon, observed from government levels to grassroots, reflects systemic distrust and corruption. While Xi Jinping’s governance model promotes centralized power, reality exposes widespread credit overextension and corruption. Despite anti-corruption rhetoric, the normalization of credit overextension unveils the true governance landscape under the CCP. The discussion underscores how corruption intertwines with governance, undermining trust and perpetuating systemic issues, challenging the efficacy of anti-corruption measures.

On July 19th, two large international oil tankers collided and caught fire about 55 kilometers northeast of Pedra Branca, near Singapore. Since the incident happened in Singapore’s maritime search and rescue area, the Singapore Navy’s frigate “RSS Tenacious” quickly went to the scene, rescuing several people. The Air Force helicopter “Rescue-10” airlifted two injured individuals to Singapore General Hospital.#chinaobserver

The US did not need to be in a life or death struggle with the Chinese Communist Party. But they took advantage of this one big mistake to change EVERYTHING!

00:00 Introduction02:54 Distinctive Features of China’s Macroeconomic Policy04:12 Historical Evolution and Theoretical Foundations05:31 Recent Challenges in Macroeconomic Policy07:05 New Policy Recommendations and Future Directions08:30 Short-term Policy MeasuresChina Update provides viewers with the most up to date political, economic, and geostrategic analysis on China. Videos are based on hundreds of articles, think tank reports, government statements and other resources in English and Chinese. China Update is fully independent, all views and analysis are all my own and I make the videos.

Several hundred cross-border e-commerce sellers started a collective protest on July 22nd. They gathered at the office location of Temu, Pinduoduo’s cross-border e-commerce business, in Aoyuan Building, Panyu District, Guangzhou, protesting against Pinduoduo’s arbitrary deductions and penalties.#chinaobserver

The Chinese airline Uni-Top Airlines, based at Wuhan Tianhe Airport, has a total debt of 7.1 billion yuan (about 993 million US dollars). Among this, the debt owed to employees alone is over 100 million yuan (about 14 million US dollars). Due to being in a state of uncertain bankruptcy liquidation and restructuring for a long time, two of its Boeing 747 planes and one Airbus A300 have been put up for auction on the JD platform. As a result, the company has become the third airline in Wuhan to go bankrupt. In addition to the planes, the company’s associated land and real estate were also auctioned for the first time on June 13, 2024. Despite tens of thousands of people viewing the auction, there were no buyers, which is quite disheartening.#chinaobserver

Two Chinese foreign agents plead guilty in a U.S. district court for bribing a U.S. tax official to aid a transnational suppression campaign launched by China.U.S. lawmakers are raising alarms over a Chinese manufacturer that makes electric car batteries, noting what they called its “troubling connections.” We have more on the risks that a planned facility in Michigan could pose to American security.U.S. intelligence officials say investment from China may come with dangerous strings attached, warning U.S. tech start-ups to keep a close eye on critical assets and be careful about sharing know-how.As the Olympic Games kick off in Paris, reports of Chinese doping scandals cast a shadow over the excitement. A swimming legend and two-time Olympic gold medalist is voicing concerns.00:00 Intro01:21 Chinese Nationals Plead Guilty for Bribing U.S. Official04:08 Browde: CCP Targeting Everyday American Citizens08:10 Lawmakers Warn of CCP-Linked EV Company in U.S.10:34 House Bill Demands Transparency in China Investment11:40 Agencies Warn Start-Ups on Foreign Investors12:30 Russia, China Officials Meet on Sideline of ASEAN Talks13:35 Olympic Swimmer Hopes for Clean and Fair Olympics——–

#chinainsights Shanghai is the city with the best economy in China. However, the city’s economy is also in decline. One clear sign is that the city’s store closings have quietly begun.

On July 24 around noon, a Arcfox Alpha S spontaneously combusted near a Road in Hangzhou. The owner, Ms. Yu promptly stopped the car, and reported the fire. After the firefighters controlled the blaze, she contacted the manufacturer’s customer service. Soon after, the manufacturer sent people to inspect the vehicle. Surprisingly, without the owner’s consent, several staff members used screwdrivers and hammers to remove the car logos. They removed all the car logos by prying or smashing them off. This upset Ms. Yu, who eventually called the police and posted the incident online. The issue rapidly garnered attention, with millions viewing the news and igniting substantial controversy over the brand’s actions.#chinaobserver

00:00 Introduction01:16 US-China I: Blinken-Wang Meeting09:06 US-China II: Military Preparations14:10 US-China III: Trump or Harris? China Update provides viewers with the most up to date political, economic, and geostrategic analysis on China. Videos are based on hundreds of articles, think tank reports, government statements and other resources in English and Chinese. China Update is fully independent, all views and analysis are all my own and I make the videos.

Joining us once again is David Day, Chairman Of The Global Risk Mitigation Foundation. He has worked in the Philippines for more than 40 years and advises people in the military and government. He also advises companies that are facing the risks of doing business in China.Don’t forget to subscribe to the channel and hit that bell icon to get notified when new videos come out: https://bit.ly/3u1eKSZ

Fakes in China are getting better. This iPhone almost fooled the customer until she actually got the phone taken apart!We will also explore some other interesting stories from China in this episode!

China Update is about China economic and political news and analysis #chinaupdateX (Formerly Twitter): / tonychinaupdate Channel email: [email protected]:00 Introduction00:12 Chinese Economy: Manufacturing, Housing, & Gold06:32 US-China Technology War: Chip CurbsChina Update provides viewers with the most up to date political, economic, and geostrategic analysis on China. Videos are based on hundreds of articles, think tank reports, government statements and other resources in English and Chinese. China Update is fully independent, all views and analysis are all my own and I make the videos.

Joining us once again is David Day, Chairman Of The Global Risk Mitigation Foundation. He has worked in the Philippines for more than 40 years and advises people in the military and government. He also advises companies that are facing the risks of doing business in China.Don’t forget to subscribe to the channel and hit that bell icon to get notified when new videos come out: https://bit.ly/3u1eKSZ

Air Thieves are a massive nuisance in China…

Foreign investment in China is at an all time low. The stats don’t lie!

Recently, this video has been trending on major Chinese media platforms, once again bringing low-cost tour groups into the spotlight.The incident occurred in Tianjin, a coastal city located just over 100 kilometers from Beijing. The tour group was organized by a local travel agency in Taiyuan, Shanxi Province, and the itinerary included a four-day trip to Beidaihe and Tianjin.The Tianjin Municipal Bureau of Culture and Tourism issued an official statement via their WeChat account, stating that the Deng, the tour guide involved, was a local guide in Tianjin. Deng’s tour guide license had been revoked last September, and she was operating without a license. The guide has been fined the maximum penalty of 30,000 yuan and her illegal earnings have been confiscated.#chinaobserver

Taiwanese President Lai Ching-Te praises a record-breaking group of nearly 50 lawmakers attending a key summit in Taipei, despite Beijing trying to block their trip.A two-week delay, minimum, is bogging down higher U.S. tariffs on Chinese imports, including electric cars, batteries, and computer chips. What will the hold-up mean for the economy and your wallet?Washington is announcing $500 million of military funding for the Philippines. The U.S. defense secretary says the cash “sends a clear message” of support to Manila.How does the Chinese communist regime keep the money flowing during economic downturns? A former top official tells NTD about an unusual strategy. We have more on what he says is the true motive behind China’s anti-corruption campaign.00:00 Intro01:14 Largest Group of Multinational Lawmakers Visits Taiwan03:03 U.S. Says New China Tariffs Delayed by at Least 2 Weeks03:35 U.S. to Give Philippines $500M in Defense Funding05:10 U.S. to Reinforce Nuclear Deterrence with Japan09:35 EU Offers Vietnam Security Support for S. China Sea10:41 Former China Official: True Goal of Anti-Corruption Effort12:10 U.S.: Russia Using Americans to Spread Disinformation

The Olympics seem to be hiding something on behalf of China. The question is—why?

A bizarre string of incidents is now taking place around the Paris Olympics, which stretches from drug-using athletes, to drug-laced hamburgers, and now into global conspiracies. This began as doping accusations against Chinese swimmers. Then it started to focus on the long history of the Chinese Communist Party (CCP) using drugs to help win the Games. And now, the CCP has come out with its counter-narrative. The culprit, they say, is hamburgers. And the CCP is now pushing a broader conspiracy of tainted food and hamburgers from the West carrying drugs that are making their athletes test positive for drugs. The bizarre string of incidents is now bringing attention to Chinese labs conducting the tests for doping scandals, whether these are reliable, and ironically even tying into domestic scandals in China around people losing trust in tainted food. We’ll discuss in this episode of Crossroads.

The Fujian aircraft carrier has set sail again, and a mysterious green dot appeared a few hundred meters behind it. Chinese military media interprets this as a “green version of the J-35” preparing to land on the carrier. Chinese media is using this to heavily promote the J-35’s capabilities, claiming it can rival the US military’s F-35C.Reportedly, China has developed several versions of a fighter jet modeled after the F-35: the carrier-based J-35, the air force version J-31B, and the export model FC-31. These planes look very similar to the F-35, and among them, the J-35 is the largest, even surpassing the F-22 in length and width by a meter. China seems to have chosen to develop this large, twin-engine fighter jet for their carriers in hopes of outperforming the single-engine F-35C.#chinaobserver

Recently, the China Latin America Research Center, part of the Andres Bello Foundation based in Colombia, released a new report. This report examined the investments made by nine Chinese state-owned enterprises in the Andes region of South America from 2000 to 2023. (including Bolivia, Colombia, Ecuador, Peru, and Venezuela)The 61-page report identified 147 projects where Chinese state-owned enterprises invested. Out of these, 14 projects (9%, about $3.05 billion) involved at least one corruption case, including embezzlement, fraud, bribery, and misappropriation of public funds. These cases are currently under investigation or prosecution by relevant authorities.#chinaobserver

00:00 Introduction00:12 Chinese Economy: Guangdong Growth & Manufacturing 05:43 Ukraine-China10:37 US-China: Espionage China Update provides viewers with the most up to date political, economic, and geostrategic analysis on China. Videos are based on hundreds of articles, think tank reports, government statements and other resources in English and Chinese. China Update is fully independent, all views and analysis are all my own and I make the videos.

Food safety in China is seriously messed up!

Chinese and Russian nuclear-capable bombers have been spotted patrolling near Alaska.President Joe Biden gives his fourth Oval Office address and explains why he’s stepping aside for the 2024 race. We take a look at his administration’s China policy.The Justice Department charges a Florida man born in China with spying on Chinese dissidents in the United States. Authorities say he’s been providing information to China’s intelligence agency for more than a decade.We take a deep dive into the world of illicit fentanyl and what it takes to produce the deadly synthetic opioids from scratch. The substance could be a lot more accessible than many think.00:00 Intro01:06 Russian, Chinese Bombers Patrol near Alaska03:16 Newsham: China, Russia ‘Smell U.S. Weakness’ Amid Patrol05:45 An Overview of Biden’s China Policy07:26 Florida: Man Charged with Decade of Spying for CCP08:56 Report: Reuters Found All Fentanyl-Making Supplies Online13:18 Blinken to Visit 6 Asian Countries in Show of Commitment14:10 Hong Kong Court Dismisses Jimmy Lai’s Bid to End Trial——–

There are a myriad of different types of RPG-7 in use in Ukraine, this week we look at one of the rarest – the Chinese Type 69.

On July 11, Air China, China Southern Airlines, and China Eastern Airlines released their first-half performance forecasts for 2024, showing varying degrees of losses.The announcements indicate that Air China expects a net loss attributable to shareholders of 2.3 billion to 3 billion yuan for the first half of this year. After excluding non-recurring gains and losses, the net loss is expected to be between 2.8 billion and 3.8 billion yuan.#chinaobserver

Indonesia has become the world’s leading producer of nickel, supplying over 40% of global demand crucial for electric vehicle batteries. This surge is driven by partnerships with China, which has improved local refining capabilities. Meanwhile, the United States faces challenges with limited nickel supply, mining just 17,000 metric tons in 2023 compared to Indonesia’s 1.8 million metric tons. Elon Musk has emphasized the need for increased nickel production, highlighting its importance for Tesla and the EV sector. Companies like Talon Metals have been working on opening a new nickel mine in Minnesota, aiming to address the challenges of limited nickel supply in the U.S. CNBC visited a remote area in Sulawesi, Indonesia to understand the impact of nickel mining on locals’ lives, and to find out why China and Indonesia together have disrupted the entire nickel industry.Chapters:03:46 Title card: How China took over Indonesia’s nickel industry to fuel EV growth 03:54 Chapter 1: A rise in demand 06:23 Chapter 2: China’s plan for dominance10:00 Chapter 3: The true cost 14:08 Chapter 4: The path forward