Sri Lanka’s economic crisis reveals China’s debt trap

Economy 05/16/22, 10:40

Sri Lanka is now in a deep economic crisis as the country goes bankrupt due to China's Belt and Road debt trap. According to Nikkei Asia, now-resigned Sri Lanka Finance Minister Ali Sabry admitted that its foreign currency reserves had only 50 million dollars by late April, while the country needs ...

China’s lockdown: Foreign capital flees Hong Kong this week

Economy 05/16/22, 10:35

Confidence in Chinese stocks is weakening as the country continues its lockdown policy to fight the Covid pandemic. As a result, some capital flights occurred in the Hong Kong market this week. After the United States' central bank raised interest rates, the exchange rate of the Hong Kong dollar against the ...

Shanghai’s new COVID restrictions put residents under dilemma

Economy 05/15/22, 09:31

Shanghai authorities have doubled down on COVID pandemic restrictions. Earlier this month, Shanghai officials announced a military order at all levels to achieve the zero COVID goal. The city began to impose the so-called ‘quiet period’ prevention policy until May 15. Express delivery, group purchases, and takeaways will be stopped ...

China’s Didi awaits fulfilling US delisting to restore business

Economy 05/14/22, 10:23

On Thursday, May 12, giant ride-hailing Didi Global informed that delisting on New York Exchange is critical to satisfy the Chinese cybersecurity review and resume its normal operations. The company listed its shares in the U.S. from June 2021 after upsetting the Chinese authorities, who were concerned about leaking sensitive national ...

China’s economy lost US$2.68 trillion because of Covid shutdown

Economy 05/14/22, 07:05

Tension over strict lockdowns in China has been going on for weeks, with Shanghai hit the most severely. Zero-Covid enforcement demonstrates very little empathy towards people's livelihood. Xu Jianguo, associate professor of economics at the National School of Development in Peking University, said the epidemic had affected 160 million Chinese. There ...

US Commerce Secretary: Beijing opposing chip bill, fears losing its edge

Tech 05/14/22, 06:11

According to Reuters, Commerce Secretary Gina Raimondo said on May 11 that China opposes the U.S. huge chip bill because it will give the world's largest economy a competitive advantage. On May 12, the U.S. will step up formal negotiations on a compromise measure that would invest 52 billion dollars in ...

The US considers lifting China Trade Tariff’s to tame inflation

Economy 05/13/22, 12:13

U.S. inflation has reached a record high since December 1981, and President Biden said dropping China tariffs could be an option to lower consumer prices. Trump imposed tariffs on China’s imported products to punish China’s allegedly unfair trade practices. The policy protects domestic business but is about to expire this July. ...

China’s major developer, Sunac missed bond interest payment again

Economy 05/13/22, 11:42

According to Reuters, China's major developer, Sunac, missed coupon payment after the deadline on Wednesday. The company failed to make an interest payment of 29.5 million on a 742 million dollar offshore bond after the grace period expired. It will not likely make payments coming due on 3 other bonds. In total, ...

JPMorgan: Chinese Internet stocks are ‘unattractive’ or ‘uninvestable’

Opinion 05/12/22, 02:23

In a March equity research report, JPMorgan mistakenly described Chinese Internet stocks as ‘uninvestable,’ which was later adjusted to ‘unattractive.’ Bloomberg reported that this accident has sunk the U.S. and Asian stock markets and blown off about 200 billion dollars. Losses spiraled after the bank inappropriately downgraded 28 Chinese tech stocks, ...

11 more U.S.-listed Chinese companies face delisting risk

Economy 05/12/22, 02:21

The U.S. continues to threaten Chinese stocks on Wall Street with delisting if the Chinese government does not allow public accounting firms to audit their companies’ accounts. The U.S. Securities and Exchange Commission on May 9 added nearly a dozen of Chinese concept stocks to a list facing delisting risk. This is ...

China’s mass testing to cost more than $210 billion a year

Economy 05/12/22, 02:06

Covid-19 is breaking out again in many parts of China. Big cities like Beijing, Hangzhou, Shanghai, and others have begun to require mass testing. People would need a negative test to enter buses, subways, and shopping malls. But how much fees will China have to cover for the mass testing? The first-tier ...

China’s import of Iran oil slumps, Russian grows

Economy 05/11/22, 00:31

April data analysis shows China is reducing Iran oil import and focusing on the more affordable Russian suppliers. As Reuters reported on May 9, preliminary estimates from Vortexa Analytics revealed that on a daily basis, China bought around 650,000 barrels of Iranian crude last month. A decrease from 700,000 barrels per ...

Beijing strengthens control over emigration through overseas investments

Economy 05/10/22, 23:39

According to documents that made it to the mainland internet, China is issuing new rules that would constrain wealthy Chinese from emigrating overseas. Radio Free Asia reported screenshots of the documents on May 2, which appeared to have come from the Chinese Ministry of Justice and the notarial association. The rules require ...

China benefits from oil sanctions on Russia: analysis

Economy 05/09/22, 22:38

Amidst the Ukraine war, China-Russia economic ties are booming. According to the BBC, the first quarter of 2022 saw a 28% year-on-year rise in trade volume between the two countries. The Chinese government said that starting in May, it would stop charging tariffs on imported coal. As Russia's coal exports to EU ...