Hang Seng Index plunges below 17,000 points

Economy 10/14/22, 03:55

Hong Kong stocks are suffering seriously from the bearish pressure. The Hang Seng Index has fallen on 4 consecutive days, hitting a new low at 16,832.36 since November 2011.  The index plunged below 17,000 points for the first time in over a decade showing the reaction of the market as the ...

Experts: China’s consumer confidence to stay low even after the COVID pandemic ends

Economy 10/14/22, 03:47

Over the last ten years, China witnessed brand-conscious spenders and active consumers dominating all shopping venues. But this consumption-oriented lifestyle gradually faded amid stringent COVID lockdowns and the resultant economic downturn. Karl Shen is the director, and Jenny Huang is the senior director of China’s corporate research at Fitch Ratings. Both ...

New US restrictions put China’s technology future in jeopardy

Insights 10/13/22, 15:16

The U.S. move to protect the semiconductor industry continues apace. This Tuesday, the Commerce Department ordered a ban on selling high-tech equipment to large Chinese semiconductor companies such as Yangtze River Storage, Changxin Storage, SMIC, and others. In addition, foreign residents in the United States will not be allowed to ...

Vietnam imposes anti-dumping tariffs on unfair Chinese competition

Economy 10/13/22, 13:04

In order to protect its domestic industry, Vietnam's Ministry of Industry and Trade announced on October 4 that it would apply anti-dumping tariffs between 21.45% and 35.2% on certain furniture of Chinese origin. It would start mid-October and go on for four months. Reuters reported that imports of tables and ...

Local governments’ debt: Another ticking time bomb in China

Economy 10/12/22, 16:42

After the real estate crisis, some experts believe that local governments' debt has become another ticking time bomb for China. Over the past three years, China's harsh zero-COVID policy has worsened local governments' finances. Following the central government's instructions, Chinese provinces and cities must spend vast sums of money on Covid testing ...

Hong Kong gives away 500,000 free airline tickets to rescue tourism

Economy 10/12/22, 16:00

The Chinese Communist Party's (CCP) "zero-COVID" policy crippled tourism in Hong Kong. The Hong Kong authority now wants to give away 500,000 airline tickets to revive airlines and boost travel. However, the Hong Kong authority must wait for the CCP to ease restrictions. Fifty-six million tourists visited Hong Kong before the ...

Secret report: TikTok faces heavy losses

Economy 10/11/22, 17:54

China's ByteDance Ltd., the parent company of TikTok, communicated to its employees through a financial report that operating losses for the years 2020 and 2022 have tripled to more than $7 billion. Apparently, the company spent more than it earned. However, in the first quarter of 2022 it showed a small ...

Beijing needs money from its capitalists

Trending 10/11/22, 13:30

The destruction of China's ancient traditions has its origins in Sun Yat Sen, first president of the Republic of China and founder of the Kuomintang, who had said, "The Bolshevik Revolution is a nationalist struggle. We were nor aware that Russia was fighting for nationalism. Moreover, the communism of her ...

Shares of Chinese chip makers take a hard hit from US export control restrictions

Economy 10/11/22, 06:18

Stocks of some Chinese chip makers plummeted as much as 20% on Monday, October 10, as the U.S. tightened restrictions on chip export controls to China, hitting Beijing's semiconductor ambitions. Top Chinese chip producers lost $5 billion in market value during the day.  Hua Hong Semiconductor plunged 10%, Shanghai Fudan Microelectronics plummeted ...

Vietnam will hinder China’s scheme to skirt U.S. tariff

Economy 10/11/22, 05:44

Since the U.S.-China trade war in 2018, Chinese firms have relocated production lines to neighboring Vietnam and intentionally mislabeled their products as "made in Vietnam" to avoid U.S.'s high tariffs. Therefore, the U.S. Department of Commerce has been calling on ASEAN nations to broaden anti-dumping investigations against Chinese goods, including steel. According ...

Southeast Asia: hotspot for relocation of Taiwanese firms in China

Economy 10/11/22, 05:37

According to a recent survey released by the Center for Strategic and International Studies (CSIS), Taiwanese companies are redirecting their China businesses to Southeast Asia. Released on October 5, the survey found that 25.7% of more than 500 Taiwanese corporate executives have already transferred their production or sourcing outside of China. ...

Report: China’s new house sales drop nearly 40% during National holiday

Economy 10/11/22, 05:25

China's new house sales by floor area dropped 37.7% from a year ago during the National Day break as the Chinese Communist Party's stringent COVID restrictions weakened demand.  Reuters cited data from the China Index Academy, showing that new house sales by floor area in China's four major cities plummeted compared ...

Foreign capital leaving China bond market: Nearly $100 billion lost in 8 months

Economy 10/09/22, 15:36

China's bond market has been bleeding as the world's second-largest economy is slowing down rapidly, pushing capital to other destinations. Reuters cited the latest Institute of International Finance (IIF) data reporting that capital outflows from China's bond market reached $1.4 billion in September. Over the past eight months, China's debt markets evaporated ...