China Archives - Page 7 of 47

<strong>EU, US retaliate against Chinese attempts to dump electrical vehicles</strong>

15Jul

By Joe RodriguezNo Comments

China, USA

EU, US retaliate against Chinese attempts to dump electrical vehicles

The move of the European Union to impose duties of up to 87.6 percent on import of electrical vehicles made in China has thwarted the plan of Beijing to flood the markets in Europe with cheap electrical vehicles manufactured with subsidy from the state. Studies have found that China has been using subsidies extensively to take a leading role in the global markets for green-tech products such as battery electoral vehicles and wind turbines. The World Trade Organization has stipulated under the WTO Subsidies Agreement that: “A subsidy granted by a WTO member government is prohibited by the Subsidies Agreement if it is contingent, in law or in fact, on export performance, or on the use of domestic over imported goods. Those prohibited subsidies are commonly referred to as export subsidies...

13Jul

By TheGreenZoneNo Comments

China

Chinese lithium companies warn of losses amid ‘downturn in the lithium sector’

Lithium prices have fallen dramatically over the past 18 months amid weaker demand and improved availability of material. In the spot market lithium hydroxide prices on a CIF China, Japan, and South Korea basis have fallen by 73% year on year, while lithium carbonate prices have lost 69% in the same period. Fastmarkets’ assessment of lithium hydroxide monohydrate LiOH.H2O 56.5% LiOH min, battery grade, spot price cif China, Japan & Korea was at $11.20-12.50 per kg on Thursday, unchanged from the previous day. The assessment for lithium carbonate 99.5% Li2CO3 min, battery grade, spot prices cif China, Japan & Korea was at $12.50-13.00 per kg on the same day, also unchanged. In their respective filings to the Hong Kong Exchange (HKEX), both compa...

<strong>Yuan’s downward spiral against dollar continues</strong>

11Jul

By Michael SmithNo Comments

Asia, China, USA

Yuan’s downward spiral against dollar continues

In the last week of June, the offshore yuan experienced a significant drop against the U.S. dollar, reaching a seven-month low of 7.27:1. This depreciation of China's currency was influenced by several factors, as suggested by market analysts. One of the contributing factors was the lower-than-anticipated spot fixing rate established by the People's Bank of China (PBOC). This led to speculation that Chinese authorities might permit further depreciation of the yuan. As a result, the yuan has seen a decline of over 2 percent against the dollar since the beginning of the year. There's been a noticeable shift in the pattern of foreign investment in China's mainland stock market. Instead of buying, organizations are now selling. In June alone, approximately 33 billion yuan ($4.54 billion...

10Jul

By TheGreenZoneNo Comments

Asia, China

China Tightens Up on Bankers’ Wages

Welcome to Foreign Policy’s China Brief. The highlights this week: Executives at Chinese state banks face new pay limits, Hungarian Prime Minister Viktor Orban visits Beijing, and China’s trucking industry becomes embroiled in a cooking oil scandal. New Pay Limits Expected in Financial Sector China is planning an annual pay cap of 3 million yuan (about $413,000) for executives in the state-owned financial sector, which dominates banking in the country. Financiers’ pay has already fallen since the COVID-19 pandemic amid a general economic slowdown and a calamitous stock market. Rolling corruption investigations, meanwhile, have snatched up many staff, with more than 30 senior regulators or bankers arrested so far this year. So...

Analyzing Pakistan’s current economic strategy in light of the CPEC

9Jul

By TheGreenZoneNo Comments

Asia, China

Analyzing Pakistan’s current economic strategy in light of the CPEC

Pakistan’s newly elected Prime Minister, Shahbaz Sharif, made his first official visit to China from June 4-8, 2024. As Pakistan is struggling with a dire economic crisis and is in urgent need of a new IMF package, the visit was not just ceremonial. The Pakistani PM hopes to leverage his country’s “higher-than-Himalayas and deeper-than-the-ocean” friendship with China for an even stronger relationship. His delegation included key cabinet ministers like finance and foreign affairs. More than 100 Pakistani business leaders joined PM Sharif on the trip, which featured a convention with Chinese enterprises. Army Chief General Asim Munir was also part of the delegation, which was justified by his position on the Special Investment Facilitation Council (SIFC), a group tasked with luring interna...

<strong>Potential tariffs on Chinese EVs spark retaliation concerns and trade tensions in Canada</strong>

9Jul

By Joe RodriguezNo Comments

Asia, China, World

Potential tariffs on Chinese EVs spark retaliation concerns and trade tensions in Canada

Canada has begun evaluating the impact of China’s alleged unfair trade practices on its electric vehicle (EV) market, leaving China unhappy and perturbed. This decision follows actions by the US and the European Commission, Canada’s international partners, which have recently responded to unfair competition in their EV industries. The purpose of the consultation, which will continue until August 1, is to assess the risk of Canada’s EV market being inundated with cheaper Chinese plug-ins. Experts have not ruled out the possibility of retaliation from China. If Canada imposes tariffs on Chinese electric vehicles, two trade experts predict that the world’s second-largest economy will forcefully retaliate. Rachel Ziemba, an adjunct senior fellow at the Center for a New American Security, s...

5Jul

By TheGreenZoneNo Comments

China

The MTBE market in China fell in June as supply outweighed downstream gasoline demand.

The MTBE (Methyl Tert-Butyl Ether) market in China faced bearish sentiments and experienced a period of significant downtrend during June 2024, resulting in low prices. This decline was attributed to high operating rates of feedstock Methanol which eased the production costs and low downstream demand from gasoline impacting both the supply and demand sides of the equation. During June 2024, the MTBE prices declined by 4.1% when compared to May 2024 to settle at USD 930/ MT FOB Dalian, China amidst supply outpaces demand by the revival of idle production capacity during this timeframe. While some MTBE production facilities like Qixiang Tengda and Maoming Shihua resumed operations in June, their operating rates remain low. This indicates a cautious approach from producers despite the res...

<strong>Poor performance of Chinese stock exchanges reflects uncertainty and a lack of confidence</strong>

3Jul

By Joe RodriguezNo Comments

Asia, China, Market

Poor performance of Chinese stock exchanges reflects uncertainty and a lack of confidence

Shanghai Stock Exchange and Hang Seng index have been struggling to perform for the past few years despite intervention by the Chinese government, which has led to frustration among investors. These Chinese stock exchange indices have experienced sharp declines thanks to brutal selloffs amid uncertainty and a lack of confidence in the market. Investors have blamed the Beijing government for failing to take necessary steps to stabilize the market.[1] The growing disinterest can be gauged from recent developments at the Hang Seng exchange. The decline in fundraising from the new listing has been lowest in the past two decades. A total of 26 companies raised USD 1.5 billion through Initial Public Offering (IPO) in the first half of 2024, which is 35 percent less compared to the correspond...

<strong>CHINESE CHIP PRODUCTION AT RISK AS EQUIPMENT BAN LOOMS</strong>

26Jun

By Michael SmithNo Comments

Asia, China, Market, USA

CHINESE CHIP PRODUCTION AT RISK AS EQUIPMENT BAN LOOMS

The United States is intensifying its measures to restrict China's access to cutting-edge chip technologies capable of manufacturing gate-all-around (GAA) transistors and high-bandwidth memory (HBM) chips. ChangXin Memory Technologies Inc (CXMT), a Hefei-based company that manufactures DRAM for computer servers and smart vehicles, is likely to be a significant focus of Washington's potential restrictions, as per media reports. Samsung Electronics, SK hynix, and Micron are among the major competitors of CXMT. Alan Estevez, who heads the Bureau of Industry and Security (BIS) at the US Commerce Department, recently embarked on a trip to the Netherlands. The purpose of his visit, as reported by Reuters on Tuesday, was to discuss the inclusion of an additional 11 Chinese chip manufacturi...

<strong>The chip war is stealing the residual thunder from the Chinese economy</strong>

12Jun

By Mike TrudellNo Comments

China, USA

The chip war is stealing the residual thunder from the Chinese economy

The Chinese economy is in the doldrums. The post-pandemic bounce back was too brief to sustain. Consumer sentiments are low. The common Chinese are investing in gold instead of stocks and other financial instruments in an apparent show of distrust in the country’s economic trajectory. Beijing reported 5.2% growth in 2023 but the Rhodium Group analysts questioned the credibility of the numbers. Rhodium offers China-specific research. On top of all, China’s plan to be a technology superpower is seriously harmed by tough restrictions imposed by the US-led West in denying Beijing access to cutting-edge microchip technology. Microchips are the nerve centre of any modern machinery. From mobile phones, and automobiles to aeroplanes everything runs on those printed circuits on a small piece of...

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