Global brands lose advantage in China: report
June 11, 2016
- For the first time, local Chinese brands are equal to international brands in a measurement index — meaning they are now in many ways perceived as equally competitive, new research found. According to advertising giant WPP and its market research unit Millward Brown, both multinationals and local Chinese brands score 100 on the metric of Brand Power — the BrandZ measurement of brand equity. But Chinese brands have the advantage of upward momentum, while international brands are weakening, it said. In 2010, multinationals scored 115, while Chinese brands scored only 89.
Haier acquires GE Appliances
- Haier Group, China’s biggest maker of household appliances, has signed closing documents for the company’s acquisition of General Electric (GE)’s home appliance business, according to an announcement made by the two sides. The announcement said GE Appliances will continue to be headquartered in Louisville, Kentucky in the United States and operated independently under the day to day direction of the current management team.
How China Is Changing Its Manufacturing Strategy
June 7, 2016
- China’s share of total global manufacturing output was 25% last year, up from 7% in 2000, according to HSBC Ltd. To contain the loss of industries to lower-wage countries, it has offered subsidies and a range of incentives for manufacturers to relocate to cities in western and central China, where wages are as much as 30% lower than in eastern provinces. China has managed to hold on to low-end industry far longer than its Asian neighbors at a similar stage of development. Government incentives, subsidies, the large domestic market and good infrastructure that encourage companies to remain onshore all play a part, says World Bank economist Karlis Smits, author of a study on China’s shifting industry.
Microsoft sells 1,500 patents to China’s Xiaomi in rare move
June 1, 2016
- Xiaomi has bought nearly 1,500 technology patents from Microsoft in a deal that may smooth potential legal tangles over intellectual property as it pushes beyond China. The patents cover wireless communications, video, cloud and multimedia technologies, spokeswoman Kaylene Hong said without specifying the terms. The acquisition came as part of a broader agreement announced Wednesday with the Redmond software giant, under which Microsoft Office and Skype will come preinstalled on devices made by the Chinese smartphone maker.
No need to panic, China’s banks are in pretty good shape
June 1, 2016
- The extraordinarily rapid rise of debt in China, particularly in the corporate sector, has given rise to fears that the country may be unable to avoid a banking crisis that would slow its growth and have substantial negative spillovers on the global economy. This fear is based on recent estimates by the International Monetary Fund and some investment banks that a substantial portion of new lending in recent years has gone to state-owned companies producing oversupplied goods where profits have turned negative. In fact, while lending more to corporates unable to pay interest and principal on previous loans means financial risks are clearly rising, it is likely that China is years away from a potential banking crisis, providing it with a window to slow the growth of credit to a sustainable level. A key reason for this judgment is that while the ratio of debt to gross domestic product is quite elevated, China also enjoys a high rate of national savings. The level of debt a country can sustain depends significantly on the share of domestic savings in GDP.
China labour ministry says urban registered unemployment rate was 4.05 pct in 2015
May 30, 2016
- May 30 China’s urban registered unemployment rate stood at 4.05 percent at the end of 2015, the Ministry of Human Resources and Social Security said in an online statement on Monday. While China’s economy grew at its slowest rate in 25 years in 2015, official unemployment figures have remained low. Many analysts believe the figures, in particular registered unemployment, are unreliable indicators of nationwide employment conditions.
YG Entertainment Receives Huge Investment From Chin
May 27, 2016
- On May 27, YG Entertainment announced that it had received a 100 billion won (about $85 million) investment from Chinese internet corporation Tencent and the mobile ticketing company Weiying. The YG representative, Yang Min Suk, revealed that he intends to meet with Suman Wang, the executive in charge of Tencent’s video, film, and drama department, and Weiying representative Ning Lin at the Seoul Hyatt Hotel on May 31.
China issues first-ever renminbi-denominated sovereign bond abroad
- LONDON – The Chinese Finance Ministry has successfully issued 3 billion renminbi-denominated sovereign bond in London, the first of its kind outside China, according to the ministry. The distribution of the 3-year-term bond with an issuing interest rate of 3.28 percent, was jointly undertaken by the Bank of China and HSBC. According to HSBC, the bidding from global investors which included commercial banks, central banks and public institutions, for the Chinese national bond reached 8.5 billion worth of renminbi.
China eyes $724B transport investment for next three years
May 27, 2016
- China will invest around 4.7 trillion yuan ($724 billion) in transport infrastructure projects over the next three years, according a 3-year transportation plan published jointly by the country’s top economic planner and ministry of transportation on Friday. The 2016-2018 plan from China’s Ministry of Transport and National Development and Reform Commission (NDRC) will see the country push forward 303 key transportation projects including railways, highways, waterways, airports, and urban rail, it said.
Wanda Opens First China Theme Park as It Takes Aim at Disney
May 27, 2016
- Billionaire Wang Jianlin Saturday officially unveiled Dalian Wanda Group Co.’s Wanda City, the first of the company’s 15 planned theme park and entertainment projects in China that it hopes will help it unseat Walt Disney Co. as the world’s largest tourism operator. The Wanda Cultural Tourism City, spanning 2 square kilometers (200 hectares) in Nanchang, in the southeastern Jiangxi province, features a theme park, a movie park, an aquarium, hotels and retail stores, the company said in an e-mailed statement. Wanda expects the complex to attract 10 million people a year, according to the statement.
Biggest banks in the world list: China dominates, US fades
25 May 2016
- In fact, fully eight of the top 10 banks in the world are based outside the U.S., according to the most recent rankings from S&P Global Market Intelligence. The biggest American institution, JPMorgan Chase, even has fallen down a notch to seventh. Bank of America is the only other U.S. institution in the global top 10. The one caveat to the list is that JPMorgan Chase would move up the ladder considerably if it followed the same accounting rules as its foreign competitors. The bank’s assets are computed under generally accepted accounting principles, while global banks use international financial reporting standards. The difference essentially is between reporting net derivative assets, as under GAAP, or gross derivative assets, as under IFRS.
Opera’s shareholders greenlight $1.2B sale to Chinese consortium
May 25, 2016
- Browser maker Opera’s proposed $1.2 billion acquisition by a consortium of Chinese companies just took a major step towards completion after its shareholders voted in favor of the deal. Opera announced today that 90.6 percent of the outstanding share capital and 90.9 percent of the votes in the company have approved the acquisition. That’s a preliminary result that the firm will confirm for sure soon, but, if the number stays as it is or is higher, that will be enough to enable the sale to proceed. Approval from relevant authorities in Norway and China will be required further down the line.
China’s Huawei ‘Growing Up’ To Become The World’s No. 1 Smartphone Brand
May 25, 2016
- Dumping their previous business model of flooding the planet with cheap, unbranded cellphones, China’s Huawei has risen to become a globally recognizable brand and a serious contender for Apple and Samsung. Advancing rapidly into new markets worldwide, Huawei is now the world’s number three smartphone brand, with an 8.3 percent market share. Europe, in particular, has been receptive of Huawei, where the company is growing at an unprecedented clip on the back of better products and a new brand image. Rising up from humble beginnings in Shenzhen in 1987, Huawei started out as a producer of phone switches. Growing up with the city’s nascent electronics industry, Huawei would became the global leader in telecommunications networks by 2012 — despite a ban by the US government and its knee-jerk ramifications.
China to support steel exports as U.S. imposes hefty tariffs
May 19, 2016
- China said it would persist with controversial tax rebates to steel exporters to support the sector’s painful restructuring, defying a United States move to impose punitive import duties on Chinese steel products. A worldwide steel glut has become a major trade irritant, with China under fire from global rivals who say it is dumping cheap exports after a slowdown in demand at home. In a marked escalation of the spat, the United States on Tuesday said it would impose duties of more than 500 percent on Chinese cold-rolled flat steel, widely used for car body panels, appliances and in construction.
Chinese companies expanding in Thailand
May 18, 2016
- EVERYWHERE you look on Thailand’s Amata industrial estate in Rayong you see signs in Chinese. It’s a similar story just along the coast in the tourist resort of Pattaya, where Mandarin is increasingly visible alongside English and Russian. As China’s economy slows, its investors are looking abroad for growth and Thailand, home to one of the world’s largest ethnic Chinese minorities and a gateway to Southeast Asia’s 600 million consumers, is a hot investment destination in everything from industry to condos. “Thailand is the first stop for Chinese tourists and investors,” said Xu Gen Luo, who runs the Thai-Chinese Rayong Industrial Zone, 200 kilometers southeast of Bangkok. Dozens of Chinese-owned solar, rubber and manufacturing plants have opened there since 2012.
China’s Virtual Reality Market Will Be Worth $8.5 Billion and Everyone Wants a Piece
May 15, 2016
- The three Web giants are using their money to employ a different perspective on the virtual-reality business than their overseas competitors. Instead of building headsets like Sony Corp., Facebook Inc. and HTC Corp., the Chinese companies are positioning themselves as middlemen: seeding dozens of startups and opening their platforms to developers of content and hardware while they wait for a dominant headset to emerge. “All three of these companies want to focus on creating platform and content,” said Ricky Lin, a Beijing-based analyst at IResearch. “The issue facing China’s VR industry at this point is that it lacks core technology, so they need to hedge their bets.”
Chinese Lending Drops Sharply as Banks Take Stock of Credit Binge
May 13, 2016
- BEIJING—Chinese banks sharply reduced lending last month after a credit surge in the first quarter raised concerns that the world’s second-largest economy was mounting an unsustainable return to debt-fueled growth.
Why Apple plunked $1 billion into Chinese ride-hailing
May. 13, 2016
- Apple new $1 billion investment in the Chinese ride-hailing service Didi Chuxing is as much about currying favor with regulators as directly expanding its own business, analysts said. Apple might need the help; it faces slowing iPhone sales and tougher restrictions on its services in the country. The investment — one of Apple’s largest to date — could serve other purposes as well. It helps the company put some of its giant overseas cash hoard to work without incurring taxes by bringing it back to the U.S. It might also inform Apple’s own interest in the automotive business; several reports suggest it has begun work on its own self-driving car.
Tencent venture poaches Google talent as Chinese tech firms pile into autos
May 3, 2016
- An automaker launched last year by firms including tech giant Tencent Holdings Ltd has poached autonomous driving personnel from Google and Daimler AG, marking China’s latest high-profile hires in the race to make self-driving cars. Tech firms are encroaching on the auto sector as cars become increasingly reliant on digital technology, with Chinese e-commerce firm Alibaba Group Holding Ltd and internet search provider Baidu Inc funding automotive ventures.
China Is Laying The Foundation For The Next World Gold Standard System
May 5, 2016
- On April 19, the Shanghai Gold Fix officially began. The pricing mechanism is intended to be a replacement for the London Gold Fix, the primary price-discovery mechanism for gold bullion today. The London “bullion” market is not a market in bullion. Rather, it is a market in “unallocated” gold, defined as an unsecured liability of banks. The Shanghai Exchange appears to be a real market in bullion, with immediate physical delivery on every contract. Curiously, the opening of the Shanghai gold fix coincided with a dramatic admission by Deutschebank that it had been rigging the London gold and silver markets, accompanied by promises that it would help authorities identify other market manipulators.
Chinese Electric Vehicle Makers Swarm Into California, Chasing Tesla
May 5, 2016
- Five highly ambitious Chinese automakers are building stealthy, strategic bases in California. Their objective: Hunt down technology and talented engineers to produce the world’s most advanced electric vehicles. Faraday Future. BYD NextEV Karma Automotive. Atieva
Chinese Government Luring ‘Sea Turtles’ Home To Launch Startups
May 3, 2016
- Lipeng Lai – hailing from Chongqing, an inland port city in southwest China – is one such entrepreneur successfully enticed to come home. He and three classmates from MIT returned to China in 2015 to create XtalPi, a pharmaceutical company that uses algorithms to predict the crystalized form a drug will take. The data allows XtalPi to work with other pharmaceutical companies to develop new drugs and create new patents. The company received 2 million RMB ($309,000) in angel funding from Chinese social network Renren in October of 2015 and 24 million RMB ($3.7 million) in series A funding in December of 2015 from Tencent Holdings , one of China’s internet giants, Lai said. Creating a startup wasn’t always his plan, though. Reading about the rise in startups in 2014 peaked Lai’s interest and spurred him into looking at what opportunities may exist.
Alibaba Sales Up 39% on Increased Consumer Spending in China
MAY 5, 2016
- The Chinese e-commerce giant, which lists shares on the New York Stock Exchange, reported on Thursday a surge in profit and revenue in the first three months of the year compared with the same period last year. The company made more money by charging retailers to use its platforms, which connect vendors small and large with China’s growing ranks of connected consumers.
China spends record amount buying up foreign companies
May 3, 2016
- Chinese firms are on a record-breaking shopping spree, snapping up foreign firms like never before. They have already announced a whopping $108.5 billion in foreign deals so far this year, topping the $106 billion total for the whole of last year, according to the research firm Dealogic. Chinese firms are also spending far more on average — there have been 281 deals announced this year, versus 611 in 2015. The largest single deal came in early February, when ChemChina offered a whopping $48 billion for Swiss company Syngenta (SYENF), a global supplier of pesticides and seeds.
Is China making life difficult for foreign companies?
02 May, 2016
- Is China becoming unfriendly to foreign companies? That’s the concern of some foreign firms – a group once relied upon by China to attract capital and technology to bolster its growth. “Challenging”, “hesitant” and “doubtful” are the kind of words European and American companies in China are using to describe their environment. Concerns over the business climate are mounting, and range from rising protectionism and slow progress in market access to forced technology transfers and tightening internet censorship.
China overtakes US as top nation for technology acquisitions
29 April, 2016
- China has overtaken the United States for the first time as the world’s biggest “acquiring nation” for mergers and acquisitions in the technology industry, accounting for a 45 per cent share of the market in the first four months of this year, according to a report from Dealogic. It estimated that Chinese technology acquisitions reached a new high of US$65.7 billion through 456 transactions, up from the previous record of US$41.6 billion through 434 deals in the same period last year.
China’s white collar wages outstrip Japan, Korea
April 29, 2016
- A survey of 5,500 companies in the Asia Pacific region by Willis Towers Watson, a professional services company, found that senior managers in China earned an average of $125,260 in the 2014/2015 financial year, compared with $120,766 in South Korea, $117,433 in Japan and $77,431 in Taiwan. In the 2015/2016 year, the gap between the salaries of senior managers in China and counterparts in Japan and South Korea widened further, with the China average rising to $131,987, against $120,942 for South Korea, $118,721 for Japan, the survey showed.
China’s HNA to buy Radisson operator Carlson Hotels
Apr. 28, 2016
- A unit of Chinese conglomerate HNA Group has agreed to buy Carlson Hotels, which owns brands including Radisson and Country Inns and Suites, the latest in a flurry of overseas investments by Chinese companies. HNA Tourism Group will acquire all of Carlson Hotels Inc., the companies said in a joint statement released late Wednesday that did not disclose the purchase price. They said that Carlson’s headquarters would remain in Minnetonka, Minn., after the deal is completed.
Chinese company to build $1 billion mill in south Arkansas
Apr. 26, 2016
- The Chinese company Sun Paper announced plans Tuesday for a $1 billion mill in southern Arkansas, the paper company’s first facility in North America. Joined by Sun Paper officials to announce the project at the state Capitol, Gov. Asa Hutchinson said the project will create 250 jobs and is one of the largest private investments in Arkansas’ history. Company and state officials said they expected the project to employ 2,000 people during its construction and create an additional 1,000 jobs indirectly in the timber industry.
China debt a risk but authorities are handling it: Moody’s
26 Apr 2016
- High debt levels in China are a risk but an imminent global financial crisis-type implosion is unlikely, a Moody’s Investors Service economist said Tuesday. Concerns over China’s debt buildup have risen in recent months amid a broader slowdown in the world’s second-largest economy. Influential investors such as Kyle Bass and George Soros have warned of a credit crisis in China, with Bass noting the presence of “ticking time bombs” in China’s banking system.
Chinese consumers go for hi-tech premium cars, says Hurun Report
April 24, 2016
- Chinese premium car owners are more interested in high-technology configurations while the Europeans are more concerned about the practicability of the vehicle, according to a report released this week. More than 80 percent of premium car owners in China are greatly influenced by the controllability and advanced technology of the models when making a purchasing decision, the survey from Hurun Report said.
China has surpassed the United States in business travel spending
April 21 2016
- China has already surpassed the United States in several categories, including the world’s largest exporter and car market. Now the U.S. has been nudged aside when it comes to business travel spending. Chinese business travelers spent an estimated $291.2 billion in 2015, compared with an estimated $290.2 billion by U.S. business travelers, according to the Global Business Travel Assn.
BMW Loses Core Development Team of Its i3 and i8 Electric Vehicle Line
April 20, 2016
- BERLIN—BMW AG has lost the core development team of its i3 and i8 electric vehicle line to Future Mobility Corp, a Chinese startup backed by Tencent Holdings, as the German premium brand struggles to come up with a convincing answer to competitor Tesla Motors Inc.
China Sovereign Fund to Seek Control of $8 Billion Yum Unit
April 18, 2016
- China wants to get control of the most popular fast-food chain in the country. A consortium backed by sovereign fund China Investment Corp. has expressed interest in buying a majority stake in Yum! Brands Inc.’s China business, which runs more than 7,100 KFC and Pizza Hut eateries across the nation, people with knowledge of the matter said.
China Leapfrogging Brazil in Average Purchasing Power: Chart
April 17, 2016
- China, which posted 6.7 percent growth in the first quarter, is poised to overtake Brazil this year in terms of purchasing-power parity. China’s per-capita income will rise to $15,095, or $47 more than in Latin America’s largest economy, based on International Monetary Fund estimates for gross domestic product in current dollars. Average income in Brazil, struggling with the deepest recession in decades, was double China’s as recently as 2006, with industrialization rates and commodity prices driving the shift.
China’s Alibaba has invested $900 million in a food delivery startup
Apr. 18, 2016,
- Alibaba, a Chinese ecommerce giant worth $198 billion (£139 billion), has invested $900 million (£636 million) into a food delivery company called Ele.me, according to TechCrunch. Ele.me received an additional $125 million (£88 million) from Ant Financial, a financial affiliate company of Alibaba.
Asian finance chief: No “hard landing” for China
April 17, 2016
- China’s economic slowdown has hammered commodity prices and rattled global markets amid the prospect of less booming demand in the world’s second-largest economy. Markets have recovered but further volatility is lurking as China transitions its economic pillars from exports and investment to domestic consumption. Takehiko Nakao president of the Asian Development Bank, which finances infrastructure projects in the region, discusses the risks posed by China and other emerging markets with USA TODAY economics reporter Paul Davidson at the International Monetary Fund meetings in Washington. Q: Is the stock market volatility caused by China’s troubles now behind us? A: China is not as bad as many people believe, but it’s too early to make a conclusion.
China Eastern to expand fleet to over 800 aircraft by 2020 vs 561 at end-2015 -Pres
Apr 15, 2016
- China Eastern Airlines plans to expand its fleet of aircraft to more than 800 by 2020, up from 561 as of the end of 2015, its president Ma Xulun said in an interview on Friday. The plans to acquire hundreds of new planes come as China Eastern seeks to boost long-haul traffic to and from the United States after a $450 million equity deal with Delta Air Lines Inc last year. Delta agreed to buy 3.55 percent of China Eastern, becoming the first U.S. carrier to own part of a Chinese airline.
China’s economy expanded 6.7% on-year in Q1, versus 6.8% in Q4
14 Apr 2016
- The world’s second-largest economy expanded 6.7 percent on-year in the first quarter, slightly slower than the previous quarter’s 6.8 percent pace, according to official data released on Friday. The results were bang in line with market expectations and suggested that the government’s target range of 6.5 to 7 percent growth for 2016 was feasible as long as officials continued to use their vast policy toolbox to stimulate the economy.
Why are Chinese companies snapping up overseas assets?
12 April 2016
- Anbang Insurance. ChemChina. Dalian Wanda. And now Alibaba. Never heard of some of these names? Well, you better start getting familiar with them. The Chinese corporate bigwigs are coming to town. And they’re making global headlines with their billion dollar deals. The latest to jump on the bandwagon of the Chinese global acquisition trail? Chinese internet giant Alibaba.
Why did WeChat succeed in China where other apps failed?
Apr 11, 2016
- When Tencent first launched WeChat back in January, 2011, nobody predicted that the bare-bones, mobile-only messenger was just five years away from being an ecommerce and social media juggernaut with well over half a billion users. The last half decade saw China’s former social media giants get used to living in WeChat’s shade. Renren, “China’s Facebook,” has seen its valuation crumble to a fifth of its 2013 high as users flocked to more feature-rich apps. And Weibo, while hardly obscure, has long since been eclipsed by WeChat’s gargantuan user base.
China’s Army of Engineers Key to Drive Innovation
Apr 09, 2016
- The growing number of engineers in China will help the country advance in innovation, according to a new book by Max von Zedtwitz. According to the book, the sheer number of science and engineering graduates from Chinese universities could help speed up innovation in the country.
Rugby-World Rugby agree deal with Alibaba to tackle China growth
Apr 10, 2016
- World Rugby have penned a 10-year deal with Chinese e-commerce giant Alibaba Group Holding Ltd to spark playing numbers and bring major events to the world’s most populous country. The deal between the world governing body and Alisports will see Alibaba’s new sports division broadcast exclusive rugby content, create online rugby stores and invest in World Rugby’s grassroots programme.
Alibaba Dethrones Wal-Mart as World’s Largest Retailer
Apr 09, 2016
- China’s e-commerce titan Alibaba said that it has elbowed out Wal-Mart as the “largest retail economy in the world as measured by annual gross merchandise volume (GMV) on its China retail marketplaces,” based on official documents submitted on April 5. GMV is the total value of all products sold through an online platform, and is different from the company’s revenue, which would typically be calculated as a sum of the commission it earns from sales on its platform, according to International Business Times.
HSBC’s Gulliver upbeat on China economy, reforms
Apr 8, 2016
- HSBC Holdings Plc (00005.HK) chief executive Stuart Gulliver sought to allay fears about the Chinese economy, saying global markets have overreacted to the slowing growth. Gulliver said China’s growth target of 6.5 to 7 percent is still robust, while the central bank has room for further cuts in interest rates and lenders’ reserve requirement ratio, the Hong Kong Economic Journal reported. The country’s ability to pursue reforms has been underestimated while its currency valuation moves should be seen as progress rather than regression, he said.
Bank of Canada still bullish on China despite economic slowdown
Apr. 05, 2016
- The Bank of Canada remains surprisingly bullish on China in spite of widespread investor angst about slowing growth. The Chinese economy has the potential to grow at 6 per cent a year for another 15 years, more than doubling its economy and sustaining its appetite for Canadian goods, senior deputy governor Carolyn Wilkins said Tuesday. “China’s demand for commodities should remain high and grow from a higher base, even if the country’s economic growth is slower and less reliant on natural resources,” Ms. Wilkins said in remarks prepared for a speech to the Vancouver Board of Trade.
Crocodile of the Yangzi
Apr 9th 2016
- How Jack Ma conquered China’s internet Alibaba, which Mr Ma and a handful of collaborators started in a cramped apartment in Hangzhou in 1999, is now one of the world’s biggest internet companies. It utterly dominates e-commerce in China, and has also made inroads into internet finance, cloud computing and logistics. Its flotation in New York in 2014 was the biggest public offering ever, and with a fortune worth perhaps $23 billion, Mr Ma is one of China’s richest men.
Innovation nation: Chinese start-ups take on Silicon Valley
April 9, 2016
- The crowd of mostly 20-somethings had all given one-minute presentations the night before. Those with the strongest ideas – or, perhaps, the most magnetic personalities – are allowed to recruit team members from those who didn’t make the cut. Tomorrow, they will present their pitches to an audience of fellow entrepreneurs, mentors and venture capitalists at a Startup Salad roadshow.
‘Arrogance’ why Western tech firms fail in China: Top VC
5 Apr 2016
- “Western imperial arrogance” rather than government regulation is the reason technology firms fail in their attempts to expand into China, according to the chairman of a top Silicon Valley venture capital (VC) firm. In a fireside chat hosted by CNBC at the Money 2020 fintech event in Copenhangen Monday, Michael Moritz, the chairman of Sequoia Capital who has invested in the likes of Google, and Sebastian Siemiatkowski, the chief executive of $2.25 billion Swedish payments start-up Klarna, discussed companies entering China.
Why China’s Housing Market Refuses To Crash
Apr 5, 2016
- One of the main reasons that China’s real estate market has ultimately maintained stability in the face of regular bouts of seemingly over-inflated prices is that the central and local levels of governments are firmly at the helm. They have control over the supply of new land for construction, financing for development, mortgage policies, tax rates, as well as housing purchasing restrictions that they use like a thermostat to heat up or cool off the market at their discretion.
Top China bankers’ salaries halved in 2015 after state sector pay reforms
Apr 5, 2016
- The chairmen and presidents of China’s five biggest banks saw their 2015 compensation slashed by a record 50 percent, the lenders’ annual reports showed, after Beijing-mandated pay reforms for executives of state-owned firms were implemented last year. Jiang Jianqing, chairman of Industrial and Commercial Bank of China (ICBC) , the world’s biggest lender by assets, made less than 550,000 yuan ($85,000) in total compensation last year, down 52 percent from 1.1 million yuan in 2014, according to the bank’s latest annual report.
China’s most aggressive dealmaker started at home, now reaches overseas
April 3, 2016
- BEIJING — The tycoon who is offering $43 billion for Swiss agrochemicals giant Syngenta keeps a low profile, but is China’s most aggressive dealmaker. Ren Jianxin, chairman of state-owned ChemChina, is behind most of China’s big foreign acquisitions, from Italian tire brand Pirelli to Norwegian chemical supplier Elkem and KraussMaffei, a German industrial-machinery maker.
Chinese Brands Grow in Value Despite Slowing Economy: Report
- Newly released information on China’s top 100 brands showed that the total value of these companies have risen 13 percent, despite economic downturn in 2015. The annual report was released by British advertising giant WPP and its market research unit Millward Brown. Internet giant Tencent is still crowned as China’s most valuable company according to the report. Its value grew to 82 billion U.S. dollars, equivalent to Norway’s annual GDP.
How Chinese Ports Outperform American, Japanese Harbors
- In 2014, Chinese ports have ousted American and Japanese harbors from the top 10 ranking of the world’s largest ports in terms of cargo volume, according to a report by the American Association of Port Authorities. Over the past 10 years, Chinese ports outperformed other global harbors in terms of cargo traffic. In 2003, the global top 10 ranking included Shanghai, Hong Kong and Guangzhou. In 2014, six Chinese harbors were included in the ranking, with a total cargo volume of 2.86 billion tons.
Top French fashion brands set to become Chinese-owned
- Leading French fashion labels Sandro, Maje and Claudie Pierlot as well as French lacemaker Desseilles are set to be taken over by Chinese firms, in two deals that signal a growing Chinese presence in the French fashion industry. Sandro, Maje and Claudie Pierlot’s parent company SMCP announced late on Thursday March 31 an exclusivity deal with Chinese textiles giant Shandong Ruyi Technology Group to acquire a majority holding.
Why the best cruise ships are in China
March 30, 2016
- While the US cruise business is growing at a rate in the low single digits, demand in China has risen by double digits since 2013, making it the cruise industry’s fastest-growing market. China accounted for 1 million cruise passengers last year, up from about 700,000 in 2014. The Chinese Ministry of Tourism forecasts 4.5 million passengers by 2020.
China’s Industrial Profits Rise At Fastest Pace Since 2014 In January, February
- China’s industrial profits rose at their fastest pace in 19 months in the first two months of the year, official data showed Sunday. Profits earned by Chinese industrial firms in January and February rose 4.8 percent from a year earlier to 780.7 billion yuan ($119.8 billion), according to China’s National Bureau of Statistics (NBS). Industrial profits in China, sometimes known as the “world’s factory floor,” had suffered in 2015 as the country’s economy grew at its slowest pace in 25 years as well as rampant excess capacity and weak demand led to price declines. In December 2015, industrial profits had fallen 4.7 percent.
These Chinese investors made Forbes’s ‘Midas’ top 100 list
Mar 25, 2016
- As you might expect given the nature of both Forbes and venture investment in general, the list is mostly white, Western men. But there’s one Asian country that has a pretty major presence on the list: China. Technically, if you’re only counting citizens of China or Hong Kong, then there were six that made the list: )7 Neil Shen, Sequoia Capital China, Hong Kong )30 Zhou Kui, Sequoia Capital China, China )32 Li Xiaojun, IDG Capital Partners, China )62 Stephen Ji, Sequoia Capital China, China )90 Richard Liu, Morningside Ventures, China )94 Xu Xiaoping, Zhenfund, China
High-tech business leaders optimistic about China
22 Mar 2016
- Cliff Wu, Ralf W Dieter, Thomas Seiler, Stephen Phillips, Chen Wei, Laurent Guyot
Chinese Tycoon Buys Western Brands for Chinese People
Mar 21, 2016
- Yuan Yafei, founder and chairman of Sanpower Group, has no plans to slow down in this shopping spree. His target? Malls, precision medicine and healthcare, according to an article by China Daily. When asked about why he chose to invest in overseas firms, the answer is clear. “Very simple. To serve the Chinese market,” said Yuan. “The Chinese market is huge enough. But we don’t have enough experience. With the help of money, I can buy Western brands and technologies, which are exactly what Chinese companies lack.”
Bank of China loans over $50 billion for Chinese firms’ overseas M&A
Mar 21, 2016
- State-owned Bank of China said it has extended $56.3 billion worth of loans to fund 188 overseas acquisition deals by Chinese companies in the past six years, highlighting how local firms are seeking inroads into overseas markets as growth slows at home. The deals funded by Bank of China, one of the country’s Big Four state banks, included those in industries ranging from electronics, infrastructure, commerce and leasing, it said in a statement posted on its website on Monday. The bank also signed loan contracts worth $9.7 billion during the 2009-2015 period to aid Chinese exporters, and $82.6 billion worth of lending to finance Chinese companies’ overseas operations.
China’s most valuable brands: Tencent, China Mobile and Alibaba dominate
March 21, 2016
- The BrandZ ranking is based on financial data from Bloomberg and Kantar Worldpanel combined with consumer opinions gathered from interviews with over 400,000 Chinese consumers since the ranking first launched in 2008. Most brands saw their value increase, but Alibaba, the online retailer which floated on the New York Stock Exchange in 2014, dropped by 20% to $47.6bn after China’s regulators levelled charges of counterfeit merchandise on Alibaba’s Taobao marketplace. Alibaba is also being challenged by a rival online retailer, JD.com, which entered the ranking at number 15 after a strong year when annual active customer accounts increased 59%.
China’s Wanda Group Inks Sponsorship Deal With FIFA
Mar 19, 2016
- Wanda Group has become the first Chinese Company to become a top level sponsor partner of FIFA. The sponsorship deal was announced on Friday at the headquarters of FIFA in Zurich in the presence of FIFA President Gianni Infantino and Wanda Group’s Chairman Wang Jianlin.
The Biggest American Companies Now Owned by the Chinese
March 18, 2016
- Here are the biggest U.S. firms to be swallowed, or are soon to be swallowed, by a Chinese company, according to Dealogic. 1) Starwood Hotels 2) Smithfield Foods 3) Ingram Micro 4) General Electric Appliance Business 5) Terex Corp.
Made in China Not as Cheap as You Think
March 16, 2016
- Here’s something to think about the next time you hear a U.S. presidential candidate criticize China for unfair trade: labor costs adjusted for productivity in China are only 4 percent cheaper than in the U.S. Even with the dollar’s rally since 2014, U.S. manufacturing is benefiting from the world’s strongest rate of productivity, a flexible labor market, cheap energy and from having a big domestic market. That’s according to new research by Oxford Economics, which found that the U.S. manufacturing sector remains a world beater.
Why The West’s High-Tech Innovators Manufacture Their Dreams In China
Mar 15, 2016
- After graduating with a masters degree in robotics from Northwestern University, Jackie Wu didn’t send out applications and stand in line for an entry level position at some tech-sector corporation. Instead, he pooled together some members from his alma mater’s rocketry team, someone he knew from an old robotics club, an ex-military hardware hacker, and plunked a guy from Google’s marketing division to form Eighty Nine Robotics. Now leading a startup that collectively boasts thousands of hours of experience with project management, robotics, rockets, electrical systems, software/firmware, and even car building, Jackie set out to design and build his first project: the world’s first household drone.
China Plans to Merge State Companies While Avoiding Job Cuts
March 12, 2016
- China will combine more of its biggest state-owned enterprises as part of a sweeping plan to cut overcapacity in the $18 trillion sector but won’t see the widespread layoffs that accompanied a similar overhaul in the 1990s, a senior regulator said. Reform of China’s state-owned enterprises must balance many interests, especially those of employees, Xiao Yaqing, the chairman of the State-Owned Assets Supervision and Administration Commission, told a briefing in Beijing. Big state-owned enterprises will be made stronger while duplication will be eliminated, he said.
China the perfect home for startups
- China’s aspirations to rival Silicon Valley for world-changing innovation and the country’s low labor costs have made it the perfect home for Western startups to commercialize their new technology, entrepreneurs say. “China’s high-technology manufacturing strength will help the country to stay competitive on the technology scene over the next decade at least,” said Qiao Huijun, an investment partner of Angel Plus, a Chinese fund.
China’s oil giant, Alibaba to jointly offer “smart energy” services
- Open up the app on your cellphone and pay your gas bill with just one tap. That is what possibly could be achieved through a partnership between China’s energy giant China National Petroleum Corporation (CNPC), Alibaba and its Internet finance arm Ant Financial, after the two sides signed an official agreement on Thursday. According to a statement published on CNPC website, the partnership will focus on online maps, logistics, Internet payment, and membership sharing.
Ericsson Joins China Mobile’s 5G Joint Innovation Center
March 10, 2016
- Leading provider of communication technology and services, Ericsson (ERIC – Analyst Report) , has recently joined Chinese state-owned telecommunication company China Mobile Limited’s 5G Joint Innovation Center program. Ericsson believes that joining the institution which is dedicated toward 5G development will help ramp up the development process of creating next-generation wireless networks that will offer unprecedented power and performance. This development comes close on the heels of the 5G network-related announcement made by companies at the Mobile World Congress 2016 – one of the most noteworthy conferences for mobiles in the telecommunication space. China Mobile’s 5G Innovation Center program has been designed to establish a cross-industry ecosystem and build an open-lab for the development of indigenous products and applications that will in turn unlock lucrative business and market opportunities for telecom operators.
30% of Chinese executives now women, says report
- The percentage of women holding top executive positions in China has risen to 30 percent, a 5 percent increase from last year and higher than the global average of 24 percent, according to a newly released report. The increase places China in 12th spot among 36 major economies in terms of female business leadership, CCSTOCK.CN reported.
Running a co-working space in China: Q&A with Bob Zheng, Founder of People Squared
07 Mar, 2016
- China’s coworking space industry has exploded over the past few years, matching the fast growth of the country’s startup ecosystem. According to the Wall Street Journal, there were 3,200 coworking space companies in 2014, compared to 400 in 2008.
China provides fuel for women power
March 7, 2016
- Zhou Qunfei’s childhood was scarred in many ways; her father was blinded in an accident before she was born in China’s Hunan province in 1970, she lost her mother when she was five years old and the end to her schooling came at 15. But she rose from a factory worker to an entrepreneur and maker of glass screens used by Apple and Samsung. This month, Forbes magazine listed Ms Zhou, with a net worth of US$5.9 billion (Dh21.67bn), among the top 10 newcomers to join its list of 198 new billionaires in 2016.
China’s $175 Billion Outflow Wasn’t Investor Flight: BIS
March 7, 2016
- Persistent capital outflows from China since mid-2014 were probably driven more by local companies paying down their dollar-denominated debt — in anticipation of a stronger U.S. currency — than investors ditching assets, according to the Bank for International Settlements. The outpouring of China’s currency “led to two different narratives,” researchers for the Switzerland-based institution said in a report Sunday. “One tells a story of investors selling mainland assets en masse; the other of Chinese firms paying down their dollar debt. Our analysis favors the second view, but also points to what both narratives miss — the shrinkage of offshore renminbi deposits.”
China lays out its vision to become leader in semiconductor and satellite manufacturing
March 5, 2016
- China aims to become a world leader in advanced industries such as semiconductors and in the next generation of chip materials, robotics, aviation equipment and satellites, the government said in its blueprint for development between 2016 and 2020. In its new draft five-year development plan unveiled on Saturday, Beijing also said it aims to use the internet to bolster a slowing economy and make the country a cyber power. China aims to boost its R&D spending to 2.5 percent of gross domestic product for the five-year period, compared with 2.1 percent of GDP in 2011-to-2015.
These Are the Super-Rich People Shaping China
March 3, 2016
- At the annual meeting of the National People’s Congress that begins Saturday, one group clearly stands out – the 114 of the nearly 3,000 delegates of the National People’s Congress (NPC) that are on the Hurun list of richest Chinese. China’s richest people account for close to 4% of the members of the body that officially acts as China’s national legislature. This high level of representation is at least somewhat ironic in a nation that still follows Communist doctrine.
Demographic time bomb? China’s army of young, educated and willing workers will keep economy on track
03 March, 2016
- That’s all troubling. But there are two reasons why China’s alleged demographic time bomb will fail to detonate the way pessimists allege. The first has to do with the enormous reservoir of underused workers in the country. A mere 54 per cent of Chinese officially reside in cities. That still leaves some 620 million Chinese people in the countryside, not contributing as effectively to economic output as their counterparts in urban areas. The second reason not to fret is the rapid improvement in educational attainment. Those currently retiring were educated during the latter days of the Cultural Revolution or at the very beginning of the country’s spurt towards prosperity. At the time, people managed six years of schooling, on average, with its quality no match for the standards of the modern era. Today, young Chinese enjoy an average of nearly 11 years of schooling, with the number of university graduates having jumped from 1 million in the early 1990s to more than 7 million last year.
Airbus bets big on China with new factory
- Airbus is betting big on China, trusting the country’s aviation market will continue to rapidly expand. It has just started work on a new factory near its existing plant at the northern port of Tianjin, where it will fit out the cabins and paint wide-bodied A330 jets made in Europe at the rate of two a month. It already assembles A320 single-aisle planes at the site using some locally made parts.
Chinese takeovers of overseas brands worthy of attention: China Daily columnist
Feb 29, 2016
- Chinese companies are pursuing growth through overseas takeovers not for short-term financial gains but to build a key plank in their long-term, global brand-building process. The Chinese company not only acquired General Electric’s appliance unit for a staggering US$5.4 billion (S$7.61 billion) , but also made clear its intent to make a mark in markets in both East and West. The Krauss-Maffei acquisition by the China National Chemical Corporation is another example in this regard.
China created 13.12 million jobs in 2015
February 29, 2016
- China said on Monday that urban employment held up in 2015 even as economic growth slowed, but the Human Resources ministry warned that the pace of job creation is slowing. More than 13.12 million new jobs were generated for urban residents in the world’s second largest economy in 2015, a senior government official said on Monday. Yin Weimin, Minister of Human Resources and Social Security, told a press conference that China had created more than 13 million new jobs for urban residents annually since 2013, though the reading for 2015 was down 0.8 per cent from the year before.
Chinese e-sports market to boom in 2016
- China’s e-sports industry is set for large growth in 2016, with as many as 100 million new participants and spectators set to join the fray. E-sports, which commonly take the form of organised professional multiplayer video game competitions, is a growing industry, with more than 71 million people believed to have watched competitive gaming in 2013. The global industry generated revenue totalling US$194m in 2014, a number that is expected to hit US$465m by 2017.
China went absolutely startup crazy in 2015
Feb 25, 2016
- 2015 was a big year for startups in China. Everyone knows that. VC money was coming fast and easy – so easy that VCs were literally trying to convince people with jobs at China’s top tech companies to quit and do startups. And until the cracks started showing with the summer stock market crash, China’s economy was growing like a weed, too. It was a good time to found a startup, especially a tech startup. So just how startup crazy did China go? According to state media, an average of 12,000 new companies were registered each day in China last year. Of course, not all of those were new tech startups, but the tech and internet sectors were among the hottest in a year that saw more than 4 million new companies hit the books in China.
China’s sharing economy worth $298b: report
February 28, 2016
- From ride-hailing business to online auctioneers, sharing economy platforms in China have created a market worth $298 billion (Dh1.09 trillion) in 2015, according to an official report on Sunday. There are 50 million sharing business providers in China and they have more than 500 million consumers, according to a report by National Information Centre. The sharing economy generating a revenue of 1.95 trillion yuan satisfies a variety of needs in daily life and business.
Fewer Chinese seek work abroad
- The global economic slowdown and improved personal incomes at home have led to a decline in the need and supply for Chinese workers overseas. “We had about 10,000 Chinese workers in Africa from 2011 to 2014, but the number has now declined to around 1,000,” said Cui Hao, deputy general manager of the Overseas Engineering Company of China Tiesiju Civil Engineering Group. Headquartered in Hefei, Anhui province, CTCE Group is a major player in the construction sector overseas, especially in Africa.
China allocates 100 billion yuan to deal with job losses from capacity cuts – ministry
Feb 25, 2016
- China will allocate 100 billion yuan (£13.5 billion) over two years to relocate workers laid off as a result of China’s efforts to curb overcapacity in sectors like steel, the Ministry of Industry and Information Technology said on Thursday. China has vowed to tackle price-sapping supply gluts in major industrial sectors, and said earlier this month that it would close 100 million-150 million tonnes of steel capacity and 500 million tonnes of coal production in the coming three to five years.
China has more billionaires than US: Report
24 Feb 2016
- China now has the most billionaires despite the country’s economic slowdown, stock market plunge and crackdown on corruption, according to a China-based wealth research firm. The Hurun Report said China now has 568 billionaires versus the United States’ 535, giving it the largest population of billionaires in the world.
IMF hails China economy on right way ‘from quantity to quality’
- DUBAI — Christine Lagarde, the managing director of the International Monetary Fund (IMF) said here Tuesday that IMF “does not believe that the world’s second largest economy will face a hard landing” and that China’s decision to transform “from quantity to quality” is the right way. Speaking at the Global Women’s Forum 2016, Lagarde said China’s lower growth was “deliberate” and healthy as the government has decided to transform the country from a place of mass production to quality production and from investment to consuming.
Hottest phones you’ve never heard of—same bang, less buck (Update)
February 23, 2016
- Move over, Apple and Samsung. The next big smartphone might be from little-known Chinese brands such as TCL and OPPO. Along with other Chinese phone makers such as Huawei and Xiaomi, Chinese brands have surpassed Samsung in China and are encroaching on Apple’s turf. In the coming years, analysts forecast that these cheap Android phones with not-so-cheap features will likely attract more budget-conscious customers in Europe and even in Samsung’s and Apple’s home markets, South Korea and the United States.
Rent-a-‘laowai’ market signals weak China economy
February 21, 2016
- BEIJING—To take stock of the Chinese economy, you can look at any number of traditional measures: GDP is growing at a slower pace, the equity markets are plunging and the currency’s value is ebbing. And now there’s another indicator of change: The rent-a-foreigner market appears to be weakening and going downscale.
Female Entrepreneurs Embracing the ‘Internet Plus’ Era
February 18, 2016
- With increasing transformations and innovations surrounding the internet and “Internet Plus,” recent years have seen a host of female entrepreneurs engaging in the industry are emerging and flourishing in China. “Internet Plus” is the Chinese government’s campaign that aims to integrate online and traditional industries whilst encouraging entrepreneurship and innovation. Its fruits of e-commerce and various other forms of Internet services have greatly changed people’s lives. The following are outstanding Chinese female entrepreneurs who have embraced the ‘Internet Plus’ era and reaped remarkable results.
China’s HNA snaps up US tech firm for $6.0 bn
February 18, 2016
- A Chinese firm has splashed out $6 billion for a US tech firm that distributes products for Apple and Microsoft, the latest eye-popping acquisition by a Chinese company seeking greater profits abroad as the economy slows down at home. HNA will pay the enormous figure for Ingram Micro, a company statement said Wednesday, making it among the top ten most valuable overseas acquisitions ever made by a Chinese company, according to data from research firm Dealogic.
Is US Dollar Ready to Share Spotlight With China’s Yuan?
- In his article for Le Monde Diplomatique, the academic points out that the International Monetary Fund (IMF) agreed to add the Chinese yuan (renminbi) to its reserve currency basket on November 30, 2015. So far, the basket will comprise the US dollar, euro, the Chinese yuan, Japanese yen, and British pound. The addition of the yuan will take effect in October 2016.
China’s box office soars 87% over Spring Festival
- Movie ticket sales in China during the week-long Spring Festival holiday, plus Valentine’s Day on Sunday, hit a record high of 3.5 billion yuan ($535.4 million), up 87.13 percent from a year earlier. Stephen Chow’s latest comedy, Mermaid, produced by Beijing Enlight Pictures and China Film Group, nabs the country’s box office crown with 1.79 billion yuan in receipts by Sunday, according to online ticketing portal Maoyan.
China on massive gold buying spree
11 Feb, 2016
- China’s gold imports have surged over 700 percent since 2010 and the country remained the world’s biggest consumer of the precious metal last year, according to the latest data from Hong Kong. In 2015 the country imported almost 1,000 tons of gold, compared to about 100 tons five years ago. China was followed by India which imported 849 tons of gold in 2015.
What Slowdown? Chinese Consumer Confidence Still Strong
Feb 9, 2016
- If China’s economy is stalling, don’t tell the Chinese. “Chinese consumers seem to be holding up despite the volatility we’re seeing in markets,” says Louise Keely, president of the Demand Institute and the lead author of Nielsen’s quarterly global survey on consumer confidence. “Retail sales continue to be quite strong…and consistent with that, consumer confidence in China remains stable and high,” she says.
Chinese Companies on a Foreign-buying Spree
Feb 09, 2016
- More and more Chinese companies are buying foreign firms at a record rate, according to an article by Business Insider. Experts predict that this trend is likely to continue for the most part of 2016. To start off the year, Qingdao-based Haier has already bought General Electric. Meanwhile, Zoomlion made a big for Terex Corporation, a known maker for heavy-lifting equipment.
Study: China’s new policies will lower CO2 emissions faster, without preventing economic growth
February 9, 2016
- A new study co-authored by an MIT professor shows that China’s new efforts to price carbon could lower the country’s carbon dioxide emissions significantly without impeding economic development over the next three decades.
China is buying foreign firms at a record rate
February 3, 2016
- Ready, set, shop! Chinese firms are opening their wallets for a record global shopping spree as they look to make up for slowing economic growth at home. Just one month into 2016, Chinese companies have announced plans to buy 66 foreign companies worth $68 billion. That’s equivalent to 60% of the value of all such deals last year, according to Dealogic.
China services activity climbs to 6-month high in January
2 Feb 2016
- Activity in China’s services industry climbed to a six-month high in January, underscoring divergence with the manufacturing sector that continues to sputter, a survey showed Wednesday. The Caixin Services Purchasing Managers’ Index climbed to 52.4 in January from 50.2 in December.
Xiaomi phones to be sold in the US via a third-party
2 February 2016
- Phones made by China’s Xiaomi – the world’s fourth biggest smartphone maker – are going on sale in the US for the first time, PC Mag UK reports. Carrier US Mobile said it would import a range of Xiaomi handsets from China and sell them from online this week. However, the phones will not include Xiaomi’s latest devices such as the high-end Mi Note or run on high-speed 4G networks in the US.
Alibaba Sales Rise 32% as Ma’s Push to Rural China Boosts Growth
January 28, 2016
- Alibaba Group Holding Ltd. reported sharp gains in revenue and profit as Chairman Jack Ma’s push into China’s countryside helped growth amid a slowing economy. Sales surged 32 percent to 34.5 billion yuan ($5.2 billion) in the three months ended December, the company said Thursday, compared with the 33.2 billion-yuan average of estimates compiled by Bloomberg. Net income more than doubled to 12.5 billion yuan.
Morgan Stanley President Colm Kelleher: China ‘is just fine’
Jan. 27, 2016
- China is “just fine” and the recent worries about its economy was just an excuse to sell the market off after a good run, Morgan Stanley President Colm Kelleher said on Wednesday. “I think there’s no new news here, emerging markets will not grow, we know that. Developed markets are carrying the growth, particularly in the U.S. and we are of the view that China is just fine, 6.9 percent growth is okay and we believe those numbers broadly,” Kelleher told a conference in Dublin.
Uber CEO: China to surpass Silicon Valley in innovation
- Watch out, Silicon Valley. China’s out to eat your lunch. So says Travis Kalanick, the Silicon Valley pioneer who steered Uber Technologies Inc. to a larger valuation than four-fifths of the companies on the Standard & Poor’s 500 Index. He’s now setting his sights on China: The ride-hailing company’s domestic unit is valued at more than $8 billion after taking more money after the closure of its latest funding round, Kalanick told reporters in Beijing. The Uber Chief Executive, who’s personally overseeing Uber’s come-from-behind battle against Didi Kuaidi, argued the country’s growing cohort of entrepreneurs will eventually eclipse those that have made the Bay Area a cradle of global technology innovation.
China’s economy has been slowing down for years — but it’s still growing like it’s 2007
Jan. 25, 2016
- However, Capital Economics’ Julian Jessop argues that much of the recent panic over China looks “increasingly over done.” China’s growth has actually been slowing down for some time now. Growth in China peaked in 2007, and has been on a downward trend since 2011. “Crucially, this has not prevented advanced economies from picking up, or global growth from stabilizing,” adds Jessop.
China’s trade and infrastructure deals don’t look like desperation
24 Jan 2016
- Think of a small European country where China currently manages a $3.5 billion portfolio of direct investment projects. And while the hapless Europeans were stirring up more trouble for Greece, last week China completed a $368.5 million deal for a 67 percent stake in the Piraeus Port Authority, with another $350 million slated for investments to create China’s largest maritime hub in the Mediterranean. Piraeus will be the seafaring endpoint of China’s 21st Century Maritime Silk Road from East Asia to Africa, Middle East and Europe.
Asia’s largest manganese ore discovered in China
January 22, 2016
- A reserve of 192 million tonnes of manganese ore, believed to be the largest in Asia, was discovered in China’s Guizhou province, it was announced on Friday. Pujue manganese ore was discovered in mountains between Songtao Miao and Jiangkou counties, Xinhua news agency reported. Manganese is used to make metal alloys, particularly stainless steel. The mine will help poverty alleviation in Guizhou, one of China’s least developed provinces, officials said.
China’s Job Market Steady in 2015
- China’s employment level held steady last year, despite the economic slowdown. Human resources official, Li Zhong, also said that there were no large-scale layoffs apart from jobs cut in sectors that have suffered from overcapacity. The registered unemployment rate in China’s cities was 4.05 percent in the last quarter of 2015, unchanged from three months earlier.
Chinese personal income rises 7.4 pct in 2015
January 19, 2016
- China’s national per capita disposable income stood at 21,966 yuan (3,349 U.S. dollars) in 2015, up 7.4 percent from 2014 in real terms, outpacing GDP growth, official data showed Tuesday. Separately, urban per capita disposable income and rural per capita net income reached 31,195 yuan and 11,422 yuan respectively in 2015, up 6.6 percent and 7.5 percent in real terms after adjusting for inflation from 2014, according to the National Bureau of Statistics (NBS).
Urgent: Services more than half of China 2015 GDP
January 19, 2016
- China’s services sector contributed 50.5 percent to the country’s GDP in 2015, up from 48.1 percent in 2014, official data showed Tuesday. The ratio, which kept growing over the last two decades, for the first time exceeded 50 percent, indicating that China’s economic restructuring was improved, said the National Bureau of Statistics.
Chinese rank among world’s wealthiest 62
- The wealthiest 62 people now own as much as half the world’s population of about 3.5 billion people does, as the gap between rich and poor continues to widen rapidly, according to a report by the international charity Oxfam. Although half of these super-rich individuals come from the United States, the list features five investors from the Chinese mainland and three tycoons from Hong Kong. On the mainland, technology investors Robin Li, founder of search engine Baidu; Ma Huateng, also known as Pony Ma, the chief of Tencent Holdings; and Jack Ma, the founder of the online shopping platform Alibaba, are included among the world’s richest, reflecting the growing importance of Internet-related businesses in China.
80% super rich optimistic about China economy
- More than 80 percent of China’s super rich people are optimistic about the country’s future economic development and see stocks as their best investment option, according to the Hurun Report Chinese Luxury Consumer Survey 2016. The report, the 12th one by Hurun Report in Shanghai, is based on the survey of 458 rich men and women with a net worth of more than 43.7 million yuan ($6.63 million) each. Of the rich, 57 are billionaires.
China to clean-up ‘zombie’ companies by 2020: Xinhua
Jan 17, 2016
- China’s top state-owned asset administrator has vowed to clean-up the country’s so-called “zombie” industrial companies by 2020, the official Xinhua News Agency has reported. Zhang Yi, Chairman of the State-owned Assets Supervision and Administration Commission (SASAC), told a central and local enterprise work conference convened at the weekend that the agency will “basically” resolve the problem of unproductive “zombie” firms over the next three years.
High-tech enterprise startups supported
- More favorable policies will be granted to small and medium-sized high-tech enterprises by the government to encourage startups and innovation. The initiative was announced during a State Council executive meeting presided over by Premier Li Keqiang on Wednesday. Measures to identify high-tech and new technology enterprises will be improved to provide better policy support for small and medium-sized startups and to stimulate economic upgrading.
China’s Haier buying GE appliance unit for $5.4B
January 15, 2016
- Chinese home appliance maker Haier Group has reached a deal to buy General Electric Co.’s appliance business for $5.4 billion. The acquisition, announced in a statement Friday, comes as Haier — the world’s biggest home appliance maker — tries to transform itself into a premium brand. GE Chairman and CEO Jeff Immelt said Haier “is committed to growing the business globally.”
China Dec. exports, imports fall much less than expected after yuan slides
Jan 13, 2016
- China’s total trade fell in December but far less than expected, with exports outperforming many of its regional peers after the country let the yuan depreciate sharply, highlighting fears of a currency war among Asia’s trade-reliant economies. “The trade data support our view that, despite turmoil in Chinese financial markets, there has not been a major deterioration in its economy in recent months,” Daniel Martin, senior Asia economist at Capital Economics, said in a note.
Beijing to shut down 2,500 polluting firms to tackle smog crisis
9 Jan, 2016
- Chinese authorities will shut down 2,500 small firms in Beijing as part of an environmental protection effort aimed at restoring the ecological balance in a city that has plunged into a dire smog crisis. Beijing authorities will oblige four districts, Fengtai, Fangshan, Tongzhou and Daxing, to close 2,500 small businesses over pollution concerns by the end of the year, the Xinhua news agency cited an the municipal government’s statement. Meanwhile, the rest of the city is to complete the same task by the end of 2017.
China to invest $12 bn in building new airports this year
Jan 11, 2016
- The Civil Aviation Administration of China said it will step up construction of important new airports, including those in Beijing, Chengdu, Qingdao, Xiamen and Dalian. Eleven key infrastructure projects and 52 upgrades or expansion work on civil aviation facilities will be started this year, it said in a statement.
China overfulfills affordable housing target
- China completed 7.72 million units of affordable housing in urban areas in 2015, beating the annual target of 4.8 million, official data have shown. The construction of 7.83 million units began in 2015, compared with the full-year goal of 7.4 million, the Ministry of Housing and Urban-Rural Development said earlier this week.
ADB head optimistic China’s economy to grow 6.7 percent
January 8, 2016
- The Asian Development Bank president said Friday he is optimistic China’s economy will post healthy growth of 6.7 percent this year despite jitters over the yuan’s depreciation and a plunge in Chinese stocks. ADB President Takehiko Nakao said that China’s growth “is still very high” compared with other countries. The development bank estimates the Chinese economy grew 6.9 percent last year.
China moves up the exports value chain
- An ADB report shows that the country has overtaken Japan, South Korea, Malaysia About 20 kilometers south of Kuala Lumpur, on the platforms of Sri Petaling light rail station, passengers eagerly wait for China-made rakes that can carry them to the heart of the Malaysian capital.
China Huawei’s 2015 smartphone shipments jump 44 percent, cross 100 million
Jan 6, 2016
- Huawei Technologies Co became the first Chinese handset vendor to ship more than 100 million smartphones in a year when its 2015 shipments defied a market slowdown and jumped 44 percent, thanks to strong sales domestically and in Western Europe. Shenzhen-based Huawei disclosed on Wednesday it shipped 108 million smartphones last year, as it sought to shed its budget supplier image to target higher-margin premium models. In comparison, the global industry is expected to have grown at a single-digit rate in 2015 for the first time.
The `Hard-Landing School’ Has It Wrong on China, Says Roach
January 6, 2016
- Those concerns about China that have weakened the yuan and sent stocks tumbling? Overdone, says Stephen Roach. The Yale University senior fellow said the economy is in a transition and employment data showing strong urban job growth paint a more positive picture.
Xiaomi on track to enter drone market this year
04 January, 2016
- Smartphone maker Xiaomi has filed dozens of intellectual patents on drone technology, fueling speculation that it could be about to diversity into remote-controlled recreational vehicles High-flying Chinese technology start-up Xiaomi has made at least two dozen patent filings last year and formed a company in Guangzhou to prepare for its widely speculated entry into the consumer drone market this year.
China’s Hard Landing? Hardly
Jan 3, 2016
- The housing market went through a controlled demolition. It never imploded. There is no foreclosure crisis that makes the U.S. and European housing bubble explosion look like a bottle rocket, as we all heard was a sure thing. Why do we keep listening to these guys? A total of 51 cities saw month-on-month home price increases last month, 10 cities more than November. The number of cities seeing a month-on-month price drop decreased from 56 cities in November to 45 of them in December.
Want to See Technology Taking Over Finance? Look at China
Dec. 28, 2015
- BEIJING—China is moving to rein in its fast-growing and innovative online finance sector, which offers a glimpse of how the rest of the world may someday handle money but has seen a number of high-profile abuses.
Chengdu pushes to become China’s Silicon Valley
January 3, 2016
- In contrast, China’s hinterland has long been seen as a low-cost manufacturing hub and a source of migrant workers. This reputation is something that the government is trying to change by spending freely to turn the city — better known for pandas and a spicy delicacy known as hot pot — into a new Silicon Valley. Jonathan Woetzel of McKinsey, the consultancy, says the urge to innovate comes as many Chinese mega cities such as Chengdu push to move their economies up the value chain. Foreigners often see China as one undifferentiated mass, he says, “but the difference between Harbin and Hainan is like Helsinki and Athens. Each of these mega cities is starting to behave economically like little countries.”
Li Yonghui, Chinese self-made ‘everyman’
January 3, 2016
- Few people have heard of Li Yonghui or Fincera, his transportation and financial services company, or even Shijiazhuang, the northern Chinese city where he was born into poverty and made his fortune. He prefers to keep a low profile. But Mr Li’s career, like those of many of his peers, is instructive on at least two levels. It has followed the arc of China’s rise from the “sick man of Asia” to superpower contender. It also illustrates the stubborn dynamism of a new Chinese entrepreneurial class that has thrived over the past decade despite competition from state-owned rivals and an often treacherous regulatory climate.
China Startup in 2015
Jan 2, 2016
- During a yearlong exploration into China’s most cutting-edge startups, we have met people and companies full of vitality, embodying the possibilities of a culture awash with entrepreneurship. Meeting, filming and talking to China’s entrepreneurs making moves in 2015, we believe 2016 will be another exciting year for China’s startups. Take a look at some of the most thrilling moments in the 2015 businesses that we were lucky enough to feature, and see why we are looking forward to next year with so much confidence and excitement.
The Dawn of the Chinese Cruise Market
- China has the potential to become the world’s largest cruise market. A burgeoning middle class is flocking to luxury vacation cruises. The government boosts the trend by supporting more lenient annual leave policies for employees. “This year, 52 cruise ships will operate in Asia, with more than 1,000 sailings scheduled and we are excited to see how the industry will continue to grow with more itineraries being added and more Chinese consumers starting to cruise,” says Lorri Christou, Senior Vice President Strategic Marketing and Communications at Cruise Lines International Association (CLIA). “The cruise industry in Asia has had a record-breaking year so far, with more travellers cruising in the region than ever before.”
China, Japan, New Zealand Asia’s Best Performing Stock Markets In 2015
- Mainland stocks in Shanghai and Shenzhen have emerged as Asia’s shining stars after the government intervened to stem a $5 trillion equity-market rout and support the currency. The benchmark Shanghai Composite index gained 9.4 percent in its second annual advance after losing as much as 43 percent of its value over the northern summer.
Rise of the affluent in China’s smaller cities
Dec 29, 2015
- Big metropolises like Beijing and Shanghai no longer rule the roost of economic opportunities in China, with smaller cities now racing ahead as their increasingly cashed-up residents drive the future of consumption in the country. Forty-six million additional upper-middle-class and affluent households will emerge in China over the next five years, of which half that number will likely be located outside its top 100 cities, according to a report by consulting firm BCG and AliResearch, a unit of Chinese e-commerce giant Alibaba. These are typically classified as fourth-tier cities or lower.
Uber partners with major Chinese auto maker
December 23, 2015
- Uber on Tuesday announced a partnership with a major Chinese auto maker as the controversial ride-sharing service revved its efforts in the country. Uber and Guangzhou Automobile Group will work together in areas including investment, sales, marketing, and promoting new energy vehicles such as hybrid or electric cars, the San Francisco-based company said in a release.
Around Asia, ‘Made in China’ no longer means cheap or shoddy
December 20, 2015
- Try durable and precise instead. The rise of product quality in China is starting to create waves in the world’s most dynamic economies. From clothes to appliances to cell phones, Chinese goods are now proving to be as durable as those made in Japan and nearly as precise as those emerging from high-tech hubs like Taiwan.
China welcomes U.S. ratification of IMF quota reforms
Dec 18 2015
- hina’s central bank on Saturday welcomed the ratification of the 2010 quota and governance reforms of the International Monetary Fund (IMF) by the U.S. Congress on Dec. 18, 2015. “Such approval means that the 2010 reforms, after protracted delay, are expected to take effect soon,” said the People’s Bank of China (PBOC), the central bank, noting “the 2010 reforms will enhance the representativeness and voice of emerging market and developing countries (EMDCs) at the IMF, thus helps maintain the IMF’s credibility, legitimacy and effectiveness.”
‘China shifting toward knowledge-based economy’
- Scholar highlights China’s huge R&D investments, growing volume of scientific papers The transition has been substantiated by China’s massive spending on research and development and the growing volume of scientific research papers, written by its promising scientists, the professor at Kookmin University’s School of International Studies told The Korea Herald.
China’s retail sales growth estimated at 10.7% in 2015
- China’s retail sales of consumer goods will see annual growth of 10.7 percent this year, the Ministry of Commerce (MOC) forecast Thursday. The domestic consumer market was stable this year and it gained momentum in recent months, said MOC spokesperson Shen Danyang during a press conference. Retail sales of consumer goods rose 11.2 percent year on year in November, the highest monthly growth rate so far this year, data from the National Bureau of Statistics (NBS) showed last Saturday.
Overseas returnees, a globalization force of Chinese Entrepreneurs
Dec 16, 2015
- The Mission of overseas returnees stays the same. The fifth Future 30 Years-Returnees Mission held discussions on the issue Saturday in the Chinese capital of Beijing. The theme of the forum is “Entrepreneurship and Innovation”, hosted by the Western Returned Scholars Association, or WRSA. Over the past ten decades, China has witnessed the formidable economic and technological power of Chinese returnees in entrepreneurial activities. They have started numerous high tech enterprises and contributed directly to the economic development of the country.
China launches new yuan index to sway markets away from yuan-dollar focus
Dec 13 2015
- Beijing: China has begun issuing a yuan exchange rate against a basket of currencies in a move to discourage investors from exclusively tracking the yuan’s fluctuations against the US dollar. The yuan has been weakening against the dollar in recent months, mainly pressured by market jitters about slowing growth in China and an expected interest rate rise in the United States. The China Foreign Exchange Trade System (CFETS) announced late on 11 December that it had launched a new trade-weighted yuan exchange rate index, which was at 102.93 on 30 November, a rise of 2.93% from the end of 2014. In that same period, the yuan has fallen 3% against the dollar.
China’s Shadow Banking Risks Are Overplayed
December 10, 2015
- Financial market’s attention seems to have returned to China’s shadow banking risk again recently. Sensational media headlines to reports about Chinese shadow banks writing an open letter to the top party officials in Hebei province asking for a bailout, China’s banks looking for growth by engaging shadow banking activities, and shadow banking killing China’s stock market1 are raising market concerns. The common denominator here is the perception that China’s shadow banking problem poses a global systemic risk. However, international data shows clearly that shadow banking risk involves mainly the large developed economies.
Lifeline for elephants: Ivory price halves in China after Xi pledges ban
December 8, 2015
- The price of raw, illegal ivory has almost halved in China in the past 18 months because of growing public awareness, a promise from President Xi Jinping to ban the trade, a far-reaching anti-corruption drive and a slowing economy, according a new study by Save the Elephants. As China grew ever more wealthy, the value of raw ivory here had tripled in the four years up to 2014, reaching an average wholesale price of $2,100 per kilogram. But Xi’s pledge to ban the trade, backed up by public awareness campaigns, seems to have turned the tide.
China Surpasses Japan as Asia’s Top High-Tech Exporter, ADB Says
December 7, 2015
- China has brought to an end Japan’s dominance of Asia’s high-technology exports, according to the Asian Development Bank. China’s share of Asia’s exports of high-tech goods such as medical instruments, and aircraft and telecommunications equipment rose to 43.7 percent in 2014 from 9.4 percent in 2000, the ADB said. Japan’s share slid to 7.7 percent last year from 25.5 percent in 2000. Southeast Asian nations including Malaysia and Philippines also lost market share.
ADB: China’s Economy to Grow Slightly Faster Than Expected
December 03, 2015
- China’s economy will grow slightly faster than expected this year at 6.9 percent and its shift to fostering services and private consumption is helping to support regional growth, the Asian Development Bank said Thursday.
How China trimmed its Opec dependence
December 3, 2015
- China’s imports from Opec producer nations, such as Saudi Arabia and Libya, have dropped considerably in recent years, while it has tapped more supplies from Russia and Brazil, according to the latest Chinese customs data. Russia has been the main beneficiary; others include Brazil, Colombia and Oman.
5 Charts Showing China’s Fastest-Growing Aviation Markets
Dec 01, 2015
- U.K.-based airline data firm OAG’s new Chinese aviation report analyzes which markets have seen dramatic increases in seat capacity and which airlines are carrying the most outbound Chinese travelers to the top 15 markets, including Japan, Thailand and the U.S. According to OAG, last month there were 298,353 scheduled flights leaving Chinese airports for destinations in China or internationally. That equates to 47.6 million airline seats a month and 9,945 aircraft movements every day, and the average aircraft size is 159 seats. Vietnam has emerged as the fastest-growing market for Chinese outbound travelers, more than nearby Japan, Thailand or Australia. And there are some major differences in terms of where new routes are being added for international flights. Japan-bound flights have seen impressive growth at secondary Chinese airports, compared with U.S.-bound flights, which mainly originate in only three Chinese megahubs.
Meet China’s second generation rich kid entrepreneurs
01 Dec, 2015
- “A rich family’s child has to choose one of three options,” says Fuye Wang Managing Partner at Geek House Capital. “Work in a large company, invest, or inherit the family business.” Wang is an example of China’s ‘second generation rich’. His father, Zhongjun Wang, is the Founder of Huayi Brothers, one of the largest private-sector film companies in China. Huayi Brothers is backed by Alibaba, Tencent, and CITIC, a state-owned investment company. Instead inheriting his father’s business, Wang decided to take the second option. “I’m too lazy and I know that I can not work hard, so I got into the investment field,” he jokes. China’s second generation rich have a reputation for extravagance. But how do they see themselves as entrepreneurs?
China’s Renminbi Is Approved by I.M.F. as a Main World Currency
NOV. 30, 2015
- The Chinese renminbi was anointed as one of the world’s elite currencies on Monday, a milestone decision by the International Monetary Fund that underscores the country’s rising financial and economic heft. The move will help pave the way for broader use of the renminbi in trade and finance, securing China’s standing as a global economic power. Just four other currencies — the dollar, the euro, the pound and the yen — have the I.M.F. designation.
China’s COMAC delivers first ARJ21 jet plane to domestic airline
Nov 29, 2015
- State planemaker Commercial Aircraft Corp of China (COMAC) said on Sunday it has delivered the first ARJ21 jet to domestic low-cost carrier Chengdu Airlines, calling it a big breakthrough in China’s efforts to develop its domestic jet plane design and manufacturing capabilities. China is keen to develop a successful commercial aircraft to rival Boeing and Airbus. But it has been held back by inexperience, a shortage of local aerospace design and engineering talent, as well as a lack of home-grown companies with the technology to help drive the project.
China’s rapidly growing role in global financial bodies
Nov 25, 2015
- China is a member of many multilateral institutions – including several regional players like the African Development Bank (AfDB) and the Inter-American Development Bank (IDB) – with which it is deepening its relationships, especially through co-investment in projects around the world. Similarly, China’s sovereign wealth funds have served as important anchor investors in the vehicles designed by the World Bank’s International Finance Corporation and the EBRD to bring long-term institutional capital into their projects.
These maps show how the Chinese economy conquered the world in a decade
Nov 24, 2015
China’s ruling Communist Party unveils plan to lift 50 million people out of poverty by 2020
November 24, 2015
- China’s ruling Communist Party has issued an ambitious plan to eradicate poverty in the country within five years. The plan involves lifting 50 million people out of the poverty net by the end of 2020. In a statement, the party pledged to do everything it could to wipe out poverty and that it would take “unconventional measures” and “perfect methods” to do so. The statement was issued after a meeting of the Political Bureau of the party’s central committee led by Chinese president and party chief Xi Jinping.
China Outstrips Rest of the World in Creating Startups, Report Shows
November 22, 2015
- With its economy slowing down, China is re-inventing itself as the next Startup Nation. A new report by UHY International, an accounting and consultancy firm based in London, unveiled data showing China is in pole position when it comes to entrepreneurship, spawning 4,000 new businesses a day. Since 2010 — when its economy was roaring at a rate of 10 percent — China has doubled the number of startups to 1,609,700 in 2014. The U.K. lagged a distant second.
China’s Malls Go Social In Face of E-Commerce Competition
Nov 22, 2015
- Part of the reason that e-commerce and shopping malls in China both are growing at comfortable clips, despite China’s recent slowdown in economic growth is that they both serve useful functions for the growing crop of mainland consumers, with offline commerce providing a social function that is lacking both in online platforms and in other areas of Chinese society.
China’s Ghost Cities Aren’t Exactly Dead
22 November 2015
- “The term ‘ghost cities’ is actually not appropriate,” Shepard said. “Ghost cities are places that once lived and then died. What I write about is new places that are underpopulated, and where houses are dark at night.” Shepard points out that most of China’s ghost cities actually do have people living in them. The ones that don’t are still under construction: “These new underpopulated cities are built by world luxury developers who are working on constructing new urban utopias all over China. The people living in these cities come from various places. Some are trendy people who are looking to live in a new city. Others have been relocated from their original villages. There are many from the countryside.”
Forbes Magazine Names Top 10 Most Influential Businesswomen in China
Nov 19, 2015
- Forbes Magazine Chinese Edition has named Gree Electric Appliances CEO Dong Mingzhu as the most influential businesswoman in China. She has held the spot for two consecutive years. Dong’s company manufactures home appliances in Zhuhai, Guangdong province. She topped the list of most influential businesswomen in China, according to the respective rankings released by Forbes Magazine this week.
China’s new-home prices rose for the first time in over a year
November 18, 2015
- New-home prices in China rose by 0.1% in October from a year earlier, their first annual increase in 14 months, according to data from the National Bureau of Statistics (link in Chinese).
G20: China confident in economy’s medium-high growth rate
Nov 15, 2015
- Chinese President Xi Jinping has delivered a speech at the first session of the tenth G20 summit as it kicked off on Sunday. Xi said the G20 members should work to maintain a stable economic growth in the short term, while seeking to inject new impetus into the world economy in the long run.
China’s invention patent applications grow 21.7% in the first three quarters
November 10 2015
- Recently, SIPO published data of patents in the first three quarters of 2015. In the first three quarters of 2015, China received 1.876 million applications of the three kinds of patents, up 22.0%. Among them, 709,000 were invention patent applications, up 21.7%; 779,000 were utility model patent applications, up 33.6%; 388,000 were design patent applications, up 4.4%, respectively were 37.8%, 41.5% and 20.7% of the total.
China welcomes IMF backing to make yuan world reserve currency
November 14, 2015
- China on Saturday welcomed backing from IMF experts that the yuan should be included in its reserve currencies, saying the move would strengthen the world’s financial system.
Indonesia to use yuan in trade with China from 2016
Nov 14, 2015
- Indonesia will use the yuan instead of US dollars in its trade with China starting next year, in a bid to save foreign exchange reserves and reduce dependency on the dollar, an official at the National Development Planning Board (Bappenas) has said. The agreement, signed by Bank Indonesia Governor Agus Martowardojo and People’s Bank of China Governor Zhou Xiaochuan, is worth 100 billion yuan (S$22.4 billion). It is effective for three years and is open to extension.
Economic reforms progressing well in China: IMF
Nov 13, 2015
- The Chinese economic reforms is progressing well, but substantial work remains to be done as the country is in the midst of transition to a new growth model which will benefit its global growth and reduce tail risks, the IMF has said. “The Chinese financial reforms in particular have advanced wealth. For example, the new budget law has laid important foundations for strengthening local government finances,” International Monetary Fund (IMF) spokesman Gerry Rice said at a press conference yesterday. “On China’s reforms broadly, I think we would say good progress has been made in many areas, at the same time, substantial work, remains to be done, again as China is in the midst of this transition to a new growth model,” “We look forward to the full implementation of that in the coming years. Just on what is remaining to be done, it will be critical to continue progress in liberalising, opening up the market based pricing, while maintaining demand and financial stability,” he said. Responding to a question on review of the Special Drawing Rights (SDR) basket and the China’s inclusion in it, Rice said the process is underway. “IMF staff are preparing a report, which will include a recommendation to our Executive Board on that issue. I would underline that the decision rests with our Executive Board, which of course represents 188 countries,” he said. In its latest report ahead of the G-20 Summit, the IMF said China’s economy is experiencing a needed moderation as it embarks on a historic and multi year rebalancing of its growth model. China’s rebalancing is generating large global spillovers, and, notwithstanding the Chinese economy’s sizable buffers, could be bumpy, it said. IMF said China’s economy needs to transition toward a slower, more sustainable growth path. A successful transition will benefit global growth and reduce tail risks. “In the short run, the transition process is likely to entail spillovers through trade and commodities, which could be amplified by financial channels,” IMF said adding that nonetheless, the international community should support China in this difficult endeavor. Collective efforts also need to be renewed to enhance the global safety net and strengthen the resilience of the International Monetary System. Implementing IMF quota and governance reforms would be crucial in this regard. “A successful transition will benefit global growth and reduce tail risk. In the short term, the transition process is likely to entail spillovers through trade and commodities, which could be amplified by financial channels,” IMF said. “The international community should support China’s efforts to reform and rebalance its economy, to give market mechanisms a more decisive role, to eliminate distortions, and to strengthen governance and institutions,” it added.
China to Allow Direct Trade of Yuan With Swiss Franc
November 09, 2015
- Shanghai: China’s national foreign exchange market will introduce direct trading of the Swiss franc, the operator said today, as the country pushes greater international use of its yuan currency. Trading of the Switzerland currency against the yuan begins on Tuesday, the China Foreign Exchange Trade System said in a statement on its website. Direct trade increases efficiency and cuts transactions costs as deals do not use a third currency like the US dollar.
China overtakes Canada as largest trade-partner of US
November 5, 2015
- China has become the biggest trade partner of America for the first time replacing Canada, state media here reported today citing the official US data. The trade volume of the United States with China reached nearly USD 442 billion in the first 9 month exceeding the USD 438 billion America-Canada trade, state media reported.
China, Japan, South Korea pledge economic cooperation at first summit in over three years
Nov 1, 2015
- The leaders of South Korea, Japan and China pledged to work towards greater economic integration at their first joint meeting in over three years on Sunday, as they work to ease tensions stemming from Japan’s wartime past.
Chinese remain top luxury buyers despite economic turmoil
Oct 29 2015
- MILAN—Wealthy Chinese remain the number one buyers of luxury products worldwide, appearing inured to economic turmoil at home as they zigzag the globe in search of deals on everything from handbags to jewelry, according to a new study by Bain consultancy. The study released Thursday by the Altagamma association of Italian luxury producers forecasts that global sales of personal luxury goods will jump 13 per cent to 253 billion euros ($365 billion Canadian) this year. That’s after two years of more modest 3 per cent growth.
IMF Said to Give China Strong Signs of Reserve-Currency Nod
October 23, 2015
- International Monetary Fund representatives have told China that the yuan is likely to join the fund’s basket of reserve currencies soon, according to Chinese officials with knowledge of the matter, a move that may make more countries comfortable using the unit or including it in their foreign-exchange holdings. The IMF has given Chinese officials strong signals in meetings that the yuan is likely to win inclusion in the current review of the Special Drawing Rights, the fund’s unit of account, said three people who asked not to be identified because the talks were private. Chinese officials are so confident of winning approval that they have begun preparing statements to celebrate the decision, according to two people.
China is home to two-thirds of the world’s self-made female billionaires
October 21, 2015
- According to the research institute Hurun, eight out of 10 of the world’s richest self-made women come from China. Two-thirds of all self-made women billionaires do, too. The only non-Chinese women on the list are Elizabeth Holmes, founder of blood-testing company Theranos (which is currently embroiled in scandal), and Diane Hendricks, co-founder of the private roofing supply company ABC Supply. They’re worth $3.4 billion and $2.7 billion respectively, according to Hurun.
Obama administration says China not manipulating currency
Oct. 19, 2015
- WASHINGTON (AP) — The Obama administration said Monday that China’s currency remains undervalued in relation to the U.S. dollar but it did not cite the country for unfairly manipulating its currency to gain trade advantages.
China’s patent applications surge 22%
- BEIJING – China’s State Intellectual Property Office said Friday it received 1.88 million patent applications in the first three quarters of 2015, up 22 percent from a year ago. The data showed that patent applications for inventions surged 21.7 percent to 709,000, of which 99,000 were from abroad, up 5.1 percent year on year.
China overtakes US in Hurun’s dollar billionaire list
- China has created more dollar billionaires than the United States this year for the first time mainly due to the country’s booming equity market despite the economic slowdown, according to the Hurun Rich List 2015 released on Oct. 15 by the Hurun Research Institute. According to Hurun’s annual China rich list, the number of dollar billionaires in China stands at 596 this year, an increase of 242 from last year. Their total wealth reached 13.6 trillion yuan (US$2.14 trillion), more than the GDP of Russia or India. If Hong Kong, Macau and Taiwan are included, the total number of dollar billionaires in the greater China region stands at 715. The United States has 537 billionaires.
China’s Economy May Be Even Bigger Than You Think
October 15, 2015
- With China set to announce its third-quarter gross domestic product report on Monday, skepticism over its economic data is arising anew. Recall that Bill Gross has described China as “the mystery meat of emerging-market countries.” Premier Li Keqiang, before taking that post, said he didn’t rely on official statistics. He preferred things like rail freight and electricity use to gauge activity. Their 200-plus page study found China’s GDP methodologies are largely in line with international practices and charges that estimates are sheer fabrications are “misinformed.” Still, they acknowledged that Chinese statistics and their transparency are “sometimes shaped by political interests.” China’s economy is bigger, not smaller than official data suggests, the analysts found, with the services sector the hardest to measure and real estate even more important than currently reflected.
HSBC CEO Gulliver Says Fears Over China’s Growth are Overblown
October 16, 2015
- HSBC Holdings Plc Chief Executive Officer Stuart Gulliver, who’s increasing the bank’s investment in China while reviewing whether to move its headquarters away from London, said he remains optimistic about the Asian economy’s outlook. “The fears for China’s economy are overplayed,” Gulliver said at a conference in London on Friday. “On balance, I do not believe that China will have a hard landing.”
How foreign tech companies that ‘go local’ survive – and thrive – in China
15 October, 2015
- Many foreign tech companies are taking a closer look at China again. During the recent visit of President Xi Jinping to the United States, leading tech firms such as Microsoft and Facebook sought discussions with the Chinese leader. Even Google, which was not invited to the events, is rumoured to be contemplating a return to China. In 2003, for instance, eBay entered the Chinese market by acquiring the then leading Chinese platform for consumer-to-consumer auctions, EachNet. But, by 2006, eBay decided to shut down its Chinese EachNet site. By failing to understand the local market context and choosing to migrate everything to the global eBay platform, eBay forced its Chinese customers to suffer a degrading user experience while its competitor Alibaba, with a new platform called Taobao, moved in the exact reverse direction and enabled its customers to dictate many new terms over the same period of time. Besides allowing users to exchange messages, Alibaba created Alipay, an escrow payment service that provides convenient, secure online payment, at a time when online credit or debit card payments were not common in China.
China’s middle class has overtaken the US’s to become the world’s largest
October 14, 2015
- China has crossed another economic threshold. The country’s middle class reached 109 million this year, and overtook the US’s for the first time ever, according to a Credit Suisse report released Oct. 13. Since 2000, China added 43.4 million middle class adults, while the US added just 22 million, the report said (pdf, pg. 35). But since 2008, China’s middle class grew by only 8% while the US’s grew 16%.
China’s young entrepreneurs answer Beijing’s calls to innovate
11 October, 2015
- Encouraged by Beijing’s support for an innovation-led economy, young entrepreneurs are taking advantage of the mainland’s burgeoning internet technology sector to launch their businesses. The economic slowdown and stock market slump have taken a toll on large state-run companies and many traditional manufacturers have been hit by rising labour costs and dwindling orders.
China sees 10,000 new firms every day: official
- GUANGZHOU, Oct. 11 (Xinhua) — China sees more than 10,000 firms born every day amid government support for entrepreneurship, a vice minister said on Saturday. Most of the firms are small enterprises. Data was collected last March through the end of August this year and about 6 million firms were registered during the period, said Xin Guobin, vice minister of Industry and Information Technology.
China Launches Yuan-Based International Payment System
- MOSCOW (Sputnik) – China launched the first phase of its China International Payment System (CIPS) in Shanghai on Thursday, allowing cross-border transactions in the Chinese national currency, the yuan. CIPS’ first phase provides clearing and settlement services, according to the People’s Bank of China announcement. Its launch is said to remove hurdles to the yuan’s internationalization by reducing transaction costs and processing times. Up to 19 major banks were named as direct participants in CIPS, with 38 Chinese banks and up to 140 foreign financial institutions named as indirect participants.
China jumps to fourth most-used world payment currency, overtakes yen: SWIFT
Oct 6, 2015
- China’s yuan became the fourth most-used world payment currency in August, overtaking the Japanese Yen, global transaction services organization SWIFT said on Tuesday. The yuan has surpassed seven currencies in the past three years as a payment currency and is now only after the U.S. dollar, the euro and the sterling. Overall, global yuan payments increased in value by 9.13 percent in August, while payments across all currencies decreased by 8.3 percent, according to the organization.
China increases gold reserves for third consecutive month
- China has increased its gold reserves for the third consecutive month. According to the latest statistics released by the People’s Bank of China, The country’s gold reserves at the end of August stood at 1,693.58 metric tons, up 16.28 metric tons from July and up 35.58 metric tons from June. The figure is up 604 metric tons from April 2009.
Talented returning Chinese look to startup companies
- Increasing numbers of talented Chinese who have studied or worked overseas are choosing to start a business in a less-developed inland province, driven by local governments’ policy and funding efforts. The Xi’an Overseas Chinese Scholars Pioneering Park in Shaanxi province has attracted more than 1,000 returnees to set up companies since the incubator was launched in 1998, according to the latest statistics from the Xi’an Pioneering Park Development Center.
Chinese beginning to get more bang for their bucks
- The purchasing power of workers in Shanghai and Beijing is growing closer to that in many European cities, according to a report published on Thursday by United Bank of Switzerland AG, a global financial services company. To compare purchasing power in cities around the world, UBS looked at stable consumer goods that are available all over the world, such as Big Macs and iPhones, and compared their prices in those cities relative to incomes. According to the latest Prices and Earnings Study, which compared purchasing power in 71 cities across the globe, workers in Hong Kong only have to work an average of nine minutes to be able to buy a Big Mac, while workers in Nairobi have to work almost three hours.
WIPO head hails China’s innovation performance as outstanding
- LONDON, Sept. 17 (Xinhua) — China’s performance in innovation is outstanding, Francis Gurry, Director General of the World Intellectual Property Organization (WIPO), told Xinhua in London on Thursday. “China is undergoing a major transformation from labored in China to Created in China,” Gurry said at the global launch of the eighth edition of the Global Innovation Index (GII) held in central London. The GII, co-published by Cornell University, INSEAD and the World Intellectual Property Organization (WIPO), surveys 141 economies around the world, using 79 indicators to gauge both innovative capabilities and measurable results.
France sees no big risk in China economy, backs yuan bid
Sep 18, 2015
- France sees no significant risk in China’s economy and is supporting its bid to win approval for the yuan’s inclusion in the International Monetary Fund’s currency basket, French Finance Minister Michel Sapin said on Friday. France supports Beijing’s efforts to strengthen the yuan’s position in global trade as well as “China’s bid to integrate the yuan amongst the IMF currencies”, Sapin said at the opening of the China-France High-Level Economic and Financial Dialogue in Beijing.
China outperforms economic peers in latest global innovation index
- China outperformed its economic peers in the Global Innovation Index 2015 released on Thursday, demonstrating strength in some variables of the index including education, general infrastructure and knowledge impact. The GII, jointly published by Cornell University, the French business school INSEAD and the World Intellectual Property Organization, ranked China 29th in the world, which makes it first in the upper-middle income group and 7th in the South East Asia and the Pacific geography group. China has scored high in several key indicator areas that contribute towards the index. Its knowledge impact ranks 1st in the world, education ranks 2nd in the world, both of its general infrastructure as well as knowledge and technology outputs rank 3rd in the world, and knowledge creation is 6th. https://www.globalinnovationindex.org/content/page/data-analysis/
Asia’s millionaires to become world’s richest: Report
16 Sep 2015
- SINGAPORE: Asia-Pacific millionaires are set to become the world’s richest this year, a report said Wednesday, driven largely by wealthy individuals in India and China. The combined wealth of Asia-Pacific’s super rich will surpass its 2014 total of US$15.8 trillion and overtake that of their North American counterparts – currently the world’s richest group with a shared wealth of US$16.2 trillion last year, the study said.
China to launch CIPS payment system by end of 2015
- China’s International Payment System CIPS will be launched by the end of 2015, Li Keqiang, Premier of the State Council of the People’s Republic of China claimed. According to him, “by the end of the year, we will complete the development of China’s International Payment System, CIPS”.
Dream Town Attracts Young Entrepreneurs, Supports Startups by Giving Free Office Space
Sep 07, 2015
- In a place near the main office of Alibaba Group Holding Ltd. in Hangzhou, a swarm of activity is taking place. Popularly known as Dream Town, the place promises wonders for Internet startups based in the capital of Zhejiang Province. These perks include free office space and infrastructure facilities for a minimum of three years. Yu Yang, owner of 3D printing company Hangzhou Samdi Technology Co., transferred the corporation to Dream Town after finishing college. On top of free office space, his budding firm also gets complementary cloud computing, which commonly entails sharing resources on a pay-as-you-go scheme.
China’s Emerging High-tech Sector Posing a Challenge to Taiwan: S&P Affiliate Says
Sep 07, 2015
- China’s emerging high-tech sector could pose a serious challenge to Asian competitors, including Taiwan, Standard & Poor’s local partner Taiwan Ratings said. According to the credit ratings agency, China has established its own supply chain for its high-tech sector to reduce reliance on imports, a challenge that other Asian mobile device and flat panel manufacturers must face and overcome. Taiwan Ratings said that China’s rapid growth in technology industry may not be good for the long-term prospects of high-tech firms in other countries in Asia, but its effects may only be felt in the next two years.
The richest man in China has bought the operator of the Ironman triathlon
Aug. 27, 2015
- Chinese conglomerate Dalian Wanda Group is buying the World Triathlon Corporation — the parent company of the iconic Ironman triathlon — for $650 million from private equity firm Providence Equity. The deal was announced on Thursday in a release. The Ironman, which began in February 1978, is one of the most grueling endurance races. The 140.6-mile race involves a 2.4-mile swim, a 112-mile bike race, and a 26.2-mile run that must be completed in less than 17 hours.
German, French leaders say China will find ways to stabilize economy
Aug 24, 2015
- The leaders of Germany and France voiced confidence on Monday that China would take the necessary steps to stabilize its economy, playing down the impact of a recent plunge in Chinese stocks on the global economy. “China is a big country, it’s the number two economy in the world. It’s one of the most competitive economies and it has considerable resources,” French President Francois Hollande said at a news conference in Berlin.
Turkey second only to China for number of top contracting companies
August 21, 2015
- China leads with 65 firms among the top 250 contracting firms. The U.S. is third place with 32 firms.
China Draws Executives From Silicon Valley
Aug 21, 2015
- China recently published its GDP growth for Q1 of 2015 at 7 percent. While this figure is drastically lower than the double-digit growth seen in previous years, it has still attracted foreign companies to invest and enter into the Chinese technology market. As a result, salary and compensation packages for executives at Chinese tech companies are approaching those of Silicon Valley, and working for Chinese technology companies is now a viable and competitive alternative for technology executives.
China the Startup Nation: 5 Future Trends to Watch
- There are five key trends that if embraced by China or if led by China, could make the transformation into the near term quite spectacular for a prosperous future. China could be moving from the Startup Nation stage to something more innovative, mature, and stable. This would be in the interest of all nations but especially between China the U.S. This important and intimate relationship, given the deep trade and sovereign connections between the Chinese and U.S., is the foundation of global peace and prosperity.
IMF: China is managing transition to more stable growth
Aug. 14, 2015
- WASHINGTON (AP) — The International Monetary Fund delivered a reassuring economic assessment of China on Friday, at the end of a week that saw the Chinese currency plummet and global stock markets buckle at the prospect of more bad news from the world’s second-biggest economy. In its annual checkup of the Chinese economy, the IMF predicted China’s economy would grow 6.8 percent this year and 6.3 percent in 2016, unchanged from previous forecasts. China last year registered 7.4 percent growth, already the slowest since 1990.
Asia 2nd to US for world’s richest tech moguls – Forbes
6 Aug, 2015
- Asia is home to one third of the tech industry’s 100 richest people, second only to the US which has 51 tech billionaires. The net worth of the world’s 100 richest geeks stands at $842.9 billion. American tech tycoons dominate the industry with Bill Gates taking the top spot on the first ever Forbes Tech 100 Richest List, issued on Wednesday. The former Microsoft co-founder, with a net worth of $79.6 billion, is followed by founder of database software firm Oracle Larry Ellison. The CEO of Amazon.com Jeff Bezos, who ranked third, is worth an estimated $47.8 billion.
‘Made In China’ Powered By Smuggled Workers
- On a quiet river bend on the China-Vietnam border, a group of people clambered up a muddy bank. They had just glided across the river from the Vietnamese side in a longboat, guided by men on both banks signaling with flashlights. Vietnamese officials express concern at the illegal flow of labor into China. The number of Vietnamese crossing a long border with “complex terrain” has increased in recent years, posing a challenge for both governments, said Pham Thu Hang, deputy spokesperson at the foreign ministry in Hanoi. She did not have figures on the illegal flow. “Taking advantage of this situation, some bad elements have brought Vietnamese to work illegally in China, making it hard for the labor administration in both countries,” she said. On the Vietnamese side of the border, the city of Lang Son is one of the two main smuggling points into China. A Vietnamese worker in China’s Fujian province interviewed by phone said a guide led him and about 1,000 workers in a snaking procession from Lang Son along a barely discernible jungle path across the land border into China last year. They kept out of sight of Vietnamese border officials, he said. But on the other side of the border, Chinese customs officers ignored them, the worker said.
Sharp abandons TVs in the US, hands keys to China’s Hisense
July 31st 2015
- Sharp’s financial problems have forced it to leave the LCD TV business in North America. Chinese TV maker Hisense has paid a mere $23.7 million for the company’s Mexican factory and the right to use the Sharp brand in North and South America. Sharp lost 34 billion yen ($274 million) last quarter and $13.4 billion over the last four years, according to Bloomberg. Though the Japanese company recently received a $1.8 billion bailout, president Kozo Takahashi said “we have to consider all options, including a spinoff of the LCD business. The LCD market is changing very rapidly.”
China’s Yuan Pushes Deeper Into Global Financial System
JULY 27, 2015
- The latest step: the London Metal Exchange, the world’s largest venue for trading metals where $15 trillion of metals was traded last year, is set to accept yuan as collateral for banks and brokers that trade on its platform. The Chinese currency joins the U.S. dollar, the euro, the British pound and Japan’s yen, which are all currently permissible as collateral on the LME’s platform. The yuan is now the fifth most used currency for international payments, ranking number seven a year ago, according to data from the Society for Worldwide Interbank Financial Telecommunication, a provider of payments services.
China’s Startup Boom in Online Learning
July 27, 2015
- China knows a thing or two about distance learning. For two decades, the country’s education ministry has used the television airwaves to broadcast agricultural lessons to more than 100 million rural students—making it the largest such program in the world. And in the early 2000s, the charitable Li Ka Shing Foundation installed satellite dishes and computers to broadcast lectures to 10,000 rural schools. Now this top-down model of online learning is being joined by a surge in new commercial and university offerings. And it’s no longer just about reaching rural provinces. In China a rapidly rising middle class—part of a population that now totals 1.4 billion—is creating a demand for education far outpacing what traditional teachers and schools can supply. In response, Chinese startups are identifying market niches and developing entirely new products, while universities are emulating online platforms first developed in the United States.
Companies From China Dominate Forbes Asia’s Fabulous 50 List
Jul 23, 2015
- SINGAPORE (July 23, 2015)– Companies from China dominate this year’s Forbes Asia’s Fabulous 50 list of the region’s best big publicly traded companies. The ‘Fab 50’ list is an annual honor roll highlighting some of the brightest stars in the Asia Pacific. The full list can be found here and in the latest issue of Forbes Asia, available on newsstands now. This year, China has 25 names on the list, up from 16 last year, and more than any other country for the fifth year in a row. It also boasts the list’s most valuable company – Tencent, now worth $176.5 billion – and its biggest, Lenovo, which generated $46.3 billion in revenue last year.
More Chinese companies become world top 500
- BEIJING — A total of 106 Chinese companies made this year’s Fortune Global 500 list, up from 100 firms in 2014, according to the annual ranking released Wednesday. Sinopec Group, China’s top oil refiner, was the second largest company in the world this year by total revenue, up from the third place in 2014, according to the new list topped by US retail giant Walmart.
China Outbound Investment Expands as Nation Boosts Global Clout
July 21, 2015
- China’s long-term outbound investment is catching up with inbound foreign investment, bringing the country closer to becoming a net exporter of funds as it boosts its global economic clout. Outbound investment in yuan terms jumped 29.2 percent in the first half from a year earlier, dwarfing the 8.3 percent gain in foreign direct investment inflows, the Ministry of Commerce said in a statement in Beijing on Tuesday. Total outward investment was 343.2 billion yuan ($55 billion) during the period, compared with 420.5 billion yuan in FDI.
China Home Price Gains Spread as Large Cities Lead Recovery
July 17, 2015
- Declines in China’s new-home prices were restricted to fewer than half of the cities monitored for the first time in 15 months as sales extended a rebound after authorities cut interest rates and eased property curbs. Prices declined in 33 of the 70 cities in June from a month earlier, compared with 41 in May, according to data released by the National Bureau of Statistics on Saturday. Twenty-seven recorded increases, seven more than in the previous month, as first-tier centers including Shenzhen and Shanghai led a rebound. Prices were unchanged in 10.
Nine Chinese Ranked Among Asia’s 10 Richest Millennials
Jul 20, 2015
- Nine individuals from China has made it to the top 10 wealthiest millennials in Asia, with only one spot going to an Indian, according to Wealth-X, a research group on wealth intelligence. Wealth-X rankings showed that the three female in the list of 10 richest Asian millennials, those born between 1981 and 1997, had an aggregate wealth of $10 billion, which makes up 44 percent of the wealth of the top 10.
China embraces the Internet of Things – to the tune of €1.45 trillion a year
Jul 9, 2015
- If there was ever a doubt about the Internet of Things and its capacity to spark a “fourth industrial revolution”, just watch how China has embraced it in the past six months alone – anticipating huge technological change combined with remarkable economic growth. East or west, what’s different about the IoT is it’s the latest link in an evolutionary chain that began with our ability to “connect” online, developing since then to the point where we can use that connectedness to innovate and do business more efficiently. China-watchers at international consultants McKinsey predict new online development could fuel up to 22 per cent of the country’s GDP growth between now and 2025, depending on how enthusiastically it’s adopted and how prepared the infrastructure is to cope. Then, in 2025 – in that one single year – it could generate as much as 10 trillion yuan (about €1.45 trillion) in added GDP, roughly equivalent to the GDP of Australia.
Foreign Tech Firms Forging Closer Ties with Chinese Companies to Strengthen Market Position
Jul 08, 2015
- International technology companies are forging closer ties with Chinese firms in a bid to strengthen their position in the country’s market, the Economic Observer reported. One of these Chinese companies includes Zoom Netcom, which launched on June 10, in Beijing, a new line of servers called RedPower, the first product developed with IBM’s Power chip and designed for the Chinese market.
China dominates global online grocery markets
02 July 2015
- The Chinese online grocery market is set to be worth almost $180bn by 2020 – nearly five times its current value of $41bn, according to IGD’s Top 10 Online Grocery Markets report. In other leading markets, online growth is expected to continue at double-digit rates. This makes investment in the channel essential for companies wishing to meet the needs of the rapidly evolving multichannel shopper.
China trumps West in global bank ratings
29 Jun 2015
- Western banking giants are losing ground to China, as the world’s second-biggest economy vies to establish its economic influence. Three of the top five banks in the world are now Chinese, according to financial intelligence provider The Banker, which published a list on Monday rating 1,000 institutions by capital strength. It ranked them according to volume of Tier 1 capital, a measure of capital adequacy that includes equity and disclosed reserves.
How makerspaces are nurturing the next wave of Chinese innovators
- Shen Mengmin, 33, a former excavator salesman from Central China’s Henan province, came to Beijing in 2013 hoping to create an app that links second-hand excavators with buyers online. He turned to Garage Cafe, or “Cheku Cafe” in Chinese, one of the most active incubators for grassroot innovators in the capital, located on the second floor of a hotel at Zhongguancun Innovation Street in Beijing. Shen is not alone. Thousands of individual innovators who have no resources to create a product or start their own business are achieving their goals and turning themselves into formidable innovators, thanks to bustling makerspaces like Cheku cafe. It is open to everyone, and after buying a single cup of coffee customers can spend a whole day there, with electrical outlets, Wi-Fi connection, and basic office equipment, including printers and copiers, provided free. Humming with activity, IT moguls, successful entrepreneurs and investors are invited to share their ideas here.
Chinese firms rank high in MIT 50 Smartest Companies 2015
- Four Chinese companies have made it to the Massachusetts Institute of Technology (MIT) compiled list of 50 Smartest Companies 2015, with many of them ranking higher than more established US competitors. Smartphone maker Xiaomi, with its market value hitting $45 billion, took second place on the list, ranking higher than American competitor Apple. The iPhone manufacturer’s position of number sixteen has been attributed to its “well designed” Apple Pay service. Online shopping giant Alibaba ranks number four, nine places ahead of its American counterpart Amazon in thirteenth place. Tencent and Baidu, two rival internet giants in China, occupy seventh and twenty-first spot respectively. http://i.imgur.com/mLnKhRs.jpg
With $21 Trillion, China’s Savers Are Set to Change the World
June 25, 2015
- Few events will be as significant for the world in the next 15 years as China opening its capital borders, a shift that economists and regulators across the world are now starting to grapple with. With China’s leadership aiming to scale back the role of investment in the domestic economy, the nation’s surfeit of savings — deposits currently stand at $21 trillion — will increasingly need to be deployed overseas. That’s also becoming easier, as Premier Li Keqiang relaxes capital-flow regulations.
China, Hong Kong, Taiwan companies dominate 2015 Forbes Asia’s ‘Best Under A Billion’ list
June 25, 2015
- Companies from mainland China, Hong Kong and Taiwan once again dominated this year’s Forbes Asia’s “Best Under A Billion” list. The companies accounted for 60 percent of the top 200 publicly-traded companies in the Asia-Pacific region. The full list can be found at www.forbes.com/bub and in the latest issue of Forbes Asia. The “Best Under A Billion” list honours 200 leading public companies in the Asia Pacific region with annual revenue between USD 5 million and USD 1 billion, have positive net income and have been publicly traded for at least a year. From a universe of 17,000 companies, the candidates are screened on sales growth and earnings growth in the past 12 months and over three years, and for the strongest five-year return on equity.
China says FDI inflows rose 8.0 pct y/y in H1
Jul 17, 2015
- BEIJING, July 17 (Reuters) – China’s foreign direct investment inflows rose 8.0 percent in the first six months from a year earlier, a Commerce Ministry official said on Friday. Investment into China’s fast-growing services sector jumped 23.0 percent in the first half of 2015 from a year earlier, accounting for more than 60 percent of the period’s total FDI, Vice Commerce Minister Wang Shouwen told a briefing.
Chinese firms pour money into U.S. R&D in shift to innovation
Jun 21, 2015
- Surging investment by Chinese companies in U.S. research labs is yielding a fast-growing trove of patents, part of a push to mine America for ideas to help China shift from being the world’s factory floor to a driver of innovation. Largely absent from American research hubs a decade ago, Chinese firms including Huawei Technologies HWT.UL and ZTE Corp (000063.SZ) are now using U.S. researchers to create patents ranging from new software to internet infrastructure, according to an analysis of Thomson Reuters’ global intellectual property database. The rapid growth in China’s U.S. investments will be a key topic at economic and security talks on Tuesday and Wednesday between top U.S. and Chinese officials in Washington.
China’s startups boom as money pours in
- TIANJIN – Young entrepreneurs are rushing to launch their dream business as investors and policy makers enthusiastically encourage a new startup trend, opening doors for people to strike gold and reverse the economic slowdown. In the first quarter of 2015, Chinese investors staked about 260 million US dollars in angel capital, tripling the amount registered in the same period a year earlier, venture capital and private equity research firm Zero2IPO Group said on Wednesday.
China takes new steps to push mass entrepreneurship, innovation
- BEIJING – As China gears up to unleash the full potential of innovation, a powerful tool that could reverse the economic slowdown and help restructuring, it released a guideline on Tuesday. The State Council, China’s cabinet, publishes guidelines to inform the drafting and revision of policies and regulations. Tuesday’s guideline was on supporting new businesses and facilitating innovation. In addition to financial support and tax incentives, the guideline also suggested that governments at all levels to purchase innovation products and services from start-up companies to support their development. The government plans to empower startups with bespoke rules relating to IPOs, bonds, and crowdfunding.
China added a million new millionaires last year
June 15, 2015
- The world has about 17 million millionaires, as counted in U.S. dollars, and 4 million of them are in China, according to a report released Monday by Boston Consulting Group (BCG). China’s numbers are more impressive because a year ago it had about 3 million millionaires. The number of Chinese households with more than $1 million in private cash, stocks, and financial investments (not counting real estate or luxury goods) ballooned mostly because of the 38 percent jump in China’s stock market, BCG said.
Alibaba Plans to Create China’s Version of Netflix, HBO
June 14, 2015
- Alibaba Group Holding Ltd. is planning to build China’s version of Netflix Inc. and HBO via a new service called Tmall Box Office, as it tries to service 600 million families craving more entertainment content. The new service will be offered in about two months through Alibaba’s set-top box and smart televisions that carry its operating system, including those manufactured by Haier Group Corp., Liu Chunning, president of Alibaba’s digital entertainment business, said in Shanghai on Sunday. Some of the content will be produced by the company and some purchased overseas, Liu told the press briefing.
“Made in China” really doesn’t mean what it used to
June 03, 2015
- Among shoppers in the West, the notion persists (pdf) that “Made in China” indicates—to put it bluntly—junk. Many still prize labels boasting a product was made in, say, Italy—even if a growing number of Italian products come from factories that are Chinese-owned and staffed. But the quality of Chinese-made clothes is rising fast. China’s garment industry has been investing in manufacturing technology and training for decades now, and its workforce has collectively gotten better at stitching and assembling garments as China makes a growing share of the world’s clothes.
6 Chinese women featured on Forbes ‘100 most powerful women’ list, Peng Liyuan ranks #68
- Four women from mainland China and two Hong Kong women are amongst the top 100 most powerful women in the world, according a new list released by Forbes. Based on the list, China’s most powerful woman is 42-year-old Chongqing native Lucy Peng (Peng Lei), co-founder of Chinese e-commerce giant Alibaba Group and CEO of Alibaba’s Ant Financial Services. Peng also featured in last year’s list, ranked at #53, and is reported to be the third wealthiest woman in technology in the world by Wealth-X, with a personal fortune of $1.2 billion.
China has more than 1 million millionaires
- China is now home to more than one million millionaires, thanks to soaring private wealth in the world’s second-largest economy, according to a report by Bain and Co. The biggest concentration — at least 100,000 — is to be found in Guangdong province, just over the border from Hong Kong. Bain said the number of high net worth individuals — those with more than 10 million yuan ($1.6 million) in investable assets — has doubled since 2010. Total personal wealth surpassed the 100 trillion yuan ($16 trillion) mark last year, and is expected to hit 129 trillion ($21 trillion) this year.
Renminbi tops currency usage table for China’s trade with Asia
May 27, 2015
- China’s renminbi has become the main currency for payments between China and the rest of the Asia-Pacific region, more than tripling in use over the past three years and outstripping the Japanese yen, the US dollar and the Hong Kong dollar in the process, according to data from the clearing system, Swift. The shift demonstrates that the Asia-Pacific region is at the forefront of the renminbi’s gathering acceptance as a currency for international trade settlement and investment. The Chinese currency was used in January-April for 31 per cent of payments between China (including Hong Kong) and the rest of the Asia-Pacific region, up from 7 per cent back in April 2012, Swift said. The currency’s ascent came mostly at the expense of the US dollar, which was used in just 12.3 per cent of payments in April, down from 21.7 per cent in April 2012, Swift figures show. The yen and the Hong Kong dollar were also displaced, though to a lesser degree, by the rise of the renminbi (see table).
More Chinese firms on global top 100 brands list
May 27, 2015
- A total of fourteen Chinese brands made their names to the global top 100 brands ranking listed by marketing and brand consultancy Millward Brown with technology the fastest growing category. China now has three technology brands in the top 100, with Tencent and Baidu increasing their brand value by 43 percent and 35 percent from a year ago respectively, faster than global average of 14 percent. Tencent is the most valuable Chinese brand according to the ranking, Millward Brown said in a press release today.
More self-made billionaires to spring from Chinese tech and finance, says study
27 May, 2015
- More young self-made billionaires are set to emerge from China’s tech and finance sectors thanks to capital market expansion and official boosts for start-ups, making Asia the centre for billionaire growth in the next five to ten years, a study says. The study, jointly released by investment bank UBS and accounting firm PricewaterhouseCoopers (PwC), found that most of Asia’s billionaires were from China and had an average age of 57, a decade younger than their US and European peers. “We expect the trend, with more younger billionaires from Asia, to continue,” said James Zhang, PwC’s partner for China financial service consulting management.
China’s yuan currency ‘no longer undervalued’: IMF
May 26, 2015
- Beijing (AFP) – China’s yuan currency, which Washington has long alleged was manipulated, is “no longer undervalued”, the International Monetary Fund said Tuesday. The value of the yuan, also known as the renminbi, has been a source of tension for years, with China’s major trade partners — led by the United States — accusing Beijing of keeping it artificially low to give Chinese exporters an unfair competitive advantage, which Beijing denied. “Our assessment now is that the substantial real effective appreciation over the past year has brought the exchange rate to a level that is no longer undervalued,” the IMF said in a statement after a consultation mission to China.
China’s rising middle class will create opportunities the world has never seen before
May 14, 2015
- While now slowing from its once-lofty levels, China’s economic growth has been breathtaking to watch over the past few decades. As the size of the economy has grown so too has the size of China’s middle class. However, the increase in household wealth is only getting going. Over the next few decades hundreds of millions of Chinese families are likely to join their ranks, propelling huge increases in consumption across a wide variety of sectors. That’s the view presented by ANZ greater China economists Li-Gang Liu and Louis Lam in a research note out today with the researchers saying consumption “in discretionary goods and services will see fast growth” while “sectors like automobiles, telecommunications, real estate, education, recreation and medicines and medical services will likely witness exponential growth“. http://i.imgur.com/b0JqecS.jpg
Chinese company ZTE among world’s top patent holders
- BEIJING, May 7 (Xinhua) — China’s leading telecom equipment manufacturer, ZTE Corp., was ranked third globally in patent applications under the 2014 Patent Cooperation Treaty (PCT), according to the companying, citing the World Intellectual Property Organization (WIPO) on Thursday. More than 12,000 handset-related patents have been granted to ZTE. They hold 13 percent of the world’s 4G-specific patents.
2015 Global 2000: The Largest Companies In China
- For the first time, China is home to the world’s four largest companies. The rise of China has become a recurring theme to our annual snapshot of the world’s business landscape. The FORBES Global 2000 is a comprehensive list of the world’s largest, most powerful public companies, as measured by a composite score of revenues, profits, assets and market value. In 2015, Chinese companies on the list raked in $4.6 trillion in revenues, $473 billion in profits, $25 trillion in assets, and $6 trillion in market value. This year China (mainland and Hong Kong) added more spots than any other country in the world – a powerful testament to its continuing rise. For the first time, the Middle Kingdom surpassed Japan as the country with the second most Global 2000 companies. We have witnessed the country’s momentum in recent years as it kept on adding more members every year, while rival Japan has seen a gradual decline. Today China is home to 232 Global 2000 companies, a five-fold jump from our inaugural list in 2003, and it lands 5 out of the top 10 spots for the second year in a row.
Being your own boss now China’s latest youth trend
- When Cen Shen gave up a big salary with a foreign company in Guangzhou and went back his rural home in Guangxi to run an online mango shop in 2012, most people thought he was crazy. “People thought I should find a decent job in the city. Even my family disagreed with me,” said Cen, 29, who graduated from Sun Yat-sen University in 2009. Now Cen’s online store has annual sales of more than 5 million yuan (US$820,000) and he employs 17 people. His e-commerce experience has also helped local farmers sell mangoes across the country, which, as he said, is a “beautiful response” to the doubters. Cen is not alone. More and more young people are choosing to become their own bosses.
How Jack Ma is making millionaires in rural China where there’s no internet
Apr. 25, 2015
- With an estimated net worth of $23 billion, Alibaba CEO Jack Ma is one of the richest people on earth. His e-commerce company is now worth more than $200 billion. But Ma’s success didn’t just fall from the sky. He grew up poor and was rejected from dozens of jobs before fighting his way to founding one of the largest internet companies in the world. Now Ma wants to help others replicate his success. In order to do so, Ma’s deploying a pretty unique strategy.
China’s secret gold stockpile may be world’s 2nd biggest
April 21, 2015
- The People’s Bank of China may have tripled its gold stockpile since April 2009, when it last gave an official number, which Bloomberg Intelligence estimates to be 3,510 metric tons, second to United States 8,133.5 tons of gold. The figure, almost triple the 1,054 tons of gold reported in 2009, was calculated based on trade data, domestic output, and China Gold Association figures by Bloomberg Intelligence.
Record number of Chinese among the world’s richest as billionaire numbers rise
20 April, 2015
- Ethnic Chinese account for a record one-fifth of all billionaires in the world this year, rising from 17.6 per cent in 2014, according to the China Rich List 2015 compiled by the US business magazine Forbes. The 370 billionaires identified each had at least US$1 billion in net assets and were led in the wealth stakes by 86-year-old Hong Kong magnate Li Ka-shing, with an estimated US$33.3 billion in assets, followed by fellow Hong Kong property tycoon Lee Shau-kee and Dalian Wanda chairman Wang Jianlin from the mainland. In all, 213, or about 57 per cent, of the billionaires came from the mainland, 9 per cent came from Hong Kong and 9 per cent from Taiwan. The rest came from other countries.
Non-Chinese companies warm to renminbi
April 20, 2015
- Non-Chinese companies are increasingly using the renminbi as an international currency and expect to more than double the volume of transactions in the next five years, despite several obstacles, according to research. The renminbi is the second most-used currency for European and US carmakers such as Volkswagen, Daimler, Ford and General Motors, which have big markets in China.
How China Brands Took Over the World’s Hottest SUV Market
- After years of losing out to foreign brands, China’s automakers are winning in the world’s hottest SUV market by employing a tried-and-tested strategy: offering them cheap. By flooding the market with comparable models at lower prices, Chinese automakers accounted for eight of the 10 bestselling sport utility vehicles in the first quarter, crowding out global nameplates like Toyota Motor Corp.’s RAV4 and Honda Motor Co.’s CR-V. Chinese-branded SUV sales more than doubled in the first quarter to overtake foreign nameplates in the segment this year, accounting for 56 percent of all deliveries, according to data from the China Association of Automobile Manufacturers. At the Shanghai auto show next week, Honda will unveil a full-sized SUV concept that will compete for attention with local offerings like BYD Co.’s new Song and Yuan SUVs.
Coke is buying a $400 million foothold in China’s fast-growing ‘multi-grain drinks’ market
Apr. 17, 2015
- HONG KONG (Reuters) – Coca-Cola Co has agreed to buy the beverage business of China Culiangwang Beverages Holdings Ltd for $400.5 million including debt, to get a foothold in the fast growing multi-grain drinks category. The deal marks Coke’s first takeover in China since the country’s antitrust regulator blocked its bid to buy local fruit juice maker Huiyuan in 2010. Following the disposal of the beverage business, China Culiangwang will continue to develop its consumer products business, the company said in a stock exchange statement. The sale is subject approval from Chinese antitrust approvals.
Chinese rival firm Ninebot buys Segway
15 April 2015
- Chinese vehicle maker Ninebot has bought iconic US rival Segway, the company announced on Wednesday. The Beijing-based firm did not disclose the amount of the acquisition, but did say that it received $80m (£54m) in funding from smartphone maker Xiaomi and investment firm Sequoia Capital. Ninebot also makes two-wheeled electric vehicles, designed for standing riders, that resemble Segways.
Patents for apps soared in China in 2014
- The number of patents for apps in China tripled to 30,742 in 2014, said a report released Wednesday. The increase was the fastest of any type of software, said the report on software copyright registration in China for 2014 issued by the Copyright Protection Center of China, a semi-governmental organization that processes copyright registration. Last year, the country registered patents for 218,783 software programs, up from about 100,000 in 2011, and registered about 72,000 new holders, 30.21% more than in 2013, according to the report.
Alibaba’s Ant arm launches China’s first e-commerce based stock index
April 9 2015
- (Reuters) – Alibaba Group Holding’s finance arm launched on Thursday an index that tracks e-commerce activities to gauge firms’ performance, marrying the China internet shopping giant’s data troves with its financial services aspirations. The CSI Taojin Big Data 100 Index, the first in China to tap e-commerce data, is composed of 100 stocks in sectors such as household durables, textiles and apparel, food and hospitality, said Ant Financial Services Group in a statement.
China shaking pirate image, becoming ‘intellectual property powerhouse’
April 06, 2015
- BEIJING–Once considered the biggest international pirate of intellectual property rights and a leading market of fake products, China now tops the world in terms of patent applications. The country is moving toward becoming a “powerhouse of intellectual properties” while trying to shed its image as an immediate stealer of technologies and designs. “The number of applications (for patents in 2014) stood at 928,000, up 12.5 percent from the previous year and the largest in the world for four consecutive years,” Gan Shaoning, deputy commissioner of the State Intellectual Property Office, said proudly.
10 Most Successful Women Entrepreneurs of the Decade
April 05, 2015
- Zhang Xin, co-founder of SOHO China (a real estate development firm in China that went public in 2007), has demonstrated a strong ability to drive double-digit growth and profits. Kiran Mazumdar-Shaw, founder of Biocon, an Indian biopharma company. Kiran began Biocon out of her garage and grew it into a globally competitive company. In 2004, Biocon went public and became only the second Indian company to reach $1 billion on its first trading day. Weili Dai, co-founder of Marvell Technology Group, Limited (MRVL), is the only female founder of a semiconductor company. As Marvell’s President, Dai’s drive to grow earnings and revenues has won her numerous awards like the Gold Stevie Award to Woman and Entrepreneur of the Year.
Illegal Foreign Workers On The Rise In China As Factories Face Labor Shortages
April 01 2015
- SHANGHAI — Chinese police apprehended more than 5,000 illegal foreign workers in southern Guangdong Province last year, according to Chinese media, in what experts say is an indication of a growing labor shortage in the region. The Guangzhou Daily newspaper said most of those detained were young people in their 20s and 30s from neighboring countries in Southeast Asia. It did not specify which countries they came from, but details in the story suggested that some had come across the border from Vietnam. Most had been working in factories in the province, which is home to much of China’s manufacturing industry. The paper said some of the workers had been smuggled into southern China by people traffickers known as “snakeheads.” It gave the example of a shoe factory in the city of Dongguan, where police found 53 illegal workers who had been smuggled into China. The workers, the majority of them young women, reportedly often had to work more than 10 hours a day, for between $1.30 and $1.60 an hour — below the local minimum wage.
China’s Alibaba signs digital distribution deal with music rights group BMG
Mar. 30, 2015
- BEIJING (Reuters) – Germany’s BMG music rights company said on Monday it had signed a music digital distribution deal with China’s Alibaba Group Holding Ltd, as the world’s largest e-commerce firm firms up its bid to become a digital media empire. The deal, one of the first in China made by a major music publisher rather than a label, will bring more than 2.5 million copyrights to Alibaba, whose music platforms already had many of the songs from artists including Kylie Minogue, the Rolling Stones and Jean-Michael Jarre, an Alibaba spokeswoman said.
Industrial profits decline while high-tech sector shines in China
- China’s industrial profits for the first two months of the year declined 4.2% year-on-year, narrowing from the 8% decrease seen last December. Profits of Chinese industrial businesses hit 745 billion yuan (US$121.5 billion) in the first two months, with high-tech manufacturing scoring the best performance, said the National Bureau of Statistics (NBS) on Friday.
Onward march of the Chinese sea turtles amid tough times
- Overseas experience can still bring benefits despite toughening labor market Ni Wei says his life in the United Kingdom went by “like a flash”. Ni, now a teacher in Beijing, studied international hospitality and tourism at Sheffield Hallam University between October 2012 and October 2013. “It was my idea to study abroad. My parents never went to university.” Ni, now 27, had never traveled outside China. Although he obtained his bachelor’s degree in China, he decided to go abroad for further study. “A foreign degree doesn’t mean very much now in China, but actually I believe it will somehow help in my future career.”
China pulls back tax breaks for foreign companies
- China is ordering local governments to roll back tax breaks promised to foreign businesses. Chinese cities have been offering incentives such as lower land prices and tax breaks in recent years to attract foreign investment. It worked: $120 billion poured into China in 2014, and giant multinational firms such as Starbucks (SBUX) and Intel (INTC, Tech30) have set up shop over the years.
China loves buying European companies
- China is on a shopping spree in Europe, snapping up companies on the cheap thanks to the weak euro. The latest big acquisition came Monday with news of an $8 billion bid for Italian tiremaker Pirelli (PPAMF). The world’s second largest economy poured more than $22 billion into deals in western Europe in 2014, according to global merger and acquisition tracker Dealogic. That’s about four times as much as the previous year. http://i.imgur.com/u0wMl6G.png
Pirelli latest Chinese acquisition of high-profile Western corporate name
March 23, 2015
- Venerable Italian manufacturer Pirelli, famous for its curve-hugging tires and curve-baring calendars, will be bought by a major Chinese rival, becoming the latest high-profile Western corporate name to succumb to the recent wave of acquisitions from cash-rich Chinese private and state-owned buyers. With Chinese private conglomerates and state-owned enterprises (SOEs) both flush with cash, the Milan-based Pirelli, founded in 1872 and now the world’s fifth-biggest tire manufacturer, joins a long line of Western properties now answering to Chinese bosses, a list that includes IBM PCs, Volvo cars, AMC movie theaters, Smithfield hams and New York’s fabled Waldorf Astoria Hotel. China National Chemical Corp., also known as ChemChina, announced Monday that it is buying into Pirelli in a $7.7 billion deal. Formed following the restructuring of several enterprises under the former Ministry of Chemical Industry, ChemChina is a diversified manufacturer that has only been in business since 2004.
China Tech Entrepreneur He Zhitao Joins World’s Billionaire Ranks
Mar 22, 2015
- Chinese software entrepreneur He Zhitao has joined the ranks of the world’s billionaires after a run-up in the shares of Hangzhou Liaison Interactive Information Technology, where is CEO. Li received 39.3 million shares in Hangzhou Liaison Interactive in January after the Shenzhen-listed company acquired all 29%-Li-owned Beijing Digital Grid Technology, a software developer.
Canada, China to launch North America’s first yuan hub
Mar. 22 2015
- Canada’s Finance Minister and China’s ambassador to Canada will officially inaugurate the opening of a Canadian offshore trading hub for the Chinese currency Monday, a move that will make transactions cheaper for companies doing business with the East Asian giant and could boost trade between the two countries. The inauguration, which will feature the signing of a memorandum of understanding at the Metro Toronto Convention Centre, follows a long period of negotiations between the two governments and central banks, as well as the officials from Ontario and British Columbia. It will be the first clearinghouse for the Chinese renminbi in North America.
China’s Huawei leads international patent filings: WIPO
Mar 19, 2015
- BEIJING (Reuters) – Chinese telecom giant Huawei Technologies Co Ltd [HWT.UL] became the world’s No. 1 applicant for international patents in 2014, a United Nations agency said Thursday, underscoring the innovative strides made by Chinese technology companies. Huawei was followed by San Diego-based chipmaker Qualcomm Inc while Huawei’s crosstown rival ZTE Corp, which was the world’s leading applicant in 2012, took third place in its number of filings, according to the World Intellectual Property Organization (WIPO).
Alibaba ploughs $200 million into Snapchat in latest startup deal: source
Mar 12, 2015
- (Reuters) – Alibaba Group Holding Ltd (BABA.N) is investing $200 million in photo-messaging app Snapchat, a source familiar with the deal said, striking its latest Silicon Valley deal as the Chinese ecommerce company builds up mobile services. The investment values the Los Angeles-based company at around $15 billion, according to Bloomberg, citing people familiar with the situation. This places the four-year-old company into the top ranks of privately held startups.
Chinese smartphone firm Xiaomi to set up production in India
Mar 12, 2015
- (Reuters) – Chinese smartphone maker Xiaomi Inc said on Thursday it would invest further and begin local production within 12 to 18 months in India, one of the world’s fastest-growing markets and currently dominated by Samsung Electronics and local firms like Micromax. The five-year-old Chinese company, whose name means “little rice,” entered the Indian market in July last year and its low-priced but feature-rich smartphones have proved a big hit, with sales of over a million phones within five months.
Chinese shoppers dropping Western companies
- In the battle to grow market share in China, Western retailers are on the losing end, prompting them to develop multi-format strategies to retain customers. But international retailers have lost more market share, with a decline from 20 percent in 2013 to 19 percent in 2014. Local retailers have been able to better adapt to the changing market environment and continue to win market share. The Sun-Art Group remained market leader last year, while Yonghui Group emerged as the fastest-growing player in 2014, achieving a 2.6 percent share.
Latest Wealth Report Predicts Billionaires Surge In China In Next Decade
March 12 2015
- China will be experiencing a yet another boom in the next decade, with its number of new billionaires hitting 154 in the next 10 years, the Wealth Report 2015 said. If this happens, China will become the country with the biggest growth in the number of new billionaires. The new breed of billionaires, labelled as ultra-high-net-wealth individuals, or UHNWIs, have oer US$30 million in net assets that doesn’t include their main residences, the report said. The report monitors the growing number of the super-rich in 108 cities across 97 countries. It analyses these nations, its states and cities in terms of importance and the phenomenon of the rise in the number of super-rich individuals. The report likewise provides insights on foreign real estate investment and the prime international residential markets.
Exclusive: China’s international payments system ready, could launch by end-2015 – sources
Mar 9, 2015
- (Reuters) – China’s long-awaited international payment system to process cross-border yuan transactions is ready, and may be launched as early as September or October, three sources with direct knowledge of the matter told Reuters. The launch of the China International Payment System (CIPS) will remove one of the biggest hurdles to internationalizing the yuan and should greatly increase global usage of the Chinese currency by cutting transaction costs and processing times.
China’s Big Boom In Small Companies
- simple changes in government regulations that took effect in March of last year have led to a huge surge of new businesses. In the six months following the new rules, which cut red tape and sharply lowered the amount of up-front money needed to get going, more than 1.76 million companies registered for business, an increase of 68 percent over the previous year. Young, middle-class Chinese consumers, she explains, are on the hunt for technologies or services that make their lives easier. And with easy delivery of a service over the Internet, “it’s not difficult to find investment funds and succeed in the market,” Gao says.
Amazon Opens Store on Alibaba’s Tmall for Chinese Shoppers
- (Bloomberg) — Amazon.com Inc. has opened a store on Alibaba Group Holding Ltd.’s Tmall.com, seeking to reach Chinese shoppers as the Web retailer tries to expand in the world’s second-biggest economy. “We welcome Amazon to the Alibaba ecosystem, and their presence will further broaden the selection of international products and elevate the shopping experience for Chinese consumers on Tmall,” said Candice Huang, a spokeswoman for Hangzhou, China-based Alibaba. Imported food, shoes, toys and kitchenware are listed on Amazon’s store, one of many on Tmall that sell brand-name goods to Chinese shoppers via the Web.
Alibaba Buys $380 Million Stake in Chinese Production Firm Enlight
- Chinese e-commerce giant Alibaba has bought an 8.8 percent stake in Enlight Media, one of China’s leading private film and TV companies, for $380 million, the latest acquisition in its strategy of expanding in the entertainment business. The news came in a stock market announcement to the Shenzhen stock exchange. Alibaba spent over $3 billion in the entertainment industry last year, and the cash-rich company went window shopping for content and even potential acquisitions in Hollywood last year, but has yet to make a major move there.
China’s New Generation Of Entrepreneurs
March 02, 2015
- The current wave of innovation among small companies in China has been underpinned by further spending on research and development (R&D). The Chinese government’s favorable policies toward R&D have certainly helped. R&D spending in the country has been rising at double-digit rates in recent years, far outpacing most other countries. Dozens of small independent and community-operated, tech-related workspaces known as hackerspaces, have popped up across the country in recent years. These collaboration spaces allow entrepreneurs who are interested in design and technology to tinker and create everything from drones to robots. What’s different from prior generations of entrepreneurs that exported apparel (given massive government subsidies) is that entrepreneurs are now equipped with open-source software, emerging 3D printing technology and Silicon Valley-style venture funding – or even peer-to-peer lending. Increasingly in recent years, we’ve seen multinational companies acquiring small China-based firms. This has happened across many business segments, including industrials, the medical device industry and consumer staples. They are not merely taking a minority stake as a passive shareholder, but often taking a controlling stake or even acquiring entire companies outright, with the approval of local regulators.
Shanghai tops China’s disposable income list, gap remains
- Per capita urban disposable income in Shanghai, the nation’s financial hub, hit 47,710 yuan ($7,611) last year, eclipsing Beijing to secure the first place nationwide, the Guangming Daily reported on Thursday. Beijing and Shanghai are immediately followed by Zhejiang province, all three exceeding 40,000 yuan in 2014 with a growth rate of around 8.9 percent from a year earlier.
China’s Businesswomen Dominate Forbes Asia’s Powerful List
Feb 27, 2015
- Chinese businessmen have long been dominating the Asian and global business scenes for years but the latest “50 Powerful Businesswomen in Asia” list released by Forbes showed that Chinese businesswomen are also leading Asia. The list released by Forbes showed that 14 of the 50 powerful businesswomen in Asia come from China, the most among the 16 countries included in the ranking. China’s powerful businesswomen include Maggie Wu and Lucy Peng, two of Chinese e-commerce giant Alibaba’s top female decision-makers.
More than half the patent applications in Europe last year came from the US, China, and Japan
February 26, 2015
- When it comes to innovation, the rest of the world seems to be outpacing Europe, but patent applicants are coming to Europe in droves to make sure their inventions are protected there. Of the 247,000 patent applications sent to the European Patent Office (EPO) in 2014, 53% came from just three countries—US, China and Japan—with more than a quarter of the applications coming from the US alone. Among European nations, only Germany made it into the top five countries for patent applications. China continued to gain ground in 2014. The biggest number of EPO applications from China came from the telecommunications company Huawei. Japan’s applications, meanwhile, were down more than 4% from the previous year. http://i.imgur.com/4dNgemm.png
China leads world in patent applications for fourth consecutive year
24 Feb, 2015
- There were 928,000 patent applications for new inventions lodged in China last year, according to a Xinhua article citing data from China’s State Intellectual Property Office (SIPO). This marked a 12.5 per cent increase on the amount of patents lodged in 2013 and was the fourth year in a row that China has led the world in terms of the number of patent applications lodged.
The World’s 50 Most Innovative Companies — Three Chinese Upstarts Beat Samsung
- Fast Company’s 2015 list of World’s 50 Innovative companies had a few surprises for global market observers. The first surprise is that Warby Parker topped the list, beating Apple —Apple has been on and off the top of the list in recent years. The second surprise is the rise of Chinese e-commerce giant Alibaba to the third position – right behind Apple and ahead of Google —“for helping consumers save, and be entertained,” according to the Fast Company report.
China churning out billionaires with new IPOs
Feb 17 2015
- SINGAPORE—In the first six weeks of 2015, the world’s second-biggest economy hatched about two dozen billionaires, many of whom are riding initial public offerings that investors are driving to their daily price-trading limits — a frenzy that harkens back to the IPO market of the late 1990s. Among the high-fliers are an airline, a video-game developer and a drug-store chain.
Chinese shoppers to outspend US by 2018
February 13, 2015
- China is poised to outstrip the US as the world’s largest retail market by 2018, with online purchases quickly replacing conventional shopping, according to PricewaterhouseCoopers (PwC). China’s retail market is expected to be worth $10.3 trillion by 2018, compared to the $5 trillion in sales projected for North America. The PwC report looks at the retail market in 2015 and beyond.
U.S. Firms in China See Rising Anti-Foreign Sentiment
Feb. 11, 2015
- BEIJING—U.S. businesses in China have voiced increased concerns over what they see as rising anti-foreign sentiment and more difficult operating conditions as the economy posts slower growth. An annual survey released on Wednesday of about 500 members of the American Chamber of Commerce in China found that most companies believe that foreign firms have been targeted in widely publicized government investigations for a range of anticompetitive practices. Some 47% of the companies surveyed by the business group also said they felt they were less welcome than a year ago, compared with 44% in a similar survey a year ago. Only 10% said they believed they were more welcome.
The World’s Top 10 Most Innovative of 2015 Companies in China
- 1 Alibaba For helping consumers save as well as spend. The West has a simplistic understanding of Alibaba: mega–IPO for the Chinese eBay-Amazon-PayPal hydra. But in China, the company run by CEO Jack Ma is far more interesting. Last year, it began targeting and remaking some of the country’s most moneyed industries, including banking and entertainment. Its Internet finance services look to have the earliest impact: Customers of its Yu’eBao can also invest in a money market fund that usually nets higher returns than state-run banks’ interest rates. Starved for investment options, the masses have responded in droves, putting in $86 billion in the first year. Ma also made growing one’s nest egg even sexier with his next offering, Yu Le Bao, a crowdsourced film-investment fund that lets ordinary folks become movie producers—with much less risk than that would normally entail.
- 2 Apricot Forest For seeking a cure to what ails Chinese health care. Apricot Forest offers a suite of three apps that aim to fix some of the core inefficiencies in China’s medical system. (About those inefficiencies: Most physicians in China work for state-run hospitals, where entry-level doctor wages are about $500 a month, on par with a taxi driver’s earnings. They routinely juggle caseloads of 50 to 60 patients a day, which means patients must wait an excruciatingly long time before being seen.) Twenty-five percent of China’s 2.5 million doctors now use at least one of Apricot Forest’s apps, as do about 2,000 new physicians every day. The primary app is MedClip, an all-in-one patient service system. Doctors can photograph, store, and organize patient records; dictate notes directly into a patient’s chart; send patients reminders and educational materials via China’s popular Weixin (aka WeChat) messaging system; and consult with other doctors on difficult cases. The second, e-Pocket, contains reference materials, such as drug formularies and specialized calculators. And the third, Medical Journals, helps doctors stay up-to-date on the latest research literature.
- 3 Wandoujia For solving China’s mobile-app problem. Android is the most popular mobile operating system in China, but everything else associated with Google is liable to be blocked by the government. Former Googler Junyu Wang cofounded Wandoujia to design a reliable app store for China’s Android users, and although he has literally hundreds of competitors, Wandoujia has outflanked them all by evolving into a multimedia marketplace designed for Chinese needs. Smartphone owners in China crave music and videos, but many are cost-conscious and can’t afford to stream content all day long. So the company developed a robust media search engine, and helps users avoid massive data charges by conveniently downloading movies, videos, and other large files via Wi-Fi or syncing with a desktop. Wandoujia can also help users compress videos they already own. Wandoujia charges developers for prominent promotion in the store—and then splits in-app revenue. More than 450 million users have downloaded 1.6 billion apps to date.
Alibaba places China smartphone business bet with $590 million Meizu deal
Feb 8, 2015
- BEIJING/SHANGHAI (Reuters) – China’s Alibaba Group Holding Ltd is taking a $590 million stake in an obscure domestic smartphone maker as the e-commerce giant tests ways to expand its mobile operating system in a shrinking, cut-throat handset market.
China’s Huawei makes $170 million “Make in India” investment
Feb 5, 2015
- REUTERS – Chinese telecom company Huawei Technologies Co Ltd has invested $170 million to open a research and development centre in India as it ties itself to Prime Minister Narendra Modi’s “Make in India” campaign, the company said on Thursday. The campus in Bengaluru, previously called Bangalore, is the first such investment made by a Chinese company in India and will be used to develop software components, Huawei said.
China’s list of world billionaires leaves Russia behind India
February 03 2015
- SHANGHAI, February, 3. /TASS/. On Tuesday the Chinese Hu Jun magazine published its rating of dollar billionaires counting 2089 richest people of the world. Dominant positions are occupied by the US and China having taken 537 and 430 places correspondingly. For the first time over recent years India occupies the third place, leaving Russia behind. The rating has missed 10 Russian billionaires at once.
Quarter of Chinese provinces join $10,000 per capita club
2 Feb 2015
- Eight Chinese provinces and municipalities have a per capita income of $10,000 or over, crossing a major threshold in terms of wage increases reports Sina Finance. Guangdong, one of the most prosperous provinces on China’s eastern coast, grew 7.8 per cent and its per capita GDP surpassed US$10,000 for the first time in history. Fujian province’s per capita GDP also crossed that threshold for the first time.
Chinese startup lets you hire a nearby chef to cook a meal in your home
Feb 2, 2015
- China has a wide range of food delivery options, both online and offline. Popular restaurants typically have either a couple delivery drivers on hand or go through a third-party delivery service like Ele.me, which just closed a US$350 million investment. But for those who prefer home-cooked meals without actually having to cook, a young startup has emerged to fill that demand. Hao Chushi, which translates to “Good Cook”, lets users hire nearby chefs and cooks to come to their home and make a meal right in the customer’s own kitchen. The startup announced it has raised RMB 5 million (US$800,000) in angel funds and will soon close a US$5 million series A round. Founder Xu Yan disclosed the funding to iYiou, but did not mention who the investors are.
Samsung Loses Edge on Both High-End and Low-End Smartphone Markets in China to Apple and Xiaomi
Jan 31, 2015
- Samsung’s main edge with its high-end phones over the iPhone 6 and 6 Plus was that it has big-sized screens for users who prefer their phones that way, but the edge is now gone. Samsung’s low-end phones, on the other hand, had to contend with fierce competition from China’s Xiaomi. In fact, in the second quarter of last year, local company Xiaomi already overtook Samsung when it comes to being the biggest selling smartphone maker in China.
China overtakes US for foreign direct investment
29 January 2015
- China has overtaken the US as the top destination for foreign direct investment (FDI), for the first time since 2003. Last year, foreign firms invested $128bn (£84,8bn) in China, and $86bn in the US, according to the United Nations Conference of Trade and Development. The growth in China’s foreign investment benefitted the services sector as manufacturing slowed.
China’s yuan breaks into the world’s top five as payment currency – SWIFT
Jan 28, 2015
- (Reuters) – China’s yuan broke into the top five as a world payment currency in November, overtaking the Canadian dollar and the Australian dollar, global transaction services organisation SWIFT said on Wednesday. After nearly a year firmly positioned at seventh spot, the yuan reached a record high share of 2.17 percent in global payments by value and is in sight of the Japanese yen, which has a share of 2.69 percent.
China’s ecommerce market was worth $2 trillion in 2014
Jan 22, 2015
- According to a new report from China’s Ministry of Commerce, the Middle Kingdom’s ecommerce markets racked up RMB 13 trillion (US$2 trillion) in transactions over the course of 2014. That’s growth of 25 percent compared to 2013. Those numbers include online B2B transactions and sales from online retailers as well as the sales on ecommerce platforms like JD and Tmall. It’s a massive number to be sure, but statistics indicate that China’s ecommerce market still has the potential to grow far bigger. A recent report from We Are Social, for example, revealed that well under half of the country is frequently researching or buying products online:
Survey shows Chinese can afford to pay more for homes
21 January, 2015
- To gauge the buying demand of mainland Chinese for domestic and overseas residential property, the South China Morning Post and consultancy Century 21 China Real Estate have partnered on a quarterly sentiment survey. In the fourth poll, conducted in the fourth quarter in Beijing and Shanghai, 274 Century 21 clients responded, compared with 484 in the third quarter, 565 in the second and 350 in the first. The latest survey indicated homebuying interest remained unchanged in the fourth quarter from three months earlier, but a higher proportion of respondents said they could afford to buy homes priced above 30,000 yuan (HK$37,400) per square metre.
China 2014 retail sales up 12 pct
- BEIJING, Jan. 20 (Xinhua) — China’s retail sales rose 12 percent year on year in 2014 to 26.24 trillion yuan (4.28 trillion U.S. dollars), the National Bureau of Statistics said on Tuesday. Retail sales, a key indicator of consumer spending, continued to accelerate in December, rising 11.9 percent from a year earlier. The figure was up from November’s 11.7 percent and October’s 11.5 percent.
Pay rises expected for China, Malaysia in 2015
- In fact, 70% of employees in China can expect wage increases in 2015, while 43% of staff in Malaysia can also expect salary bumps of 6% or more in their next review. The Hays Asia Salary Guide 2015 found 33% of employers in Malaysia will increase salaries by 6% to 10% in the years ahead, while 10% will increase above that level. Just under half (47%) will increase salaries by between 3% and 6%. Only 9% of bosses will offer increases less than this, and just 1% will offer no pay rises at all. China – as in 2014 – remains the standout country for salary increases this year, with 50% of bosses intending to increase salaries by 6% to 10%. A significant 20% of employers will also increase salaries by more than 10%.
China’s Slower Economy Still Working for Jobs
Jan. 20, 2015
- China appears stuck in slowdown mode, but a busy workforce shows why Beijing isn’t panicking. Official figures released Tuesday put China’s full year growth rate at 7.4%, a tad below the official target of 7.5% and the slowest rate in nearly a quarter century. Yet it’s only a slight decline from last year’s 7.7% rate, and probably the best telegraphed slowdown in economic history. Top officials have been talking for years about the need for more modest, sustainable growth.
China set to launch a $6.5B venture capital fund in support of start-ups
January 16, 2015
- In support of emerging industries and start-up tech companies, the Chinese government is set to launch a 40 billion RMB (around $6.5 billion) venture capital fund. The money is coming from both the government and private investors alike. After years of decline, the program is said to have been sparked by new found investor interest in venture capital firms in the region. As many have suggested, the government run VC project is part of the country’s attempt to become much less reliant on property and other infrastructure asset investments. Based on a translated statement from the premier of China’s state council, Le Keqiang, the motivation behind the fund is to support emerging and seed-stage companies in hopes to bolster overall economic growth.
China’s yuan shifts into currency major league
Jan 14, 2015
- LONDON, Jan 14 (Reuters) – After a surge in interest last year, China’s yuan is heading for the currency major league, with trading volumes more comparable to the euro, sterling, Australian dollar and Swiss franc than its emerging market peers. Offshore trading in the yuan, whose convertibility is still tightly controlled by Beijing, soared some 350 percent on Thomson Reuters trading platforms in 2014. Rival platform EBS – the main venue for dollar, yen and euro trading – told Reuters the yuan ended last year as one of its top five traded currencies.
High employment for China’s leading universities
- BEIJING, Jan. 13 (Xinhua) — More than 90 percent of graduates from 75 universities overseen by the Ministry of Education (MOE) got jobs in 2014, the ministry said recently. Seventy-four universities of the 75 had an employment rate of above 90 percent last year, with only one’s employment rate standing at 88.62 percent, according to the ministry statistics.
China’s trade surplus jumps to all-time high
- China’s trade surplus swelled by nearly half in 2014, Beijing announced on Tuesday, but demand was weaker than expected overseas and this caused the world’s second-largest economy to again miss its ambitious trade growth targets. Exports rose by 6.1 percent to $2.34 trillion (1.94 trillion euros) on the year, while imports grew by a modest 0.4 percent to $1.96 trillion. That accounted for a trade surplus of $382 billion, or a whopping 47.2 percent increase over 2013. Total trade in 2014 grew just 3.4 percent – far below the government’s official target of 7.5 percent.
U.S. Businesses Feel Increasingly Unwelcomed in China
January 08, 2015
- There was a time when the “China-lobby” meant supporters of The Republic of China (Taiwan). In the last couple decades, it has come to mean representatives of the American business community most eager to do business on the mainland, the People’s Republic of China, and willing to exercise influence in Washington in support of cordial relations. Quite counterintuitively, it is these very advocates of controversy-free U.S.-China relations that the People’s Republic of China is now going after. A growing number of U.S. and foreign businesses say that they feel unwelcomed in China. A widespread brutal crackdown on corruption and “monopoly pricing” has unfairly been targeting foreign companies.
China aiming to triple patents by 2020
Jan 3, 2015
- (Reuters) – China is aiming to triple the number of patents it files by 2020 as Beijing looks to boost the country’s high-tech economy in areas from agriculture to pharmaceuticals, according to a notice from the central government on Sunday. China is targeting 14 invention patents per 10,000 habitants by 2020 compared to four in 2013. It published 629,612 patents in 2013, over 200,000 more than the United States, according to a Thomson Reuters study in December.
Shenzhen becomes China’s leading center for innovation
- Shenzhen has become the capital of innovation in China, replacing Beijing’s Zhongguancun district and Shanghai’s Pudong, writes our Chinese-language sister paper Want Daily. The city has a complete ecosystem of low-cost labor, massive factories and leading manufacturing technologies, making it able to turn out almost any kind of hardware on a large scale, said Joi Ito, director of MIT Media Lab. Startups, entrepreneurs and tech companies in Shenzhen have developed a closer relationship with Silicon Valley. Entrepreneurs and venture capitalists from California and academic groups from MIT Fab Lab showed up at the China International Industrial Design Fair that took place in Shenzhen in November.
Alibaba aims to represent China on world stage: Jack Ma
- Jack Ma, founder of China’s e-commerce giant Alibaba Group said he hopes Alibaba can become an enterprise that represents China on the world stage, like Samsung of Korea, Mercedes Benz of Germany, and Google and Apple of the US, reports our Chinese-language sister paper the Commercial Times. Alibaba is not a state-owned enterprise, but Ma said he sees the company as China’s “national enterprise,” in the sense that it can serve as a model for other Chinese companies and represent China on the world stage. China needs a new and innovative generation that is capable of representing China to contribute to the world, Ma said during a Alibaba’s strategic cooperation meeting.
Beijing is home base for 52 of world’s top 500 firms
- Beijing has been actively promoted its image as a good place to set up corporate headquarters over recent years through preferential policies and its efforts seem to have borne fruit. Forty-eight out of the world’s top 500 enterprises were headquartered in Beijing in 2013, according to the findings of the Third National Economic Census released recently by Beijing, making the city home to the highest number of the world leading companies’ headquarters, surpassing Tokyo’s 47. All of them are domestic enterprises, however, mainly state-owned companies, including China Petroleum and Chemical Corporation (Sinopec), China National Petroleum Corporation, the State Grid Corporation of China, the Industrial and Commercial Bank of China and the China Construction Bank. Beijing is home to 97 companies among the top 500 Chinese enterprises.
China Steps In as World’s New Bank
Dec 25, 2014
- Thanks to China, Christine Lagarde of the International Monetary Fund, Jim Yong Kim of the World Bank and Takehiko Nakao of the Asian Development Bank may no longer have much meaningful work to do. What is China’s new Asian Infrastructure Investment Bank if not an ADB killer? If Japan, ADB’s main benefactor, won’t share the presidency with Asian peers, Beijing will just use its deep pockets to overpower it. Lagarde’s and Kim’s shops also are looking at a future in which crisis-wracked governments call Beijing before Washington.
Alibaba’s Millionaires Fuel Startup Boom to Rival Silicon Valley
Dec 21, 2014
- Last month, Alibaba Group Holding Ltd. (BABA)’s Jack Ma invited 1,600 former employees to its home turf in Hangzhou, China. The company’s $25 billion initial public offering had made many of them wealthy and he urged them to start businesses that would be meaningful in the long term. China is beginning to emerge as a legitimate contender to Silicon Valley as the center of the technology industry, fueled by an Alibaba IPO that brought in more money than any in history. Chinese technology companies have raised $30.3 billion in IPOs this year, compared with $4.97 billion for their U.S.- based peers, according to data compiled by Bloomberg.
Asia’s Three Wealthiest People Are All Chinese
December 18, 2014
- Chinese real estate mogul Wang Jianlin trails Jack Ma, executive chairman of Alibaba, and Hong Kong’s Li Ka-shing among Asia’s wealthiest, with the three controlling a combined fortune of U.S. $81.5 billion, according to Bloomberg on December 17.
Overseas Chinese contribute 60% of China’s foreign investment, says China’s Vice-President
Dec 05, 2014
- CHONGQING, CHINA – Overseas Chinese have contributed 60 per cent of China’s total foreign investment, said Chinese Vice President Li Yuanchao. “Overseas Chinese are well informed and sensitive to business opportunities in emerging sectors, as evident by the great number of famous multinational companies,” said Li. Speaking at the opening of the 6th World Chinese Economic Forum here on Thursday, Li singled out two Malaysian companies for praise. “Well-known overseas Chinese enterprises and brands like Parkson, Shangri-La and the Charoen Pokphand Group are household names in China,” said Li. He added that such companies are a ‘barometer’ for world economic development and changes. “Acting in the principle of valuing peace and harmony, overseas Chinese have shown commitment to interpersonal relations and resource integration,” said Li. Li also said that the overseas Chinese community are the bond between their host countries and China. “Many overseas Chinese companies have become important components of global production, supply and value chains,” said Li. He called on overseas Chinese companies to seize investment opportunities and contribute to world economic recovery. “We hope you can fully integrate into the local communities, creating wealth and delivering benefits to local people,” said Li.
China, Japan and India Among World’s Top 10 Most Valuable Nation Brands
December 10, 2014
- The U.S.’s brand value is more than three times that of second placed China, whose brand value comes in at $6.4 trillion.
China’s domestic aviation market to be world’s largest within 10 years: forecast
- BEIJING, Dec. 10 (Xinhua) — China is expected to become the world’s largest domestic aviation market in the next ten years, supported by urbanization, economic development and people’s rising income, Airbus forecast on Wednesday. The company specifically forecast that China will overtake the United States as the world’s top domestic aviation market in terms of the number of passengers in 2023. It predicted that the average annual growth rate for the domestic Chinese market will be 7.1 percent in the next 20 years with the average annual growth rate for international traffic from/to China’s mainland at 8.1 percent between 2013 and 2023.
Female Entrepreneurs Contributing Significantly to Chinese Economy
December 9, 2014
- Female entrepreneurs are making waves in China. Most of them play critical roles in the operation and management of their own businesses, as shown in the 2014 Female Chinese Entrepreneurs Development Report. China Association of Women Entrepreneurs, at the 2014 International Forum of Outstanding Woman Entrepreneurs in Beijing on Dec. 3, released a new report stating how empowered women entrepreneurs in the country have become. The report also showed that 66.3 percent of female entrepreneurs possess more than half of the shares in their enterprises, while 46.5 percent own more than 75 percent of the shares. This is a far cry from the past decades.
Korean industry loses out to China
- According to a report released by the Federation of Korean Industries (FKI) on Monday, Korea has fallen behind China in four out of six major industries that it used to lead: smartphones, cars, shipbuilding and petrochemicals. The FKI studied 10 major Korean exports to determine the country’s competitiveness in the world in terms of global market share calculated either on total production or sales this year.
ILO: Women in Europe ‘better educated but paid less’
5 December 2014
- The region’s growth in wages was also driven by China, which saw wages rise 9%, while income growth elsewhere was “much more modest”. For example, wage growth in East Asia was 7.1% last year thanks to China, compared with 5.3% in South-east Asia and 2.4% in South Asia, which includes the region’s third largest economy, India.
In 2015, Technology Shifts Accelerate and China Rules, IDC Predicts
December 2, 2014
- In the year-end predictions game, most technology forecasts tend to be either blue sky or boring, flights of imagination or a firm grasp of the obvious. For the last several years, IDC has published prediction reports that generally avoid the pitfalls of the genre, and offer a useful framework for thinking about the trajectory of trends in technology. The technology research firm’s predictions for 2015, published on Tuesday, come in a 17-page report that is rich in numbers and analysis. Beyond the detail, a couple of larger themes stand out. First is China. Most of the reporting and commentary recently on the Chinese economy has been about its slowing growth and challenges.
China’s youth move towards home-grown brands
13 November 2014
- China is the world’s fastest growing consumer market, and luxury foreign brands have long been popular with shoppers. But what about the younger generation? Do they have the same focus on big retail names as their parents? The BBC is looking at new research that says the answer is no – younger buyers are more focused on local brands.
Chinese Workers Get Nice Raises but Japanese Get Stiffed
November 10, 2014
- American workers aren’t the only ones wondering when they’ll finally be getting a raise. In Japan, companies benefiting from the weak yen are enjoying record profits, but they’re still reluctant to agree to significant wage increases for their workers. In a survey of expected 2015 salary increases in 17 Asian countries, Japan comes in second-to-last, according to human resources consulting company ECA International. Only Macau, the Chinese gambling enclave hit by high inflation, will do worse.
China ramps up crude buying, reserves purchases far ahead of schedule
Nov 27, 2014
- BEIJING/SINGAPORE, Nov 26 (Reuters) – China is estimated to be holding double the amount of crude in its strategic reserves than its official plan has revealed, as the world’s top energy consumer takes advantage of a dive in prices to strengthen its position in the global oil market. Based on data compiled by industry and consulting sources, China now has nearly 30 days of stocks to cover crude imports, far ahead of its official schedule showing 15 days. In the next few years, China’s cover could reach 90 days of so-called Strategic Petroleum Reserves (SPR), equivalent to the target reserves for the West’s main oil importers, including the United States, particularly if prices stay weak.
Falling oil prices save China US$60bn
- China has reaped savings of about US$60 billion from recent drops in oil prices, reports the Gansu-based Lanzhou Morning News. International oil prices have fallen by 25% since June, which has meant a big hit for oil exporters such as Russia and the 12 members of OPEC. Net oil importers such as China and the United States on the other hand have benefitted significantly. Statistics show that the plummeting oil prices have boosted China’s strategic oil reserves. In September, China’s crude oil imports reached 27.58 tonnes, a rise of 8.3% year on year. Total crude oil imports between January and September this year hit 228.5 million tonnes, a rise of 8.4% year on year
China’s Xiaomi surges to become world’s third largest smartphone vendor
Oct 29, 2014
- Phones from Xiaomi still haven’t arrived in the U.S., but the company’s booming sales in China have been enough to make it the third largest smartphone vendor in the world. Xiaomi reached the ranking, behind Apple and Samsung, in the third quarter, said research firms IDC and Strategy Analytics on Thursday. The Chinese vendor only began selling phones three years ago but it has quickly risen to become a leading vendor in its home market, by offering feature-packed Android phones at affordable prices.
China Has Four Times As Many Trademarks In Force As Any Other Country
Dec 18, 2014
- According to a recent report by the World Intellectual Property Organization (WIPO), China has almost four times as many trademarks in force as any other country, including the US and Japan: 7.2 million trademarks in force in China, compared with less than 2 million trademarks in any other country. Moreover in 2013, China saw 1.8 million applications for trademark registration (mostly made by resident firms)—a 16% increase over 2012—versus 600,000 applications in the US. I don’t believe that companies would increasingly be investing their money and time in registering their trademarks if they did not believe there was value in protecting their intellectual property in this way. Good news for all businesses that this is becoming the mindset, and a reminder to all those doing business in China to register their own trademarks there as early as possible.
Global Intellectual Property Filings Up in 2013, China Drives Patent Application Growth
December 16, 2014
- Global patent filings extended a run of strong annual increases in 2013, underpinned by double-digit growth in China where about a third of the world’s 2.6 million patent applications were filed, followed by the United States of America (US) and Japan as the next-largest recipients. Trademark applications rose to nearly 5 million, also driven by strong demand in China. Amid an uneven pace of global economic recovery, filings also increased for industrial designs and utility models in 2013 for the fourth consecutive year, according to the 2014 edition of the World Intellectual Property Indicators, a benchmark report that gathers data on intellectual property rights from more than 100 countries.
Lenovo completes $2.91bn acquisition of Google’s Motorola Mobility unit
October 30, 2014
- Lenovo has completed its acquisition of Google’s Motorola Mobility unit, originally inked for $2.91 billion. Announced on Thursday, the PC maker said the deal is now complete, and adding the Motorola brand to Lenovo’s portfolio has positioned the company “as the world’s third largest maker of smartphones.”
Alibaba reports record $9 billion Singles’ Day sales
Nov 11, 2014
- (Reuters) – E-commerce giant Alibaba Group Holding Ltd (BABA.N) reported more than $9 billion in sales on China’s Singles’ Day on Tuesday, illustrating the buying power of the Chinese consumer and the importance of the event in the retail calendar.
Internet Entrepreneurs Top New Forbes Ranking Of China’s Richest
- The quicksilver of the Chinese Internet may even exceed what the Web bestows elsewhere. Especially when an outfit from China enjoys a U.S. stock listing. Look no further than Liu Qiangdong and his Amazon-like online shopping site JD.com. Though it lost money in the first half, it rocketed on the share market after a May IPO. Even with a 22% comedown from its peak, JD.com’s $35 billion valuation is sufficient to lift Liu from 98th on last year’s China Rich List to 10th this time, with $7.1 billion. JD.com, like many independent e-commerce sites in China, will continue to face volatile prospects, not just because of the changing fortunes of Chinese consumers but also because of how the Web itself continues to consolidate. Pushing that latter shift are the three dominant figures on the 2014 list, the founders of Alibaba, Baidu and Tencent. Effectively megaportals, the three companies are swallowing up Internet players and functions, looking abroad and in the process proving reliably profitable.
Chinese overseas mergers, acquisitions surge
October 27, 2014
- GUANGZHOU, Oct. 27 — Chinese enterprises completed a record 176 mergers and acquisitions (M&A) overseas in the first nine months of 2014, up 31 percent year on year, according to a report released by accounting firm PwC on Monday. Among them, private enterprises completed 120 M&A transactions, more than doubling the number carried out by state-owned enterprises and making them the major force in the M&A market, according to the report.
China overseas direct investment seen rising 10 percent a year
Oct 22, 2014
- (Reuters) – China’s overseas direct investment is projected to rise at least 10 percent annually for the next five years, a trend that will soon make the country a net capital exporter, a senior commerce ministry official said on Wednesday. “It’s only a matter of time,” said Zhang Xiangchen, an assistant minister at the Ministry of Commerce (MOFCOM), referring to when China’s outbound investment will eclipse inbound investment. “If it doesn’t happen this year, it will happen in the near future,” he added.
China companies raising standards in innovation
22 October, 2014
- Software expert Alex Tao returned to Toronto from a recent business trip to Beijing with a gift for his wife: a Huawei Mate 7 smartphone – a model launched just a few weeks ago. It cost about 15 per cent less than it would have in Canada but what most impressed Tao was its “cool appearance, big 6-inch screen, 13 mega-pixel camera and a long-lasting battery”. Such technological and design improvements have helped Huawei quickly win market share from dominant smartphone makers Apple and Samsung. It is one of a growing band of mainland companies emerging as innovative industry leaders and changing global perceptions of China as the world’s factory for cheap, lower-end products.
Lenovo to challenge Xiaomi on smartphones with new company in China
Oct 15, 2014
- In China’s smartphone market, Lenovo wants to fight fire with fire against rival Xiaomi by setting up a new mobile devices company that will use a separate brand, and leverage the Internet to sell directly to consumers. The still unnamed company will help Lenovo “attack the fast-growing consumer mobile device market in China,” Lenovo said in a statement Wednesday. Competitor Xiaomi was not named. But the new Lenovo company will operate with what sounds like a similar business model, according to details provided in the announcement.
89 percent of oversea interviewees welcome Chinese products
October 15, 2014
- “Made in China” used to be an indication of cheap and low-end products. Very few Chinese enterprises had any kind of genuine international reputation. But today, with Reform and Opening-up, more and more Chinese enterprises are going abroad. Have foreign consumers now formed a better impression of Chinese business? In order to understand what foreign consumers think of Chinese companies, China International Publishing Group (CIPG), together with Millward Brown, have carried out research on the image of Chinese companies overseas in the Asian-Pacific region.
Chinese companies going more global in expansion
- When investors waited in long lines for elevators at the Waldorf Astoria hotel in New York City last month to see Alibaba founder Jack Ma, little did they know that in a few days the Park Avenue landmark would have a new owner, Anbang Insurance Group of China. “While China continues to attract multinationals to extend their footprint in the world’s second largest economy, increasing numbers of Chinese companies and investors are expanding and competing globally,” said Sun Baohong, associate dean of global programs at Cheung Kong Graduate School of Business (CKGSB), a leading Chinese business school with a US campus in New York City.
Korean Products Lose to Competition in China
Oct. 09, 2014
- Korean products are being replaced by rival products in China. Samsung and LG Electronics are the world’s top two TV manufacturers, but in China they rank fourth and 10th while Chinese makers are in the lead. Korean products are disappearing from the shelves or are placed at the back corner of the racks of major shopping malls in China. One sign of the malaise is that a massive LG billboard which towered over a street in the main shopping street in the heart of Beijing was removed last year.
Mainland Chinese technology firms lure back homegrown talent
02 October, 2014
- “Many industry talents have returned to join domestic firms, and more talents with global influence will follow suit along with the growth of Chinese firms,” said Hong, founder of the technology website DoNews. But Hong said it is not all about money. A key attraction for the industry’s stars was an “opportunity to do really creative things. Money is not their concern because they are paid well wherever they are”, he said. Only China can provide a platform to the industry’s elite to “challenge them with unprecedented tasks”, he said.
China will ‘soon be number one’ in startup world
30 September 14
- “People say the US is number one, then Israel is number two, then China,” Rahul Sood, partner at Microsoft Ventures, told the audience at Startup Istanbul. “But in a couple of years number one will be China and two will be everyone else.” Sood came to Microsoft’s accelerator and funding arm following the successful launch and sale of his own company, VoodooPC, to HP. Now, as an entrepreneur and angel investor, Sood travels between Microsoft’s accelerator programmes across the globe. He says the exits happening in China are phenomenal, beyond what anyone in the business has been used to seeing. Speaking in Istanbul about the ecosystem in China, he said “very few people understand it — you should probably travel to China to check out what’s going on there.”
China’s economy 12.3% of world total in 2013
September 29, 2014
- The Chinese economy comprised about 12.3 per cent of the world total in 2013, according to the National Bureau of Statistics (NBS) on Sunday. China’s GDP was 56.9 trillion yuan ($9.32 trillion) in 2013. GDP per capita was 41,908 yuan. These indicate remarkable progresses from 1952, when GDP was 67.9 billion yuan and GDP per capita was 119 yuan. From 1953 to 2013, China’s GDP increased 122 times at comparable prices, with annual average growth of 8.2 per cent.
Yuan to Start Direct Trading With Euro as China Pushes Usage
Sep 29, 2014
- China will start direct trading between the yuan and the euro tomorrow as the world’s second-largest economy seeks to spur global use of its currency. The move will lower transaction costs and so make yuan and euros more attractive to conduct bilateral trade and investment, the People’s Bank of China said today in a statement on its website. HSBC Holdings Plc said separately it has received regulatory approval to be one of the first market makers when trading begins in China’s domestic market. The euro will become the sixth major currency to be exchangeable directly for yuan in Shanghai, joining the U.S., Australian and New Zealand dollars, the British pound and the Japanese yen. The yuan ranked seventh for global payments in August and more than one-third of the world’s financial institutions have used it for transfers to China and Hong Kong, the Society for Worldwide International Financial Telecommunications said last week
Yiqing Yin Unveils Two Selections at Paris Fashion Week
Sept. 25, 2014
- When Audrey Tautou hosted the opening ceremony of the 2013 Cannes Film Festival, she could have had her pick of garments from almost any couturier. Yet the French actress went with a relatively unorthodox choice: A mint silk chiffon gown created by Yiqing Yin, a Chinese-French designer who was then largely known only to obsessive followers of fashion. The 29-year-old is among the most prominent of a generation of young fashion designers of Asian origin making their name on catwalks in Paris. Her ascendance has also been swifter than most: She was still working out of her apartment in 2010 when she won a prize at the Festival International de Mode et de Photographie à Hyères, a competition with a track record of identifying young talent, like the duo behind Amsterdam fashion house Viktor & Rolf.
Alibaba’s Ma Said to Step Up Hollywood Content Push
October 23, 2014
- Armed with $25 billion from a September initial public offering, Alibaba is on the prowl for entertainment it can sell to Chinese consumers through its set-top boxes, which also offer goods from its e-commerce site, the world’s largest. Like Chinese peers Fosun International Ltd. and Dalian Wanda Group Corp., Alibaba has expanded ties in Hollywood while navigating challenges such as piracy and censorship in mainland China. “Entertainment and film is a very important part of Alibaba’s ecosystem,” said Alex Wang, a Beijing-based analyst at Internet consulting group IResearch. “The film industry is a really lucrative business, which will become an important growth driver for Alibaba.”
China Moves To Dominate Gold Market With Physical Exchange
22 September 2014
- Shanghai Gold Exchange International Board China is slowly moving to dominate the global gold market and it is important to join the dots regarding a few key recent developments in China relating to gold. When the International Board of the Shanghai Gold Exchange (SGE) was launched last Thursday September 18 during an evening trading session, it was notable that the first transactions were put through by a diverse group comprising HSBC, MKS (Switzerland), and the Chinese banks, ICBC, Bank of China and Bank of Communications.
Why Stimulate? Rising Chinese Incomes Are Defying GDP Slowdown
Oct 21, 2014
- Urban resident’s disposable incomes rose 9.3 percent in the first three quarters from the same period a year ago, while rural resident’s cash income jumped 11.8 percent, the National Bureau of Statistics said. Monthly wages of the 176 million migrant workers who fill factories and construction sites are also rising, the statistics agency said. “It’s part of the new normal that people benefit more from economic growth,” said Su Hainan, a vice president with the China Association for Labor Studies, a research unit in Beijing that advises the government. “So it’s becoming less necessary for the government to stimulate growth.”
China’s Zhu charms Milan with Italian vision of Krizia future
Sep 21, 2014
- Zhu, who is based in Shenzhen, near Hong Kong, has been spending the week in Italy’s fashion capital, taking in the shows and putting together a creative team that will, under her leadership, be charged with reviving a brand that had fallen on hard times in recent years as Mandelli and Aldo Pinto, her husband and business partner, struggled with age-related health problems. Zhu’s takeover is being marked by a multimedia exhibition hosted jointly by the city of Milan and Italy’s national fashion chamber. Backed by some of the country’s most influential fashion publications, the exhibition is part tribute to Mandelli’s heritage as a pioneering female force in the industry, part welcome for Zhu and also partly an exercise in reassuring everyone that Krizia’s tradition will not be compromised as a result of the move to Chinese ownership.
US Treasury: China does not manipulate yuan
October 15, 2014
- Washington (AFP) – The US Treasury said Wednesday that China does not manipulate its currency, but pushed Beijing to do more to focus on domestic demand — not exports — to drive economic growth.
Managers wanted: War for talent heats up in China
11 Sep 2014
- A decade ago, it was fairly common for multinationals to send a few expatriates to head their China operations. But as companies look to localize, there’s an increasing preference for Chinese nationals. “The vast majority are looking for someone Chinese who is bilingual, can bridge cultural gaps and engender trust,” said Richard King, Managing Director, North & Eastern China at PageGroup. “Sea turtles” – a nickname for Chinese nationals that have spent a few years abroad studying or working, and return as high-skilled talent – are the Holy Grail for international companies, he said.
China’s Economy Just Overtook The U.S. In One Key Measure
- This was inevitable, but it still feels momentous: By one important measure, China’s economy is now the biggest in the world, topping the United States. China’s gross domestic product is worth $17.6 trillion, adjusted for China’s relatively low cost of living, compared with $17.4 trillion for the U.S., the International Monetary Fund estimated as part of its latest World Economic Outlook.
Demand for diamonds in China drives global sales
Sep 18, 2014
- Diamond jewellers are looking to mine a fast-growing Chinese market. Demand for the precious stone has reached a record high, with global sales at an estimated US$79 billion (S$99.6 billion) last year, according to an inaugural industry report by the world’s largest supplier of diamonds De Beers. Of this, bedazzled Chinese buyers – switching their fancies from gold and jade to diamonds – are the main driving force, accounting for about 15 per cent of global demand last year.
Some Western Firms Battle to Keep Chinese Executives
Sep 3, 2014
- The competition is especially fierce for so-called “sea turtles” — Chinese natives with Western experience, who are returning home after a stint abroad. The sea turtles are prized by both Chinese and foreign firms for their familiarity with both Chinese and Western ways. While GE has lost some Chinese executives to domestic companies over the years, such exits are small in number, according to a person familiar with the company. GE officials “are very aware of [the growing competition for sea turtles] and attuned to the market,” so they constantly review and revamp pay packages as needed, this person said.
Nearly one quarter of China’s population now shops online
August 26, 2014
- The deputy minister of China’s Ministry of Industry and Information Technology (MIIT), Shang Bing, today took the stage at Beijing’s annual China Internet Conference to dish out the latest stats on the country’s internet users, according to QQ Tech. He says 52.5 percent of Chinese internet users now shop online – about 332 million in total. Shang reiterated previous statistics from June showing internet penetration is at 46.9 percent. China has 632 million internet users, 527 million of them access the internet on mobile devices. The number of people in China accessing the internet via mobile surpassed the number accessing it via PC for the first time this year. So if almost half the population is on the internet, and over half of those people shop online, that means those 332 million online shoppers make up about one quarter of the country’s population.
WeChat and third-party Android app stores: How China’s mobile ecosystem is different from the West
26 August 2014
- One of these, Wandoujia, was initially skewed towards being more of an iTunes for Android or sort of a desktop-based phone manager for Android devices. It introduced an app search function after Google Play ceased to exist in China, and that feature has now come to determine Wandoujia, which is often described as an “Android app store.” However, company spokesperson Tyler Cotton told TNW in a recent interview that Wandoujia is much more than that. In fact, the way Wandoujia works is very different from Google Play. Instead of hosting all the apps, it crawls listings — some come from the developer’s website directly, and others even from competing distribution services — to index about 1.6 million games and apps. It only hosts 10,000 or so, and even these are mostly the result of partnerships. For example, on WeChat now, besides games and apps, you can make a peer-to-peer transaction with your friend, call for a taxi and pay for it immediately, buy plane tickets, book hotels, purchase movie tickets and top up phone bills among other things. Yu told TNW that he thinks Tencent-owned WeChat has won the social battle in China, but in terms of payment, “both Alibaba and Tencent are winners.” This is because users can tap on WeChat’s payment feature for some services, but as they have likely shopped on Alibaba’s Taobao marketplace over the years, they would still use Alipay.
Chinese Gadgets Signal New Era of Innovation
Aug. 21, 2014
- In laboratories and startups across China, tinkerers with big dreams are pushing what many in the industry see as a potential new wave of Chinese innovation. They see smart gadgets—wearables and other devices that connect to the Internet or interact with users—as an opportunity to create a Chinese-designed product for a global audience. “China will be one of the most advanced research-and-development centers for the new convergence between hardware and software, given it’s the world’s factory,” said Annabelle Long, a director of venture capital for Bertelsmann Group.
China Tech Innovator With 200 Patents For LEDs Gains $80 Million More To Break Through
- A lot of people are skeptical about China’s potential for technology innovation. But one Chinese company I wrote about in my book Silicon Dragon in 2008, and have been tracking since then, has certainly been setting some new standards in cleantech — and ability to raise venture investment. LatticePower Corp., which grew out of research by physics professor Jiang Fengyi at his Nanchang University lab in China, claims to be the first company to commercially develop high-quality, reliable and affordable LED lighting — a major step in a goal of replacing conventional light bulbs and fixtures with energy-savings LED lights. The China-based company is no lightweight. It’s filed for more than 200 global patents and attracted financial support from the World Bank and several leading venture capital investors.
Alibaba IPO boosts Masayoshi Son as he’s crowned Japan’s ‘richest man’
17 September 2014
- Softbank’s chief executive Masayoshi Son has become Japan’s richest man with an estimated personal fortune of $16.6 billion…And he may have to send Alibaba a thank you note for it. Shares in Softbank, which owns a 37 per cent stake in the Chinese e-commerce giant, have surged ahead of Alibaba’s initial public offering with shares expected to begin trading on Friday in New York. And this is good news for the Japanese businessman. Son’s Softbank invested $20 million in the Chinese company back in 2000 before the relatively unknown Alibaba.com turned into an e-commerce behemoth.
Alibaba Among Most Valuable Companies in U.S. After Surge
September 19, 2014
- Alibaba Group Holding Ltd., the e-commerce company whose rise has mirrored China’s economic emergence, became one of the most valuable companies traded in the U.S. after its shares surged in their New York debut. The shares rose 38 percent to $93.89 apiece yesterday in New York, valuing Alibaba at $231.4 billion. That makes it larger than U.S. rivals Amazon.com Inc. and EBay Inc. combined, as well as Facebook Inc., JPMorgan Chase & Co. and all but 10 companies in the Standard & Poor’s 500 Index. Alibaba raised $21.8 billion in its initial public offering, more than any company in the U.S. To break the record, previously held by Visa Inc.’s 2008 IPO, Alibaba lured large investors to the stock: Nearly half the shares were placed with just 25 funds, people with knowledge of the matter said. It helped that the shares were offered at a compelling discount to other Chinese Internet companies — a gap that has disappeared after the gains.
Alibaba IPO creates thousands of new millionaires in China
September 19, 2014
- The Alibaba money has helped spur a constellation of Internet companies in China. Over the last decade, one-time Alibaba employees have helped start 130 Internet businesses, more than any other Chinese company, according to Itjuzi.com, a website that tracks investment in domestic technology companies. There’s Mushroom Street, a social shopping site that caters to young women; Didi Dache, a taxi-hailing app that has 100 million users in China; and Tongcheng, a travel website founded by a former Alibaba salesman that currently has more than 2,000 employees. Three years ago, Lai Jie, a former Alibaba product manager, sold a big chunk of his shares and started WiTown with three co-workers. Today, the venture, which runs wireless Internet service in public spaces like airports, has nearly 80 employees, most in Hangzhou. “The city is chock-full of talent,” said Lai, 33.
Boom: Alibaba surges 38% in huge IPO debut
September 19, 2014
- NEW YORK (CNNMoney) Alibaba, the biggest IPO to ever hit Wall Street, made a huge splash when it started trading Friday. Shares of the Chinese e-commerce giant closed at $93.89, marking a 38% pop from the $68 price of its record-shattering initial public offering. The bounce signals optimism among investors about Alibaba’s (BABA) ability to continue its rapid growth trajectory as China’s middle class grows and and the company expands to other parts of the world.
Infiniti reveals its first China-only car: the Q50L
August 21, 2014
- Infiniti has revealed that the new Q50L is its first car to developed exclusively for the Chinese market. It will also be the first Infiniti to be built in China. Although based on the existing Q50 executive sedan, Infiniti claims that the L is a result of “listening closely to customers’ needs” in what it describes as a highly sophisticated market. The first obvious difference is the car’s length. Affluent Chinese drivers value rear passenger space as highly as performance or exclusivity. The Q50L measures 4.8 metres from end to end, and its wheelbase is also greater, at 2.9 rather than 2.8 metres. http://i.imgur.com/ZUhmP37.jpg
Sharpe Ratio Shows China’s Yuan Is Best Asian Carry Trade
August 17, 2014
- A gauge of the yuan’s risks and rewards shows it is the most attractive carry trade in Asia, spurring demand for Dim Sum bonds as exports (CNFREXPY) rebound. The yuan’s Sharpe ratio, which measures returns adjusted for price swings, was 8.6 percent so far in the second half, compared with 3.9 percent for Thailand’s baht and 0.1 percent for India’s rupee. China’s ratio is second only to Argentina’s 25 percent among emerging markets. Yuan notes sold in Hong Kong completed a 21st straight week of gains, returning 2.3 percent since March 28, a FTSE Group and Bank of China Ltd. index shows.
Over 70 cities, counties in China ditch GDP as performance metric
- Unofficial data indicates that at least 70 Chinese cities and countries have stopped using GDP as a performance metric after the central government stressed that more focus should be placed on the livelihoods of the public than simply seeking economic growth. At the third Plenary Session of the Communist Party of China Central Committee, the government stated that determining local government performance solely based on the economic growth rate is the wrong direction to take and such assessment should be canceled in poorer or ecologically fragile areas.
IBM Obtains U.S. Approval for Sale of Server Business to Lenovo
August 15, 2014
- International Business Machines Corp. (IBM:US) cleared a U.S. national-security review for the sale of its low-end server business to China’s Lenovo Group Ltd. (992), letting the $2.3 billion transaction go forward even amid tensions between the two nations. The conclusion of the review by the Committee on Foreign Investment in the U.S., or Cfius, is “good news for both IBM and Lenovo, and for our customers and employees,” Armonk, New York-based IBM said yesterday in a statement. While Cfius placed some conditions on the deal, they don’t significantly affect the business, and terms of the transaction didn’t change as result, a person with knowledge of the matter said, without specifying the conditions.
China sees explosive growth in overseas online shopping
- China’s overseas shopping market is growing rapidly, but some problems have surfaced during the development of the industry, Guangzhou’s 21st Century Business Herald reports. The value of Chinese consumers shopping at foreign online retailers through Chinese electronic payment platforms jumped from 12 billion yuan (US$1.95 billion) to more than 70 billion yuan (US$11.36 billion) between 2010 and 2013, the newspaper reported, citing data from the China e-Business Research Center. The best performer has been Alipay, China’s largest third-party payment platform, which saw an astounding 117% growth in its cross-border e-payment services from 2011 to 2012, far higher than the average 64.7% growth recorded by other e-commerce companies.
China on course to become world’s largest cruise market
- China is soon expected to become the largest global cruise market, according to the head of the world’s largest cruise company. Carnival Corp & Plc Chief Executive Officer Arnold Donald told China Daily that China will become the dominant market despite the fact it is currently smaller than established markets such as North America and Europe. “The Chinese market is small today,” said Donald. “But it will grow quickly.” He said Carnival’s cruise capacity in China is expected to grow by 140 percent from 2013 to 2015.
Per capita disposable income rankings for H1 in China
- Shanghai residents had the highest per capita disposable income (PDI) amongst urbanites in China in the first half of 2014, while those living in cities in Xinjiang saw the biggest percentage rise in PDI over the same period , according to official statistics cited by state-run China News Service. Every province, special municipality and autonomous region has released its statistics, with the exception of Heilongjiang province. Average PDI in the first half of 2014 was 14,959 yuan (US$2,444), a 9.6% rise from 2013. This was higher than the 7.1% rise that would have occurred if PDI had matched the rate of inflation. Seven areas–Shanghai, Beijing, Zhejiang, Jiangsu, Guangdong, Tianjin, and Fujian–had higher than average PDI, with Shanghai ranking the highest at 24,312 yuan (US$3,974), Beijing in second place at 21,635 yuan (US$3,537), and Zhejiang in third with 20,937 yuan (US$3,423). These three were the only areas with PDI higher than 20,000 yuan (US$3,269).
Singapore expresses intent to join China-led regional bank
29 Jul 2014
- SINGAPORE: The Republic has expressed its intention to accept China’s invitation to become a founding member of a new regional bank to fund infrastructure projects in Asia, said Singapore’s Ministry of Foreign Affairs (MFA). Singapore’s intention was conveyed by Deputy Prime Minister Teo Chee Hean at a meeting in Beijing on Monday (July 28) with Chinese Vice-Premier Zhang Gaoli, who had invited Singapore to be part of the Asian Infrastructure Investment Bank (AIIB).
NSA Concerns Give Chinese Server Maker a Boost
July 29, 2014
- Since the NSA controversy began, Inspur, which started out in the 1960s making computer accessories in China’s northeast Shandong province, has seen domestic server sales soar. It overtook Dell Inc., China’s Huawei Technologies Co. and H-P in the first quarter to top China’s charts for server shipments, according to data from researcher Gartner. Inspur, which developed China’s first pager in 1990 and first server three years later, has played a key role in the government plans. Its chairman Mr. Sun, nicknamed “the father of Chinese servers,” is a member of the 863 Program’s expert committee. The company worked with China’s National University of Defense Technology to build the world’s fastest supercomputer, China’s Tianhe-2, on an 863 Program grant.
China’s a growing market for private jets
Jul 31, 2014
- When a Chinese customer asked for the interior of his new Bombardier Challenger 850 jet to be covered with pricey black carbon fibre, the designer was shocked — but happy to oblige. “We’ll do whatever you want, as long as it’s within the realm of certification,” said Sean Gillespie, executive vice president for sales of Flying Colours, a North American aviation services firm. The private jet market is a small but fast growing aviation segment in China, where rapid economic development has created a surge of new wealth.
China Surpasses U.S. As Top World Online Retail Market
Jul 25, 2014
- With E-commerce sales reaching nearly US$300 billion in 2013, China became the world’s largest online retail consumer in the world, surpassing the United States market. Estimates show that Chinese online retail sales could account for more than 20 percent of the nation’s annual economic growth within 10 years. A 123-page report from McKinsey & Company’s Global Institute, a business and economics research center, found Chinese online sales last year bested that of the U.S. by US$25 billion.
Massive Gold Mine Discovered in China’s Xinjiang Province
July 31, 2014
- Geologists have discovered a massive gold mine in China’s restive Xinjiang province, according to state news agency Xinhau. The new find, close to the border with Kyrgzstan, has proven gold reserves of 127 tonnes, Xinhua said. If the estimates are correct, the reserves could be worth around 40 billion yuan ($6.5bn, £3.8bn, €4.8bn.) It the biggest gold mine discovered in Xinjiang Uighur Autonomous Region to date.
Xiaomi beats Samsung in Chinese smartphone market
August 5, 2014
- Xiaomi, a Chinese handset maker little known in the West, overtook tech giant Samsung Electronics Co. to become China’s top-selling smartphone brand in the second quarter, a market research company said Tuesday. According to Canalys, Xiaomi sold 15 million smartphones in China during the second quarter, more than a three-fold surge from a year earlier. It surpassed Samsung, which had the leading position in China for more than two years, as well as local brands such as Lenovo and Huawei.
China hailed for creativity: Global Innovation Index
- SYDNEY, July 19(Xinhua) — China has been singled out for its embrace of economically innovative thought leadership during the release of the latest Global Innovation Index (GII) Friday, on the sidelines of the B20 and G20 Trade Minister’s meetings in Sydney. The GII executive summary noted that alone among the BRICS, China “seems on track to enter the top 25 in the GII”,”China ranks second in innovation efficiency in 2014 on a global basis and is improving steadily along many dimensions of the GII.” The progress of China and the Russian Federation in the rankings is among the most notable of all countries; China’s ranking is now comparable to that of many high-income economies. India, however, slips 10 places to the 76th position this year. “Another indication of the success of these efforts is the movement by China into the third highest filer of international patent applications – overtaking Germany,” he added.
China To Dominate 30 Percent Of Global Car Sales By 2020
July 24, 2014
- China is set to take the lead in BRICS nations’ rise in the global car market. The emerging national economies, comprising Brazil, Russia, India, China, and South Africa, are predicted to be the largest market for light vehicles in the next five to 10 years, according to a report from industry researcher IHS Automotive Consulting. According to Chinese news site China Daily, the report projects that China alone will account for 30 percent of all global car sales in 2020—a 23 percent surge from 2012. Brazil and India are expected to take up five or six percent of global car sales comparatively.
China can be world’s biggest yacht market: Benetti boss
- The wealthy in China are beginning to love seafaring and the country is investing strongly in marines, the CEO explained to Xinhua. But what is most fundamental to enhance the sector, Poerio highlighted, is building a “yachting culture” which is still missing in China. “Chinese do not lack resources, but they often lack a true reason to buy yachts,” he underlined.
China Animation Revenue Rises to $14 Billion in 2013
- The Chinese government is keen to boost the animation sector, which is undergoing a revival, with domestic animated features scoring high in the box office and a slate of high-quality projects. China’s animation industry generated $14 billion (87 billion yuan) in revenue last year, according to figures released at the tenth China International Cartoon and Game Expo in Shanghai. For the past three years, the industry has expanded by about $1.6 billion yuan per year. Animation exports — a sector that the government is keen to expand — reached $160 million in 2013, up 22.8 percent year on year. About 220,000 people are working at 4,600 animation companies in China.
China’s yuan a growing force in global finance: Study
Jul 10, 2014
- WASHINGTON: China’s yuan is a growing force in global finance, more than doubling in use over the past year, according to a new study from the Institute of International Finance Thursday. Although its use in the international payments system remains dwarfed by the dollar and euro, the yuan, officially known a the renminbi, grew to 1.4 percent of total transactions. That jump moved it ahead of the Hong Kong and Singapore dollars and even with the Swiss franc, the sixth most used currency in global transactions, the IIF study said.
China Signs Currency Deals, Except in the U.S.
Jul 10, 2014
- Since 2009, China’s central bank has signed agreements with central banks in more than 20 countries – including the U.K. and Australia – to swap currencies totaling $403 billion when needed. The U.S. is not one of them.
LED forecasts highlight China and MR lamp sales
25 Jun 2014
- Jamie Fox, principal LED analyst for IHS, commented, “Since 2011, most of the new LED production capacity that has been added worldwide has occurred in China. So it was inevitable that a Chinese company eventually would join the top 10 LED suppliers. MLS Electronics was first to join the global elite, having established itself as the clear leader in the Chinese market by capitalizing on strong domestic demand. This development represents a clear signal that Chinese firms soon will become major competitors in the global LED business.” http://i.imgur.com/NhmNQgO.jpg
China’s economy grows 7.5% in 2nd quarter
July 16, 2014
- BEIJING — China’s economy, the second-largest worldwide after the USA’s, achieved better-than-expected growth in the second quarter of 2014, according to official figures released Wednesday that showed government stimulus measures starting to bite. Economic growth was 7.5% in the second quarter compared with the same period last year, said a statement from the National Bureau of Statistics. The eagerly awaited figure, representing gross domestic product (GDP), showed growth quickening from the 7.4% achieved in the first quarter, a quarter-on-quarter increase of 2%.
Robot sector draws heavy investment in China
- Chinese companies have been investing heavily in the robotics sector, which has been tipped for development. The robotics sector is believed to have a brighter outlook than the manufacturing sector, which is grappling with a diminishing cheap labor force, rising production costs and reform, according to Chinese-language news website China Economic Information Net.
Lenovo CEO Wins Edison Achievement Award
May 15, 2014
- AsianScientist (May 15, 2014) – Yang Yuanqing, CEO of Chinese computer technology company Lenovo, has received the Edison Achievement Award. Hailing from China, he is the first honoree based outside North America. The Edison Achievement Award is part of the Edison Awards, which constitute one of the most prestigious accolades honoring excellence in new product and service development, marketing, human-centered design and innovation. Yang was honored as a distinguished business executive who has made a significant and lasting contribution to innovation. Accompanying his international recognition are two awards given to Lenovo products: the gold Edison Award for the Yoga Tablet, and the silver Edison Award for the IdeaCentre Horizon Multimode Table PC.
IMF: Global recovery to accelerate in 2015, no brutal slowdown in China
6 Jul 2014
- Global economic activity should strengthen in the second half of this year and accelerate in 2015 although momentum could be weaker than expected, IMF chief Christine Lagarde said on Sunday, adding that the Fund did not expect a sharp slowdown in China.
BMW extends joint venture with Brilliance China to 2028
Jun 23, 2014
- (Reuters) – BMW said on Monday it had extended its joint venture with Brilliance China Automotive Holdings until 2028, a move which analysts say would help both companies continue expanding in the world’s largest car market. BMW declined to comment about the details of the contract extension between the two companies, or say whether this entailed more ambitious expansion plans. Brilliance China Automotive Holdings also declined to comment.
Volvo’s China export plans mark new phase in Geely strategy
Jun 17, 2014
- (Reuters) – Volvo Car Corp’s plans to turn China into an export hub shows parent company Zhejiang Geely Holding Group Co [GEELY.UL] is out to disprove pessimists who have cast doubt on Chinese companies’ ability to manage global consumer brands. A senior Volvo executive said the Swedish automaker would start exporting Chinese-made sedans, a long-wheel-based version of the S60 called the S60L, to the United States and the XC90 utility crossover to Russia as early as the end of next year.
Private jet market on the rise in China
- The private jet market in China is forecast to surge, given the growing number of wealthy people in the country, but it is not easy to keep and operate the aircraft, reports the Beijing-based China Economic Weekly. Chinese internet giant Alibaba recently filed documents with the United States Securities and Exchange Commission for its planned stock listing, with the data revealing that company co-founder Jack Ma bought a Gulfstream G550 in 2013, which was leased to the company free of charge for his use.
China Now Has More Millionaires Than Any Country but the U.S.
Jun 10, 2014
- There are now more millionaires in China than in Japan, as the wealthiest Chinese reaped huge returns from shadow-banking-related financial products, a new study revealed. Overall, the world’s wealth grew by 15% to $152 trillion, led by a 31% jump among countries in the Asia-Pacific region (excluding Japan) to $37 trillion. In North America, the world’s richest region, wealth grew by 16% to $50.3 trillion, thanks largely to strong returns in the stock market.
Inside Shenzhen: China’s Silicon Valley
13 June 2014
- Today, Shenzhen’s permanent population is around 10 million, rising to 15 million during the summer-autumn electronics season, when the hardware plants expand to build the world’s Christmas electronic gifts. Construction is evident everywhere here. The first metro station opened in 2004; now there are 131 stations, with three new lines being built simultaneously. Shanzhai manufacturers have learnt to to cut all the fat out of their business. According to Lyn Jeffery of the Palo Alto-based Institute for the Future, they might break even on a phone that sells only 10,000 units – enabling them to innovate wildly and build specialised products for specific markets – even for different cities. Working together, it appears that international hardware startups – with their innovation, marketing and branding skills – and the shanzhai talent pool – supplying limitless reserves of hustle – might offer a formidable challenge to traditional, less nimble consumer electronics companies.
China’s Luxury Auto Market Set To Surpass United States’ By 2016
June 9, 2014
- China’s premium auto segment growth may be feeling the effects of the country’s luxury slowdown, but that’s not going to stop it from becoming the biggest in the world, according to analysis by professional services network PwC. A new Autofacts Analyst Note by the company finds that China’s high-end auto segment has seen a slowdown that has hit the country’s luxury market as a whole for the past two years, but growth rates are still in the double digits. The segment’s growth rate of 54.5 percent in 2011 slowed to 18.4 percent in 2013, reaching 1.4 million units. Despite the decline, PwC predicts that China will rise from its status as the world’s second-largest luxury auto market to surpass the first-place United States in luxury auto sales by as early as 2016.
Smartphone Users Seen Rising 25% In ’14, Led By China
- The number of smartphone users worldwide is seen rising 25% this year, led by China and other parts of Asia, slower growth than prior years but still generally considered a brisk pace. So says research firm eMarketer in a report released Wednesday.
China Has Second Largest Gold Resources in the World
- China now has the second largest gold resources in the world. Chen Yanhai, an official from China’s Ministry of Industry and Information Technology says the country’s gold resources reached more than 8196 tons by the end of 2012. That is right behind South Africa with 31,000 tons. Since 2011, China has detected some 2552 tons of gold resources. Over 917 tons were discovered in 2013. China has also been the world’s largest gold producer for seven years in a row, with 428.16 tons produced in 2013.
Xiaomi’s Phones Have Conquered China. Now It’s Aiming for the Rest of the World
June 04, 2014
- Xiaomi (pronounced she-yow-mee) is one of the fastest-growing tech companies in the world. It’s the sixth-largest handset maker on earth and No. 3 in China, behind Samsung Electronics and Lenovo Group, according to research firm Canalys. Xiaomi’s recent growth is impressive, and its potential is even greater. In 2013, the company says, it sold 18.7 million smartphones almost entirely from its own website, bringing in $5 billion in revenue. Earlier this year, Lei set an internal goal of selling 40 million smartphones in 2014, then raised it to 60 million. In a financing round last August, venture capitalists gave Xiaomi a $10 billion valuation, about on par with 30-year-old PC maker Lenovo and Silicon Valley darlings Dropbox and Airbnb. At the same time, Xiaomi has branched out from smartphones to tablets, the large-screen HDTVs, a set-top box and home router, phone cases, and portable chargers, as well as a $16 white plush toy bunny—Mitoo, the company mascot, who wears a red-starred Chinese army hat.
Japan over taken by China as top buyer of industrial robots
- China purchased 36,560 robots last year to surpass Japan as the top buyer of industrial robotics, reports Yicai, the website of Shanghai’s China Business News, citing the latest International Federation of Robotics figures. Japan purchased 26,015 units in 2013, with the US following in third with 23,679. The staggering figures indicate that China bought one in five robots sold globally last year, a 60% growth compared to 2012. It is estimated that the figure will only increase as China had only 23 robots for every 10,000 people employed in the manufacturing industry in 2012, compared with South Korea’s 396.
Chinese patent filings abroad on big rise
- GENEVA – The World Intellectual Property Organization (WIPO) Friday said in a report that the growth of Chinese patent filings abroad increased significantly since 2000. It said more than 80 percent of Chinese foreign-oriented patent families in the 1970-2012 period included at least one patent application with the United States, Europe or Japan. “Data showing that more and more patent applications from China are being filed outside the country,” WIPO spokesperson Edward Harris told reporters on Friday. He said “this can be seen as an increase in the quality of the innovations and inventions in China.”
Chinese Tech Firms Gain From US Spying Allegations, Snowden Revelations
May 30, 2014
- Chinese software companies such as Neusoft Corp and China National Software & Service Co Ltd (ChinaSoft) are picking up sales and expanding their marketing as China trades cyber spying accusations with the United States. For Neusoft, one of China’s biggest software solutions providers, that includes selling more networking products and information security software to government and state-owned clients, while introducing higher-value integrated hardware and software packages and consulting services.
Mercedes steps up gas in China, allows Chinese unprecedented access to tech used in new models
29 May 2014
- FRANKFURT: Battling to catch up with German rivals in China, luxury carmaker Daimler is shifting gears, giving local authorities unprecedented access to new Mercedes models and even tailoring engines destined for its home market to Chinese regulations. For years, Daimler has lagged Audi and BMW in the world’s biggest car market. Last year, Mercedes-Benz, the company’s premier luxury brand, sold 228,000 cars there, compared to nearly 492,000 for Audi and over 362,000 for BMW. As part of this process, Mercedes is allowing Chinese officials to take samples of components and make detailed measurements of its newest cars. “To put it bluntly, we are transferring know-how,” said Rene Reif, head of engineering and manufacturing at Beijing Benz.
Chinese patents Ever more inventive
May 24th 2014
- CHINA’S leaders see patents as rungs on the ladder to becoming an innovation powerhouse. So in five-year plans and through subsidies and official exhortations, they have encouraged locals to file patents. And locals have responded with gusto. Two years ago China’s patent office became the world’s busiest. Sceptics have scoffed that most of those filed are “utility model” patents—short-term ones granted for relatively trivial ideas, as opposed to proper “invention” patents—and that few Chinese inventors have won patents in countries where standards are higher. The WIPO included only patents filed by Chinese residents—that is, those with a Chinese address—who filed their patents first on the mainland. So, inventions by the Shanghai labs of GE or Philips are not included, since Western multinationals typically file first in America or Europe. Foxconn, a manufacturing goliath controlled by Hon Hai of Taiwan, is included in the study because, unlike other Taiwanese firms, it resides in China and files its patents first on the mainland.
China’s Lenovo sees 29% jump in full year net profit
21 May 2014
- The world’s biggest personal computer maker has reported a 29% jump in full-year earnings while at the same time extending its position as market leader in the PC industry. Lenovo earned a record $817m (£485m) in net profit for the 12 months to March. The company sold 55 million PCs during the year, extending its global market share to 17.7%, when the overall industry saw an 8% fall in PC sales.
Alibaba signals that China is an innovative tech center
May 16, 2014
- “The Alibaba IPO is a validation of its place in the international marketplace and shows the innovation of Chinese companies,” said Anna Han, an associate professor of law at Santa Clara University, who specializes in Chinese law. Alibaba is a good example of Chinese innovation. The company was at first a business-to-business marketplace, then it created new properties to go after the consumer market by combining features from Amazon and eBay. One of Alibaba’s chief innovations was Alipay, which came up with a creative way for the many Chinese consumers without credit cards to pay for goods, by holding the money from buyers in escrow until the goods they were purchasing were delivered. Evan Spiegel, founder of Snapchat, the Santa Monica-based startup that reportedly turned down $3 billion from Facebook, has said that Tencent’s WeChat is “a role model.”
Joe Biden is wrong. China does innovate
May 29, 2014
- Smartphone maker Xiaomi: Founded just four years ago in Beijing, this company is now valued at more than $10 billion and sells just as many phones in China as Apple (AAPL). It pumps out an updated operating system once a week. Its founder is frequently compared to Steve Jobs. Tech company Tencent: This firm owns a web of mobile, telecom and online retail businesses that rank among the largest in the world. Tencent has a bigger market cap than Cisco (CSCO) or Hewlett-Packard (HPQ), more users than Twitter (TWTR) and more sales than Facebook (FB). Its messaging app, WeChat, has more features than many of its Western competitors and is sweeping markets from Asia to Africa. Network maker Huawei: The networks built to carry all that smartphone data? Huawei, a telecom equipment supplier, is second globally only to Ericsson (ERIC). Huawei employs more than 70,000 R&D employees. It’s a leading proponent of 5G technology, and it is starting to make cell phones, too. Biotech firm B.G.I.: This company sequences more DNA than any other institution on earth — more than Harvard, more than the National Institutes of Health. It’s an industry leader with nearly limitless ambition.
Chinese Search Giant Baidu Hires Man Behind the “Google Brain”
May 16, 2014
- Baidu has long been referred to as “China’s Google” because it dominates Web search in the country. Today the comparison grew more apt: Baidu has opened a new artificial-intelligence research lab in Silicon Valley that will be overseen by Andrew Ng, a Stanford professor who played a key role at Google in a field called deep learning. He was also a cofounder of the online education company Coursera. Recent advances have triggered a technological arms race in Silicon Valley, with big Web companies competing for the best academic talent. Like Google, Facebook, and other companies rushing to invest in deep learning, Baidu is motivated by the promise of dramatic advances in artificial intelligence.
China’s Urban Economic Might to Dominate in 2030, Says Report
May 08, 2014
- China’s cities are going to have much larger economies and will be filled with big-spending Chinese. At the same time, per-capita incomes will lag behind those in today’s developed cities for many years to come, says a new report on trends in the top global cities, released May 8 by Oxford Economics. The number of Chinese cities among the 50 largest by GDP will more than double, from eight now to 17 by 2030. That puts China ahead of the U.S. in total numbers and way ahead of Europe. Over the same period, Europe will see eight of its cities fall out of the top 50.
Chinese online shopping could soon be worth more than Switzerland’s entire GDP
May 7, 2014
- In the recent IPO filing of the Chinese e-commerce giant Alibaba, the company projects that China’s e-commerce market, already among the largest in the world, will double in size by 2016. As more Chinese shop online, the company expects online sales to increase from last year’s 1,841 billion yuan ($295 billion) to 3,790 billion yuan. http://imgur.com/a/PRErN
China’s mobile games market doubling this year to $3B, will surpass U.S. in 2015 (report)
May 6, 2014
- You can’t monetize in China, right? Wrong, apparently. According to a report that research firm Superdata released yesterday, Chinese gamers are on track to spend $3 billion this year on mobile games. And they’re spending at a rate that will surpass the U.S. next year. “The U.S. mobile game market is showing signs of saturation,” Superdata says, adding that “China’s average revenue per paying user (ARPPU) and conversion rate both grew more than 20 percent since last year.” As a result, companies like Microsoft have announced their entry into the Chinese market with the Xbox One home console, and gaming-specific companies such as King have inked deals with Tencent to release the popular Candy Crush Saga in China.
China set to become world’s largest robot market
- If you still think having robots doing manual labor is a dream, you are out of date. In fact, robots are playing an increasingly important role in the manufacturing sector, especially after the severe labor shortage in eastern China. As the world’s manufacturing powerhouse, China is set to become the world’s largest robot market in 2014. During the May Day holiday, the largest air conditioner manufacturing company in Zhejiang province is working overtime. But there isn’t a single factory worker in sight. “With an annual production of 5 million compressors, our company would have needed 1,000 workers. But now, we only need 580 workers,” said Zhou Jiansheng at Jiaxipera.
No longer just a factory, China is a mobile leader
April 23, 2014
- Barra cites Didi — a local taxi calling app with over 100 million users across 178 Chinese cities — as an example of “made-in-China” mobile innovation. He says its built-in messaging service to explain hard-to-find addresses and a haggling option to sweeten an offer during rush hour make it more than just “the Uber of China.” “Didi is a phenomenal example of the ‘local spice,’ it’s an innovation that I like talking about,” says Barra. “Because it’s an app for calling a taxi, there is no big deal in that. But the way it was built, it’s actually pretty clever.” Xiaomi outsells the Apple iPhone in China. It claims to have a valuation of $10 billion, and plans to sell 60 million of its customized Android-powered smartphones this year in China and in its first overseas market, Singapore. Beijing’s Momo — a networking and, yes, flirting app — has over 100 million registered users. Launched for Chinese users in 2011, it predates its Western rival Tinder. Shenzhen based Tencent boasts a market cap bigger than HP. It has a vast portfolio of businesses including the wildly popular mobile messaging app WeChat. With 272 million monthly users, WeChat is not only a rival to Viber and WhatsApp. It’s turned into the extended operating system of China’s mobile millions.
China has world’s 3 largest companies: Forbes
- BEIJING, May 8 (Xinhua) — China became home for the first time to the world’s three biggest public companies and five of the top 10, according to the Forbes Global 2000 List released on Thursday. Industrial and Commercial Bank of China (ICBC) held onto its No.1 spot for a second year, followed by China Construction Bank and Agricultural Bank of China. The other two were Bank of China — another of the “Big Four” Chinese banks — and PetroChina, ranking ninth and tenth, respectively. Chinese mainland and Hong Kong added 25 to the 2014 list, more than any other country, for a total of 207.
China sees larger proportion of invention patent applications
April 22, 2014
- BEIJING, April 22 — China’s State Intellectual Property Office (SIPO) on Tuesday said the country accepted a larger proportion of invention patent applications in 2013. Shen Changyu, head of the SIPO, said China accepted 2,377,000 patent applications and authorized 1,313,000 cases last year. The number of invention patent applications was 825,000, up 26.3 percent year on year. It is the first time in five years invention patent applications took up more than one third of the three types of applications, said Shen at a press conference. The other two types are utility model and design.
Lincoln picks China over U.S. to show new MKX SUV
April 21, 2014
- In another sign of China’s growing influence on the auto industry, Ford’s Lincoln luxury brand took the unveiling of its new MKX midsize crossover direct to Beijing, skipping the New York Auto Show last week for the reveal. Ford officials say it is the first time that a concept has been revealed in a market other than the U.S.
Best Of British Gear Up For China Car Show
21 April 2014
- Some of Britain’s most famous cars are on parade today at one of the most important days in the motoring calendar. UK brands such as Rolls-Royce, Jaguar and Land Rover are showing their new models at the China Motor Show in Beijing to help boost sales in an intensely competitive market.
Automakers unveil China-focused models in Beijing
April 20, 2014
- BEIJING (AP) — Ford Motor on Sunday unveiled a new Escort sedan designed in China for global sale at a Beijing auto show that highlighted the growing influence of Chinese tastes on the industry. Automakers are looking to China’s biggest auto show this year to help boost sales in this huge but cooling market. Total sales last year reached 17.9 million vehicles, but growth is expected to slow from 15.7% to as low as 8%, even as newcomers including Lincoln and Tesla enter the market. The new Escort, a compact sedan with a 1.4-liter, four-cylinder engine, was designed at Ford’s development center in China with features to appeal to local tastes. They include a bigger back seat for children and grandparents, lighter colors and cup holders made to fit iced tea bottles. The Escort goes on sale in China this year, expanding later to other markets, said CEO Alan Mulally. “I think it will sell around the world,” Mulally said. “But the real focus was led by the Chinese and what they wanted.”
Rising Wages May Erode China’s Low-Cost Manufacturing Advantage
January 6, 2014
- Lu Ting, a Hong Kong-based economist for Bank of America, told Bloomberg News that he expected a wage growth of 11% this year after an estimated 10.7% gain in 2013. Meanwhile, analysts at JPMorgan and Mizuho Securities forecast 10% to 15% increases in wages in the world’s second-largest economy. Minimum-wage hikes announced so far for 2014 would see workers in Shenzhen, in Guangdong province, take home 13% more, or 1,808 yuan a month starting February. Elsewhere, in Yangzhou, Jiangsu province, wages have been increased by 15.6%.
China forex reserves hit 3.95 trln U.S. dollars
- BEIJING, April 15 (Xinhua) — The People’s Bank of China (PBOC) said on Tuesday that China’s foreign exchange reserves hit 3.95 trillion U.S. dollars at the end of March. The figure was 130 billion U.S. dollars more than that at the end of 2013, according to the bank. Growth of China’s foreign exchange reserves got back on the fast track in 2013. The country’s foreign exchange reserves hit 3.82 trillion U.S. dollars at the end of 2013, up 509.7 billion U.S. dollars from that at the end of 2012.
China Gold Demand Rising 25% by 2017 as Buyers Get Wealthier
Apr 15, 2014
- Gold demand in China, which overtook India as the largest user last year, will rise about 25 percent in the next four years as an increasing population gets wealthier, according to the World Gold Council. Consumer demand will expand to at least 1,350 metric tons by 2017, the London-based council said in a report today. Growth may be limited this year after 2013’s price decline spurred consumers to do more buying last year, it said. China accounted for about 28 percent of global usage last year, the council estimated in February.
China ‘has more gold than official figures show’
09 Apr 2014
- China could be holding even more gold than previously realised, according to Alasdair Macleod, a researcher at online precious metals trader, GoldMoney. Official figures from China Gold Association (CGA) show that the Asian superpower consumed 1,176 tonnes of gold in 2013, 41pc higher than in 2012. However, about 500 tonnes of gold from Chinese mines and scrap is unaccounted for by the CGA.
Xinhua Insight: “Made in China” climbs global value chain
- “When HuagongTech was founded in 1999, we had to import core components from Western countries,” Ma Xinqiang, head of the company, told Xinhua on the sidelines of the ongoing session of the national legislature. “After we stepped up investment in innovation and talent, our lasers broke foreign dominance and now boast a global reputation,” said Ma. HuagongTech’s ultraviolet lasers have been chosen by global names like Samsung and Microsoft. The company is now doing business in more than 40 countries and regions. Lenovo took over Motorola’s handset unit in January, nearly a decade after buying IBM’s ThinkPad business. The world’s largest PC producer is expected to become the world’s No. 3 smartphone maker. The U.S. magazine Fast Company put China’s smartphone maker Xiaomi third on a list of the world’s most innovative companies, for “reinventing the smartphone business model in the world’s largest mobile market.” Of the magazine’s top 10 for China alone, nine companies are engaged in IT, biotechnology and high-end manufacturing. Fast Company said Chinese enterprises are ahead of the field in spheres such as wearable tech, smartphones and mobile Internet.
No hard landing for Chinese economy, says IMF chief
April 04 2014
- China will see reduced growth, but there will be no hard landing for the world’s second-largest economy, International Monetary Fund (IMF) managing director Christine Lagarde has said. “If it was a hard landing, it would be a problem. But we don’t see a hard landing. We see slightly reduced growth, sustainable and (of) better quality,” she said. She noted the Chinese economy has diversified such that its engine is not purely driven by exports. “(It is) gradually roaring on three cylinders rather than one or two – by that I mean not only exports, but exports, investment and consumption – it’s only natural that the economy would slow down a little bit.”
Intel to launch $100M China fund for smart devices
April 1, 2014
- Intel has launched a $100 million fund in China to accelerate innovation of smart devices, as it seeks to spur development of newfangled products using its chips. The fund hopes to get Chinese companies to develop Intel-based 2-in-1 hybrids (tablet-laptop), tablets, smartphones, wearables, and the Internet of Things. Since 1998, Intel Capital has invested more than $670 million in 110 companies in China. “The China technology ecosystem will be instrumental in the transformation of computing,” Krzanich said in a statement.
ZTE is number 2 in world intellectual property organization patent table
21 Mar 2014
- ZTE Corporation has retained its top-2 ranking in the World Intellectual Property Organization’s latest annual table of patent applicants. It strengthens the company’s position as one of the world’s leading technology innovators. With 2,309 filings under the Patent Cooperation Treaty (“PCT”), ZTE was No. 2 in WIPO’s table of patent applicants in 2013, behind only Panasonic Corp. ZTE ranked No. 1 in both 2011 and 2012. “ZTE’s growing portfolio of intellectual property assets is providing strong support to the company’s development of new technologies,” said Guo Xiaoming, Chief Legal Officer at ZTE. “PCT patents are the most valuable IP assets of a company. ZTE is committing tremendous resources to patent applications, as the company seeks to play a leading role in the global technology industry by shaping the development of essential underlying technologies”.
Six charts that show why China is competing with the multinationals it used to work for
March 13, 2014
China 2013 foreign investment inflows hit record high
Jan 16, 2014
- (Reuters) – China attracted a record $117.6 billion in foreign direct investment (FDI) in 2013, underlining investors’ confidence that the world’s second-largest economy can keep growing at a solid pace while retooling its growth model. The Commerce Ministry said on Thursday that China’s total FDI rose 5.3 percent in 2013 from a year earlier. December’s inflows climbed 3.3 percent from a year earlier to $12.1 billion, extending an upward trend seen since March 2013.
Perenna Kei ‘youngest billionaire’ on Forbes ‘world’s richest person’ list
March 4, 2014
- Perenna Kei has been reportedly ranked as the ‘youngest billionaire’ on Forbes’ annual list of billionaires of the world. 24-year-old Kei, is the 85 percent shareholder and non-executive director of Chinese real estate giant Logan Properties, headquartered in the southern Chinese city of Shenzhen. According to the Sydney Morning Herald, her total worth is of 1.3 billion dollars and has displaced former Facebook co-founder Dustin Moskovitz as the youngest billionaire.
China minting billionaires at ‘phenomenal’ rate: Forbes
3 Mar 2014
- China’s prominence on Forbes magazine’s hotly watched annual rich list is one of the strongest trends this year, editor Randall Lane told CNBC on Tuesday. China registered a record 152 billionaires in the 2014 list, up near 25 percent from 122 last year, while Hong Kong clocked up 45, said Forbes. “That’s probably the biggest trend coming out of here… we had a little over 30 newcomers just from mainland China,” said Lane. “Twenty years ago it was pretty much zero so the growth out of China has been phenomenal and it’s increasing every year,” he added.
Yuan can become dominant world reserve currency – survey
February 27, 2014
- The Chinese yuan can overtake the dollar as the leading international reserve currency, a new poll of institutional investors indicates. The authors of the survey, conducted by the Economist Intelligence Unit and commissioned by State Street financial services, polled 200 senior executives at institutional investors with knowledge of their exposure to yuan assets. Half of the respondents were from the firms headquartered in mainland China (including Hong Kong and Taiwan) and the other half were based elsewhere. A majority – 53 percent of respondents said that they believe the yuan will one day surpass the dollar as the top currency in international holdings of foreign-exchange reserves. In China 62 percent expressed this opinion, compared to 43 percent of respondents outside the country. http://i.imgur.com/IWN8UWi.jpg
Chinese billionaires ranks growing
- The super-rich grow more numerous in China. The country now has 358 billionaires, according to the just-released Hurun Global Rich List. That puts China second only to the United States in numbers of billionaires. Of that total 87 have senior political links, being members of powerful bodies that take major political and economical decisions.
Average Chinese Getting Richer
- On Monday, the National Bureau of Statistics (NBS) reported a blend of urban and rural household income stats that showed per capita disposable income rose 10.9% to $2,993, or around 18,311 yuan of extra cash floating around people’s houses. Disposable income of China’s urban residents increased 9.7% annually to 26,955 yuan while disposable income for lower income rural residents rose 12.4% to 8,896 yuan, according to NBS. China’s gross domestic product grew 7.7% to 56.88 trillion yuan last year, but its relatively low national income keeps it an emerging economy. Per capita GDP gained 7.3% however to 66,199 yuan last year, NBS said. That’s around $10,960 a year, enough to make it an upper middle income country by World Bank standards.
The Rise of China’s Innovation Machine
Jan. 16, 2014
- China has long been the factory floor that churns out popular gadgets for companies world-wide, but the country’s own technology products were rarely viewed as leading edge. Now, that is beginning to change. Increasingly, China’s own technology companies are challenging market leaders and setting trends in telecommunications, mobile devices and online services.
Lenovo to buy Google’s Motorola in China’s largest tech deal
Jan 29, 2014
- (Reuters) – Lenovo Group said on Wednesday it agreed to buy Google Inc’s Motorola handset division for $2.91 billion, in what is China’s largest-ever tech deal as Lenovo buys its way into a heavily competitive U.S. handset market dominated by Apple Inc. It is Lenovo’s second major deal on U.S. soil in a week as the Chinese electronics company angles to get a foothold in major global computing markets. Lenovo last week said it would buy IBM’s low-end server business for $2.3 billion.
China’s forex reserves reach 3.82 trillion USD
- BEIJING, Jan. 15 (Xinhua) — China’s foreign exchange reserves rose to 3.82 trillion U.S. dollars at the end of 2013, 509.7 billion U.S. dollars more than a year earlier, the People’s Bank of China, the central bank, said on Wednesday. Growth of the nation’s foreign exchange reserves was back on the fast track in 2013 with a quarterly increase of around 160 billion U.S. dollars for both the third and fourth quarter.
China Has Gone From Making The World’s Stuff To Buying It
Jan. 26, 2014
- For the better part of 20 years, China has been the world’s factory, and its low labor costs have helped tamp down inflation in developed nations by allowing them to import cheap, Chinese-made goods. The torrent of foreign direct investment (FDI) that flowed into mainland China—some $900 billion since 1990, according to United Nations data—helped finance factories along the southeastern coast that slaked the global thirst for inexpensive goods. It also underpinned phenomenal economic growth. The country’s GDP grew from $357 billion in 1990 to $9.3 trillion last year, a nearly thirty-fold increase in a single generation. But that growth also spurred deep social changes. Millions migrated from inland, rural provinces to coastal cities in search of manufacturing jobs, and some 300 million Chinese vaulted into the middle class. The net result: China’s days as the world’s low-cost factory are numbered. They’re going to be buyers now.
Chinese Universities Become More Attractive For Budding Fortune 500 CEOs
September 06 2013
- Many of China’s colleges and universities are becoming increasingly competitive, and according to a British study, they are attracting global talent and putting themselves on a global map of top institutions that’s been long dominated by American universities. A new study by British-based Times Higher Education has ranked the world’s univerisities using the Alma Mater Index, which charts the number of global CEOs a given institution has produced. Boston-based Harvard University unsurprisingly tops the list with 25 graduates who are on Fortune magazine’s Global 500 CEOs list. However, climbing the list of CEO-producing universities were 15 mainland-China institutions and one Hong Kong university. The highest-ranking Chinese institution, Beijing-based Tsinghua University, was number 13 on the list, with seven top CEOs. One big draw: its competitive joint MBA program with the Massachusetts Institute of Technology.
China’s yuan cracks world’s Top 10 most-traded currencies
September 6, 2013
- HONG KONG — China’s yuan has joined the ranks of the most traded currencies for the first time, underlining the growing might of the country’s economy, the world’s second-largest. The yuan became one of the top 10 traded currencies in 2013, rising to No. 9 on the list due to a “significant expansion” in offshore trading, the Bank for International Settlements said in a report Thursday. It’s a sharp jump from the bank’s last survey in 2010, when the yuan, also known as the renminbi, was No. 17 on the list.
Half of the world’s self-made women billionaires are from China
September 17, 2013
- Half of the world’s female billionaires who made their own fortunes are Chinese. That’s according to a global ranking of women executives released today (Sept. 17). In the Hurun Report’s list of rich and powerful women (link in Chinese) of the year, 14 of the 28 female entrepreneurs with assets of more than $1 billion (as of Aug. 15) were from mainland China. That’s notable given China’s long history of gender discrimination. At the top of the list is Chen Lihua, 72, of the real estate firm Fu Wah, whose fortune of 37 billion renminbi (about $6 billion) outpaces that of the recently deceased Rosalia Mera, head of Inditex who was regarded as the richest self-made female entrepreneur in the world when she died. According to the Hurun list, Wu Yajun, 49, a former journalist and founder of the real estate firm Longfor; Zhang Yin, 56, who buys and ships scrap paper from the US to China; and Zhang Xin, 48 of real estate developer Soho China, are all wealthier than Oprah Winfrey.
2% of China’s public consumes one-third of world’s luxury goods
- According to China’s official population clock, there are an estimated 1,359,025,970 people in China as of Sept. 26, with just 2% of that number — some 27,180,519 people — consuming one third of the world’s luxury items. The 2% are the backbone of the global luxury goods sales and the target of hundreds of international brand names, the Chinese-language Money Week magazine reports. Although the huge majority of China’s population is unable to purchase luxury items, as the country’s economy grows so will its market, the magazine said. Research institutions have predicted that in the next three to five years, the role of the Asia-Pacific region in the global luxury markets will become even more transparent, especially in China.
The Rise Of Self-Made Billionaire Entrepreneurs In China, And What It Means For The Future Of Chinese Corporations
- Anyone who has followed China’s business billionaire lists in recent years will probably have noticed an encouraging trend: self-made entrepreneurs are climbing the charts. Six out of the ten billionaires topping this year’s list are genuine entrepreneurs. Baidu’s CEO Robin Li, number three in this year’s Forbes China Rich list, is a case in point. He made his billions by building a pioneer company in China’s brutal Internet market, where most companies fail to monetize their business model. Baidu’s revenues have been growing by leaps and bounds; reaching $4.17B in 2013, up from $515 million in 2008. Most notably, revenues come from several sources: Internet search, video stream (iQiyi), online travel services, online recruitment, and online payment systems (BaiduPai).
New survey claims key measure of income gap has slightly improved, but earlier studies suggest the problem could be getting worse
19 July, 2013
- Wealth inequality in China is still high compared with most developed countries but the gap is slowly narrowing, a new survey has found. China’s Gini coefficient of income inequality was 0.49 last year, slightly down from 0.51 in 2010, according to the China Development Report on People’s Livelihood 2013 based on the China Family Panel Studies.
China’s Economic Empire
June 1, 2013
- HONG KONG — THE combination of a strong, rising China and economic stagnation in Europe and America is making the West increasingly uncomfortable. While China is not taking over the world militarily, it seems to be steadily taking it over commercially. In just the past week, Chinese companies and investors have sought to buy two iconic Western companies, Smithfield Foods, the American pork producer, and Club Med, the French resort company. Europeans and Americans tend to fret over Beijing’s assertiveness in the South China Sea, its territorial disputes with Japan, and cyberattacks on Western firms, but all of this is much less important than a phenomenon that is less visible but more disturbing: the aggressive worldwide push of Chinese state capitalism. By buying companies, exploiting natural resources, building infrastructure and giving loans all over the world, China is pursuing a soft but unstoppable form of economic domination. Beijing’s essentially unlimited financial resources allow the country to be a game-changing force in both the developed and developing world, one that threatens to obliterate the competitive edge of Western firms, kill jobs in Europe and America and blunt criticism of human rights abuses in China. Ultimately, thanks to the deposits of over a billion Chinese savers, China Inc. has been able to acquire strategic assets worldwide. This is possible because those deposits are financially repressed — savers receive negative returns because of interest rates below the inflation rate and strict capital controls that prevent savers from investing their money in more profitable investments abroad. Consequently, the Chinese government now controls oil and gas pipelines from Turkmenistan to China and from South Sudan to the Red Sea.
China to be high-income country in 10 years
September 23, 2011
- World Bank President Robert Zoellick recently said that the bank will draw on its own experience to help China adjust its economic growth model, stave off a “middle income trap” and evolve into a high-income country. The term “middle income trap” refers to a situation in which per capita income in one country ranges from 3,000 U.S. dollars to 6,000 U.S dollars during a period. Many previously hidden problems have then erupted, and countries have reached a bottleneck in improving their development mechanisms, thereby entering a period of stagnant productivity and income growth. Many countries have experienced such a stage of slow or even stagnant economic growth.
China no longer reliant on satellite image imports
- BEIJING, Jan. 9 (Xinhua) — China’s first high-resolution, stereo mapping satellite Ziyuan III meets international standards, ridding the country of its reliance on imports of satellite images. It was announced at a seminar reviewing the research and development of Ziyuan III held on Wednesday, one year after the satellite was launched. China used to import over 90 percent of its remote-sensing data, according to the seminar.
China Apocalypse Investors Wrong Again
- China may be slowing down from its heyday of double digit growth, but that has not stopped the country’s appetite for commodities. The China hard landing Apocalypse investors out there were as right as the 12-21-12 end timers. Everything from soybeans to aluminum have seen record levels of imports in 2012. And that means 2012 will go down as one of the strongest ever for China’s commodity imports despite year-long overblown narratives of a China hard landing.
China finds 5 bln tonnes of oil in 2008-2011 survey
- BEIJING, Dec. 25 (Xinhua) — China has made key progress in finding and protecting mining resources in recent years, according to a recent report on land administration and mining resources. Some 5.01 billion tonnes of petroleum reserves, 2.6 trillion cubic meters of natural gas and 279.8 billion tonnes of coal were discovered between 2008 and 2011 in a large-scale geological survey, said Xu Shaoshi, minister of land and resources.
Large uranium mine found in north China
- BEIJING, Nov. 4 (Xinhua) — A large leaching sandstone-type uranium deposit has been discovered in China’s northern regions, according to an announcement by the Ministry of Land and Resources on Sunday. The mine, ranking as the country’s largest leaching sandstone-type uranium deposit identified so far, was found in Daying areas in central Inner Mongolia Autonomous Region, the ministry said. The discovery, which makes the site one of the world’s top uranium mines, has great significance for boosting domestic uranium supplies and ensuring energy sources for developing nuclear power, the ministry said, without elaborating on the mine’s size.
BYD sells electric cars to London taxi service firm
- Chinese automaker BYD Auto Co Ltd, which is backed by US business magnate Warren Buffett, will supply 50 electric cars to London taxi firm greentomatocars under an agreement signed on Wednesday.
China’s Haimo seals US shale gas stake
- BEIJING — Lanzhou Haimo Technologies Co said on Friday that its subsidiary Haimo Oil & Gas LLC will buy a 14.29-percent stake in Houston-based Carrizo Oil & Gas’s Niobrara shale oil and gas assets in Colorado for $27.5 million. Under the agreement signed between Haimo and Carrizo, the Chinese company will acquire around 6,000 acres located primarily in Weld and Adams Counties in Colorado as well as associated infrastructure, including oil and gas wells, according to a statement filed to the Shanghai Stock Exchange.
China overtakes US as leading FDI destination
- China has surpassed the United States for the first time since 2003 as the world’s largest recipient of global foreign direct investment in the first half of 2012, showing that global investors are still confident in the world’s second-largest economy despite its economic slowdown. http://i.imgur.com/JEqmTmb.jpg
Outbound investment jumps 48% in 1st half
July 23, 2012
- “The complexity of the external economic environment has posed serious challenges to China’s foreign trade and economic development,” Chen said. “However, Chinese companies are ‘going out’ at a faster pace. They’ve spent US$35.4 billion in overseas ventures in the first half year, up 48 percent from the same period last year, among which transnational mergers and acquisitions accounted for one third of the total outbound investment.
Chinese Firm to Buy Hawker Beechcraft
Jul. 09, 2012
- Struggling aircraft maker Hawker Beechcraft announced Monday that it had reached a US$1.79 billion “exclusivity agreement” with a Chinese aerospace manufacturer for the sale of its business jet and general aviation operations in a deal that will save thousands of jobs in Kansas and Arkansas. Under the agreement Beijing-based aerospace manufacturer Superior Aviation Beijing Co., Ltd., will buy Hawker Beechcraft and make payments over the next six weeks to support ongoing operations until the deal is finalized. The sale does not include Hawker Beechcraft Defense Co., which will remain a separate entity.
Huge investment in ‘green’ projects
May 22, 2012
- China will invest more than 2 trillion yuan ($316 billion) in promoting energy-saving and low-carbon projects during the 12th Five-Year Plan period (2011-15), Xie Zhenhua, vice-minister of the National Development and Reform Commission, said. The country has set a goal of reducing its energy intensity by 16 percent and carbon intensity by 17 percent during the same period.
JV to build US$1b plant
- SEMICONDUCTOR Manufacturing International Corp and Beijing’s city government will form a joint venture for the construction of a highly-advanced US$1 billion chip factory in the capital, the Chinese mainland’s biggest chip maker said yesterday. Although SMIC and the Beijing government didn’t reveal investment details of the company’s second-phase wafer plant, analysts estimated it will be at least US$1 billion.
China looks to increase sales of its high-end equipment
- BEIJING, May 7 (Xinhua) — China will boost sales of its high-end equipment to over 6 trillion yuan (953.9 billion U.S. dollars) per year by 2015, the Ministry of Industry and Information Technology (MIIT) said Monday. That would amount to more than one-third of the current total output of China’s machinery industry, which reached 16.9 trillion yuan in 2011, according to data from the China Machinery Industry Federation. High-end equipment manufacturing will see its sales account for 15 percent of that of the entire equipment manufacturing industry by 2015 and take a much larger share of the international market, the MIIT said in a five-year plan for the industry for the 2011-2015 period.
XCMG to acquire German concrete pump maker
- Xuzhou Construction Machinery Group (XCMG) has agreed to acquire a major stake in Schwing, the second largest concrete pump manufacturer in Germany, Schwing announced on Thursday. XCMG chairman Wang Min did not reveal the exact amount of the acquisition, but said in a subsequent announcement that Schwing’s German management team will keep their positions after the purchase, expected to be completed in the next two weeks. The Schwing announcement came one day after SANY Heavy Industry Co Ltd completed the acquisition of the top German pump maker Putzmeister Holding GmbH for 324 million euros ($425.6 milliion).
136 Chinese companies make Forbes list
April 20, 2012
- The most recent Forbes list, which ranks 2,000 large global enterprises, includes 136 Chinese companies, making China Asia’s second-largest contributor to the list, behind Japan. The list was compiled on the basis of companies’ sales, profits, assets and market value. U.S. company ExxonMobil was ranked first on the list. The U.S. also has the most companies on the list, with 543, followed by Japan and China with 258 and 136 respectively. The magazine said that the number of Asia-Pacific region companies making the list increased by 32 to 733 this year, largely due to the positive progress made by Chinese and Korean enterprises.
China’s ‘homegrown’ airliner ready for export in 2016
March 8, 2012
- China’s own C919 commercial airliner, domestically produced, will be ready for export to overseas markets starting in 2016, after two years of test flights, said Wu Guanghui, the chief designer. Wu, deputy general manager of the Commercial Aircraft Corporation of China and a member of the Chinese People’s Political Consultative Conference National Committee, said the company had already received orders from the United States and Singapore, bringing the total number of domestic and overseas orders to 235. “The first plane will be off the assembly line as early as next year. Production on a much larger scale will take place in 2016, after two years of test flights,” Wu said.
China’s Foxconn buys big stake in Japanese tech giant
March 27, 2012
- Tokyo In another sign of Chinese manufacturing’s ascent as Japan struggles, the Taiwanese giant Foxconn will become the largest shareholder in Sharp, a former exemplar of Japan’s electronics empire that has lately fallen on hard times. Besides giving Sharp a much needed injection of money, the Foxconn deal, announced here Tuesday, will aim to help the Japanese company restore profitability to its TV manufacturing and liquid crystal display businesses. Sharp is a big maker of flat-panel television sets and still considered an innovator in liquid crystal display, or LCD, technology. But the company is hemorrhaging money. And, like its compatriots Sony and Panasonic, Sharp has lost ground to more nimble South Korean companies like Samsung and LG.
Top Chinese video sites Youku and Tudou to merge in $1B deal
March 12, 2012
- The top two online-video sites in China, Youku and Tudou, are merging into one super-company that will be called Youku Tudou Inc. The YouTube-esque companies are traded on the NADSAQ as YOKU and TUDO, and will retain separate brand identities. The deal, worth around $1 billion, has already caused the two stocks to skyrocket. Tudou‘s stock was up around 155 percent, and Youku was up 28 percent.
China’s changing manufacturing industry
Jul. 22, 2011
Deals of the day — mergers and acquisitions
Mar 23, 2012
- State-owned XCMG Group, whose sales at 87 billion yuan ($13.8 billion)were about a quarter of Caterpillar’s last year, clinched two European acquisitions in 2011 and has said it is seeking bigger overseas assets to power its sales target of 300 billion yuan a year in 2015 and a goal of becoming the world’s No.3. Chinese media have reported it may buy a stake in German concrete-pump maker Schwing GmbH, although an XCMG spokesman declined to comment. And German banking sources told Reuters a Chinese company is interested in Schwing, with one saying “it could be a deal like Putzmeister”. UPDATE ** China’s XCMG is finalizing a deal to invest in privately held German machinery manufacturer Schwing, three sources close to the process said, as Chinese companies race to get their hands on German industrial know-how.
China’s Lingyun acquires German car-lock maker Kiekert
- BEIJING, March 13 (Xinhua) — Chinese auto parts manufacturer Lingyun Industrial Group said Tuesday that it has acquired German car-lock maker Kiekert with a controlling stake of 55 percent. The remaining 45 percent of Kiekert’s equity is held by two other Chinese companies, according to a press release issued by Lingyun at the agreement’s signing ceremony. The agreement will promote the entrance of Chinese companies into the high-end auto parts market and allow them to compete globally, the press release said.
GE: China now 3rd most innovative country
- NEW YORK – General Electric Thursday unveils the results of its “2013 Global Innovation Barometer,” with China moving up to the third most innovative country, surpassing Japan for the first time. The report showed that while business executives continue to value innovation as a strategic priority, one in three respondents are concerned about their ability to maintain competitiveness in a faster paced, more globalized and resource-constrained environment.
Solar Stocks Rise as China Firm Makes Acquisition
03 Jan 2012
- Solar stocks gained after LDK Solar Co., China’s second-largest panel maker, agreed to buy Sunways AG of Germany, the first acquisition by a Chinese solar company in the world’s largest photovoltaic market. Bloomberg Global Leaders Solar Index of 37 companies rose 3.7 percent, the most in two weeks, led by a 7.9 percent gain in Hanwha SolarOne Co. LDK offered to purchase Sunways, a solar-cell and module maker, for about 24.2 million euros ($31.4 million). A record 7,400 megawatts of solar capacity was installed in Germany in 2010. The two companies said Monday the deal is expected to close by the end of the first quarter.
Liugong Machinery Completes Acqusition Of HSW
February 1, 2012
- February 1 — Guangxi Liugong Machinery (000528) signed a contract with Poland’s Huta Stalowa Wola (HSW) on January 31 to acquire its construction machinery unit for 170 millionzloty (about 335 million yuan), reports Securities Daily, citing a company filing. Through the acquisition, Liugong Machinery will own all the intellectual properties and trademarks of HSW’s construction machinery unit, and be able to set up plants and research and development bases in Poland. In addition, Liugong Machinery will be able to sell its products directly to Europe and North America through this unit.
Chinese manufacturing company buys Ferretti Group
- JINAN, Jan. 10 (Xinhua) — A manufacturing company from east China’s Shandong Province will buy Italian luxury yachtmaker Ferretti Group, according to an agreement the two firms reached on Tuesday in the provincial capital of Jinan. The Weichai Holding Group Co., Ltd., a subsidiary of Shandong Heavy Industry Co., Ltd., will pay 374 million euros (292.7 million U.S. dollars) for a 75-percent stake in the Ferretti Group, which is restructuring its assets. Ferretti is a world leader in the design, construction and sale of yachts, with a portfolio of prestigious brands.
Sany to take over German firm Putzmeister
- BEIJING – China’s construction equipment giant Sany Heavy Industry is to take over Putzmeister, a German engineering firm, in a 360-million-euro deal, the company said in a statement posted on Shanghai Stock Exchange’s website Monday. According to the statement, Sany’s wholly-owned subsidiary Sany Germany GmbH will pay 324 million euros to own 90 percent of Putzmeister’s shares. The remaining 10 percent would be purchased by China’s CITIC Funds, said the document, endorsed by all 12 board members who attended the company’s executive board meeting on Jan 20.
China yuan could be reserve currency with reform: IMF
Mar 18, 2012
- (Reuters) – China’s yuan could become a reserve currency in future if the country undertakes further economic reform, International Monetary Fund managing director, Christine Lagarde, said in a speech on Sunday. The IMF chief, speaking to a gathering of leading Chinese policymakers and global business leaders, added that China needed a roadmap for a stronger, more flexible exchange rate system. China operates a closed capital account system and its yuan currency is tightly controlled, although Beijing has said it wants to increase the international use of the yuan to settle cross border trade and has undertaken a series of reforms in recent years to that end.