Chinese Economics Thread

[tphuang]

Please, Log in or Register to view URLs content!

This export control measure is likely intended to complement the rare earth control policy announced earlier today.

it would be better if you can keep this stuff in the same thread as the science and technology post that I already put in.

 

[Nevermore]

it would be better if you can keep this stuff in the same thread as the science and technology post that I already put in.

Sorry, I don't know how to move posts, and I wasn't sure whether to post this in the China Economy, Electric Vehicles, or Technology sections.

 

[Wrought]

Long overdue law for personal bankruptcy will reduce risks for entrepreneurs.

In early September, the Standing Committee of the National People's Congress began deliberations on amending the country's corporate bankruptcy law. One proposal would create a liquidation provision for owners who are jointly and severally liable for the total debts of bankrupt companies. The government wants input from the business community, aiming for swift enactment. Though a personal bankruptcy system has been introduced in select regions like the city of Shenzhen, this would be the first nationwide system.

When Chinese financial institutions lend money to startups and other small businesses, they usually hold individual owners jointly and severally liable. China's corporate bankruptcy law, enacted in 2007, applies only to corporations. Entrepreneurs whose businesses failed have been left responsible for huge debts they could not pay off, making it difficult for them to start new businesses.

Please, Log in or Register to view URLs content!

 

[Chevalier]

Long overdue law for personal bankruptcy will reduce risks for entrepreneurs.

Please, Log in or Register to view URLs content!

Still, “entrepreneurs” who tried to become too big to fail to get the state to subsidies their business as was the case with Evergrande, should still be liable for the debts incurred. It was just for the state to force the head of ever grande to sell his personal assets to make up for the shortfall and complete the homes already bought and paid for

 

[Nevermore]

Long overdue law for personal bankruptcy will reduce risks for entrepreneurs.

Please, Log in or Register to view URLs content!

I hope the government will enact strict laws to prevent corporate financial fraud. In the past, I've seen some individuals who exploit legal loopholes to take on debts for others.

 

[Wrought]

Some good news from Mexico, which has delayed its new tariffs pending discussions. Revisions are likely to lower the initially proposed rates.

MEXICO CITY, Oct 9 (Reuters) - Mexico's Congress will hold off approving proposed tariff hikes on nearly 1,500 products from China and other Asian countries while Mexico holds talks with those countries and considers changes to the proposal, President Claudia Sheinbaum said on Thursday. Sheinbaum sent the proposal - which seeks to increase tariffs by up to 50% on cars, textiles, clothing, plastics, steel, and other products - in early September to the lower house of Congress, where her Morena Party holds a large majority.

Her comments came a day after Ricardo Monreal, leader of Morena in the Chamber of Deputies, told reporters that Congress would "pause" the proposal for now and pick it up again at the end of November. “We are reviewing the proposal very seriously,” he said. Morena legislators, who spoke on condition of anonymity, told Reuters the tariffs would not be approved by Congress in their current form and that the plan would likely have to be softened.

Please, Log in or Register to view URLs content!