Chinese Economics Thread

[muddie]

The service sector in China would most likely still need to grow and take up a larger part of the GDP pie, but I think after COVID Chinese policy makers will want to keep key supply chains in China or at least Chinese friendly countries.

Had the tables been turned and it was China who needed medical supplies from the U.S. you can bet the West would have capitalized on this opportunity to take advantage of the situation.

 

[Deleted member 15887]

Had the tables been turned and it was China who needed medical supplies from the U.S. you can bet the West would have capitalized on this opportunity to take advantage of the situation.

exactly! I cannot fathom why some posters here want China to move these supply chains out. Do they not understand how self-harming that is?

 

[horse]

exactly! I cannot fathom why some posters here want China to move these supply chains out. Do they not understand how self-harming that is?

From what I understand, is that local government told the Chinese company to make medical equipment during the Covid-19 outbreak.

So companies started making masks, even though they could be a Chinese company that uses steel in their production, but now they make masks too.

If the foreign countires want these low tech industries inside their own countries, let them go.

At the moment, I do not believe China will run out of these medical equipment anytime soon.

In fact, there is all probability a vast oversupply of PPE because SARS-CoV-2 has been beaten in China.

Donate to Africa.

 

[localizer]

The sign says turn left for Communism, turn right for Capitalism. Which way should I go?” Deng says: “No problem, just signal left and turn right!”.

 

[free_6ix9ine]

Anyhow, what even is the benefit for China to transition to a full-service economy? I still see a lot of Chinese academics and policymakers emphasizing the need to get rid of the manufacturing and become like America, an economy fully dominated by services. But what even the point of doing so? What's the appeal of losing manufacturing from the country? IMO, China should just double down on automating manufacturing to keep its industrial base, growing services but not at the expense of manufacturing. Pursuing foolish de-industrialization for some abstract goal of a service economy, with no real tangible material value, like the West did 40 years ago, would be the biggest mistake China ever makes.

Hell no. Advanced manufacturing is way better than service economy. As illustrated by the Huawei fiasco, we need to be able to build our own stuff especially if it's anything related to technology like chips, aircraft engines, EV batteries, so on.

Low end manufacturing, still good to have. As it helps ensure low unemployment rate.

THe new dual circulation plan is to transition from a low end manufacturing economy to a high end manufacturing economy,aka Germany as opposed to a service economy like America.

 

[Petrolicious88]

US is set to ban major exports from Xinjiang. XinJiang is a major producer of cotton and petroleum by products. 20% of the world’s cotton comes from XinJiang.

US is set to ban cotton and other key exports from Xinjiang. Major apparel companies will be forced to source their cotton from elsewhere.

 

[manqiangrexue]

US is set to ban major exports from Xinjiang. XinJiang is a major producer of cotton and petroleum by products. 20% of the world’s cotton comes from XinJiang.

US is set to ban cotton and other key exports from Xinjiang. Major apparel companies will be forced to source their cotton from elsewhere.

Could you just label Xinjiang cotton as from anywhere in China? How the hell would they prove it's from Xinjiang?

 

[Petrolicious88]

Could you just label Xinjiang cotton as from anywhere in China? How the hell would they prove it's from Xinjiang?

Not sure of the exact mechanism. But US is attempting to label all cottons and other key exports from Xinjiang as “produced under forced labor”.

No doubt trying to sabotage economic growth in XinJiang and promote unrest.

 

[KYli]

Could you just label Xinjiang cotton as from anywhere in China? How the hell would they prove it's from Xinjiang?

80% of cotton in China is produce in Xinjiang. A ban on Xinjiang means a ban on all Chinese cotton.

 

[manqiangrexue]

80% of cotton in China is produce in Xinjiang. A ban on Xinjiang means a ban on all Chinese cotton.

80% isn't 100% but I'm reading now that the US exports cotton to China, pretty much not the other way around. Is this accurate?