Chinese Economics Thread

[SimaQian]

On the other under rated, boring, less interesting but literal powerful news,
China just added another 6 GW of clean power and transmitted underground across
Yangtze river becoming the first of its kind 1,000-kilovolt (kV) gas-insulated lines (GIL) laid in the Sutong tunnel to transmit clean energy from West to East China.

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[Tam]

That's suppose to be the case.

That's going to add inflationary pressure, and costs will be passed to the US consumer.

 

[xiabonan]

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This is an example how US corporations will skirt around the US's trade war with China. China is still a great place to outsource for US companies. Teslas can be the same price as in China and the US but they make more profit from the ones made in China. I'm sure Trump if he wins a second term will try to prevent that from happening. Can he tax cars that don't touch the US at all? Just like he wrongfully thought the US made billions in tariffs on Singles Day in China? I'm sure he can punish US corporations in some way but then those companies will soon not be US companies. It will be the end of the US because it will no longer be capitalism.

Biden is talking about a 10% tax on any US company that outsources and then tries to sell it in the US. In other words a 10% tariff without the bull. They're saying Biden is talking about China without saying it. Now will that be on top of what the US already has on China because of Trump? Good luck with that since the media is reporting that Biden will most likely keep Trump's tariffs on China. The news is reporting now how Trump trade war is a failure in assessing his running for a second term. Most likely it means he's planning to retract Trump's tariffs on the most part because they ain't working now and everyone except Trump say the Americans consumer pays the tariff so why add 10% on top of it. Trump could've just said it was a tax on imports but he wanted to send a message to China to which China had to retaliate. I think the world would've been a much more calmer place if Trump said it was a tax on Americans companies that import.

There's a simple solution to this problem.

Companies in the future will just produce in China and sell to non-US markets especially Asian markets. Then produce in the US for US only if it makes commercial sense. Otherwise even if with the tariffs companies will continue to export to the US from China.

 

[caudaceus]

That's going to add inflationary pressure, and costs will be passed to the US consumer.

Read somewhere that they also try to raise the minimum wage to $15 and UBI might also gained interest.

 

[Anlsvrthng]

That's going to add inflationary pressure, and costs will be passed to the US consumer.

Import stuff represents minor part in the consumer basket.

Gives only insignificant boost to the inflation.

And most importantly, if the consumer won't get more money then he can't inflate, because all that happens just a rebalancing of basket.

 

[emblem21]

It seems that China is up to something in regards to preparing for the next global crash in terms of supplies and capital. If China can see the writing on the wall, then if the USA fails to begin preparing for the future right now and given that the USA has failed to deal with the pandemic along with unemployment of well over 50+million that has to be feed by food banks (putting huge pressure on the food banks in the nation), China simply has to wait for another 2 months for the next economic crash so that they can use those stockpiles as barter for important goods and such. Who knows, they could end up buying up tech firms in the USA outright given that a crash in the USA would kill off most of these tech firms unless someone with real money saves them. While its true that the USA is hitting China with sanctions and the like, they completely fail to see the true danger they are already in, with there economy down, unemployment up like crazy, social unrest and the leadership outright getting his people killed, this will benefit China in that they have an excuse that when shit hits the fan, they won't have anyone to save them this time as there is no incentive to do so

 

[localizer]

It seems that China is up to something in regards to preparing for the next global crash in terms of supplies and capital. If China can see the writing on the wall, then if the USA fails to begin preparing for the future right now and given that the USA has failed to deal with the pandemic along with unemployment of well over 50+million that has to be feed by food banks (putting huge pressure on the food banks in the nation), China simply has to wait for another 2 months for the next economic crash so that they can use those stockpiles as barter for important goods and such. Who knows, they could end up buying up tech firms in the USA outright given that a crash in the USA would kill off most of these tech firms unless someone with real money saves them. While its true that the USA is hitting China with sanctions and the like, they completely fail to see the true danger they are already in, with there economy down, unemployment up like crazy, social unrest and the leadership outright getting his people killed, this will benefit China in that they have an excuse that when shit hits the fan, they won't have anyone to save them this time as there is no incentive to do so

Don't watch those click bait bullshit. It's like gordon chang, but for a "global collapse"

 

[emblem21]

Don't watch those click bait bullshit. It's like gordon chang, but for a "global collapse"

True, I should be careful, but still with the USA economy in the shit and with China's on the rise proven by numbers, I am interested to see what the implications are given that my wife did mention that Chinese government has already been stockpile goods for many years now given Chinese tendency to buy up lands and important assets around the world, I won't be surprised that if an economic crisis really did hit the whole, China would be prepared well in advance to come out swinging just like with this trade war and pandemic

 

[AssassinsMace]

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What makes Iron ore any different from soybeans? It's not rare and there are other sources. Yeah that's why Western countries are worried over China's Belt and Road. The more other countries get their economies going, the less power and money for them. It's the same as when Obama rang the alarms bells over Made in China 2025. Western countries were worried that if China developed domestic sources of technology, China wouldn't be buying from them. They don't want others getting into the game so that they can make all the money.

 

[Deleted member 15887]

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good piece by Professor Lu Ming on China's foolish urban population control measures. If China wants a successful dual-circulation strategy, its going to need Shanghai, Beijing, and the PRD to rapidly grow demographically. Keeping the country divided in small cities and towns is such a dumb move, I hope the Politburo drops it and embraces megacities.