Chinese Economics Thread

Yvrch

Junior Member
Registered Member
There are doubts that the chinese government thinks that way. They seem increasingly determined to avoid a crash, including intervening directly in the stock market.

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This crush won't immediately hurt the cash flow of business or individuals yet. But it will burn a big hole in their balance sheet as they have to write down the assets. That's a big no no, even for US, same with Japan. It can hurt real economy really quick.
 

broadsword

Brigadier
There are doubts that the chinese government thinks that way. They seem increasingly determined to avoid a crash, including intervening directly in the stock market.

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What they are doing is too insignificant to have a real effect. The real effect comes when prices have come down enough for bargain hunting to come in, which will in the new week.

But tbh, I was a a little too smug. I should have added caveats. That kind of correction hurts the economy somewhat, but it is only short term, not crippling. The economy is able to walk off it. One thing to note is that the Shanghai Index is more prone to wild swings than more developed exchanges. The trading band over a period of a five years is big in percentage terms. My guess for its trend after the third quarter is optimistic after a volatile ride. So long as the market can rebound, there will always be more winners and losers. But if fails to recover, then it will be mostly losers with their wealth disappearing into oblivion.
 

delft

Brigadier
The most likely reason that chapter was removed is not because of pressure from Beijing, but Berlin and Brussels, as I imagine they are considering a lot of the measures the World Bank was slamming China on themselves to deal with a possible Grexit and the massive uncertainty and volatility that might create for the Euro.

It has always been one set of rules when American and European governments, banks and economies does something, and an altogether different standard for everyone else, especially China. But one can't push one's luck too far. There is only so much BS any spin doctor can sell.
It is certain that China will not have objected because the civil servants of a country help write these essays. So the objections didn't come from Beijing and of course not from Washington so I don't see who else it could have been but Berlin and Brussels. Plawolf's surmise that the Greek situation let to madness in these towns is reasonable. BTW Ambassador Bhadrakumar commented on China's pressure on these towns not to go for Grexit. See
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on July 2,
 

TerraN_EmpirE

Tyrant King
well they need to do something considering
Thu Jul 2, 2015 7:33am EDT
Related:
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Xiaomi books 1H sales fall, putting full-year goal in doubt
BEIJING | BY
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r

People stand near a logo of Xiaomi ahead of the launching ceremony of Xiaomi Phone 4, in Beijing, July 22, 2014. Picture taken July 22, 2014.
REUTERS/JASON LEE

China's top smartphone maker Xiaomi Inc on Thursday reported semi-annual sales that for the first time were lower than the previous six months, jeopardising its full-year target and hinting at a slowdown in its mainstay domestic market.

The firm said it sold 34.7 million handsets in January-June versus 35.0 million in July-December - the first sequential fall since the company began disclosing six-month figures in 2013. For 2015, it aims for minimum sales of 80 million smartphones.

Xiaomi has enjoyed a rapid rise with handsets it touts as cheaper but well-designed alternatives to Apple Inc's (
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) iPhones. That led private investors last year to value the firm at $45 billion, making it China's most valuable startup.

Its latest sales result could be a blip as the firm usually ships more handsets in the second half when it markets more new models, but it has made analysts question whether Xiaomi's expansion abroad is fast enough to counter a slowdown at home.

Smartphone shipments in China - where Xiaomi is No. 1 - fell in the first quarter for the first time in six years, though it was unclear whether the drop signalled the start of a downward trend, researcher IDC said in May.

"Around 90 percent of Xiaomi's shipments are in China, so if in that market it doesn't have high growth, it's going to be very difficult," said Canalys analyst Nicole Peng.

Sales would need to pick up dramatically in the second half of the year to meet Xiaomi's 2015 target sales of between 80 million and 100 million handsets - a target revised from a flat 100 million set last year.

"Even with the China smartphone market slowing down, we did a stellar job of posting a 33 percent growth on last year's numbers," Chief Executive Lei Jun said in a statement on Thursday.

Beijing-based Xiaomi has been expanding overseas to relieve the pressure at home, focusing on India, Southeast Asia and, from next week, Brazil.

But in many emerging markets, Xiaomi has to contend with miscellaneous protectionist measures such as a drive in India to promote local production and high import duties in Brazil, said Canalys' Peng.

That adds to the threat at home and abroad of competition from more established rivals such as Lenovo Group Ltd (
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) and Huawei Technologies Co Ltd HWT.UL, who are showing they can match Xiaomi on features and price, analysts said.



(Additional reporting by Paul Carsten; Editing by Stephen Coates and Christopher Cushing)
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Ultra

Junior Member
Not true or to be precise not acurate.
Linimo, a commuter type maglev train like one that is being built in Beijing has been in operation in outskirts of Nagoya from 2004.


I think I was talking about high-speed maglev....................... not a slowpoke-experimental-proof-of-concept-leftover-from-Expo-turn-commercial that runs at an amazing super fast 100 km/h top speed. ;)

Also, Linimo only opened to public on March 6, 2005. Not 2004 as you stated.
Shanghai Maglev on the other hand started its commercial service on 1 January, 2004; more than a full year before the Linimo. So the statement Shanghai Maglev being the first commerical Maglev train line is accurate.
 
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plawolf

Lieutenant General
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I just read an article last week that said Brazilians were premium-only minded consumers and Xiaomi wouldn't have a chance there.

Western commentators usually have a hundred theories and rationales for why all things Chinese will ultimately fail, and tend to have only two or three counters when the reality turns out to be the polar opposite of what they predicted - that reality is a lie (China manipulating the figures), that China cheats (hacking, currency manipulation or whatever the hell they will lack onto next), or that its all just a temporary façade that will all come crashing down any second now, and keep revising the collapse date back and back every time their old deadline gets passed and nothing bad happens.

There are plenty of amazingly clever people in the west, sadly, they won't get any notice or air time to express their views unless said views fit the party line of the western media.
 

SamuraiBlue

Captain
I think I was talking about high-speed maglev....................... not a slowpoke-experimental-proof-of-concept-leftover-from-Expo-turn-commercial that runs at an amazing super fast 100 km/h top speed. ;)

Also, Linimo only opened to public on March 6, 2005. Not 2004 as you stated.
Shanghai Maglev on the other hand started its commercial service on 1 January, 2004; more than a full year before the Linimo. So the statement Shanghai Maglev being the first commerical Maglev train line is accurate.


ooh boy, talking as if it was developed by yourself.:p
Read my original post, I stated not accurate. If it was stated that it was the only HIGH SPEED commercial maglev, I would have let it slide since it is but in terms of commercially operated maglev, Linimo fits the bill one hundred percent.
As for inaguration date, Linimo started operation before the Expo and was not one of the attractions.
Here is a chart showing how many people utilized the system by year.

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Even if you can't read Japanese you can see that the chart starts from 2004 and the number of people that utilized at that year.
 

SamuraiBlue

Captain
Evidence show China government/industry data are at times untrustworthy, what about the reliability of Japan government/industry data?

Are you talking in general or in particular?
Basically the numbers of ridership is linked directly to revenue which can't be falsified due to banking accounts and taxation. There are various check and balance systems built into financial statement so they are accurate as it can get.
 
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