Chinese Economics Thread

[horse]

If by 2025, dollar declines 20-30%, that's a 20-30% boost in nominal GDP to China.

The RCEP probably will decrease the use of dollars in the long term.

Which currency the RCEP will use for trade within the block, that is never mentioned in American media.

 

[NiuBiDaRen]

View attachment 65966
Saw this reddit comment. @emblem21

I guess all the racist attacks and and full tariffs sanctions on Chinese companies didn’t do dip to white worship. COVID probably didn’t change Chinese mentality. China still has a long way to go.

Did they include black people though? I know rural Chinese people like to take photos of black people, not sure if they would include them in wedding photos though.

I know after covid, a lot of people started viewing white people in China as walking viruses LOL. Weird how things flip around fast

 

[localizer]

Did they include black people though? I know rural Chinese people like to take photos of black people, not sure if they would include them in wedding photos though.

I know after covid, a lot of people started viewing white people in China as walking viruses LOL. Weird how things flip around fast

Idk, I'd take an African immigrant over the trash english teacher any day.

 

[Wangxi]

Vietnam is taking a page out of China's playbook. Vietnam's exports have quadrupled in the last decade. Samsung, Apple and others are moving factories from China to Vietnam. This is natural. And Chinese economy has to move up the value chain.

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[localizer]

Vietnam is taking a page out of China's playbook. Vietnam's exports have quadrupled in the last decade. Samsung, Apple and others are moving factories from China to Vietnam. This is natural. And Chinese economy has to move up the value chain.

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Good, this will push Beijing/entrepreneurs to up their game.

If Biden takes down the 25% tariffs I can see a lot of these Vietnamese businesses go broke though.

 

[NiuBiDaRen]

Vietnam is taking a page out of China's playbook. Vietnam's exports have quadrupled in the last decade. Samsung, Apple and others are moving factories from China to Vietnam. This is natural. And Chinese economy has to move up the value chain.

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How would this stack up against the disappointment of many when they tried to shift from China to Vietnam? Or is this trend only in the last few months of 2020? I know in the last 2 years many have the found the shift from China to Vietnam less satisfactory than expected. Is this trend going to last?

 

[OppositeDay]

Vietnam is taking a page out of China's playbook. Vietnam's exports have quadrupled in the last decade. Samsung, Apple and others are moving factories from China to Vietnam. This is natural. And Chinese economy has to move up the value chain.

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It worth noting that per capita export for Vietnam is already higher than China's despite their value-added manufacturing per capita is far lower. It's a good thing, geopolitically. China should aim to retain more value while let Vietnam take the heat.

 

[Deleted member 15887]

Vietnam is taking a page out of China's playbook. Vietnam's exports have quadrupled in the last decade. Samsung, Apple and others are moving factories from China to Vietnam. This is natural. And Chinese economy has to move up the value chain.

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I've been hearing this for the better part of three years, and yet:

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puts this well:

"But the factories outside China are smaller and, in the case of India and Brazil, Apple only uses them to meet domestic demand. Apple’s contract factories inside China, meanwhile, have added far more locations than outside, with Foxconn alone expanding from 19 locations in 2015 to 29 in 2019 and Pegatron going from eight to 12, according to Apple’s data. The new locations come as Apple has added watches, smart speakers and wireless headphones to its product lineup.

And beyond the contract factories, the rest of Apple’s suppliers - the companies that sell it chips, glass, aluminum casings, cables, circuit boards and much more - became more concentrated in China. Among all supplier locations, 44.9% were in China in 2015, a proportion that rose to 47.6% by 2019, the data showed."

From another source, MarcoPolo's

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:

[Between 2017 and 2019, China's share of Apple suppliers rose from 349 to 383, corresponding to a share increase from 46% to 47.9% of all Apple suppliers. Southeast Asia and Japan's share have decreased between 2017 and 2019, in contrast.]

"Not only did Apple concentrate more suppliers in China from 2017-2019, it also increased its overall supplier presence in East Asia, from 83.6% to 86.5%. Taiwan and South Korea also gained slightly, possibly at the expense of Japan because they manufacture substitutable products, though that’s difficult to determine precisely from the data. To the extent there is some diversification from China, the shifts have been largely intra-Asia among Asian suppliers. Some Japanese, and even Chinese, firms have relocated to Southeast Asia."

"Among the “Others” category, Apple seemed to have shifted away from Mexico (from 7 to 4 entities), while India gained more supplier entities in those two years. Perhaps it is no coincidence that Indian newspapers have been

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that Apple may shift one-fifth of its manufacturing from China to India, though

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that is far more aspirational than anything approaching reality."

"To borrow Robert Solow’s

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: you can see supply chain decoupling “everywhere except in the numbers.”"

 

[NiuBiDaRen]

The funny thing is that the West will always find some excuse to say they're better than Chinese. Already they're starting to compare gross national wealth since the GDP gap is closing. Then once that's over, they're gonna use GDP per capita. Even if China's GDP exceeds the West, they're gonna find another excuse. Now their opinion shouldn't matter, since we should focus on our own business. But they'll keep trying to pull us down and interfere even if we're minding our own business. And then they'll pull everyone down with them. Already this has been going on for three hundred years.

 

[Bob Smith]

The funny thing is that the West will always find some excuse to say they're better than Chinese. Already they're starting to compare gross national wealth since the GDP gap is closing. Then once that's over, they're gonna use GDP per capita. Even if China's GDP exceeds the West, they're gonna find another excuse. Now their opinion shouldn't matter, since we should focus on our own business. But they'll keep trying to pull us down and interfere even if we're minding our own business. And then they'll pull everyone down with them. Already this has been going on for three hundred years.

Americans will 100% go to GDP per capita to claim superiority over China after China surpasses it in nominal GDP. However, they won't be able to claim number 1 in that category as multiple small countries will always be superior to America in GDP per capita.