Historically speaking the air quality in Shanghai is much better than those of northern cities since they don’t burn as much coal for heating purposes during winter. It is also wetter so rain would wash out dust and other PM.
Chinese Economics Thread
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Historically speaking the air quality in Shanghai is much better than those of northern cities since they don’t burn as much coal for heating purposes during winter. It is also wetter so rain would wash out dust and other PM.
All the West is likely to take a serious economic hit this year and probably for the next few years. Meanwhile, China will be growing. So even if Huawei's sales are concentrated in the mainland, the company's lead over Samsung will likely increase.
In addition, China's transition to 5G is years ahead of the West, which means far more Chinese than Westerners will be buying new phones. That is even more good news for Huawei (and bad news for Samsung).
Indeed.
That is true. But this is not really about Huawei or any chinese company’s ability to grow in the mainland. That part is guaranteed. Huawei on cruise control can achieve that.
The bigger question is how Chinese companies, especially tech companies, can capture foreign markets. China’s goal is to create companies like Apple, Samsung that can dominate globalmarket share. And this is a bigger question that affects not just Huawei, but all major Chinese firms.
Personally, I think the easy part of China’s economic growth has already finished. The low hanging fruits; the cheap labor manufacturing economy was the easy part. The next stage where it involves innovation and ability to compete with best from West will be much harder.
Also remember the US indirectly facilitated China’s growth in the last 40 years. It was easy to achieve goals when no one is objecting. That friendship is now over. US will using every tool possible to block china’s access to technology, including stopping academic exchanges.
Capturing the markets in the West is less important when those markets are actually shrinking. Which means Samsung's phone sales will likely shrink. Meanwhile, China's economy will probably grow -- and that means Huawei's smartphone sales will likely grow.
This applies to other technology companies: for this year and the next few years, China's internal market will be far more profitable and therefore more important.
It's the other way around: with Western markets shrinking and the Chinese markets growing, Western companies will have trouble keeping up with the Chinese competition.
If the West bans imports from China and the Chinese answer in kind, Western companies -- supplying shrinking markets and therefore with shrinking ability to fund more innovation -- will fall even more behind the Chinese competition.
You assume that China cannot innovate by itself. This is probably wrong, as Huawei's enormous lead in 5G demonstrates. More evidence is China's big lead in cobalt-free lithium batteries (from e.g. BYD and CATL).
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The problem is not lack of ability to innovate. We know that’s not true. The bigger problem is ability to capture foreign markets. And the richest markets are in the US and EU.
There won’t be any Chinese company that will not face the same issues Huawei is currently facing abroad. This is despite the fact that Huawei has the most innovation at the cheapest price.
China has the biggest economy in the world. Also, for this year and probably for the next few years, the Western markets will be shrinking while China's market will be growing. Thus the ability to capture foreign (i.e. Western) markets will not be so important for Chinese companies.
Is the USA willing to make concessions or are they just going to keep on pushing and pushing until China simply lets the US economy sink so it is pretty obvious right now that the US economy is dying as it is now and that it has no plans to fix the problems they have set up for themselves. If the US economy becomes nothing but a house built out of straw that is currently burning, what use is the US economy if the investments are simply not worth anything and that the US debt isn't going to benefit anyone at all. Really, the USA is due for another disaster to show that an economy built out of debt is supposed to collapse into the abyss, not get held up by fake money and debt.
AssassinsMace
Lieutenant General
What is Biden going to do that Trump hasn't? The only difference they say Biden offers is the world would like him better than Trump. They may like him better, but Western allies have already lined-up with the US even with Trump. Trump has already used up everything that hurts the US the least. Everything left is what hurts the US just as much as they think it'll hurt China. How would Biden lessen that? If Biden fails at taking on China and especially if the US suffers, these very Republicans will use it against and blame the Democrats in the next election.
The West needs China to help in their recovery. Without China everything is going to cost them more. That's only bad news for their economies. They think Biden will be able to sway other countries to gang-up on China. The US is now trying to get Brazil to dump Huawei. Help the US and all they soybeans go rotten. All China has to do is buy them from the US and does anyone think the US will reject selling their soybeans to China? China will buy ore from Australia not Brazil. Like Brazilians will blame China when their government sided with the US to turn their backs to China? Are other countries that dumb? Like I've been saying. Don't believe the nonsense that the US has the power to gang-up the world against China. Western countries were glad to steal Japan's market share in China when trade dropped like a rock between the two when they had their island disputes. That's why when Obama tried to gang-up the US, South Korea, and Japan in an alliance against China, Japan sunk that alliance choosing to stir nationalist discord with South Korea instead. Obama's Pivot to Asia tricked Japan into thinking that they would get backup if they tangled with China over territory and all that happened was Western allies filled the vacuum Japan lost in trade with China. The only way the US will be able to gang-up the world against China is by the US paying all the losses these countries will suffer from losing China as their customer. The US would go bankrupt doing that.
hi AssassinsMace,
Great summary, The Phil is a good example, we follow the US advise with promise of support ,together with the ASEAN, JAPAN and AUSTRALIA. but when it's time to do the heavy lifting nobody came, the expected US support came in an advisory for us to file a arbitration complaint with the PHil footing all the bill costing us millions of dollars. Who benefited, we lost at lot, economically and territory.
The arbitration ruling even cost us our claim in the SCS, it allow foreign countries to intrude in our waters thru the freedom to navigate.