A country that generates and uses twice as much electricity and produces and buys twice as many cars as the US is clearly not the "second largest" economy.
Chinese Economics Thread
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A country that generates and uses twice as much electricity and produces and buys twice as many cars as the US is clearly not the "second largest" economy.
China saw about 119 million domestic tourist trips made during the Qingming Festival, up 11.5% compared with the same holiday in 2019, according to the Ministry of Culture and Tourism. The trips were estimated to bring in 54 billion yuan ($7.56 billion) in tourist revenue, an increase of 12.7% compared with the corresponding period in 2019, said the ministry...
There won't be a Plaza accord but US and EU can heavily tariff Chinese products and non tariff bans such as sanctions. The question is, how that will effect China and what they can do to retaliate to ensure US and EU economies pay a bigger price in economic growth.
how many Chinese tech companies currently operating in USA ?? hardly any top company. basically Chinese tech giants cut off from the largest market and still thriving. Trump already impose Tariffs on Chinese products..
the Global South represents 85 percent of the world's population and nearly 39 percent of global GDP. this percentage continue to rise.. and China now exporting more to global south than combined west and Japan.. the biggest advantage of global south is, they are developing and under developed world. so way more room for growth..
Jan - fab 2024. China's top trading partner was ASEAN - 993.24 billion RMB +8.1% yoy
no doubt, USA+EU is still very important market for Chinese trade but trend is changing rapidly. China eliminating one by one western tech companies in global south..
first two months of 2024, China's trade plus is actually the biggest ever despite so much pressure from USA and allies
how many Chinese tech companies currently operating in USA ?? hardly any top company. basically Chinese tech giants cut off from the largest market and still thriving. Trump already impose Tariffs on Chinese products..
the Global South represents 85 percent of the world's population and nearly 39 percent of global GDP. this percentage continue to rise.. and China now exporting more to global south than combined west and Japan.. the biggest advantage of global south is, they are developing and under developed world. so way more room for growth..
Jan - fab 2024. China's top trading partner was ASEAN - 993.24 billion RMB +8.1% yoy
no doubt, USA+EU is still very important market for Chinese trade but trend is changing rapidly. China eliminating one by one western tech companies in global south..
first two months of 2024, China's trade plus is actually the biggest ever despite so much pressure from USA and allies
Hmm, I don't think separating export destinations into developed and developing markets is the right perspective here. Rather, global trade should be understood as a global system where all markets are interconnected. W.r.t. exports this means that any surplus must be balanced by a corresponding deficit elsewhere. And "elsewhere" for Chinese manufactured goods is primarily Western markets. However—and this is the key—Western markets cannot simply ban Chinese imports. They've already tried and failed. They can ban direct bilateral imports of finished goods, but the result of that is unfinished Chinese imports simply shifting to third party countries where they are ultimately passed on to Western markets. At the end of the day, you still have a Chinese surplus and Western deficit (bigger than ever, in fact).
Which of course puts Western governments in the very unpleasant position of playing whack-a-mole with more and more regulations, whereas every profit-seeking company in the world is enormously incentivized to work around each and every one. That's why they are so frustrated with China and why they keep complaining. But of course, in the current political climate there is no appetite and no reason for China to care.
The true solution for Western governments, the only solution where they aren't fighting the natural instincts of capitalism every step of the way, is to support their own domestic manufacturing (which is what they've now started doing). But at that point it becomes a race to the bottom, a race where China has distinct structural advantages and is likely to win.
This is the evidence that the US is losing both the trade and tech wars to China. You have the treasury secretary Janet Yellen in China telling China that she is producing too much and she needs to produce less. Who does such a thing. It shows you that the Americans are more than only a bit irritated but may also becoming somewhat desperate.
The idea is so retarded that I can't believe a top economic official from any country?, much less the so-called free market champion US, would even say it out loud.
And oh btw, the West is trying to sanction China on everything so the best path forward is really to create as much capacity across as wide a range of products as possible.
1) You do not want to end up being short of anything when the sanctions come,
2) With tariffs and embargos, you need to make things as affordable as possible to export to less wealthy economies