Chinese Economics Thread
- Thread starter Norfolk
- Start date
The western empire will never allow China to grow relying on its purchasing power. Trade attacks on China by Europe is inevitable. Decoupling is inevitable.
For China I think this is good, they should not waste money investing in Europe only to see that money go down the drain. Leave early and invest somewhere else
That doesn´t work like that. Let me tell you something, the reason why trade deficit with China increased has everything to do with energy prices who are just too high. But what goods this deficit got worse? I don't think is EVs, because they still don't sold as much as ICE vehicles, is not humanoid robots, most other goods like TVs, motherboards and such on they didn't change their volume as much as before.
What really changed? that due energy costs most raw materials that the European industry needs are now imported from China from chemicals to specialize materials, a lot of Europeans countries move production to China because they couldn't deal with EU energy costs. Cutting those goods without addressing the energy crisis will be a death sentence for the Europeans, especially German industry. that is not counting that China will retaliate by banning European goods, cutting critical materials and more. And that will give Trump enough ammunition to increase tariff to the Europeans without retaliation. The European economy will be in serious danger.
No wonder that the country that has more to lose is the country that is opposing the most: Germany and the countries with no industry in the continent are the first advocators: The Baltics countries.
the great thing about the whole situation is that Europe has never been weaker and US is distracted. So, Europe is picking a fight that they can't win. I can't say I feel sorry for them at all.
Yes they are weaker but not weak, Afterall they still have the largest consumer market in the world, plus some technological lead in some sectors as well, and EU GDP is same as Chinas despite having 3 times less the size of population. So weak is relative ,depends on what we are comparing it with .
however due to US administration not being as friendly to Europe unlike before , China will have an upper hand in any trade war issues with the EU in case they go ahead with their measures targeting China . That’s for sure .
manqiangrexue
Brigadier
Compared to China, they are.
Big consumers... but not big producers. It just means they need others to make them things. Remember that analogy I told you about the people on on island? The consumer is not the important one; the producers are.
Very few and getting fewer by the day.
What is their GDP made out of? Cheese, wine, chocolates, fashion? And old ICE cars. China's GDP is made of technology, infrastructure, things that everyone needs to live. What does GDP mean if you don't break it down? The EU has a much higher GDP per capita than China. Their people live in old broken down stone houses often without AC, eat tiny amounts of local cheese and wine, paper thin slices of meat so salty, you can only eat 3 before you're done, all while sitting outside in the summer heat at a tiny table because they call this tradition. Chinese people live in the newest most modern metropolises in the world and eat meats and seafoods cooked live to order from wall-sized aquariums in luxury mega-restaurants more grand than anything one can find in the West.
Weak, compared to China.
We had the upper hand even when they were working together under Biden. I don't even know what the hell they think they're doing trying to do this under Trump.
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Oil consumption has fallen dramatically as demand has grown more elastic, thanks to readily available alternatives.
The lowered demand is having second-order effects in global energy markets, for example with Europe. The times they are a-changin'.
The lowered demand is having second-order effects in global energy markets, for example with Europe. The times they are a-changin'.
Lmao. Guess it’s just a way of saying logistics and transportation of goods has not been affected by the increase in oil prices and reduction in supply due to the war.