Chinese Economics Thread

vesicles

Colonel
Because of quality issues, especially food quality and toxicity, Chinese people desperately want to buy foreign made foods like milk powder etc. There is the demand. Many small business owners in the US have nice products that they want to sell. So there's supply. If Jack Ma's Taobao website can provide the platform to directly connect the demand and the supply without the middle man, he will be the most loved and most wealthy man on the planet. This might be possible given that there seems to be strong enough political will from both China and the US to make it happen. Trump met him personally and specifically mentioned his name during his briefing. So this is now possible.
 

FirnCavalry

New Member
Registered Member
Because of quality issues, especially food quality and toxicity, Chinese people desperately want to buy foreign made foods like milk powder etc. There is the demand. Many small business owners in the US have nice products that they want to sell. So there's supply. If Jack Ma's Taobao website can provide the platform to directly connect the demand and the supply without the middle man, he will be the most loved and most wealthy man on the planet. This might be possible given that there seems to be strong enough political will from both China and the US to make it happen. Trump met him personally and specifically mentioned his name during his briefing. So this is now possible.
Yeah, I really like buying sth. from those B2C/C2C platforms, more and more often!
 
now noticed in Twitter (the article is dated Tuesday 17 January 2017)
China scraps construction of 85 planned coal power plants
Move comes as Chinese government says it will invest 2.5 trillion yuan (£300 billion) into the renewable energy sector
China has suspended 85 planned coal power plants in a bid to meet a government coal capacity target laid out in its latest plan for social and economic development.

The National Energy Administration (NEA) announced the under-construction projects would no longer go ahead as part of measures outlined in its Five Year Plan,
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reports.

In the report's electricity chapter, Beijing committed to a coal capacity cap of 1,100GW, however the new builds would have taken that figure to 1250GW, breaching the Government-set limit.

It came after the NEA said it would plough 2.5 trillion yuan ($361 billion) into renewable power generation by 2020, as the world's largest energy market continues to shift away from coal power towards cleaner fuels.

The investment will reportedly create over 13 million jobs in the sector, with the agency estimating renewable power capacity including wind, hydro, solar and nuclear power will contribute to about half of new electricity generation by 2020.

In the last year, China has tried to manage its coal overcapacity crisis by introducing a number of measures including a traffic light system for coal power station approvals and cancelling under-construction plants.

China and the US, the two countries that account for 38 per cent of global carbon emissions, ratified the Paris Climate Accord in 2016, promising to reduce carbon emissions to limit temperature increases.
source:
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B.I.B.

Captain
Because of quality issues, especially food quality and toxicity, Chinese people desperately want to buy foreign made foods like milk powder etc. There is the demand. Many small business owners in the US have nice products that they want to sell. So there's supply. If Jack Ma's Taobao website can provide the platform to directly connect the demand and the supply without the middle man, he will be the most loved and most wealthy man on the planet. This might be possible given that there seems to be strong enough political will from both China and the US to make it happen. Trump met him personally and specifically mentioned his name during his briefing. So this is now possible.

How would this work,would the milk powder go to the end user only and not a person who has the intent to set up a retail outlet ?
China has a policy of restricting the amount of foreign milk powder brands to protect the local industry and foreign brands have to go through a registration process for consideration.
By letting anybody exporting milk powder is not without its risks, because it would be hard for the manufacturers keep track of the stock..
Eg Not so long ago, Fonterra found from batch testing a contaminated consignment was already in China.Fortunately it was caught in time and pulled before distribution.
Had this product been sent to China by individuals in NZ through Taobao the outcome might have been different.
 

vesicles

Colonel
How would this work,would the milk powder go to the end user only and not a person who has the intent to set up a retail outlet ?
China has a policy of restricting the amount of foreign milk powder brands to protect the local industry and foreign brands have to go through a registration process for consideration.
By letting anybody exporting milk powder is not without its risks, because it would be hard for the manufacturers keep track of the stock..
Eg Not so long ago, Fonterra found from batch testing a contaminated consignment was already in China.Fortunately it was caught in time and pulled before distribution.
Had this product been sent to China by individuals in NZ through Taobao the outcome might have been different.

I am not a businessman and have no clue how to do any of these things. However, all the issues that you brought up seem to be specifics and small obstacles on the way to solve a huge problem.

You don't stop going just because you got a few bumps along the way.
 

solarz

Brigadier
How would this work,would the milk powder go to the end user only and not a person who has the intent to set up a retail outlet ?
China has a policy of restricting the amount of foreign milk powder brands to protect the local industry and foreign brands have to go through a registration process for consideration.
By letting anybody exporting milk powder is not without its risks, because it would be hard for the manufacturers keep track of the stock..
Eg Not so long ago, Fonterra found from batch testing a contaminated consignment was already in China.Fortunately it was caught in time and pulled before distribution.
Had this product been sent to China by individuals in NZ through Taobao the outcome might have been different.

I am not a businessman and have no clue how to do any of these things. However, all the issues that you brought up seem to be specifics and small obstacles on the way to solve a huge problem.

You don't stop going just because you got a few bumps along the way.

Minor correction: it's not "milk powder" that's popular, it's infant formula.

There's already a booming business where overseas individuals purchase formula and bring them to China to resell. I imagine the Alibaba business model would be built upon that.
 

SamuraiBlue

Captain
Because of quality issues, especially food quality and toxicity, Chinese people desperately want to buy foreign made foods like milk powder etc. There is the demand. Many small business owners in the US have nice products that they want to sell. So there's supply. If Jack Ma's Taobao website can provide the platform to directly connect the demand and the supply without the middle man, he will be the most loved and most wealthy man on the planet. This might be possible given that there seems to be strong enough political will from both China and the US to make it happen. Trump met him personally and specifically mentioned his name during his briefing. So this is now possible.

Bit difficult since PRC like any other nations have duty and inspection of imported goods.
US shippers as well as US legitimate suppliers will declare what is within the package through a commercial invoice.
If the product is something that is being restricted from being imported into the nation then customs will just seize the package.
 

B.I.B.

Captain
Minor correction: it's not "milk powder" that's popular, it's infant formula.

There's already a booming business where overseas individuals purchase formula and bring them to China to resell. I imagine the Alibaba business model would be built upon that.

Now that's totally different. Should be no probs.Do you mean resident Canadians sending product back to family and friends to resell or travellers taking it back as part of personal baggage?.
 

B.I.B.

Captain
I am not a businessman and have no clue how to do any of these things. However, all the issues that you brought up seem to be specifics and small obstacles on the way to solve a huge problem.

You don't stop going just because you got a few bumps along the way.
Not small bumps. The regulations are in place to prevent a domestic billion dollar industry. One cant afford to have a loosely overseen industry where overnight cowboys create a another melamine type scandal.
 

solarz

Brigadier
Now that's totally different. Should be no probs.Do you mean resident Canadians sending product back to family and friends to resell or travellers taking it back as part of personal baggage?.

Now I've only heard this from other people, but I believe that it used to be possible to send the formula to China through courier, but since China has been cracking down on "daigou" (literally means "buying for someone else"), courier has become unreliable. Not sure what these people do nowadays, but I guess bringing it back as personal baggage is an option. Usually they ask people they know are going to China to bring the items for them, then courier them from inside China.

Of course, if Alibaba is going to setup US-China e-commerce, then they will be taking care of the delivery, if I'm not mistaken.
 
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