News on China's scientific and technological development.

Peter2018 said:

These companies doing the ipo in the US must be crazy. The US has made it clear that they don't welcome Chinese listings. These companies will be better served by listing in Hong Kong or Shanghai instead, where politics and economy are way more stable.

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This might look crazy, but if you think of it is a very smart move.

1.) first they need to rush to get the money before trump can hold his pen signing to ban chinese companies ipo.

2.) the US is printing money like there is no tomorrow. most of the "stimulus" fund were obviously benefited only the rich. They threw the free money to the stock market so much that the US stock market is all time high with 30% decrease of economic output. They threw money to everything that barely make a profit, as long somebody else with free money shall buy in the future.

3.) if for example, Trump want to delist those already listed Chinese companies,
then thats a very big win with chinese companies, and the losers will be the american investors. The Chinese companies got their money without paying anything back.


So basically these Chinese companies are trying to beat those first two points and preparing to celebrate for the third point.

SimaQian said:

This might look crazy, but if you think of it is a very smart move.

1.) first they need to rush to get the money before trump can hold his pen signing to ban chinese companies ipo.

2.) the US is printing money like there is no tomorrow. most of the "stimulus" fund were obviously benefited only the rich. They threw the free money to the stock market so much that the US stock market is all time high with 30% decrease of economic output. They threw money to everything that barely make a profit, as long somebody else with free money shall buy in the future.

3.) if for example, Trump want to delist those already listed Chinese companies,
then thats a very big win with chinese companies, and the losers will be the american investors. The Chinese companies got their money without paying anything back.


So basically these Chinese companies are trying to beat those first two points and preparing to celebrate for the third point.

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How could that be good, when the $US devalues by 30%? All the proceeds from US ipo will worth a lot less. The US will force Chinese companies to repurchase those shares from US investors.

China has caught up with the U.S. in published scientific papers, both in quantity and in quality.

China passes US as world’s top researcher, showing its R&D might

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China now owns the top share of scientific papers at 19.9%, while the U.S. comes in second at 18.3%. These statistics are based on the number of peer-reviewed papers published in scientific journals.
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The number of research papers turned out by China has jumped 18 times from the average for 1996 to 1998, and 3.6 times from the 2006-2008 period.

The quality of Chinese research papers is approaching that of the U.S. as well. Of the top 10% most-cited papers in 2017, the U.S. generated 24.7%, while China was a close second with a 22% share.

Looking at the top 1% of cited research papers, the U.S. was responsible for 29.3%, with China issuing 21.9%.

U.S. and Chinese papers differ in terms of areas of specialization. China boasts a high share of papers in materials science, chemistry, engineering, computer science and mathematics. The U.S., meanwhile, concentrates on clinical medicine and basic life sciences.
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Peter2018 said:

How could that be good, when the $US devalues by 30%? All the proceeds from US ipo will worth a lot less. The US will force Chinese companies to repurchase those shares from US investors.

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Chinese companies listing in the U.S. means they are getting money from U.S. investors. Any action from the government against these companies would hurt the said U.S. investors. They are basically using U.S. money to grow and develop.

There is no real way for the Trump admin to force Chinese companies to buy back the shares held by U.S. investors. If worst comes to worst, Trump could force Chinese companies to delist in the U.S. and ban them from doing business in the U.S., but the money is already with the company. Investors can't really force these companies to buy back their shares, neither can Trump if these companies are no longer doing business in the U.S. anyways.

muddie said:

Chinese companies listing in the U.S. means they are getting money from U.S. investors. Any action from the government against these companies would hurt the said U.S. investors. They are basically using U.S. money to grow and develop.

There is no real way for the Trump admin to force Chinese companies to buy back the shares held by U.S. investors. If worst comes to worst, Trump could force Chinese companies to delist in the U.S. and ban them from doing business in the U.S., but the money is already with the company. Investors can't really force these companies to buy back their shares, neither can Trump if these companies are no longer doing business in the U.S. anyways.

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Erm no US financial market doesnt only consist mainly of US investors, their depth and liquidity is due to the fact that most international investors are also parking there. If other financial market can offer better growth prospective, those investors will move their assets out of the US financial market.

with the announcement of CEO of Huawei's Business Group Yu Chengdong that the production of Kirin chips will be halted after September 15. Had forced Huawei to follow the SAMSUNG model strategy. It may takes years to accomplish, but Huawei had the right mindset, management and fighting spirit to pull it off.

A Beautiful opinion pieces from 52051 (PAKISTAN DEFENSE FORUM)

Now Huawei announced they entered silicon process business including production, EDA design software and IC design business, aiming at building every silicon producing system, like EUV lithography machines, light source, IC-design software device and such.

And China's state funds like Fund-01 and Fund-02 etc, are plan to invest hundreds of billions money to support Huawei's project.

With the management of Huawei, I expected it will destroy Intel and AMD and all the minor US players within 10 years, like they slaughtered many US corporations in communication business.

So in a few years we will see a Huawei empire that itself can produce from Desktop/mobile/smart device OS to communication devices to memory chip/storage chips/FPGA/CPUs and GPUs to AI chips, and all connected by Huawei's superior 5G or even 6G tech, and made by Huawei's silicon process.

In a matter of years, Huawei will be the combination of Cisco, Microsoft, google intel and nvidia, if not more, and Huawei can access to almost infinite financial source and talent pool in China, it is shame that Huawei don't offer stocks for investors to buy, otherwise it would have had one hell of a market capital

china has many companies in semiconductor equipment business.

in my opinion an area in wich china is particularly well placed are batteries, (my 2,5 years old xiaomi phone has a "like new" battery life of 48 hours of normal use). Don't understimate this feature.

ABC news article about recent huawei events:



I have two questions for people here:
What will happen to the rest of huawei products, will they also stop production and soon the company will fail?
Can they still remain competitive without TSMC and other US tech dependent chip manufacturers, knowing that SMIC doesnt have the tech level of those other manufacturers and wont have for the foreseeable future, if ever?

muddie said:

Chinese companies listing in the U.S. means they are getting money from U.S. investors. Any action from the government against these companies would hurt the said U.S. investors. They are basically using U.S. money to grow and develop.

There is no real way for the Trump admin to force Chinese companies to buy back the shares held by U.S. investors. If worst comes to worst, Trump could force Chinese companies to delist in the U.S. and ban them from doing business in the U.S., but the money is already with the company. Investors can't really force these companies to buy back their shares, neither can Trump if these companies are no longer doing business in the U.S. anyways.

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Investors all over the world, not only the US, buy shares listed in New York. All Chinese companies should move their listings back to Hong Kong or Shanghai, thereby depriving US stock exchanges from making profits from trading of Chinese stocks. Meanwhile Hong Kong (top ipo market in 2019) and Shanghai will thrive even further.