BIZ >> Expert assessment

The US-China tug-of-war will keep going, but it still has to be a friendly game

Relations between China and the US have experienced bad times and good times over the several decades. The two countries, overall, have been living in peace with each other with only occasional small spats. The stable development of US-China relations has been the main reason that world economy is gaining momentum. Without it, there would be no stable globalization nor the last 40 years of prosperity for the world.
Source: Global Times | 2019/1/23 22:53:39

Trade conflict dampening global innovations

The annual international Consumer Electronics Show (CES), which was held from January 8 to 11 in Las Vegas this year, is now indeed a stage for global innovative products. Attracting nearly 200,000 global exhibitors, the 2019 CES showcased the latest breakthrough technologies across the high-tech industry, including but not limited to traditional home appliances, imaging technology, smartphones, and various software and hardware technologies.
Source: Global Times | 2019/1/22 17:18:41

SMEs in China need to adapt to financial liberalization in order to benefit from it

China's wave of bond defaults in 2018 seems to have continued into 2019, with Kangde Xin Composite Material Group Co failing to make principal and interest payments on its corporate bond due January 15. According to the company's announcement at the Shanghai Clearing House on January 14, due to a liquidity crunch, it is likely to default on the payments of two corporate bonds due January 15 and January 21, respectively, worth a combined 1.5 billion yuan ($220.98 million).
Source: Global Times | 2019/1/21 20:46:43

Postponed yuan-ruble settlement deal not a setback

The local currency settlement negotiations between China and Russia were initiated after the 2008 global financial crisis. Yuan-ruble payments have been conducted regularly over the last 10 years, from initially more ruble settlements to increased settlement with the yuan. After several attempts over the years, the negotiations started to touch the substantial issues, with 2018 being a crucial year for the negotiations. The two sides are planning to reach an agreement that regulates the current yuan-ruble payment.
Source: Global Times | 2019/1/21 16:53:39

Chinese, Indian EV manufacturers should travel the long and windy road together

While implementation-specific details may be missing from India's ambitious electric vehicle (EV) goal for 2030, its market potential still represents an opportunity for Chinese EV players as long as the Indian government's incentive policy is favorable enough.
Source: Global Times | 2019/1/20 19:43:40

China-Africa relations continue to develop supported by investment into the continent

Chinese State Councilor and Foreign Minister Wang Yi paid an official visit to Ethiopia, the African Union Headquarters, Burkina Faso, Gambia and Senegal from January 2 to 6, which was his first diplomatic trip of 2019. As a diplomatic tradition, the Chinese foreign minister has visited Africa first each year, for the past 29 consecutive years.
Source: Global Times | 2019/1/16 18:43:40

Sound derivatives market an imperative for A shares

There is a growing consensus of opinion that greater efforts are needed to usher in more foreign institutional investors to revive sentiment in China's A-share market, one of 2018's worst performers across global markets.
Source: Global Times | 2019/1/16 15:38:40

Reasons for the Great Depression in 1929 do not apply to today's economy in China

Since the US economy plunged by 50 percent during the Great Depression from 1930 to 1933, such a point of view implies that the Chinese economy may also face the risk of a Great Depression. Yet, taking a look at the US economic history, we will find that the seemingly reasonable analogy doesn't hold water.
Source: Global Times | 2019/1/15 20:33:40

China's tech firms won't give up on overseas markets

As the world enters the 5G era, Chinese companies have vigorously invested overseas. However, China's telecommunication equipment manufacturing industry and related industry sectors are increasingly facing enormous pressures from the US-led Western countries. From the ZTE case to the arrest of Huawei's chief financial officer, several countries have now frequently suggested banning Chinese 5G equipment from their network infrastructure. Those messages have raised eyebrows within China. But what attitude should we adopt in this situation?
Source: Global Times | 2019/1/15 17:53:40

Why Chinese central bank will not make stock, exchange-trade funds purchase

The rumor has it that the People's Bank of China (PBC), China's central bank, may have been considering purchasing stock or ETFs directly from the market. We believe it's neither reasonable nor viable to do so.
Source: Global Times | 2019/1/14 20:23:40

R&D investment underscores Huawei's success

Since the December 1 arrest, in Vancouver, of its chief financial officer Meng Wanzhou, Shenzhen-based multinational conglomerate Huawei Technologies Co has indisputably become the most high-profile Chinese company by which to measure the nation's technological pride amid the unprecedented trade tensions with the US.
Source: Global Times | 2019/1/14 14:45:20

All-out efforts urgently needed to crack down on healthcare market irregularities

The scandal surrounding Chinese healthcare products maker Quanjian continued to grow as police in North China's Tianjin detained 18 suspects, including the controller of the company, on January 7, with two other suspects released on bail pending trial.
Source: Global Times | 2019/1/13 20:33:41

China should avoid boosting economic development through large-scale stimulus

At present, China is facing mounting uncertainties amid an increasingly complex internal and external environment, with its economic growth expected to slow down steadily in the short term. Yet, in the medium- and long-term, there will still be relatively favorable conditions and huge potential for the country's development.
Source: Global Times | 2019/1/10 18:08:40

Space economy to be a new frontier of cooperation

As we enter 2019, human civilization has come a long way since the Russians changed our destiny by flying beyond our blue skies. Major powers understood that the next battle field would take place above us, in space.
Source: Global Times | 2019/1/10 17:33:40

China needs to prepare for long-term rivalry with the US even if trade deal is reached

Looking ahead to 2019, it will remain the focus of the public's concern as to whether the trade tensions between the US and China will ease.
Source: Global Times | 2019/1/9 18:18:40

Chinese companies can evolve in tough times

The year 2018 was a tough year, but we have made it through. The good news is that the hardship was common for many people, while the bad news is that a difficult time may just lie ahead. I have always believed that when the society offers opportunities, we should create value for it. But when there is no opportunity from the society, we should create value for ourselves.
Source: Global Times | 2019/1/9 17:43:40

China's IT winter chill should help firms rethink business models

China's internet technology (IT) sector experienced massive layoffs during 2018, a chaotic year for the industry. In June, hundreds of P2P lenders fell like dominoes. Two months later, the revenue of image editing software developer Meitu fell 5.9 percent year-on-year, reporting a $127 million net loss. Media reported the company had been laying off people since the end of 2017. In the fall, online retailers Alibaba and JD.com reduced new hires.
Source: Global Times | 2019/1/8 18:28:39

US economic growth could lose momentum in 2019

There are compelling reasons to believe that the US economy is less likely to continue on a robust growth path this year. The US economy's strong growth in 2018 was mainly attributed to the Donald Trump administration's substantial tax cut package. Thanks to the stimulus provided by the tax cuts, personal consumption spending and private investment turned out to be the main forces pulling up economic growth.
Source: Global Times | 2019/1/8 16:38:41