Archive for the ‘China Finance’ Category

Strange iron ore imports

This year, the Chinese steel industry production capacity exceeded demand, but China’s iron ore imports hit a record. Chinese traders all together funds only buy 3,000 tons of iron ore, but recently there are 5400 tons of iron ore import into China, many people in the world estimated that international ore giant make use of the opportunity of decline of transportation costs, store theri stock to China in advance!

Domestic soybean industry chain is facing a serious decline

It is reported that the sale of domestic soybean led to large-scale production of oil processing enterprises, China’s soybean industry has been plunged into a crisis situation.

in the global bad trading situation, a large amount of low-cost soybeans flow to China so that Chinese soybean imports monthly more than three million tons for consecutive 5 months.

China’s first H1N1 suspected case was found

According to China’s Xinhua(http://news.xinhuanet.com/newscenter/2009-05/10/content_11348819.htm) reports thattoday, the first case of H1N1 is found in suspected cases in Sichuan province , China, the patients fly back from the United States to Sichuan, China should speed up the pace of vaccine development.

vegetable prices rose 60% year-on-year in Beijing

Yesterday, the Beijing Baliqiao agricultural wholesale market release price monitoring report, the average wholesale price of 41 kinds of vegetables is 2.87 yuan per kg, decreased by 9% than the same period last week, rising up 61% than the same period last year 1.78 yuan per kg,
increase significantly for the parsley vegetables, yam, Garlic and so on,  over 300% year-on-year. Wholesale price of eggs is 6.8 yuan per kg, rising 3 % than last week,more than 21 % year-on-year.

China’s rapid expansion of credit

China’s banking sector financial institutions have 4.52 trillion yuan of new loans in the first quarter of this year, It is reported that authority vice chairman of China Banking Regulatory Commission had said that “this new credit is expected to be more than 8000 billion”, many people worried about the rapid expansion of credit, today the official refute the report , but it seems the direction of credit expansion haven a firm support.

The business survey in the first quarter: decline in demand as the biggest challenge

Impacted by the international financial crisis,how about Chinese enterprises survive situation in the first quarter?
Chinese Entrepreneurs Survey System conduct a special investigation from the end of March to early April.
Survey shows that declining orders, production and sales fell, prices, import and export reduction, resulting in a decline in corporate profits, reduced employment, decline in procurement,
Enterprises are facing a difficulty; 1 / 4 of enterprises are in a semi-production conditions, more than half of corporate sales decline.

China become the world’s largest vehicle-producing countries

Chinese car share reach 17.2% in the world automobile market in 2008, while Germany fell to 14.7%, the United States decreased to 14.6%, in March this year, new car sales in China reached 1.11 million, China become the world’s largest vehicle-producing countries, I think, as an emerging market, China may become the most profitable market.

China demand that the central state-owned enterprises paid dividends

China demand that the central state-owned enterprises paid dividends
There are many so-called the world’s largest enterprises in China, but the long-term profits of these enterprises remain in their own pockets,
Basically they did not paid dividends to government. Since 2007, part of the state-owned enterprises begin the experimental work of paid a capital gains .
Now,State-owned Assets Supervision and Administration Commission issued a notice,require central enterprises submitted the state-owned capital gains report in 2008 by the end of this month.
This means that the profits of state-owned enterprises would to be able to make due contributions to the community system.

30% Chinese rich live in Beijing, Shanghai, Shenzhen and Guangdong, reach 1.6 million

30% Chinese rich live in Beijing, Shanghai, Shenzhen and Guangdong, reach 1.6 million
According to media reports, by 2015 China will have more than 400 million well-off families and become the world’s fourth country which have the most number of rich men, only less than the United States, Japan and the United Kingdom. The rich home is that the annual household income reachs more than 250,000 yuan.

     At present, China’s affluent consumers mainly concentrated in the eastern and south-central region, of which 30% live in Beijing, Shanghai, Guangzhou and Shenzhen, the four cities, living in the most affluent 10 affluent urban consumers in the country’s total 50%. Expected future three-quarters of China’s “new” well-off consumers will come from four areas outside the city level, of which 33% will come from Foshan, Chengdu, Ningbo and other cities in the six secondary.

     It is worth noting that the findings show that affluent consumers in China is relatively more younger, younger 20-year-old with an average age than the United States and Japan, , of which about 80% of wealthy consumers age are below 45 years old.

China should not only focus on investment eccesively

China should not only focus on investment eccesively
China can only solve short-term problem by depending on investment, long-term prosperity must rely on their own spending power, and over-investment would be made null and void for the future of Chinese extreme cases and lack of sufficient strength, under the current circumstances, the wealth put into the pockets of the people may be more important than deposited to the officials GDP figure for the future efficiency of China’s survival, in the case of excess capacity, the importance of spending power may be higher than the investment capacity.
If inflation reach a certain degree, rising oil prices will make shipping toys from China lost the competition, the whole world to re-distribute of the industry chain, maybe China having accumulated a huge production capacity would become a burden.