Foxconn iPhone production to slump 30% in November
A person with direct knowledge has told Reuters that iPhone output could reduce by 30% because of the fiasco in Foxconn’s Zhengzhou plant. The outlet reported from a source that the facility won’t be able to revive production to previous levels by the end of this month. Since Apple rolled ...
China’s local financial pressure is as heavy as a mountain: Trillions in debt maturing
There are growing signs that debt repayment pressure on China's local governments will make it difficult for them to boost economic growth. According to a Bloomberg report, the total outstanding bonds of 31 provincial governments in China are close to the risk threshold set by the Ministry of Finance. Crossing this ...
China releases $70 billion to prop up battered economy
For the second time this year, China’s central bank announced on November 25 that it would cut the amount of deposits that banks must set aside, freeing up nearly $70 billion in long-term liquidity to shore up the COVID-hit economy. According to a The Strait Times report, The People’s Bank of ...
China’s budget deficit surges 188% in 10 months
China’s fiscal expenditure increased while fiscal revenue dropped in the first 10 months, leading to a surge in the budget gap. Local media outlet Yicai citing Ministry of Finance data reported that China’s overall fiscal revenue was about $3.2 trillion (22.5 trillion yuan) in January-October, down 9.4% year-on-year. Meanwhile, the country’s overall ...
China’s state-owned banks to provide over $180 billion to property developers
China’s six mega banks have promised financial support to the tune of more than $181.4 billion (1.3 trillion yuan) to 17 builders in an effort to shore up the battered property market. Among them, Yicai reported on November 25 that Industrial and Commercial Bank of China, the world’s biggest bank ...
Xiaomi third quarter revenue slides 10% as demand shrinks due to ‘zero-COVID’ policy
Chinese electronics brand Xiaomi Corporation reports a 9.7% drop in its third-quarter revenues as demand is battered by “zero-COVID” in China. Reuters reports that its sales in the three months to the end of September were $9.81 billion. During the same period last year, that number was $10.9 billion. The company’s net ...
After losing $623 billion, Asia’s 2nd largest company, Tencent faces risk of nationalization
In early 2021, Chinese online gaming giant Tencent almost became the second trillion-dollar company in Asia after Saudi Arabian National Petroleum Corporation. But, according to Bloomberg, its shares have plunged 64% since their peak in Hong Kong in January 2021, wiping off $623 billion in market value and setting a ...
China adds new measures to stimulate the real estate market: Experts make pessimistic forecasts
To improve the gloomy real estate market, the Chinese Communist Party (CCP) local authorities in more than 100 cities in China have launched a new promotion policy. As a result, customers can now reduce the prepayment rate when buying a home. Specifically, according to Da Ji Yuan's report on November 22, ...
Chinese regime to impose over $1 billion fine for Ant Group
The Chinese regime intends to penalize Jack Ma's Ant Group with a $1 billion fine, continuing the regulatory crackdown that the giant fintech firm has suffered for the last two years. According to Reuters, China's central bank, the People's Bank of China (PBOC), has already prepared the fine for the firm. The ...
Chinese e-commerce giant JD.com slashes exec pay by 20%
Chinese e-commerce mammoth JD.com is cutting the salaries of more than 2,000 senior leaders by 10% and up to 20%. Founder Richard Liu issued a letter on November 22 that was first leaked online and later confirmed by a company spokesperson. Higher-level executives will face more reductions. The measure is to ...
Shanghai’s EV startup WM Motor cuts employees salaries by 30% to 50%
Chinese electric vehicle startup WM Motor Technology Company Limited is slashing staff payments to a whopping degree as it tries to overcome a challenging financial period. According to China Business News, the Shanghai-based car producer is paying top executives above the vice president only 50% of their base salary. For other ...
China’s former electronics retailing giant GOME reduces holdings again
GOME Retail Holdings, once one of China's leading electronics retailers, continues to reduce its holdings. Securities Times, citing a filing to the Hong Kong Stock Exchange, reported that its founder Huang Guangyu sold 500 million shares of Gome Retail at HK $0.1381 per share on November 14, cashing ...
Denmark’s largest pension fund cuts Chinese exposure in its $100 billion portfolio: Report
Denmark's largest pension fund, PFA, has cut its investments in two Chinese clothing brands, and it is evaluating other Chinese holdings as the investment risk is growing in the country. According to Bloomberg, PFA Asset Management, having about $100 billion in assets under management, has sold out its holdings of $4.2 ...
You’re fired! Moody’s closes China analytics business, gives short notice
Moody’s has closed its consulting operation, Moody’s Analytics, in China and is firing local employees on short notice. Moody’s told the Financial Times that it made adjustments based on current and predicted economic trends. However, the firm will keep its credit ratings business in the country. The U.S.-based company states, “Moody’s continues ...
China’s future is alarming: Many provinces have negative birth rates
According to China's Statistical Yearbook 2022, more than a third of China's provinces have a negative natural population growth rate, that is the birth rate minus the death rate. The disappearance of demographic dividend has had a profound impact on the economy and social structure. A demographic dividend, as defined ...
Gone! $31.04 billion cryptocurrency exchange bankrupt in 10 months
FTX, the second largest exchange in the currency circle, has declared bankruptcy. At the beginning of the year, it was valued at about $32 billion. The founder and CEO also resigned. According to the public statement, more than 130 affiliated companies belonging to FTX Group have filed for bankruptcy. Before, the average ...
