新闻

April 5, 2020

China needs more, not fewer, immigrants if it wants long-term growth and prosperity

China’s latest draft law on granting permanent residency to foreigners has touched a nerve among the public. It has been met with overwhelming disapproval, fanning fears that a “lowered threshold” will lead to an influx of immigrants who will put a strain on resources. A closer look at the proposed regulation, however, finds the bar for obtaining a Chinese “green card” remains extremely high. For instance, a skilled applicant is required to hold a doctoral degree or a diploma from “an…
April 4, 2020

Jobs are being destroyed around the world as coronavirus pandemic pushes one economy after another into recession

The world’s workers are reeling from the initial shock of the coronavirus recession, with job losses and welfare claims around the globe already running into the millions this week. As the International Labour Organisation warns of almost 25 million lay-offs if the virus isn’t controlled, the cuts from Austria to the US reflect the deepest peacetime recession since the 1930s as economies are frozen to beat the pandemic.“We see unemployment rates in the US and Europe getting up well up into the…
April 4, 2020

Coronavirus: China’s deserted shops and restaurants show that even as lockdown ends, scars remain

China’s urban lockdown may have eased, but deserted streets and stores in the capital Beijing this week suggest that for the services sector, the impact of the coronavirus outbreak could be deeper and longer than expected.Many restaurants, cafes and pubs remained closed in the city, where vigilance remains high about a second wave of infections. Among those that were open, there were few customers to be seen.The usually crowded Wangfujing shopping street was quiet on Wednesday, with just a few…
April 4, 2020

Chinese banks face double threat of more bad debt, lower margins amid worsening coronavirus pandemic

After posting better-than-expected results for 2019, Chinese banks face the prospect of worsening asset quality and pressure on profits this year, as the coronavirus pandemic takes a toll on the global economy, bankers and analysts said.With the pandemic now having spread to more than 200 countries and claiming more than 52,000 lives, bankers said they expected a bigger impact on China’s economy. Since the country plays an outsize role in the global supply chain, its banks are likely to take a…
April 3, 2020

Coronavirus: China’s unemployment crisis mounts, but nobody knows true number of jobless

Yu Zhixiang received his redundancy notice in early-March, while he was on sick leave, weeks after the coronavirus outbreak forced Chinese economy to come to a standstill.The 47-year-old had worked as a contract translator on Beijing’s Financial Street, home to many of China’s largest banks and the nation’s central bank. He was one of millions, maybe even tens of millions, of Chinese people who lost their jobs during the outbreak, but who were not immediately reflected in national unemployment…
April 3, 2020

Coronavirus: China central bank to free up US$57 billion for small lenders in latest effort to help economy

China’s central bank on Friday said it would pump two rounds of funds into rural and regional lenders in the latest “targeted” measure to help the economy amid the coronavirus outbreak.The People’s Bank of China (PBOC) said it would cut the required reserve ratio for the banks on April 15 and May 15, releasing 400 billion yuan (US$57 billion) in total and freeing up more money to lend to rural households and small businesses.The central bank also said it would adjust down the interest rates on…
April 3, 2020

Coronavirus could slash global GDP output by almost 5 per cent amid ‘severe financial turmoil’, ADB says

The cost of the coronavirus pandemic could be as high as $4.1 trillion, or almost 5 per cent of global gross domestic product, depending on the disease’s spread through Europe, the United States and other major economies, the Asian Development Bank said on Friday.A shorter containment period could limit the damage to $2 trillion, or 2.3 per cent of world output, the Manila-based lender said in its Asian Development Outlook report. Developing Asia, including China, accounts for 22 per cent to 36…
April 3, 2020

Coronavirus: global trade braces for ‘tidal wave’ ahead, as shutdown batters supply chains

On Tuesday, the Port of Wuhan, a vital cog in China’s heavy industry supply chains, reopened for business after more than two months of being locked-down at the centre of China’s initial coronavirus outbreak. In the same week, Ethiopia closed its land borders, Myanmar cancelled all commercial flights and South Africa restricted cargo movements to non-essential goods, joining the United States, Canada, Mexico and most of Europe in deploying draconian containment strategies aimed at stopping the…
April 2, 2020

Coronavirus: China’s car part makers face collapsing orders, as factories around the world kill their engines

After a nationwide shutdown in February, car parts exporter Rita Xiao was thrilled to join the bandwagon of factories resuming work across China in March, as the country’s coronavirus crisis began to cool.But she is now wrought with anxiety, with the virus ravaging her clients in the United States and Europe. Xiao, along with many other Chinese exporters, is feeling the force of the dreaded second shock wave from the pandemic which has closed car factories across the world, in the sort of…
April 2, 2020

China’s race to produce ‘super pigs’ destined to fail amid haphazard biosecurity, experts say

China should focus less on developing disease-resistant “super pigs” to protect its hog herd from infection and do more to improve basic biosecurity, analysts say, as several companies claim to be close to a breakthrough treatment for African swine fever.China’s hog herd has begun to steadily rebuild after swine fever spread across the country a year and a half ago, killing or forcing the culling of 60 per cent of the pig population, according to authorities.But poor biosecurity – including the…
April 2, 2020

Coronavirus: China manufacturing hub Dongguan faces grim test as global export orders vanish

In February, friends Jay Wang and Zhou Ping were among the millions of Chinese manufacturers battling to resume production after the coronavirus outbreak shuttered key industrial sectors across the economy.But when the pair finally managed to restart their separate operations last month, after rigorous quarantining of workers and disinfection of factory floors, they encountered an even bigger problem: clients from Europe and the United States were suspending orders as the pandemic spread…
April 1, 2020

Coronavirus: Italian prosecco maker apologises after owner asks China to pay compensation

Italian prosecco producer Bottega Spa apologised to its Chinese customers and wine importers on Tuesday after its owner’s comments demanding China compensate Italy and the rest of the world for the economic damage resulting from the coronavirus caused a storm of outraged reactions on Chinese social media.The incident suggested that tensions remain high over attempts to assign blame for the pandemic, during which more than 853,000 people have been infected and nearly 42,000 killed globally. The…
April 1, 2020

Coronavirus: Asia’s manufacturing hubs face ‘tougher times ahead’, even after dreadful March

Parts of Asia and Europe were drenched in a bloodbath of manufacturing data on Wednesday, but economists warned that an even greater pummelling lies ahead, as the coronavirus pandemic paralyses global demand.Surveys released on Wednesday painted a dire picture of some of the world’s key manufacturing hubs, while tumbling sentiment in the Eurozone, home to many companies sourcing parts from East Asia, laid bare the demand shock facing the region.“It is very clear that we have a demand shock and…
April 1, 2020

China preps new coronavirus stimulus measures, but some ask are they bold enough to work?

China has rolled out new measures to support its economy from the coronavirus pandemic, including an additional central bank credit line of 1 trillion yuan (US$14 billion) to small lenders.The initiatives announced at a cabinet meeting on Tuesday ranged from new bond quotas for local authorities to income support for poor Chinese.The government also announced new monetary policies, including the prospect of lower deposit reserve requirements for small banks in the future and an additional 1…
April 1, 2020

Coronavirus: From China to the US, consumer behaviour radically altered as world retreats into ‘survival mode’

Before the coronavirus crisis began rippling through the global economy, Susan Wang had big plans for 2020.Not only was she going to buy a new Apple MacBook and iPad, plus a projector so she could host friends for movies at home, but she was set on making a career move.“I was planning to change my job, but my headhunter told me that all recruitment has been postponed to the second quarter,” said the 27-year-old who works for a British company in Hong Kong.“Our headquarters in London has a plan…
April 1, 2020

Coronavirus: China’s small factories stabilised in March after lockdown, private PMI shows

Activity at China’s smaller, privately-owned factories strengthened in March, after a weeks-long lockdown due to the coronavirus pandemic, data released on Wednesday showed.The Caixin/Markit Manufacturing Purchasing Managers’ Index (PMI) gave a reading of 50.1, up from 40.3 in February and well above analysts’ forecasts of 45. A figure above 50 signifies growth, while less than that represents a contraction. February’s figure was an all-time low.The survey followed the official manufacturing…
March 31, 2020

Coronavirus will not cause global rice shortage unless panic buying and export bans persist

The world will not run into rice shortages due to the disruption in supply chains caused by the new coronavirus, provided surges in panic buying and export bans do not spiral out of control, industry experts have said.Food hoarding and export controls have stoked anxiety over food security, as the number of coronavirus deaths and infections globally continue to rise.Rice prices rose more than 13 per cent to a six-year high of US$490 per tonne this month, according to the UK-based International…
March 31, 2020

Coronavirus: China should drop 2020 GDP target as pandemic stokes uncertainty, says central bank adviser

A prominent adviser to China’s central bank has suggested the government drop a specific growth target for 2020 as the coronavirus outbreak has caused unprecedented damage to the economy, shedding light on the deep divide over policy in Beijing.“China can hardly achieve the 6 per cent target because of the coronavirus pandemic,” Ma Jun, an academic member of the People’s Bank of China’s monetary policy committee, told the state-owned Economic Daily.“It is also hard to maintain 4-5 per cent…
March 31, 2020

Coronavirus: China’s March PMI steadies, but economy not out of the woods yet

China's economy showed signs of a recovery in March after a nationwide lockdown paralysed business in February, but analysts warned that it is not yet out of the woods.Despite stronger-than-expected government data released on Tuesday, a series of threats lying ahead could derail China’s fragile recovery, including a second wave of infections, a global recession, worsening deflation due to plunging oil prices and a potentially sharp fall in the property market.“While the lowest point is behind…
March 31, 2020

Coronavirus pandemic expected to slash China’s 2020 growth to 2.3 per cent, World Bank warns

The coronavirus pandemic’s economic fallout could cause China’s growth to come to a standstill while driving 11 million more people in East Asia into poverty, the World Bank warned on Monday.The pandemic is causing “an unprecedented global shock, which could bring growth to a halt and could increase poverty across the region,” said Aaditya Mattoo, World Bank chief economist for East Asia and the Pacific.Even in the best-case scenario, the region will see a sharp drop in growth, with China’s…