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Archive for the ‘China’ Category

What about the pink elephant in the corner, DPM Teo?

In China, Public Administration on 17/04/2019 at 11:02 am

I couldn’t but think the above, when I read in the constructive, nation-building CNA:

Despite their vast difference in size, Singapore and China have common issues to tackle, Singapore’s Deputy Prime Minister Teo Chee Hean said on Monday (Apr 15) as he hailed the good bilateral ties between the two countries.

These issues cover areas like economic transformation, skills retraining and managing an ageing population.

Read more at https://www.channelnewsasia.com/news/singapore/singapore-china-have-common-issues-to-tackle-dpm-teo-chee-hean-11447412

Funny he doesn’t mention the area where both ruling parties have a common interest: suppressing fake news.

Our very own, pending, draconian law on fake news ( Fake news law: Ownself judge ownself) sounds very much like what China already has: the ruling party decides what is fake news. But to be fair to S’pore, the PAP govt says that there’ll be an appeals procedure making the judiciary the decision-maker. In China, the judges are subordinate to the party. According to our Constitution, our judiciary is independent.

The CCP way is the PAP way: The PAP way?

 

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Americans love Chinese food

In China on 17/04/2019 at 4:12 am

Chinese cooks were exempted from anti-immigration laws aimed at the the Yellow Peril.

In the 1880s, the US passed legislation barring Chinese workers from immigrating to the US. Only a few categories were exempt – including restaurateurs – and historians say this contributed to a boom in Chinese restaurants in the US.

https://www.bbc.com/news/world-us-canada-47892747

Microsoft & Chinese workers make Jack Ma eat bitter

In China on 16/04/2019 at 4:27 am

Enabled  by US technology (See How Microsoft is subverting China), young Chinese tech workers make Jack Ma eat his words about working overtime ( In China, the 996 schedule means working 9am to 9pm, six days a week) being a “huge blessing” for young workers.

Alibaba Group founder and billionaire Jack Ma again weighed in on the Chinese tech industry’s gruelling overtime work culture on Sunday, this time calling enforced long hours “unsustainable”.

Ma’s comment followed his remarks on Thursday that working overtime could be a “huge blessing” for young workers who found careers they were dedicated to.

He was responding to a debate that has emerged in recent weeks among Chinese tech workers over the 996 schedule, which means working 9am to 9pm, six days a week. Industry workers set up a discussion group called “996.ICU” on the code-sharing platform GitHub, suggesting that anyone working those hours all the time could end up in a hospital intensive care unit with burnout.

“If you find a job you like, the 996 problem does not exist; if you’re not passionate about it, every minute of going to work is a torment,” Ma said in a post on his Weibo account on Sunday.

“No one likes working at a company that forces you to do ‘996’. Not only is it inhumane, it’s unhealthy and even more unsustainable for long periods – plus workers, relatives and the law do not approve of it,” he said. “In the long term, even if you pay a higher salary, employees will all leave.”
Ma added that companies that thought they could profit by forcing staff to work overtime were “foolish” and doomed to fail.

https://www.scmp.com/news/china/society/article/3006127/alibaba-founder-jack-ma-says-companies-forcing-staff-work

Grandpa Xi will not be happy.

Young Chinese workers are “Making America Great Again” by preventing “China from Rising”. Green cards for them, and not for Indians.

How Microsoft is subverting China

In China, Internet on 14/04/2019 at 10:48 am

We read a lot in reputable Western media about how China is attempting to subvert Western liberal democracies. But we don’t hear there about how the US (the Europeans, Antipodeans, Canadians and Japanese juz roll over and play dead ) is striking back, or that China may actually be only defending itself against US subversion.

TrumpLand is using a tactic that Sun Tzu would approve: providing tools to enable lazy, unpatriotic, entitled young Chinese tech workers to demand shorter working hours.

FT headline:

China tech worker protest against long working hours goes viral

Online campaign against working 9am-9pm six days a week hits nerve with youth

It reported that the Chinese organisers are rallying support via a project on GitHub, the Microsoft-owned collaboration platform for coders and developers. The project is called 996.icu, because by working 9am-9pm, six days a week , as the English version puts it, “you might need to stay in an Intensive Care Unit someday”. They insist this is not a political protest.

The movement is being organised by volunteers on collaborative platforms — primarily Microsoft’s GitHub, used for code-sharing, as well as Slack, used for messaging. Both are US tech cos.

JD.com said in response to media reports of employees complaining that their 996 schedule was a way of forcing resignations, “We will not force employees to work overtime, but we encourage everyone to fully invest themselves.” Define “fully invest themselves” please.

Workers of China unite against Chinese tech giants and Make America Great Again.

Why ang moh luxury brands lick Chinese p***ies

In China on 14/04/2019 at 4:19 am

Further to China is Great Again

Chinese consumers account for about a third of the world’s $1.2tn luxury goods sales, according to consultancy Bain, which predicts Chinese luxury sales will grow at a “mid teens” rate this year, down from 20 per cent last year.

Much of that growth is driven by “new wealthy female consumers in their 20s who are purchasing for the first time”, said Erwan Rambourg, an industry analyst at HSBC, which predicts China luxury sales growth of 12 per cent, about half that of 2018.

FT

China is Great Again

In China on 13/04/2019 at 11:00 am

A UK royal (Duchess of Cambridge) and the UK PM wear clothes owned by a Chinese company.

Most of the UK assets of LK Bennett, the fashion and shoe retailer that went bust recently whose customers include prime minister Theresa May and the Duchess of Cambridge, have been sold to a company controlled by its Chinese franchisee.

 

London trashes S’pore

In China, Currencies on 12/04/2019 at 4:45 am

Not reported by constructive, nation-building media. Not unusual. But anti-PAP alt media is silent too. Why? Sad.

According to Swift , the payments company, more than 36% of renminbi transactions were carried out in the UK in December last year, compared with about 6% each in France and Singapore.

Tot PAP govt said we had plans to be a leading off-shore renminbi trading centre.

What went wrong? After all we are already a leading global FX trading centre.

 

Chinese miss out on two of life’s greatest pleasures

In China, Hong Kong on 08/04/2019 at 4:25 am

One is enjoying diary products like fresh milk, butter and cheese because of lactose intolerance:

Approximately 65 percent of the human population has a reduced ability to digest lactose after infancy. Lactose intolerance in adulthood is most prevalent in people of East Asian descent, affecting more than 90 percent of adults in some of these communities.

Lactose intolerance – Genetics Home Reference – NIH

https://ghr.nlm.nih.gov/condition/lactose-intolerance

The other is not being able to enjoy booze by having a combination of genes that puts us off drinking alcohol. It causes an unpleasant reaction and makes them feel unwell.

Further to Fake news on alcohol and stroke, if you did not read the BBC article I referenced there, you’d have missed something the bit about alcohol intolerance:

East Asian countries are useful places to study the effects of alcohol.

Many people with Chinese ancestry have a combination of genes that puts them off drinking alcohol. It causes an unpleasant reaction and makes them feel unwell.

As a result, there is a wide variation of alcohol intake in China – one in three men doesn’t drink and very few women do.

But by comparing the health outcomes of drinkers and non-drinkers according to their genetic profile, scientists say they have been able to assess – with much more certainty than before – the direct effects of alcohol on stroke risk, distinct from any other factors.

Western populations don’t possess these genes, so it would be impossible to carry out a similar study here.

And most studies are observational, which makes it’s difficult to judge which factor is causing what effect.

Dr Iona Millwood, study author and senior epidemiologist at the University of Oxford, said: “Our genetic analyses have helped us understand the cause and effect relationships.”

https://www.bbc.com/news/health-47817650

No wonder, we Chinese compensate for these defects by eating sea slugs, chicken claws, sharks’ fin and other exotics.

 

Downside of China-US trade deal for Asia and Europe

In China, Economy on 06/04/2019 at 1:40 pm

Citi says that should Chinese import capacity not increase and China imports up to an additional US$200bn worth of US goods — “the economies more exposed to China would be the most vulnerable to any adjustment in trade flows”.

Asian economies would be the most exposed if trade flows are adjusted from a proportional market share perspective, while European economies face similar losses across all scenarios.

China tua kee, India sua kee

In China, India on 02/04/2019 at 4:43 am

Last month the Nifty 50 index of Indian stocks gained nearly 8% last month to within touching distance of all-time highs. That beats China’s CSI 300, which rose 5.5% over the same period.

But this monthDragon

Where China leads, the hope is that others follow. Two measures of manufacturing activity for China shifted into expansion mode during March, rising above a reading of 50, helping offset disappointing news elsewhere. That sent the CSI 300 index up nearly 3 per cent and leaves the benchmark in positive territory over the past 12 months.

FT

China’s emerging fintech giant

In Banks, China, Insurance, Internet, Investment banking on 21/03/2019 at 1:53 pm

But first, why China is great again: Chinese insurer Ping An once had HSBC as a large shareholder but is now the largest shareholder in HSBC.

Besides insurance, it’s into banking, securities broking, asset management and has a trust biz.

In recent years Ping An has invested heavily in the development of new technologies including artificial intelligence, facial recognition and cloud computing.

So it’s becoming a tech co, like Goldman Sachs (At least that is what ex-CEO claimed that is what Goldie is).

Shrinking commodity inventories

In China, Commodities, Emerging markets on 07/03/2019 at 5:14 am

Is the CEO of Glencore, the miner and hard commodities trader, talking his book or does he really have a point that commodities are a cheong.

“If you look . . . around the world, we’re at record low levels for a lot of commodities,” he said in late February. “In copper we have 13 days’ supply sitting in inventories. You have zinc down at record levels of eight days’ supply and nickel at 34 days.”

Since then the prices of these have rallied but, then so has most markets.

HSBC: another view

In Banks, China, Emerging markets, Hong Kong on 24/02/2019 at 5:06 am

Further to HSBC: Looking vulnerable, the view from an institutional broker, here’s another view from the Investors Chronicle, a respected retail investor magazine.

It says “Buy: HSBC”

HSBC’s progress is encouraging. That bodes well for the maintenance of its dividend, which was last cut in 2009.

showing the retail emphasis on sustainable dividend. (Think: Hyflux is warning of investing in high dividend yield stocks.)

It says HSBC’s Asia pivot makes it a natural victim of US-China trade rows. Chairman Mark Tucker blamed market weakness during the fourth quarter for lower-than-expected revenue for 2018: must have financed large share purchases on margin.

Combined with a 6 per cent rise in adjusted operating expenses as the lender seeks to expand across the northern China and Pearl Delta areas, this resulted in negative adjusted “jaws” – the difference between the rates of change in revenue and costs — of 1.2 per cent.

In its global banking and markets business, economic uncertainty and reduced primary issuance led to lower adjusted rates and credit revenue. But this was partially offset by stronger demand for securities services and global cash management liquidity.

Retail banking and wealth management were much stronger, posting an 8 per cent rise in net operating income. That business benefited from a 9 per cent rise in lending and improved deposit margins due to rising interest rates.

But mortgage lending grew in the UK and Hong Kong, although margins shrank.

Higher lending and adverse foreign exchange movements across business lines also resulted in an increase in adjusted risk-weighted assets, which reduced the common equity tier one ratio to 14 per cent from 14.5 per cent in the prior year. However, the return on tangible equity improved by 1.8 percentage points to 8.6 per cent, with management reiterating its target to grow that figure to over 11 per cent by 2020.

Expected credit losses were slightly higher than loan impairment charges in 2017: blame Brexit and trade rows. Credit quality in the UK will get worse.

Analysts at Shore Capital expect adjusted net tangible assets of 732 cents (US) a share at the December 2019 year-end, up from 701 cents at the same time in the previous year.

HSBC: Looking vulnerable

In Banks, China, Emerging markets, Hong Kong on 23/02/2019 at 4:49 am

Because investors are likely to be disappointed: slower revenue growth, no share-buy back and dividend yield could go up (share price falls).

JPMorgan Cazenove, a leading UK broker, downgraded HSBC to “underweight” from “neutral” with a 620p target on the back of the bank’s full-year results on Tuesday. Among the broker’s concerns was a rise in funding costs as Hibor — a measure of lending costs between banks in Hong Kong — underperforms Libor, the equivalent UK rate.

Although we rate HSBC’s management highly and view the group on the right strategic path long term, we believe that revenue growth pressures (partly as a result of the changed outlook for US rate hikes, a widening Libor-Hibor gap and macro uncertainty) alongside cost investment needs could weigh on the [return on tangible equity] outlook for longer than we previously thought.”

With HSBC unlikely to deliver an 11% on tangible equity by 2020, its premium valuation of 1.2 times book value looked exposed, JPMorgan said. It added that while HSBC no longer had a capital surplus, but investors continued to expect a share buyback this year.

The dividend of 51 cents (US) should remain stable over the medium term but the yield of 6% (in line with other UK banks) might move higher (i.e. because share price falls) because of the the uncertainties faced,

Why ang moh, Asean telcos love Huawei

In China, Telecoms on 13/02/2019 at 5:31 am

Cheap, good, great tech service. Also bespoke.

[European telcos] want to keep using the Chinese firm’s equipment because they like what it offers, not only in price but quality.

“They’ve two unique advantages,” says one technology chief. “They have significantly more engineers working on R&D than other suppliers and they are prepared to innovate for a specific customer. ”

Huawei’s main competitors are Nokia and Ericsson, but another telecoms operator says “they are seen universally as being well ahead of European vendors”.

The operators also believe that the Chinese competition is forcing the European rivals to up their game …

https://www.bbc.com/news/technology-47160725

Huawei is so good for them that they don’t really care about security?

They say they are fully aware of the security issues around Huawei. They have consulted the experts at the government’s National Cyber Security Centre (NCSC) during the procurement process.

Not only ang mohs prepared to sell out their countries to the Chinese:

Huawei is among the main providers of telecoms equipment for operators conducting 5G trials in the Philippines, Singapore, Malaysia and Thailand.

Industry sources say competitors can’t match Huawei on cost and technological capability.

[…]

One of Singapore’s major telcos M1 has partnered with Huawei to trial 5G services in the country.

Singapore’s telecoms regulator says operators should “ensure vendor diversity to mitigate risks from dependency on any one vendor”, again not banning Huawei outright.

https://www.bbc.com/news/business-47166921

Given the recent cybersecurity problems that we have been having, why are we doing biz with Huawei? So cheap and so gd that the PAP govt can ignore the links between Huawei and China? Is that the reason why the PAP govt refuses to name the country it thinks is behind the SingHealth hack?

Wonder if SingHealth used any Huawei eqpt?

 

Jialat for economy, PAP/ Voters will get back more of their money

In China, Economy on 12/02/2019 at 11:16 am

China’s lunar new year spending growth slowest since 2005
Consumption ebbs as weakening economy hits sentiment and fuels worries over retail sales

Headline of FT article today

China’s economic growth could slow to the weakest level on record (since records began in the early1990s)in the first quarter, reported the Economic Information Daily, a newspaper run by China’s official Xinhua news agency (China’s ST):

It is not difficult to determine that this year our country’s economy will continue to bear pressure, with a conservative estimate for full-year cumulative growth of about 6.3 per cent and the possibility that growth for the present quarter could reach 6 per cent.

Not gd for S’pore and region: “Asean’s potential”: What a load of BS

More goodies using our own money on the way because 4G leaders need big mandate: Why PAP aiming for 65% of the popular vote.

If economy cannot generate higher wages, and property prices (Double confirm, ground not sweet for PAP), only way is Budget bribes goodies using our own money.

Remember you read this first here: “No GST rise until 2015”. Related post: How PAP can win 65% plus of the vote

Goldie says buy industrial metals

In China, Commodities on 09/02/2019 at 4:30 am

Though global growth expectations have been tempered over the past year based on slowing demand in China and the US, the end of the cycle is not nigh. The fall was from a high base and China’s policymakers are taking corrective action to support demand, Goldman said.

Global growth . . . is still sound in absolute terms, ie it implies demand growth that is above supply growth for the majority of commodities. Meanwhile, the lack of tangible capital expenditure on growth projects means that supply growth across the majority of commodities is negligible. As a result, we remain positive on most commodities overall.

Goldman

If metals prices fall, mining shares should prove resilient as, compared with previous downturns, their balance sheets are stronger and their returns are higher, Goldman said. It also said that a US slowdown would weigh on the dollar, which would be positive for commodity producers, and argued that, with the exception of zinc, supply growth remains scarce.

Its top pick in the sector was Anglo American, with the broker also repeating “buy” advice on BHP and Glencore.

When Chinese go to the moon, what do they do?

In China on 13/01/2019 at 7:05 am

They take selfies.

A Chinese rover and lander have taken images of each other on the far side of the Moon’s surface, the BBC reported.

 

Lunar rover

Chang'e-4 lander

https://www.bbc.com/news/science-environment-46836047

How Chinese borrowers and lenders think

In China on 10/01/2019 at 4:41 am

Not the way S’porean borrowers and lenders think

The availability of P2P loans helps borrowers such as Li Boqiu, a 34-year-old Chongqing-based photographer. He waited less than a day for approval for an Rmb100,000 loan from Renrendai to buy equipment for his studio. Although a bank would have charged half of the annualised 24 per cent interest rate, Mr Li would also have had to wait as long as 10 days, with no guarantee of success. (Renrendai is still cheaper than borrowing from a private lending network, which could have cost up to 120 per cent.) “I urgently needed to buy the equipment and approval from a bank would be too slow,” he said. The average size of a Renrendai loan is Rmb79,200, lent out for no more than three years. Mr Cheung estimated 90 per cent of China’s small businesses fail within three years, but is nonetheless confident that a Renrendai borrower can make monthly payments of Rmb2,000 or Rmb3,000. “The business may go bankrupt, but the owner will start a new business or will find a job,” he said.

FT

 

Asian co earnings come from exports

In China on 09/01/2019 at 8:25 am

Needless to say exports to China and US of A.

(Related post: “Asean’s potential”: What a load of BS)

“Asean’s potential”: What a load of BS

In China, Economy on 08/01/2019 at 4:26 am

Our constructive, nation-building media says we got Asean to cushion us from China’s slow down.

Excuse me, China is Asean’s biggest export market. If China coughs, Asean gets a cold. If China slows down, Asean is down with the flu. If China really, really slows down to say 5%, Asean catches pneumonia.

Asean’s potential

Economists say Singapore needs to pivot more to Asean.

As a regional hub, the city-state can benefit from investors diversifying into Asean, but these gains will not manifest so soon.

CPTPP will come into effect on Dec 30 this year.

Mr Seah said there is too much focus on China in previous years.

Data from the Department of Statistics showed that the share of Singapore’s Nodx to China has increased from 1.1 per cent in 1990 to 18.2 per cent in 2017.

The share of Nodx to Singapore’s top three Asean trading partners — Malaysia, Indonesia and Thailand — is comparable to China, but has shrunk from 20.3 per cent in 2003 to 17.5 per cent in 2017.

https://www.todayonline.com/singapore/look-ahead-2019-economy-headwinds-abound-economists-say-silver-lining-lies-asean

For the record: S’pore’s trade-reliant economy will see a slowdown in the next 12 months, according to a survey of economists by the Monetary Authority of Singapore. All 23 respondents cited intensifying trade friction as a risk to growth.

Economists … project that gross domestic product (GDP) growth could ease to 2.6% from an estimated 3.3% for 2018.

https://sg.finance.yahoo.com/news/singapore-economy-five-things-watch-2019-014107270.html

 

igNoble Hse omnishambles puts spotlight two int’l accounting firms

In Accounting, China, Commodities, Corporate governance, Emerging markets on 29/12/2018 at 4:03 am

In the coming yr, investors, creditors and S’porean regulators of Noble will be singing

Fee-fi-fo-fum,
I smell the blood of an accountant from Ernst & Young or PricewaterhouseCoopers,
Be he alive, or be he dead
I’ll grind his bones to make my bread.

The back story

Noble Group is facing insolvency after authorities in Singapore said the crisis-hit commodity trader would not be able to list shares in a new entity, dealing a potentially fatal blow to its emergency debt restructuring.

Singapore’s white collar crime agency, its de facto central bank and the regulatory arm of the country’s stock exchange said they had “significant uncertainties about the financial position of ‘New Noble’”.

In a statement they said “New Noble’s” net asset value could be as much as 45 per cent lower than stated by the company when local standards stipulated by Singapore’s Accounting and Corporate Regulatory Authority were applied.

“It would be imprudent to allow the re-listing as investors will not be able to trade in New Noble’s shares on an informed basis. Monetary Authority of Singapore and Singapore Exchange will therefore not allow the re-listing of New Noble to proceed.”

FT a few weeks ago

The auditors were and are the Hong Kong arm of Ernst & Young

But they are not the only ones facing questions.

Noble Group’s Chief Executive Yusuf Alireza sought to draw a line under a long-running accounting dispute after a report by board-appointed auditor PricewaterhouseCoopers (PwC) found no wrongdoing in the company’s accounting practices.

https://www.reuters.com/article/us-noble-group-accounts/pwc-says-noble-groups-accounting-practices-comply-with-rules-idUSKCN0QF0Y420150810

 

“Nine” not “Eight” is unlucky for Xi

In China on 24/12/2018 at 10:43 am

Why “Nine” is his and the CCP’s unlucky number.

China gets nervous about the number nine. Years ending in nine bring a clutch of awkward anniversaries that worry China’s leaders. In 2019 it is 100 years since the May Fourth Movement, a much-celebrated protest, and 30 years since the bloody suppression of student-led demonstrations in Tiananmen Square.

https://worldin2019.economist.com/fromtheeditor

The fully monty: https://worldin2019.economist.com/xijinpingsworries

 

Deluded Pine Court pigs still dreaming? They related to TRE cybernuts?

In China, Economy, Financial competency, Property on 17/12/2018 at 1:43 pm

Further to PAP whacks greedy pigs even greedier pigs

two en bloc projects are raising their asking prices.

[…]

Pine Grove near Ulu Pandan Road also raised its price in October by S$140 million to S$1.86 billion, in a bid to secure a majority consensus needed to launch a public tender.


Back to 2011

They were gunning for S$2.17bn in 2011 but failed to get anyone to even smell. Analysts said at the time said S$1.3 bn to S$1.4 billion was doable. Details in Even greedier en-blockers

Now only dropping from S$2.17bn to S$1.86 bn.  They think developers more stupid then them is it? They had better realise that Old private flats’ value can also fall off a cliff.

But then they most probably have the same mental defect as TRE cybernuts such as tax dodging Oxygen, pork eating and alcohol drinking Bapak, cheap-skate BS artist Zhenzidan and always and lying rukidding. All cousins leh suffering from the belief that only they are right and everyone else is wrong. One group thinks that S’poreans will get rid of the PAP at the next GE, the other that their properties are worth a lot more than the mkt price. Both have been proven wrong, but persist in their beliefs.


The other deluded, greedy pigs?

Those living in

Mandarin Gardens along Siglap Road, for instance, upped its asking price by close to 12.5 per cent to S$2.79 billion in November, after finding out that the land parcel it sits on was undervalued.

Whatever

Analysts said raising the asking price would likely deter developers, especially for mega sites.

“Very often sellers are only interested in what they’ll be getting – that means the premium they’ll be getting – and omit the other costs developers will acquire for the plot of land,” Huttons’ Mr Lian explained.

“It’s not just the reserve price – it’s also the lease upgrading premiums, the differential premiums, the 5 per cent non-remittable ABSD (Additional Buyer’s Stamp Duty) plus the 25 per cent remissible ABSD if they cannot sell all their units within the five-year period.”

Knight Frank’s Dr Lee said that some en bloc sellers may have a “loss aversion” mindset when it comes to selling their properties.

“Some of them may have probably bought them at quite high prices and are generally only willing to sell if prices are above a certain mark,” he added.

“In the case of Pine Grove and Mandarin Gardens, they may find their product is very unique and so they want to push up prices … But it might be a bit difficult because there are other options – many options – available in the market.”

Read more at https://www.channelnewsasia.com/news/business/more-than-30-en-bloc-bids-fail-to-find-buyers-cooling-measures-11035028

They also don’t realise that there’s a trade war looming between China and US looming and we’ll suffer

Singapore’s non-oil domestic exports (NODX) growth fell more than expected in November with shipments to most of its major trading partners declining, official data showed on Monday (Dec 17).

Exports fell 2.6 per cent in November year-on-year, data from the trade agency International Enterprise Singapore showed, falling sharply from the revised 8.2 per cent rise the month before.

This was weaker than the 1.2 per cent increase predicted by economists in a Reuters poll.

On a seasonally adjusted month-on-month basis, exports contracted 4.2 per cent in November after growing 4.2 per cent in October. The poll predicted a 0.6 per cent expansion from the month before.

Trade to top markets like China, Indonesia and Europe declined. Exports to China fell 16 per cent in November from a year earlier, compared with the previous month’s 25.8 per cent decline.

Electronics exports rose 4.5 per cent in November from the year earlier, recovering from the 3.6 per cent contraction seen in October.

https://www.todayonline.com/singapore/singapore-november-exports-fall-faster-expected

(Related post: PAP needs strong Chinese economic growth)

But then they most probably have the same mental defect as TRE cybernuts such as tax dodging Oxygen, pork eating and alcohol drinking Bapak, cheap-skate BS artist Zhenzidan and always lying rukidding. All cousins leh suffering from the belief that only they are right and everyone else is wrong. One group thinks that S’poreans will get rid of the PAP at the next GE, the other that their properties are worth a lot more than the mkt price. Both have been proven wrong, but persist in their beliefs.


 

Xi the real global polluter

In China on 02/12/2018 at 10:47 am

In When Trump is right about lying media, I mentioned that Trump loves “beautiful, clean” coal. Well here’s why Xi’s the real coal lover

For years, the increase in the number of Chinese coal-fired power stations has been criticised.

Now environmental groups say China is also backing dozens of coal projects far beyond its borders.

https://www.bbc.com/news/science-environment-46310807

Real reason why Tun doesn’t want Chinese money?

In China, Malaysia on 01/12/2018 at 5:47 am

Further to What Tun doesn’t say about Chinese money if he can use his own contractors he’ll embrace Chinese money, no matter what the cost? As fatcat abc points out, to get Chinese money condition must be to “use Chinese contractors & companies for the infrastructure jobs”.

What Tun doesn’t say about Chinese money

In China, Malaysia on 30/11/2018 at 6:33 pm

Xi should ask this guy to call Tun and explain things to him. LOL

Tanzania’s President John Magufuli has said he prefers Chinese to Western aid as it comes with fewer conditions.

Mr Maugufuli has been under intense pressure from Western nations over his controversial policies.

On 15 November, Denmark said it had suspended $9.8m (£7.5m) in aid because of “unacceptable homophobic comments” by a Tanzanian politician.

China has become a major investor in Africa, challenging Western influence on the continent.

It has promised to spend $60bn in investment, aid and loans in Africa over the next three years, mostly in infrastructure development.

“The thing that makes you happy about their aid is that it is not tied to any conditions. When they decide to give you, they just give you,” Mr Magufuli said.

https://www.bbc.com/news/world-europe-46364342

What’s gd for GM is gd for China

In China on 27/11/2018 at 11:03 am

In an interview with The Wall Street Journal, Mr Trump said GM should stop making cars in China.

So no longer true that “What’s good for the country is good for General Motors, and vice versa.”? This statement was made by Charles E. Wilson while president of the General Motors Corporation, a leading United States automobile manufacturer in 1953. Wilson later became secretary of the federal Department of Defense.

The statement has frequently been misquoted as “What’s good for General Motors is good for the country.”

 

M’sia will benefit from Sino US trade war

In China, Malaysia on 18/11/2018 at 10:38 am

M’sia is smiling:

“We’ve got so many inquiries that our greatest problem is how to ramp up capacity,” including in electronics, steel production and automation from both China and the U.S., Malaysian Finance Minister Lim Guan Eng told reporters Sept. 13 in Hong Kong. “Once they come in it is very hard to pull out.”

https://www.bloomberg.com/news/articles/2018-09-18/u-s-china-trade-tussle-is-creating-winners-in-southeast-asia

Because

Vietnam and Malaysia stand to attract the lion’s share of ICT capacity that leaves China for two main reasons, the EIU said. The first is that an ICT supply chain already exists in these countries, with Samsung and Intel having a significant presence in Vietnam and Dell, Sony and Panasonic having plants in Malaysia. The other factor in their favour is that both Malaysia and Vietnam are signatories of free trade agreements, including the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), which also includes Mexico, Canada and several Asian countries (but not China).

FT

And because

For the car parts industry, the main country beneficiaries of an expected shift in capacity outside China are Thailand and Malaysia.

FT

No wonder George Yeo (Remember him?) is looking at his bank statement and smiling

Malaysian billionaire Robert Kuok’s Kerry Logistics Network Ltd. is seeing “numbers are looking up a bit more” as companies divert distribution centers from mainland China and into places like Hong Kong and Taiwan, and parts of Southeast Asia, according to the company’s chairman, George Yeo.

“They’re thinking of the next factory, and they’re less likely to put it in China,” Yeo, a former trade and foreign minister in Singapore, told Bloomberg Television Sept. 14. He acknowledged that some firms already were planning to move business to lower-cost manufacturing sites outside of China.

Bloomberg

Finally

Malaysia could see the benefits both as a  trans-shipment point and because it’s a neutral country in which Chinese and American companies both would have an interest in investing.

Bloomberg

Ang moh special forces to protect Xi

In China on 15/11/2018 at 11:16 am

Where are the Red Guards? Skivving isit? Or not trusted?

Port Moresby is hosting the Asia Pacific Economic Co-operation (Apec) summit this week,

Australia, the US and New Zealand have sent special forces to make sure that attendees (including one Grandpa Xi) will be safe given the place’s reputation for violence.

Grey Rhinos, Chinese Puzzles Galore

In China on 10/11/2018 at 9:36 am

Further to China afraid of Black Swans and Grey Rhinos here’s where the Chinese first used the term “grey rhinos”

From NYT Dealbook over a yr ago (Btw, all the three cos mentioned below are in Grandpa Xi’s doghouse)

“Risks in the financial sector are sophisticated. Therefore, precautionary measures should be taken to prevent not only ‘black swan’ but also ‘gray rhino’ events.”
— Unsigned commentary in People’s Daily, the main newspaper of the Chinese Communist Party.

 

While the West may worry about unexpected events, sometimes called black swans, the focus in China is on problems that are large and very visible: gray rhinos.
You’ll recognize some gray rhinos because, until recently, they’ve been on buying sprees: Anbang, Fosun, HNA and Dalian Wanda.

Worth remembering: The recent crackdown on China’s once-celebrated international deal-makers comes straight from the top, from President Xi Jinping.

The Ups and Downs of Chinese Deal Making

 Enthusiasm for big deals with Chinese conglomerates is starting to cool.
Bank of America has decided not to do business with HNA, the huge conglomerate that The New York Times found had been giving business to relatives and associates with little disclosure to investors.
The problem? Bank of America is concerned about HNA’s shareholding and corporate structure, its complex business model, allegations concerning political connections, and Chinese regulatory interest in the company.
“We simply don’t know what we don’t know, and are not prepared to take the risk,” Matthew M. Koder, Bank of America’s president for Asia Pacific, wrote in an email.
Bank of America had been talking to HNA about new lending partnerships, according to a person with direct knowledge. It has also been among the banks helping HNA to take at least one of its many companies public.
 The beleaguered Dalian Wanda tore up a $9.3 billion agreement to sell a portfolio of hotels and theme parks and found a new buyer for the hotel properties.
After reaching a deal last week to sell the whole lot to the property firm Sunac China Holdings, Wanda announced that it would sell Sunac only the theme parks. The hotels will instead go to the Guangzhou-based R&F Properties — but for $3 billion, where the deal last week valued them at $5 billion.
The hasty reorganizations have raised concern about the due diligence being conducted. It also highlights the pressure that the Chinese government is putting on the country’s deal makers to reduce their piles of loans.
 The retail giant Suning has come under attack on Chinese state television over “irrational” foreign acquisitions, The Financial Times and Reuters reported.
In a program focused on risky overseas deals, China Central Television referred to Suning’s purchase of a 70 percent stake in the Italian soccer club Inter Milan as an example of a move that potentially raised concerns.
“This famous club has been loss-making for five years, with total losses of 275.9 million euros,” said the narrator. “What is the purpose of acquisitions like this?”

PAP’s thinking is Xi’s thinking

In China, Political governance on 09/11/2018 at 10:05 am

Further to What next? Senior civil servant saying that those who don’t vote PAP don’t wish S’pore well? where I quoted our London ambassador sneering at the ang moh way of alternating opposing parties in power

The alternative—a constant merry-go-round of contending parties—does not necessarily produce better outcomes. Politicians fail to keep the promises they make, the people become disillusioned, and eventually lose faith in democracy. Witness the low voter-turnouts in many Western democracies.

Doesn’t this sound like u/m?

Chinese leaders are too cynical about elections in the democratic West, and about the lessons that even messy campaigns can offer. They are not cynical enough about their own authoritarian system, refusing to see how it induces a sort of democracy-blindness. Even well-informed officials and scholars misread political dynamics around the world.

https://www.economist.com/china/2018/10/20/china-is-misreading-western-populism

Related posts:  Keeping power in a one-party state and Would this happen in a one-party state?

 

 

China afraid of Black Swans and Grey Rhinos

In China on 09/11/2018 at 4:14 am

Black swans, and grey rhinos, are likely to occur this year with adverse consequences, Fan Hengshan, vice secretary general of the National Development and Reform Commission (NDRC), wrote in a commentary in the state-controlled newspaper, Reuters reported recently.

Black swans are unforeseen occurrences. Grey rhinos are highly obvious yet ignored threats. China’s debt problem is a huge grey rhino.

PAP needs strong Chinese economic growth

In China, Economy, Indonesia, Malaysia on 07/11/2018 at 10:54 am

Looking at chart, it’s no wonder our finance minister is really worried if Trump paks China really hard. S’pore’s very dependent on Chinese growth because China is an integral part of Asian supply chains.

South Korea, Taiwan, S’pore, M’sia, Indonesia, Thailand and the Philippines have all benefited from the rise of China as a manufacturing power, especially since the global financial crisis.

Singapore assessing 2019 forecasts amidst escalating trade spat: Finance minister

Singapore has already witnessed a slash in business investments amidst the looming trade wars.

Finance minister Heng Swee Keat thinks that Singapore may have to look out on its economic growth projects for 2019 amidst the escalating US-China trade tensions that have pumped up uncertainty for business investments.

“In the short run, the impact is not fully felt yet,” with Singapore retaining its growth forecast for this year at 2.5% to 3.5%, Heng said in an interview with Bloomberg Television. “But any trade tension that sets back globalization will affect everyone, including the countries that are directly involved, but also collateral damage right across all economies.”

Heng acknowledged that the Lion City had already witnessed the effects of the trade war through increased uncertainty and reduced investment by businesses, noting that next year’s situation will depend on how the situation will unfold in the next few months.

The ‘global production frontier’ being diminished could allow a prolonged trade war to severely disrupt the global supply chain thereby hitting countries with long-term growth challenges, the minister said.

“Our priority areas remain for economic restructuring,” Heng explained. “The other big area is looking at infrastructure development” with urbanization being a major trend in Asia.

Here’s more from Bloomberg.

 

S’pore, Asean in trouble if Renminbi collapses below 7 to US$

In China, Currencies, Economy, Emerging markets on 27/10/2018 at 1:29 pm

Further to Trump’s US$ trumps Xi’s Renminbi

if the renminbi breaks thru  7 to the US$, this has

broader repercussions for other emerging market countries, already under pressure. This includes the likes of Indonesia, India and the Philippines. India’s rupee has slumped some 15 per cent to a record low versus the dollar this year. Other China-linked exporters such as Singapore, South Korea, Thailand and Malaysia would also see their currencies come under pressure. Then there’s the Australian dollar, seen as a more liquid proxy to play China and its economic outlook along with copper and other industrial metals — today the Aussie dropped to a new two-year low just above $0.70.

FT’s Market Forces

Trump’s US$ trumps Xi’s Renminbi

In China, Currencies on 27/10/2018 at 9:57 am

Yesterday, the renminbi touched Rmb6.9462 to the dollar, its weakest level since 2008 on Friday.

The cont’d rise and then collapse of renminbi during Xi’ reign (starting in Nov 2012). When Trump became president the renminbi rose, then collapsed.

S’pore invited to WTO reform meeting: US and China not

In China on 07/10/2018 at 6:10 am

No, not fake news, but Canadian politics and diplomacy at work.

Canada has not invited the US or China to a high-level meeting on reforming the World Trade Organisation (WTO).

The country will host a “small group of like-minded” trade ministers in Ottawa in late October to discuss the global trade body.

Officials say countries like the US and China will be included at a later date in the reforms discussion process.

The European Union, Australia, Japan, Singapore, and South Korea are expected to attend.

Brazil, Chile, Kenya, Mexico, New Zealand, Norway, and Switzerland are also invited to the 24 and 25 October meeting.

https://www.bbc.com/news/world-us-canada-45674264

The hero of the progressives and femnists around the world, PM Trudeau, must still be feeling upset, hurt and confused over having to lick Trump’s ass. Canada had to make concessions to the US in trade talks.

Jack Ma warns Sino US “war” could last 20 years

In China on 19/09/2018 at 7:08 am

Trump’s serious about a trade war and Alibaba’s Jack Ma warns trade war could last 20 years.

“It’s going to be a mess.  It’s not a trade war, it’s about competition between two countries.”
,

Africans vote, Chinese mint money

In Africa, China on 11/09/2018 at 4:36 am

A rainbow of flags, posters, T-shirts and scarves emblazoned with the names and faces of dozens of African politicians on display in the windows of more than a dozen shops make for a startling sight in the middle of the southern Chinese city of Guangzhou, writes Tom Hancock.

From presidential contenders from the Republic of Congo and Ghana to Nigerian senators and Kenyan members of parliament, Guangzhou’s Tongxin Road has found a niche in the global economy: exporting campaign products to candidates on the continent seeking an edge over their rivals.

The vibrant picture of democracy on display is evidence of Africa’s reliance on Chinese manufacturing: something that African leaders want to change. The sheer volume of the voting — this year will see at least 30 regional or national polls in 24 African countries, according to the Electoral Institute for Sustainable Democracy in Africa — and their demand for products makes for a booming business for Chinese factories selling paraphernalia for African elections.

“Usually for an election we will have tens of thousands of items,” said Amy Zhang of Xu Yang Advertising and Printing, which supplied candidates in Kenya and the Republic of Congo. “Customers don’t choose high-end products. For a normal election we will sell T-shirts for less than Rmb12 [$1.90] each” she added, picking up a 2016 election scarf bearing the name of Gabonese President Ali Bongo Ondimba.

FT

Let’s thank Trump and Xi for rowing

In China, Tourism on 01/09/2018 at 5:29 am

Big league conference moved here from Beijing

Fallout from the trade war between the United States and China has prompted billionaire media executive Michael Bloomberg, the former mayor of New York City, to relocate a conference of global business and political leaders from Beijing to Singapore.

The event, touted as a rival to Davos, the elite annual conclave in Switzerland, is to take place in Singapore over two days in the first week of November.

Mr Bloomberg made the decision after a Chinese partner last week asked the organisers in New York to postpone the event, according to people with knowledge of the planning.

PAP govt must be doing shumething right, right?

SME caught in Sino Trump tarrif war

In China on 27/08/2018 at 10:25 am

Joyce and her dad have only recently found that the speakers they make in their Chinese factory could see a 25% tariff placed on them when they are sold in the US. Speakers are on the most recent list issued by Washington that targets $200bn worth of Chinese goods.

The tariffs have yet to come into effect – in fact, they are currently only under consideration – but both Joyce and her dad are extremely worried about the impact on their company. More than half of their business in China consists of producing speakers for the US market.

https://www.bbc.com/news/business-45247000

Fortunately they have a plant in Vietnam:

they are already thinking of moving their production to Vietnam to mitigate the Chinese tariff threat.

Still they’ll suffer as these things take time.

Let’s wish them all the best.

Still game to buy into Chinese mgt?

In Casinos, China, Corporate governance on 26/08/2018 at 4:31 am

Landing International Development, a Chinese casino operator on Jeju island, South Korea
slid 19% last Friday after company told HKSE that it was unable to contact its chairman. Insiders must have been selling on Thursday because the price fell by a bigger %age that day: before the announcement.

 

Two-face Tun/ Why vote PAP

In China, Malaysia on 21/08/2018 at 7:09 am

While KPKBing about China raping M’sia, he said in a joint statement with Xi that M’sia would continue to be part of the Belt and Road Initiative — despite its reservations about the programme.

And so like Trump who he criticises: “I agree free trade is the way to go, but, of course, free trade should also be fair trade.”

PAP govt is right to insist that M’sia lives up to its legal obligations what with two face Tun as PM in KL.

The quisling who wanted us to sell our backsides to Tun has gone back to talking about food on social media. As for those Oppo figures who cheer on Tun, with enemies like them the PAP doesn’t need friends.

Our fragile neighbours

In China, Emerging markets, India, Indonesia, Malaysia on 18/08/2018 at 11:31 am

Think the woes in Turkey are irrelevant to us? Far away Muslim country.

Well look at this table https://fingfx.thomsonreuters.com/gfx/breakingviews/1/951/1238/index.html

If Turkey goes, M’sia (6th with Turkey as Number 1) and Indonesia (8th) are likely to get into trouble.

As could Thailand (15th), India (10th), China (12th) and S Korea (14th)

Xi swallows Trump’s sperm

In China, Commodities on 17/08/2018 at 4:59 am

OK, OK it’s Ownself pay Ownself’s Fees.

China imposed a 25% tariff on US soya beans as part of the trade war, and a ship carrying soya beans from the US failed to dock in time to beat the tariff imposition.

One for the Xi?

Well a few weeks later, with the ship still hanging round the Chinese coast, the Chinese customer, state-owned conglomerate Sinograin is paying the US$6m tariff bill so it can get the beans.

More ships are on the way from the US.

FT

One for the Trump.

Trump wins bigly

In China on 07/08/2018 at 4:49 am

Last night, S&P 500 gained 0.4%, eyes record high

Earlier in the day Trump ramped up trade rhetoric, and Chinese stocks slid (the CSI 300 index of big stocks in Shanghai and Shenzhen fell 1.3%). Yuan kept falling.

Meanwhile reports keep coming out from Beijing that Xi is being criticised for going against a former principle of Chinese statecraft

Maintain a low profile. Never take the lead – but aim to do something big.

Deng Xiaoping

US winning big against China

In China on 06/08/2018 at 4:32 am

In a series of tweets on Saturday, Trump said the US market was “stronger than ever”, while the Chinese market “has dropped 27 per cent in last 4 months, and they are talking to us”.

He’s wrong about the “4 months” though: Chinese stocks have lost $2.29tn in value since their high in January, falling 27%.

US elite education and AI

In China on 04/08/2018 at 4:19 am

Big advances in AI research are more likely to come from the US due to our education system which needs improvement. But in use of AI in everyday life, China will lead

Cheetah Mobile’s Fu Sheng

HoHoHo: StanChart disappoints, again

In Banks, China, Emerging markets, Hong Kong, Temasek on 02/08/2018 at 3:56 am

On Tuesday (London time), StanChart reported half-year operating income of US$7.6bn, 6% more than in the same period last year. The stock dropped 3.5% trading because operating income was below expectations. Blame higher IT spending: costs in general have outgrown revenues by a whole percentage point. Not good.

FT’s Lex

StanChart investors must be counting on costs soon falling, relative to revenues. The hope should be for a leaner and cleaner bank ready to grow at the bottom of the next cycle.

adding

Shares in HSBC, another London-listed bank with an Asian focus, have climbed 63 per cent in the past two years, compared to 13 per cent at StanChart.

 

 

S’poreans and mainlanders are the real Chinese

In China, Hong Kong, Property on 29/07/2018 at 5:12 am

Honkies and Taiwanese are not,

We and mainlanders don’t believe in renting short term (99 yr leases are not short term rental leases no matter what Goh Meng Seng and other cybernuts think)

Made in China

In China on 27/07/2018 at 5:20 am

the ARJ-21, a disaster of an aircraft that the country’s own regulators forbid from flying in the rain for safety reasons.

Economist

Lucky we only bot PRC railway carriages, not trains. For once Hard Truth that ang moh tua kee is betterest turned out well, even if ang moh is French, not German.

Prosperity with S’porean, Chinese characteristics

In China, Media on 26/07/2018 at 10:56 am

Unique to both China and S’pore

Further to Bang yr balls ang moh tua kees

The case for a free press rests not only on classical liberal principles but also on hard data. Cross-country studies show strong and consistent associations between unfettered media, vibrant democracies and limited corruption. China, which has a tightly controlled media and perhaps the world’s most sophisticated censorship scheme, thinks it has proven that prosperity can be achieved without a free press. In less extreme fashion, Singapore shares similar authoritarian attitudes. Politicians everywhere do not much like to be criticised. To a worrying number of them, this Singapore model—or Beijing model, depending on preference—can prove more attractive than the Western approach of putting up with a pesky press.

https://www.economist.com/graphic-detail/2018/07/23/the-global-slump-in-press-freedom

Related posts

PAP’s bible challenges “market-based solution”

The PAP way is the American corporate way

Keeping power in a one-party state

Chinese tariffs on US soya backfiring

In China, Commodities on 21/07/2018 at 4:28 am

US soyabean prices plus the tariffs and freight to China were approaching parity with Brazilian soyabeans and shipping costs, limiting a further move upwards on the premium unless there was a dramatic shift in Chinese demand.

FT on Thourday

Chinese will be paying a lot more for soya and meat.

M’sia right to fear Chinese gifts

In China, Malaysia on 20/07/2018 at 4:05 am

Because they are Indian givers, as this highway to nowhere proves https://www.reuters.com/article/us-china-silkroad-europe-montenegro-insi/chinese-highway-to-nowhere-haunts-montenegro-idUSKBN1K60QX

Bringing in Chinese companies to build billions of dollars worth of freeways never seemed like a good idea in Montenegro, a southern European country of just over 600,000 people. But now the debt load of one such project has forced the country to freeze some public sector wages and even end a government benefit for mothers.

 

Right time for Trump to declare economic war?

In China on 07/07/2018 at 11:15 am

Think about it.

The EU is really having problems getting its economy to fire.

The Chinese are trying to deleverage the economy (all those debts) but afraid that moving too fast could cause a really bad economic slowdown or recession leading to riots.

Meanwhile the US economy is firing on all cylinders, rocket-boosted by tax cuts. It might overheat.

So a trade war now for the US could cause the US to cool down while causing serious damage to Europe and China.

What better time then now for the US to start a war that damages everyone but affects it least?

Trump’s not a dotard after all?

US beats s*** out of China again

In China, Currencies on 29/06/2018 at 5:10 am

The renminbi fell for a fourth successive session, hitting its lowest point against the dollar of 2018. The US dollar is heading for its biggest monthly rise against the offshore renminbi since the early 1990s.

And yesterday, Wall St recovered from a really sharp fall the previous day which was a wild ride: on Wednesday market was up strongly, then reversed sharply, losing its initial gains and a lot more.

But

there was no respite for Chinese stocks, as the CSI 300 index closed at a fresh one-year low, taking it deeper into bear market territory.

FT

America is Great Again.

 

Why Trump thinks he’ll win trade war with China cont’d

In China on 27/06/2018 at 5:06 am

Further to the equity mkt falls referenced in Why Trump thinks he’ll win trade war with China,a 0.5% fall in the Shanghai Composite Index yesterday left it more than 20% from a two-year high hit in January. it’s now officially in a bear market.

Meanwhile, last night, US equity indices recovered some of the previous day’s sharp falls.

And the Chinese currency also weakened to a fresh six-month low while the US$ is up.

Trump is making Making America Great Again.

S$ currencies tua kee

In China, Currencies, Indonesia on 26/06/2018 at 4:09 am

As emerging mkts currencies are sold off, Sino and Indo currencies remain steady versus Trump’s $.

Next mkt China wants to corner

In China, Infrastructure on 25/06/2018 at 4:24 am

Global electricity suppy via ita Global Energy Interconnection initiative.

The first stage, set to run until 2020, involves investment in domestic grid assets within other countries. The second phase would see the knitting together of some of those grids and that generation capacity.

FT

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Some Western observers see a geopolitical strategy on a par with China’s Belt and Road Initiative, a grand design that seeks to boost Chinese-led infrastructure investment in more than 80 countries around the world.

 

 

 

 

 

Why Trump thinks he’ll win trade war with China

In China on 24/06/2018 at 4:39 am

On June 19th Mr Trump said he would slap a 10% tariff on an additional $200bn worth of Chinese goods. The new policy, which followed an announcement by the White House on June 15th that it would push forward with the original tariffs announced in March, sent markets plummeting. Stock exchanges fell around the world, from Tokyo to London to New York. Unsurprisingly, the losses were most acute in China, where the Hang Seng share index closed down 3% and exchanges in Shanghai and Shenzhen fell by 4% and 5%.

https://www.economist.com/graphic-detail/2018/06/20/americas-trade-spats-are-rattling-markets

Falls in US were peanuts compared to Chinese, HK because as Reuters Breakingnewsputs it

Any [Chinese] reprisals probably would have a limited effect on the Dow Jones Industrial Average and other stock indexes. Though Apple generates about a fifth of its top line in China, listed U.S. companies overall find only about 4 percent of their revenue in the People’s Republic, according to Morgan Stanley research. And it’s far-fetched to think China will stop buying Boeing aircraft or Intel chips.

M’sia: Time to buy?

In China, Emerging markets, India, Indonesia, Malaysia on 21/06/2018 at 4:28 am

M’sian mkt being ignored. One of least crowded emerging markets. Thailand and China look vulnerable because everyone’s there. Indonesia, Pinoy Land, Taiwan, Korea and India are in between. 

HoHoHo: Another great Temasek investment?

In China, Temasek on 16/06/2018 at 10:30 am

When Hainan Airlines, HNA’s flagship carrier and HNA’s main cash generator, earlier this week, said it would sell up to 20% of its Shanghai listed shares to 10 investors among whom was one Temasek Holdings, cybernuts were screaming “Sure to lose money”.

Well they might like to know that China is leaning hard on its banks to support troubled HNA’s refinancing activities.

A person familiar with HNA’s investment in Deutsche Bank said the German lender saw the call to support the bond issue as positive. “It’s not a bailout but support in financing, absolutely different to Anbang.”

FT

So a stake in HNA’s crown jewels, Hainan Airlines, sounds a good deal.

Whatever, with enemies like Phillip Ang (cybernuts go-to person for financial advice and analysis on our SWFs) and Uncle Leong, the PAP govt doesn’t need friends like Fabrications About the PAP or Calvin Cheng. Sad.

Einstein didn’t like us yellow slit-eyes

In China on 16/06/2018 at 4:05 am

According to a piece in the Guardian about the diaries, he describes Chinese children as “spiritless and obtuse”, and calls it “a pity if these Chinese supplant all other races”.

In other entries he calls China “a peculiar herd-like nation,” and “more like automatons than people”, before claiming there is “little difference” between Chinese men and women, and questioning how the men are “incapable of defending themselves” from female “fatal attraction”.

https://www.bbc.com/news/science-environment-44472277

But “Chinese defend Einstein’s portrait of their people as ‘filthy’ and ‘obtuse'”: https://www.theguardian.com/world/2018/jun/15/chinese-defend-einsteins-diaries-filthy-obtuse

Jack Ma is a patriotic parrot

In China on 15/05/2018 at 4:29 am

From NYT Dealbook sometime back. He should remember that Xi had to beg Trump not to kill ZTE.

Jack Ma on what a trade war would cost the U.S.
The Alibaba Group co-founder asserted in a WSJ op-ed today that the U.S. risked throwing away a huge opportunity to make money in China, because his home country may soon become an enormous consumer. From his piece:
“It is therefore ironic that the U.S. administration is waging a trade war at a time when the largest potential consumer market in the world is open for business.”
Yet economists point out that China is still an offender on intellectual-property theft and restricting its market to foreign companies — even as they worry that tariffs will backfire. (The Fed is worried, too.) But Larry Kudlow has urged calm, even as he didn’t rule out tariffs coming before negotiations with Beijing.
Elsewhere in trade: While the U.S. wants a Nafta deal by next month, Mexican negotiators are still balking at some Washington demands.

Trump’s Chinese allies in China trade war

In China on 03/05/2018 at 4:19 am

His fifth column in China, juz as China has US retailers and MNCs as their fifth column in the US (Don’t know what fifth column is? Think of what the PAP thinks of our ang moh tua kees esp one PJ Thum.).

Or how a Chinese boycott of U.S. goods could backfire.

Beijing is aware of the importance of American companies to China’s economy. Ernan Cui, a consumer analyst at the research firm Gavekal Dragonomics, said a boycott could have many victims.

“Due to the integration of the economies, whatever China does to the U.S. will end up hurting itself,” Ms. Cui said.

Lots of Chinese work for US MNCs directly and a lot more indirectly.

And notably, many of those products are made by Chinese workers. Factories in China assemble iPhones, stitch up Nike apparel and footwear and make Chevrolets and Fords. It isn’t clear how many jobs this creates, but the American Chamber of Commerce in China said that more than one-third of its 800-plus member companies have more than 1,000 employees in the country.

“China needs the U.S., the U.S. needs China,” said Max Baucus, a former United States ambassador to China. “We are joined at the hip economically.”

US cos are big investors

The United States has also supplied much of the investment underpinning China’s economic growth. Between 1990 and 2017, America pumped more than $250 billion into China, according to a report by the Rhodium Group and the National Committee on United States-China Relations.

“The U.S. multinationals have been playing a very critical part of China’s development story, providing investment, technology, brands,” said Erlend Ek, trade research manager of China Policy, a Beijing-based advisory firm.

“They have a very good relationship with each other.”

Then US cos help China become great.

There’s another reason that Beijing may be reluctant to try a boycott: American multinationals are aiding the Chinese government in some important projects. IBM and Walmart, for example, are collaborating with the e-commerce company JD.com and Tsinghua University to improve food safety in China, a priority for Beijing.

Thewn Chinese love US products like iPhones, McDonalds (edible),Starbucks coffee (even if it’s crap), KFC congee and chicken (both rubbish), and Nike shoes (made in China).

And finally they eat lots of meat. Cattle, chickens and pigs need imported feed and if US feed is banned or taxed heavily, feed (and meat) will be a lot more expensive.

U.S.-China trade war’s time line/ EU is US ally

In China, Economy on 23/04/2018 at 4:17 am

 

Remember a trade war will hurt property prices badly: Why en-blocers could be in for a nasty surprise.

From NYT’s Dealbook

The timeline for a potential U.S.-China trade war

As the U.S. and China continue to posture over trade — alarming U.S. farmers, many of whom are in key electoral districts in the Midwest — it’s worth noting three upcoming dates, Peter Eavis writes.

On May 1, exemptions to the tariffs on imported steel and aluminum expire.
On May 22, the public comment period ends for another $50 billion worth of tariffs, and the Trump administration can announce a final list of targets.
And Aug. 18 is potentially the deadline for the administration to act on an investigation into Chinese trade practices. But there’s a provision for a 180-day delay after that.
Key caveats: President Trump has the power to pursue trade policy almost at whim. And a W.T.O. proceeding against China could take years.

Is the E.U. bending to Trump on trade?
With its $16 trillion economy and reputation for tough negotiating, the E.U. could have been the immovable object in President Trump’s trade fight. But that is looking less likely, Peter Eavis writes.
Why? The WSJ reports that the E.U. is prepared to offer concessions to avoid Mr. Trump’s threatened tariffs on imported steel and aluminum that Mr. Trump has threatened — perhaps reducing tariffs on American cars and industrial parts, and joining the U.S. in pressuring China on trade and investment rules.
Among the lessons if the E.U. concedes: The U.S.’s large trade deficits can give it leverage.
Beijing appears keenly aware of the risks here and is sure to press its case at a China-E.U. summit in July.

 

China: Paper tiger in South China Sea

In China on 31/03/2018 at 4:56 am

A Chinese academic (The Chinese equivalent of brown noser Eugene Tan and other local academics?) said “The aircraft US carrier has stayed long within this region. China now is showing that it’s not afraid.”

He was referring to the USS Carl Vinson, a US supercarrier that sailed very slowly through the waters in the South China claimed by China in February and the massive naval China exercise now on the way.

If the Chinese had balls, they’d have carried out their exercise when the carrier group was sailing in waters claimed by China. They most probably were afraid that the US were trying to get them into a Gulf of Sirte incident.

In 1981, the Libyans flew two planes near a carrier group that it claimed infringed their territorial waters. The US shot them down claiming it had fired on their aircraft.

Then as now the US had a president that was no talk cock sing song artiste like Obama, a Democrat. Not only is Trump president but Mad Dog Mattis (Military call sign “Chaos”) is his defence secretary.

 

More on Meng Seng’s ignorance of Chinese history

In China on 30/03/2018 at 11:32 am

Further to Meng Seng doesn’t know his Chinese history, here’s more evidence that he was BSing about Chinese history: that China is a really peace-loving nation. It’s like any other major nation: expanded from one area by conquering and killing the neighbours. No difference from US of A, UK, France, Russia, Germany, Iran etc

From Quora

We have an example of what happens when large amounts of Chinese take over another land already occupied by non-Chinese people. In the 16th century, the Qing dynasty defeated the Ming dynasty, so 30,000 Ming dynasty remnants retreated to Taiwan (where the native population was believed to be about 100,000) and formed the Kingdom of Tungning. The Dutch were already there though but were kicked out by the Chinese/Japanese Ming loyalist Koxinga in history’s first seige between gunpowder armed Europeans and East Asians.

The Dutch may have already set an example for the Chinese on how to ‘deal’ with the native Taiwanese, as many had already been converted to Christianity. When Chinese forces won they went about re-educating natives from Christian to Confucian beliefs and replaced Churches with Confucian temples. The Dutch had already set a system of trade/exploitation of native resources too, which the Chinese continued. When the Qing dynasty took over Taiwan, they basically maintained the same system.

[I highlighted the bit about SE Asia yesterday in Oversea Chinese not real Chinese]

The writer ends

From these two different examples of Chinese colonies you can see how they might have interacted with the Americans. Taiwan gives an example of how Chinese attempted to assimilate/conquer the natives, Southeast Asia gives an example of how Chinese were assimilated by the native culture.

Oversea Chinese not real Chinese

In China, Indonesia, Malaysia on 29/03/2018 at 8:55 am

And when the Javanese helped the Chinese in Java

When the Dutch took over Indonesia in the 1700’s, they segregated Chinese merchants and workers that otherwise lived among the Indonesians, culminating in the 1740 Batavia massacre where Chinese were targeted for death. While the Dutch embassy to the Qing dynasty apologized for the East India’s company’s murder of ethnic Chinese, the Qing Emperor told them that any Chinese who leaves Qing territory is no longer Chinese, so he didn’t care. The only people willing to help the Chinese were the Javanese they lived with, leading to the Java War (1741–43) against Dutch rule.

The rest of the Quora article which talks about the Chinese coming in SE Asia before the 19th century migrations.

Ask the Indonesians/Malaysians


In the 1200’s, the Yuan dynasty’s fleet invaded Java but was repelled by the Singhasari kingdom, which in turn benefited from captured Chinese technology such as better ships. A century later the Ming dynasty would send their treasure fleets through Southeast Asia in a mission of peaceful trade, with some Chinese muslims staying behind to join the Muslim communities of Southeast Asia.

The Ming dynasty eventually established a peaceful relationship with the Muslim Malacca sultanate, with thousands of Fujian Chinese immigrating there. When Malacca fell to Portugal, the Ming dynasty responded with a boycott of Portuguese goods (only trading with Malaysians), even executing Portuguese envoys/bandits (sources vary), the Ming dynasty already had previous problems with Portuguese pirates. Relations with Portugal would improve over time though.

When the Dutch took over Indonesia in the 1700’s, they segregated Chinese merchants and workers that otherwise lived among the Indonesians, culminating in the 1740 Batavia massacre where Chinese were targeted for death. While the Dutch embassy to the Qing dynasty apologized for the East India’s company’s murder of ethnic Chinese, the Qing Emperor told them that any Chinese who leaves Qing territory is no longer Chinese, so he didn’t care. The only people willing to help the Chinese were the Javanese they lived with, leading to the Java War (1741–43) against Dutch rule.

 

Outline of Trump, China deal cheers mkts

In China on 28/03/2018 at 4:38 am

The US last week announced proposed tariffs against China, which sent US and Asian markets tumbling.

But China’s premier Li Keqiang said on Monday that China and the US should maintain negotiations.

Mr Li’s comments followed those made earlier by US Treasury secretary Steven Mnuchin, who told US media on Sunday he was “cautiously hopeful” that the US and China could come to an agreement on trade issues.

NYT Dealbook reported on Mon morning NY Time as mkts cheonged (Tuesday NY mkts recovering from Monday’s rise)

Behind Washington and Beijing’s back-channel tariffs talks
After a Friday that saw the markets sink amid fears of a trade war, the U.S. and China are holding high-level talks to defuse tensions, the WSJ reports. Leading them: Treasury Secretary Steven Mnuchin, U.S. Trade Representative Robert Lighthizer and Liu He, Beijing’s economic czar.
Among Washington’s requests, in a letter to Mr. Liu, were lower Chinese tariffs on American cars and more freedom for Wall Street firms to expand in China.
Mr. Mnuchin told “Fox News Sunday” that he believed the recent rate increase by the Federal Reserve was to blame for recent market declines, not tariffs. He added, “We’re not afraid of a trade war, but that’s not our objective.”
News of the talks have lifted markets in Asia and Europe, while S.&P. 500 futures jumped this morning. It will also undoubtedly ease the fears of C.E.O.s, economists and foreign leaders and allies who have openly fretted about the prospect of a trade war. A sample quote, from Larry Fink of BlackRock: “The world does not need a public fight in which we reduce future opportunities.”

Cybernuts’ Guide to Trump pak China

In China, Economy on 26/03/2018 at 4:48 am

Summary: Be happy because global trade will suffer and thus S’pore very dependent on global trade (Why S’pore’s growth is so gd this year) will suffer.

Chief cybernut, Oxygen, already sending out invitations to his “PAP will collapse soon” party

Alternative view from EDB: Really? “Singapore Says Asian Growth Helps Offset U.S. Trade Threat”(From early last year)

From NYT’s Dealbook

Will the U.S.-China trade fight be a flicker or an inferno?
They’re here. President Trump imposed $60 billion worth of tariffs and penalties on Chinese goods. China is threatening tariffs on $3 billion worth of U.S. goods like nuts, wine and pork. Now S.&P. 500 futures and markets in Asia and Europe are down this morning, following yesterday’s steep sell-off (which was driven in large part by Boeing).
The context: Mr. Trump has made subtext — China is the U.S.’s main economic rival and must be treated as a strategic competitor — text. Few in the U.S. are happy with Beijing’s trade and intellectual property policies. But the world is now watching to see whether the fight turns out to be a spat, or a prolonged and damaging conflict.
Peter Eavis’s take: A trade fight that eventually relaxes some of China’s disadvantageous conditions could bolster the long-term prospects of U.S. firms. And if the U.S. is able to recruit other countries to its cause, China may relent. Still, much could go wrong.
On the other tariffs: The E.U. is still waiting for confirmation of exemptions from the imported metals tariffs. They may get quotas instead. Meet Century Aluminum, the tiny manufacturer that pressed for those penalties.
Critics’ corner
Stephen Gandel of Gadfly writes, “Trump’s tariffs and especially his protectionist rhetoric threaten to cut more and more of the world off.”
Paul Krugman writes, “America has much less trade leverage over China than Trump imagines, and a trade war with ‘China’ will anger a wider group of countries, some of them close allies.”
The WSJ editorial board writes, “A rising and aggressive China poses considerable risks to world order, but persuading its leaders to conform to trading norms requires more than scattershot tariffs.”

 

Meng Seng doesn’t know his Chinese history

In China on 21/03/2018 at 10:04 am

Our very own Wu Sangui (Silence of Goh Meng Seng) who wants us to kowtow to Xi because China’s a peaceful nation doesn’t know his Chinese history because he doesn’t know how China was created: by emperors who waged war. And he was from a Chinese-language school?

Or he is a lackey of Xi?

From Quora

The first great conqueror of China was Ying Zheng, the king of Qin. Roughly contemporaneous with Alexander of Macedon, he conquered all the states of the North China Plain by 220 BC at age 38 and proclaimed himself Qin Shihuang. In the next few years, he campaigned southwards and expanded the Chinese world further than it had ever reached. By the time he died, the Qin Empire stretched from the edge of the Eurasian steppe into the jungles of Vietnam. This realm was similar in size to Alexander’s empire and had a similar aftermath. Neither empire outlasted its founder’s death for long, but although the expanded Hellenic world created by Alexander collapsed within 300 years, the Sinosphere continued to expand over millennia.

Later emperors would rule even larger polities. For example, Li Shimin, who founded the Tang Dynasty alongside his father whom he would go on to depose went on to rule an empire even larger than Rome’s. Tang soldiers occupied swathes Korea, the jungles of Vietnam, and even marched across thousands of miles of desert and mountains to subjugate territories in Afghanistan and Central Asia. Although the Tang never settled the Mongolian steppe to their north, they succeeded in annihilating the Eastern Turkic Khaganate that ruled it, eliminating the nomad threat for generations. All of this was accomplished in a single lifetime.

The Tang are in yellow while the subjugated polities on their borders are in brown

.

And the above left out Han Wu-ti. More from another Quora contributor

And several Qing emperors

China’s friends in the US

In China on 21/03/2018 at 4:10 am
The enemies within?

U.S. companies warn the White House on China tariffs

Forty-five trade groups, including the U.S. Chamber of Commerce, urged President Trump not to move forward with sweeping tariffs on Chinese goods.

Here’s what Thomas Donohue, the C.E.O. of the chamber, said:

“The livelihood of America’s consumers, businesses, farmers, and ranchers are at risk if the administration proceeds with this plan.”

NYT Dealbook

India thinks it’s China’s rival?

In China, India on 20/03/2018 at 4:14 am

More like vassal.

India is the biggest beneficiary of the Chinese-led Asian Infrastructure Investment Bank. India takes a quarter of all its investment commitments to date despite India thinking China is its rival

India benefits from AIIB loans despite China tensions

Delhi overlooks security concerns to pick up $1bn in infrastructure funding
FTY headline

Chinese fraud in US executed from S’pore

In Banks, China on 17/03/2018 at 4:42 am

Bank of America Merrill Lynch recently agreedto pay US$1.4 million to settle S.E.C. allegations that it didn’t do enough to investigate red flags at a Chinese company Longtop Financial Technological, a Chinese software company accused of fraud in 2011 whose unregistered securities it sold.

The sales occurred in a brokerage account opened in a Singapore branch of BofAML and were executed by traders in New York at the direction of the Singapore office, according to the SEC. In 2013, BofAML sold Merrill Lynch’s international wealth management business, including the Singapore branch office.

Trump can’t count

In China on 13/03/2018 at 5:40 am

Doesn’t know difference between US$1bn and US$100bn.

Mr. Trump tweeted that he has asked Beijing to reduce its trade deficit with the U.S. by $1 billion, adding, “We must act soon!”

NYT’s Dealbook

US$1bn is “peanuts” in the context of a trade deficit with China of more than US$500bn.

Seems he meant US$100bn.

Maybe taz why although he’s worth slightly more than US$3bn, he thinks he’s worth a lot more. He can’t count.

Meng Seng wants us to kowtow to Xi

In China on 07/03/2018 at 10:17 am

Actually I’m just being polite: the guy who helped (Was he paid? Or did he do it out of the goodness of his heart because he loved the PAP?) the PAP’s preferred candidate to win in PE 2011 by

— persuading TKL to run;

— then running a shambolic campaign for TLK;

— and then saying he had to go to HK for a job interview,

wants us to lick Xi’s ass, suck his [expletive deleted] and get screwed by Xi, all at the same time. Image result for Goh Meng Seng

Don’t believe me? Here’s what he wrote:

Although we might not want to subject ourselves totally to China’s dominance but it would be naive to think that we could go head on against it, thinking that we should be more superior in any context.

Notice the dog whistles he’s sending that we must kowtow to Xi.

Lest I be accused of taking his statement out of context, here’s his piece telling us that China is the nice guy, not a bully. Everything that China did wrong should be blamed on the Mongols and Manchus who were not Chinese: not the Chinese. Btw, /www.quora.com/Do-Chinese-people-consider-the-Manchu-Qing-dynasty-to-be-Chinese-or-do-they-consider-it-to-be-an-invasion-like-the-Yuan-Dynasty.

Imperialism of the Day

I was a bit curious when I read about PM Lee’s praise of LTK’s speech. I actually bother to do a search and listen to his speech.

I was a bit shock when I heard him saying that China might become an “Imperialist Power” and behave like Japan during the Second World War! It cannot be the case that the negative nuance of such provocative suggestion could escape a seasoned Chinese educated politician like LTK!

Curiously, LTK didn’t mention much about European’s Colonialism nor the “Imperialist Dominance” of the Americans in the last century over Vietnam up till today’s world.

Imperialism exists throughout history and even in modern times, it still exists in many different forms.

But to use Japan as a corresponding example to China is basically an attempt to add salt to past wounds and mockery aimed at the Chinese government.

If these words come from some American or Western educated person, I would have just smiled or laughed away but for a person who is well verse in Chinese history, both modern and ancient history, to utter such words, is really socking and provocative.

The Chinese hated the Japanese for the invasion and atrocities done in WW II. To make comparison of China between them as potential Imperialist, is considered as a rude attempt to mock China. Such sensitivity should not escape a Chinese educated mind.

Japanese Imperialism started long before WWII when it annexed Korea. Due to geo-political reasons, Japanese had always harbor the intention of attacking and conquering China. Throughout history, many of the Chinese dynasties have been fighting off Japanese invasions or piracy along the eastern coast.

Except for the Mongolian Yuan Dynasty, which was considered as a foreign dynasty set up by foreign invaders, most of the 5000 years of ancient Chinese dynasties were contended with their own immediate territories.

There were tributary systems set up in Chinese history but basically, these states were just left alone. Interesting enough, on the contrary, quite a number of Chinese dynasties were formed by “Foreign invaders” like the Mongolians, Manchurian and they were constantly invaded by the Western and Southern tribes.

To suggest China having Imperialistic tendency is basically a hypothesis without any basis or historical backing. Unlike Japan, historically speaking, Chinese has not shown any such ambition to rule the world. Chinese dynasties are mostly inward looking and sometimes, even Xenophobic which resisted interaction with foreign states. Chinese dynasties might have requested tributes from other states but that’s basically out of Imperial Egos more than anything else.

Westerners were the ones who created colonialism out of their Imperialism. Japanese learned from the Western powers. But China? Most of the time it was the victim of such Imperialist Colonialism.

I do not like one party rule in China as well as Singapore. I do not like Communist rule in China as well. [Err so how come he telling Honkies that they should kiss China’s ass? He’s making himself really unpopular among the progressives in HK.] But we have to look at the REAL ACTUAL context and refrain from direct agitation or provocation against the emerging powers like China.

When we recognize ourselves as just a small little tiny city state, then it would only be wise to stay focused on the balance.

We had subjected ourselves to British and American Imperialism before and we had swallowed it while maximizing every opportunities we could find in between. That’s the cruel reality we face throughout history.

The problem of Economic-Political dominance by any huge country or Super power is a common problem that small countries face throughout history. But very few will stick their heads out and get slammed in the end.

I would say that the problem lies with the stubborn mindset of “superiority” of the past which doesn’t want to change according to the dynamic change and shift of geo-economic and political balance.

Those in powers must realize that we are no longer “superior” in any terms over the “long backward China”. The feeling of uneasiness and threats is the result of the dissonance between past egoistic superiority mindset entrapped in current awe of a rapid emerging power in China.

Although we might not want to subject ourselves totally to China’s dominance but it would be naive to think that we could go head on against it, thinking that we should be more superior in any context.

For a start, such provocative speech by politicians should be avoided. We can show concern, worries or even urge for more effective strategies to deal with an emerging giant at our doorstep, but the last thing we need is to provoke it.

Goh Meng Seng

Btw, do remember that he’s a fan of Amos who says sex with children is OK. The above pix of Bozo’s brother was taken at a “Support Amos” do.

Want to slime WP Low, but kanna sai instead by TRE readers. I’m on their side.

Bearing gifts to the White Hse?

In China on 03/03/2018 at 5:48 am

Liu He, Beijing’s top economic adviser, met with American business leaders like Jamie Dimon of JPMorgan Chase and David Solomon of Goldman Sachs amid heightening trade tensions between China and the U.S.

NYT Dealbook

He’s on his way to Washington. Well Trump and his officials by imposing tarrifs on imported steel and aluminium on nation security grounds are telling China that BS is no longer an option as it was when Obama was POTUS.

So will he be bearing gifts from one empewror to another?

The US wants China to buy US gas and oil, lots of it. And China does need energy though having the US as a major supplier, is like putting a noose round its neck. Before Pear Harbour, the Americans had just stopped selling steel (scrap I think) to the Japs. It would have caused economic problems for the Japs.

Noble is crap to be flushed away

In China, Commodities, Corporate governance, Emerging markets, Energy on 01/03/2018 at 7:32 am

I’ve been taking a keen interest in the once Noble House because I tot it might look interesting post restructuring even if it would have a very high debt burden after swapping debt for equity.

Well its warning of bigger losses (now confirmed*) put paid to my interest because the latest losses were coming from coal trading the business it was going to focus on post restructuring, and which was the basis of it being nubbed “Noble House”

I’ll let the FT do the talking:

One of Noble Group’s biggest shareholders has said senior management has yet to show it can turn round the commodity trader after it reported a $5bn annual loss, one of the largest ever in Singapore.

Goldilocks Investment, which took an 8.1 per cent stake in the crisis-hit company last year, said the fact the core business of coal trading continued to lose “millions every month” raised doubts about a rescue plan involving a massive debt-for-equity swap.

*https://www.reuters.com/article/us-noble-grp-results/noble-group-plunges-to-4-9-billion-loss-in-talks-to-wrap-up-debt-deal-idUSKCN1GC172

HoHoHo: More money for Budget

In Banks, China, Emerging markets, Hong Kong, Temasek on 28/02/2018 at 5:50 am

Soon, Temasek will be contributing a bit more to the Budget.

“StanChart restarts dividends as profit returns” is the FT’s headline on the turnaround in StanChart. It stopped paying dividends several years ago.
And there’s still plenty of room for it to improve
[D]espite stellar economic growth in Asia, which accounts for over two-thirds of underlying pre-tax profit, the group is still destroying economic value. Return on equity, at 1.7 percent or 3.5 percent excluding exceptional items, is still far below the group’s cost of equity, which is probably more like 10 percent. Costs are rising, even as the group clamps down on loan losses.

After years of retrenchment, Winters needs turbocharged revenue growth and restraint on costs to hit his modest medium-term target for an ROE of 8 percent. Suppose operating costs grow just 2 percent annually, with flat loan losses and restructuring charges and taxes at 30 percent. StanChart would need 7 percent annual revenue growth to fulfil its aim by 2020, according to a Breakingviews calculation. That is more than double last year’s rate and at the top of the bank’s projected 5 to 7 percent range.

https://www.breakingviews.com/considered-view/stanchart-shareholders-pay-winters-a-compliment/

If things work out at StanChart (and elsewhere), maybe GST increase can be delayed? Dream on, pigs will fly first.

Update at 7.30am Chris K responded:

News like this does not impact the NIR Temasek delivers the budget becos the contribution is based on expected real returns over the long run.

I responded:

So long as no transparency shows how flakely is NIR. It’s want the PAP administration says it is.

New Chinese way of screwing employees

In China on 17/02/2018 at 4:08 pm

From NYT Dealbook

HNA’s new money source: its workers
The Chinese conglomerate has about $90 billion in debt from splashing out on things like Deutsche Bank and Hilton Hotels. Its borrowing costs are going up, and asset sales are becoming necessary — it’s under the gun to find more money.

Which is why it appears to be asking employees for cash, according to Alexandra Stevenson and Cao Li of the NYT:

In an email dated Jan. 4, one HNA unit told employees that it needed nearly $8 million to fund a duty free business. It advertised a 9.8 percent annualized interest rate. One week later, HNA’s media and entertainment arm said it was looking to raise nearly $80 million from employees, pledging strong returns and a plan to build up the business.

Hellish journey: PRCs returning home for CNY

In China on 15/02/2018 at 5:38 am

As most PRCs take the slow train home for the reunion dinner, they have themselves to blame for the smelly part of the ordeal.

Unilever brought deodorant to China dreaming of a market with 2.6 billion armpits, but struggled against beliefs that it’s healthy to sweat. Other companies have hit similar cultural difficulties. (NYT)

NYT Dealbook

If only they didn’t love smelly armpits, the journey home would be a little more pleasant.

Trump has point on free trade

In China on 11/02/2018 at 5:28 am

Trump doesn’t believe in free trade and decries that China is a beneficiary of US free trade policies.

China juz following US’s playbook of overtaking the UK in the late 19th century, early 20th century.

China’s economic success lays bare an uncomfortable historical truth: No one who preaches “free trade” really practices it. (NYT)

NYT Dealbook

Trump not that stupid. Btw, he went to Wharton.

HO HO HO: How Shi**y is StanChart?

In Banks, China, Emerging markets, Hong Kong, India, Temasek on 30/01/2018 at 6:11 am

In 2016, when China as a country grew at close to 7 per cent, StanChart’s revenue across greater China and north Asia declined by 15 per cent. While Southeast Asia GDP grew by nearly 5 per cent, StanChart’s revenue there shrank by 5 per cent. And in Africa and the Middle-East, another fast-growing region, the bank’s revenue was down 4 per cent. StanChart’s full-year numbers for 2017 have yet to be published, but at the last count its ROE was running at about 5 per cent …

Today’s FT

India and China not walking the talk

In China, India on 25/01/2018 at 6:48 am

India can “pak” China. US cannot. India should remember it’s sua kee, not tua kee like US and China.

India’s Prime Minister Narendra Modi spoke against tariffs at the World Economic Forum in Davos in an apparent reference to the US measures, although India’s own finance ministry is planning a 70% tariff on Chinese solar panels.

“Forces of protectionism are raising their heads against globalisation. Their intention is not only to avoid globalisation themselves but they also want to reverse its natural flow,” Mr Modi said.

BBC report

But he’s most probably apeing Xi. Last yr at Davos Xi espoused global trade but his policies since then showed he was not walking the talk. Latest example:

Of the contractors working on China-funded transport infrastructure projects in 34 Asian and European countries, 89 per cent were Chinese, leaving 11 per cent from elsewhere, according to the study by the Center for Strategic and International Studies, a Washington-based think-tank.

FT

 

Tomorrow China, The Day After S’pore

In China, Internet, Political governance, Public Administration on 19/01/2018 at 6:46 am
Further to

Why does PM wants a cashless payments system?

Because no-one can hide from Big Brother when the banks are at the centre of the system.

Why PM wants a cashless payments system

from NYT Dealbook late last yr

The tech that will power China’s police state in the future.

The World Internet Conference in Wuzhen wasn’t just a gathering to show off the latest in Chinese gizmos, like a version of the Consumer Electronics Show. It also offered a glimpse of how new advances in artificial intelligence and facial recognition can be used to track citizens, and how they have become widely accepted.

From Paul Mozur of the NYT:

Investors and analysts say China’s unabashed fervor for collecting such data, combined with its huge population, could eventually give its artificial intelligence companies an edge over American ones. If Silicon Valley is marked by a libertarian streak, China’s vision offers something of an antithesis, one where tech is meant to reinforce and be guided by the steady hand of the state.

Big Brother is watching you. thanks to the the internet and other technology.

Related post: Coming here, China’s new tool for social control?

 

Noble House rebuilding

In Accounting, China, Commodities on 18/12/2017 at 2:58 pm

Commodities trader Noble Group Ltd is negotiating a debt restructuring program with its creditors to stay out of an insolvency process and expects to receive proposals soon, its chairman said on Friday.

https://www.reuters.com/article/us-noble-grp-debt/noble-group-locked-in-talks-with-creditors-to-restructure-debt-idUSKBN1E9180

What is interesting is that FT reports that the creditors may swap their debts for equity. Should that happen present shareholders including sovereign wealth fund China Investment Corp, one of its its biggest shareholders, will be heavilt diluted.

Could be an interesting play then for the brave as there’ll be leverage and the new shareholders will have an incentive to keep the credit lines open. I’m looking at what assets remain.

The Noble House is dead. Long live the Noble House.

 

HNA: From hero to zero

In China on 17/12/2017 at 5:50 pm

But China Inc helps out prodigal son.

From NYT Dealbook

A beleaguered Chinese conglomerate soldiers on
Goldman Sachs and Bank of America won’t work with it anymore. Investors are starting to feel spooked. But HNA is still doing deals — with help from its country’s lenders.
Several Chinese lenders have indicated that they could extend HNA’s credit lines despite concerns that the conglomerate has spent too much on foreign acquisitions, at least according to HNA.

Doing biz with PRCs

In China on 25/11/2017 at 4:56 am

No wonder, S’poreans get taken to the cleaners when dealing with PRCs.

A Chinese conglomerate paid millions of dollars in bribes to officials in Chad and Uganda in exchange for oil rights in their countries, according to a criminal complaint filed in Manhattan. (NYT)

Hedge funds are demanding better terms from multibillion-dollar buyouts involving Chinese firms. (Bloomberg)

From NYT Dealbook

Only the Taiwanese outsmart them. Even the Hongkies just manage to avoid getting outsmarted.

The PAP way?

In China, Media on 21/11/2017 at 5:52 am

The government doesn’t refute critics or defend policies; instead, it overwhelms the population with positive news (what the researchers call “cheerleading” content) in order to eclipse bad news and divert attention away from actual problems.

This has allowed the … government to manipulate citizens without appearing to do so. It permits just enough criticism to maintain the illusion of dissent and only acts overtly when fears of mass protest or collective action arise.

Sounds like the way the PAP does things with the help of the constructive, nation-building media.

No leh. It’s supposed to be the Chinese way: https://www.vox.com/world/2017/8/2/16019562/china-russia-internet-propaganda-media


“Why CCP’s fears are PAP’s fears”

Keeping power in a one-party state

————————————————–

But maybe the CCP learnt from the PAP? It was one of the things that Deng learnt from LKY? After all when LKY came into power, he made sure that the local newspapers, tv and radio all became part of the PAP’s constructive and nation-building team.


Address to the General Assembly of the International Press Institute at Helsinki on 9 June 1971

“What role would men and governments in new countries like the mass media to play?… The mass media can help to present Singapore’s problems simply and clearly and then explain how if they support certain programmes and policies these problems can be solved. More important, we want the mass media to reinforce, not to undermine, the cultural values and social attitudes being inculcated in our schools and universities.

[Several paragraphs later] Freedom of the press, freedom of the news media, must be subordinated to the overriding needs of the integrity of Singapore, and to the primacy of purpose of an elected government.”

——————————————————-

Their job was (and is) not to critick LKY’s govt but to be its cheerleaders.

Example from MediaCorp’s reporting (Might was well juz publish the speech):

The trust between the People’s Action Party (PAP) and Singaporeans will be tested in the coming years amid social and economic disruptions afflicting the world, party secretary-general Lee Hsien Loong warned activists on Sunday (November 19) at the PAP convention.

And it is during this period, that the trust built by the ruling party “painstakingly over more than 60 years” will be more important than ever, said Mr Lee, who is also the Prime Minister.

Stressing the need for good policies to help Singaporeans cope with the challenges, he also urged Members of Parliament (MPs), activists and “key people throughout our society” to preserve the “good politics”.

He noted that in western democracies, the trust between mainstream political parties and the people has essentially broken down, and the parties “no longer seem to represent the common man’s interests”.

“We must never let this happen in Singapore. The PAP must always pursue policies which benefit the broad majority of Singaporeans,” he said.

“The PAP must always hold the ground, stay close to Singaporeans and maintain their trust and confidence.”

Adding that it will not be an easy task to achieve goals such as upgrading the economy, creating good jobs, building world class infrastructure and preparing for an ageing society, Mr Lee said that in order to implement the policies, “we must get our politics right”.

The people must support the PAP, he said.

“Most of all, they must trust the PAP,” he added.

“They must know that the party cares about them, and is working to improve their lives.”

Mr Lee said this does not mean the government should do only popular things. From time to time, it also has to make hard choices and take difficult decisions.

“And when we do so, we must be upfront with Singaporeans” in explaining the rational and getting their support, he said.

“Even if people may not like the specific policy, we must convince them that we are doing it with good intentions, and for good reasons,” he said.

He reiterated the people “must know the PAP not as a remote, impersonal government, but as their team, as a human, personal preference – your caring MP, your friendly branch secretary, people whom you know, people who have shown that they can get things done, and will help you through difficulties and improve your lives,” he said.

 

Got KFC outlet like this here meh?

In China, Uncategorized on 07/11/2017 at 5:45 pm

I’m not a fan of KFC food, so not been in or near outlet for years. From NYT Dealbook

Fast food gets a reboot in China: tuna-pesto paninis, paid for by facial recognition. When Michelle Xian wandered into one of the fast-food restaurants at a shopping mall here on a recent weekday, she didn’t realize it was a KFC. The modern décor featured an open kitchen and hanging plants, and the menu included tuna-and-pesto paninis and quinoa-and-corn salads. Customers were busy placing orders via smartphone, using QR codes printed on tables, or through a facial-recognition system that matches their images to their Alipay digital wallets.
“I don’t normally go to KFC because it’s not that healthy,” said Ms. Xian, 30 years old, who ordered a chicken sandwich before being told where she was. “This is more aligned with new trends.” – The Wall Street Journal

Xi’s an interner sui kee

In China, Internet on 25/10/2017 at 4:29 pm

Mr Xi has

more power than any Chinese leader since Mao Zedong. He is the first living leader to be mentioned in the party’s charter since Mao.

https://www.economist.com/news/china/21730590-does-mean-no-one-can-challenge-him-xi-jinpings-thinking-ranked-alongside-maos

But he and China were nowhere to be found last week when

Tech giants Microsoft, Facebook, Twitter and Google have agreed to do more to remove extremist content within hours of it being posted.

The accord was decided at a two-day meeting between the G7 nations and the tech firms, hosted on the Italian island of Ischia.

http://www.bbc.com/news/technology-41693777

Where’s China, Alibaba and Tencent? Not tua kee enough isit?

Xi and Jack Ma and the head of Tencent must be banging their balls balls that despite China’s billions of internet users it and its  leading cos are not an internet super power, unlike Canada, France, Germany, Italy, Japan, the United Kingdom and the United States, and Microsoft, Facebook, Twitter and Google.

They just like Putin and Russia: internet pygmies.

Temasek into PAPpy food

In China, Temasek on 25/10/2017 at 10:05 am

FT reports that Hosen Capital, New Hope (a Chinese agricultural group) and Temasek have bought the Real Pet Food Company. They paid A$1bn for the Australian pet food group.

The plan to is to sell dog food in China.

And it’s not juz ordinary dog food that this company produces. It’s gourmet dog food.

In the S’pore context, it’s food meant for PAPpy dogs like ST and Mothership journalists, not the pariah dogs that pee, crap and bitch on TRE.

When China refuses to take FTs from the West

In China on 20/10/2017 at 4:21 pm

The West has a problem.

Imagine the world as a global waste disposal system. Now imagine it with a blockage.

And what if that waste is backing up around the world, reappearing in places where you really don’t want it to be.

That blockage is about to happen in China and the flood is going to start seeping out into waste disposal operations around the world.

Three months ago, China decided to ban 24 different grades of rubbish as part of its “National Sword” campaign against foreign garbage.

Until now China has been importing millions of tonnes of the world’s waste every year to feed its recycling industry.

http://www.bbc.com/news/business-41582924

Indians love Chinese smartphones

In China, India on 02/10/2017 at 7:21 am

In the latest quarter, it was reported that almost half of all smartphones sold in India were from Chinese brands, such as Xiaomi, Vivo and Oppo.

Cheap and good.

Indian govt is not happy.

RSN and RSAF have global reach/ Why PM is still in Xi’s doghouse

In China on 05/09/2017 at 5:59 am

Our navy is not just a coastal maritime defence force. While it isn’t a blue water navy, its ships can sail to the Pacific island of Guam and back:

The Republic of Singapore Navy (RSN) and the United States Navy (USN) have completed the inaugural bilateral Exercise Pacific Griffin in the waters off Guam, the Ministry of Defence (MINDEF) said on Monday (Sep 4).

Read more at http://www.channelnewsasia.com/news/singapore/singapore-us-navies-complete-inaugural-exercise-off-guam-9182794

Sailing there and back were two frigates, RSS Stalwart and RSS Supreme, and an Endurance-class landing ship tank RSS Endurance.

Meanwhile,

The RSAF’s KC-135R Stratotanker completed a three-month deployment to the region, “performing more than 50 missions, refuelling US and Coalition aircraft in the USAF Central Command’s area of responsibility”, the RSAF said in a Facebook post on Sunday (Sep 3).

Read more at http://www.channelnewsasia.com/news/singapore/rsaf-brought-fuel-to-the-fight-for-us-led-coalition-against-is-9182630

Time to start training with and helping out China? But then the US would be upset. But then PM can expect to be invited to Xi’s OBOR parties for friends only.

Will we offer help to China?

In China on 02/09/2017 at 6:59 am

If there’s a natural disaster in Fujien or anywhere else along the coast?

The four Republic of Singapore Air Force (RSAF) CH-47 Chinook helicopters from its Peace Prairie detachment in Grand Prairie, Texas have arrived on site to assist in the US’ Hurricane Harvey disaster relief operations, Singapore’s Ministry of Defence (MINDEF) said on Thursday (Aug 31).

According to the ministry, the RSAF’s Peace Prairie detachment has worked together with the Texas Army National Guard in the past, including relief operations after Hurricane Katrina in 2005, fire-fighting and flood relief operations in Texas in 2000, and Hurricane Floyd relief operations in North Carolina in 1999.

Read more at http://www.channelnewsasia.com/news/singapore/rsaf-chinooks-arrive-to-assist-in-hurricane-harvey-disaster-9172930
Read more at http://www.channelnewsasia.com/news/singapore/rsaf-chinooks-arrive-to-assist-in-hurricane-harvey-disaster-9172930

So if China has a natural disaster will S’pore offer China our help? After all we have military assets in Taiwan.

Cashless payments system are passé for really smart nations

In China on 01/09/2017 at 11:21 am

Smart nations are moving on to blockchain-based currencies.

Estonia, a country that prides itself on being at the cutting edge of digital technology, is floating the idea of a currency called estcoins.

http://www.bbc.com/news/technology-41047744

And China’s central bank has declared its intention to issue its own blockchain-based currency.

Pak China, destroy Taiwan

In China on 27/08/2017 at 4:58 am

The top eight exporters from China to the US are not PRC-owned but are ultimately Taiwanese-owned, according to Nomura.

So if Trump imposes sanctions on China, Taiwan is really in trouble.

 

NYT discovers that Chinese internet firms are big

In China, Internet on 22/08/2017 at 2:16 pm

Can’t stop laughing that this fan of Hilary Clinton and hater of The Donald (he returns the hate) has only just discovered the existence of big Chinese internet firms.

From NYT Dealbook

The new Silicon Valley may be in China.
America’s technology giants have new neighbors as the Chinese companies Alibaba Group and Tencent Holdings have quickly become darlings of global investors by dominating their home market.
Alibaba and Tencent are among the world’s most highly valued public companies, with market capitalizations twice as big as the longtime tech leaders Intel, Cisco and IBM.
They have joined an elite club of tech companies worth $400 billion and up that has been dominated by American businesses: Apple, Amazon, Facebook, Google and Microsoft.
“We’ve come to the point where China has finally caught up with the U.S. in the internet space,” said Hans Tung, a managing partner at the venture capital firm GGV Capital.
Alibaba and Tencent have grown to prominence by dominating e-commerce and online life in China, the world’s largest internet market. Their growth has come as Western companies, such as Facebook, have been blocked by the country’s tight internet controls.
This week, Alibaba and Tencent reported financial results that were well ahead of analysts’ expectations and point to the growing influence of technology on the Chinese economy.
Tencent is expected to soon become the only company other than Facebook to have a social network with more than a billion users, while Alibaba has more than 500 million monthly active users for its online shopping apps. The Chinese companies’ revenue also grew at a faster pace in the past three months than at Facebook and Alphabet, the parent company of Google.