China news roundup / Nachrichten 2024-12-17

6 days ago

China sets historic 4% GDP deficit for 2025 spending plans

"The decision, made during last week’s Central Economic Work Conference (CEWC) and December’s Politburo meeting, reflects a “more proactive” fiscal policy meant to counteract slowing growth.
The increase from the initial 3% deficit target in 2024 signals China’s need to inject more funds into the economy"

--- Or maybe it's just a realisation that the situation is really bad & more money in general is needed. How much of it trickles down to the economy remains to be seen.

"The State Council Information Office and China’s Ministry of Finance did not respond to requests for comment. However, insiders suggest that the increased deficit is China’s pre-emptive strategy to counter Donald Trump’s plans for aggressive tariffs on Chinese imports when he retakes the White House in January."

--- Oh yeah, of course, it's all about Trump... Grmph...

"Analysts point to the huge rise in total debt during the past decade and a half. Household, corporate, and government borrowing combined has surged more than fivefold, even as the economy itself tripled. Despite the risks, China is leaning heavily on fiscal and monetary tools to avoid a deeper slowdown."

--- So, egregious debt is nothing new.

China capital markets outflow hits record high in Nov after Trump election win

"Cross-border receipts from portfolio investments were $188.9 billion, while payments totalled $234.6 billion, resulting in the biggest monthly deficit on record, according to data from China's foreign exchange regulator."

--- Official numbers, so reality is as usual worse. &, not to forget, the illegal outflow is not counted at all.
Meanwhile, the CCP appears ever more desperate to get more foreigners to spend money in China:

China extends visa-free transit policy to 10 days as part of efforts to lure more foreign tourists

" China has made no secret of its desire to increase the number of international visitors and has made several major policy changes since reopening following the Covid-19 pandemic.
And it appears to be working.
In 2024, the number of foreigners entering mainland China in the third quarter of the year reached a record high since tracking began in 2014, according to data from the National Immigration Administration. "

--- Highly dubious. The number of flights is still way below what we had before Covid & I doubt that the flights are that more fully booked than before.

Chinese embassy criticises ‘anti-China clamours’ after Yang Tengbo spy claim

"A Chinese embassy spokesperson said on Tuesday that “anti-China clamours” were an attempt to “smear China, target against the Chinese community in the UK and undermine normal personnel exchanges between China and the UK”"

--- Personnel? So, they admit that he's working for the CCP?

s.a.: Yang Tengbo: Who is alleged Chinese spy linked to Prince Andrew?

FBI warns some lawmakers that China aims to create fake stories about them to erode support for Taiwan

"The FBI has held classified briefings warning a handful of U.S. lawmakers that the Chinese Communist Party is working to create fake stories to portray them in a negative light because of their hawkish views of Beijing and support for Taiwan, two U.S. officials familiar with the briefings told NBC News.
The U.S. officials, who asked not to be identified due to the sensitive nature of the briefings, said that one of the false stories being concocted by the CCP, cited by FBI briefers, is that these lawmakers are espousing pro-Taiwan views because they were taking “bribes” from Taiwan."

--- Not much of a surprise there. Although it's a bit ironic that the CCP would make up stories about bribery of foreign officials.

--- DW News: "Can Xi Jinping save China's economy?"

--- CNA: More ‘unconventional moves’ needed to boost China’s economy

--- BBC News: The Chinese "spy" is named

Peking weist Spionagevorwürfe gegen Bekannten von britischem Prinzen Andrew zurück

"Anschuldigungen der "sogenannten chinesischen Spionage" seien "absurd", sagte ein Sprecher des Außenministeriums in Peking am Dienstag."

--- Völlig absurd. China würde doch niemals spionieren...
Gleichzeitig gibt man aber quasi zu, daß der Typ für die Einheitsfront gearbeitet hat..

"Großbritanniens Premierminister Keir Starmer zeigte sich am Montag bei einem Besuch in Norwegen "besorgt angesichts der Herausforderung, die China darstellt". Gleichzeitig betonte er die Notwendigkeit, mit Peking zusammenzuarbeiten."

--- Starmer ist in der gleichen Idiotenklasse wie Scholz.