U.S. Treasury Secretary Janet Yellen's visit to China raised the issue of "overcapacity" in certain industries, marking the beginning of a new chapter in the economic competition between the two countries. It is more important for China to be prepared for various responses. Firstly, it is essential for China to maintain a bottom-line mindset in the game between the two countries. Secondly, the country is required to differentiate between economic and political issues. Thirdly, to anticipate and prepare for various possibilities of US pressure on Chinese firms. Lastly, in response to new issues such as "overcapacity" and "balanced and growth", China could proactively take certain measures to reduce the leverage that the U.S. may use against either Chinese enterprises and the government, in the opinion of
He Jun, Director of Macro-Economy Research Center and Senior Researcher at ANBOUND.
>>In view of the statistical data, evidently, large earthquakes are increasing intensity worldwide. In the past few decades, globalization has continued to deepen, with the improvement of free trade and supply chains enabling investments in manufacturing and services to be globally distributed. Assumed a trend of large earthquakes frequently in future, it would hit industrial investments and layout choices that multinational corporations set out. Capital-intensive and technology-intensive heavy asset investments have to consider the impact of earthquakes and other natural disasters, avoiding areas with high earthquake activity. Although large earthquakes are only a very rare natural disaster phenomenon, for some of major industries with massive investments, those are still a risk, pointed out ANBOUND researchers.
>>China’s food crisis looms ominously. The agricultural landscape is undergoing significant transformations. Fewer individuals in rural regions are pursuing jobs in food production. Factors such as global demand, China’s export prowess, foreign confidence, and the strength of the private sector are all in decline. China now faces challenges associated with decoupling from global markets and industries. These shifts will inevitably impact the yuan exchange rate and its performance on the global stage, and affect its food import. Furthermore, with the world’s population increasing and arable land decreasing, the total supply of global food has never been sufficient to sustain an ideal consumption level, wrote
ANBOUND's founder Kung Chan in an article published in
Modern Diplomacy.
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