China Money and Wealth

Financial news and features about China's wealthy, and how they spend their money. 
  1. New bank lending in China rose 22.3 per cent in June from May as authorities continued to boost credit and ease policy to get the world’s second-largest economy humming again after a sharp coronavirus-induced contraction.Chinese banks extended 1.81 trillion yuan (US$258 billion) in new yuan loans in June, up from 1.48 trillion yuan in May and slightly exceeding analysts’ expectations, according to data released by the People’s Bank of China (PBOC) on Friday.That pushed bank lending in the first…
  2. China’s national statistics agency caused mild confusion on Thursday after mistakenly releasing year-old inflation and producer price data for June.The National Bureau of Statistics (NBS) initially published the regular monthly data on its website showing the producer price index (PPI) was unchanged in June from the same month last year, while China’s consumer price index (CPI) was up 2.7 per cent in June.The figures were initially reported by various news outlets and trading websites before…
  3. China’s tax authorities are tightening personal income tax law by extending the dragnet to income earned globally, with employees of state-owned enterprises based in Hong Kong first to feel the pinch, according to people involved in the matter.SOE workers hired in the mainland and expatriated to the city received a directive this week to declare their 2019 salaries and make up any shortfall caused by the different tax rates in the two regions, they said, declining to be identified because of…
  4. Pressure on China’s manufacturing sector eased in June following the impact of the coronavirus pandemic, data released on Thursday showed.The producer price index (PPI), reflecting the prices that factories charge wholesalers for their products, fell 3.0 per cent year on year in June, data from the National Bureau of Statistics (NBS) showed.That was lower than May’s reading of a 3.7 per cent decline and lower than the 3.2 per cent contraction tipped by analysts in a survey by Bloomberg.The drop…
  5. China’s car sales continued to recover in June, the China Passenger Car Association said on Wednesday.Retail sales of sedans, SUVs, minivans and multipurpose vehicles within the world’s largest car market declined 6.5 per cent to 1.68 million units in June from a year earlier, having risen 1.9 per cent in May, which was the first increase in a year.But the 2.6 per cent increase from May, which was in line with expectations, offers some encouragement after demand had slumped amid the coronavirus…
  6. A lipstick maker in the Chinese city of Yiwu used an online sales platform in some 17 different overseas languages to woo Spanish, Russian, Saudi Arabian, Korean, Japanese, Turkish, and Vietnamese clients, but until this year, had largely ignored the domestic market.Like many other Chinese exporters, Aris Cosmetics tailored its product for foreign buyers, with many requiring a minimum order of 5,000, with unit prices as low as 30 US cents.But after the global coronavirus pandemic wiped out at…
  7. Alex Shi had been eyeing a 400 yuan (US$57) rice cooker online for weeks, but she eventually abandoned the purchase after considering her cash balance for the rest of the year.Shi, who takes freelance jobs in media and communication in Beijing, has felt increasing pressure on her income during the pandemic after some firms slashed their freelance budgets. With many of her projects having uncertain payment dates, she stopped buying big-ticket items, including cellphones and household appliances,…
  8. Cracks are appearing in China’s 21.3 trillion yuan (US$31 trillion) trust industry, a key component of the country’s shadow banking system, as fresh trouble at Sichuan Trust highlights growing risks in alternative funding for companies unable to access regular bank loans. The cash-strapped trust company backed by the Sichuan provincial government last week apologised to investors for missing payments on its financial products, saying it was exploring new ways to generate cash. “Affected by the…
  9. Alpan Lighting Products, a US manufacturer of solar lamps, is shifting production from China to Indonesia, joining droves of companies looking to escape higher tariffs triggered by the trade war with the US. PT CDS Asia, a unit of Alpan, will invest US$14 million to build a factory in an industrial zone in Central Java, Indonesia’s Investment Coordinating Board said in a statement. The export-oriented facility is scheduled to begin production later this year and may employee 3,500 people, it…
  10. As US President Donald Trump faces pressure from rare bipartisan US congressional support for a bill authorising sanctions against officials deemed to have eroded Hong Kong’s autonomy, legal analysts are attempting to predict what exactly the American leader – who has shown a reluctance to dole out hard-hitting sanctions on China and Russia – will do next.On Thursday, the US Senate gave final approval by unanimous consent to a bill requiring mandatory sanctions on individuals found to have…