Economy

Workers produce adhesive tapes for flexible printed circuits (FPC) at a factory in Yancheng, Jiangsu province, China, on 15 September 2021. (STR/AFP)

How can China benefit from the CPTPP?

China has made it clear that it wants to join the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP). This will allow it to strengthen its image as an advocate of free trade, gain some cover from future sanctions by the US, and most importantly, spur domestic reform. Academic Gu Qingyang delves into the topic.
Singapore skyline taken from the Supertree Observatory at Gardens by the Bay showing the Costa Rhu Condominium. (SPH)

How increased wealth affects Chinese foreign buyers' housing consumption in Singapore

In 2005, the People’s Bank of China unpegged the RMB from the US dollar, transiting it to a floating exchange rate regime based on market supply and demand with reference to a basket of currencies. The policy shift resulted in an appreciation of the RMB relative to the US dollar and Singapore dollar. With stronger purchasing power, how did Chinese foreign buyers' housing consumption patterns in Singapore change? How has that affected Singapore's property market? Academics Fan Ying and Sing Tien Foo analyse data over the last two decades for the answer.
This picture taken on 7 July 2021 shows vehicles in Tokyo. (Philip Fong/AFP)

Covid-19 pandemic: Supply chain disruptions in Southeast Asia affecting Japan and the world

In 2020, Japan was ASEAN’s largest export partner of auto parts, making up 17.8% of ASEAN's exports, followed by the US (15.4%) and China (10.2%). However, with the onslaught of the Delta variant of Covid-19 this year, many Southeast Asian countries have imposed factory operation restrictions that have disrupted the supply chain, with Japanese firm Toyota Motor suffering the greatest impact. Japanese academic Sukegawa Seiya examines the issue.
A general view shows the Lujiazui financial district (left) in Shanghai, China, on 22 September 2021. (Hector Retamal/AFP)

China joining the CPTPP: It's a matter of time

Zhang Rui analyses that there are more pros than cons to China’s entry to the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) whether one looks at it from China’s individual economy, regional industrial chains or global income gains. However, sizeable obstacles stand in the way of its entry, not least US-led political roadblocks, even if the latter is not currently a member of the reconfigured CPTPP. China’s internal system and regulations will also have to change to meet the rigours of the high-standard CPTPP. Can China play the long game and will the world truly move closer towards Asia-Pacific economic integration?
In this file photo taken on 23 October 2019, a Facebook employee tries out an Oculus device at the company's corporate headquarters campus in Menlo Park, California. (Josh Edelson/AFP)

China-US competition: Who will set the rules in a digital world?

Analyst Zheng Weibin says that while the China-US competition is a tussle for power that some would compare to the Cold War of the 20th century, digital technology is making all the difference in the 21st century. Today's competition is taking place amid changing definitions of national strength and economic power, and China needs to catch up in terms of growing its digital economy and meeting the challenges that come with it.
The Beijing Stock Exchange website was tested on 10 September. (CNS)

New Beijing Stock Exchange will narrow economic gap between northern and southern China

A new Beijing Stock Exchange is good news for technology-focused small- and medium-sized enterprises, especially those with innovation potential but may not fit the listing requirements of traditional exchanges. Not only that, it will likely give a boost to SMEs in the north, helping to balance regional economic imbalances.
An unfinished residential building is pictured through a construction site gate in Luoyang, China, 16 September 2021. (Carlos Garcia Rawlins/Reuters)

Property conundrum: Chinese society disagrees over how much property prices should fall

Even as the Chinese government tries to ease property prices, some local governments are worried that prices might fall too much, triggering social effects. As a stop-gap measure, they are rolling out regulations to “limit the drop”, frustrating those who are waiting to buy a house. Zaobao correspondent Yang Danxu looks at how the authorities plan to manage a property bubble that mustn’t burst.
A woman walks with an umbrella amid rainfall in Shanghai, China, 13 September 2021. (Aly Song/Reuters)

Why China needs to set its own house in order with a regulatory spurt

China has introduced a wave of strong regulatory moves on various industries over the past months, alarming international observers and causing jitters in the financial market. However, says academic Gu Qingyang, these moves could be necessary and might just set China in the right direction to face future challenges better.
A woman cries as she and other people gather at Evergrande's headquarters in Shenzhen, China, on 16 September 2021. (Noel Celis/AFP)

Will the Chinese government save Evergrande?

While retail investors and observers fear that Evergrande’s fall from grace will trigger a subprime mortgage crisis in China, the Chinese authorities seem quite comfortable letting Evergrande cover its own losses, despite the short-term instability foreseen. Han Yong Hong explains why.