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China (English)

Sinolytics Radar

Slanting coal prices

Recent power shortages caused grave concerns among companies in China. The system of largely fixed power pricing seemed ill equipped to compensate for changes in coal consumption. But China’s National Development and Reform Commission illustrated once more that in acute cases it can very effectively intervene in the market. It employed a mix of market-oriented liberalization steps and strong direct state intervention to bring down coal prices within a week and stabilize the market, analyzed Sinolytics.

By Redaktion Table

Sinolytics Radar

Coal prices in turmoil

Cases of electricity shortages have been a major concern for companies in China recently. The Chinese system of largely fixed electricity prices seemed inadequate to cushion fluctuations in the price of coal. But China's powerful National Development and Reform Commission (NDRC) proved once again that it can intervene effectively in acute imbalances: The NDRC applied a combination of market-oriented liberalization steps and direct government market intervention, thus lowering the coal price within a short period of time and stabilizing the market, Sinolytics analyzes.

By Redaktion Table

Feature

China's inflation fears

Prices in China are climbing. The prices for Spinach alone saw an increase of 160 percent. Many people worry that food could become scarce. And in some places, panic buying has already started. And the government's attempts to calm people's fears are failing. Foreign companies in China are also affected.

By Ning Wang

Feature

EVs instead of iPhones

Taiwanese Apple supplier Foxconn wants to produce EV under the brand name Foxtron. The company has already unveiled three prototypes designed in Italy. As with iPhones, the cars are to be produced for other manufacturers; there is already a joint venture with European manufacturer Stellantis (Chrysler, Peugeot, Citroen, Fiat). And these ambitious plans could very well work out thanks to the group's technical know-how and financial resources.

By Frank Sieren