Biden’s goal is to have electric vehicles make up to half of all vehicle sales in the US by 2030…reports Asian Lite News
In a bid to strengthen US’s energy independence and reduce its reliance on nations like China, the Joe Biden government has announced $3.1 billion from the ‘Bipartisan Infrastructure Law’ to make more batteries and components in America, bolster domestic supply chains and create good-paying jobs.
The US Department of Energy (DOE) also announced a separate $60 million to support second-life applications for batteries once used to power EVs, as well as new processes for recycling materials back into the battery supply chain.
As of March, more than 2.5 million plug-in electric vehicles have been sold in America, with more than 800,000 of those having been sold since Biden took office.
“Positioning the US front and centre in meeting the growing demand for advanced batteries is how we boost our competitiveness and electrify our transportation system,” US Secretary of Energy Jennifer M. Granholm said.
Battery costs have fallen more than 90 per cent and since 2008, energy density and performance have increased rapidly, paving the way for an accelerated transition to zero-emission vehicles, the DoE said in a statement late on Monday.
Domestic sourcing of the critical materials used to make lithium-ion batteries – such as lithium, cobalt, nickel, and graphite – “will help avoid or mitigate supply chain disruptions and accelerate battery production in America to meet this demand and support the adoption of electric vehicles”, it added.
Biden’s goal is to have electric vehicles make up to half of all vehicle sales in the US by 2030.
Biden kicks off $3 billion plan to boost battery production for electric vehicles https://t.co/hnxfLwGL8N
“For too long, other countries have been outpacing the United States in funding new technologies. We are at a critical moment in our competition to build the next generation of electric vehicles and batteries here in America,” said Senator Debbie Stabenow (Michigan).
The ‘Bipartisan Infrastructure Law’ directs more than $7 billion to strengthen the US battery supply chain, which includes producing and recycling critical minerals without new extraction or mining and sourcing materials for domestic manufacturing.
Together, the two services commanded over 70 per cent of the game streaming market in China…reports Asian Lite News
Alarmed at the slowing tech and internet sector, China is now planning to further shift its policies to control domestic tech giants like Alibaba and Tencent, as the country battles Covid-19 lockdowns, the media reported on Tuesday.
According to a report in Nikkei Asia citing sources, Chinese President Xi Jinping “intends to shift policies regarding its control over the country’s major tech companies such as Alibaba Group and Tencent Holdings”.
“The move is apparently aimed at revitalising the internet sector and propping up the Chinese economy, which is losing momentum amid the Russian invasion of Ukraine and the country’s zero-Covid policy,” the report noted.
Since last year, Chinese regulatory authorities have been cracking down harder on domestic tech giants to end their dominance in the internet sector.
Last month, Tencent said it will shut down its game streaming platform Penguin Esports by June due to “changes in business strategies”.
Tencent already owns the country’s two largest game streaming platforms, Douyu and Huya.
Together, the two services commanded over 70 per cent of the game streaming market in China.
The platform faces rising competition from Bilibili, which is known for its popular user-generated video streaming service, and Kuaishou, the short video app that’s the nemesis of Douyin (TikTok’s Chinese version).
Moreover, the ongoing gaming license freeze in China has intensified competition between platforms as hosts are running out of content to talk about.
In March, Covid-19 lockdowns and China’s position on the Ukraine conflict led to tech shares rout, slashing billions of dollars from the likes of Alibaba Group Holding and Tencent Holdings in Hong Kong.
Chinese stocks in the US also suffered their biggest selloff since 2008 after US regulators identified five companies that could be subject to delisting for failing to comply with auditing requirements.
The new regulation on online food delivery platforms in China also hit the industry hard, especially the Meituan food delivery app being run by Alibaba.
The Chinese authorities announced that the food delivery platforms should further reduce the service fees charged to restaurants in order to lower the operating costs for food and beverage businesses.
In December last year, Alibaba announced a major reshuffle at the top, as the country tightened its stand against domestic Big Tech companies over data and internet regulations.
Alibaba also unveiled major reorganisation plans to boost its strategy of domestic and international e-commerce.
Founded in 1999, Alibaba went through a major reshuffle when Jack Ma passed the baton as CEO to Zhang in 2015 and further appointed him as Chairman in 2019.
China’s market regulator in November fined tech giants Alibaba, Baidu, Tencent and e-commerce platform JD.com Inc and Suning for violating the country’s anti-monopoly rules in 34 mergers and acquisitions (M&A) deals in which they failed to declare illegal implementation of operating concentration.
The State Administration for Market Regulation (SAMR) has fined a raft of companies, especially in the internet platform sector, since the start of this year over their monopolistic behaviours.
Beijing’s new rules come days after the city launched mass testing for its millions of residents following a spike in cases….reports Asian Lite News
Beijing residents must prove they are Covid negative to enter public spaces in a major tightening of restrictions in the Chinese capital, BBC reported.
It is not clear how long the new measures will last, but the announcement comes as the city begins a five-day public holiday.
Proof of a negative Covid test will also be required to board public transports from May 5.
China is battling a resurgence in Covid cases.
In contrast to many other countries, China is pursuing a zero-Covid strategy with the aim of eradicating the virus from the country completely.
Xinhua_Tao-Ming_IANS
But the measures, such as strict lockdowns, have led to rare shows of public anger against the authorities.
Beijing’s new rules come days after the city launched mass testing for its millions of residents following a spike in cases.
All dining in restaurants will also be halted between 1 and 4 May, with people being asked to cook at home, BBC reported.
The city has reported 295 new cases since 22 April.
Of these, 123 cases were found in the Chaoyang, Beijing’s most populous district, which is now set for three rounds of mass testing.
Earlier this month residents rushed to stock up essential supplies and long queues were seen outside supermarkets and shops, despite government assurances there is sufficient food.
China’s unemployment rate in urban areas grew by 0.1 percentage points to 5.5 pc in March from February….reports Asian Lite News
Chinese Premier Li Keqiang admitted that the country faces many challenges in job creation due to recent virus outbreaks and added that the total number of new job seekers this year would hit 16.6 million, including a record 10.6 million university graduates.
According to the National Bureau of Statistics (NBS), China’s unemployment rate in urban areas grew by 0.1 percentage points to 5.5 pc in March from February. Of those aged 16-24, the jobless rate reached 16 pc last month, up from 15.3 pc in February and 14.3 pc last December, reported Asia Times.
After the NBS report, Li while chairing a State Council executive meeting on Wednesday, China targeted to maintain its urban jobless rate below 5.5% on average this year. However, he admitted that the country faced many difficulties and challenges in job creation due to recent virus outbreaks.
He said the total number of new job seekers this year would hit 16.6 million, including a record 10.6 million university graduates. He said the government also had to ensure almost 300 million rural migrant workers in cities have jobs.
“Keeping employment stable is a key underpinning for keeping major economic indicators within an appropriate range, and urged measures to help companies resume production, especially those vital to supply chains and providers of logistics services and anti-Covid supplies,” Li added.
He continued saying, “The government will offer subsidies to firms granting college graduates internship posts and initiate a series of infrastructure projects in rural areas to boost employment for migrant workers.”
On Tuesday, Morgan Stanley revised its forecast for China’s 2022 GDP from 4.6 pc to 4.2 pc. It is expected China’s GDP would drop by 0.5 pc in the second quarter due to city lockdowns.
Due to virus outbreaks in key cities in China, more young job seekers could choose to stay in their hometowns instead of moving to first- and second-tier cities this year, as per the media portal. (ANI)
The barriers and delays created by sanctions imposed on Russia for the invasion of Ukraine have accelerated the collapse of China’s Belt and Road Initiative global strategy….reports Asian Lite News
Originally called ‘One Belt, One Road’, China’s Belt and Road Initiative (BRI), designed to boost its image and influence with at least 49 countries to date, is faltering and the strategy may be doomed in the aftermath of Russia-Ukraine war.
The barriers and delays created by sanctions imposed on Russia for the invasion of Ukraine have accelerated the collapse of China’s Belt and Road Initiative global strategy.
The BRI is an internationally planned infrastructure development project for China and the emerging economies that trade with or border China. It is a move designed to recapture the ancient Silk Road and expand China’s influence. The BRI is the most ambitious economic development and infrastructure project the world has ever seen. But critics say the BRI projects present dangers to participating countries, such as debt traps.
Before the sanctions, China used Russia as a convenient transit point for the shipment of BRI equipment and supplies into Europe. China routed its cargo into St. Petersburg, Russia via the China-Europe Railway, then shipped it across the Baltic Sea into central Europe. The sanctions forced China to detour its cargo around Russia and enter Europe via slower land routes across Belarus, Poland, and other countries.
China’s BRI strategy was first introduced in 2013 by Chinese leader Xi Jinping. The strategy is in two parts – on land via the Silk Road Economic Belt which runs through Central Asia, Central and Eastern Europe to Western Europe; and on water via the ‘Maritime Silk Road’, which runs through the South China Sea and the Indian Ocean, westward through Southeast Asia to South Asia, the Middle East, Africa, and Europe.
War-torn Ukraine, at the junction of the Eurasian continent, is an important gateway into Europe from Asia and an important source of energy, food, and military technology for China. Other countries along the BRI delivery route, including Belarus, Poland, and Romania, have also felt the strain caused by the Russian-Ukrainian war. Belarus, for example, has been subjected to several collateral sanctions for its decision to side with Russia.
A Chinese media outlet on March 31 described how the sanctions against Russia and Belarus were forcing trains to route around these countries as well as Ukraine. As a result, shipments into Europe are being delayed while trains returning to China are often empty. It is unknown how long this disruption will last.
China’s participating BRI companies have noted that cargo and transportation delays are not the only problems they face. In addition, the sanctions and resulting turmoil have created logistical hardships, rising labour costs, and difficulties in settling trade agreements since Russian banks are no longer a part of SWIFT, the bloodline of the global financial system.
Meanwhile in Sri Lanka, a key hub of the BRI’s maritime route, citizens are protesting due to the worst economy since 1948. This small island country depends on trade with Russia and Ukraine for its tourism and tea industries. But the war between these countries is contributing to Sri Lanka’s failing economy, and the country’s economic crisis has further shifted to a political crisis.
However, Sri Lanka’s failed economy didn’t begin with Russia’s invasion of Ukraine. It began when China directly used its BRI strategy to ensnare Sri Lanka into a debt trap that has since become a political nightmare.
According to World Bank data, Sri Lanka has USD 35 billion in total debt of which USD 6 billion is owed to China for loans to fund BRI projects managed by Chinese companies. These projects include infrastructures such as ports, airports, and railroads. To help contain its debt with China, Sri Lanka agreed in 2017 to lease its Hambantota Port in the Indian Ocean to China for 99 years at the price of USD 1.1 billion. The lease was extended another 99 years in 2021. Within this year, Sri Lanka is obligated to repay USD 6.9 billion of its foreign debt. But this is unlikely since its foreign reserves total only USD 2.3 billion. To address this deficit, Sri Lanka asked China last January to restructure its debt. However, China is yet to respond.
Whereas Indonesia is feeling the heat as it became the first country to participate in China’s water-based ‘Maritime Silk Road’ initiative.
Indonesia is pressured to comply with China’s growing influence in Southeast Asia and expansion in the South China Sea. According to a survey released on April 5 by Australia’s Lowy Institute, Indonesians are wary of Chinese investments. Nearly half the respondents felt that within the next 10 years, the Chinese communist regime would become the most threatening country. Sixty per cent of Indonesians favoured cooperating with other countries to contain the CCP’s influence.
The BRI juggernaut is designed to integrate China into various spheres of influence along its borders and emerging economies. Like China’s state capitalism, where the Chinese Communist Party (CCP) gives cheap equity and debt to companies, Beijing engages in debt-trap diplomacy. While one can say that the sole ambition of China’s BRI is to gain world control or block Western economies from continued dominance, it is nearly clear that China is buying political influence in many of the world’s emerging economies but success has eluded its efforts. (ANI)
The seized amount of Rs 5551.27 crore is lying in the bank accounts of Xiaomi Technology India Pvt Ltd, which started its operations in India in 2014 and started remitting the money in 2015, reports Asian Lite News
The Enforcement Directorate (ED) has seized Rs 5551.27 crore of Xiaomi Technology India Pvt Ltd– a wholly-owned subsidiary of China-based Xiaomi group– under the Foreign Exchange Management Act (FEMA) in connection with illegal remittances made by the firm in February this year, the agency said on Saturday.
The seized amount of Rs 5551.27 crore is lying in the bank accounts of Xiaomi Technology India Pvt Ltd, which started its operations in India in 2014 and started remitting the money in 2015.
The Company has remitted foreign currency equivalent to Rs 5551.27 crore to three foreign-based entities which include one Xiaomi group entity in the guise of Royalty, said the ED.
“Such huge amounts in the name of Royalties were remitted on the instructions of their Chinese parent group entities. The amount remitted to other two US-based unrelated entities were also for the ultimate benefit of the Xiaomi group entities,” said the ED.
Xiaomi India is a trader and distributor of mobile phones in India under the brand name MI. Xiaomi India procures the completely manufactured mobile sets and other products from the manufacturers in India.
ED has seized Rs.5551.27 Crore of M/s Xiaomi Technology India Private Limited lying in the bank accounts under the provisions of Foreign Exchange Management Act, 1999 in connection with the illegal outward remittances made by the company.
“Xiaomi India has not availed any service from the three foreign-based entities to whom such amounts have been transferred. Under the cover of various unrelated documentary facade created amongst the group entities, the company remitted this amount in the guise of royalty abroad which constitutes a violation of Section 4 of the FEMA,” said the federal agency.
ED further added that Xiaomi India also provided misleading information to the banks while remitting the money abroad. (ANI)
Chinese President Xi Jinping (L) shakes hands with his Russian counterpart Vladimir Putin ahead of their talks in Moscow, Russia, June 5, 2019. (Xinhua/Li Xueren/IANS)
Although Beijing has extended firm diplomatic support to Russia during the Ukraine conflict, it appears unwilling to back Moscow in a whole-hearted manner to avert Western sanctions due to the fear of secondary sanctions.
In an effort to stem growing suspicions over its ties with the Kremlin, China was sending a delegation headed by Huo Yuzhen, China’s special representative to China-Central & Eastern Europe Cooperation, to the Czech Republic, Slovakia, Hungary, Croatia, Slovenia, Estonia, Latvia, and Poland in the coming days, reported Russian media council.
China’s support to Russia in opposition to the enlargement of NATO has given rise to concerns in the Eastern and Central European countries about the reliability of the Asian giant as a partner which can be counted on.
While on one hand, China was looking for heavy discounts on the purchase of Russian oil/oil products and gas, it was at the same time denying the supply of Russian oil to Asia through tankers, thus depriving Moscow of economic benefits.
It was also unwilling to route Russian payments through its financial system for fear of secondary sanctions and expressed an inability even to shift products of Russian processors deemed necessary for the Russian industry from Taiwan to China.
In order to expedite the freight movement, the first cross-border railway bridge between China and Russia was expected to be fully operational by August 2022, cutting the train journey from Heilongjiang to Moscow by 800 km and travel time by 10 hours. The Bridge would further facilitate China to the transport of coal, iron ore, timber, and mineral fertilizers from Russia, which was expected to boost cross-border trade.
Interestingly, Chinese customs data revealed (March 2022) an increase in trade with Russia by over 12 percent as compared to March 2021 as well as a rise in imports from Russia by 26 percent.
According to reports, China’s interest in the Russia-Ukraine conflict was purely economic, other indicators also suggest that the relationship between Beijing and Moscow was more than just numbers. A survey conducted between March 28 and April 5, 2022, by the ‘Carter Center China Focus’ on Chinese public opinion regarding Russia’s actions in Ukraine, reveals that the majority of China’s netizens feel that supporting Russia was in China’s best interest.
US President Joe Biden, when he was the vice president, with China’s President Xi Jinping during a visit to Beijing in 2011. (File Photo White House_IANS)
China’s Deputy permanent representative to the UN Dai Bin too stated that arms supplies to Ukraine and sanctions against Russia will not bring peace to Ukraine.
The whole world is currently paying for economic pressure on Russia, and the sanctions have led to a food crisis and rising energy prices.
On April 14, 2022, CIA Director William Burns, speaking at the Georgia Institute of Technology, termed Chinese President Xi Jinping ‘a silent partner in Putin’s aggression in Ukraine’ and pointed to the “immediate threat posed by renewed Russian aggression against Ukraine” as well as the “longer-term problem posed by China’s ambitious leadership”, calling it “the single most important geopolitical challenge” of the 21st century.
It seems that Beijing wants to have the best of both worlds; however, it must keep in mind that sailing simultaneously in two boats may lead to capsizing one, if not both of them.
China’s subtle isolation from Russia can be attributed to protecting its own interests as Beijing has recently come under international scrutiny, with a never-ending stream of US officials urging it to distance itself from Russia or suffer “consequences.”
Despite being asked to mediate a truce between Russia and Ukraine, and Beijing openly proclaiming its determination to do so, China appears to be choosing a low-profile strategy. (ANI)
China’s economic hub Shanghai on Thursday reported 5,487 confirmed locally transmitted COVID-19 cases and 9,545 local asymptomatic carriers…reports Asian Lite News
China’s Baiyun International Airport has cancelled about 1,100 flights after one of the airport employees reportedly received an unclear COVID-19 PCR test result amid the surge in coronavirus cases in the country.
On Wednesday, the employee received a questionable COVID-19 test result which prompted a mass PCR testing at the airport at night, as per state-run media.
According to the VariFlight flight information provider, the airport is expected to operate about 100 flights on Thursday, with almost 90 per cent of flights cancelled. The operation of subway stations at the airport, as well as buses en route to and from it, is also halted, Xinhua News Agency reported.
China’s economic hub Shanghai on Thursday reported 5,487 confirmed locally transmitted COVID-19 cases and 9,545 local asymptomatic carriers, Xinhua reported citing the municipal health commission as saying on Friday.
Shanghai has been facing the worst COVID-19 outbreak and has been desperately seeking medical care and basic supplies like food.
Shanghai authorities have imposed draconian lockdown measures since March that have locked 25 million residents in their homes.
Shanghai, facing the worst COVID-19 outbreak, has been desperately seeking medical care and basic supplies like food. Moreover, horrifying videos have emerged showing Shanghai residents screaming from their windows over strict COVID lockdown measures that prevent them from leaving home even for food.
Also, Beijing is on high COVID-19 alert after the city recorded 21 new community cases in the last 24 hours on Sunday. Later, the Beijing Municipal Bureau of Sports also ordered to suspend all sports events, and extracurricular sports training activities from Tuesday to Saturday amid a surge in cases.
As the COVID-19 outbreak continues to spread in more and more cities in China, questions are mounting over the country’s zero covid policy.
The country’s much-publicized “zero-covid” strategy that the government credited for bringing the country out of the pandemic till recently is falling apart as the rapidly mounting cases are again forcing mass lockdowns like those seen in 2020. (ANI)
In 2018, the US hiked duties on certain Chinese imports in a bid to balance trade deficit. Both countries exchanged several rounds of reciprocal tariffs the following year….reports Asian Lite News
China is calling on the United States to undo the increase of tariffs on Chinese goods amid soaring inflation in the country, Chinese commerce ministry spokesman Gao Feng said on Thursday.
He noted that it would meet the interests of both countries, according to Sputnik News Agency.
“In the current situation of high inflation, cancelling increased tariffs on Chinese goods meets the fundamental interests of US consumers and companies,” Gao said, adding that Washington’s policy of unilateral tariff hikes benefits neither their countries nor the world in general.
In 2018, the US hiked duties on certain Chinese imports in a bid to balance trade deficit. Both countries exchanged several rounds of reciprocal tariffs the following year.
In January 2020, the Trump administration and the Chinese government made a two-year trade deal known as “Phase One,” under which the US retained 25 per cent duties on Chinese goods worth about USD 250 billion per year, and 7.5 per cent duties on goods worth USD 120 billion, while China committed to purchasing USD 75 billion worth of US industrial goods, USD 50 billion worth of energy, USD 40 billion worth of agricultural products and up to USD 40 billion in services, Sputnik News reported.
Last year in December, China said it made efforts to fulfill the deal despite the pandemic and expressed the hope that the US would also make efforts on its end to continue developing bilateral trade.
Intellectual property watch list
China and Russia remain on top of Washington’s list of countries that must be monitored for intellectual property protection issues, the Office of the US Trade Representative (USTR) revealed in an annual report.
The US report said trading partners on the Priority Watch List present the most significant concerns this year regarding insufficient IP protection or enforcement or actions that otherwise limited market access for persons relying on intellectual property protection.
The US named 27 trading partners as having IP protection issues and put on a “priority watch list,” seven of them including Argentina, Chile, India, China, Indonesia, Russia, and Venezuela.
“These countries will be the subject of particularly intense bilateral engagement during the coming year,” the report said.
According to Sputnik, the report heavily focuses on China, which was mentioned over 100 times in the 88-page document.
“China remains on the Priority Watch List in 2022,” the report, released on Wednesday, said. “China must provide a level playing field for IP protection and enforcement, refrain from requiring or pressuring technology transfer to Chinese companies at all levels of government, open China’s market to foreign investment, and embrace open and market-oriented policies.”
According to the “Phase One” trade agreement the US and China signed in 2020, the report added, Beijing made commitments to address numerous long-standing concerns in the areas of trade secrets, patents, pharmaceutical-related IP, trademarks, copyrights, geographical indications, and technology transfer.
Biden administration added, “it remains to be seen” whether commitments made by Beijing related to these concerns will improve the protection of intellectual property. (ANI)
China’s population expanded by less than half a million to 1.4126 billion last year, as the birth rate declined for the sixth year in a row….reports Asian Lite News
Continuous decline in the number of marriage registrations in China has led to the decline in birth rates, according to a media report, adding that it will eventually lead to the world’s second-largest economy’s demographic issue.
Last year, the number of marriages in China fell to a 36-year low, exacerbating the world’s second-largest economy’s demographic issue. As per the data, analysts predict this will contribute to the country’s dropping birth rate.
The number of registrations for marriage has declined dramatically, with an estimate of lesser than ten million couples marrying in 2019, lesser than nine million in 2020, and less than eight million in 2021.
In Jiangsu province, the number of marriages has decreased for five years in a row, while in Hangzhou, the capital of Zhejiang, the number of marriages recorded in 2021 was less than 80 per cent of those registered in 2011, The Singapore Post reported.
China’s population expanded by less than half a million to 1.4126 billion last year, as the birth rate declined for the sixth year in a row.
The number of young people in the country is declining, which means that the labour force will shrink dramatically in the coming years if birth rates continue to decline. There are concerns that this will negatively influence the country’s economy in the future.
Citing Global Times, The Singapore Post reported that the number of couples who married in China in 2021 was only 56.6 per cent of the level in 2013, when the number of marriage registrations peaked.
Furthermore, due to Chinese women’s increased educational and economic development, their propensity to marry is even lower than that of males.
Last year, Beijing issued a new Population and Family Planning Law that allows Chinese couples to have three children, ostensibly responding to couples’ unwillingness to have additional children due to rising costs.
The decision to allow the third child was implemented after the once-in-a-decade census in 2020 showed that China’s population expanded at the slowest rate in history, reaching 1.412 billion people. According to census data, China’s demographic issue is predicted to worsen as the over 60 years old increased by 18.7 per cent to 264 million people.
According to the 2010 census, China’s overall population has grown 5.8 per cent since 2000, from 1.27 billion to 1.34 billion, compared to a pace of 11.7 per cent, nearly twice, during the 1990 and 2000 censuses (Hvistendahl, 2011), The Singapore Post reported. (ANI)
