Founded in Stockholm, Sweden, in 1970, Kreab is a global strategic communications consultancy with offices in 25 countries, serving over 500 global clients. Kreab advises on communication issues of strategic importance in business, finance, and politics, helping clients solve complex communications challenges and achieve their strategic goals. The Kreab Beijing team is well known for its track record of helping clients manage and strengthen their reputation through services spanning corporate communications, financial communications, public affairs, and social media. Contact Kreab at kchina@kreab.com, follow Kreab on WeChat (ID: KreabChina), or visit Kreab’s website at https://www.kreab.com/beijing.
SwedCham China Insights for week of October 14 – October 18
SwedCham China Insights for October 14 – October 18
Content Provided by Kreab
Top news of the week:
China’s consumer prices hold steady in September
14 October 2024
China’s consumer prices steadied in September amid a sustained recovery of domestic demand, official data showed. The consumer price index (CPI), a main gauge of inflation, was up 0.4 percent year-on-year in September, lower from a 0.6-percent rise in August, the National Bureau of Statistics said.
China’s export growth slows in September
15 October 2024
China’s exports rose 2.4% in U.S. dollar terms from a year earlier in September, down from 8.7% year-on-year growth in August, the Chinese customs office reported. Imports rose 0.3% in September.
Xi Jinping: China, U.S. should boost each other’s development
16 October 2024
On October 15, President Xi Jinping sent a congratulatory message to the annual Gala Dinner of the National Committee on U.S.-China Relations. Xi Jinping said that China and the United States should serve as a boost to each other’s development rather than a hindrance, and China is willing to work with the United States as partners and friends.
UK foreign secretary David Lammy to visit China
17 October 2024
David Lammy, Secretary of State for Foreign, Commonwealth and Development Affairs of the UK, will pay an official visit to China from October 18 to 19, the Chinese Foreign Ministry announced on October 17.
China invites EU technical team to visit for EV tariff consultations
18 October 2024
China has formally invited a European technical team to visit as soon as possible for face-to-face consultations on the bloc’s tariffs on imported Chinese electronic vehicles (EV), said the Chinese Ministry of Commerce on October 17.
Insight of the week:
China is set to implement a series of incremental measures to stabilize its property sector, said Ni Hong, minister of Housing and Urban-Rural Development, at a press conference in Beijing on October 17. The event included officials from the Ministry of Housing and Urban-Rural Development alongside representatives from the Ministry of Finance, the Ministry of Natural Resources, the People’s Bank of China, and the National Financial Regulatory Administration.
Ni announced plans to increase support for urban village and dilapidated housing renovation projects, aiming to complete the renovation of an additional 1 million such housing units through monetary compensation for residents.
He also stressed that all eligible real estate projects will be included in the “white list” mechanism, ensuring access to necessary financing through loans. As of October 16, loans for these “white list” projects totaled 2.23 trillion yuan (approximately US$313.11 billion), with the figure expected to exceed 4 trillion yuan by year-end, according to Xiao Yuanqi, deputy head of the National Financial Regulatory Administration.
Financial support and monetary policy measures were also announced during the press conference to aid stabilization of the property sector.
Song Qichao, assistant minister of finance, noted that local governments will have the autonomy to decide on the acquisition of existing residential properties using special bonds. Efforts are underway to adjust real estate value-added tax policies to ease the burden on businesses and homebuyers.
In a related development, the People’s Bank of China (PBOC), the country’s central bank, is exploring options to provide loans to qualified enterprises for acquiring idle land to support market recovery, according to Tao Ling, vice-president of the PBOC.
This press conference is part of a broader series of high-level policy announcements designed to boost the economy. Home sales in major Chinese cities are picking up in October, following September directives to reduce mortgage rates, lower down payment requirements, and relax purchase restrictions.
Some analysts, however, see these measures as primarily “fine-tuning existing policies”, noting that it will take time for improvements in sales volumes and prices to translate into increased property investment and construction.
About Kreab
Founded in Stockholm, Sweden, in 1970, Kreab is a global strategic communications consultancy with offices in 25 countries, serving over 500 global clients. Kreab advises on communication issues of strategic importance in business, finance, and politics, helping clients solve complex communications challenges and achieve their strategic goals. The Kreab Beijing team is well known for its track record of helping clients manage and strengthen their reputation through services spanning corporate communications, financial communications, public affairs, and social media. Contact Kreab at kchina@kreab.com, follow Kreab on WeChat (ID: KreabChina), or visit Kreab's website at https://www.kreab.com/beijing.
About Kreab