Renowned economist Arthur Kroeber, author of the bestseller China’s Economy: What Everyone Needs to Know®, dives into the information explosion after the Covid-19 virus did hit China. Much information is available, but most is of low quality, he argues, and here he does a reality check of what we can say at this stage in April, including Europe and the US.
An even faster shift to online, domestic tourism and health care related activities. Business analyst Shaun Rein sums up how China is changing faster after the corona crisis is over, in an interview with Ashley Dudarenok. Are international brands even more leverage to domestic brands, both wonder.
US president Trump might be doing his best to upset China in every possible way, but US-China relations are no longer top priority for either country, says political analyst Victor Shih at NBC News. “Fundamentally the big problem on both sides is that you now have leadership which no longer considers having good bilateral relationships as a highest priority,”
2019 was a good year for most of China’s industries, the corona virus black-lash might be rough for some industries, says leading economist Arthur Kroeber in the Financial Times. Substantial double-digit declines in many production-side economic indicators might be expected over the first three months of the year,” he added.
While messages from the coronavirus are mixed, to put it mildly, the current economic crash course might only be over by April/May, in the most optimistic scenario. Numbers of infected people and deaths by COVID-19 still vary to much to support any scenario at this stage, while it is also unclear whether the rest of the world can contain the virus.
Footage from metro subways still show empty carriages, as the central government tries to encouraged migrant workers to return to their workplaces, local governments – including the big cities – advise returning migrants to put themselves in a social quarantine for two weeks to be sure they do not carry the virus. The dilemma is obvious: different government make different choices when it come to prevent major economic damage or keeping their cities save from the virus.
Fighting the Covid-19 virus and saving the economy might not go very well together, says political analyst Victor Shih in Al Jazeera. While there is very little international supply chains can do at this stage, as Chinese governments make decisions, says Victor Shih, the message for the long run is: diversify.