New ma­glev train for com­muters de­liv­ered

China Daily European Weekly - - BUSINESS - PBOC in­jects funds via re­verse re­pos Mercedes, Maserati re­call 8,000 cars Meituan mulls $6 bil­lion IPO in Hong Kong JD to set up un­manned ve­hi­cle unit in Chang­sha New fund to bol­ster emerg­ing sec­tors Re­stric­tions on for­eign in­vestors eased ADB boosts supp

China’s first self-de­vel­oped 160 kilo­me­ter-per-hour mag­netic le­vi­ta­tion train has come off the pro­duc­tion line, as a fam­ily of ma­glev prod­ucts grad­u­ally emerges in the na­tion. This type of ma­glev train, suit­able for com­mut­ing be­tween ur­ban ar­eas and satel­lite towns, was de­liv­ered on June 12 by CRRC Zhuzhou Lo­co­mo­tive Co Ltd, based in Hu­nan prov­ince. To fa­cil­i­tate in­ter­city com­mut­ing, the com­pany ex­pects to de­liver 200 km/h medium-speed ma­glev trains by the end of 2019, says Tong Laisheng, di­rec­tor of the ma­glev in­sti­tute of CRRC ZELC. China’s cen­tral bank con­tin­ued to in­ject funds into the fi­nan­cial sys­tem through open mar­ket oper­a­tions on June 13 to off­set liq­uid­ity pres­sure. The Peo­ple’s Bank of China pumped 130 bil­lion yuan ($20.3 bil­lion; 17 bil­lion eu­ros; £15 bil­lion) into the mar­ket through re­verse re­pos, with 60 bil­lion yuan in con­tracts ma­tur­ing, lead­ing to a net in­jec­tion of 70 bil­lion yuan. This fol­lowed a net in­jec­tion of 30 bil­lion yuan on June 12. A re­verse repo is a process by which the cen­tral bank bids and buys se­cu­ri­ties from com­mer­cial banks, with an agree­ment to sell them back in the fu­ture. An­a­lysts be­lieve the moves were made to sta­bi­lize mar­ket ex­pec­ta­tions, as banks’ liq­uid­ity de­mands could in­crease due to taxes and re­quired re­serves as well as more ma­tur­ing se­cu­ri­ties. Ger­man car­maker Mercedes-Benz and Ital­ian lux­ury car man­u­fac­turer Maserati are re­call­ing nearly 8,000 im­ported au­to­mo­biles in China, the Gen­eral Ad­min­is­tra­tion of Cus­toms said. On June 12, Mercedes-Benz be­gan re­call­ing 7,799 GLS SUV and S au­to­mo­biles man­u­fac­tured be­tween Jan 4, 2017, and June 5, 2017, due to a de­fec­tive lock on the left door. Start­ing on June 19, due to a de­fec­tive front sub­frame, Maserati will re­call 12 au­to­mo­biles made be­tween Aug 4, 2017, and Oct 9, 2017, as well as 20 au­to­mo­biles man­u­fac­tured be­tween July 31, 2017, and Oct 26, 2017, and 35 au­to­mo­biles pro­duced be­tween Aug 1, 2017, and Dec 12, 2017. Chi­nese main­land on-de­mand on­line con­sumer ser­vices plat­form Meituan plans to file for an ini­tial pub­lic of­fer­ing of about $6 bil­lion in Hong Kong as soon as this month. The com­pany is con­sid­er­ing sell­ing about 10 per­cent of its eq­uity, the min­i­mum re­quired un­der Hong Kong ex­change rules, to avoid di­lu­tion, says a per­son fa­mil­iar with the mat­ter. The com­pany is tar­get­ing a val­u­a­tion of roughly $60 bil­lion, the source said, although the val­u­a­tion and fundrais­ing tar­get won’t be in the ini­tial fil­ing doc­u­ments. With the first fil­ing in June, the ac­tual list­ing of Meituan shares is likely to oc­cur around Oc­to­ber. Chi­nese e-com­merce gi­ant will in­vest 2 bil­lion yuan ($310 mil­lion; 265 mil­lion eu­ros; £230 mil­lion) over the next three years to es­tab­lish the head­quar­ters of its un­manned de­liv­ery ve­hi­cles in Chang­sha, the cap­i­tal of Hu­nan prov­ince. The project is aimed at pro­mot­ing the re­search and de­vel­op­ment, test­ing and per­son­nel train­ing re­lated to au­tonomous de­liv­ery ve­hi­cles and the con­struc­tion of in­tel­li­gent man­u­fac­tur­ing in­dus­trial bases, in­clud­ing in­tel­li­gent ro­bots and equip­ment, ac­cord­ing to JD. The com­pany plans to at­tract 1,000 uni­ver­sity grad­u­ates and more than 10 teams of ex­perts to Chang­sha for the un­der­tak­ing in the next five years. The Na­tional De­vel­op­ment and Re­form Com­mis­sion and China Con­struc­tion Bank Corp will jointly set up a fund to pro­mote the de­vel­op­ment of na­tional-level strate­gic emerg­ing in­dus­tries. With a tar­get value of about 300 bil­lion yuan ($47 bil­lion; 39 bil­lion eu­ros; £35 bil­lion), the fund will be in­vested in a num­ber of strate­gic emerg­ing in­dus­tries, such as next-gen­er­a­tion in­for­ma­tion tech­nolo­gies, high-end equip­ment, new ma­te­rial, bi­ol­ogy, new en­ergy ve­hi­cles, en­ergy con­ser­va­tion and en­vi­ron­men­tal pro­tec­tion, and the digital cre­ative in­dus­try, the NDRC said in a news re­lease on June 12. To achieve this goal, the com­mis­sion will es­tab­lish a strate­gic part­ner­ship with China Con­struc­tion Bank, the na­tion’s sec­ond-largest State-owned com­mer­cial lender by as­sets. China said on June 12 that it will ease re­stric­tions on for­eign in­sti­tu­tional in­vestors in a step to open wider its fi­nan­cial mar­ket. New rules for the Qual­i­fied For­eign In­sti­tu­tional In­vestor and the RMB Qual­i­fied For­eign In­sti­tu­tional In­vestor pro­grams will make it eas­ier for these in­vestors to move funds out of the Chi­nese main­land, ac­cord­ing to the Peo­ple’s Bank of China and the State Ad­min­is­tra­tion of For­eign Ex­change. The Asian De­vel­op­ment Bank ap­proved $350 mil­lion (296 mil­lion eu­ros; £261 mil­lion) in ad­di­tional head­room on June 11 to fur­ther ex­pand the scope and im­pact of its Trade Fi­nance Pro­gram. Sup­port­ing more than 12,000 small and medi­um­sized en­ter­prises in de­vel­op­ing Asian economies since 2009, the TFP helps re­duce mar­ket gaps for trade fi­nance by pro­vid­ing loans and guar­an­tees to fi­nan­cial in­sti­tu­tions to sup­port trade ac­tiv­i­ties in the re­gion. The ADB said the ad­di­tional fi­nanc­ing will in­crease the TFP’s limit to $1.35 bil­lion, keep­ing up with the in­creas­ing mar­ket de­mand for trade fi­nance from the pro­gram, which grew by over 50 per­cent in 2017. In­ter­net busi­nesses in the coun­try posted faster rev­enue growth in the first four months of the year, of­fi­cial data showed. Ma­jor in­ter­net busi­nesses and re­lated ser­vice providers saw rev­enue surge by 24.9 per­cent year-on-year to 264.9 bil­lion yuan ($41.4 bil­lion; 35 bil­lion eu­ros; £30 bil­lion) in the Jan­uary-April pe­riod, ac­cord­ing to the Min­istry of In­dus­try and In­for­ma­tion Tech­nol­ogy. The growth was 5.4 per­cent­age points faster than the same pe­riod last year, the min­istry said. On­line gam­ing and e-com­merce main­tained brisk ex­pan­sion, with on­line gam­ing rev­enue up by 27.9 per­cent year-on-year to reach 58.7 bil­lion yuan. In­come of e-com­merce plat­forms jumped by 40.4 per­cent to 92.3 bil­lion yuan.

Newspapers in English

Newspapers from China

© PressReader. All rights reserved.