Connect with us
Wise usd campaign
ADVERTISEMENT

China

Myanmar-China trade halted amid fierce fighting in Shan state

Published

on

Trade across Myanmar’s shared border with China has ground to a halt amid a six-week offensive by ethnic rebels fighting junta troops in the country’s Shan state, according to merchants, causing an estimated loss of more than US$500 million in commerce.

Since the Arakan Army, the Myanmar National Democratic Alliance Army, and the Ta’ang National Liberation Army launched Operation 1027 – named after the Oct. 27 military actions that started it – as part of the “Three Brotherhood Alliance,” junta troops have been on the retreat in many areas, leading junta chief Senior Gen. Min Aung Hlaing in late November to issue a rare acknowledgement of the rebel’s successes.

After fighting began, merchants told RFA Burmese, trade ceased at Muse and Chinshwehaw – two key border towns positioned across from southwest China’s Yunnan province.

“Trade has totally stopped there – only hand couriers are seen at the border gates, carrying traditional foods,” said a merchant in Muse who, like others interviewed for this report, spoke to RFA on condition of anonymity due to security concerns. 

There were no civil servants to process cross-border trade left in the trade zone, he said. “Fighting breaks out every once and a while, lasting for 10-15 minutes each time.”

Prior to the offensive, the value of bilateral trade at the two border towns was more than US$10 million per day, according to junta’s Ministry of Commerce data. So in the 50 days since the start of “Operation 1027,” that would amount to more than US$500 million in losses.

Corn, rice, cotton, machinery

There are two major border gates — Muse-Mang Wein and Kyin San Kyawt — used for bilateral trade at the two border towns, but neither is open amid the clashes. The Myanmar National Democratic Alliance Army, or MNDAA, now controls Kyin Sang Kyawt, where nearly 100 trucks were destroyed by military shelling on Nov. 23.

Smoke rises as a convoy of trucks burns near Muse on the Myanmar-China border in this screen grab obtained from a social media video released Nov. 23, 2023. (Screenshot from video obtained by Reuters)

Myanmar exports agricultural goods to China through the Kyin San Kyawt border gate in Chinshwehaw that include corn, rice, rubber, black sesame, dried elephant foot yam, green gram and groundnuts, and imports cotton, raw plastic, machinery, chemical fertilizers and medicine.

Myanmar’s exports through the Muse-Mang Wein border gate in Muse include eel, crab, prawns, cotton, rubber, corn, peanut, groundnuts, rice, broken rice and turmeric, while imports consist mainly of fuel and machinery.

Area aid workers said at least 10 civilians, including children, have been killed in the fighting during the offensive.

A merchant at Chinshwehaw told RFA that commodities are stranded at the border gate.

“Commodities from the Chinese side were sent back as they blocked the border gate,” she said. “But Chinese goods on our side have sat stranded in the fields and warehouses. We are waiting to pay taxes.”

The costs associated with the transportation of goods have skyrocketed during the conflict, a third merchant told RFA.

“The cost of transporting goods on a 17-ton truck on the route from [Shan state’s] Mongla township to Mandalay [800 kilometers, or 500 miles to the east] was 7 million kyat (US$3,330),” he said. “In Chinshwehaw, the cost has increased by more than four fold. Fuel prices have also increased.”

Both merchants and farmers have suffered losses, and more than 1,000 common laborers have lost their jobs at the trade zones, said residents and merchants.

No end in sight

Li Kyarwen, the spokesperson of the MNDAA, said that it isn’t possible to restore bilateral trade in northern Shan state anytime soon.

“During the ‘revolutionary period,’ due to the lack of peace and security, business can’t be resumed immediately,” he said.

Loaded cargo trucks in Muse town in Myanmar wait to enter China in early 2021. (RFA)
Loaded cargo trucks in Muse town in Myanmar wait to enter China in early 2021. (RFA)

But merchants warned that if the border gates don’t reopen by the end of December, there will be a shortage of Chinese commodities, “and prices will surely soar.”

Attempts by RFA to contact the junta’s Ministry of Commerce for comment on the halt to border trade went unanswered.

Reports of the closed checkpoints came a week after junta Foreign Affairs Minister Than Shwe met with Shi Yugang, the deputy secretary of the Yunnan Provincial Party Committee during a visit to China, at which the two discussed border trade issues.

While the junta’s peace negotiation committee has held talks with the Three Brotherhood Alliance to end all conflict in Shan state near the border, little progress has been made and fighting continues daily.

Translated by Aung Naing. Edited by Joshua Lipes and Malcolm Foster.

Read the rest of this article here >>> Myanmar-China trade halted amid fierce fighting in Shan state

Continue Reading

China

China’s November 2024 Economy: Navigating Mixed Signals and Ongoing Challenges

Published

on

In November 2024, China’s economy exhibited mixed results: industrial production rose by 5.4%, while retail sales grew only 3%, below forecasts. Fixed asset investment also faltered. Policymakers are anticipated to introduce measures to stimulate domestic demand and combat deflation.


China’s economy showed mixed performance in November 2024, with industrial production and exports showing resilience, while retail sales and fixed asset investment underperformed, amid ongoing challenges in the property sector. Policymakers are expected to implement targeted fiscal and monetary measures to boost domestic demand and address deflationary pressures.

The National Bureau of Statistics (NBS) has released China’s economy data for November 2024, revealing a mixed performance across key indicators. Retail sales grew by 3 percent year-on-year, a significant slowdown from October’s 4.8 percent growth and well below the 4.6 percent forecast. Industrial production, however, showed resilience, rising by 5.4 percent and exceeding expectations of 5.3 percent growth.

The property sector continued to drag on the broader economy, with real estate investment contracting by 10.4 percent for the January-to-November period, further highlighting the challenges in stabilizing the sector. Fixed asset investment also fell short of expectations, growing by 3.3 percent year-to-date, down from 3.4 percent in October.

In November, China’s industrial value added (IVA) grew by 5.4 percent year-on-year (YoY), slightly accelerating from the 5.3 percent recorded in October. This modest improvement reflects continued recovery in key industries, supported by recent stimulus measures aimed at stabilizing the economy.

The manufacturing sector led the growth, expanding by 6.0 percent YoY, while the power, heat, gas, and water production and supply sector grew by 1.6 percent. The mining industry posted a 4.2 percent YoY increase. Notably, advanced industries outpaced overall growth, with equipment manufacturing and high-tech manufacturing rising by 7.6 percent and 7.8 percent YoY, respectively, underscoring the resilience of China’s innovation-driven sectors.

Key product categories showed robust output gains in November:

From January to November, IVA increased by 5.8 percent YoY, maintaining steady growth over the year despite headwinds from a slowing property market and external uncertainties.


This article was first published by China Briefing , which is produced by Dezan Shira & Associates. The firm assists foreign investors throughout Asia from offices across the world, including in in ChinaHong KongVietnamSingapore, and India . Readers may write to info@dezshira.com for more support.

Read the rest of the original article.

Continue Reading

China

Ukraine war: 10% of Chinese people are willing to boycott Russian goods over invasion – new study

Published

on

Since Russia’s 2022 invasion of Ukraine, some Chinese citizens express dissent through potential boycotts of Russian goods, reflecting a complex relationship despite government support for Russia.

Since Russia invaded Ukraine in 2022, the Chinese government has been criticised for its refusal to condemn the war. In 2024, the economic and diplomatic relationship between the two nations appears stronger than ever.

Because of strict censorship and repression imposed by the Chinese Communist Party (CCP), it is difficult to know the extent to which the general public shares their government’s support of Putin’s regime. But a newly published study I carried out with colleagues found that more than 10% of Chinese people surveyed were willing to boycott Russian goods over the war in Ukraine.

This is a surprisingly large figure, especially since existing surveys indicate that Chinese people hold a broadly positive view of their neighbour. We used a representative sample of 3,029 Chinese citizens for this research, to dig into public attitudes to Russia. The survey was done in 2022 after the Ukraine invasion.

We were aware that due to widespread censorship, our participants might not be willing to give honest answers to questions about Russia’s actions in Ukraine. They might also not feel safe to do that in a regime where disagreement with the CCP’s position is often met with harsh punishment. This is why we asked them to tell us if they would be willing to boycott Russian products currently sold in China.

We felt this question was a good indicator of how much the participants disapproved of Russian foreign policy in Ukraine. More importantly, we were also curious to find out whether Chinese citizens would be willing to take direct political action to punish Russia economically for its aggressive behaviour.

In our study, we split respondents into the three different ideological groups in China: “liberals”, who support the free market and oppose authoritarianism; “the new left”, who sympathise with the policies pursued in China under Mao Zedong; and “neo-authoritarians”, who believe the Russian-Ukrainian conflict is an extension of the rivalry between authoritarian China and the liberal United States. These groups were based on the main political beliefs in China.

We found that liberals were most likely to say they were willing to boycott Russian products. Liberals believe that China should work with, rather than against, western democracies. They also place a high value on human rights and democratic freedoms. Because of their beliefs, they are likely to think that Russia’s actions against Ukraine were unprovoked, aggressive and disproportional.

Chinese and Russian economic and diplomatic relations seem closer than ever in 2024.
American Photo Archive/Alamy

The new left and neo-authoritarians we surveyed were more supportive of Russian products. The new left see Russia as a close ally and believe that Nato’s expansion in eastern Europe was a form of aggression. Neo-authoritarians, on the other hand, believe that supporting Russia, an allied autocracy, is in China’s best interest.

Boycotting Russian goods

Asking Chinese participants if they are willing to boycott Russian products might seem like a simple matter of consumer preferences. However, our study reveals a great deal about the way in which regular citizens can express controversial political beliefs in a repressive authoritarian regime.

Boycotting products of certain companies has long been studied in the west as a form of unconventional political action that helps people express their beliefs. However, in the west, boycotting certain products is simply one of many ways people are able to take political action. In a country such as China, boycotting a Russian product might often be the only safe way to express disagreement with the country’s actions.

This is because citizens do not have to tell others they chose not to buy a product, and their actions are unlikely to attract the attention of the authorities.

Since Russian goods are readily available to Chinese consumers and China is encouraging more Russian exports to reach its market, the Russian economy could be significantly affected by an organised boycott campaign in China. The considerable level of support for a boycott expressed by some of our participants, as well as previous acts of solidarity with Ukraine in China, suggest that such a campaign could already be taking place in the country.

This could harm Russia because it regularly exports a number of different products such as meat, chocolate, tea and wine to China. These goods made up 5.1% of China’s total imports in 2023 – and this figure is likely to increase if Russia becomes more isolated from the west, and therefore more dependent on China for its trade.

While 5.1% of the Chinese market might seem like a low figure, China is home to over 1.4 billion people. In this context, even a small boycott could result in a serious loss to Russian companies.

Our research shows that Chinese citizens don’t always support the official position of the communist party. It also shows that many people there will express even the most unpopular political opinions – if they can find a safe way to do it.

This article is republished from The Conversation under a Creative Commons license. Read the original article.

Continue Reading

China

Australia Can Enhance China’s Credibility in the CPTPP

Published

on

In early 2024, China sought to join the CPTPP, potentially offering modest economic benefits to Australia. Key reforms include limiting state-owned enterprise subsidies, enhancing data flows, and banning forced labor.


China’s Interest in the CPTPP

In early 2024, China expressed a keen interest in joining the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), a trade agreement involving eleven Pacific Rim economies and the United Kingdom. This move is anticipated to yield modest economic benefits for Australia. However, it also opens the door for vital reforms in areas such as the control of subsidies for state-owned enterprises, allowing free cross-border data flows, and prohibiting forced labor practices.

Economic Implications for Australia

A May 2024 report from the Australian Productivity Commission indicated that China’s accession to the CPTPP might raise Australia’s GDP by only 0.01%. This modest gain isn’t surprising, given Australia’s existing preferential trade arrangement with China through the Regional Comprehensive Economic Partnership. Nonetheless, the CPTPP encompasses more than just tariff reductions, focusing on broader trade principles and standards.

Reform Commitments Required from China

For China to become a CPTPP member, it must demonstrate adherence to high-standard rules initially developed with the country in mind. This commitment will help alleviate concerns among member nations like Japan and Canada, particularly regarding China’s economic practices and geopolitical tensions, such as those with Taiwan. Membership would necessitate reforms, including limiting SOE subsidies, enabling freer data flows, and banning forced labor, with significant penalties for non-compliance.

Source : Australia can encourage China’s credibility in the CPTPP

Source link

Continue Reading