https://markets.businessinsider.com/news...ing-2023-3
If this is true, it probabaly explains why Yangzijiang Financial Holding's investment amount in Singapore has only increased a little from what it was 6 months ago, this is due to the company having difficulties shifting its cash from China to Singapore. (increase of s$410 million to s$534 million). The company had previously projected to shift till it had s$1 billion in Singapore by end 2022.
I reckon that I will probably be getting a Chinese brand EV in the future, something that I wouldn't have imagined a couple of years back.
How did China come to dominate the world of electric cars?
The story of how the sector got here is about more than just Chinese state policy; it also includes Tesla, Chinese battery tech researchers, and consumers across the rest of Asia.
https://www.technologyreview.com/2023/02...rs-policy/
It depends, the cost of land and labour in Singapore is notoriously expensive, hence the overall cost of a china built EV with servicing here may be cheaper.
Unforuntately, I am "too poor" to afford a car given the COE and ARF fees
https://www.channelnewsasia.com/business...em-3339006
When we think of Chinese, we think of them as net savers. However, that's biased as it seems even the China provincial governments are on a debt binge and in a situation of being unable to service their debts. This is akin to the US debt situation. So if the no 1 and no 2 economies are overleveraged, willl a reset happen?
The second order question is that if both economies are close to bankrupt, the USD and RMB currency will wane, which currency in the world is good enough to be the currency of commerce?
On a country level, China debt is lower than the USA. Debt Vs GDP. Problem here is China is opaque and we dont get a good sense of the severity of the issue. A silver lining is the china property sector is recovering slowly in china, which affects everything from revenue for the government to personal wealth/consumption.
In US, we get debt ceiling drama every few months and know exactly what is going on.
With increasing borrowing costs, both economies will have to tackle the debt head on probably sooner than later.
Personally, I am keeping a significant portion in cash. When everyone borrows, we save. It is a great time to be savers at least for now, where cash may outperform other assets in the short to mid term. (property/stocks). Having said that i am never out of the stock market. As I am happy with my holdings, it only means I dont add or add less to my positions. In for the long haul as a partial business owner of the company, always.