China has 'very big' policy room to spur growth, central bank adviser says
BOAO, China, March 26 (Reuters) - China wields significant policy room to stimulate its economy this year while some reform was needed to boost consumption, Huang Yiping, an advisor to China's central bank and a professor at Peking University, said on Wednesday.
China has unveiled fresh fiscal measures, including a rise in its annual budget deficit, to help hit an economic growth target of around 5% this year, which analysts have described as ambitious. The central bank has pledged to cut interest rates and pump more money into the economy at an appropriate time.
"There is still very big space in terms of macro policies," Huang told Reuters on the sidelines of the annual Boao forum.
Macro policies will help tackle cyclical problems, while some structural challenges could be resolved in the future, he said.
Some reform measures, including those to increase people's incomes and confidence, are needed to boost consumption, on top of recent moves unveiled by the government, Huang said.
Peng Sen, chairman of the China Society of Economic Reform, told the Boao Forum on Tuesday that China should take steps to boost consumption as a share of gross domestic product to 70% by 2035 from around 55% currently, narrowing the gap with developed nations.
Wider structural reforms include changes in institutional frameworks, income distribution, and fiscal and taxation systems will be needed to help boost spending, Peng said.
The Boao Forum, an international summit seen as Asia's version of the World Economic Forum in Davos, Switzerland, is being held in China's Hainan province from Tuesday through Friday.
Policymakers have put expanding domestic demand, especially consumption, as the top priority this year as they try to cushion the impact of the Trump administration's tariffs on its crucial export engine.
Huang also told the forum that globalisation, which has benefited many Asian economies, could be reversed.
"Many of the most successful economies in the last half century or more, like East Asian economies - China and so on -all benefited from globalisation, but there is certainly a risk that the US-led globalisation may be reversed," Huang said.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Metro
3 hours ago
- Metro
Major US fast food chain to open in Heathrow airport
Heathrow Airport has announced plans to open a new Five Guys restaurant, in a European first. Set to launch in Terminal 5 – which has been temporarily renamed 'Terminal Five Guys' for the occasion – the popular American chain is making its debut at the UK's busiest airport later in 2025. Five Guys opened its first UK restaurant back in 2013, but this will mark its first venture into any airport in either the UK or Europe. Located on the terminal's upper level, the 2,500-square-foot burger joint is expected to seat around 90 diners, as well as offering a takeaway service for travellers on the go. With opening times spanning from the first to last flight each day, it'll also feature a special menu tailored to passengers dealing with jet lag and navigating time zone shifts. Although the exact details have yet to be revealed, the chain has confirmed that breakfast options will be available to order throughout the day, alongside Five Guys' signature burgers, hot dogs and hand-cut fries. The restaurant is expected to create between 80 and 100 new jobs, and will include ordering kiosks in six languages. 'We are thrilled to be opening a brand new Five Guys at Heathrow Terminal 5 this year,' John Eckbert, CEO of Five Guys UK said. 'Having opened over 170 restaurants across the UK since we first launched back in 2013, the brand has established itself as one of the nation's favourites for premium burgers. 'Now Five Guys is cementing itself at the UK's busiest travel hub; we are excited to be providing our delicious menu to travellers as part of their journeys.' The American fast food chain was founded in Virginia in 1986 and opened its first UK location in Covent Garden in 2013. Travellers can find the restaurant at several major US airports and Dubai International Airport, which opened last year to become the first Five Guys airport location outside North America. More Trending Heathrow saw around 81 million passengers pass through in 2024 and is targeting a record 84.2 million in 2025. Terminal 5, the main base for British Airways, is the busiest airport terminal in Europe, and plans for expansion are already underway. Holidaymakers aren't the only ones being treated to new fast food spots though, so you don't need a boarding pass to get your fix. Parisian burger joint Dumbo is opening its first ever UK site very soon, while an Asian dessert chain called Mammy Pancake also hit British shores earlier this month. Do you have a story to share? Get in touch by emailing MetroLifestyleTeam@ MORE: 'Stupid' Apple Pay prank plagues commuters on London Tube MORE: People stuck in 26-storey tower block after lifts broke only offered £100 voucher MORE: Three men appear in court accused of arson attacks on properties linked to Keir Starmer
Fashion United
3 hours ago
- Fashion United
Brazil's footwear sector boosts investment to enhance productivity
Despite the unstable global landscape, the Brazilian Footwear Association (Abicalçados) recently conducted a survey which revealed that the footwear sector intends to invest 1.7 billion reais (around 303,84 million dollars), a value seven percent higher than last year. Executive president of Abicalçados, Haroldo Ferreira, explained that around 50 percent of the footwear industry's investments in 2025 are expected to be allocated to machinery, equipment, and technology, aimed at improving productivity. 'Brazil suffered a sharp deindustrialisation process in the 1990s, when, in addition to the so-called 'Brazil cost,' there was a relaxation of imports, and we began to notice an invasion of Asian products in the Brazilian market,' said Ferreira. According to Ferreira, the industry, which represented more than 46 percent of the gross domestic product (GDP) in 1989, saw its representation fall to just over 14 percent last year. 'It is no exaggeration to say that the Brazilian footwear industry resisted and continues to resist in a rather hostile environment, taking into account the high production costs and predatory competition imposed by Asian markets, now also through international e-commerce platforms,' added Ferreira, emphasising that investments focused on productivity have been essential for the national footwear industry to remain the main one in the West. Equipment, distribution centres and factory expansion Among the announced investments, some are aimed at purchasing a wide range of machinery and equipment. This is the case of Andacco, which is part of the Cacique Group, from Minas Gerais. The company, which produces 5,000 pairs per day, intends to acquire new equipment and moulds, totalling approximately three million reais. Company director Benvenuto Arantes explained that this amount exceeds what was invested in 2024 by 40 percent. 'Investment is a constant for Andacco, regardless of the scenario, which this year is still quite obscure,' he said. For Arantes, however, opportunities may arise in light of the tariff war between the US and China. 'The US is the destination for 70 percent of our shipments. With the high tariffs imposed on Chinese footwear, we will possibly have greater demand, which could have a positive impact on our exports and, consequently, on performance for 2025,' he explained. Tip Toey, a children's footwear company based in Franca, São Paulo, has been making investments in structural projects totalling three million reais in recent years. The company, which exports a third of its production, will inaugurate a distribution centre in Europe this year, with an investment of approximately 100,000 euros. Co-chief executive officer of Tip Toey, Scott McInerney, explained that the expansion plan involves three main fronts: brand, export, and industry. 'We want to be closer to European customers to respond quickly to demand and receive more consistent feedback on our products,' said McInerney in the press release. The Minas Gerais-based women's footwear and accessories brand Luiza Barcelos constantly invests in machinery and, at the end of 2023, inaugurated a production unit in Rio Grande do Sul, from where 80 percent of its production originates. 'Today, exports represent two percent of turnover, a figure we want to double in 2025. For this, we are intensifying participation in international trade fairs,' said company director Luiz Barcelos. Boaonda, a producer of injected footwear from Rio Grande do Sul, invested more than two million reais in 2024 in expanding its EVA lines and acquiring new machinery. For 2025, given a surprisingly positive first quarter with 30 percent sales growth, Boaonda was obliged to expand its headquarters, in a project that will cost more than five million reais to meet domestic and international market demands. According to brand manager Cássio Romani, the new building should be ready by the end of the year, directly employing more than 50 people. There is the possibility of tripling this number to 150 in the short term, depending on the company's continued growth. For the year, although optimistic, the company forecasts sales growth of around 15 percent. 'Brazil has structural problems such as high taxes, unfair competition—including within our own market—and difficulty in finding labour. Despite this, Boaonda remains confident and is betting on our country,' said Romani. Overview of the footwear industry with high technology employed Credits: courtesy of the Brazilian Footwear Association In summary The Brazilian footwear sector plans to invest 1.7 billion reais, a seven percent increase compared to the previous year, focusing on machinery and technology to improve productivity. Companies such as Andacco, Tip Toey, and Luiza Barcelos are investing in equipment, distribution centres, and expanding their facilities to increase production and meet domestic and international demand. Despite challenges such as high production costs, Asian competition, and structural problems in Brazil, footwear companies are optimistic and confident in their growth, seeking opportunities in the global market. This article was translated to English using an AI tool. FashionUnited uses AI language tools to speed up translating (news) articles and proofread the translations to improve the end result. This saves our human journalists time they can spend doing research and writing original articles. Articles translated with the help of AI are checked and edited by a human desk editor prior to going online. If you have questions or comments about this process email us at info@
Reuters
5 hours ago
- Reuters
Tesla seeks to block city of Austin from releasing records on robotaxi trial
June 6 (Reuters) - Tesla is trying to prevent the city of Austin, Texas, from releasing public records to Reuters involving the EV maker's planned launch of self-driving robotaxis in the city this month. The news agency in February requested communications between Tesla and Austin officials over the previous two years. The request followed CEO Elon Musk's announcement in January that Tesla would launch fare-collecting robotaxis on Austin public streets. Austin public-information officer Dan Davis told Reuters on April 1 that 'third parties' had asked the city to withhold the records to protect their 'privacy or property interests.' Austin officials on April 7 requested an opinion on the news agency's request from the Texas Attorney General's office, which handles public-records disputes. On April 16, an attorney for Tesla (TSLA.O), opens new tab wrote the AG objecting to the release of 'confidential, proprietary, competitively sensitive commercial, and/or trade secret information' contained in emails between Tesla and Austin officials. The Tesla attorney wrote that providing the documents to Reuters would reveal 'Tesla's deployment procedure, process, status and strategy' and 'irreparably harm Tesla.' Tesla and the Texas Attorney General's office did not respond to Reuters' requests for comment. Neal Falgoust, who oversees public records issues for Austin's Law Department, said the city "takes no position on the confidential nature of the information at issue" but is required to seek the Attorney General's opinion when "a third-party asserts that their information is proprietary and should not be released." Musk has staked Tesla's future on self-driving vehicles he has promised for a decade but hasn't delivered, making Austin's robotaxi launch closely watched as a potential milestone. Some analysts and investors attribute the majority of Tesla's stock market value to hopes for robotaxis and humanoid robots it has yet to deliver. Little is known about Tesla's plans in Austin. The company has said it aims to initially deploy between 10 and 20 driverless robotaxis in restricted geographic areas of Austin, which it has not publicly identified. In an April 23 response to Tesla's letter, a Reuters lawyer wrote that Tesla's intent to deploy the unproven technology on Texas roadways makes its plans 'an issue of enormous importance to Texas and the public at large' and underscored the public's right to know. Falgoust, the Austin law department official, did not respond to questions about whether the public was entitled to information about Tesla's driverless technology. Texas state law requires the Attorney General's office to decide within 45 business days, which would be next week.
