Latest news with #Mainland China
South China Morning Post
2 hours ago
- Business
- South China Morning Post
China's pension system needs an overhaul because it is neither fair nor sustainable
Mainland China's pension system has again become an issue of debate after the Supreme People's Court ruled that any private agreement between employers and employees to evade payment of retirement funds was invalid. Advertisement While the legal interpretation reiterated existing laws and regulations, it struck a nerve with the population and triggered doubts about the pension system's fairness and sustainability. China's pay-as-you-go system, which requires workers to contribute funds into a state-managed pool to pay for their retirement, essentially serves as a 'social security tax' levied on both employers and employees. An employer must pay an amount equivalent to about 19 per cent of an employee's salary to the pool, while the employee pays an additional 8 per cent to an individual account. That is often collected on a monthly basis, along with other payments for healthcare and unemployment social insurance. The levy has been deemed so high that many private employers attempt to evade it. One way they do so is to set an artificially low taxable wage. Advertisement An employer, for example, may report to the Ministry of Human Resources and Social Security that an employee only makes 3,000 yuan (US$418) as a monthly salary even though the worker actually earns 5,000 yuan.
Forbes
10 hours ago
- Business
- Forbes
China Market Update: CATL's Mine Closure Represents Step To Reduce EV Overcapacity
Asian equities were mostly higher overnight, as Japan and Mainland China outperformed, while the Philippines and Thailand underperformed. Both Hong Kong and Mainland markets were higher overnight, though the Mainland outperformed, as investors remained optimistic about the longevity of the US-China trade truce, especially with the news that Nvidia and Intel will be able to sell AI chips in China, albeit the less-advanced ones, while paying the US government 15% of their China revenues. This shows the importance of China revenue to these companies. Charging companies to export and extracting "golden shares" from US Steel, as a condition of approving Nippon Steel's takeover, are making the US look more like a state-capitalist model, like China. There was an interesting op-ed in the Wall Street Journal on this very topic. Anyway, there are green shoots for the US-China relationship. Tencent was flat despite expectations of slowing profit growth for the second quarter. The company has seen gaming revenue increase substantially on an increase in the frequency and volume of game approvals by China's regulators. AI spending is named as the culprit for the slowing profit growth, though the company needs to continue to stay relevant in the AI space. CATL will be closing a key lithium mine in China. This is part of the government's anti-involution campaign against oversupply, especially in the electric vehicle space. The news sent lithium prices higher and is likely to slow the new supply of vehicles to the domestic and international markets. We have discussed previously that China's electric vehicle manufacturers and solar panel makers are going to start acting like an OPEC, discussing and deciding when to cut or increase production. This vision became real overnight with the announcement of the mine's closure. The slowing of production and the material step will be useful in trade negotiations, especially with the EU. Value slightly outperformed growth in both Mainland China and Hong Kong. Internet stocks were mixed as Alibaba gained, Tencent was flat, and Meituan was lower. New Content Read our latest article: KraneShares KOID ETF: Humanoid Robot Rings Nasdaq Opening Bell Please click here to read CNY per USD 7.19 versus 7.18 yesterday CNY per EUR 8.34 versus 8.37 yesterday Yield on 10-Year Government Bond 1.72% versus 1.69% yesterday Yield on 10-Year China Development Bank Bond 1.81% versus 1.78% yesterday Copper Price 0.06% Steel Price -0.03%
South China Morning Post
17 hours ago
- Business
- South China Morning Post
Why are DSE pupils in mainland China willing to pay up to HK$22,000 for university advice?
Mainland Chinese students taking Hong Kong's university entrance exams are willing to pay up to 20,000 yuan (US$2,785) for advice on which tertiary institution to apply to, a consulting company has said. Teachers also observed that mainland students tended to place greater emphasis on the global ranking of institutions than their Hong Kong counterparts, who were more likely to choose undergraduate programmes based on their interests. A university application adviser on the mainland charges between 10,000 and 20,000 yuan (HK$11,000 and HK$22,000) for each candidate who sat Hong Kong's Diploma of Secondary Education (DSE) examinations. Issac Liang Weiyi founded his Shenzhen-based consulting company, Winning Star, in 2024 for students applying to overseas universities. He already had 50 clients. The demand for consultancy services was in line with the rising number of mainland students sitting the DSE exams. According to a check by the Post, at least 72 schools on the mainland offer the DSE curriculum, four of which are designated for Hong Kong children who live across the border. The rest are for both mainland and Hong Kong students.
South China Morning Post
28-07-2025
- Business
- South China Morning Post
Mainland Chinese hotel brands poised to reshape Hong Kong's hospitality scene, analysts say
Mainland Chinese hotel operators are expected to significantly increase their presence in Hong Kong's hotel industry , potentially replacing established brands in the coming years, according to analysts. Currently, Western and international operators dominate Hong Kong's hotel landscape, while Chinese ones have a minor presence. Among some of the more notable mainland players, BTG Homeinns operates both upscale and mid-market hotels in Hong Kong, including the Wharney Hotel in Wan Chai, Oasis Avenue in Tsim Sha Tsui, and Oasis Aurum 181 in Sai Ying Pun. However, mainland brands had significant potential for growth, said Hannah Jeong, executive director and head of valuation and advisory services at CBRE Hong Kong. 'The Chinese operators are increasing their footprint and it's a global trend,' said Jeong, adding that because 70 per cent of tourists in Hong Kong came from the mainland, Chinese hotels 'must show their presence' in the city. The shift reflects the growing ambition of Chinese hotel operators to expand beyond the mainland, which could give them a competitive edge in attracting hotel asset owners, according to CBRE. Tourists at the Observation Deck of the Peak Tower. Photo: Elson Li Hotel operations typically follow several business models, such as a master lease – where the hotel owner leases the asset to an operator – or hotel service management, whereby the operator manages the hotel on behalf of the owner.
