Latest news with #ZhengShanjie
The Star
14-05-2025
- Business
- The Star
China's economic planner holds symposium to hear from private firms
BEIJING, May 14 (Xinhua) -- China's top economic planner on Wednesday held a symposium for private enterprises to gather opinions on current economic conditions and the implementation of policies on stabilizing employment and growth. Attendees shared insights on industry performance and proposed measures to support the high-quality development of private businesses at the symposium, which was chaired by Zheng Shanjie, head of China's National Development and Reform Commission (NDRC). Private firms acknowledged enhanced resilience against external risks, emphasizing their focus on innovation, market diversification and stable operations. Despite challenges, participants expressed confidence in their long-term prospects. They highlighted the introduction of the private sector promotion law as a milestone bolstering legal safeguards for the sector. Suggestions included prioritizing private-sector support in the upcoming 15th Five-Year Plan (2026-2030). Zheng stressed the need to align macro policies with micro-level business needs, pledging to improve regular government-business communication mechanisms. He pledged to expedite policy implementation and address sector-specific challenges to stabilize employment, businesses and market expectations. The NDRC will advance the drafting of the 15th Five-Year Plan and ensure the effective roll-out of policies supporting private enterprises, he added.
Yahoo
29-03-2025
- Business
- Yahoo
In Geopolitical Chess, China's Latest Energy Norms Block Nvidia's Chip Strategy Amid US Sanctions
Geopolitical tensions between Washington and Beijing continue to intensify regarding access to artificial intelligence and other advanced semiconductor technology. The U.S. had imposed multiple semiconductor embargoes on China, restricting the latter's exposure to cutting-edge technology from Nvidia Corp's (NASDAQ:NVDA) and Taiwan Semiconductor Manufacturing Co (NYSE:TSM). The move is followed by China's retaliation. China has introduced energy efficiency rules for using advanced chips that would prevent Chinese companies from buying Nvidia's tweaked processors, the Financial Times reported, citing documents they reviewed. China's National Development and Reform Commission urged Chinese groups to use tailor-made chips in new data centers and expansion of existing to the report, Nvidia's tailor-made chip for China, H20, failed to comply with the commission's new rules. Reportedly, the Chinese regulator has passively urged Alibaba Group Holding (NYSE:BABA), ByteDance, and Tencent Holding (OTC:TCEHY) against procuring H20 chips, signifying a threat to Nvidia's $17 billion annual business in the country. China is Nvidia's fourth-largest market. Reportedly, Nvidia is eying a meeting between its senior executives and commission chair Zheng Shanjie. Also, Nvidia is ready with a solution to adjust H20 chips to meet the NDRC norms. Tech powerhouses from Alibaba to Tencent aggressively ramped up their orders for H20 chips this year after DeepSeek launched its efficient reasoning model. Reportedly, Huawei Technologies Co doubled the yield rate on its latest AI chips from around 20% a year ago to ~40% now. Huawei's revenue grew by 22% in 2024, reaching 860 billion yuan ($118.27 billion). In February, Nvidia reported fourth-quarter revenue of $39.3 billion, up 78%, beating a Street consensus estimate of $38.05 billion. Nvidia expects first-quarter revenue of $43.0 billion, +/—2%, ahead of a street consensus estimate of $41.75 billion. Also Read: Maker of the $60,000 foldable home has 3 factory buildings, 600+ houses built, and big plans to solve housing — this is your last chance to become an investor for $0.80 per share. If there was a new fund backed by Jeff Bezos offering a 7-9% target yield with monthly dividends would you invest in it? Photo by fukomuffin on Shutterstock Up Next: Transform your trading with Benzinga Edge's one-of-a-kind market trade ideas and tools. Click now to access unique insights that can set you ahead in today's competitive market. Get the latest stock analysis from Benzinga? This article In Geopolitical Chess, China's Latest Energy Norms Block Nvidia's Chip Strategy Amid US Sanctions originally appeared on © 2025 Benzinga does not provide investment advice. All rights reserved. Sign in to access your portfolio
CNN
10-03-2025
- Business
- CNN
China's deflation problems get worse
Consumer prices in China have plunged to their lowest level in more than a year, highlighting persistent deflationary pressures in the world's second-largest economy. The Consumer Price Index (CPI), a benchmark for measuring inflation, fell by 0.7% in February from the previous year, China's National Bureau of Statistics (NBS) said on Sunday. The decline was sharper than predicted by a Reuters poll of analysts, reversing January's modest 0.5% increase and marking the first contraction since January 2024. Deflation is a problem because it gives people little incentive to spend right now, in expectation of lower prices. This tends to drag down consumption, which is an important component of economic growth. The drop in February was partly influenced by an earlier-than-usual Lunar New Year holiday – when hundreds of millions of trips took place, boosting tourism and spending. The holiday fell entirely in January this year, compared with the previous one that extended into February. That means there was a much higher base of comparison in 2024. The NBS said consumer prices would have risen by 0.1%, excluding the impact of the earlier Spring Festival. The country's core CPI, which excludes items with volatile prices like food and fuel, also declined by 0.1%, the first decrease since January 2021. Meanwhile, the Producer Price Index (PPI), which tracks wholesale prices, saw a 2.2% reduction in February from the previous year. Factory-gate prices have been contracting for 29 consecutive months since October 2022. 'Temporary seasonal distortions aside, both CPI and PPI inflation have been too low over the past two years, underscoring the supply and demand imbalance in the Chinese economy,' Goldman Sachs' economists wrote in a Sunday research note. China's economy continues to be weighed down by weak consumer spending, uncertain employment outlook and a prolonged property sector downturn. Internationally, it also faces being squeezed as the United States turns the heat up on a trade war against China, which has long relied on exports to drive growth. 'The uncertainty of the external environment is increasing, while we also face issues such as insufficient domestic demand and operational difficulties for some industries,' said Zheng Shanjie, the head of China's state planner, National Development and Reform Commission, in a press conference last week. Beijing has set an ambitious economic growth target of 5% for 2025, the same as last year. It also lowered its target for the consumer price increase this year to 2% from 3% last year, signaling Beijing's recognition of ongoing deflationary pressure. But during the highly anticipated opening of the ceremonial legislature last week, the government fell short of announcing large-scale stimulus to bolster growth despite emphasizing the need to boost consumption. At a press conference on the sidelines of the National People's Congress on Sunday, Wang Xiaoping, minister of human resources and social security, said the task of stabilizing and expanding employment this year will be 'arduous' and 'under pressure.' Ni Hong, minister of housing and urban-rural development, stressed that the government is 'making every effort to stabilize and restore confidence in the real estate market.' He highlighted the 4.4 trillion yuan ($608 billion) quota for local government special bonds this year, which will be partly allocated for the acquisition of completed commercial housing. The housing projects purchased will be converted to affordable housing and worker dormitories.
CNN
10-03-2025
- Business
- CNN
China's deflation problems get worse
Consumer prices in China have plunged to their lowest level in more than a year, highlighting persistent deflationary pressures in the world's second-largest economy. The Consumer Price Index (CPI), a benchmark for measuring inflation, fell by 0.7% in February from the previous year, China's National Bureau of Statistics (NBS) said on Sunday. The decline was sharper than predicted by a Reuters poll of analysts, reversing January's modest 0.5% increase and marking the first contraction since January 2024. Deflation is a problem because it gives people little incentive to spend right now, in expectation of lower prices. This tends to drag down consumption, which is an important component of economic growth. The drop in February was partly influenced by an earlier-than-usual Lunar New Year holiday – when hundreds of millions of trips took place, boosting tourism and spending. The holiday fell entirely in January this year, compared with the previous one that extended into February. That means there was a much higher base of comparison in 2024. The NBS said consumer prices would have risen by 0.1%, excluding the impact of the earlier Spring Festival. The country's core CPI, which excludes items with volatile prices like food and fuel, also declined by 0.1%, the first decrease since January 2021. Meanwhile, the Producer Price Index (PPI), which tracks wholesale prices, saw a 2.2% reduction in February from the previous year. Factory-gate prices have been contracting for 29 consecutive months since October 2022. 'Temporary seasonal distortions aside, both CPI and PPI inflation have been too low over the past two years, underscoring the supply and demand imbalance in the Chinese economy,' Goldman Sachs' economists wrote in a Sunday research note. China's economy continues to be weighed down by weak consumer spending, uncertain employment outlook and a prolonged property sector downturn. Internationally, it also faces being squeezed as the United States turns the heat up on a trade war against China, which has long relied on exports to drive growth. 'The uncertainty of the external environment is increasing, while we also face issues such as insufficient domestic demand and operational difficulties for some industries,' said Zheng Shanjie, the head of China's state planner, National Development and Reform Commission, in a press conference last week. Beijing has set an ambitious economic growth target of 5% for 2025, the same as last year. It also lowered its target for the consumer price increase this year to 2% from 3% last year, signaling Beijing's recognition of ongoing deflationary pressure. But during the highly anticipated opening of the ceremonial legislature last week, the government fell short of announcing large-scale stimulus to bolster growth despite emphasizing the need to boost consumption. At a press conference on the sidelines of the National People's Congress on Sunday, Wang Xiaoping, minister of human resources and social security, said the task of stabilizing and expanding employment this year will be 'arduous' and 'under pressure.' Ni Hong, minister of housing and urban-rural development, stressed that the government is 'making every effort to stabilize and restore confidence in the real estate market.' He highlighted the 4.4 trillion yuan ($608 billion) quota for local government special bonds this year, which will be partly allocated for the acquisition of completed commercial housing. The housing projects purchased will be converted to affordable housing and worker dormitories.
Daily Tribune
09-03-2025
- Business
- Daily Tribune
Ministry of Interior Distributes Ramadan Baskets to Support Families
Email : China is set to establish a state-backed venture capital fund aimed at supporting technological innovation in cutting-edge fields such as artificial intelligence, quantum technology, and hydrogen energy storage. The new initiative, announced by Zheng Shanjie, chairman of the National Development and Reform Commission, will seek to attract nearly 1 trillion yuan ($138 billion) in capital over the next 20 years, with contributions from local governments and the private sector. This move is part of China's strategy to enhance its technological capabilities in critical areas like high-end chips, robotics, and AI, which are seen as vital for future economic growth. The initiative comes amid ongoing challenges from U.S. tech restrictions, but Chinese leaders remain confident in their country's ability to push forward with innovation. Zheng emphasized that despite external pressures, including tech blockades from certain countries, China's progress in microchips, AI, and industrial robots shows that these challenges are accelerating the drive for self-reliance in technology. The fund's creation aligns with recent government pledges to foster industries of the future, such as bio-manufacturing and 6G technology. This reflects a broader commitment to strengthening domestic innovation and consumption, with an emphasis on bolstering China's private sector, which contributes significantly to the country's GDP and employment. Additionally, China's leaders are focusing on boosting domestic consumption to counter external challenges, with measures like a "special action plan" to stimulate consumer demand and increased government spending. This will include consumer subsidies and infrastructure investments to support the economy amid rising international uncertainties.
