Growth in China's manufacturing sector was weaker than expected in October, falling for the second straight month in further evidence the world's largest economy is slowing. EUGENE HOSHIKO
CNBC: Trump economic advisor Larry Kudlow says China’s economy ‘is crumbling’
* “The Chinese economy is crumbling. It’s just not the powerhouse it was 20 years ago,” White House economy advisor Larry Kudlow tells CNBC.
* China’s economy reportedly grew at its slowest rate in at least 27 years.
* Kudlow says “any long chart of Chinese investment” or economic metrics shows “a steady downdraft.”
White House economic advisor Larry Kudlow told CNBC on Tuesday the United States holds the upper hand in trade negotiations with China due to the comparative strength of the U.S. economy.
“The Chinese economy is crumbling. It’s just not the powerhouse it was 20 years ago,” Kudlow said on “Squawk on the Street.”
“Any long chart of Chinese investment” or economic metrics shows “a steady downdraft,′ he added. “Their GDP, which is probably inflated by several points, is coming in lower and lower.”
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WNU Editor: China's economy is not crumbling. But the days of massive trade surpluses and double digit growth are a thing of the past.
4 comments:
Wnu are you kidding me, yourself or the readers?
- you posted yourself that satellite data showed the the Chinese government over inflates their GDP by up to 30%!!! it was an open secret anyways
-- there are dozens of famous empty cities in China the were built and no one came. But more importantly - and few know this-- thousands (!!) Of sky scrapers went up in the rush without proper housing codes. Means international insurance is almost impossible to get. Means once local insurers default that's it.
- housing bubble also looming and connected. To hit about next year as china's economy is contracting already and the previous tariffs effect will only really hit by then too and the new 300bn on top. Are you kidding me?
- Further: china's population is aging and instead of investing in economy multipliers (education, infrastructure) they spend all this money on their military, not as much as the US but china's economy set to overtake US last year is now half the size of the US economy
- on top much of the MSMs dumb analysis of China is built on old hear say and propaganda the the Chinese helped forming. The shiny cities strategy works in small scale (Singapore, dubai), and foreigners especially westerners who don't really know what they are talking about when it comes to deception are falling for it. DJT not only lives deception he understands their housing and brand strategy "China the unavoidable rulers of earth" lol why? India has same population and similar issues. Success on large scale is difficult
- on top many many manufacturers left China for thailand and Vietnam. Better quality better business especially in Vietnam where now Samsung biggest phone plants are..guess why
- so many business people and educated people or people with money are fleeing (!) China. Only people with family ties go back to this surveillance/ethno state
You must catch up/do your home work
China brought this state of affairs about via aggression and the debt slaving tactics BRI has pioneered. The real question is how they will reshape their businesses away from the North American markets. Africa and Europe will be their primary targets for new growth. Europe is protectionist to their bones, but they are licking their lips to take markets in China from the USA. Germany in particular will go nuts to gain markets at the expense of the USA.
"Germany in particular will go nuts to gain markets at the expense of the USA."
America does not have large markets there.
Surrender Monkey Mutti will be replaced by Seehofer or someone within 2 years. Regardless Mutti has not made in a capital reinvestment in the temple and the just needs 1 or 2 jolts and it will come tumbling down.
The wise man will say; we'll see.
I believe China is learning a very valuable lesson right now, but there internal struggles worry me most. Debt, Corruption, Hong Kong, integration, and a very aggressive expansion in S China sea. Lots of stress.
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