Global Analysis from the European Perspective. Preparing for the world of tomorrow


China



EU, not China or Japan, is the biggest US Treasury holder. And this is not a good sign.

US-based media have been reporting that Japan has become the biggest holder of the US treasuries, surpassing China last month. However, this is true only in regard to single countries. If we consider the European Union member states collectively, then they appear to be the biggest holder of the US treasuries. It has been so almost one year long. Unfortunately, the EU’s holdings are artificially overstated because of some financial havens and they are going in the opposite direction to the trend: up rather than down.

According to the latest data from TIC (Treasury International Capital System), the EU was in possession of $1242 billion of US Treasuries in November 2016, $9 billion more than one month earlier. The EU was the only one from three biggest holders that increased its amount of US treasuries in November, while China and Japan continued to lower their holdings.

Continue reading

China is militarizing the South China Sea, or is it?

China is by far the most powerful contestant. Neither the Philippines, nor Malaysia nor Vietnam can compare, though they, especially Hanoi, dare to put up a fight and stave off the encroachment on its sovereignty. China, true, is willing to sit down to the negotiation table, yet insists on bilateral talks; the smaller contestants prefer group talks. And they all look to the United States, if for different reasons. China is trying to expand its regional clout, the smaller countries are defending their rights. And the United States? Failure to respond to the Chinese challenge entails serious consequences such as damage to Washington’s status of the world superpower and loss of American credibility, not only in the eyes of the few South-East Asian nations concerned but also others, like Japan. The eyes of the world are thus focused on the South China Sea.

Continue reading

Chinese 13th Five-Year-Plan Will Not Only Impact The Nation, But The Whole World

The coming years will be crucial for the Chinese economy and decisive for the realization of the „Chinese dream” of a prosperous society. This dream is to be achieved through the 13th Five-Year-Plan. This conglomerate of strategic goals will have a cascading effect; it will affect the global economy as well.

Many see the Five-Year-Plan (FYP) as a Stalinist holdover of China’s old command economy1; disregarding those „Guidelines” is a mistake. Investors should be fully aware of China’s five year economical cycles. China’s economic cycles are dictated by the elite of the Communist Party of China (CPC) and not by the invisible hand of the market.

China is run by the CPC whom does not see a free markets as a goal, but as a mean to improve the wealth of the citizens of China. The website of the CPC states the following ”The Communist Party of China takes Marxism-Leninism, Mao Zedong Thought, Deng Xiaoping Theory, the important thought of Three Represents and the Scientific Outlook on Development as its guide to action.”

To understand the importance of the FYP, one must understand exactly what it is. Continue reading

gif loading



VIDEOS

category youtube video ...

MORE NEWS

South Korea’s government said on Thursday (Feb 7) that it will spend 13.2 trillion won (S$15.9 billion) in border areas with North Korea for the next decade. The money, including 5.4 trillion won from the central government, 2.2 trillion won from local governments and 5.6 trillion won from the private sector each, will be spent on 225 projects in inter-Korea border areas by 2030. Source The Straits Times


The German government is debating whether to follow the United States and allies such as Australia in restricting China’s Huawei Technologies from accessing its next-generation mobile networks on national-security grounds.

Some Western countries have barred Huawei from their markets after US officials briefed allies that Huawei is at the beck and call of the Chinese state, warning that its network equipment may contain “back doors” that could open them up to cyberespionage. Huawei says such concerns are unfounded. Source: The Irish Time


  • The bipartisan bills target firms supposedly in breach of US sanctions, and specifically cite Huawei and ZTE
  • Republican Senator Tom Cotton branded Huawei ‘an intelligence-gathering arm of the Chinese Communist Party’

The measures would require the US president to ban the export of US components to any Chinese telecommunications company that violates US sanctions or export control laws. Source: South China Morrning Post


Xi’s speech was made at a meeting of top officials from the Central Military Commission (CMC), which he heads, and broadcast later on national television.

“All military units must correctly understand major national security and development trends, and strengthen their sense of unexpected hardship, crisis and battle,” he said.

China is keen to beef up its armed forces amid territorial disputes in the South China Sea and escalating tension with the United States over issues ranging from trade to the status of Taiwan. Source South China Morning Post









gif loading

Six railcars carrying dozens of South Korean officials and engineers will inspect 1,200km (745 miles) of track over 18 days, according to the South’s unification ministry. The survey required special permission from the United Nations to take prohibited goods into the North, which remains under heavy economic sanctions over its nuclear weapons programme. South Korean officials will use the study to draw up plans for modernising the North’s ageing rail lines, most of which date from the early 20th century. South China Morning Post













gif loading
 
Menu
More