New Chinese government policies are likely to put pressure on the profits of foreign manufacturers in the near to medium-term. The Chinese government has previously indicated that it will equalize tax rates for domestic Chinese firms and foreign firms.
While Shanghai is often seen as more cosmopolitan than Beijing, this judgment certainly does not apply in one key area: architecture. Beijing is quickly becoming the capital of cutting-edge architecture, for China but also for the world.
A new documentary, Nanking, explores the Nanjing massacre of 1937, when Japanese soldiers wreaked havoc , raping, pillaging and killing indiscriminately in the Chinese city of Nanjing. This event remains a key barrier to good relations between China and Japan as many in Japan refuse to acknowledge that atrocities were committed in Nanjing.
Last week, policymakers in Beijing, concluding an annual Central Economic Work Conference, decided to shift its monetary policy stance from “prudent” to “tight” next year. In line with the new policy stance, China’s central bank raised its reserve ratio requirement to 14.5%, a 1% increase and a 20-year high. Previous increases in the ratio had been much smaller, usually 0.5%.