Faced with surging numbers of unemployed college graduates China has asked its municipalities to ease the Hukou restrictions for non-local college graduates. The Hukou system is a left-over restriction from the Cultural Revolution that allowed the Chinese government to control for migration and settlement of its population. The new measure, which excludes Beijing, Shanghai, Tianjin and Chongqing, will allow college graduates more freedom in choosing work locations.
China, the world’s second largest oil importer after the U.S., signed a deal with Russia for 15 million tons of oil per year for the next 20 years. Russia, the world’s second largest oil exporter after Saudi Arabia, is under significant pressure due to an economic slowdown and its first recession in a decade. The deal grants Russia’s oil giants Rosneft and Transneft much needed cash through Chinese loans of $25 billion.
Chinese automaker Chery may consider acquisitions in Europe as part of its global growth strategy. Acquisition of strategic assets in Europe would enable Chery Auto to enter the European market and get access to sophisticated technology, brands and distribution channels. The automobile industry is currently undergoing significant changes and well-known brands such as Volvo or Hummer struggling under the drop in demand are increasingly becoming targets of strategic acquisitions.
China might shift its focus from low-risk yet low-yield assets, such as U.S. government bonds, to higher return investment opportunities. Another consideration for China is to use its FX reserves to help stimulate struggling domestic industry sectors. With almost $2 trillion in foreign exchange reserves China is by far the largest holder of FX reserves in the world. A shift in the country’s FX reserves strategy would have significant effects on the U.S. economy which is heavily dependent on Chinese money loans.
A few months ago, I wrote about the early stages of the conflict in Ukraine through the lens of Sun Tzu’s The Art of War. While it appears likely that the war will carry on into the foreseeable future, enough time has passed for us to make an honest assessment of each side’s relative […]
The Ukrainian Army has made dramatic strides in the last few weeks. Ukraine’s tactical commanders have outfoxed their Russian counterparts, and by issuing a feint towards the south the UA has been able to earn substantial gains in the north of their country. The impact of these efforts have been compounded by the steady stream […]
In mid-May the Irish political party, Sinn Féin, won the plurality of seats in the Northern Ireland Assembly. Many American readers might not fully understand the significance of Sinn Féin’s political victory- but rest assured that subjects of the United Kingdom and a wide range of political movements the world over have heard the message […]
The first wave of the Russian offensive in Ukraine has fallen short of Russian autocrat Vladmir Putin’s ambitions. Most analysts deduced that Putin had hoped to achieve a decapitation strike of the Ukrainian government- taking Kiev and replacing Ukrainian President Vladimir Zolinski with a pro-Kremlin voice. Kiev has been threatened repeatedly through the course of […]
On the weekend of March 26th, the notorious MS-13 gang went on a massive killing spree in El Salvador which left more than 70 people dead by Sunday. Even for a country where powerful gangs hold massive sway, this recent tragedy stands out considering that it was the bloodiest day on record since the civil […]
