Andrew
Manyika Kangai
China Pledges to Further Stimulate Consumption
China’s Ministry of Commerce announced on Tuesday that China will continue to promote consumption with multiple measures in 2022 as the country faces downward pressure.
China’s retail sales of consumer goods, a vital consumption indicator, posted only a 1,7 percent growth year-on-year in December 2021 as the whole year’s retail sales rose 12,5 percent, indicating demand contraction. To cope with the situation, the ministry will implement existing supporting policies for enterprises, especially small and medium-sized Enterprises (SMEs) in sectors including catering, hotels and retail sales. The ministry will also help conduct more sales-promoting activities under sound Covid-19 control, such as shopping festivals and the China International Consumer Products Expo. Consumption platforms will also be upgraded, establishing smart and green business districts and pedestrian streets to meet consumers’ needs.
China Plans to Expand Transport Infrastructure
China plans to expand its transport infrastructure, according to a statement by its Ministry of Transport released on Monday.
China will launch new rail lines totalling 3 300 kilometres this year along with a slew of measures to improve its comprehensive transport network. More than 8 000 kilometres of expressways will be expanded or renovated and over 700 kilometres of high-grade waterways will be added or improved. The country will also add eight certified civil-transport airports and continue to develop the green channel for agricultural products to ensure efficient transport of farm and side-line products. By the end of 2021, the total operating length of China’s high-speed railway network had exceeded 40 000 kilometres. Expressways and high-grade waterways increased to more than 168 000 kilometres and over 16 000 kilometres, respectively.
China Development Bank Increases Support for Spring Farming
China Development Bank, a development financial institution, has set aside 20 billion yuan (about US$3,2 billion) in special loans to shore up this year’s spring farming. The bank announced that the loans will be used to facilitate agricultural production and help ensure the steady supply of important agricultural and side-line products. Financial support will focus on the procurement, circulation and distribution of agricultural production materials, as well as the production and supply of grain, oil, vegetables, meat and other farm produce. In 2020, the bank initiated special loans worth 10 billion yuan (about US$1,6 billion) to help agricultural production firms in 27 provincial-level regions in China cope with Covid119 and resume production. It strengthened support in the field last year by issuing 17,7 billion yuan (about US$2,83 billion) of loans.
China’s Lithium-Ion Battery Output Surges
China’s lithium-ion batteries reported solid growth last year amid nationwide endeavours to peak carbon dioxide emissions and achieve carbon neutrality, according to the Ministry of Industry and Information Technology. The output of lithium-ion batteries reached 324 GWh in 2021, soaring 106 percent year-on-year. Specifically, the output of lithium-ion batteries used for consumer products reached 72 GWh, up 18 percent year-on-year. Output of those used for power battery and energy storage stood at 220 GWh and 32 GWh, respectively, which represented a year-on-year increase of 165 percent and 146 percent. Last year, the industry’s total production value exceeded 600 billion yuan (about US$ 94,7 billion).
China’s Leading Flower Market Sees Robust Trade
A total of 10,3 billion stems of fresh cut flowers were sold in the Kunming Dounan Flower Market in southwest China’s Yunnan Province in 2021, up 25,1 percent year-on-year. As a barometer of China’s flower market, the market based in Kunming, the provincial capital of Yunnan, saw its 2021 trade volume hit 11,2 billion yuan (about US$ 1,8 billion), up 36,8 percent year-on-year. Standing as China’s largest fresh cut flower market in terms of both trade volume and export value for 23 consecutive years, Dounan has become the largest fresh cut flower trading market in Asia, with a product portfolio of fresh cut flowers, bonsai, green seedlings, and gardening materials. Trade can be conducted both onsite and via electronic auction services. Currently, 40 000 of the 70 000 permanent residents in Dounan are engaged in the flower industry.
Manyika Kangai helps African businesses realise the full potential of the vast opportunities China presents. He has over 15 years of experience facilitating and advising on China-Africa trade and investment deals.
and I can assist your business with research and analysis of the Chinese market, sourcing products from China, and getting products into the Chinese market. Feedback +27743487997 www.muvambi-sa.co.za
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