The latest news on US-China business, commerce and industry
By Angela Bao
October 4, 2021
(Photo credit): Gettyimages.com/Sheldon Cooper / SOPA Images / LightRocket
US business optimism in China rebounds
According to a survey by the US Chamber of Commerce in Shanghai and PwC China, US companies have been the most optimistic in three years about business prospects in China, despite some concerns about the Beijing pandemic travel restrictions and relations. bilateral strained.
Seventy-eight percent of those polled said they were “optimistic or slightly optimistic” about their business prospects in China over the next five years, which is almost back to 2018 levels. Almost 60% of those polled said they had increased their investments in China in the past year, and more than 82% expected revenue growth for the full year.
However, American companies still face hurdles in China. Companies are struggling to recruit more workers due to border closures, and China’s crackdown on industries ranging from education to real estate has increased uncertainty in China’s business environment.
Beijing bans trading and mining of cryptocurrencies
In their most detailed and extensive cryptocurrency crackdown to date, Chinese regulators have banned all crypto-related trading and mining. Ten agencies, including the People’s Bank of China, financial regulators and securities regulators, have come together for the first time to “wipe out” all “illegal” crypto activity.
Other countries in Asia and the United States are also cracking down on digital currencies more tightly, over concerns about the impact these currencies could have on their financial markets. Beijing has also expressed concerns about the amount of energy used to mine digital currencies. Some analysts postulate that the Chinese government viewed cryptocurrencies as a threat to its own sovereign digital yuan, which China began developing in 2017.
Universal Beijing Resort finally opens its doors
Universal opened its first theme park in China, the Universal Beijing Resort, to a full house just in time for the mid-fall vacation. Tickets for the following National Day weekend also sold out quickly. It is the first American-branded theme park in Beijing on par with Shanghai and Hong Kong Disneyland parks, and it is Universal’s fifth theme park in the world. The complex includes seven themed “lands” based on Universal Properties, such as Harry Potter and Kung Fu Panda.
The plans for the Universal Beijing Resort were first put in place in 2001 and approved by Chinese regulators in 2014. The resort is a joint venture between Universal and the state-owned Beijing Shouhuan Cultural Tourism Investment, which owns it. 70%, and Universal Parks from Comcast Corp. and Resorts holding the remaining 30%. According to the Chinese news site Global Times, the Universal Beijing Resort is expected to generate annual sales of more than RMB 10 billion.
More Hollywood Movies Get China Release Dates
Two major Hollywood blockbusters, a science fiction epic “Dune” and the next James Bond film “No time to die” got release dates in China in October. “Dune” will open in China on the same day as its North American release date (October 22), and “No time to die” will debut in China on October 29, three weeks after its North American release.
The news is a welcome relief, following other big Hollywood headlines like “Black Widow” and “Shang-Chi and the legend of the ten rings” never received any release dates during the summer. Part of the summer blackout was due to the Communist Party celebrating its 100th anniversary and releasing a slew of patriotic films. However, the Chinese box office has been sluggish overall this summer, amid epidemics of delta variants and concerns over the government crackdown on Chinese celebrities, with September having one of the busiest box office weekends. low in 2021.
GM invests in self-driving cars and chips in China
General Motors announced that it is investing $ 300 million in Chinese self-driving startup Momenta, less than six months after Momenta raised nearly $ 500 million in funding from companies such as Mercedes-Benz AG, SAIC and Toyota. The investment is intended to accelerate the development of autonomous vehicle technology for GM vehicles in China, where GM has formed strong partnerships, and is part of the $ 35 billion GM had specifically earmarked for electric and autonomous vehicle companies. until 2025. China’s best-selling electric vehicle, the Wuling Mini EV, is a joint venture between Chinese company SAIC Motor Corp., GM and Wuling Motors, produced under the brand SGMW.
SGMW also announced that it is developing its own automotive chips and wants to increase its use of locally sourced chips. However, SGMW did not say whether it is only designing the chips or manufacturing them as well.
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