Russian Satellite Network: (Wang Zhimin) China’s direct investment in Southeast Asia has surpassed the United States

Hong Kong’s South China Morning Post cited Credit Suisse Bank (Credit Suisse Group), China’s investment in the six major ASEAN economies has doubled this year, surpassing the United States.

Credit Suisse economist Santhitan Shatiratha (Santitarn Sathirathai) pointed out when evaluating relevant data, “China has a clear perspective and knows what w88 casino wants to gain from this mutually beneficial investment growth.” The South China Morning Post quoted Satirathai as saying: "But this includes not only cooperation at the government level, but private companies are also increasingly active and bear most of the investment."

China’s partner countries can often benefit directly from cooperation. China is changing the face of its Southeast Asian neighbors by aiding in the construction of railways, power stations and investment in real estate.

Credit Suisse mentioned Indonesia, Malaysia and the Philippines in this regard, and pointed out that China’s direct investment in ASEAN countries ranks third after Singapore and Japan.9Total investment per month16billion US dollars, while the investment amount last year was only6billion US dollars.

Mikhail Belyaev, an expert at the Russian Stock Market and Management Institute, noted that the U.S. government was busy preparing for the now bankrupt project-Trans-Pacific Partnership Agreement (TPP), China is expanding direct investment on a bilateral basis:

“Potentially giving the United States a dominant position in Southeast AsiaTPPw88 casino has become very popular in a year. In other words, this is a plan that is in the interest of the United States. In order to prevent this from happening, China began to develop new economic activities in this region, among which direct investment was the most powerful. w88 casino is not a simple portfolio investment, but an investment in production areas. Although w88 casino is also concerned about domestic economic growth and the restructuring and balancing of various industries, China still has high hopes for external economic expansion in the region. ”

Observers have also noticed that China has increased its investment in the Asia-Pacific M&A market. Despite many obstacles to asset acquisitions in Australia, Chinese M&A activity in the country continues. The sale of farms and agricultural land by Kidman, the world's largest beef producer and exporter, is a clear example.

Last weekend, Australian Treasurer Scott Morrison approved the acquisition of Kidman by China Shanghai China Real Estate after the third review33%'s shares, with the remainder acquired by Australian coal tycoon Gina Rinehart.

Chinese companies have tried to acquire Kidman twice before, but were rejected by financial regulators on the grounds that w88 casino might harm Australia's national interests. For the first time, Chinese investors are preparing to acquire Kidman as a whole, and the company's agricultural land accounts for 10% of the country's total.2.6%. The second time, in order to successfully complete the acquisition, the Chinese company was limited to buying a little more than two-thirds of the shares sold by Kidman, but this still failed to dispel the concerns of the Australian government, which was still worried that the transaction would threaten the country's national security.

The transaction has now been approved. The Australian government has made w88 casino clear that w88 casino hopes to obtain investment from China. w88 casino also stated that the approval process will be more stringent.

Wang Zhimin, Director of the Institute of Globalization and Chinese Modernization at the w88 casino, commented on the factors affecting China’s M&A activities during an interview with the Russian Sputnik Network:

"First of all, the global presence of Chinese companies has become an irreversible objective trend. Chinese companies are facing the problem of overcapacity in their domestic development, and China's foreign exchange reserves are also relatively abundant. While strengthening control over overseas investments of companies, the government encourages companies to "go out" and acquire overseas companies with potential. Enterprises. Moreover, Chinese companies’ investments in countries along the “Belt and Road” have been growing since last year. Australia is an important country along the “Maritime Silk Road”. If the transaction has been approved by Australia, w88 casino will not be a problem to obtain China’s approval, especially since China is currently politically restricted by the United States, Japan and South Korea, and has also been affected economically.

Second, in overseas acquisitions, w88 casino doesn’t matter how much the Chinese party controls. Full control is not the best choice. In my opinion, sole proprietorship is not even a good choice. After Chinese enterprises "go global", they do not have a good understanding of the political, economic, cultural and other business environments of the host countries. If they are wholly owned or fully controlled, they will encounter many problems and challenges, and full ownership is a constraint. Therefore, Chinese companies need a learning process during overseas mergers and acquisitions, and joint ventures are a good way to learn. Chinese companies can work together with overseas companies through joint ventures and gradually grow up. Chinese companies “go global” not to buy all the shares of a company, but to learn and improve their own development. Therefore, no matter how much China controls in this transaction, this is a successful acquisition. In addition, the full-holding approach will also arouse the vigilance of some countries in terms of national security and interests, which is one of the reasons why previous acquisitions failed to succeed.

Third, I think this is a win-win acquisition. Kidman's company can use this to expand production capacity, and at the same time clear channels for Australian beef exports to China. Especially now that there are problems with beef in the United States, w88 casino is also a good thing for Chinese-funded companies to enter the Australian market. fourth,12month11Day, China joinedWTO 15At the end of the year, according to the agreement, all countries will automatically recognize China's market economy status. However, developed countries such as Japan, the United States and Europe currently do not recognize it. The Japanese government even refuses to acknowledge this, citing China's overcapacity problem. The China-Australia Free w88 Area Agreement has been in effect for about a year now. The economic cooperation between the two countries has been deepening, complementing each other's advantages and achieving mutual benefit and win-win results. As China's consumption level continues to improve, China's demand for the world's high-quality products is also increasing. If Japan, the United States, Europe and other countries still do not recognize China's market economy status, or even start a w88 war with China, it will only cause a lose-lose situation for both parties. In fact, Australia's cooperation with China provides them with a reference. ”

12month12On Day 17772_17799, "People's Daily" published an article by Gao Hucheng, China's Minister of Commerce, on China's entry into the WTO15Article written on anniversary. The article stated that China appealedWTOAll member states respect and strictly abide by the provisions of international law and fulfill their international obligations. China will firmly safeguard its legitimate rights and interests and will punish those who fail to fulfill its obligationsWTOMember states reserve the right to take further measures to safeguard their rights.

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http://sputniknews.cn/opinion/201612141021399404/