I remember seeing a sign at the Hong Kong border when going to the mainland warning that there was a maximum amount of infant formula that could be taken across. Hopefully this is that crackdown.
I don't know if you really mean it or you are forced to well imagine it so your comment won't be downvoted.
They will obey as long as the state has power, which will be for the far foreseeable future.
The Chinese government has been smart enhance its power by keeping its domestic businesses in a strictly subordinate position and creating an environment were foreign businesses cooperate because dependence is the best business decision (e.g. Apple has no "plan B," it's China all the way for them).
And it might work out for them, especially if foreign nations continue to complacently indulge in free market Kool-Aid.
I know many people who work, or worked for Apple on the hardware side.
I assure you, Apple has "plan B," and it been trying executing on it relentlessly for the last 2 years — just without any success.
Vietnam's total electronics industry output is like a single district in Dongguan. The supply chain is very, very immature there, despite it already towering above any other place in developing Asia, but China.
If what my buddies tell me of Apple's internal assesment of countries is correct, no other countries are even close to a 2nd place alternative on that, except for Taiwan, which is their "plan C" — a sure to work, but expensive option if everything else fails.
Strange question with what I would consider to be an obvious answer. They will obey for as long as they want the profits they get from China's market of video game players for instance. Which strikes me as pretty much "forever".
What company is gonna leave and give that kind of gift wrapped profit center to someone else voluntarily?
The trick for China is to get the regulations in place that are necessary, without putting so many in place that it strangles profitability (and therefore destroys business). But come to think of it, that's the trick for any country when regulating.
When it's no longer a gift.
These companies are sometimes high flying startups along the lines of US firms and they require access to capital.
If their valuations are clipped by an order of magnitude because of regulatory apparatus (i.e. can't list in the US and American investors have no appetite for Chinese exchanges), then this will be a problem for a lot of businesses.
TikTok is getting big in the US and the West where margins are a lot fatter, it could feasibly make more sense for Bytedance to jump ship and become an American-based company with a Chinese workforce. Obviously that's hugely speculative but just an example.
It's like any bit of regulation it has a bunch of externalities. Some may be pretty bad for the company. Maybe, maybe not.
Probably as long as the regulation exists. It is amazing, but once there is the real threat of personal, physical imprisonment, most CEOs are pretty good about making sure regulations get followed despite any impact on the stock price.
Edit: If
2. Even if there were a mass exodus (Which won't happen, because #1), the factories, the expertise, the knowledge base and the human capital those investments paid for aren't going to disappear. All that will happen is that they will become China-owned, as opposed to partially China-owned.
I'll bet they're pleased with you-know-who's you-know-what.
The part you quoted probably means they want to get to the point where if someone in Jiangsu needs documents archived in Zhejiang, they can just access them through a unified platform instead of having to ask their colleagues there to send them over.
“In accordance with the requirements of the State Council’s ‘Internet + Supervision’, Zhejiang has vigorously promoted the pilot work of a unified administrative law enforcement and supervision platform across the province. The platform includes dual-random administrative law enforcement, a list of law enforcement matters, supervisory account management, schedule supervision and inspection, special law enforcement inspection, grassroots four-platform linkage management, departmental collaborative management and other module functions. Through this system, it is possible to enter law enforcement information online, transfer law enforcement procedures online, supervise law enforcement activities online, push law enforcement decisions in real time, and publicize law enforcement information in a unified manner, so as to realize the entire process of administrative law enforcement. At the end of May this year, the platform launched a handheld law enforcement app on Zhezheng Ding. Law enforcement officers can log in to the handheld law enforcement system using Dingding accounts. The handheld law enforcement APP system has four functional modules: supervision and inspection, supervision object management, classified supervision, inquiry and work assistance, which can meet the requirements of various inspection methods such as incident verification, daily inspection, and random inspection in administrative law enforcement inspection. Summarize law enforcement data with complete functions.”
[1] https://www.theguardian.com/us-news/2020/jul/07/china-christ...
[1] https://www.chinajusticeobserver.com/a/what-is-the-convictio...
Food shortage is going to cause riots in US, Canada, and EU for sure. Just based on the vaccine protests/riots, imagine what will happen when rationing is introduced.
He's going to crack down hard and control the population, so when the inevitable comes there is acceptence.
I'm curious how that will work. Are you saying CCP propaganda on TikTok is going to ease famine?
The US (along with France) can easily supply all the food they need to its citizens. Along with the alliances with Mexico and Canada, the US is not going to have food shortages, much less riots.
China, on the other hand, is definitely screwed on this front. All of its neighbors are either outright enemies or begrudging allies. As the global order continues to collapse, China will see constraints on its shipping routes that will lead to shortages of key goods.
The food shortages won't hit as bad, though, since the population is declining. Just not fast enough, unfortunately.
https://www.agupdate.com/livestockroundup/markets/corn-proje...
some other examples of crop failures currently happening
https://www.nationalgeographic.com/environment/2019/06/midwe...
https://www.cnbc.com/2019/07/19/extreme-heat-wave-hits-us-fa...
https://www.theguardian.com/australia-news/2019/may/15/austr...
https://www.theguardian.com/environment/2018/jul/20/crop-fai...
https://mobile.abc.net.au/news/2019-10-02/low-rice-crop-lead...
https://www.telegraph.co.uk/global-health/climate-and-people...
https://phys.org/news/2019-12-climate-whammy-corn-belt.html
https://www.telegraph.co.uk/news/2019/11/12/britain-facing-p...
https://weather.com/science/environment/news/2019-08-01-drou...
https://phys.org/news/2020-01-atlantic-circulation-collapse-...
https://phys.org/news/2019-12-climate-threat-global-breadbas...
https://phys.org/news/2019-12-large-atmospheric-jet-stream-g...
and here are some scientific studies projecting future crop failures:
Schlenker and Roberts, 2009. Nonlinear temperature effects indicate severe damages to US crop yields under climate change. PNAS, 106(37), pp.15594-15598 https://www.pnas.org/content/106/37/15594.full
Mora et al, 2015. Suitable days for plant growth disappear under projected climate change: Potential human and biotic vulnerability. PLoS bio, 13(6), p.e1002167 https://journals.plos.org/plosbiology/article?id=10.1371/jou...
Schauberger et al, 2017. Consistent negative response of US crops to high temperatures in observations and crop models. Nature Comms, 8, p.13931. https://www.nature.com/articles/ncomms13931
Sakschewski et al, 2014. Feeding 10 billion people under climate change: How large is the production gap of current agricultural systems?. Ecological modelling, 288, pp.103-111 https://www.researchgate.net/publication/263472623_Feeding_1...
Liang et al, 2017. Determining climate effects on US total agricultural productivity. PNAS, 114(12), pp.E2285-E2292 https://www.pnas.org/content/114/12/E2285?collection=
Not saying it’s a good thing overall of course.
