China Digest

Economics and policy from China’s newspapers

Friday April 14, 2017

Mystery of missing CBRC official

Yang Jiacai, the assistant to the chairman of the China Banking Regulatory Commission, hasn’t been seen at work since Monday and his duties have been reassigned to one of the watchdog’s vice chairmen, sparking speculation that he has fallen under the shadow of the Communist Party’s graft busting arm, Caixin wrote.

United front targets 20% cut in VOC pollution in Beijing-Tianjin-Hebei

The Environmental protection monitoring departments of Beijing, Tianjin and Hebei jointly announced new standards on architectural coatings and adhesives containing volatile organic compounds (VOCs), Shanghai Securities Journal reported. The entire process from production, to sales to useage will be controlled in order to reduce VOC emissions by about 20%.

Central bank vows to ‘fix financial chaos’

The People ‘s Bank of China will strengthen risk prevention and control on key areas, including cross-contamination of financial risks and systemic financial risks in 2017 to “fix financial chaos,” Shanghai Securities Journal reported.

China Eco Watch Chart 0414-01

Zombies for the chop after profit gain at major SOEs

Profits of China’s major state-owned enterprises rose 2% in the first quarter of 2017, reflecting a more stable economy and balance of supply and demand, Yicai reported on Thursday, citing SASAC chief accountant Shen Ying. The next step is to complete reforms of 300 “zombie enterprises,” the report added.

heap of rust China iron ore inventory.

SOEs to lower leverage through equity swaps

Debt-to-equity swaps are to be a key focus for the next phase of reforms at leading SOEs, Shanghai Securities Journal.

State planners plan long-term financing plan Xiongan

The National Development and Reform Commission will work with relevant parties to establish a long-term stable capital investment mechanism to attract social capital to participate in the construction of Xiongan New Area, Shanghai Securities Journal reported, citing Yan Pengcheng, a spokesman for the top state planning organ.

Kweichou Moutai’s now worth more than 500 billion yuan

Moutai tips Diageo from top of world’s tipple makers Kweichou Moutai shares moved closer to the 400 yuan mark, closing at 399.39 yuan on Thursday, giving the maker of the eponymous pungent and fiery liquor a market value of more than 500 billion yuan (US$73 billion). Moutai is now the world’s most valuable distiller, ahead of Diageo, Caixin reported.

Chicken stock acquisition

Fujian Sunner Development, a leading processor of chicken meat whose stock has been suspended or the past two months, announced a 2.02 billion yuan acquisition of its parent’s shares as part of a group restructuring to consolidate ownership, subsidiaries and brands under the listed company, Shanghai Securities Journal reported.

Hong Kong road link to Macau bridge set to finish this month

Construction of the 12km highway section of the Hong Kong-Macau-Zhuhai bridge is set to be completed by end of this month, Caxin cited Hong Kong’s Highways Department saying on Thursday.