China Digest

Economics and policy from China’s newspapers

Tuesday June 13, 2017

Cosco buys 15% of SIPG for US$2.78 billion

China Cosco Shipping Corp will become the third largest shareholder of Shanghai International Port Group (SIPG) after it completes the US$2.78 billion purchase of 3.476 billion shares, Caixin reported. A SIPG exchange notice said state-owned Shanghai Tongsheng Investment sold 15% of its 19.78% stake to Cosco Shipping. The largest shareholder is the Shanghai State-owned Assets Supervision and Administration Commission followed by China Merchants Group.

Beijing, Shenzhen house prices slide in May

Home prices in Beijing and Shenzhen dropped 4.09% and 0.36%, respectively, in May from a month ago, the National Business Daily reported on Tuesday. A Chinese Academy of Social Sciences study found that property prices rose 5.39% in Guangzhou and 0.44% in Shanghai in May. The study is based on housing inventory prices at the end of each month.


Shanghai city targets errant developers, real estate agents

A municipal government notice warns of a “clean-up” operation on errant property developers and agents in Shanghai, and promises to protect the rights of homebuyers, the Paper reported on Monday evening. Developers complying voluntarily will be given lenient penalties.

Interest rates set to rise to curb property speculation: Yicai

Increases in interest rates on mortgages would continue this year, an op-ed by Yicai said on Monday evening, citing industry experts and unnamed sources from Beijing bank branches. It said interest rates on housing loans in Beijing had been raised as of Monday evening, but no figures were provided. Data from the People’s Bank of China showed that from January to April, the number of medium to long-term housing loans did not decrease, although new loans saw a slight decline, it said.

Mengniu among five firms rebuked for issuing overseas bonds

The National Development and Reform Commission reprimanded Mengniu, China Water Affairs Group and three other companies for issuing bonds overseas without prior registration, the Paper reported late Monday night. Firms must register their intent to issue bonds abroad with the NDRC.

Stamp duty on securities deals fall 3.6% in May

The finance ministry said revenue from stamp duty on securities transactions fell 3.6% year on year in May to 9.9 billion yuan (US$1.46 billion), the Shanghai Securities Journal said on Monday. Fiscal revenue increased 3.7% year on year to 1.607 trillion yuan, with spending rising 9.2% to 1.68 trillion yuan in May, it added.

Crayfish output hits 900,000 metric tons in 2016

The country harvested 900,000 metric tons of crayfish, from both farms and wild catch, in 2016, making it the largest producer of crayfish in the world, the agricultural ministry said in a Caixin report on Monday. Farmed crayfish grew from 270,000 metric tons in 2007 to 850,000 metric tons 2016, a staggering 221% increase, the ministry report said.