Medical and Hospital News
TRADE WARS
Chinese give guarded welcome to spending subsidies
Chinese give guarded welcome to spending subsidies
By Peter CATTERALL
Beijing (AFP) Jan 16, 2025

Beijing is hoping subsidies for rice cookers, microwave ovens and smartphones can boost sluggish spending and help the country weather an economic storm from incoming US president Donald Trump.

Policymakers have struggled to get China's billion-strong army of consumers to inject cash into the economy as a prolonged real estate crisis weighs on confidence.

And last week, they expanded a subsidy scheme for common household items, from water purifiers and refrigerators to laptops and electric vehicles.

Outside a bustling shopping centre in Sanlitun, one of the capital's most popular commercial districts, 25-year-old Li Ling told AFP the policy could work as an "incentive".

"If someone's budget is not very abundant, such policies can support them in their consideration about buying things," she said.

"I think the policy can just be regarded as an incentive," she said.

Beijing is nervously looking to the second administration of Donald Trump, who has vowed brutal tariffs on Chinese goods in retaliation for Beijing's allegedly unfair trade practices -- fuelling fears of another trade war.

And experts say the country may need to shift towards a growth model driven largely by domestic consumption as those pressures mount.

Under the broadened subsidy scheme, people can get 20 percent off microwave ovens, water purifiers, dishwashers and rice cookers, among other things -- with the state covering the discount of up to 2,000 yuan ($275).

Gadgets such as smartphones, tablets and smartwatches also now receive subsidies of up to 15 percent.

- 'Saving is meaningless' -

Shopper Yang Boyun told AFP that he recently took advantage of the new deal.

"I bought three Xiaomi air conditioners," he said, referring to one of China's leading consumer goods brands. "They all only cost 8,000-9,000 yuan. Normally each one would cost more than 4,000 yuan," he said.

But Yang, a worker in the crisis-hit property sector, said much stronger action was needed for the country to reverse its economic malaise.

"Only after some changes to the macroeconomic regulation of the country will individuals feel the effects," he said.

Beijing is set to release a tranche of economic data Friday and analysts expect the country to report its weakest growth in decades.

In bustling Sanlitun, student Wang Jiaxin said she was prioritising spending on things she enjoyed.

"If it's on food and drinks and buying more beautiful clothes then I'll spend a bit more," she said.

Next year Wang said she planned to enter China's job market -- beset in recent years with high youth unemployment -- rather than continue studying.

But she expressed cautious optimism about her chances.

"I can definitely find a job. But what kind of job it is really depends," she said. "I'm not sure I'll be able to find a good one, but I'll definitely be able to support myself."

Meanwhile, Yang told AFP his thinking on personal spending had shifted.

"In the past I may have saved some money, but now I feel that one small thing may cause debt -- like if you get sick, you will be in debt," he said.

"But money is something that should be used to enjoy the present," he added. "Saving money is meaningless. The most important thing for us now is to be happy."

pfc/oho/je/dan

Xiaomi

Related Links
Global Trade News

Subscribe Free To Our Daily Newsletters
Tweet

RELATED CONTENT
The following news reports may link to other Space Media Network websites.
TRADE WARS
Equities mixed as US inflation, China data loom
Hong Kong (AFP) Jan 15, 2025
Stock markets were mixed Wednesday as traders assess the economic outlook ahead of Donald Trump returning to the White House next week, with focus now on the release of key US inflation data. A below-forecast read on wholesale prices provided a little relief and helped the Dow and S&P 500 end in the green, though sentiment remains clouded by a resignation to the idea that the Federal Reserve will not cut interest rates as much as hoped this year. Blockbuster employment figures on Friday, which f ... read more

TRADE WARS
Braced with fire defenses, Getty art center faces LA flames

Mexico's president formally launches campaign to get guns off streets

Right-wing disinformation targets DEI, 'liberal' policies as LA burns

Italy FM says new Syria leader pledged to stop 'illegal immigration'

TRADE WARS
SpaceX launches Space Force Rapid Response Trailblazer

GPS alternative for drone navigation leverages celestial data

Deciphering city navigation AI advances GNSS error detection

China advances next-generation BeiDou satellite navigation system

TRADE WARS
CES tech looks to help world's aging population

Iraqi archaeologists piece together ancient treasures ravaged by IS

Catholics hold muted Christmas mass in Indonesia's Sharia stronghold

Travelers consider weight-based airfares for sustainable flights

TRADE WARS
Kazakhstan encouraged by rare leopard sighting

Why birds make such diverse sounds new global study sheds light

China's viral wild boar hunters attract fame and concern

Tiny plants reveal big potential for boosting crop efficiency

TRADE WARS
China reports 5 cases of new mpox strain

What you need to know about HMPV

China says shared Covid information 'without holding anything back'

Five years on, WHO urges China to share Covid origins data

TRADE WARS
China's Xi vows 'all-out battle against corruption'

Driver in central China car ramming handed suspended death sentence

On China's doorstep, Macau weaves an identity as integration looms

Xi to arrive in Macau for 25th anniversary of Chinese rule

TRADE WARS
Charred bodies in Ecuador are missing adolescents, say officials

Blast kills two Mexican soldiers, five wounded

Four killed in Colombia airstrike against drug cartel

Somali pirates demand ransom for Chinese vessel

TRADE WARS
Subscribe Free To Our Daily Newsletters




The content herein, unless otherwise known to be public domain, are Copyright 1995-2024 - Space Media Network. All websites are published in Australia and are solely subject to Australian law and governed by Fair Use principals for news reporting and research purposes. AFP, UPI and IANS news wire stories are copyright Agence France-Presse, United Press International and Indo-Asia News Service. ESA news reports are copyright European Space Agency. All NASA sourced material is public domain. Additional copyrights may apply in whole or part to other bona fide parties. All articles labeled "by Staff Writers" include reports supplied to Space Media Network by industry news wires, PR agencies, corporate press officers and the like. Such articles are individually curated and edited by Space Media Network staff on the basis of the report's information value to our industry and professional readership. Advertising does not imply endorsement, agreement or approval of any opinions, statements or information provided by Space Media Network on any Web page published or hosted by Space Media Network. General Data Protection Regulation (GDPR) Statement Our advertisers use various cookies and the like to deliver the best ad banner available at one time. All network advertising suppliers have GDPR policies (Legitimate Interest) that conform with EU regulations for data collection. By using our websites you consent to cookie based advertising. If you do not agree with this then you must stop using the websites from May 25, 2018. Privacy Statement. Additional information can be found here at About Us.