www射-国产免费一级-欧美福利-亚洲成人福利-成人一区在线观看-亚州成人

   
  home feedback about us  
   
CHINAGATE.OPINION.Macro economy    
Agriculture  
Education&HR  
Energy  
Environment  
Finance  
Legislation  
Macro economy  
Population  
Private economy  
SOEs  
Sci-Tech  
Social security  
Telecom  
Trade  
Transportation  
Rural development  
Urban development  
     
     
 
 
Time to face gathering clouds of overcapacity


2005-11-16
China Daily

While the Chinese economy is still benefiting from its rising status as a global manufacturing centre, warning lights have begun to flash about overcapacity in the domestic market.

The latest alarms show the problem might be more severe than most businesses have expected.

Last Sunday, an official from the National Development and Reform Commission pointed out that the country's car-making capacity will outgrow domestic demand by more than 100 per cent by 2010. It is estimated that car sales in China will reach about 9 million then, but the output could be 20 million.

No doubt the forecast sent fresh shivers down the spines of domestic automakers, who are already caught in the quagmire of increasingly fierce competition.

A rash of car purchases by Chinese individuals a few years ago have persuaded most global auto giants to pin their hopes on the Chinese market. But the sudden slowdown of car sales since last year, largely due to worsening traffic and rising oil prices, have made many of their ambitious capacity-expansion plans look like pipe dreams.

Weakening demand and surging domestic supply will inevitably lead to price wars which most automakers in the country have tried to avoid.

Though some have recently scaled down their investment for the coming years, the forecast for the industry's output implies that most automakers are still reluctant to acknowledge reality.

It is true that China has the world's largest population. The theoretical potential of the Chinese market is therefore tremendous.

But the current Chinese conditions of a widening urban-rural income gap, poor urban planning and emerging problems of resources and environment all mean the market now, and in the foreseeable future, is not as huge as predicted.

The Chinese authorities have keenly realized the necessity to boost domestic consumption, especially rural consumption, to sustain the country's economic growth. But this arduous work will not be done overnight. Hence, foreign investors should better align their pace with the country's progress.

For domestic industrial enterprises, looming overcapacity means a serious threat to survival. As China's trade surplus rockets, trade tensions will make it more difficult for them to export when the domestic market is oversupplied.

Latest statistics indicate that the capacity of the domestic steel sector will exceed the demand by at least 100 million tons this year.

The country's ongoing urbanization and industrialization promise a steady growth in the demand for steel.

Nevertheless, breakneck investment growth in the steel sector, as the predicted overcapacity reflects, is just too short-sighted.

In addition, there is the structural problem of too many small and low-end producers in the sector, while prevailing ignorance of environmental costs will expose domestic steel producers' profitability to the country's aggressive environment protection strategies.

In the market, on the one hand, their growing appetite for iron ore will further push up the latter's price. On the other hand, rising supplies and weakening demand, for example, from major clients like automakers, are expected to lower steel prices.

The country released its first steel industry policy in July this year to rein in overcapacity and optimize output mix. Yet, the current situation provides no optimism for its implementation.

Besides, the concurrence of overcapacity in more than one domestic industry requires more comprehensive thinking and regulation by policy-makers.

 
 
     
  print  
     
  go to forum  
     
     
 
home feedback about us  
  Produced by m.orobotics.cn. All Rights Reserved
E-mail: webmaster@chinagate.com.cn
主站蜘蛛池模板: 国产视频一区二区三区四区 | 99久久免费观看 | 欧美特级另类xxx | 亚洲欧美专区精品久久 | 欧美精品做人一级爱免费 | 久色成人 | 国产免费高清福利拍拍拍 | 毛片免费高清免费 | 国产欧美一区二区三区观看 | 国产精品美女一区二区三区 | 中国女人真人一级毛片 | 99精品在免费线视频 | 亚洲精品国产国语 | 日韩免费视频播播 | 又黄又免费 | 欧美精品综合一区二区三区 | 色拍拍噜噜噜aⅴ在线观看 色青青草原桃花久久综合 色婷婷91 | 成人在线第一页 | 国产原创系列在线 | 成年人免费观看的视频 | 国产视频中文字幕 | 美日韩黄色片 | 久久两性视频 | 国产亚洲人成网站在线观看不卡 | 国产精品免费综合一区视频 | 亚洲综合片 | 日韩视频在线观看 | 黄色美女免费 | 亚洲欧美日韩一区 | 114一级毛片免费观看 | 97在线观看视频免费 | 国产精品麻豆一区二区三区v视界 | 日本a级片免费观看 | 午夜爽爽爽男女免费观看hd | 精品久久一区二区 | 亚洲欧美日韩国产精品影院 | 免费毛片全部不收费的 | 欧美日韩永久久一区二区三区 | 欧美一级毛片免费看高清 | 精品欧美成人高清在线观看2021 | 免费一级毛片私人影院a行 免费一级毛片无毒不卡 |