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The National Financial Work Conference, usually held twice a decade, is expected to further fortify leader Xi Jinping’s control of the country’s $61 trillion financial sector. “Overall, the financial sector in China has made progress but at this moment they face challenges,” said Nakao. Last week, Xi reportedly visited the central bank, or People’s Bank of China, a rare step that underscores the party’s consolidation of controls over markets and financial institutions. Country Garden, another major developer, failed last week to meet a deadline to pay interest on a dollar bond. It has adopted measures to support private industries, which provide the lion's share of jobs in China.

Persons: —, Xi Jinping’s, Takehiko Nakao, China’s, ”, Li Keqiang, Li, shakeup, Xi, Lan Fo’an, Evergrande, Hui Ka Yan, Zen Soo Organizations: Financial Work Conference, Asian Development Bank, Central Financial Commission, China Securities Regulatory Commission, People’s Bank of, International Monetary Fund, AP Locations: BANGKOK, Beijing, China's Guangzhou, “, China, People’s Bank of China, Hong Kong, Foshan

There is a new poster child of China’s protracted real estate crisis — Country Garden. Country Garden has not responded to requests for comment by phone or email. Here’s what to know about the rise and fall of Country Garden, and the future of China’s once red-hot property sector. Until last year, Country Garden was China’s biggest real estate developer, specializing in residential property. While confidence in China’s real estate sector has been shaky since the collapse of Evergrande, Country Garden reignited fears in August when its liquidity crisis burst into public view.

Persons: Evergrande, Yang Huiyan, Krishna Srinivasan, ” Organizations: Hong Kong CNN, Bloomberg News, Financial Times, Citigroup, Hong Kong, Country Garden, Seng, International Monetary Fund, National Bureau of Statistics, Pacific Department Locations: Hong Kong, Foshan, Guangdong province, China, United States, Evergrande, Beijing, Asia

☆ Country Garden founder Yeung, the tycoon who called himself 'dumb'
▼ + stars: | 2023-10-18 | by ( Clare Jim | ) www.reuters.com time to read: +5 min

HONG KONG, Oct 18 (Reuters) - Born into a peasant family in rural China, Yeung Kwok Keung's rags-to-riches tale inspired millions across the country until his Country Garden (2007.HK) empire spiralled into crisis this year. On his home turf, Yeung and his company had many nicknames, among them "The most grassroots tycoon" and the "Universe's No.1 property developer". Born in 1955, Yeung founded Country Garden along with four others in 1992, quickly building its scale across China and transforming it into a household name by the early 2000s. Focusing on less popular, smaller cities in the world's second-largest economy was what made Country Garden successful, as the world's second-largest economy urbanised. In a company statement in August, Yeung spelt out a number of attributes that he said make "The Country Garden that I dream of", some of which will be key amid the crippling cash crisis.

Persons: Yeung Kwok, Yeung, Wu Jianbin, Yeung's, Yang Huiyan, Clare Jim, Dorothy Kam, Anne Marie Roantree Organizations: Xinhua, Volkswagen, China Evergrande, HK, Forbes, Thomson Locations: HONG KONG, China, HK, Foshan, Guangdong, Xinhua

Most of the people participating in the trend are in their 20s, citing various reasons for quitting ranging from low wages to burnout. LiangAccording to China’s LinkedIn equivalent Maimai, out of 1,554 employees across various sectors surveyed from January through October 2022, 28% resigned that year. A similar movement, dubbed the Great Resignation, had taken off in the United States, with almost 50 million people quitting their jobs in two years. Despite the proliferation of higher education degrees, China’s economy doesn’t currently require as many high-skilled workers and it takes time to transform the economic structure, she said. The resignation trend could affect fertility, but it’s not yet clear how, she said.

Persons: Hong Kong CNN —, Liang, “, ”, Nancy Qian, they’ve, Jade Gao, Qian, ” Qian, Yao Lu, Veyron Mai, ” Lu, Young Organizations: Hong Kong CNN, CNN, ” CNN, Northwestern University’s Kellogg School of Management, Getty, Ministry of Education, Columbia University, University Locations: China, Hong Kong, China’s Zhejiang, United States, West, Beijing, AFP, Yibin, Foshan, Taizhou

☆ Country Garden: China's biggest homebuilder dodges default but faces a rocky road ahead
▼ + stars: | 2023-09-06 | by ( Michelle Toh | ) edition.cnn.com time to read: +7 min

CNN —Chinese property giant Country Garden has twice narrowly avoided defaulting on its debt in a matter of days. Here’s what to know about Country Garden, and the future it faces. That was down significantly from revenue of about 523 billion yuan ($71.6 billion) and net profit of approximately 41 billion yuan ($5.6 billion) in 2021. Investors have since been bracing for a potential default by Country Garden, which has openly admitted this could happen soon. Country Garden shares in Hong Kong have plunged 55% so far this year as investors dumped the stock.

Persons: it’s, —, Evergrande, Yang Huiyan, Yang, “, Fitch Organizations: CNN, Getty, Garden, Hong Kong Locations: China, Hong Kong, Foshan, Guangdong, Zhenjiang, China's, Jiangsu, United States, Evergrande, Beijing, Fuyang, Anhui

☆ Troubled Chinese homebuilder Country Garden is rushing to raise cash to avoid default
▼ + stars: | 2023-08-30 | by ( Laura He | ) edition.cnn.com time to read: +2 min

Hong Kong CNN —Country Garden is raising funds to avoid default, as the troubled real estate giant battles a liquidity crisis which some fear could spread to China’s wider economy and even spill over abroad. The total value of the shares would be $270 million ($34.4 million.) Country Garden won’t receive any cash from the transaction, the filing said. It forecast a loss of $6.2 billion to $7.6 billion for the first six months of this year. Chinese state media reported at the time that the developer was expected to start a debt restructuring soon.

Organizations: Hong Kong CNN, HK, Kingboard Holdings, Country Garden Locations: Hong Kong, Foshan, Guandong, China, Malaysia, Beijing

☆ Chinese property developer Country Garden to be removed from Hang Seng Index on Sept. 4
▼ + stars: | 2023-08-21 | by ( Lim Hui Jie | ) www.cnbc.com time to read: 1 min

The headquarters of China's developer Country Garden Holdings in Foshan, in China's southern Guangdong province. Chinese real estate company Country Garden Holdings is set to be removed from Hong Kong's Hang Seng Index on Sept. 4. The index's operator said Country Garden will be replaced by pharmaceutical firm Sinopharm. Property management firm and affiliate Country Garden Services Holdings will also be removed from the Hang Seng China Enterprises Index. The Hang Seng China Enterprises Index serves as a benchmark that reflects the overall performance of mainland securities listed in Hong Kong.

Organizations: Garden Holdings, Garden Services Holdings, Hang Seng China Enterprises, Seng China Enterprises Locations: Foshan, China's, Guangdong, Hong Kong

☆ Country Garden stock reaches record low, Chinese property giant flags loss of up to $7.6 billion as it nears default
▼ + stars: | 2023-08-11 | by ( Michelle Toh | ) edition.cnn.com time to read: +6 min

Country Garden warned investors in a Hong Kong stock exchange filing Thursday that it would likely record a loss of 45 billion to 55 billion Chinese yuan (about $6.2 billion to $7.6 billion) for the six months through June. The disclosure lays bare the financial woes currently facing Country Garden, a massive builder of hundreds of thousands of homes annually across China. Country Garden did not immediately respond to a request for comment. As of early afternoon in Hong Kong Friday, its stock had reached a record low of 95 Hong Kong cents, below its previous low of 98 Hong Kong cents reached in October 2008. Cash crunchEarlier this week, Country Garden stoked concerns by missing two bond payments, according to analysts.

Persons: ” Morningstar, Jeff Zhang, Kaven Tsang, ”, Zhang, Morningstar, Yang Huiyan, Yang, won’t, Moody’s, Fang xing, ICHPL, Alfredo Montufar, “ Organizations: Hong Kong CNN, Garden, CNN, Hong, China’s, “, Hong Kong, Bloomberg Locations: Hong Kong, China, Foshan, Guangdong province, Real

☆ Asia's once-richest woman lost 84% of her wealth — more than any billionaire since the COVID-19 pandemic — as China's property sector teeters on yet another crisis
▼ + stars: | 2023-08-10 | by ( Kai Xiang Teo | ) www.businessinsider.com time to read: +3 min

Yang Huiyan, the chair of Chinese property giant Country Garden, lost about $29 billion of her wealth since June 2021. These losses come as Country Garden missed interest payments on two US-dollar-denominated bonds, according to various media reports, including a Reuters report on Wednesday. Yang — who became China's richest woman at 25 after the company's IPO — lost the spot of Asia's richest woman in August 2022 to Savitri Jindal. Jindal is India's richest woman and chairperson emeritus of the Indian conglomerate O.P. Country Garden and Yang Huiyan did not respond to requests for comment sent by Insider.

Persons: Yang Huiyan, Yang Huiyan —, —, Yang —, Yang, Savitri Jindal, Jindal Organizations: Bloomberg, Service, Reuters, Ohio State University, New York Times, Jindal Group, Country Locations: Wall, Silicon, Foshan, Hong Kong

☆ China's heading for another real estate crisis — but it's on a whole different scale than what it's seen before
▼ + stars: | 2023-08-10 | by ( Nidhi Pandurangi | ) www.businessinsider.com time to read: +8 min

Country Garden, a massive Chinese property developer, missed interest payments on two dollar bonds this week. However, it's the scale of Country Garden's projects that is a big warning signal for the Chinese real estate sector and the wider economy. Evergrande faced a liquidity crisis in 2020, prodding it to try to halve its around $100 billion debt by mid-2023. These efforts were scuppered by a slowdown in China's property sector and regulators' efforts to put brakes on property developers borrowing excessively. However, putting the brakes on borrowing started sending the property sector into a crisis.

Persons: Kristy Hung, Yang Guoqiang, Yang Huiyan, Yang, Moody's, Sandra Chow, Evergrande, Huileng Tan Organizations: Service, Bloomberg Intelligence, Hong Kong Stock Exchange, CNN, China Index Academy, Reuters, Pacific Research, New York Times, Caixa Bank Locations: Beijing, Wall, Silicon, China, Evergrande, Foshan, Asia, Pacific, CreditSights

☆ One of China’s richest women takes over for her father at real estate developer Country Garden
▼ + stars: | 2023-03-02 | by ( Laura He | ) edition.cnn.com time to read: +4 min

Yang Guoqiang, founder of Country Garden, attends a signing ceremony in November 2017 in Guangdong province. VCG/Getty ImagesThe elder Yang was a farmer and construction worker before he founded Country Garden in 1992. In little more than a decade, he grew the firm into one of the largest real estate developers in the country. Last year, Country Garden was China’s No 1 developer by sales, which reached $67 billion. An aerial view of a residential project developed by Country Garden in Zhenjiang city in eastern China's Jiangsu province in October 2021.

Maike's absence has encouraged some direct trade between sellers and buyers in the market but they face challenges. Fitch Solutions expects China's copper consumption to rise 4.4% this year, after just 1.5% growth in 2022. Anti-pandemic restrictions had also prolonged smelter maintenance and curtailed copper production growth last year, especially in the Guangdong area. Some smelters there have hiked their offers for 2023 copper premiums to 300 yuan a tonne, up from 200 yuan a tonne last year, a Shanghai-based trader said. While Maike's disappearance from the import market has been blamed for disrupting supplies and pricing, China's refined copper imports increased 6.6% in 2022, according to customs data.

☆ China developers' debt risks persist after support policies' slow start
▼ + stars: | 2023-01-17 | by ( Clare Jim | ) www.reuters.com time to read: +4 min

The next few months could therefore find more developers starting to miss offshore debt obligations, while many developers that have already defaulted will continue struggling to pin down a restructuring plan for viable long-term repayments. This year, Chinese developers' maturing offshore debt will total $141 billion, up from $120.7 billion in 2022, Refinitiv data showed. Since November, it has completed two rounds of share placements in Hong Kong, raising HK$8.6 billion ($1.10 billion). An executive at a developer that has defaulted on offshore debt said the company would speed up its debt restructuring process this year as onshore banks have offered to extend new loans once a revamp is complete. ($1 = 7.8194 Hong Kong dollars, 6.7810 Chinese yuan renminbi)Reporting by Clare Jim; Editing by Sumeet Chatterjee and Edmund KlamannOur Standards: The Thomson Reuters Trust Principles.

☆ Five Chinese startups that survived a tough year of Covid lockdowns
▼ + stars: | 2023-01-03 | by ( Evelyn Cheng | ) www.cnbc.com time to read: +6 min

Qilai Shen | Bloomberg | Getty ImagesBEIJING — In a year of Covid lockdowns and travel restrictions, some Chinese startups that survived found growth online and overseas. The startup avoided significant impact from China's Covid lockdowns since it could deliver its products virtually, Jiang said. The company aggressively pushed overseas in 2022 – launching subsidiaries in Tokyo, Seoul, Germany, Dubai, Los Angeles and Hong Kong, Wan said. Previously, Wan said that Keenon had seen revenue at least double or more every year from a lower base, when the China market was growing. The company has a staff of 100 people in the southern Chinese province of Guangdong and Los Angeles, Lin said.

☆ China's factory activity likely cooled in December on COVID surge: Reuters poll
▼ + stars: | 2022-12-30 | by ( ) www.reuters.com time to read: +2 min

BEIJING, Dec 30 (Reuters) - China's factory activity is expected to have extended declines in December, a Reuters poll showed on Friday, as the end of the country's "zero-COVID" policy and rising infections began to affect production lines. An index reading below the 50-mark indicates contraction in activity on a monthly basis and a reading above indicates expansion. The official manufacturing PMI, which largely focuses on big and state-owned firms, and its survey for the services sector, will be released on Saturday. The private sector Caixin manufacturing PMI, which centres more on small firms and coastal regions, will be published on Jan. 3. Analysts polled by Reuters expect a headline reading of 48.8, down from 49.4 in November.

The country spent big on quarantine and testing facilities over the past three years rather than bolstering hospitals and clinics and training medical staff, these people said. "There is no transition time for the medical system to prepare for this," said Zuofeng Zhang, professor of epidemiology at the University of California, Los Angeles. The failure to boost vaccination rates among the vulnerable could imperil China's health system, more than a dozen experts said. The death of a 23-year-old medical student in Chengdu on Dec. 14 fueled public ire at the strain on China's health system. Chen Jiming, a researcher at China's Foshan University, said there was every chance that China's medical system could cope now that the country has ended quarantine for asymptomatic and mild cases.

The methods for counting COVID deaths have varied across countries in the nearly three years since the pandemic began. CAN CHINA'S COVID DATA BE TRUSTED? With one of the lowest COVID death tolls in the world, China has been routinely accused of downplaying infections and deaths for political reasons. Globally, the study estimated 18.2 million excess deaths in 2021-2022, compared with reported COVID deaths of 5.94 million. China actually cut its accumulated death toll by one on Dec. 20, bringing the total to 5,241.

☆ Younger Chinese are spurning factory jobs that power the economy
▼ + stars: | 2022-11-21 | by ( David Kirton | ) www.reuters.com time to read: +8 min

For his father's generation, factory work was a lifeline out of rural poverty. For Zhu, and millions of other younger Chinese, the low pay, long hours of drudgery and the risk of injuries are no longer sacrifices worth making. Factory bosses say they would produce more, and faster, with younger blood replacing their ageing workforce. But offering the higher wages and better working conditions that younger Chinese want would risk eroding their competitive advantage. Yet young workers are vital to keep production moving.

☆ China's soy sauce star suffers a premium downgrade
▼ + stars: | 2022-10-12 | by ( ) www.reuters.com time to read: +2 min

Haitian, which with a 20% share of China’s market for cooking's brown gold, dismissed the accusations as a smear campaign. It says it complies with relevant food safety rules and stressed that food additives are common and don’t imply inferior quality. Even after the selloff, Haitian still trades at a mouth-watering 41 times forecast earnings for the next 12 months, per Refinitiv. But it’s now much closer to the 36 times fetched by Japanese peer Kikkoman (2801.T). They do not reflect the views of Reuters News, which, under the Trust Principles, is committed to integrity, independence, and freedom from bias.

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