The Big Call
Rising blue-collar wages and disadvantageous demographics suggest a surge in industrial robot use in coming years.
After a decade of double-digit revenue growth and rapid expansion in China, foreign supermarket operators are finding the going increasingly tough, providing opportunities for leading domestic rivals.
The Beijing-based supermarket operator faces stiff competition in its three core regions and may miss its full-year store-opening target.
Walmart is slowing new store openings in China in order to focus on boosting profitability, a strategy that should pay off in the long term, especially given its strong positioning in China’s burgeoning online grocery market.
Tesco has scaled back its short-term expansion plans in China amid sluggish sales and intense competition, focusing future growth on its three main regional markets.
Conglomerate China Resources Enterprise continues to grow its hypermarket and supermarket empire aggressively within its strongholds, but remains cautious about expanding into new regions.
RT-Mart and Auchan operator Sun Art outperformed competitors in 1H12, and its strong presence in lower-tier cities and high operating efficiency should see it post strong top- and bottom-line full-year growth.
Capital Intensive China
Political support appears to be growing for the full liberalisation of coal prices, especially as they remain depressed, enabling the government to liberalise coal prices in the near-term while gradually moving towards electricity price reform in the future.
Best of Chinese Commentators
China’s state broadcaster enjoyed an 11.4% YoY increase in advertising pre-sales revenues at its 2013 auction, but some industry experts believe that its influence may be waning.
Analysts discuss the significance of yet another food and beverage safety scandal, this time relating to A-share listed baijiu maker Jiugui Liquor
Renminbi Compass, a new research service launched by the FT, aims to act as a navigational guide through the expanding universe of renminbi asset classes. With the Chinese currency gaining ever-wider acceptance around the world and Beijing taking steps to open its capital account, we are broadening our research coverage to include not only equity funds but also all other important renminbi asset classes, such as chengtou bonds, dim sum bonds, real estate, trust products, underground banking, art, antiques and several others.