The Future of US-China Relations

The challenges that face the world is not a due to a transition of power among states, but a diffusion of power away from governments. Nye argues that for a “new type of major power relations,” the U.S. needs to avoid containment as a strategy, and China must accepts the legitimacy of American presence in the Western Pacific.



Joseph Nye, Professor, Harvard via CHINA US Focus http://ift.tt/1AYMH1E

The Coming Chinese Crackup

On Thursday, the National People’s Congress convened in Beijing in what has become a familiar annual ritual. Some 3,000 “elected” delegates from all over the country—ranging from colorfully clad ethnic minorities to urbane billionaires—will meet for a week to discuss the state of the nation and to engage in the […]



Wall Street Journal via CHINA US Focus http://ift.tt/1Bps5TS

Let China Make a Soft Landing

China’s second interest-rate cut in three months has raised fears that the government is trying to devalue the yuan to give its exports an unfair boost — an understandable suspicion, given Beijing’s history of manipulating its currency. This time, though, lower interest rates and a moderately weaker yuan make sense […]



Bloomberg via CHINA US Focus http://ift.tt/1wl03K3

Kaisa haircut is bad omen for China property debt

Kaisa’s haircut for offshore bondholders is a bad omen for China’s property sector. The troubled developer’s ballooning debt and evaporating cash leaves creditors with little choice but to accept a restructuring that proposes to lower interest payments and extend maturities by five years on $2.3 billion of offshore bonds. The […]



Reuters via CHINA US Focus http://ift.tt/1wl01BZ

How Chinese and Americans Understand Culture

One night in Kunming, China last December I was out to dinner with a former professor, a middle-aged Chinese woman. She had just returned from a trip to Washington D.C. and at one point during the meal we began contrasting America and China on a number of different fronts: infrastructure, […]



The Diplomat via CHINA US Focus http://ift.tt/1NAS0y7

A Decade of China-U.S. Currency Friction?

The controversial issue of “currency manipulation” has resurfaced. However, Washington and Beijing have very different perceptions about the identity of the “currency manipulator.” The net effect is currency friction that is likely to prevail until the 2020s.



Dan Steinbock, Research Director, India China and America Institute via CHINA US Focus http://ift.tt/1BhTich

Does Foreign Investment Really Encounter China’s “Investment Protectionism”?

China’s selectiveness of foreign investment reflects its restructuring economy, one that invests less in capital and labor intensive industries to investments in human resources and technological innovation. Some far-sighted multinational companies are actively making use of the new rules, seizing the opportunity of China’s structural transformation and beginning to make active arrangements in the strategic newly emerging industries and the high-end service industry.



Zhang Monan, Researcher, China Int'l Economic Exchanges Center via CHINA US Focus http://ift.tt/1Ght3SZ