Sunday April 21, 2019
Home Lead Story Despite Tarif...

Despite Tariff War With U.S, China’s Economic Growth is Steady

The fight between the two biggest global economies has disrupted trade in goods from soybeans medical equipment, battering exporters on both sides and rattling financial markets.

0
//
China
An employee working on the production line of an electronics factory is seen reflected on an equipment, in Jiaxing, Zhejiang province, China, April 2, 2019. VOA

China’s economic growth held steady in the latest quarter despite a tariff war with Washington, in a reassuring sign that Beijing’s efforts to reverse a slowdown might be gaining traction.

The world’s second-largest economy expanded by 6.4% over a year earlier in the three months ending in March, the government reported Wednesday. That matched the previous quarter for the weakest growth since 2009.

“This confirms that China’s economic growth is bottoming out and this momentum is likely to continue,” said Tai Hui of JP Morgan Asset Management in a report.

Government intervention

Communist leaders stepped up government spending last year and told banks to lend more after economic activity weakened, raising the risk of politically dangerous job losses.

Beijing’s decision to ease credit controls aimed at reining in rising debt “is starting to yield results,” Hui said.

Consumer spending, factory activity and investment all accelerated in March from the month before, the National Bureau of Statistics reported.

The economy showed “growing positive factors,” a bureau statement said.

A delivery worker pushes boxes of goods at the capital city's popular shopping mall in Beijing, April 4, 2019. The U.S. and China opened a ninth round of talks Wednesday, aiming to further narrow differences in an ongoing trade war.
A delivery worker pushes boxes of goods at the capital city’s popular shopping mall in Beijing, April 4, 2019. The U.S. and China opened a ninth round of talks Wednesday, aiming to further narrow differences in an ongoing trade war. VOA

Recovery later this year

Forecasters expect Chinese growth to bottom out and start to recover later this year. They expected a recovery last year but pushed back that time line after President Donald Trump hiked tariffs on Chinese imports over complaints about Beijing’s technology ambitions.

The fight between the two biggest global economies has disrupted trade in goods from soybeans medical equipment, battering exporters on both sides and rattling financial markets.

The two governments say settlement talks are making progress, but penalties on billions of dollars of each other’s goods are still in place.

China’s top economic official, Premier Li Keqiang, announced an annual official growth target of 6% to 6.5% in March, down from last year’s 6.6% rate.

Li warned of “rising difficulties” in the global economy and said the ruling Communist Party plans to step up deficit spending this year to shore up growth.

Beijing’s stimulus measures have temporarily set back official plans to reduce reliance on debt and investment to support growth.

Also in March, exports rebounded from a contraction the previous month, rising 14.2% over a year earlier. Still, exports are up only 1.4% so far this year, while imports shrank 4.8% in a sign of weak Chinese domestic demand.

China
Chinese leaders warned previously any economic recovery will be “L-shaped,” meaning once the downturn bottomed out, growth would stay low. VOA

Auto sales fell 6.9% in March from a year ago, declining for a ninth month. But that was an improvement over the 17.5% contraction in January and February.

Tariffs’ effect long-lasting

Economists warn that even if Washington and Beijing announce a trade settlement in the next few weeks or months, it is unlikely to resolve all the irritants that have bedeviled relations for decades.

The two governments agreed Dec. 1 to postpone further penalties while they negotiate, but punitive charges already imposed on billions of dollars of goods stayed in place.

Even if they make peace, the experience of other countries suggests it can take four to five years for punitive duties to “dissipate fully,” said Jamie Thompson of Capital Economics in a report last week.

Chinese leaders warned previously any economic recovery will be “L-shaped,” meaning once the downturn bottomed out, growth would stay low.

Also Read: ‘Credible Threat’ Leads To Closing of Denver-Area Schools

Credit growth accelerated in March, suggesting companies are stepping up investment and production.

Total profit for China’s national-level state-owned banks, oil producers, phone carriers and other companies rose 13.1% over a year ago in the first quarter, the government reported Tuesday. Revenue rose 6.3% and investment rose 9.7%. (VOA)

Next Story

Student Project into Space, NASA Comes Up With Chicago Planetarium

As the NASA-owned, Northrop Grumann-developed Antares rocket successfully blasted off from the coast of Virginia on April 17, it wasn’t just making a resupply mission to the International Space Station.

0
Earth
“Our main goal was to see if the ozone layer is getting thinner and by how much, and if there is different parts of the Earth’s atmosphere getting thinner because of the pollution and greenhouse gases, Pixabay

 

College student Fatima Guerra, 19, will be the first to admit, she’s into some really nerdy stuff.

“Like, up there nerdy.”

“Way up there nerdy,” she says. “All the way up into space.”

Guerra is an astronomer in training, involved since a high school internship with a small project at the Adler Planetarium, with big goals.

“Our main goal was to see if the ozone layer is getting thinner and by how much, and if there is different parts of the Earth’s atmosphere getting thinner because of the pollution and greenhouse gases,” she told VOA from the laboratory at the Adler where she often works.

FILE - Apollo 13 crew members Commander Captain James A. Lovell, Jr., right, and Lunar Module Pilot Fred W. Haise pose for a photo during a 40th Anniversary reunion of the moon mission at the Adler Planetarium, April 12, 2010, in Chicago.
Apollo 13 crew members Commander Captain James A. Lovell, Jr., right, and Lunar Module Pilot Fred W. Haise pose for a photo during a 40th Anniversary reunion of the moon mission at the Adler Planetarium, April 12, 2010, in Chicago. VOA

Coding ThinSat

Data that sheds light on those circumstances is gathered by a small electronic device called “ThinSat” designed to orbit the Earth. It is developed not by high-paid engineers and software programmers, but by Chicago-area students like Guerra.

“We focused on coding the different parts of the sensors that the ThinSat is composed of. So, we coded so that it can measure light intensity, pressure.”

“This stuff is very nerdy,” Jesus Garcia admits with a chuckle.

“What we hope to accomplish is look at Earth from space as if it was the very first exoplanet that we have. So, imagine that we are looking at the very first images from a very distant planet.”

As a systems engineer, Garcia oversees the work of the students developing ThinSat for the Adler’s Far Horizon’s Project, which he outlines “bring all types of students, volunteers and our staff to develop projects, engineering projects, that allow us to answer scientific questions.”

Garcia says the students he works with on the project cross national, racial and cultural divides to work toward a common goal.

“Here at the Adler, we have students who are minorities who have been faced with challenges of not having opportunities presented to them,” he said. “And here we are presenting a mission where they are collaborating with us scientists and engineers on our first mission that is going into space.”

Rocket carries project into space

As the NASA-owned, Northrop Grumann-developed Antares rocket successfully blasted off from the coast of Virginia on April 17, it wasn’t just making a resupply mission to the International Space Station.

On board was ThinSat, the culmination of work by many at the Adler, including Guerra, who joined the Far Horizons team as a high school requirement that ended up becoming much more.

“A requirement can become a life-changing opportunity, and you don’t even know it,” she told VOA. “It’s really exciting to see, or to know, especially, that my work is going to go up into space and help in the scientific world.”

Daughter of immigrants

It is also exciting for her parents, immigrants from Guatemala, who can boast that their daughter is one of the few who can claim to have built a satellite orbiting the Earth.

“I told them it might become a worldwide type of news, and I’m going to be a part of it. And they were really proud. And they were calling my family over there and saying, ‘She might be on TV.’ And it’s something they really feel a part of me about,” Guerra said.

Also Read: ‘Big Steps To Reduce Carbon Emission’ Apple Expects Cooperation With China on Clean Energy

Long after the data compiled by ThinSat is complete, Guerro will still have a place in history as a member of a team that put the first satellite developed by a private planetarium into space.

She says her friends don’t think that’s nerdy at all.

“It’s cool, because it’s interesting to see that something so nerdy is actually going to work, and is going to go up into something so important,” she said. (VOA)