China Explained

This is a special episode in light of the riots at Capitol Hill .

January 6, 2021 is a day that can be recorded in history and a day worth remembering. Hundreds of Trump supporters broke through barriers to enter the U.S. Capitol to put pressure on the Congress, which is undergoing election results certification. .

The demonstrators clashed with the police, the congressmen were evacuated urgently, and the electoral vote verification procedure was forced to suspend. According to the Washington DC Police Chief, five people have died in violent demonstrations so far.

After experiencing the democratic farce of the American protesters occupying Capitol Hill, on January 7, US Vice President Pence once again presided over the joint congressional meeting to count and verify the votes of the electoral college in the 2020 presidential election. Pence officially announced that Biden won 306 electoral votes, Trump won 232 electoral votes, and Biden was elected the next president of the United States.

Although Biden was successfully approved by the procedure to be elected president, January 6, as a humiliating page in American history, is destined to go down in history.

The entire West was shocked by this riot, and Biden even claimed that the United States wanted to "rebuild democracy."

People in the rest of the world can't help but sigh. Isn't the United States a beacon of democracy? Why does it need to "rebuild democracy" now? In fact, to put it bluntly, even the American political elites themselves realize that the United States is so chaotic.  The former beacon of democracy has already collapsed and no longer shines!

When Trump came to power, he claimed to make the United States great again, which means that the United States was no longer great four years ago; four years later, Biden said that American democracy will be rebuilt, which shows that the United States is no longer democratic. Therefore, in just a few years, the United States is neither great nor democratic. This is the current situation in the United States. The self-confidence of the Americans has been consumed by themselves.

China Explained will show you that because of China’s continued success in industrial upgrading, technological innovation and realizing its huge potential, it is an unstoppable process. The inevitable rise of China may feel intimidating and some simply reject it. Don’t be. China’s rise is part of the new global trend unlike what we have seen in the past one hundred years. Embrace the change and seize the opportunity.

Creating original content is hard work, your support is what keeps me going. Please donate to this channel: paypal.me/ChinaExplained

I want to share what I have observed in the world as the 10 major trends in 2021, hopefully that they can be of value for everyone when making vital personal choices.

2021 is here, are you ready?

China Explained will show you that because of China’s continued success in industrial upgrading, technological innovation and realizing its huge potential, it is an unstoppable process. The inevitable rise of China may feel intimidating and some simply reject it. Don’t be. China’s rise is part of the new global trend unlike what we have seen in the past one hundred years. Embrace the change and seize the opportunity.

Creating original content is hard work, your support is what keeps me going. Please donate to this channel: paypal.me/ChinaExplained

Let’s talk more about China¡¦s economic focus and business opportunities in 2021. After all, this is one of the main themes of this channel. Let’s examine the outcome of the Central Economic Work Conference held in December in greater detail.

When the leaders of China and Europe announced the completion of negotiations on the China-EU Investment Agreement as scheduled. I published an article as quickly as possible, analyzing the significance of this matter mainly from the perspective of geopolitics. Today, I will talk about the significance for China to further deepen reform and expand opening up as well as why Europe chooses to reach an agreement at this time. 

For the Chinese citizens, on the one hand, they recognize the geopolitical significance of the China-EU Investment Agreement to China, and on the other hand, they are also worried about whether China will make too many concessions and ultimately lead to damage to their interests.

In 2001, when China joined the World Trade Organization (WTO), there were similar concerns. At that time, in order to join the WTO, China also had to open up its domestic market and drastically amend its laws and regulations. But looking back now, China's accession to the WTO was a major historic event. It was after joining the WTO that China quickly became a global manufacturing center, and its economic aggregate continued to surpass traditional Western developed countries, and it surpassed Japan in 2010 to rank second in the world.

China Explained will show you that because of China’s continued success in industrial upgrading, technological innovation and realizing its huge potential, it is an unstoppable process. The inevitable rise of China may feel intimidating and some simply reject it. Don’t be. China’s rise is part of the new global trend unlike what we have seen in the past one hundred years. Embrace the change and seize the opportunity.

Creating original content is hard work, your support is what keeps me going. Please donate to this channel: paypal.me/ChinaExplained

In the evening of December 30, 2020, the negotiation of the China-EU Investment Agreement was completed as scheduled.

The announcement was made during a meeting between President Xi and German Chancellor Angela Merkel, French President Emmanuel Macron, President of the European Council Charles Michel and President of the European Commission Ursula von der Leyen via video link.

President Xi regarded the agreement as "balanced, high-standard and mutually beneficial," and the treaty has shown China's determination and confidence to push high-level opening up. "The agreement will provide greater market access, higher level of business environment, stronger institutional guarantees and brighter cooperation prospects for mutual investment". The treaty will also greatly boost world economic recovery in the post-pandemic era, enhance the international community's confidence in economic globalization and free trade, making significant contributions to the building of an open world economy.

China Explained will show you that because of China’s continued success in industrial upgrading, technological innovation and realizing its huge potential, it is an unstoppable process. The inevitable rise of China may feel intimidating and some simply reject it. Don’t be. China’s rise is part of the new global trend unlike what we have seen in the past one hundred years. Embrace the change and seize the opportunity.

Creating original content is hard work, your support is what keeps me going. Please donate to this channel: paypal.me/ChinaExplained

Before the Trump administration stepped down, it was suppressing China like crazy. In mid-December, it added more Chinese companies to the entity list, including Chinese chip manufacturers.

There are two main reasons why Trump and his team did this:

First, to use his remaining ruling time to continue to implement his strategy of treating China as a competitor, suppress and contain China, and attempt to disrupt and delay the rise of China;

second, handicapping Biden's China policy, and exploiting the current strong anti-China mood in Washington, thus making it difficult for Biden to cancel them immediately.

For China, the most important thing is to strengthen confidence, maintain strategic determination, and run its own affairs well.

Trump has been in power for four years and launched a full-scale "trade war" in March 2018, he has become increasingly crazy, extreme and irrational. This shows the panic and gaffe of some American elites about China's continued development.

They are now determined to suppress and contain China. They don’t need any excuse anymore. Even if they severely undermine international rules, they don’t care. To put it bluntly, this naked hegemonic act is: "You are stronger, so I want to kill you, I don’t need to make any other reason.”

The various so-called national security reasons given by the US government are untenable. The world must have a clear understanding of this, and it is still frantically suppressed by the United States at this moment. Any one defedining, and giving excuses to beautify American hegemonism are naive and wrong.

The next China's strategy toward the United States is to "strengthen self-confidence, maintain determination, self-reliance, and actively seek breakthrough"

China Explained will show you that because of China’s continued success in industrial upgrading, technological innovation and realizing its huge potential, it is an unstoppable process. The inevitable rise of China may feel intimidating and some simply reject it. Don’t be. China’s rise is part of the new global trend unlike what we have seen in the past one hundred years. Embrace the change and seize the opportunity.

Creating original content is hard work, your support is what keeps me going. Please donate to this channel: paypal.me/ChinaExplained

Unlike the United States, where the market development has reached its limits, China's economy itself has at least four major market dividends:

First, urbanization dividends. Although the population of China living in cities and towns has reached 60%, the actual level of urbanization is only about 50%. These two figures are far from the general urbanization rate of 75% to 90% in developed countries. It determines that China's domestic demand growth space is huge and long-term, and will continue for at least 20 years.

The second is the labor productivity dividend. Although China is the world's largest manufacturing country, China's per capita GDP is just over US$10,000, labor productivity is still at a low level, and there is still huge room for improvement. Mechanization, electrification, artificial intelligence, asset securitization, etc. can greatly increase labor productivity, and there is still a lot of room for optimization and refinement of the social division of labor, which determines that development space is still large.
Given China’s market size and space, China can certainly catch up with the United States in terms of per capita GDP, from US$10,000 to US$66,000. You can imagine the vast opportunities.

More importantly, all of this is in China’s control. China has the corresponding population base, education base, science and technology base, industrial base, etc., and the improvement of labor productivity is not constrained by any country. 

The third is to expand consumption dividends. Why is China's expanding consumption dividend so strong? There are three reasons: one is the objective demand for urbanization in China, the second is the room for improvement in China's labor productivity, and the third is China's savings rate as high as 45%. These three points determine that China not only has the current consumption potential supported by the high savings rate, but also the potential for urbanization and labor productivity improvement. This determines that China's consumption potential is sustainable and continuously developing. Therefore, China has great potential to expand its consumption dividend, and China's future market space will be at least five times that of the United States.

The fourth is the innovation and upgrade bonus. For China, technological innovation, industrial upgrading and model innovation are all dividends. In terms of scientific and technological innovation, China has already made global leading breakthroughs like 5G, and there are also a series of other breakthroughs that are relatively leading, and there is huge room for breakthroughs in some backward areas. This determines that technological innovation can bring China a huge bonus.

The same is true for industrial upgrading. China’s R&D upgrading will bring about industrial upgrading and technological upgrading, which will increase labor productivity. At the same time, the huge market of 1.4 billion people also determines the huge room for model innovation.

The dividends of innovation and upgrading in the United States and Europe are no longer as large. They are already developed countries and belong to the post-industrial era. Therefore, the space for innovation and upgrading is not as huge as China.

China Explained will show you that because of China’s continued success in industrial upgrading, technological innovation and realizing its huge potential, it is an unstoppable process. The inevitable rise of China may feel intimidating and some simply reject it. Don’t be. China’s rise is part of the new global trend unlike what we have seen in the past one hundred years. Embrace the change and seize the opportunity.

Creating original content is hard work, your support is what keeps me going. Please donate to this channel: paypal.me/C

In China, the easiest way to find development opportunities in the coming year is to understand the outcome of the Central Economic Work Conference in December.

This conference is on the news headline, and the conference communiqué is also open to the world. Wouldn't everyone know how to be rich? Knowing this meeting is one thing, and being able to understand the meaning of this meeting is another thing. The purpose of this channel is to help you understand China and benefit from China’s rise. 

And every year, in the week before the National Economic Work Conference, the Political Bureau of the Central Committee will first meet to set the tone for the economic work in the coming year. Therefore, understanding and interpretation of this meeting is the key to identifying opportunities for the coming year. Opportunities and minefields of 2021 are all covered in the report.

1. Does internal circulation mean China is closed for business?
2, making choices with a global perspective
3. What are the opportunities for next year?

China Explained will show you that because of China’s continued success in industrial upgrading, technological innovation and realizing its huge potential, it is an unstoppable process. The inevitable rise of China may feel intimidating and some simply reject it. Don’t be. China’s rise is part of the new global trend unlike what we have seen in the past one hundred years. Embrace the change and seize the opportunity.

Creating original content is hard work, your support is what keeps me going. Please donate to this channel: paypal.me/ChinaExplained

In 1972, someone asked Chairman Mao Zedong: "If capitalism were restored in China again, will the common people endure hardship again?"

Chairman Mao said:"You over-estimated them, they don't know what capitalism is? The best they could do is restore the feudal and colonial ways. Capitalism accumulates assets by invading and plundering other countries. Who do Chinese capitalists dare to invade?" "They can only exploit their own people or sell their own country's resources cheaply, in order to satisfy one's insatiable selfish desires."

At that time, people didn't understand and thought Chairman Mao was exaggerating. Most countries in the world are capitalist, and it should not be too bad. But decades later, we now see that he was right.

In recent months, the internet giants in the West, like Facebook, Amazon and Google, as well those in the East, like Samsung, LG, Alibaba and Tencent, are facing increasing scrutiny by the governments because of their monopolistic tendencies.

You may have noticed that the largest IPO in human history, the Ant Financial, was halted at the last minute by the Chinese government in November. Ant Financial talks about big data, algorithms, financial innovation, high-tech, but in fact, it is essentially a money lending company. They use 3 billion yuan as the principal, plus a hundred times leverage, to give out 300 billion yuan in loans. Once something goes wrong, Ant Financial cannot take the burden, and hundreds of billions of dollars of losses would be beared by the country and the people.

Other Chinese internet giants like Meituan, Pindoudou, Didi and Bytedance, etc. do not learn this lesson, but instead propose a new scheme called "community group buying". In essence, these internet giants collectively enter the grocery shopping market of common people in order to harvest the wallets of middle-aged and elderly people. Now looking back at Chairman Mao’s words, do these actions echo his words?

They have a huge amount of capital, but they don’t have the courage to go abroad to expand their territory. Every penny and energy is spent within China. After the e-commerce market is divided, they will release loans, deliver food, taxis, and sell cabbage…  When the domestic market is fully carved up and all areas under their giant monopoly, they will be able to enjoy lucrative rental income. By that time, the Chinese could hardly avoid these companies in their everyday lives. At that time, there will be no motivation to innovate.

It is nothing more than the exploitation of the landlord in the feudal era hidden under the skin of the Internet.

China Explained will show you that because of China’s continued success in industrial upgrading, technological innovation and realizing its huge potential, it is an unstoppable process. The inevitable rise of China may feel intimidating and some simply reject it. Don’t be. China’s rise is part of the new global trend unlike what we have seen in the past one hundred years. Embrace the change and seize the opportunity.

Creating original content is hard work, your support is what keeps me going. Please donate to this channel: paypal.me/ChinaExplained

Franklin Delano Roosevelt is the 32nd President of the United States and is well-known in the United States and China. In the United States, he is called FDR. In China, he was called "Roosevelt Junior" to distinguish him from his uncle, Theodore Roosevelt, the 26th President of the United States.

In 1932, in the midst of a severe financial crisis, Roosevelt was elected President of the United States. His "New Deal" helped the United States get out of the worst economic crisis of the 20th century. He is the only person in American history to win four presidential elections, and he is also the wartime president of the United States during World War II.

In November 1943, the dawn of victory in World War II emerged. Leader of the Chinese National Party Chiang Kai-shek flew to Cairo and reached the Cairo Declaration with American President Roosevelt and British Prime Minister Churchill. The most important part for China is that Japan must return Manchuria and Taiwan to China.

During his life, Roosevelt only did some government work and earned a meager income, but he owned a mansion in New York, and his children went to very good private schools.Why is this?

This is because of the "Delano" (D in FDR) in his name, which is his mother's surname and a very wealthy family in New York.

Roosevelt's grandfather, Warren Delano, was one of the largest merchants engaged in the opium trade with China after the Opium War in 1840. During the Opium War, Britain used warships and guns to pry open the door of China, and “legally” exported a steady stream of opium to China, eventually making China the “sick man of East Asia” in the eyes of Westerners.

At that time, Britain, through the East India Company, grew opium in India and exported it to China, and then used the silver in exchange to buy Chinese tea, silk and porcelain, which were sold to Britain. This trilateral trade has brought huge wealth to many businessmen. Britain also granted franchise rights to China's opium trade to merchants from other countries, including Roosevelt's grandfather Warren Delano.

Warren Delano was not unique. American historians found that the huge wealth brought about by the opium trade supported the construction of the first industrialized city in Massachusetts. Even the entire east coast of the United States has traces of wealth brought about by the opium trade, including Harvard, Yale, Princeton, and Columbia, places that are looked up to by countless Chinese as the world’s top universities. They have all benefited from the opium trade with China. In addition, the opium trade funded the construction of the first five railroads in the United States.

Today, there are still some Chinese people who are still obsessed with the so-called "favors" to China in American history. But few of them know the history of American merchants grabbing huge wealth from China because of the opium trade. They don't even know how many Chinese people have lost their health, lost their homes and died because of opium wealth in the glamorous cities on the east coast of the United States.

It can be said that in the more than 100 years when the Chinese nation was at its weakest, the United States, as a late-comer, has never been absent from plundering and oppressing China. This is an iron fact.

China Explained will show you that because of China’s continued success in industrial upgrading, technological innovation and realizing its huge potential, it is an unstoppable process. The inevitable rise of China may feel intimidating and some simply reject it. Don’t be. China’s rise is part of the new global trend unlike what we have seen in the past one hundred years. Embrace the change and seize the opportunity.

Creating original content is hard work, your support is what ke