Weekly Round-Up: Top 5 International Stories on China
April 27, 2015 by Blog Editor
Top international stories on China this week include losses in Hershey’s Chinese profits and big loans in Venezuela.
Hershey reported that its results after entering China have been weaker than expected with net sales have risen 3.5% to $1.91bn, a number $1.96bn below the hoped amount for this year’s first three months.
Yum Brands Inc., the company that owns both Kentucky Fried Chicken and Pizza Hut, believes that their chains are doing better in recent weeks. A food scare in China had worried civilians, but now it seems the company is back in business with China leading the way in terms of revenue.
Mercedez Benz has been fined $56.5m due to beliefs that it had price-fixed through pushing dealers to set minimum sales prices on some car models.
Volvo has announced that the company is ready to sell cars that have been made in China abroad, specifically the United States.
China’s central bank has cut the required ratio on the limit of deposits commercial banks can lend out allowing for eased credit conditions. This has been hailed abroad as beneficial to global stock markets.
The bank also has plans that in June there will be more allowance for MasterCard Inc. and Visa Inc. to enter China’s bank-card clearing industry through giving out licenses for establishing themselves.
In Indonesia, Japan’s Prime Minister Shinzo Abe met with Chinese leader Xi Jinping for about 30 minutes. The Indonesian summit, where Asian and African countries were celebrating 60 years since the Bandung Conference against colonialism, provided Abe with the platform to present a speech concerning apologies for World War Two.
The following day, three cabinet ministers of Abe visited the controversial Yasukuni war shrine.
Agreements have been signed by Xi Jinping allowed $46bn to be given to Pakistan for the establishment of the China-Pakistan Economic Corridor. This will allow for highways, roads, and pipelines to be built between Pakistan’s Gwadar and China’s Xinjiang province.
A $5bn loan has also being given to Venezuela for development infrastructure. It is blurry what exactly the money will be used for.
By Christian Manley