China Power Outages Close Factories and Threaten Growth

china power outages close factories and threaten growth

DONGGUAN, China — Power cuts and even blackouts have slowed or closed factories across China in recent days, adding a new threat to the country’s slowing economy and potentially further snarling global supply chains ahead of the busy Christmas shopping season in the West. The outages have rippled across most of eastern China, where the bulk of the population lives and works. Some building managers have turned off elevators. Some municipal pumping stations have shut down, prompting one town to urge residents to store extra water for the next several…

Business groups are divided as China seeks self-reliance.

business groups are divided as china seeks self reliance

China’s push for self-sufficiency in a wide range of industries is dividing foreign companies, with some welcoming it as another chance to invest there while others worry that it will cause risks to the country’s trading partners and its own economy. Two influential groups of foreign businesses in China issued very different reports on Thursday. They revealed a striking divide on whether international companies support China’s push to replace imports with a self-reliant emphasis on domestic production. China has been heavily subsidizing its manufacturers of semiconductors, commercial aircraft, electric cars…

Beyond Evergrande’s Troubles, a Slowing Chinese Economy

beyond evergrandes troubles a slowing chinese economy

BEIJING — Global markets have watched anxiously as a huge and deeply indebted Chinese property company flirts with default, fearing that any collapse could ripple through the international financial system. China Evergrande Group, the developer, on Wednesday said it reached a deal that might give it some breathing room in the face of a bond payment due the next day. But that murky arrangement doesn’t address the broader threat for Beijing’s top leaders and the global economic outlook: China’s growth is slowing, and the government may have to work harder…

What an Adult Tricycle Says About the World’s Supply-Chain Problems

what an adult tricycle says about the worlds supply chain problems

Catrike has 500 of its three-wheeled bikes sitting in its workshop in Orlando, Fla., nearly ready to be sent to expectant dealers. The recumbent trikes have been waiting for months for rear derailleurs, a small but crucial part that is built in Taiwan. “We’re sitting on $2 million in inventory for one $30 part,” said Mark Egeland, the company’s general manager. The company’s problems offer a window into how supply-chain disruptions are rocking companies in the United States and around the world, pushing inflation higher, delaying deliveries and exacerbating economic…