How Should China Replace The United States?
China is the second largest trading and fast growing developing country in the world, which will be replacing The United States in the future. The main reason that china can have high export rate but low import rate thus China is a self – sufficiency country, which mean China can produce everything that citizens needed in their life. China exporting activities represent 30% of GDP, which is the main support of economic growth in China. In 2014, China exported around 2000 million US dollars per month, except in February china only exported 1140 million dollars. From January to October in 2014 china exported 57% of electronic product and 20% of clothing, plastic product, toys, bags etc. China exported that product to rest of the world, 17% to
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The import rate from January to October is remaining between 1500 to 1700 million, in 2014 February is the only month only had 1370 million import. February had the lowest import and export because Chinese New year is in February and citizens had 7 days holiday. China had mainly imported 43% electronic goods, 12% crude oil and 5% iron ore, those goods imported by Europa Union, Japan, South Korea (Tradingeconomics, 2014). China unemployment remain in 4% for the whole year, this shows that more import or international company entre the market did not affect the local industries (Tradingeconomics, 2014). China average import tariff in 2000 and 2005 was 15% and 10% representative and then it increased to 17%. In China different type of product charge for different tariff, import value added tax (VAT) is between 13% - 17% and the tax rate is 3% to 45%. Industry product is less than 20%, consumer product is 20%- 50% and luxury product is 100% (Winstar, …show more content…
Xiaomi is the fastest growing company in China history and replaced Samsung market (Tighe et al, 2014). Xiaomi provide mid – level mobile with better Android system name as ‘MIUI’ and consumer can have online directly service (Watts, 2013) When China release Xiaomi become international company, China decided to cancel the subsidies which is a 88% discount on every purchases in Samsung and Apple product. After this rebated was cancelled by the china government this is big hit to Samsung and this is how china protect the domestic company (Tighe et al, 2014). A new Samsung Galaxy 5 is $6000 and Xiaomi Mi4 Flahsh is $3200, both smartphone contain the same operation system but Xiaomi had better battery, RAM and bigger memory storage than Samsung (Tighe et al,
The import rate from January to October is remaining between 1500 to 1700 million, in 2014 February is the only month only had 1370 million import. February had the lowest import and export because Chinese New year is in February and citizens had 7 days holiday. China had mainly imported 43% electronic goods, 12% crude oil and 5% iron ore, those goods imported by Europa Union, Japan, South Korea (Tradingeconomics, 2014). China unemployment remain in 4% for the whole year, this shows that more import or international company entre the market did not affect the local industries (Tradingeconomics, 2014). China average import tariff in 2000 and 2005 was 15% and 10% representative and then it increased to 17%. In China different type of product charge for different tariff, import value added tax (VAT) is between 13% - 17% and the tax rate is 3% to 45%. Industry product is less than 20%, consumer product is 20%- 50% and luxury product is 100% (Winstar, …show more content…
Xiaomi is the fastest growing company in China history and replaced Samsung market (Tighe et al, 2014). Xiaomi provide mid – level mobile with better Android system name as ‘MIUI’ and consumer can have online directly service (Watts, 2013) When China release Xiaomi become international company, China decided to cancel the subsidies which is a 88% discount on every purchases in Samsung and Apple product. After this rebated was cancelled by the china government this is big hit to Samsung and this is how china protect the domestic company (Tighe et al, 2014). A new Samsung Galaxy 5 is $6000 and Xiaomi Mi4 Flahsh is $3200, both smartphone contain the same operation system but Xiaomi had better battery, RAM and bigger memory storage than Samsung (Tighe et al,