So over the past month I have been preparing for exams. Well, the exams are finished and I am looking forward to getting back into the saddle here on Hi Tech Taipei. To be honest I have mostly not been reading much about the tech industry over the past month so I am also fairly curious to see what has been happening in and around Taiwan. It has been fairly difficult to avoid the wildly fluctuating stock market and to also here about greater stimulus packages being shoved into the US economy (US$800 million + US$700 million = a lot of money). My only thoughts are for the poor tax payers.
I also thought it was interesting to read China's president Hu Jin Tao saying China is losing its competitive advantage in these tough times. According to the International Herald Tribune (IHT):
Chinese President Hu Jintao warned that China has started to lose its competitive edge in trade amid the global financial crisis as he told Communist Party leaders the challenge posed a test to the government's ability to rule.
China's economic growth is expected to fall to about 9 percent this year, down from last year's 11.9 percent. That would be the fastest decline of any major economy, but Chinese leaders worry about possible unrest as unemployment rises, especially in export industries where factories are shutting down as global demand plummets.
"External demand has obviously weakened and China's traditional competitive advantage is being gradually weakened," Hu said, according to the Communist Party's official People's Daily newspaper.
He is right of course. I also have the same feeling about a lot of tech companies in Taiwan. While it is much easier for weak companies to appear strong in a good economy, many companies here are having their weak spots seriously exposed during this downturn and are unable to cover the gaps.
Anyway, its an exciting time to get back to blogging on these issues. I look forward to your comments as always.
IHT: Chinese leader says China losing competitive edge