BYD + China's Official Economic Data: WSJ, Feb 25, 2013

choi

(1) Joanne Chiu and Colum Murphy, BYD's Ticket: Mass Transit; Electric-vehicle maker puts new emphasis on taxis and buses, especially in Asia.

Note:
(a) There is no need to read the rest. The title talks about BYD's hope, with the paper quoting a BYD executive "during a tour of teh company's production facilities in Southern China.
(b) But here is the reality, revealed in the report: BYD "sold just 1,700 electric cars and 700 electric buses last year."

* My comment: Likely mainly in China, by municipal governments (as opposed to civilians).
(b) Another quotation in the report: "But intense competition in China's auto market has continued to hurt the company's earning. BYD has warned that its 2012 net profit could sink by 98% because of continued weakness in car demand and lower sales at teh batteries business."


(2) Tom Orlik, Hidden Risks of a Hard Landing in China. Wall Street Journal, Feb 25, 2013 (in the column Heard on the Street).
http://online.wsj.com/article/SB ... 20410950879552.html

Quote:

In China: "Gross domestic product grew 7.8% in 2012 * * * But those numbers may underestimate inflation, resulting in an overestimate of real growth, says Stephen Green, China economist at Standard Chartered. Using an alternative measure of inflation that better reflects rising rents and prices for services like health care and education, Mr Green calculates GDP growth at just 5.5% in 2012.

"On trade, official data show a strong rebound coming into 2013, with exports in December up 14% year on year. But comparing China's export numbers to import data from Hong Kong—the first destination for many of China's goods—suggests that is too high. Louis Kuijs, China economist at RBS, calculates the real export growth rate could be four percentage points lower.

"On consumption, the official retail-sales index in December is up 15.2% year on year. Other data paint a different picture. * * * Dismal recent results for some major retailers also suggest all is not well at the cash register. The latest results from sports retailer Nike, fast-food peddler Yum Brands and home-electronics giant Gome are all weak.