Chinese film producers are struggling to make ends meet even though the country's movie industry earns good profits, say officials.
Hollywood blockbuster "Transformers: Revenge of the Fallen" collected 400 million yuan ($58.4 million) in China after the movie was released worldwide June 24, breaking the record set by "Titanic" 10 years ago in the country.
"Harry Potter and the Half-Blood Prince", which hit the Chinese market Friday, is also expected to do good business in China.
The country's film business is profitable as Chinese movies earn good profits.
For instance, "If You Are The One", a comedy made by Chinese director Feng Xiaogang, earned 325 million yuan this year. "Silver Medalist", a black comedy by young director Ning Hao, grossed 100 million yuan this spring, says Han Sanping, chairman of China Film Group Corporation.
Some industry critics, however, argue that domestic film producers are still struggling to make their ends meet.
The box office returns are usually divided into three parts: 50 percent goes to the cinema hall owners, 10 percent to the distributors and 40 percent to producers. A film with an investment of 80 million yuan must earn at least 200 million yuan so that its producers could make their ends meet, Han said recently in an interview with the Shanghai-based Wen Hui Daily.
China produced 406 films in 2008, according to a report produced by the Chinese Film Association in June. The total box office returns in China last year stood at 4.3 billion yuan and 60 percent or 2.58 billion came from the domestic movies, he added.
"In a mature film industry, the box office is not the only source of revenue," said Jiang Defu, director of the marketing department under the China Film Group Corporation.
In Hollywood, 30 percent of the revenues come from the box office, while the remaining 70 percent come from other sources, including advertisement, he said.
"We still need to learn from their experience. Chinese film producers should not only attract audience into cinema but also explore the market out of the cinema (theatres)," he said.
Showing posts with label China. Show all posts
Showing posts with label China. Show all posts
Saturday, July 18, 2009
Tuesday, June 9, 2009
China's growth will help recover world economy, says World Bank
World Bank President Robert Zoellick said Monday the Chinese economy is likely to make a strong comeback which will help pull the world economy out of recession.
Zoellick made the comments in a question-and-answer session at the ongoing four-day International Economic Forum of the Americas in Montreal.
Despite the global economic crisis, China has been able to build up its reserves and launched the second-largest stimulus programme after the US, he said, adding that "in the first quarter they have slightly better than expected numbers".
China's recovery is not without risks, he said, "but by and large, it has not only been a stabilising force in the global economy, but a force that will pull the global economy out of the downturn".
Zoellick welcomed China's efforts to make its currency more international.
"Ultimately, that's a good thing, if you've got some multi-polarity of reserve currencies, to make sure that people manage them well," he said.
He said it is crucial that Washington and Beijing "work out their differences", such as past concerns about whether the Chinese government is "manipulating" its currency.
"In this environment, if you had protectionism burst out on one side or the other, or if there is doubt put in about financial markets, those are the type of factors that could make a fragile situation worse," he said.
Zoellick said he sees no need for governments to add further stimulus to ensure a global economic recovery.
He said the key issue now is "how to combine the stimulus with making the credit system work, clean up the banks".
In a statement released before the speech, Zoellick warned that while there are signs of global recovery there remain dangerous risks that could reverse progress, including the threat of protectionism.
"Right now, there is a low-grade fever; it isn't full influenza, but we need to keep a close watch because as unemployment numbers go up, politicians are under stress and some of them may turn to protectionism," he said.
Also, he said that the financial crisis has compounded challenges for vulnerable countries and it is important that higher income countries maintain their support for development while they manage their own financial and economic problems.
Zoellick made the comments in a question-and-answer session at the ongoing four-day International Economic Forum of the Americas in Montreal.
Despite the global economic crisis, China has been able to build up its reserves and launched the second-largest stimulus programme after the US, he said, adding that "in the first quarter they have slightly better than expected numbers".
China's recovery is not without risks, he said, "but by and large, it has not only been a stabilising force in the global economy, but a force that will pull the global economy out of the downturn".
Zoellick welcomed China's efforts to make its currency more international.
"Ultimately, that's a good thing, if you've got some multi-polarity of reserve currencies, to make sure that people manage them well," he said.
He said it is crucial that Washington and Beijing "work out their differences", such as past concerns about whether the Chinese government is "manipulating" its currency.
"In this environment, if you had protectionism burst out on one side or the other, or if there is doubt put in about financial markets, those are the type of factors that could make a fragile situation worse," he said.
Zoellick said he sees no need for governments to add further stimulus to ensure a global economic recovery.
He said the key issue now is "how to combine the stimulus with making the credit system work, clean up the banks".
In a statement released before the speech, Zoellick warned that while there are signs of global recovery there remain dangerous risks that could reverse progress, including the threat of protectionism.
"Right now, there is a low-grade fever; it isn't full influenza, but we need to keep a close watch because as unemployment numbers go up, politicians are under stress and some of them may turn to protectionism," he said.
Also, he said that the financial crisis has compounded challenges for vulnerable countries and it is important that higher income countries maintain their support for development while they manage their own financial and economic problems.
Friday, February 6, 2009
China's economy hit by world slump, boosted by stimulus
The conflicting winds of the global slowdown and a huge domestic stimulus blew through China's economy in January, with exports plunging but bank loans surging, according to a Reuters poll.
The median forecast of 18 economists polled by Reuters is for a 10.8 percent drop in exports in January compared with a year earlier, the sharpest decline in exactly a decade and an acceleration from a 2.8 percent fall in December.
''Despite some recent tentative signs of growth deceleration beginning to moderate, we believe China's growth momentum will remain weak before the influence of policy stimulus kicks in and the external environment improves later this year,'' Goldman Sachs economists said in a research note.
Only a partial list of China's regular economic indicators will be published for January, as the statistics agency puts out January-February numbers for output, investment and retail sales data to smooth out the effects of the Chinese New Year holiday, which falls in January some years and February in others.
The timing of the holiday complicates year-on-year comparisons, but the underlying trends of a slowing economy and a robust government campaign to prop up growth are likely to be borne out in the data.
The deterioration of Chinese aggregate demand will probably be seen in a steep drop in imports, down 28.5 percent in January, according to the poll, compared with a 21.3 percent fall in the previous month.
The resulting trade surplus would be $28.7 billion, considerably narrower than the $39 billion surplus in December.
But loans and money supply probably grew strongly in January as banks answered the government's call to extend credit to struggling firms.
Economists forecast that the broad M2 measure of money supply is likely to have expanded by 18 percent, while new yuan lending probably grew by 19.5 percent.
The official China Securities Journal has already reported that banks extended a monthly record of 1.2 trillion yuan ($176 billion) in new loans in January, following earlier comments by Premier Wen Jiabao that the first 20 days of the month had seen record loan growth.
Bank lending works hand in glove with Beijing's 4 trillion yuan stimulus package, as the government has explicitly called on huge state-owned lenders to provide the financing for much of the spending boost.
China's economy grew 6.8 percent in the fourth quarter compared with the same period a year earlier, weighing down 2008 growth to a seven-year low of 9.0 percent.
The expected surge in January lending has fuelled confidence among Chinese investors, with the country's benchmark stock market index rising solidly this week.
The collapse in global commodity costs probably dragged China's producer prices further into deflation. Economists forecast a 2.6 percent annual drop in the producer price index in January after a 1.1 percent fall in the previous month.
Consumer price pressures, while weakening, are expected to remain mildly inflationary, with food costs picking up because of the New Year holiday. The consumer price index probably rose an annual 0.9 percent in January, down a touch from the 1.2 percent increase in December.
The median forecast of 18 economists polled by Reuters is for a 10.8 percent drop in exports in January compared with a year earlier, the sharpest decline in exactly a decade and an acceleration from a 2.8 percent fall in December.
''Despite some recent tentative signs of growth deceleration beginning to moderate, we believe China's growth momentum will remain weak before the influence of policy stimulus kicks in and the external environment improves later this year,'' Goldman Sachs economists said in a research note.
Only a partial list of China's regular economic indicators will be published for January, as the statistics agency puts out January-February numbers for output, investment and retail sales data to smooth out the effects of the Chinese New Year holiday, which falls in January some years and February in others.
The timing of the holiday complicates year-on-year comparisons, but the underlying trends of a slowing economy and a robust government campaign to prop up growth are likely to be borne out in the data.
The deterioration of Chinese aggregate demand will probably be seen in a steep drop in imports, down 28.5 percent in January, according to the poll, compared with a 21.3 percent fall in the previous month.
The resulting trade surplus would be $28.7 billion, considerably narrower than the $39 billion surplus in December.
But loans and money supply probably grew strongly in January as banks answered the government's call to extend credit to struggling firms.
Economists forecast that the broad M2 measure of money supply is likely to have expanded by 18 percent, while new yuan lending probably grew by 19.5 percent.
The official China Securities Journal has already reported that banks extended a monthly record of 1.2 trillion yuan ($176 billion) in new loans in January, following earlier comments by Premier Wen Jiabao that the first 20 days of the month had seen record loan growth.
Bank lending works hand in glove with Beijing's 4 trillion yuan stimulus package, as the government has explicitly called on huge state-owned lenders to provide the financing for much of the spending boost.
China's economy grew 6.8 percent in the fourth quarter compared with the same period a year earlier, weighing down 2008 growth to a seven-year low of 9.0 percent.
The expected surge in January lending has fuelled confidence among Chinese investors, with the country's benchmark stock market index rising solidly this week.
The collapse in global commodity costs probably dragged China's producer prices further into deflation. Economists forecast a 2.6 percent annual drop in the producer price index in January after a 1.1 percent fall in the previous month.
Consumer price pressures, while weakening, are expected to remain mildly inflationary, with food costs picking up because of the New Year holiday. The consumer price index probably rose an annual 0.9 percent in January, down a touch from the 1.2 percent increase in December.
Friday, December 12, 2008
Canadians fear rise of India, China
A majority of Canadians see the rise of Brazil, Russia, India and China (BRIC) as a potential threat to their economy, says a survey.The survey - commissioned by UPS Canada to know how Canadians viewed globalization - shows the country's strongest regional economies are most fearful of the rise of these four nations.
However, Canadians still maintain that their country will continue to play a significant role in the global marketplace.
Canadians in the better-performing central provinces of Alberta, Saskatchewan and Manitoba are more worried about the rise of BRIC nations, with 73 per cent citing these emerging economies as a threat to their economy.
In the province of British Columbia, which is hosting the 2010 Winter Olympics, 70 per cent viewed BRIC economies as a competitive threat. But Canadians in have-not provinces touching the Atlantic were less worried, with only 53 percent expressing concern over the rise of BRIC nations.
``What we're seeing is a split between the have and have-not provinces in terms of their level of insecurity when it comes to the BRIC nations,'' said UPS president Mike Tierney.
``With Brazil giving Saskatchewan's agriculture industry a run for its money and China's booming manufacturing sector hurting Canadian exports, it stands to reason that those with the strongest economies and most opportunity appear to be the most fearful of the economic damage that could be caused by the emergence of the BRIC nations,'' he said.
To overcome competition from BRIC nations, he said, Canadians should leverage opportunities in the global market and invest in new technologies and innovations, rather than restricting to regional trade in North America.
Tierney said, ``Part of the reason the BRIC nations have seen such an exponential surge in their middle classes is the heightened use by entrepreneurs in those countries of opportunities outside of their comfort zone, and they've been quite successful in doing so.''
``By mimicking that spirit of ambition, Canadian businesses could stunt the inevitable intrusion into the Canadian market by these new players,'' he said.
Tuesday, April 1, 2008
World Bank lowers China growth forecast to 9.4 percent
The World Bank has scaled down China's growth rate for 2008 to 9.4 percent from its February forecast of 9.6 percent.
Louis Kuijs, senior economist of the World Bank's Beijing office, said Tuesday the adjustment was made purely on concerns over external factors.
As the world economy had slowed more rapidly in the past two months, this had a negative impact on the growth of Chinese exports, Kuijs said.
The Bank official said he was still optimistic of the domestic performance of the economy and was confident of adequate investment and robust consumption pattern.
The latest report said despite falling US import and rising volatility in global financial markets, China was expected to continue to perform strongly on rising domestic investment and consumption growth.
In 2007, the country's economy grew 11.4 percent, the highest in 13 years and also the fifth year of double-digit growth.
The report said growth in developing east Asia would fall by around 1 to 2 percentage points to around 8.5 percent in 2008 as a result of the unfolding financial turmoil in the United States and the resulting global slowdown.
Economies in the region reported a combined 10.2 percent growth in 2007, the highest in a decade.
According to the report, east Asia, especially China, has increasingly become a "growth pole" in the world economy, acting as a counterweight to the slowing industrial economies.
"The overall growth remains healthy across the east Asia and Pacific region", the Bank said.
Most countries were well positioned to navigate the global slowdown on back of the investments they had made over the past 10 years in structural reforms and putting sound macroeconomic policies in place, it added.
It warned the real challenge for governments in the region was the inflationary effect of mounting food and fuel prices, especially the harsh burden imposed on the poor.
Xinhua
Louis Kuijs, senior economist of the World Bank's Beijing office, said Tuesday the adjustment was made purely on concerns over external factors.
As the world economy had slowed more rapidly in the past two months, this had a negative impact on the growth of Chinese exports, Kuijs said.
The Bank official said he was still optimistic of the domestic performance of the economy and was confident of adequate investment and robust consumption pattern.
The latest report said despite falling US import and rising volatility in global financial markets, China was expected to continue to perform strongly on rising domestic investment and consumption growth.
In 2007, the country's economy grew 11.4 percent, the highest in 13 years and also the fifth year of double-digit growth.
The report said growth in developing east Asia would fall by around 1 to 2 percentage points to around 8.5 percent in 2008 as a result of the unfolding financial turmoil in the United States and the resulting global slowdown.
Economies in the region reported a combined 10.2 percent growth in 2007, the highest in a decade.
According to the report, east Asia, especially China, has increasingly become a "growth pole" in the world economy, acting as a counterweight to the slowing industrial economies.
"The overall growth remains healthy across the east Asia and Pacific region", the Bank said.
Most countries were well positioned to navigate the global slowdown on back of the investments they had made over the past 10 years in structural reforms and putting sound macroeconomic policies in place, it added.
It warned the real challenge for governments in the region was the inflationary effect of mounting food and fuel prices, especially the harsh burden imposed on the poor.
Xinhua
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