Posted on 09/04/2021 10:24:25 PM PDT by SeekAndFind
Chinese regulators summoned Didi, Geely’s Caocao, and nine other ride-hailing firms on Sept. 1, and accused them of vicious competition, illegal operations, and disrupting the market order.
This is the latest action of the Chinese Communist Party’s multi-pronged crackdown on its tech companies, and the second summons after the regulators ordered 10 ride-hailing firms to set up an organization CCP members will lead on May 14.
In recent months, Chinese regulators have launched new rules on online video games, tech companies who seek to list on foreign stock exchanges, cloud computing businesses, e-commerce companies, online financing businesses, education, celebrity fan clubs, Bitcoin, and sharing economy that includes ride-sharing, bike-sharing, and home-sharing.
In the ride-hailing business, the Chinese regime first clamped down on Didi by removing its 25 mobile apps from app stores in early July, days after Didi’s $4.4 billion listing on the New York Stock Exchange on June 30. Didi is China’s ride-hailing sector leader, and shares nearly 90 percent of the market.
On Sept. 1, Didi reported that it would set up a trade union to meet with the regime’s request, and the union will operate under the supervision of All-China Federation of Trade Unions, an organization controlled by the Chinese regime. Overseas China affairs commentators and China’s scholars analyzed that the crackdown on the ride-hailing business is suppressing the privately-owned companies and creating the conditions for state-run businesses to take over the private ones.
The Chinese Transportation Ministry announced on Sept. 2 that it had summoned 11 ride-hailing firms with the Cyberspace Administration, Industry and Information Technology Ministry, Public Security Ministry, and State Administration for Market Supervision on the previous day.
The 11 companies include Didi and Meituan, which employ millions of drivers, e-commerce giant Alibaba’s AutoNavi, automaker Geely’s Caocao, state-owned Shouqi Limousine & Chauffeur, Dida Chuxing,
(Excerpt) Read more at theepochtimes.com ...
The market order, huh?
People forget, its still a Communist country.
The more the CCP strong arms their businesses the more angry people they’ll create.
Stomping on the common man is usually something you can get away with.
Movers and shakers can push back.
The China crackdown has had a painful impact on the Hong Kong Stock Exchange, which is down 17% from its one year high in February 2021.
The Hong Kong Dollar trades in a very tight range with the US Dollar. The HKD has actually strengthened a little bit in the last six months.
The Shanghai Exchange is down just 3% since February, but that compares to a +14% in the SP 500 in the USA during the same time period.
The Chinese Yuan is also essentially flat for the last six months.
The US Dollar has strengthened about 2% since February.
they do forget
but even most Chinese feel ‘a little bit of socialism’ is a good thing.’
That might be WHY Xi is cracking down on the existence of people who can push back, people whose positions are based on their own ability, rather than whose butts they kissed in the Party.
In a culture where bribery is endemic, Xi cannot allow the existence of people who might potentially subvert his own control over his own Party hierarchy.
The CCP, Crushing ingenuity and creativity where it can.
It appears the CCP members are making their own people more angry by the day crumbling communism slow but sure.
A 1-Party-State monopoly wants more competition, LOL good one.
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