Foreign carmakers that raced into China to profit from what has become the world`s biggest automobile market by volume have no intention of backing out despite slowing sales as the Chinese economy shifts down.
China`s economy is entering a treacherous phase as it moves away from traditional sources of growth like heavy manufacturing and real estate investment, but has yet to complete the transition to a new model, a prominent Chinese economist said on Friday.
Chinese shares plummeted on Monday, wiping out the year`s gains and leading a slump across Asian equities as Beijing`s latest market intervention failed to restore confidence, with concern mounting about the stalling economy.
China`s economic slowdown and a sharp fall in its stock market herald not a crisis but a "necessary" adjustment for the world`s second biggest economy, a senior International Monetary Fund official said on Saturday.
Chinese stock markets tumbled for a second straight day on Wednesday as investors crowded the exits, fearing a government campaign to prop up share prices was faltering and unnerved by a steady stream of gloomy economic news.
After a plunge of more than 8 percent in major indexes on Monday, Chinese regulators said they were prepared to buy shares to stabilise the stock market, while the central bank injected cash into money markets and hinted at further monetary easing.
China`s factory sector contracted by the most in 15 months in July as shrinking orders depressed output, a preliminary private survey showed on Friday, a worse-than-expected result that should reinforce bets the struggling Chinese economy will get more stimulus.
The World Bank Friday refuted claims that it withdrew a report critical of China's financial sector under pressure from the Chinese government and said the economic fundamentals of the country are sound despite the recent equity market volatility.
Companies in India recorded the steepest fall in confidence, logging 84 from 97 in the previous quarter, as fervour over the election of pro-business Prime Minister Narendra Modi last year gives way to anxiety about whether two rate cuts this year can reignite a sluggish economy.