MNI China Press Digest, Dec 4: Trade War, PBOC, Car Sales

     BEIJING (MNI) - The following lists highlights from Chinese press reports

on Wednesday:

     China will not confront the U.S. head-on while the U.S. continues to wield

tariffs as a global weapon, according to an editorial in the Global Times.

Referring to new U.S. tariffs on Brazil and Argentina announced on Monday, the

Times said China should focus on its own development while exploring areas of

mutual interest with other countries. China believes an "anti-US wave" will rage

like a storm as other countries run out of patience with U.S. policy, the

newspaper said.

     The People's Bank of China is expected to leave the required reserve ratio

unchanged this year and cut in Q1 of 2020, according to an op-ed published by

the China Securities Journal. The Journal said current liquidity is sufficient

because of surging fiscal spending at the end of the year. Short-term interest

rates are also dropping, although the central bank has not injected liquidity

through open market operations for 10 days, the Journal.

     Sales of electric vehicles in China are expected to account for around 25%

of total new car sales by 2025, according to a report in the Securities Times.

Citing a vehicle industry development plan from the Ministry of Industry and

Information Technology, the report also says that Intelligent Connected Vehicles

(ICV) may account for 30% of car sales by the same year. The Ministry has asked

for public comment on the plan, which urges local governments to improve tax

incentives such as new energy vehicle purchase taxes.

--MNI Beijing Bureau; +86 (10) 8532-5998; email: wanxia.lin@marketnews.com

--MNI Sydney Bureau; +61 405322399; email: lachlan.colquhoun.ext@marketnews.com

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