MNI China Press Digest, March 13: Coronavirus, PBOC, Auto

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

on Friday:

     The coronavirus pandemic could be over in China by June and the containment

of the outbreak would be helped by positive state-level intervention in other

affected countries, according to a senior Chinese official. A CCTV News report

cited Zhong Nanshan, appointed by the government as the most authoritative voice

on the coronavirus outbreak, who urged stronger monitoring of people travelling

to China from overseas, as he said some countries abroad had not paid enough

attention to the pandemic. 

     The peak of the current coronavirus outbreak in China has passed and the

epidemic has stabilized with the number of new cases continuing to decline, the

online edition of the People's Daily reported citing Mi Feng, a spokesman for

the National Health Commission. 

     The People's Bank of China hasn't conducted open market operations for 18

days, creating more room for monetary policy easing, according to analysts cited

by China Securities Journal. Zhang Xu, an analyst with Everbright Securities,

told the Journal that the PBOC should implement structural monetary policies

such as cutting the required-reserve ratio for targeted institutions. These

policies could provide credits and liquidity to sectors in need, without a

significant increase in the aggregate liquidity supply, Zhang said.

     Auto production in China fell 79.8% while sales were down 79.1% in February

on a year-on-year basis, according to the China Association of Automobile

Manufacturers (CAAM). Citing Xu Haidong, the deputy secretary-general of GAAM,

the Economic Daily reported that sales and production figures are expected to

show an increase in March, and the auto industry should fully recover by Q3

based on expectations that the coronavirus epidemic will run its course. The

GAAM has advised the government to support the auto industry through measures

such as continuing subsidies for electric vehicles and stimulating consumer

demand for cars.

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

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

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

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