India Attracts Global Manufacturers, Bitcoin Rises on Beijing’s Capital Controls

January 3, 2017

Taiwanese contract manufacturer Wistron Corp., who has Apple as one of its customers, has applied for an approval to expand its plant in Bengaluru, India, which specializes in producing smartphone components. Stay on Sentifi to see how the crowd is reacting to the news.

sentifi top attentions january 3

Wistron Corp.: Aims for expansion in India as Apple rams up production in the country

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The company’s move is less of a coincident and more of a well-thought plan, as Apple just a few weeks ago proposed to India’s federal government the possibility of assembling products in the country. This is considered a win for the government since the launch of its campaign to attract global manufacturers.

Capital Controls: Bitcoin jumps above $1,000 on China’s new capital controls

Bitcoin rose above $1,000 for the first time in three years and the second time in history after the People’s Bank of China (PBOC) required all Chinese banks to report all yuan-denominated cash transactions exceeding 50,000 yuan, which is approximately $7,100. It’s a huge drop from the current level of 200,000 yuan. The report threshold remains at $10,000 for both cash transactions and overseas transfers for foreign currencies. This triggered a movement in the market as people started buying into bitcoin, but the digital currency might not be safe after all. The PBOC has noticed that digital currencies are now one of the final, and most successful, means of bypassing capital controls in China.

Bajaj Auto: Records disappointing sales for the last month of 2016

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Indian bike manufacturer Bajaj Auto saw a drop of 22 percent to a 33-month low in sales in December 2016 compared to the same time last year. It’s disappointing for the company after it launched a new bike on Dec. 15 with a sole goal of taking some market share from its competitor Royal Enfield. The company is planning to hike prices of some of its bikes to offset the impact of rising input costs and upgrading of its entire portfolio.

SpaceX: Resumes rocket launches in Jan. 8

The launch will see a new Falcon 9 rocket transport the first 10 of 70 next-gen communicators satellites for Iridium. The company will ship all satellites until early 2018 in order to replace the aging fleet of Iridium satellites, which provide voice and data services worldwide. The company has a backlog of $10 billion in launch contracts and is very eager to get back to launches.

Iron One: Production is expected to grow in India

Iron ore production surged 22 percent in April-October from a year ago in India thanks to protectionist steps taken in favor of domestic iron users. The mines industry is preparing 150-200 mineral blocks for auction in three-four months to increase exploration to raise the share of mining and quarrying in the GDP by one percentage point from 2.4 percent.

Hyundai Motor Company: Targets sales rebound of 4.7 percent as sales drop

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The Korean car company is betting on new model introductions to counter increasing competition and bring it sales back up, as the company also posted its first annual sales fall in nearly two decades. Along with Kia Motors, the company aims to ship a combined 8.25 million vehicles this year. The company is also betting on new plants in China and Mexico to raise output, and new models including an SUV, which is all the rage, to attract buyers. The company also identified potential challenge from U.S. President-elect Donald Trump’s policies of putting America first from producing steel, building cars or curing disease.

Bharti Airtel: Aims for expansion in India

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India’s leading telecom operator by users Bharti Airtel is discussing with Norway-based Telenor to buy its India business for $350 million. Airtel is eying for over half of Telenor India’s liabilities. This comes as a good time for the Norwegian company as it is looking to exit India after failing to compete due to its limited data spectrum holdings and its small presence.

State Bank of India: Announces sharp cuts to lending rates

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The State Bank of India, along with other Indian banks, has cut its lending rates following a recent surge in deposits, igniting hopes that lower borrowing costs will help spark credit growth in the country. The lending rates in several banks have been cut by 45-90 basis points. Since the ban of the old 500 and 1,000 rupees notes, the banks have received about $219.30 billion in the old notes, and that means the banks are expected to have room to cut lending rates.

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