South China Morning Post (June 21)
“China’s rapid transition to electric vehicles (EVs) has been widely hailed as an economic success story. But it is also creating a serious headache for the country’s local governments, which are tasked with maintaining one of the world’s largest road networks.” EVs accounted for fully 60% of last month’s new car sales, but the EV boom “is creating a growing fiscal black hole, as heavier electric cars send roadwork costs spiralling while simultaneously undercutting the tax revenues used to fund repairs.”
Tags: $60, China, Economic success story, EVs, Fiscal black hole, Fund, Governments, Headache, Heavier, Maintaining, New car sales, Rapid transition, Repairs, Road networks, Roadwork costs, Spiralling, Tax revenues, Undercut
New York Times (May 8)
“A grinding war in Iran has so severely drained American firepower that Chinese analysts are openly questioning Washington’s ability to defend Taiwan. That shifting calculus threatens to undercut President Trump’s leverage in his high-stakes summit next week with China’s top leader, Xi Jinping.”
Tags: Ability, Analysts, China, Defend, Drained, Firepower, Grinding, High stakes, Iran, Leverage, Questioning, Summit, Taiwan, Threatens, Trump, U.S., Undercut, War
Bloomberg (January 18)
“The new year was supposed to bring opportunities for beaten-down software stocks. Instead, the group is off to its worst start in years.” Amid fears that AI will undercut the benefits of software, “valuations for software companies keep getting cheaper. The Morgan Stanley basket is priced at 18 times earnings projected over the next 12 months, its cheapest on record, and well below an average of more than 55 times over the past decade.”
Tags: AI, Beaten-down, Benefits, Cheaper, Fears, Morgan Stanley, Opportunities, Software, Software stocks, Undercut, Valuations, Worst start
The Guardian (August 13)
Ukraine’s attack on Russia has boosted momentum and may undercut “Putin’s strongman image,” possibly “prompting doubts among the elite” or “encouraging squabbling over who is to blame for this embarrassment.” Ultimately, however, “the final judgment on Kyiv’s bet” remains to be seen. “Taking the enemy by surprise is a short-term win. But the consequences of this bold gamble are still playing out.”
Tags: Attack, Blame, Consequences, Doubts, Embarrassment, Momentum, Putin, Russia, Short-term win, Strongman, Surprise, Ukraine, Undercut
Washington Post (May 9)
“It’s anyone guess what will come of the current meetings” to resolve the U.S./China trade dispute. “What should not be in doubt, however, is that throughout the entire bargaining process with Beijing, the administration has undercut its position by attempting to wage simultaneous tariff battles with other countries.” In addition to China, Mr. Trump’s tariffs now cover…7.3 percent of imports from Canada, 2.5 percent of imports from the European Union, 9.6 percent of imports from South Korea and 3.8 percent of imports from Japan,” undercutting support from natural allies in his dispute with China.
Tags: Allies, Canada, China, EU, Imports, Japan, South Korea, Tariffs, Trade dispute, Trump, U.S., Undercut
