Chinese small companies in difficult situations encountered more challenges in December. Factors such as persistently high prices, frequent outbreaks of epidemics, and slowing economic growth made the situation of small companies the worst since the first lockdown due to the epidemic. The government's purchasing manager index survey of thousands of companies shows that the current situation of small businesses is the worst since February 2020, when China largely shut down its economy to control the epidemic. Companies also do not expect the situation to improve, and the expectation index is far below the 50 boundary line.

Chinese real estate developers have to pay more and more bills in January, but have fewer and fewer channels to raise the necessary funds. According to Bloomberg calculations and analyst estimates, the industry needs to find at least US$197 billion in funds to repay bonds, interest, and trust products that are due to expire, as well as pay millions of migrant workers with delayed payments. The Chinese government has asked real estate developers such as China Evergrande Group to solve the problem of wage arrears before the Spring Festival, so as not to affect social stability. Although China shifted from supporting economic growth in December, policies in the real estate market are still tight. The focus of the future may be to ensure housing delivery, and the People's Bank of China also encourages financial institutions to help real estate industry acquisitions. The scale of bonds that the troubled company has to pay this month is larger than the sum of November and December.

Xinhua News Agency reported that the Regional Comprehensive Economic Partnership Agreement (RCEP) has come into effect. RCEP currently has 15 member states, including 5 countries including China, Japan, South Korea, Australia, New Zealand, and 10 ASEAN countries. In terms of population, economic volume, and total trade, they all account for about 30% of the global total. According to the agreement, 6 ASEAN member states and 3 non-ASEAN member states formally submit the approval letter, which means that the threshold for the agreement to enter into force has been reached. Through the efforts of all parties, RCEP will reach the entry into force threshold on November 2, 2021. Starting from January 1, RCEP has officially entered into force for 10 countries including Brunei, Cambodia, Laos, Singapore, Thailand, Vietnam, China, Japan, New Zealand and Australia. South Korea will join the effective implementation on February 1. The remaining member states will also take effect one after another after completing the domestic approval procedures.

Huawei Technologies Co., Ltd. promised to increase investment in software and digital energy technology, seeking to overcome the impact after five consecutive declines in sales due to US sanctions. Bloomberg calculated based on the full-year data provided by Huawei that Huawei’s revenue fell 19% to 178.2 billion yuan (28 billion US dollars) in the three months to the end of December. Huawei, headquartered in Shenzhen, stated in its New Year's message that its revenue in 2021 will reach approximately 634 billion yuan, a decrease of 29% from the previous year.

Tesla delivered 308,600 vehicles worldwide in the fourth quarter, setting a new record for the electric car manufacturer and marking a successful end to the year when the company joined the trillion-dollar market value club. In the fourth quarter, global vehicle deliveries reached 308,600 vehicles, setting a new single-season record and surpassing analyst expectations. For the whole year, Tesla delivered 936,172 vehicles, compared with less than 500,000 in 2020 The 87% increase marked a successful year for the electric car manufacturer to join the $1 trillion market capitalization club. Daniel Ives, an analyst at Wedbush Securities, sent an email saying: For Tesla, this is a winning season, even exceeding the most optimistic expectations. The performance of Elon Musk's company in this December season is jaw-dropping, and there will be a lot of profit in 2022.

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