HONG KONG: The commodities giant BHP Billiton spent heavily for years, mining iron ore across Australia, digging for copper in Chile, and pumping oil off the coast of Trinidad. The company could be confident in its direction as commodities orders surged from its biggest and best customer, China.
Now, BHP is pulling back, faced with a slowing Chinese economy that will no longer be the same dominant force in commodities. Profit is falling and the company is cutting its exploration budget by more than two-thirds.
China's rapid growth over the last decade reshaped the world economy, creating a powerful driver of corporate strategies, financial markets and geopolitical decisions. China seemed to have a one-way trajectory, momentum that would provide a steady source of profit and capital.
But deepening economic fears about China, which culminated this week in a global market rout, are now forcing a broad rethinking of the conventional wisdom. Even as markets show signs of stabilizing, the resulting shock waves could be lasting, by exposing a new reality that China is no longer a sure bet.
China, while still a large and pervasive presence in the global economy, is now exporting uncertainty around the world with the potential for choppier growth and volatile swings. The tectonic shift is forcing a gut check in industries that have built their strategies and plotted their profits around China's rise.
china has grown to such a hue power that its fall affects the overall world economy , their hard work has really paid off
The dragon has gone cuckoo
China wanted a place from where they can affect the global economy and they have got exactly same in last decade.
Markets have been volatile since China decided to weaken its currency earlier this month..........
Chinese you are no tychoon! every raise as a fall. Ofcourse the global market is down but it is for good
All economies are inter connected....
China has showed the way, how it can unfold mystery
Half of the world's economy is controlled by China and US. If one of them falters, there will be recession.