Some huge deals were announced. Among them will be a 20-year $83.7 billion investment by China Energy Investment Corp. in shale gas developments in addition to also chemical manufacturing projects in West Virginia, a major energy-producing state that will voted heavily for Trump within the 2016 election.
“The massive size of that will energy undertaking in addition to also level of collaboration between our two countries will be unprecedented,” West Virginia Secretary of Commerce H. Wood Thrasher said in a statement.
the item marks the first major overseas investment for the newly founded China Energy, which formed coming from the merger of China Shenhua Group, the country’s largest coal producer, in addition to also China Guodian Corp., one of China’s top all 5 utilities.
However, as will be often the case during state visits, many of the deals were packaged as “non-binding” agreements, gave scant details or rolled over existing tie-ups, helping pump up the headline figure.
“I am somewhat skeptical of such a large number,” Alex Wolf, senior emerging markets economist at Aberdeen Standard Investments, told the Reuters Global Markets Forum, adding that will the overall tone of the visit so far had been “positive.”
“I suspect they might be primarily MOUs (memorandum of understandings) instead of actual contracts in addition to also the actual contract amount may be substantially less.”
Qualcomm signed non-binding agreements worth $12 billion with Xiaomi, OPPO, in addition to also Vivo, three Chinese handset makers that will the firm said the item had “longstanding relationships” with. Qualcomm already earns more than half of its revenues in China.
Boeing announced a deal with state-run China Aviation Suppliers to sell 300 Boeing jets having a valuation of $37 billion at list prices, though analysts said the item was unclear how many of these were completely new orders.
“Interesting to see how many of those are past agreements/purchase orders repackaged. Beijing will be a master of selling the same agreement 10 times,” former Mexican ambassador to China Jorge Guajardo posted on Twitter.