Chinese Economy Watch

rockdog said:
Are you mentally stable?
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Very much I am stable, pretty healthy.

You are living the young man fantasies, thinking material things are so important, thinking national pride, is so important, we are all flesh, passing life flowers, eternity in the material world is a dream, the smart person always knows spirituality is more important than materialism, love more important than power, justice more important than money, work is good, live with decency is good, nothing wrong with work and have prosperity, but without justice and love, life is chaos, but with time you will see, when you grow into spiritual things, but as a nation you will learn via Russia.
 
The Chinese government fears that proximity to the US will facilitate access to BYD's advanced technologies, which has slowed approval for its new factory.
Chinese authorities have postponed authorization for BYD, the world's largest electric car manufacturer, to establish a plant in Mexico. According to the Financial Times, the Chinese Ministry of Commerce fears that unrestricted access to BYD's technology in Mexico will facilitate its arrival in the United States.

According to sources cited by the British media, the proximity between Mexico and the US is raising concerns in Beijing about the possible leakage of the Chinese company's strategic innovations. This situation has put the automaker's project on hold, which planned to produce around 150,000 vehicles annually in the country and generate 10,000 direct jobs.

As part of its global expansion strategy, BYD had announced plans to open plants in Indonesia, Brazil, and Hungary. However, the Chinese government prioritizes investment in countries aligned with its global infrastructure initiative, known as the New Silk Roads.

The outlook has become even more uncertain with the possible return of Donald Trump to the US presidency. The Mexican administration has adopted a more cautious approach, prioritizing its trade relations with Washington amid threats of new tariffs. In fact, the Mexican government has responded with measures such as imposing tariffs on textiles from China and investigating unfair competition practices in sectors such as steel and aluminum.

Industry experts warn that relations between Mexico and China have become more tense. "The Mexican government seeks to attract Chinese investment, but its relationship with the US remains a priority," explained Gregor Sebastian, an analyst at the consulting firm Rhodium.

Meanwhile, Stella Li, executive vice president of BYD, recently stated that the company has not yet made a final decision on building its plant in Mexico. "The landscape is constantly changing; we continue to evaluate the best option for all parties," he noted.

Despite the uncertainty, BYD maintains a growing presence in the Mexican market. By 2024, it sold more than 40,000 electric vehicles in the country and aims to double this figure, in addition to opening 30 new dealerships. However, the viability of its production expansion in Mexico continues to depend on trade tensions between China, Mexico, and the US.
tuinterfaz.mx

China retrasa aprobación de planta BYD en México por preocupaciones sobre transferencia tecnológica

China ha retrasado la aprobación para que BYD establezca una planta en México, debido a preocupaciones sobre una posible transferencia de tecnología a EE.UU. La incertidumbre en las relaciones comerciales y el enfoque del gobierno mexicano en preservar sus vínculos con Washington han complicado...
tuinterfaz.mx tuinterfaz.mx
 
Beijing fears that Mexico's proximity to the United States could facilitate the transfer of key technology developed by BYD, Tesla's main competitor, the Financial Times reported on Wednesday, March 19.

The administrative hold by Chinese authorities comes despite BYD's announcement of plans to establish its plant in Mexico in 2023, along with similar projects in Brazil, Hungary, and Indonesia.

The Chinese company had stated that the Mexican plant would generate 10,000 jobs and have an annual production capacity of 150,000 vehicles.

However, automotive companies from the Asian giant require authorization from China's Ministry of Commerce to manufacture abroad, and this approval has not yet been granted in BYD's case.

Authorities fear that Mexico will gain unrestricted access to BYD's technology and know-how, even allowing the United States to benefit from them.

“The Commerce Ministry's main concern is Mexico's proximity to the United States,” the British outlet reported, citing two sources.

Geopolitics and Mexico's stance on China
In addition to the fear of technological leaks, other geopolitical factors contribute to the pause in government approval.

One is that Mexico seeks to maintain good relations with Donald Trump, who in turn announced tariffs on cross-border trade, threatening exports and jobs.

Trump did the same with Beijing, imposing higher taxes on imports from China. In response, China imposed tariffs on approximately $22 billion worth of US goods, primarily targeting the agricultural sector.

Trump's team accuses Mexico of being a “back door” for Chinese products to enter the United States without paying tariffs, taking advantage of the North American Free Trade Agreement.

The Mexican government denies these accusations, but has imposed new tariffs on Chinese textiles and initiated anti-dumping investigations against steel and aluminum products originating in China.

The FT says that the Mexican government would obviously like to receive more investment from China, but its trade relationship with the United States is much more important.

What BYD Will Do
When asked if US tariffs and Mexico's tougher stance toward China had halted the company's plans, Stella Li, BYD's executive vice president, said that "no decision has yet been made on the Mexico plant."

"There is different news every day, so we just have to do our job," she said. "More study is needed to see how we can satisfy and improve to offer the best result for everyone." In February 2024, Li had said they would choose the factory location before the end of 2024.

BYD reported sales of more than 40,000 vehicles in Mexico last year, and the brand expressed its desire to double sales volume and open 30 new dealerships in the country by 2025

www.merca20.com

La planta de BYD en México se retrasa por este temor

La aprobación de la planta de BYD en México se demora mientras la marca registra ventas récord en el país y tiene planes de crecimiento.
www.merca20.com www.merca20.com

The 40,000 BYD units sold in 2024 would place the brand as the thirteenth best-selling in the country, according to INEGI figures, very close to Suzuki and Honda (which sold 43,661 and 42,336 units, respectively).
www.eleconomista.com.mx

BYD vendió 40,000 unidades en el 2024

Para este año, la automotriz china tiene el objetivo de abrir 30 distribuidoras más en México.
www.eleconomista.com.mx www.eleconomista.com.mx

With a 4% market share, BYD has not only captured the attention of Mexican consumers but has also changed the game in the automotive industry.
america-retail.com

BYD irrumpe en el top 10 de ventas en México y desafía a las grandes

En 2024, la marca china BYD ha logrado un hito impresionante en el mercado automotriz mexicano, posicionándose en el top
america-retail.com america-retail.com
 
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Deputies Call for Raising Tariffs on Chinese Cars
The Chamber of Deputies proposed to the Ministry of Economy that it consider establishing a 25% tariff (currently between 15% and 20%) on imports of finished vehicles originating in China, lithium batteries, and high-value parts from that nation.

The Chamber of Deputies proposed to the Ministry of Economy that it consider establishing a 25% tariff (currently between 15% and 20%) on imports of finished vehicles originating in China, lithium batteries, and high-value parts from that nation, to reduce access to products from third countries with which Mexico does not have trade agreements and to align itself with the tariff policy imposed by the United States, strengthening the region.

Representative Miguel Ángel Sallin Alle, chairman of the Economy, Trade, and Competitiveness Committee of the Lower House, reported that he sent a Point of Agreement to the head of the Ministry of Economy, Marcelo Ebrard, to define a 25% tariff on vehicles manufactured in China and sold in Mexico, including all brands, including American ones.

www.eleconomista.com.mx

Diputados piden elevar aranceles a autos chinos

La Cámara de Diputados planteó a la Secretaría de Economía se analice establecer un arancel del 25% (actualmente es de entre 15% y 20%) a las importaciones
www.eleconomista.com.mx www.eleconomista.com.mx
 
Sinotruk signed a strategic cooperation agreement with Toyota Motor Corporation
Youdaoplaceholder0 2025-04-26

1745654287903.webp


On April 25th, Sinotruk and Toyota signed a strategic cooperation agreement at the Toyota headquarters in Nagoya, Japan. Man Shengang, the Party Secretary and Chairman of Shandong Heavy Industry Group, and Yoichi Miyazaki, Vice President of Toyota Motor Corporation, attended the signing ceremony and held a discussion and exchange. Ma Changhai, a member of the Party Committee and deputy general manager of Shandong Heavy Industry Group, and Mitsuasa Yamagata, general manager of Toyota's Hydrogen Energy Plant, attended the event.



Man Shengang said that Sinotruk and Toyota have been actively promoting the cooperative development of the hydrogen energy industry for a long time, and have made gratifying progress and practical results in the collaborative research and application of hydrogen fuel cell heavy-duty trucks and power systems. Shandong Heavy Industry has always adhered to the concept of open cooperation, working hand in hand with global industry giants. It hopes to deepen strategic cooperation with Toyota Motor in broader fields and at a higher level, achieving complementary advantages and jointly opening up the future.

Yoichi Miyazaki expressed his approval of the latest cooperation achievements made by both sides. He said that China is a huge potential market for the promotion and popularization of hydrogen energy, and long-distance heavy-duty trunk logistics vehicles are an important scenario highly suitable for the application of hydrogen energy. We look forward to deepening cooperation in the hydrogen energy industry between the two sides, jointly opening up broad development space in the future, and making greater contributions to the global carbon neutrality cause together.

Han Feng of Sinotruk Group and Shinichi Tanaka of Toyota Hydrogen Plant signed a strategic cooperation agreement on behalf of their respective companies. Toyota Motor Corporation possesses world-leading hydrogen fuel cell technology, and Sinotruk is a leading enterprise in China's commercial vehicle industry. The hydrogen fuel cell tractors jointly developed by the two sides have been delivered in batches to the market for application. In the future, the two sides will establish broader cooperation in areas such as joint research and development, demonstration operation, promotion and application, and business model innovation of hydrogen fuel commercial vehicles, and jointly create a new ecosystem for the zero-carbon logistics industry chain.
 
On April 24th, at the launch ceremony of the main event of "China Space Day", Shanghai Yuanxin Satellite Technology Co., Ltd. signed a strategic cooperation framework agreement with National Telecom Public Company Limited, the national telecommunications operator of Thailand. Both sides will work together to promote the development of Thailand's digital economy based on deepening cooperation in commercial aerospace and low-orbit satellite Internet business.

1745654488927.webp



It is reported that Yuanxin Satellite has reached a business cooperation agreement with Thailand's National Telecom in Thailand. Through the low-orbit satellite broadband network service capacity of the Qianfan constellation, they will enhance the satellite communication capabilities in remote areas of Thailand, jointly explore the market application of satellite broadband networks, and cultivate digital solutions, among other work.

The Qianfan constellation is a giant low-orbit satellite constellation that adopts a full-band, multi-layer and multi-orbit design. In the future, it will provide global users with low-latency, high-speed and highly reliable satellite (broadband) Internet services through a network composed of more than 15,000 satellites. Its first batch of networking satellites was successfully launched on August 6, 2024. The fifth batch of networking satellites was successfully launched in Wenchang, Hainan on March 12 this year in a "one rocket, 18 satellites" manner. Up to now, five batches of networking satellite launches have been completed, and the number of satellites in orbit has increased to 90.

Previously, Yuanxin Satellite has also reached relevant cooperation intentions with Brazilian state-owned communication enterprises, Malaysian satellite operation and solution providers, etc. Its overseas business is advancing in an orderly manner. The commercial application demonstrations of the Qianfan constellation on a global scale have covered scenarios such as smart ocean and smart agriculture.
 
Nibbler said:
China sers

Can you explain how your gdp is up 10% over the last two years while your industrial profits are down 2.5%

China's industrial profits up 0.8 pct in Q1

China's industrial profits up 0.8 pct in Q1-
english.news.cn
Click to expand...


Massive investment on EV, Chip, Batteries, renewable energy during the period.

Investments at up lots of profit on bookkeeping.

Now lots of EV companies start to make momey from 2024, after 4 to 10 yrs of high investment.



View: https://x.com/pronounced_kyle/status/1749194954377965673?t=gUDdprlsEXfoJRujIz2nCg&s=19


View: https://x.com/rwang07/status/1915369854103588946?t=DNgPYJc84klSVq3VKLnvJA&s=19
 
 
The 2025 Spring International Forum on Sustainable Nuclear Energy Development, hosted by the China Nuclear Energy Association, opened in Beijing on April 27. The "China Nuclear Energy Development Report (2025)" released during the forum shows that the global nuclear energy development is experiencing a comprehensive revival. According to the current construction speed and rhythm, China's operational nuclear power installed capacity will rank first in the world before 2030. It is estimated that by 2040, China's nuclear power installed capacity will reach 200 million kilowatts, accounting for approximately 10% of the total power generation.



It is reported that the "China Nuclear Energy Development Report", as an annual regular public publication, discloses important annual data on China's nuclear energy development to the public, objectively, fairly and professionally comprehensively reflecting and analyzing the development status and trends of China's nuclear energy industry. The "China Nuclear Energy Development Report (2025)" is jointly edited by the China Nuclear Energy Association, the China Nuclear Strategic Planning Research Institute, and the CIIC Science and Technology Evaluation Research Center. It is compiled by an expert team composed of leading industry groups.

The following is an excerpt from the report content:

China's nuclear energy industry has achieved new accomplishments in high-quality development

The installed capacity of nuclear power plants in operation and under construction has continued to grow. By the end of 2024, China had 57 commercial nuclear power units in operation, with a total installed capacity of 59.76 million kilowatts, ranking third in the world. In 2024, the average utilization hours of nuclear power equipment throughout the year were 7,797 hours, with a cumulative nuclear power generation of 444.7 billion kilowatt-hours, ranking second globally and accounting for 4.72% of the country's cumulative power generation. The annual equivalent reduction in carbon dioxide emissions was approximately 334 million tons, among which the nuclear power generation in Fujian and Liaoning provinces accounted for more than 20%. In 2024, China's commercial nuclear power units continued to operate safely and stably, with no operational events at or above the International Nuclear Event Scale (INES) level 1. Compared with the world's major nuclear power countries, China ranked first in both the number and average value of nuclear power units with a full score in the WANO comprehensive Index. Actively expand comprehensive utilization such as nuclear heating. During the 2024-2025 heating season, the area of nuclear heating will reach 14.02 million square meters. The "Heqi No.1" heating project, the first in the country to supply steam to a petrochemical park, has been completed and put into operation. By the end of 2024, China had 28 nuclear power units under construction with a total installed capacity of 33.7 million kilowatts. The installed capacity of the units under construction has remained the world's largest for 18 consecutive years. In 2024, the completed investment in nuclear power engineering construction reached 146.9 billion yuan, an increase of 52 billion yuan compared with the previous year, setting a new historical record.

The capabilities of the nuclear energy industry chain and supply chain have continued to improve. We will continue to strengthen the capacity layout of uranium mines, with northern sandstone as the main component and southern hard rock as a supplement. The construction of the largest domestic natural uranium production base in terms of capacity, "Guoyou No.1", has started. A uranium purification and conversion capacity of ten thousand tons has been formed. The uranium purification and conversion base and the uranium enrichment production line are operating stably, and the expansion of uranium enrichment capacity is advancing in an orderly manner. The processing capacity of nuclear fuel elements has ranked among the world's top, capable of meeting the demands of nuclear fuel elements for pressurized water reactors, heavy water reactors, high-temperature gas-cooled reactors and other units, and continuously promoting the application of CF3 self-owned brand nuclear fuel assemblies. The off-stack storage capacity of spent fuel combining dry and wet methods has been continuously enhanced, the construction of spent fuel reprocessing capacity has been steadily advanced, and a disposal pattern of "regional + centralized" for medium and low-level waste has been formed. In terms of nuclear power equipment manufacturing, China has achieved 100% domestic production of key nuclear power main equipment and independent control of key component technologies. By 2024, a total of 114 sets of nuclear power main equipment were delivered domestically, doubling the number in 2023.

The nuclear technology application industry is developing rapidly. Significant breakthroughs have been made in the independent supply capacity of isotopes. A variety of key medical isotopes such as lutetium-177, yttrium-90, radium-223, and iodine-125 have achieved batch production, and the independent production of stable isotopes such as high-abundance 13CO gas has made rapid progress. The series supply capacity of small tandem accelerators such as 2×1.7MeV and 2×3MeV has been broken through, and the first domestic S-band 10MeV/32kW high-power industrial irradiation electron accelerator has been successfully developed. The production layout system of radiopharmaceuticals has been further improved. The targeted diagnosis and treatment medicine production bases in North China and East China have entered the stage of production line installation and obtaining radiation safety licenses. A total of 37 nuclear medicine centers have been set up across the country, achieving full coverage of the production and sales of radiopharmaceuticals in major regions of the country. Several new radioactive drugs, including the first PET imaging agent for bone imaging in China - sodium fluoride [18F] injection, have been approved for marketing.

New progress has been made in nuclear energy technological innovation in our country

Advanced nuclear energy technology is accelerating its development in multiple fields. The first reactor of the National Science and technology major project "Hualong One" demonstration project was completed and put into operation, and technological improvement and optimization were promoted to form the overall implementation plan of "Hualong One +". Continuously carry out research and development as well as innovation in the operation and maintenance technology of high-temperature gas-cooled reactors. Based on the experience of engineering construction and operation and maintenance, Hualong One has continuously carried out technical improvement and optimization, and completed the preliminary design of the subsequent model standards and the preliminary safety analysis. The integrated closed-cycle fast reactor nuclear energy system has made a series of important advancements in aspects such as reactors, metallic fuels, and dry processing technologies. The 2MWt liquid fuel thorium-based molten salt experimental reactor achieved full-power operation. The outer dome of the "Linglong One" was successfully hoisted. The research and development of modular multi-functional small reactors, floating reactors, gas-cooled micro reactors, etc. is advancing in an orderly manner. Fusion devices such as China's Huan Liu 3, Dongfang Chao Huan and Honghuang 70 have continuously achieved new breakthroughs in experiments.

Nuclear fuel cycle technology continues to innovate. We have strengthened technological research and development in uranium exploration, mining and metallurgy, and established a prospecting technology system for sandstone-type uranium deposits in giant composite basins. The research and development of domestic advanced fuel assemblies such as SAF-14, STEP-12C, and CF-3S have been continuously advanced. The ATF accident-resistant fuel assembly completed the full-cycle commercial reactor operation test after three years. In terms of high-level radioactive waste treatment technology, the independently developed two-step cold crucible glass solidification technology is ready for engineering application. The problem of the glass curing formula for the ceramic electric melting furnace with waste liquid from the power stacking has been successfully overcome.

Meanwhile, China's international cooperation in nuclear energy has continuously made new progress. The construction of Unit 5 (C-5) of the Chashma Nuclear Power Plant in Pakistan, which adopts the "Hualong One" technology, has started. China has exported a total of 7 nuclear power units. We will continue to strengthen exchanges and cooperation with the International Atomic Energy Agency (IAEA), deeply participate in the construction of the International Thermonuclear Experimental Reactor (ITER) project, and open 12 nuclear research facilities and experimental platforms, including the China Advanced Research Reactor, to the world. Nuclear energy cooperation between China and Russia, China and France, China and Kazakhstan, etc. has been continuously expanded and deepened. The Rosin and Hushan uranium mines developed by China in Namibia in Africa have been operating safely and stably. Project cooperation has been carried out with countries such as Thailand, Bangladesh, Hungary, Poland and Nigeria in the application fields of nuclear technology such as nuclear medicine, nuclear agriculture and industrial irradiation.
 
China has successfully developed and launched the world's first high-speed submersible uncrewed vessel, a breakthrough in maritime engineering. The vessel -- "the Blue Whale" -- was launched Monday in Zhuhai, south China's Guangdong Province.

Measuring 11 meters in length and weighing 12 metric tons, the Blue Whale can reach surface speeds of 30 to 40 knots and travel hundreds of kilometers without refueling. It is capable of diving to depths of several dozen meters, conducting underwater navigation, and remaining submerged for extended periods. Designed to withstand harsh typhoon conditions, it can carry multiple sounding rockets, various sensors, and small unmanned systems.

Before a storm hits, it can submerge to avoid rough seas, while as the eye of a typhoon passes by, it can use equipped rockets and other equipment to gather vital oceanic and meteorological data.

The Blue Whale is expected to serve across a range of fields, from meteorological observation and underwater mapping to water sampling, photography, and the inspection of submarine cables and pipelines.

Following its launch, the Blue Whale will undergo a series of tests, including system calibration, mooring trials, dockside evaluations, and open-sea trials. It is expected to enter operational service as early as next year.


View: https://youtube.com/shorts/79RMvXO4Vi8?si=Z_l1ezQHQmrMpOmq
 
Trump Eases Tariffs on the Auto Industry; This Impact on Mexico
This measure benefits automotive brands that import auto parts
By
Omar Tinoco Morales

Apr 29, 2025 6:02 p.m. E

U.S. President Donald Trump arrives at Selfridge Air National Guard Base in Harrison Township, Michigan, U.S., April 29, 2025. REUTERS/Evelyn Hockstein
U.S. President Donald Trump signed a new executive order on Tuesday, April 29, to soften the impact of tariffs on automakers.

What is birth tourism? The new reason why the U.S. will withdraw visas for Mexicans?
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What is birth tourism? The new reason why the U.S. will withdraw visas for Mexicans?
This measure, through deductions, benefits automakers that import auto parts to the US. Mexico is one of the main export partners for auto parts.

Until now, automotive components from Canada and Mexico are exempt from tariffs if they comply with USMCA regulations.

Commercial vehicle seized that was intended to carry more than $1 million worth of cocaine from Mexico to the US
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Commercial vehicle seized that was intended to carry more than $1 million worth of cocaine from Mexico to the US
At this point, it should be noted that auto parts that comply with the free trade agreement will not pay tariffs, making the Mexican industry more competitive compared to other countries.

Vehicle manufacturers in the United States will be able to benefit from significant deductions in tariffs applied to imported parts, according to Trump's new provisions.


General Motors has two plants
General Motors has two plants in Coahuila and was one of the companies affected by the tariffs on Mexico. REUTERS/Daniel Becerril/File Photo
During the first year, they will have the option of deducting 15% from the recommended retail price of cars produced and sold in the country, while in the second year this deduction will be 10%.

This will apply to tariffs that reach 25% for certain components from abroad.

The automotive industry breathes life into the economy
The US president, who is celebrating his first 100 days in office, opted to soften the impact of the previously announced tariffs of up to 25% on imported parts and vehicles.

As part of a new strategy, the government approved a credit system of up to 15% of the value of vehicles assembled in the country, allowing this credit to be used to offset the costs of foreign parts.

Trump spoke about the reduction of tariffs on dozens of countries: "People were getting a little scared."
According to Trump, this will give manufacturers time to adjust their supply chains and gradually shift production to the United States.

In remarks before traveling to Michigan, the president described the measure as an attempt to mitigate the immediate complications of his policy.

"We didn't want to punish companies if they couldn't get the necessary parts. This will give them room to adapt," he said.

Michigan, considered the heart of the US auto industry, was the chosen setting to defend a policy that has received both criticism and praise.

This Tuesday, General Motors (GM) decided to withdraw its annual forecast, despite reporting solid sales and profit performance for the last quarter. In an unexpected turn of events, the company also postponed a conference call with analysts, pending further details on the changes implemented by the White House.
www.infobae.com

Trump suaviza aranceles a la industria automotriz; así impacta a México

Esta medida beneficia a las marcas automotrices que importan piezas de automóviles
www.infobae.com www.infobae.com

BYD Mexico Plant in Limbo as ‘China Fears EV Tech Leaking to US’​

March 19, 2025

www.asiafinancial.com

BYD Mexico Plant in Limbo as 'China Fears EV Tech Leaking to US'

The future of Chinese auto giant BYD’s proposed plant in Mexico remains uncertain amid concerns in Beijing about its tech secrets
www.asiafinancial.com www.asiafinancial.com

Deputies call for increased tariffs on Chinese cars
The Chamber of Deputies proposed to the Ministry of Economy that it consider establishing a 25% tariff (currently between 15% and 20%) on imports of finished vehicles originating in China, lithium batteries, and high-value parts from that nation.

www.eleconomista.com.mx

Diputados piden elevar aranceles a autos chinos

La Cámara de Diputados planteó a la Secretaría de Economía se analice establecer un arancel del 25% (actualmente es de entre 15% y 20%) a las importaciones
www.eleconomista.com.mx www.eleconomista.com.mx

The United States government is finding support in Mexico in its trade war against China, and the administration of President Claudia Sheinbaum proposed to Washington to equalize tariffs on products from the Asian giant as a bloc, with the three North American countries as a bloc, says the Secretary of the United States Treasury, Scott Bessen.


Bloomberg reported, citing sources close to the tariff enforcement system, that Mexico's tariffs on China would focus on automobiles, auto parts, and finished products originating in the Asian giant.

www.cronica.com.mx

México propuso a EU igualar aranceles a productos chinos, asegura secretario del Tesoro

www.cronica.com.mx www.cronica.com.mx
 
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