$MingZhu Logistics Holdings Lt_老虎社区_美港股上老虎

DesmondSeng
2021-08-18

1. I used to run business in China. When you invest in PRC the local governments provide you with land and tax incentives. Those costs are in turn subsidized by expensive residential real estate.

2. Road transportation is highly subsidised as the government build and maintain (million) miles and miles of highways to enable trade and expensed CAPEX to support GDP growth.

3. The depreciation of road trains or large trucksare much longer in PRC as compared to say Australia. Hence the Free-cash-flow for trucking transport companies are much better in PRC.

4. This is a good cash flow business. Easy to understand.

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