Links for Tuesday, July 21, 2020

BUSINESS AND TECHNOLOGY:

• Despite posturing, Australia still wants China as a business partner
  Crisis forces Australia and China closer / Reuters
  “Australia and China are stuck with each other despite diplomatic tensions. Supply disruptions in Brazil and weak global demand have left the two trading partners even more dependent on each other, which is letting miners BHP and Rio Tinto cash in on Beijing’s infrastructure stimulus.”
  Australia taps China ‘knowledge boom’ despite espionage fears / FT (paywall)
  “For more than a decade Australia enjoyed a China-led mining boom that fueled economic growth. Now, it is basking in a ‘knowledge boom’, as China overtakes the U.S. as the nation’s leading international partner in producing scientific publications.”
• Trump says “Buy American,” but his businesses buy Chinese
  Trump blasts Beijing in public, but privately Trump org imports tons of Chinese goods / CNN
  “Since September of last year, Trump properties in the U.S. have imported more than eight tons of goods from China…Trump has said he left the running of his business empire to his sons when he became President but did not completely relinquish control of the companies in which he still has stake, and it is unclear how much of a role, if any, he plays in the day-to-day business.”
• Beijing pretends that its tech policies are reciprocal
  If Nokia and Ericsson can operate in China, our firms should be treated fairly in Europe: Beijing spokesman / SCMP

• China’s foreign ministry spokesman calls ‘fake news’ on report that Beijing is considering export reprisal against European telecoms if EU bans Huawei
• But he said China expected to trade in a ‘business environment that’s fair, open and indiscriminate’

• The WSJ report that China is denying: China may retaliate against Nokia and Ericsson if E.U. countries move to ban Huawei.
• Economic uncertainty drives down rents
  In China’s surging property market, falling rents point to economic pain / WSJ (porous paywall)
  “Rents in China’s big cities have been falling in recent weeks, a sign of economic uncertainty in China’s otherwise gravity-defying residential property market.”
• Didi to join Ant in Hong Kong listing?
  Didi rides toward Hong Kong IPO, source says / Caixin (paywall)
  “The movement is being driven by some of the company’s nearly 100 investors, which include Japan’s SoftBank that poured more than $10 billion into Didi between 2015 and 2018 and is current its largest investor. The company’s other major investors include global tech giant Apple, which in 2016 announced its own $1 billion investment.”
  Ant Group is said to pick banks for $10 billion Hong Kong IPO / Bloomberg (porous paywall)
• Investment bank CICC moves from Hong Kong to the mainland
  Investment bank CICC plans to triple size of mainland IPO / Caixin (paywall)
  “Hong Kong-listed CICC will issue up to 1.4 billion shares on the Shanghai Stock Exchange, up from the 458.6 million shares in the initial plan in late February, according to a company statement on Monday. The new shares will amount to as much as 24.77% of its total shares after the offering.”
• Tencent’s e-literature publisher warns of a net loss
  Tencent-backed online publisher China Literature warns of net losses in first half of 2020 / Caixin (paywall)
• Stealing faces
  Investigation reveals your face worth just 7 cents to scammers in China / Caixin (paywall)
• South Africa’s WeChat
  Vodacom and Alipay team up to develop WeChat-like app / Caixin
  “South African mobile operator Vodacom Group has selected Alibaba-owned Alipay as the technology provider for its upcoming WeChat-like app that will help South African users manage business and day-to-day activities. The app will offer small and medium-sized enterprises access to a litany of financial services such as lending and insurance.”
• India can’t kick its Chinese smartphone addiction
  Chinese smartphones thrive in India despite tensions / Caixin
  “China’s top four smartphone brands in India extended their market dominance in the second quarter by increasing their share to 75.1% from 66.1% a year earlier, according to research firm Canalys.”
• Medical insurance for pets
  The nose knows: Alipay uses nose prints to ID dogs and cats / Caixin (paywall)
  “Alipay, the online payment service of Ant Group, for the first time introduced nose print recognition technology for cats and dogs in its newly launched medical insurance products for pets… Pet owners can pay between 199 yuan and 700 yuan ($28.50–$100) a year to have their pet dogs and cats covered for multiple common diseases and injuries.”
• China hasn’t stopped buying U.S. debt
  China bought more U.S. debt in May despite talk of financial war amid rising trans-Pacific tensions / SCMP
• Scalpers reap profits from film enthusiasts
  Film festival tickets scalped for $215 on secondhand marketplace / Sixth Tone
  “Some of those tickets are being resold for up to 1,500 yuan ($215) on secondhand marketplaces like Xianyu. Most tickets were originally priced between 60 yuan to 80 yuan.”
• South Korea’s Google exits Hong Kong
  South Korea’s Naver relocates Hong Kong data center to Singapore / FT (paywall)
  “Naver — a Google rival that dominates the South Korean market for web services and owns a majority of Japan-based WhatsApp competitor Line — confirmed it was relocating its data backup center from Hong Kong to an expanded site in Singapore.”
• TikTok’s Chinese co-creator switches departments
  TikTok’s former chief to oversee investment at ByteDance / Bloomberg (porous paywall)
  “TikTok’s co-creator and former chief [Alex Zhu] will oversee ByteDance Ltd.’s investment arm, heading up the search for the company’s next breakthrough app and stepping further away from the viral video sensation that’s been caught in the cross-hairs of U.S.-China tensions.”

SCIENCE, HEALTH, AND THE ENVIRONMENT:

• Beijing touts WHO inquiry as evidence of its transparency
  China uses WHO inquiry to tout coronavirus response / NYT (porous paywall)
  “Chinese officials are hailing a visit by a team of experts sent to Beijing by the World Health Organization to investigate the source of the coronavirus as evidence that the country is a responsible and transparent global power. But the investigation by the W.H.O. is likely to take many months and could face delays.”
• To enter China, bring a negative test
  China demands passengers on international flights take COVID-19 test before arrival / Caixin (paywall)
  “International flight passengers, including Chinese citizens, will be required to provide valid nucleic acid test (NAT) results taken within five days of arriving in China, according to a statement (link in Chinese) released Tuesday by China’s civil aviation administration.”
• Promising vaccines
  U.K. and China report preliminary success of experimental coronavirus vaccines / NPR
  “Reports published in The Lancet don’t demonstrate that these vaccines are safe and effective, but the groundwork is now laid to find out.”
• The new space race
  China’s ambitious plans to land rover on Mars next year / Caixin (paywall)
  U.S. and China to launch Mars missions, vying for space supremacy / WSJ (porous paywall)
  Josh Chin on Twitter: “The planets have aligned, literally, for the next phase of the U.S.-China space race. Whatever you thought of ‘Space Force,’ the real-life competition promises to be gripping.”
• Mass resignation mystery
  Vice premier sends team to investigate mass resignations of scientists / Caixin (paywall)
  “China’s Vice Premier Liú Hè 刘鹤 said on Tuesday that the State Council would dispatch a team to investigate mass resignations at the Chinese Academy of Sciences’ Institute of Physical Science in Hefei, East China’s Anhui province, according to the academy’s official website.”
• A leap in progress for cancer screening
  Researchers unveil test that can detect cancer years before symptoms / Guardian
  “A team led by researchers in China say the non-invasive blood test – called PanSeer – detects cancer in 95% of individuals who have no symptoms but later receive a diagnosis…They said the test was unlikely to be predicting cancer but rather picking up on cancerous growths that had not yet caused symptoms or been spotted by other methods.”

POLITICS AND CURRENT AFFAIRS:

• U.S. and India draw closer
  U.S. House of Representatives passes amendment slamming Chinese aggression against India / Times of India
  “The U.S. House of Representatives has unanimously passed an amendment to the National Defense Authorization Act (NDAA), slamming China’s aggression against India in the Galwan Valley and its growing territorial assertiveness in and around disputed areas like the South China Sea.”
  India and U.S. conduct joint military exercises in Indian Ocean / SCMP
  In signal to China, U.S. & India conduct joint naval exercise / Times of India
• Multiple naval exercises by U.S. and partners
  U.S. holds naval exercises with allies in Asia amid China tension / Reuters

The USS Nimitz and the USS Ronald Reagan were deployed to the South China Sea twice this month but this week, the Nimitz was in the Indian Ocean for exercises with the Indian navy, the U.S. navy said, in the latest sign of growing cooperation between the forces…

Separately, the U.S. strike group led by the Ronald Reagan was carrying out drills with naval forces from Japan and Australia in the Philippine Sea, U.S. and Australian officials said on Tuesday.

• Beware of U.S. ‘sabotage,’ Beijing warns Southeast Asia / SCMP
• New U.S. Senate report criticizes China
  U.S. Senate report accuses China of ‘digital authoritarianism’ / Reuters
• U.S. launches a counteroffensive against Chinese hacking
  U.S. accuses two hackers of stealing secrets from U.S. firms for China / WSJ (porous paywall)
  U.S. charges two Chinese spies for a global hacking campaign that targeted COVID-19 research / TechCrunch
  U.S. says Chinese hackers stole trade secrets, sought virus data / Bloomberg (porous paywall)
• U.K. actions on Hong Kong will have recourse, according to Beijing
  China vows ‘forceful counter-attack’ in escalating row with Britain over Hong Kong / Reuters
  See on The China Project yesterday: U.K. suspends Hong Kong extradition, but won’t ‘completely abandon’ engagement with China
• Flooding threatens the Three Gorges Dam
  Worst flooding in decades raises concerns over China’s Three Gorges Dam / WSJ (porous paywall)
  “Two months of unusually powerful rains in central and southern China have swelled the Yangtze River, triggering the worst flooding in decades and raising concerns about the Three Gorges Dam, the world’s largest hydroelectric facility.”
• In Canada, economic ties with China are not popular
  Most Canadians think Trudeau should rely less on trade with China: Ipsos poll – National / Global News
• A crackdown on legal misconduct
  Justice ministry orders lawyers to quit illegal part-time jobs / Caixin (paywall)
  “China’s Ministry of Justice has ordered lawyers to quit illegal part-time positions in response to the infamous alleged sexual assault case of former ZTE director and lawyer Bào Yùmíng 鲍毓明… Those who still practice as full-time lawyers in China after losing their Chinese citizenship will also face consequences.”
• Shanghai’s acting mayor will stay for the long term
  China appoints Gong Zheng as mayor of Shanghai / Reuters
  “China’s Shanghai government said on Tuesday it had appointed Gōng Zhēng 龚正 as the city’s mayor, according to a statement posted on its WeChat account… He was previously the city’s acting mayor, having been appointed to the position in March.”
• Visiting Stanford researcher is accused of covering up China ties
  Visiting Stanford researcher from China accused of visa fraud / SF Chronicle
  “A Chinese woman who is a visiting medical researcher at Stanford University was charged Monday with lying about her affiliation with China’s military on her U.S. visa application.”
• Xu Zhangrun continues to speak out, despite firing
  Hundreds chip in to support sacked Xi critic / AFP

Hundreds of former students have come to the support of a law professor fired from an elite Chinese university for his outspoken criticism of President Xi Jinping, raising more than 100,000 yuan ($14,300) in donations.

Xǔ Zhāngrùn 许章润, who taught at Tsinghua University for over 20 years, wrote an open letter to thank almost 600 alumni of the Beijing institution for their backing…

“The evil nature of the political system will not change,” he wrote.

“For each day that we remain alive, we will keep calling out, for this is our responsibility and also our destiny.”

• A new holiday celebrates China’s polic
  国务院关于同意设立“中国人民警察节”的批复 / Chinese State Council
  China Law Translate / Jeremy Daum on Twitter: “January 10 has been declared ‘Police Day’ in China beginning in 2020.”

SOCIETY AND CULTURE:

• The cartoons of Tango Gao
  Tango: The dangerous dance of China’s zany cartoonist / Sixth Tone
  The popular cartoons by Tango Gao (Gāo Yòujūn 高幼军) may seem innocent and playful, but they have drawn criticism for both sexism and anti-Chinese sentiment. The artist is happy to debate critics.
  Read The China Project’s profile of Tango Gao: Tango Gao finds art and humor in the mundane.
• Quarantine loneliness spells profits for sex doll companies
  Dylan Levi King on Twitter: “An adult doll company in Shenzhen announced a doubling of sales during the pandemic. The vast majority of the robot girlfriends went to Europe, North America, and Japan.”