Highlighted Links for Tuesday, July 19, 2022

Below are links to other noteworthy reports published in the last 24 hours from and about China. Click through to our China NewsBase to see all the other stories we collected today.

BUSINESS AND TECHNOLOGY:

Debt-ridden developers drag down their suppliers
Suppliers of delinquent developers complain they can’t pay their bills / Caixin (paywall)
“Hundreds of landscapers, construction companies, sculpture-makers and other suppliers to China’s real estate industry have complained that they can no longer afford to pay their bills because some developers, including the deeply indebted China Evergrande Group, still owe them money.”

Wealthy Chinese want to leave the country, but Xi may make them stay
Rich Chinese worth $48 billion want to leave — but will Xi let them? / Bloomberg (paywall)
“Some 10,000 wealthy Chinese are looking to leave in the wake of punishing lockdowns and an economic slowdown. The question is whether they’ll be able to.”

Chinese banks to forfeit $4.6 billion under payment holiday plan
China banks to forfeit $4.6 billion on mortgage break, Citi says / Bloomberg (paywall)
“Chinese banks would forfeit 31 billion yuan ($4.6 billion) of interest income from mortgages under a proposal to give home buyers in stalled projects a temporary payment holiday, according to estimates from Citigroup Inc.”

Manolo Blahnik can use his name in China after more than two decades of battle
Manolo Blahnik wins 22-year legal fight over China trademark / FT (paywall)
“British shoe designer Manolo Blahnik has won the right to use his name in China for the first time, ending a costly 22-year legal battle.”
Manolo Blahnik says it wins a 22-year legal fight over its name in China / WSJ (paywall)

China’s U.S. debt holdings drop below $1 trillion — the first time since 2010
China holdings of U.S. debt fall below $1 trillion for the first time since 2010 / CNBC
“China’s holdings of U.S. debt have fallen below $1 trillion for the first time in 12 years amid rising interest rates that have made Treasurys potentially less attractive.”
China’s U.S. Treasury holdings dip below $1 trillion for first time in more than a decade / Caixin (paywall)

Chinese EV makers are gunning for camping enthusiasts
Chinese carmakers roll out electric models catering to camping craze / Bloomberg (paywall)
“China’s electric-vehicle makers have discovered a new fan base: camping enthusiasts who’ve embraced the great outdoors in their own backyard as the nation’s strict COVID-zero measures make international travel off-limits.”

SCIENCE, HEALTH, AND ENVIRONMENT:

Heat wave forces China to burn through its factories’ limited fuel reserves
Searing heat tests China’s ability to keep its factories running / Bloomberg (paywall)
“A persistent heat wave is hobbling China’s ability to keep its factories operating as virus curbs disrupt the supply of coal and inventories of the fuel run low. The government’s pledge to prevent a repeat of the power outages that crippled industry last year is being sorely tested by the summer heat.”

Tianjin gas explosion leaves three missing and 11 injured
3 missing in gas explosion in major north China port city / AP
“A gas explosion after a partial building collapse in the northern Chinese port city of Tianjin on Tuesday morning left three people missing and 11 injured. The event remains under investigation, but it appears to point to the deterioration of infrastructure following more than three decades of breakneck economic growth.”

POLITICS AND FOREIGN AFFAIRS:

U.S. steps up plans to compete with China
Yellen calls for trade overhaul to diversify from China / WSJ (paywall)
U.S., allies cannot allow China to dominate raw materials, technologies – Yellen / Reuters
Yellen calls out China trade practices in South Korea visit / AP
U.S. Senate to vote on Tuesday on slimmed-down China semiconductor bill / Reuters
Senate eyes votes on computer chip bill that drastically slims U.S.-China competition plans / Politico

China casts a shadow over Biden’s efforts to mend ties with Saudi Arabia
China stands in the way of Biden’s Saudi outreach / Politico
Saudi Arabia’s ties to the U.S. and China are not mutually exclusive, minister says / CNBC
“President Joe Biden will travel to Saudi Arabia on Friday to try to repair a rocky relationship that threatens to create a power vacuum. Biden isn’t hiding his concerns about the threat China poses. Washington has been long been Riyadh’s superpower patron of choice, but Beijing is waiting in the wings.”

Russia-China gas pipeline to begin construction in 2024, says Mongolia
Mongolia says Russia-China gas pipeline will break ground in 2024 / FT (paywall)
“Mongolia expects Russia to begin construction of the ‘Power of Siberia 2’ gas pipeline through its territory to China within two years, as Moscow moves to connect its Europe-supplying gasfields to Asia for the first time.”

Pakistan’s local leaders threaten Chinese investments
Pakistan’s Belt and Road revival at risk as Gwadar protest brews / Nikkei Asia (paywall)
“The leader of a local rights movement in the Pakistani coastal town of Gwadar is threatening to launch a large sit-in protest this week, potentially jeopardizing the government’s efforts to revitalize development around the Chinese-controlled port.”
Earlier on The China Project: China in South Asia: Bombs in Pakistan and debt bombs in Sri Lanka.
Also earlier: Failed suicide bombing in Pakistan sends more chills down Beijing’s spine.

After massive scandal, depositors in Henan start receiving compensations
Swindled depositors in Henan start getting their money bank / Caixin (paywall)
Depositors caught up in a massive rural bank scandal started receiving compensation as regulators called for patience to ease public outrage and concerns over systemic risks.
Last week on The China Project: Another protest erupts over the billion-dollar bank fraud in Henan.

Questions over Chinese loans for BRI projects in Manila
Manila wants to revisit Chinese loans for 3 rail projects as analysts warn of ‘risks’ / SCMP (paywall)
“As Manila says it will return to the negotiating table for Chinese loans to fund three rail projects, analysts are warning of the risks of such loans under Beijing’s Belt and Road Initiative at a time of global economic uncertainty.”

SOCIETY AND CULTURE:

Chinese women turn to surfskating amid COVID curbs
Amid COVID shutdowns, Chinese women flock to skateboarding / Reuters
“Surfskating, a novice-friendly version of skateboarding that uses a more flexible front-end wheel assembly, known as a truck, to enable deeply carved turns akin to surfing, has taken off in Chinese cities since the spring, especially among women.”

Backlash over Syrian town shoot in Jackie Chan movie
Jackie Chan-produced action movie films in devastated Syrian city / The Guardian
“A Chinese action film executive-produced by Jackie Chan has triggered outrage after shooting scenes in al-Hajar al-Aswad, a Syrian town destroyed in the civil war.”