Highlighted links for Thursday, October 27, 2022

Below are links to other noteworthy reports published in the last 24 hours from and about China.

BUSINESS AND TECHNOLOGY:

Who will lead China’s embattled economy?
China’s top legislature ‘deliberates’ on new nominations, as leadership reshuffle stokes market turmoil / SCMP (paywall)
“The National People’s Congress (NPC) standing committee, which convened a meeting from Wednesday to Sunday, may have begun top political appointments, including vice-premier postings that are critical to China’s economy.”

Morgan Stanley isn’t hopeful about China’s new leadership
Morgan Stanley slashes China stock outlook after Party Congress / Bloomberg (paywall)
“Morgan Stanley has slashed targets for key China equity gauges across scenarios, creating a wider dispersion between its bull and bear cases as President Xí Jìnpíng 习近平 tightens his grip over the nation’s power structure.”
The next era of reform / Sixth Tone
“China has ambitious development goals. Meeting them will require even more commitment to reform.”

Chinese cars are selling like hotcakes worldwide
China’s auto exports surpass last year’s total as BYD sees biggest growth / TechNode
“Car manufacturers in China shipped around 2.26 million vehicles in the first nine months of 2022, up 51.6% from a year earlier and exceeding last year’s total unit export of 2.12 million, according to the latest official customs data.”

Huawei treads water amid U.S. sanctions
China’s Huawei slows its long decline under U.S. sanctions as revenues improve / Reuters
“China’s Huawei Technologies reported modest revenue growth for a second quarter on Thursday, citing steady growth in its ICT infrastructure business as it finds its footing after U.S. sanctions knocked its once mighty handset business.”

Small firms aren’t hiring in China
Hiring at China’s small firms fails to pick up from record low / Bloomberg (paywall)
“Hiring activities by China’s smaller companies were near a record low last month, underscoring how the slump due to a property downturn and COVID zero controls is hitting firms which are the backbone of the economy.”

Boeing bets China will bounce back from COVID zero
Boeing releases a bullish 20-year forecast for China’s commercial jet market / Bloomberg (paywall)
“Boeing Co. released a bullish 20-year forecast for China’s commercial jet market, confident that the country can emerge from the challenges of COVID and a slowing economy and be a major driver of sales.”

iPhone maker Foxconn wounded by COVID curbs
Exclusive: World’s largest iPhone factory in China hit by COVID-19, Foxconn confirms / SCMP (paywall)
Foxconn iPhone factory in China reels from COVID outbreak / FT (paywall)

JD.com slims down abroad
JD.com to shut down Europe business and cut back in Southeast Asia / Pandaily
“News that Chinese ecommerce giant JD.com ‘s international business operations will undergo major adjustments has recently spread within the company.”

China’s energy giant posts record profits
PetroChina posts record $16.7 billion net income in Jan to Sept period / Channel NewsAsia
“Asia’s largest oil and gas producer PetroChina reported a 60% year-on-year rise in nine-month net profit to record highs, lifted by stronger global energy prices, even as weaker domestic fuel consumption continued to drag on earnings.”

Foreign firms and the fortress of data on WeChat
China data privacy laws, WeChat muddy cross-border inquiries / Bloomberg (paywall)
“Perkins Coie attorneys explain how China’s new data security laws and use of third-party apps, such as WeChat, by Chinese employees create significant obstacles for companies conducting internal investigations in the country.”

Apple’s iPhone pulls ahead while other smartphones slump
China’s smartphone shipments slumped 23% in Jan-Aug / TechCrunch
“The world’s largest market for smartphones shipped 175.1 million handsets between January and August, marking a sharp 22.9% decline year-over-year, according to research from a state-backed institution.”
China smartphone shipments slid 11% in Q3, research firm says / Reuters
Apple defies China’s smartphone slump to post strong third quarter sales as local brands suffer / SCMP (paywall)

China’s booming digital yuan
China’s digital yuan stands out in cross-border pilot in a show of global ambition / Reuters
“China’s digital currency, or e-CNY, was the most issued, and actively transacted token in the $22 million pilot that used CBDCs to settle cross-border trades, a Bank of International Settlement (BIS) report showed.”

Livestream sales have China cuckoo for coconuts
Southeast Asian coconuts gain popularity in China / Bangkok Post
“Livestreaming on Chinese ecommerce platforms has become an important method for fruit merchants to expand sales channels. The online sales of coconuts from Southeast Asia are booming.”

SCIENCE, HEALTH, AND ENVIRONMENT:

Lockdowns of various degrees all over China
Cities across China double down on COVID-19 controls / SCMP (paywall)
China locks down part of Wuhan, nearly three years after first COVID case emerged / Guardian

Panda protection
Legal protection of Giant Panda National Park to be strengthened / CGTN
“On October 25, the Higher People’s Court of Sichuan Province in southwest China issued opinions on offering high-quality legal protection services to the Giant Panda National Park.”

AIIB warns against fossil fuel power plants amid global energy crisis
China-backed AIIB warns governments not to panic-build fossil fuel power stations / Reuters
“The China-backed Asian Infrastructure Investment Bank (AIIB) has warned governments against building new fossil fuel power stations out of panic during the current global energy crisis, saying such moves could result in decades of environmental harm.”

POLITICS AND FOREIGN AFFAIRS:

State media says top officials quit by choice amid speculation on Party Congress
China Communist Party officials ‘offered’ to quit top ranks: Xinhua / Nikkei Asia (paywall)
“Certain top Chinese Communist Party officials voluntarily stepped down from leadership, the state-run Xinhua News Agency reported, apparently referring to the surprise retirements of Premier Lǐ Kèqiáng 李克强 and previous No. 4 Wāng Yáng 汪洋.”

Hong Kong’s No. 3 catches COVID in Saudi Arabia
Hong Kong finance chief stranded in Saudi Arabia after testing positive for COVID-19 / HKFP
“The city’s number three official had been set to return to Hong Kong on Thursday after attending the sixth Future Investment Initiative in Riyadh.”

Pakistan and China build up infrastructure ties
Pakistan, China aim to jump-start Belt and Road plans in key talks / Nikkei Asia (paywall)
“Pakistan and China aim to revive Belt and Road projects in the South Asian country at an annual huddle, scheduled to take place virtually on Thursday.”
CPEC to boost Pakistan’s agricultural modernization and food industrialization / Nation
“CPEC will boost Pakistan’s agricultural modernization and food industrialization, Gwadar Pro reported on Thursday.”

Is a China propaganda campaign urging U.S. citizens not to vote?
Pro-China influence campaign targeting U.S. midterms: Report / Al Jazeera
“A pro-China online influence campaign is seeking to discredit the United States’ democracy and discourage citizens from voting in the upcoming midterm elections, according to cybersecurity researchers.”

More on Germany’s controversial port deal with China
Germany gives Cosco subsidiary green light for Hamburg port investment / Caixin (paywall)
Boss of Germany’s BASF warns against ‘China bashing’ / AFP via WSJ (paywall)
Germany, France divided over energy crisis and China / WSJ (paywall)

Powerful Xi
Xi Jinping is China’s most audacious leader for decades, argues Kevin Rudd / Economist

China is still the backbone of international students in the U.S.
China still top source of international students in U.S. despite tensions / SCMP (paywall)
“Over 155,000 U.S. visas have been issued to Chinese students and scholars since May of last year, making China the top source of international students in the United States for the 12th consecutive year despite rising tensions.”

Tanzania joins list of countries paying visit to China following Party Congress
Tanzania president to visit China from Nov 2-4- Chinese state media / Reuters
“Tanzania President Samia Suluhu Hassan will visit China from Nov. 2-4, Chinese state television reported on Thursday.”

China builds support for Xinjiang policies in Africa
China’s messaging to Africa on Xinjiang in action / China-Global South Project (paywall)
“China has cultivated support in the Global South for its much-criticized measures against Muslim minorities in Xinjiang.”

Taiwan strengthens ties with Latvia, Lithuania, and Somaliland
Taiwanese troops to serve in Somaliland / China-Global South Project (paywall)
“For the first time, the disputed African region of Somaliland will be included in 14 countries and territories that will host Taiwanese soldiers as part of an alternative directive that allows them to do their national military service overseas.”
Taiwan delegation looks to build tech ties with Latvia, Lithuania amid China tensions / SCMP (paywall)
“A six-person delegation from Taiwan is visiting Latvia and Lithuania this week as part of the island’s effort to expand its international influence in terms of technology.”

Blinken rebukes China’s plans for Taiwan, while Russia nods
China has rejected understanding with U.S. on Taiwan, Blinken says / Al Jazeera
“China had altered a decades-old understanding between Washington and Beijing on dealing with issues related to the status of Taiwan and is now holding up the possibility of using force, United States Secretary of State Antony Blinken has said.”
Russia’s Sechin says Taiwan will return to China ‘on schedule’ / Reuters
“One of Russian President Vladimir Putin’s closest allies, oil chief Igor Sechin, on Thursday heaped praise on China’s leadership, quipping that Taiwan would return to its ‘native harbor’ on time.”

SOCIETY AND CULTURE:

Everyone loves a hearty buffet
‘Consumption downgrade’: Buffets in China enjoy a revival / Sixth Tone
“Many popular buffet chains have swung back with more branches over the past two years, offering value-for-money meals in several cities. Other restaurants are also hopping on the buffet bandwagon this year by incorporating the pandemic-prompted self-service style of dining.”

Dog training schools
Meet the slobbering students of China’s newest training schools / World of Chinese
“Urban dog-owners turn to training schools for help with their pets, but controversies persist about training methods and lack of regulation in the industry.”