Highlighted links for May 23, 2023

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

BUSINESS AND TECHNOLOGY:

Consumerism
Beyond saving: In China, young shoppers are locked out of luxury / Sixth Tone
“Over a period of four years, the price of luxury goods has almost doubled. But with their salaries stagnant, young consumers are now forced to decide between indulgence and financial stability.”

Crypto
Hong Kong lets retail investors trade crypto in new rules / Bloomberg (paywall)
“Hong Kong said retail investors can trade crypto under its new rulebook for the sector, stepping up a drive to develop a digital-asset hub even as the industry and regulators clash elsewhere in Asia.”

AI
Scammers dupe man of millions using AI-cloned voice and face / Sixth Tone
“Mimicking his friend in a video call, con artists convinced a tech company owner to transfer money to their own account.”

Local debt
China’s effort to move mountain of ‘hidden debt’ faces uphill climb / Caixin (paywall)
“As China’s economic growth gets back on track after three years of pandemic, efforts to tackle the mountain of so-called “hidden debt” accumulated by local governments have reemerged as a priority on the agendas of top policymakers.”

Micron ban
Samsung and SK Hynix may benefit from China’s Micron ban / Caixin (paywall)
“South Korean memory-chip makers Samsung Electronics Co. and SK Hynix Inc. are expected to benefit from China’s ban on U.S. rival Micron Technology Inc.’s products.”
China’s Micron ban creates chip dilemma for Samsung, SK Hynix / Nikkei Asia (paywall)
Xi’s Micron ban shows China’s limited options to hit back at U.S. / Bloomberg (paywall)
“China’s move to ban Micron Technology Inc.’s products marked its most meaningful retaliation yet against U.S. export controls. Now the question is whether President [Xí Jìnpíng 习近平] will go after even bigger targets, risking blowback to his own economy.”

Semiconductors
China fears Japan’s chipmaking curbs go further than U.S. restrictions / FT (paywall)
“China’s semiconductor industry fears Japanese curbs on exports of crucial chipmaking equipment will be so broad that they risk hitting its production of lower-grade silicon, used in everything from cars to washing machines.”

Youth unemployment
China has a youth unemployment problem because college grads are waiting for jobs that don’t exist / WSJ (paywall)
“China’s failure to reverse a sharp rise in youth unemployment is becoming a bigger headache for Beijing, with many economists saying the problem reflects a jobs mismatch that could defy government solutions for years.”

Alibaba
Alibaba’s cloud unit to cut 7% of staff in overhaul / Reuters
“Alibaba Group Holding Ltd’s, cloud unit has started a round of downsizing that will impact 7% of the staff as it streamlines its business in preparation for an IPO, a source familiar with the matter said on Tuesday.”

SCIENCE, HEALTH, AND ENVIRONMENT:

Power shortages
Power concerns loom as demand hits record high in Southern China / Sixth Tone
“The worst of the heat wave is yet to come, but the threat of a power shortage is already looming large with electricity consumption in China’s southern provinces hitting new highs since the beginning of this year.”

Research
China was the biggest contributor to research in top science journals last year / SCMP (paywall)
“China has surpassed the United States for the first time to become the biggest contributor to research articles published in top science journals last year, according to a database of author affiliations.”

Energy reforms
In the race to ‘net zero,’ China shouldn’t overlook the private sector / Sixth Tone
“Private firms helped power the country’s green transition. Now some worry about their place in China’s future.”

POLITICS AND FOREIGN AFFAIRS:

Hong Kong
Hong Kong leader condemns unusual uptick in registration withdrawals from organ donation system / AP
“According to the government, the city’s centralized organ donation registration system received nearly 5,800 withdrawal applications in the five months since December, when the government raised the possibility of establishing an organ transplant mutual assistance program with mainland China.”

U.S.-China competition
U.S. tries to reel in Pacific islands as China tests new waters / SCMP (paywall)
“Washington plans new embassies and a $810 million strategy for the Pacific as island nations become key arena for competition. Despite ‘substantial gains’ in the region, Beijing must avoid ‘premature lurches’ in building up security and military presence.”
China’s fishing fleet embroiled in rising tensions with U.S. / FT (paywall)
“From the waters of the Pacific Ocean to the coasts of Antarctica and Africa, China’s fishing fleet is emerging as a new geopolitical flashpoint between Washington and Beijing.”
New Chinese ambassador departs for the U.S. under a cloud of uncertainty / WSJ (paywall)
“China’s new ambassador to the U.S. is set to arrive in Washington to take up his post on Tuesday, a potential signal of Beijing’s willingness to improve communications despite a recent cascade of diplomatic dust-ups.”
Biden sees coming ‘thaw’ with China, even as he rallies allies against Beijing / NYT (paywall)
“During the Group of 7 meeting that just wrapped up, President Biden forged a consensus approach toward China despite tensions between the major powers over their approach.”

G7
G7’s nuanced pledge to ‘de-risk’ from China reflected concerns from Europe and Japan / AP
“The leaders of the Group of Seven (G7) rich democracies this weekend pledged to ‘de-risk’ without ‘decoupling’ from China, an approach that reflected European and Japanese concerns about pushing Beijing too hard, officials and experts said.”
The G7 takes a stand on China but how long will it matter? / SCMP (paywall)
“Japan emerged as a clear winner of the Group of Seven summit in Hiroshima by successfully focusing global attention on what Tokyo identifies as the top security challenges in the Indo-Pacific: China and Russia.”
Taking stock of the G7 Hiroshima summit / FT (paywall)
“Grand summits of the world’s wealthiest and most powerful nations are often criticized for a lack of output beyond vaguely phrased promises for co-operation and symbolic photo opportunities. Yet, in a time of deep geopolitical rifts — with the world’s two largest economies butting heads and Russia’s continued aggression in Ukraine — summits take on greater significance in helping to forestall disunity.”

Democratic Republic of the Congo
Congo leader to prospect for better mining deal, improved relations during China visit / SCMP (paywall)
“With most of his country’s mining industry under Chinese control, Congo President Félix Tshisekedi will visit Beijing this week as the two nations look to resolve mining disputes that had threatened to sour diplomatic relations.”

Sri Lanka
China’s Sinopec signs agreement to enter retail fuel market in crisis-hit Sri Lanka / AP
“Chinese petroleum giant Sinopec signed an agreement with Sri Lanka on Monday to enter the South Asian island country’s retail fuel market as it struggles to resolve a worsening energy crisis amid an unprecedented economic upheaval.”

SOCIETY AND CULTURE:

Chess
Chess-Carlsen, Ding to join new franchise-based chess league / Reuters
“Reigning world champion [Dīng Lìrén 丁立人] and top-ranked Magnus Carlsen will participate in next month’s inaugural franchise-based Global Chess League (GCL), organizers said on Tuesday.”