Highlighted links for September 18, 2023

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

BUSINESS AND TECHNOLOGY:

Too much money in women’s tennis in China
Women’s tennis returns to China after Peng Shuai boycott / CNN
“The Women’s Tennis Association (WTA) kicked off its first tournament in China in more than three years Monday, ending its boycott over the uncertain fate of tennis star Péng Shuài 彭帅. WTA CEO Steve Simon has previously said all matches would be suspended until there was a ‘full and transparent investigation.'”

Economic gloom or boom
Opinion: Hold the champagne on China’s economy / Bloomberg (paywall)
Daniel Moss writes: “China’s short-term economic prospects no longer look quite so foreboding, but it would be unwise to proclaim that a bottom has arrived. The country is in a long-drawn slowdown that didn’t begin yesterday and won’t be over next week.”
China’s slumping economy: What the latest numbers are signaling / NYT (paywall)
“China’s trains, planes, stores and beaches were a little fuller last month than a year earlier, and the pace of activity picked up at factories, particularly those making mobile phones and semiconductors.”

China trade war
This China trade war isn’t about semiconductors / NYT (paywall)
“Cosmetics sales in China are soaring, but a group of exporting nations led by France are pushing Beijing to lift restrictions they say are blocking them unfairly.”

Electric vehicles
EU warns of ‘possible’ Chinese retaliation over electric car probe / FT (paywall)
“The EU’s anti-subsidy investigation into China’s electric-car industry could provoke retaliatory measures from Beijing, senior EU officials have warned, even as the bloc’s ministers said the probe was crucial for safeguarding trade rules.”
XPeng’s $31 billion gap shows hazy China EV outlook / Caixin (paywall)
“The biggest debate for sell-side analysts covering Chinese equities these days centers around a $31 billion question: What is the outlook for XPeng Inc.? The divide is sending shares on quite a roller-coaster ride.”

Oil
Opinion: China may get caught in an oil-price crossfire / Bloomberg (paywall)
David Fickling writes: “In the new Cold War building between authoritarian states and democracies, petroleum appears to be the most potent weapon.”

Imports
China vows to boost Southeast Asia imports as growth slows / Nikkei Asia (paywall)
“China has pledged to increase purchases from Southeast Asian neighbors as overall trade growth slows due to weakened demand globally and domestically.”

Investors
Chinese state firms’ help to troubled shadow bank does little to address investor concerns / Reuters
“The involvement of two Chinese state-owned financial firms in Zhongrong International Trust Co’s operations and management may diffuse risk at the troubled shadow bank but does little to ease concerns about missed payments, analysts and investors said.”

AI
AI content rising, China’s Bilibili rolls out new labeling system / Sixth Tone
“Bilibili’s new system also includes tags for dangerous behavior, excessive consumption, and potential discomfort, but prioritizes AI-generated content when multiple labels are applicable.”

Real estate and property development
China’s property revival plan threatened by stand-off over old neighborhoods / FT (paywall)
“Beijing turns to [its] past playbook of redeveloping poorer areas in hopes of revitalizing [its] troubled sector.”
Chinese shadow bank exposed to troubled property developers / FT (paywall)
“The Chinese shadow bank at the heart of concerns over missed payments to customers has lent money to several of the country’s struggling property developers, according to a Financial Times analysis of legal and company filings.”
Chinese stocks in Hong Kong drop as property woes sour sentiment / Caixin (paywall)
“Chinese stocks listed in Hong Kong began the week with losses as persistent concerns about the health of the property sector offset optimism spurred by signs of stabilization in some other parts of the economy.”
An even bigger housing crisis threatens China’s economy / WSJ (paywall)
“China’s giant housing industry is lurching into a new crisis that threatens to be the country’s worst yet.”

Country Garden
China’s cash-squeezed Country Garden faces another dollar coupon deadline / Reuters
“Embattled Chinese property developer Country Garden faces yet another liquidity test with Monday’s deadline to pay $15 million in interest linked to an offshore bond, after having dodged default at the last minute twice this month.”

Evergrande
China Evergrande shares tumble 25% after wealth management staff detained / Reuters
“Shares of embattled developer China Evergrande Group plunged 25% on Monday after police detained some staff at its wealth management unit, suggesting a new investigation that could add to the property company’s woes.”
China police detain some Evergrande wealth management staff / Reuters
“Police in southern China have detained some staff at China Evergrande Group’s wealth management unit, suggesting a new investigation that could add to the property giant’s woes.”
Chinese police detain wealth management staff at the heavily indebted developer Evergrande / AP
Evergrande plunges after police detain some staff of wealth unit / Caixin (paywall)

Alibaba
Alibaba tells Erdogan it plans to invest $2 billion in Turkey / Reuters
“Chinese ecommerce giant Alibaba Group Holding Ltd has told Turkish President Tayyip Erdogan it plans to invest $2 billion in Turkey.”

Foxconn
IPhone maker Foxconn aims to double India investment, employment / Bloomberg (paywall)
“Apple Inc. partner Foxconn Technology Group plans to double its investment and employment in India, highlighting an accelerating manufacturing shift away from China as Washington-Beijing tensions grow.”

TikTok
TikTok fined $370 million for mishandling child data / NYT (paywall)
“The data-collection practices of TikTok that were cited by the European Union are becoming a common target for global regulators.”

Starbucks
Starbucks promotes Molly Liu to co-CEO of Starbucks China / Reuters
“Starbucks has promoted Molly Liu to executive vice president and co-chief executive officer of Starbucks China, the company said on Monday.”

SCIENCE, HEALTH, AND ENVIRONMENT:

COVID-19
WHO chief pushes China for ‘full access’ to solve COVID’s origins / FT (paywall)
“The chief of the World Health Organization has urged Beijing to offer more information on the origins of COVID-19 and is ready to send a second team to probe the matter, as the genesis of the pandemic remains unclear nearly four years after the first cases emerged in the Chinese city of Wuhan.”

POLITICS AND FOREIGN AFFAIRS:

PLA under the spotlight
China’s military rocket force uncovers ‘shortcomings,’ PLA Daily reports / Reuters
“A unit of China’s Rocket Force uncovered ‘shortcomings’ during a field assessment of an exercise, the PLA Daily reported on Friday in a rare critique, suggesting gaps in combat readiness at the armed force overseeing conventional and nuclear missiles.”
China’s military hierarchy under spotlight after defense minister disappears / Reuters
“The disappearance of Chinese Defence Minister Lǐ Shàngfú 李尚福 highlights the opaque and complex nature of the People’s Liberation Army (PLA), diplomats and analysts say.”
The public face of China’s military under corruption probe / Reuters
“General Li Shangfu, a veteran of China’s military modernization drive, rose through the ranks to become defense minister this year. Within six months, he disappeared under the cloud of a corruption probe.”
China is investigating its defense minister, U.S. officials say / NYT (paywall)
PLA holds drills in Yellow Sea days after U.S. and allies flex muscles near northeast China coast / SCMP (paywall)
“The Chinese navy is carrying out military drills in the Yellow Sea and Bohai Strait, according to the country’s maritime agency, just days after the U.S. Navy held joint exercises with South Korean and Canadian vessels in the waters off northern China.”
Then there were two: disappearance of second Chinese minister sparks speculation / FT (paywall)
Xi’s missing defense chief opens door for U.S. military talks / Bloomberg (paywall)

Chinese diplomacy
Upheavals in Xi’s world spread concern about China’s diplomacy / Reuters
“The disappearance of China’s defense minister, the latest in a string of upheavals in the country’s top ranks, is stoking uncertainty about President Xí Jìnpíng’s 习近平 rule as an internal security clampdown trumps international engagement.”

China’s legal system
China’s coming lawfare offensive / FT (paywall)
“China has accelerated the implementation of an integrated program, founded on Xi Jinping Thought, to weaponize law, with both territorial and extraterritorial effect. Expressly termed ‘lawfare,’ this program seeks to reshape economic relations with the rest of the world, creating a capital market ‘with Chinese characteristics.’”
Personal freedom vies with deterrence in public security law revamp / Caixin (paywall)
“Different from Western legal systems that classify violations of laws as felonies and misdemeanors or minor crimes, China’s legal code implements a dual track model divided into ‘administrative violations’ and ‘criminal acts.’”

China seeks to expand police power
China seeks to expand police power to collect biological information of suspects in minor offenses / SCMP (paywall)
“China is seeking to create a legal basis for police to collect biological information in cases involving minor offenses, which would vastly expand a controversial practice currently used only in investigations related to terrorism, drugs and other serious crimes.”

The fall of Henan’s teflon graft buster
What it took to topple Wang Wenhai / Caixin (paywall)
“No accusation ever seemed to stick against Wáng Wénhǎi 王文海. Over a decades-long career in the judicial and graft-busting departments of his home province of Henan, complaints against Wang never stopped, according to people in the central province’s legal and political circles”

G77+China
Cuba seeks to deepen ties with Beijing at G77+China summit / Nikkei Asia (paywall)
“Leaders from the Group of 77 developing countries and China are meeting in Havana on Friday and Saturday, as Cuba seeks to deepen ties with Beijing and other emerging nations amid U.S. economic sanctions.”
G77+China: Latin America’s leftists pursue solidarity with Beijing / Nikkei Asia (paywall)
“Leftist governments in Latin America are strengthening ties with China, as the Group of 77 nations plus China on Saturday adopted a joint statement listing complaints and demands for developed countries at a summit held in Cuba.”

Taiwan
Taiwan urges China to stop ‘destructive’ military activities / Reuters
“Taiwan’s defense ministry on Monday urged China to stop ‘destructive, unilateral action’ after reporting a sharp rise in Chinese military activities near the island, warning such behavior could lead to a sharp increase in tensions.”
China flies 103 military planes toward Taiwan in a new high in activity the island calls harassment / AP
“China’s military sent 103 warplanes toward Taiwan in a 24-hour period in what the island’s defense ministry called a recent new high.”
PLA warplanes set new 24-hour record, destabilizing security: Taiwan defense ministry / SCMP (paywall)
China sends fighter jets in show of force off Taiwan / Nikkei Asia (paywall)
China sends record 103 warplanes near Taiwan amid U.S. visits / Bloomberg (paywall)
China sends record number of military planes near Taiwan / NYT (paywall)

U.S.-China competition and tensions
Biden aide held hours of ‘constructive’ talks with Chinese diplomat / Reuters
“White House national security adviser Jake Sullivan met with Chinese Foreign Minister Wáng Yì 王毅 in Malta for hours this weekend, Beijing and Washington said on Sunday, as the world’s two largest economies seek to stabilize troubled relations.”
Biden’s national security adviser holds two days of talks in Malta with China’s foreign minister / AP
“President Joe Biden’s national security adviser met with China’s foreign minister over the past two days on the Mediterranean island nation of Malta in an effort that the White House said Sunday was intended to ‘responsibly maintain the relationship’ at a time of strained ties and mutual suspicion between the rival powers.”
China’s top diplomat meets Biden advisor to boost communication / Caixin (paywall)
U.S. and China officials meet in Malta ahead of possible Biden-Xi summit / FT (paywall)
U.S. and Chinese officials meet in Malta to discuss Ukraine and other flashpoints / NYT (paywall)

U.S.-China espionage efforts
In risky hunt for secrets, U.S. and China expand global spy operations / NYT (paywall)
“The nations are taking bold steps in the espionage shadow war to try to collect intelligence on leadership thinking and military capabilities.”

Singapore
Singapore’s $1.3 billion money laundering probe exposes Chinese criminals’ paid-for passports / SCMP (paywall)
“Chinese criminals have a new must-have in their villains’ tool kits to cross borders, evade jail and wash the billions of dollars sucked up from phone scams, online gambling and pyramid schemes across Asia: passports from Cambodia, Cyprus, and even the tiny South Pacific island of Vanuatu.”

Laos
Laos deports human rights lawyer who was fleeing state pressure back to China / AP
“A human rights lawyer who was arrested in neighboring Laos has been deported back to China, his attorney said, despite pleas from rights groups and United Nations experts for his release.”
In Laos, a new railway signals a future in China’s orbit / Sixth Tone
“In Laos, a new $6 billion rail line is driving rapid social and economic changes — and bringing China ever closer.”

Indonesia
Indonesia urged to study feasibility of extending China-backed rail line as Japan mulls exit / SCMP (paywall)
“Indonesia has been urged to launch an open bid and independent feasibility study for an extension of a mega rail project that could involve China, after Tokyo raised fears it might pull out to protect ‘the Japan brand.’”

Afghanistan
Afghanistan’s $6.5bn mine deals with China, others dig up questions / Nikkei Asia (paywall)
“An Afghan Taliban drive to stabilize the economy and improve sentiment toward the regime through new mining deals with Chinese and other companies is drawing skepticism.”

Cambodia
​​Cambodian PM Hun Manet pledges stronger China ties in Beijing visit / Nikkei Asia (paywall)
“Cambodia wants to make its relationship with China even stronger, the country’s new prime minister, Hun Manet, said at a meeting with Chinese President Xi Jinping in Beijing on Friday.”

Japan
China seafood imports from Japan dive 68% over Fukushima water / Nikkei Asia (paywall)
“China’s seafood imports from Japan dived 67.6% from a year earlier in August, Chinese customs data showed Monday, as Beijing introduced a total ban on marine products shipped from the neighboring country late that month.”

Malaysia
Malaysia to double palm oil exports to China, dodge EU restrictions / Nikkei Asia (paywall)
“Malaysia says it will double palm oil exports to China to half a million tonnes annually as the Southeast Asian nation moves against European restrictions on a commodity used in everything from cookies to cosmetics.”

Germany
China complains to Germany after foreign minister calls Xi a ‘dictator’ / Reuters
“China has complained to Germany after its foreign minister labeled President Xi Jinping a ‘dictator,’ the Chinese Foreign Ministry said on Monday, calling the title ‘absurd’ and an ‘open political provocation.’”

Russia
Russia and China to build oil transshipment complex for $686 mln / Reuters
“Russia’s United Oil- and Gas-Chemical Co. (ONGK) and China’s Xuan Yuan Industrial Development have agreed to jointly invest 5 billion yuan ($686 million) in construction of a transshipment oil complex in Russia’s far east, the Roscongress fund said on Monday.”
China’s Wang Yi visits Russia ahead of possible Xi-Putin meeting / Reuters
“China’s top diplomat, Wang Yi, begins on Monday a four-day trip to Russia during which both nations are expected to pledge deeper mutual political trust, readying for a possible landmark visit by President Vladimir Putin to Beijing in October.”
China’s top diplomat due in Moscow after surprise U.S. talks / WSJ (paywall)
China’s foreign minister heads to Russia after meeting with US national security adviser / AP
“China’s top diplomat is heading to Russia for security talks after two days of meetings with U.S. President Joe Biden’s national security adviser over the weekend in Malta.”
Chinese Foreign Minister Wang Yi begins 4-day Russia visit for security talks / SCMP (paywall)
“Beijing and Moscow were expected to step up their strategic coordination as China’s top diplomat Wang Yi kicked off a four-day visit to Russia for security talks ahead of a possible visit by Russian President Vladimir Putin next month.”
Putin and Kim’s embrace may place Xi in a bind / NYT (paywall)
“Closer ties between Russia and North Korea could weaken Beijing’s leverage over both countries and set back China’s efforts to stabilize its ties with the West.”

EU
China, EU should maintain open attitude, reject protectionism, Chinese foreign minister says: state media / Reuters
“China and the European Union (EU) should continue to maintain an “open attitude” and ‘reject protectionism,’ Chinese state media said on Monday, citing Chinese Foreign Minister Wang Yi.”

UN
China is sending Vice President Han Zheng to represent the country at UN General Assembly session / AP
“China is sending Vice President Hán Zhèng 韩正 to the U.N. General Assembly’s annual high-level debate, the Ministry of Foreign Affairs said Friday, suggesting that the country’s most senior diplomat, Wang Yi, will not attend.”
China-U.S. ties: Vice-President Han Zheng to meet Secretary of State Antony Blinken on sidelines of UN General Assembly on Monday / SCMP (paywall)

SOCIETY AND CULTURE:

Public welfare
Government budget problems shouldn’t disrupt basic public welfare / Caixin (paywall)
“Recently, some employees of the Tianjin Bus Group reported that their employer owes them back wages and has stopped making social security contributions on their behalf.”

Easing the pressure on China’s students
Policies to take pressure off students in compulsory education backfire, study shows / Caixin (paywall)
“Policies meant to relieve academic pressure on students in primary and middle school have actually exacerbated inequality in the Chinese school system, a recent research study found, revealing that various government measures have made it harder for children from low-income families to get into high school.”

Train etiquette
Are kids to blame for China’s noisy trains? / Sixth Tone
“As disputes on high-speed rail journeys over crying babies and unruly children become more common, parents and train attendants are feeling the pressure.”

Elderly care
How the rise and fall of an unlikely online influencer triggered a debate about the plight of older Chinese / SCMP (paywall)
“The case became a talking point nationwide as it brought to light the emotional needs of the vast number of elderly in China’s rapidly aging society and their vulnerability to financial exploitation online.”

A dying language finds a surprising community in China
China’s last Esperanto students / Sixth Tone
“China used to have one of the world’s largest communities of Esperanto speakers. But the language is now in danger of disappearing from the country completely.”