Highlighted links for October 11, 2023

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

BUSINESS AND TECHNOLOGY:

Economic gloom or boom
Xi ought to know why market confidence isn’t returning / Nikkei Asia (paywall)
“Chinese President Xí Jìnpíng 习近平 faces quite a conundrum in the homestretch of 2023 as improving economic data is not calming the nerves of international investors.”
Opinion: Why China ‘de-risking’ brings its own business risks / FT (paywall)
Christopher Tang writes: “In this new era of ‘de-risking,’ with each of the G7 group of leading wealthy nations committed to lessening their reliance on China, business leaders need to develop new ways to manage their supply chains.”
‘Whichever is cheaper’: Inside China’s new thrift economy / NYT (paywall)
“Beijing hopes spending can spur growth, which has been dragged down by slowing real estate sales and exports. But shoppers are gravitating to discounts.”

China’s aging crisis
Lou Jiwei on tackling a graying China / Caixin (paywall)
In an interview, Lóu Jìwěi 楼继伟, “a former finance minister and one of the most outspoken advocates of economic reform,” said that “China’s post-pandemic economic recovery is already facing short-term headwinds, but demographic changes such as a low birth rate and a rapidly aging society, along with unequal access to education, pensions and health care, pose long-term challenges for policymakers.”

Tech investment
China’s venture firms reckon with a power shift to LPs / The Information (paywall)
“For years, China’s top venture capitalists called the shots in their relationships with limited partners. Now the balance of power is shifting to LPs, some of whom have begun nagging venture firms to distribute fund returns sooner.”

Semiconductors
Taiwanese semiconductor suppliers target Europe’s next-generation factories / FT (paywall)
“Suppliers to Taiwan’s world-leading semiconductor manufacturing industry are plotting an entry into Europe as the construction of the first advanced chip factories on the continent in decades reshapes its supply chains.”

U.S.-China tech war
How tensions with China threaten the tech sector / WSJ (paywall
“At this year’s CIO Summit, U.S.-China Economic and Security Review Commissioner Jacob Helberg spoke with the WSJ’s Christopher Mims about the relationship between China and the U.S. They talked about how a significant amount of the world’s technology hardware is built in China.”

EU-China tech war
EU struggles to limit China’s involvement in sensitive tech areas / Nikkei Asia (paywall)
“The European Union is looking to tighten export and investment controls on sensitive tech as concern over the bloc’s reliance on China grows. But an equally heavy reliance on Chinese trade and investment threatens to hinder efforts to ‘de-risk’ its economy, as individual members have already found.”

Base metals
Metals take fresh knock as China’s real estate woes intensify / Bloomberg via Caixin (paywall)
“Base metals sank as fresh fears over property turmoil in China gripped markets despite news that China may unleash another round of stimulus.”

Electric vehicles
Chinese electric vehicle maker WM Motor files for bankruptcy / Nikkei Asia (paywall)
“Chinese electric vehicle maker WM Motor has filed for bankruptcy, highlighting a crowded market that is bracing for consolidation on the back of weakened domestic demand.”

Volkswagen
China’s vice premier meets with Volkswagen chair of board of management / Reuters
“China’s vice premier Dīng Xuēxiáng 丁薛祥 on Wednesday met with Oliver Blume, chairman of Volkswagen’s board of management, in Beijing, according to Chinese state media.”

VPNs
Chinese programmer ordered to pay 1 million yuan for using virtual private network / The Guardian
“A programmer in northern China has been ordered to pay more than 1 million yuan ($136,984) to the authorities for using a virtual private network (VPN), in what is thought to be the most severe individual financial penalty ever issued for circumventing China’s ‘great firewall.’”

Country Garden
China’s Country Garden wilts / WSJ (paywall)
“The debt crisis at the nation’s largest developer by sales risks a renewed real-estate downturn just as the economy was stabilizing.”

Oil
China saves billions of dollars from record sanctioned oil imports / Reuters
“China has reaped savings this year of nearly $10 billion through record purchases of oil from countries under Western sanctions, according to Reuters’ calculations based on data from traders and shiptrackers.”

IMAX
IMAX’s buyout proposal of China unit falls through / Reuters
“IMAX China said on Tuesday that its shareholders have rejected a proposal of its U.S.-based parent to buy the remaining stake in the Hong Kong-listed company for about $124 million.”
Shareholders of Imax’s Hong Kong-listed China unit reject buy-out bid / Caixin (paywall)

SCIENCE, HEALTH, AND ENVIRONMENT:

Alzheimer’s and dementia treatment
‘Very promising’: Chinese herbal medicine trial offers new hope in memory loss treatment / SCMP (paywall)
“A phase 2 clinical trial in Australia has found that a Chinese herbal medicine compound significantly improved memory and executive functions in people with mild cognitive impairment (MCI).”

Natural disasters
Losses from China disasters reach $42 billion in first nine months of 2023 / Reuters
“China suffered direct economic losses of 308.29 billion yuan ($42 billion) over the first nine months of 2023, the government said, from natural disasters such as torrential rains, deadly landslides, freakish hailstorms and a string of typhoons.”

POLITICS AND FOREIGN AFFAIRS:

Corruption
‘Lenient’ punishment of corrupt retired official sparks anger / Caixin (paywall)
“Netizens in China are outraged about what they view as lenient punishment handed down to a 76-year-old retired official, who was not criminally indicted after he was found to have accepted bribes, with some demanding criminal charges brought against him and the amount of his illegal gains made public.”

Social security
Beijing tells China’s poor that help is coming, as leaders order wider social security net amid rising economic toll / SCMP (paywall)
“China will ‘dynamically monitor’ the living conditions of low-income groups while providing critical assistance for those living on or below the breadline, Beijing vowed on Tuesday as the economy’s stagnant post-COVID recovery continues to take a heavy toll on jobs and household earnings.”

Belt and Road
Xi Jinping to host third belt and road summit in Beijing next week / SCMP (paywall)
“Chinese President Xi Jinping will host the third Belt and Road summit in Beijing next week, with a select list of leaders invited, according to sources.”
China to host Belt and Road Forum next week with Putin attending / Nikkei Asia (paywall)
U.S., EU to support African railway development to counter China / Nikkei Asia (paywall)
“The United States and the European Union will offer assistance on the construction of an international railway in Africa to bring resources from mining areas to a port in a test of whether they can gain a foothold in Africa, where China has gained influence through its Belt and Road Initiative. It is also intended to strengthen supply chains for critical minerals, reducing the donors’ dependence on China.”

Hong Kong
As China’s economy slows, Hong Kong aims to rebuild its international image / Reuters
“Hundreds of executives, diplomats and foreign business chambers congregated at Hong Kong’s landmark M+ art museum over canapés and cocktails last month with a clear mission — reinvigorate appeal for the financial hub.”

Taiwan
Beijing ‘concerned’ by KMT official saying party is mislabelled as ‘pro-China’ / SCMP (paywall)
“Beijing says it is ‘concerned’ about comments made by a senior official in Taiwan’s mainland-friendly opposition Kuomintang, who said it was wrong to call it the ‘unification party.’”

U.S.-China competition and tensions
Schumer: made clear to China’s Xi that US wants stability, fairness / Reuters
“U.S. Senate Majority Leader Chuck Schumer on Tuesday said he had made clear to Chinese President Xi Jinping during a Beijing meeting that the United States wanted stability and fairness in bilateral trade.”
U.S. senators see a glimmer of hope for breaking a logjam with China over the fentanyl crisis / AP
“A group of U.S. senators visiting Beijing expressed hope Tuesday that they had opened the door ever so slightly to government talks with China on its role in the fentanyl crisis ravaging America.”
White House condemns a violent crash at the Chinese Consulate in San Francisco / AP
“A U.S. official said Tuesday the government believes the driver who crashed into the Chinese Consulate in San Francisco the day before did so ‘with malign intent,’ but police haven’t shared details about the driver’s identity or motive for what the Chinese government has branded a ‘violent attack.’”

Thailand
Thailand PM Srettha shows signs of leaning toward China for growth / Nikkei Asia (paywall)
“The Srettha administration sees China as a chief method for Thailand’s exit from low economic growth.”

Israel-Palestine conflict
China offers to work with Egypt to end Israel-Hamas conflict / SCMP (paywall)
“China’s Middle East envoy says Beijing is willing to coordinate with Egypt to reach an immediate ceasefire in the Israel-Palestine conflict and avoid worsening the region’s humanitarian crisis in his first remarks since Hamas attacked Israel on Saturday.”
Israel-Hamas conflict raises questions over China’s long-term plans for Middle East / SCMP (paywall)
“The conflict between Israel and Hamas will potentially have a major impact across the Middle East, and will be another factor for both China and the United States to consider in their long-term thinking.”

Australia
Foreign nationals detained in China / Reuters
“Australian journalist Chéng Lěi 成蕾 returned home on Wednesday after being detained by Chinese authorities for more than three years on national security charges.”
Australia’s ‘quiet diplomacy’ praised as journalist Cheng Lei returns home from China detention / SCMP (paywall)
Australian journalist Cheng Lei back home after China release / Reuters
A Chinese Australian journalist detained for 3 years in China returns to Australia / AP
Australian journalist Cheng Lei released from Chinese detention / FT (paywall)
China releases Australian journalist three years after arrest / NYT (paywall)

India
India arrests employee of Chinese phonemaker Vivo / FT (paywall)
“New Delhi’s financial enforcement agency has arrested an employee of Chinese mobile phone company Vivo, reigniting fears of a renewed crackdown on Chinese companies operating in India.”
India’s booming stock market is leaving China in the dust / WSJ (paywall)
“India’s stock market is booming, helped by billions of dollars of inflows from international funds and a fast-growing army of small investors.”

EU
China says it is ready to work with EU to enhance mutual trust / Reuters
“China welcomes the October 12–14 visit to the country by the European Union’s top diplomat Josep Borrell, the Chinese foreign ministry said on Wednesday at a regular press briefing.”

SOCIETY AND CULTURE:

Feminism
‘Happy rebirth!’: Chinese women shake off taboos around divorce to celebrate freedom / The Guardian
“As the divorce rate in China rises, attitudes to separations are changing, with young women now throwing parties to mark the end of married life.”

Urban planning
China’s old neighborhoods get facelifts / Caixin (paywall)
“Many aging residential areas have undergone renovation in recent years, for both safety and aesthetic reasons.”

Shanghai landmarks
Wukang mansion: Shanghai’s ‘pearl’ before its online fame / Sixth Tone
“On a clear afternoon in central Shanghai, crowds of people jostle for position across a busy intersection. Selfie sticks are extended, poses are struck, cameras click. Everyone is after that perfect shot of Wukang Mansion to share on social media.”

Working from home
After Ctrip, another internet company trials work from home post-pandemic / Sixth Tone
“Qunar, a major online travel platform, will allow employees to work from home starting later this month in an eight-month trial.”