11 die after school gym roof collapses

As of this morning, all 19 people at the gymnasium when the accident occurred have been accounted for, with four managing to escape, authorities said. The coach has been found alive and was reportedly heard calling out the students’ names while rescue teams were searching through the rubble.

“They tell me my daughter is gone but we never got to see the child. All the children had their faces covered with mud and blood when they were sent to the hospital. I pleaded, please let me identify the child. What if that wasn’t my child?,” a father said in a video that went viral on Chinese social media.

Construction staff have since been detained after a preliminary investigation found that they had illegally placed perlite — a very porous form of volcanic glass that can hold a large amount of water — on the roof of the gym for the construction of an adjacent building, Chinese state media Xinhua reported. Heavy rain had led the perlite to soak up water, resulting in the roof caving in.

Nadya Yeh

Today, Beijing announced a scheme to encourage private investment in a variety of projects, including public infrastructure. The initiative from the National Development and Reform Commission (NDRC) follows a Party plan released last week to incentivize entrepreneurs. Will these new plans work?

Chinese state media is reinforcing the message that the country is open for business: Xinhua News Agency’s Chinese and English homepages both lead with a story on the CCP Central Committee Politburo, the group of 24 top officials who oversee the Party and central government, holding a meeting chaired by Xí Jìnpíng 习近平 “to analyze and study the current economic situation and economic work.” Among the pledges from the meeting:

• Strong support will be given to scientific and technological innovation, the real economy, and the development of micro-, small-, and medium-sized enterprises.

• The RMB exchange rate shall be kept generally stable at an appropriate and balanced level…pledging efforts to invigorate the capital market and boost investor confidence.

• Efforts to actively expand domestic demand and give play to the fundamental role of consumption in driving economic growth.

The editors of the Communist Party house newspaper are sending a slightly different message today though, with a front page story entitled “Party building leads the release of new vitality in industry.”

Heavy rainstorms and flooding left five people dead and two missing in a village near Hangzhou, Zhejiang Province, on July 22. Cars were overturned and some houses collapsed after torrential downpours burst a river bank, in the latest instance of extreme weather events that have caused a number of deaths and property damage all over the country.

China proposed high-level talks with Japan and South Korea in a sidelines meeting between top Chinese diplomat Wáng Yì 王毅 and Japanese Foreign Minister Yoshimasa Hayashi at an ASEAN gathering in Indonesia on July 14.

The trilateral meeting would be the first to take place in four years due to regional tensions and the impact of the COVID pandemic. But Tokyo and Seoul have recently taken steps to improve their ties and form a closer relationship with the U.S., unsettling Beijing and driving its efforts to seek cooperation with its two neighbors. Today, China’s embassy in Japan warned against Tokyo’s deepening relationship with U.S.-led NATO, claiming that the security alliance’s plan to expand into the Asia-Pacific violates U.N. rules. The embassy urged Japan to refrain from actions that undermine trust among countries in the region.

Earlier this month, Wang stirred controversy at a trilateral meeting in Qingdao when he told Japanese and Korean delegates that “No matter how yellow you dye your hair, or how sharp you make your nose, you’ll never turn into a European or American, you’ll never turn into a Westerner.”

China now has more than 6.6 million charging stations for electric vehicles, according to new official numbers.

India rejected Chinese carmaker BYD’s bid to build a $1 billion electric vehicle plant in partnership with local company Megha Engineering and Infrastructure, Economic Times reported yesterday.

The Indian government cited national security concerns, including the use of Chinese homegrown technology, in its rejection. While foreign direct investment in India’s automobile sector doesn’t usually require approval from authorities, in April 2020, India made government approval mandatory for investments coming from countries with which it shares a land border.

Chinese bubble tea chains are lining up to IPO in Hong Kong and in the U.S., with at least six companies, including Mixue Bingcheng and XSQ Tea, weighing the option to list their shares overseas, likely to evade the regulatory scrutiny of the Chinese government.

• In recent weeks, Cambodia effectively vetoed Indonesia’s proposal for  ASEAN to stage its first-ever joint exercises in the contested South China Sea. Meanwhile, Thailand broke ranks with ASEAN to engage the Beijing-backed junta in Myanmar.
• The winner of both these developments is China.

The South China Sea is increasingly a flashpoint of tensions in the region, alongside the Taiwan Strait. No one can ignore Beijing’s voice here.

• “It looks like Cambodia will veto, essentially on China’s behalf, any kind of initiative that is inimical to Beijing’s interest or Beijing’s conception of its interest in Southeast Asia,” Richard Heydarian, a senior lecturer at the Asian Center of the University of the Philippines, told The China Project.

Thompson Chau reports from the region.

Thompson Chau

It was pragmatic: Honduras is the fourth-poorest country in the Western Hemisphere, and can use investment wherever it can find it.

• Chinese social media points to the benefits Honduran businesses can now reap by accessing the P.R.C.’s gargantuan market. Imports to China increased 229% year-on-year in the past four months alone, and will likely skyrocket in the future.
• Infrastructure is another long-term benefit. Castro’s government aims to set up enough hydroelectric dams in the country’s mountainous and river-filled landscape to generate 600MW of electricity, and is hoping China will help fund an hydroelectric dam on the Patuca River.

The P.R.C., meanwhile, didn’t seek out diplomatic ties just for access to Honduran coffee, bananas, and seafood.

• The new alliance was only ever “about reducing the number of diplomatic relations for Taiwan,” says Alicia Garcia-Herrero, Chief Economist for Asia Pacific at Natixis and Senior Fellow at Bruegel, believing China now prioritizes alliances for geopolitical gains over business opportunities.
• Taiwan now only has 13 countries that recognize it diplomatically. “With this new arrangement, the P.R.C. further erodes Taiwan’s political ties to the Latin American and Caribbean region, which is still a relative diplomatic stronghold for Taipei,” says Margaret Myers, director of the Asia and Latin America Program at the Inter-American Dialogue.

This is the state of China relationship with its new little friend.

Alex Colville

Welcome to the Jing is a photobook project shot by French photographer Laurent Hou (罗鸿 Luó Hóng) between 2013 and 2017. The photobook captures a special moment in the city’s history: after the Olympics and before the citywide demolition of illegal buildings that began in 2017, Hou snapped around 100,000 shots, mostly of quirky people and happenings inside the city center.

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

BUSINESS AND TECHNOLOGY:

Twitter scams
Verified sextortion scammers are flooding the Chinese circle on Twitter / Wenhao’s News Blog
“Sextortion scammers with verified accounts and stolen pictures of young Asian women have flooded the Chinese circle on Twitter, leaving replies under popular tweets or tweets from influential figures in order to amplify their presence…Twitter’s new verification program [has] inadvertently helped discourage discussions of politics as Chinese users find it frustrating to use the platform.”

Where is Chinese investment abroad going?
Chinese money flees the Western world / WSJ (paywall)
“Just a few years ago, Chinese money was rippling across the rich world. Chinese investors were making blockbuster deals and snapping up trophy assets, from luxury homes and five-star hotels in New York to a Swiss chemical company and a German robotics giant…That era is over.”

Ford accused of connections to forced labor in China
Lawmakers challenge Ford and Chinese battery partner over forced labor / NYT (paywall)
“Republicans are raising fresh concerns about CATL, the battery maker Ford is working with to bring new technology to the U.S., and its connections to Xinjiang.”

Data security
China’s data-security management must fill holes and be put under microscope, central bank says / SCMP (paywall)
“The authorities who oversee China’s cross-border financial data say it must receive greater state scrutiny, and that clearer boundaries and accountability are needed in data-processing activities that the nation’s central bank engages in.”

Beijing’s pitch to foreign and domestic investors
China’s pitch to foreign investors falls flat as incentives dwindle / Reuters
“China is struggling to revive foreign investment in its financially battered cities and provinces as foreign firms remain wary of political risks and new incentives fall far short of sweeteners once used to attract overseas money.”
China’s state planner unveils steps to spur private investment / Reuters
“China’s state planner on Monday unveiled measures that seek to promote, encourage and spur private investment in some infrastructure sectors and said it will strengthen financing support for private projects.”
China Politburo targets boosting domestic demand, private sector / Caixin (paywall)
China plans to relax rules on foreign firms investing in bad-debt managers / Caixin (paywall)
“China is planning to allow overseas nonfinancial firms to make equity investments in domestic financial asset management companies (AMCs) and lower the bar for overseas financial institutions to do so, in a bid to further open up its financial market.”
Beijing rushes to shore up battered private economy. Skepticism abounds. / WSJ (paywall)
“China vows to promote a private sector wobbly from years of regulatory crackdowns and pandemic controls, but investors aren’t convinced.”
Beijing offers love, but Chinese entrepreneurs aren’t buying it / NYT (paywall)
Li Yuan writes: “China’s leadership is lavishing the country’s beleaguered private sector with a sweeping show of support as a nascent economic recovery falters.”

China’s “tortuous” economic recovery
China to step up policy adjustments amid tortuous recovery / Reuters
“China will step up its policy support for the economy amid a tortuous post-COVID recovery, focusing on boosting domestic demand, the Politburo, a top decision-making body of the ruling Communist Party, said on Monday, the state-run Xinhua news agency reported.”
China Politburo vows support for economy but gives few details / FT (paywall)
“China’s leaders have vowed to spur consumer spending, tackle unemployment and give more support to the ailing property sector as the world’s second-largest economy makes a “tortuous” recovery from the pandemic.”
Opinion: China can pull through without major economic stimulus / Nikkei Asia (paywall)
Li Cui writes: “China’s soft economic recovery in recent months, following on the heels of a strong initial rebound after the end of the country’s pandemic lockdown, has been largely in line with my expectations at the start of the year, and also consistent with Beijing’s modest annual growth target of 5%.”
Hopes for ‘bazooka-style’ stimulus in China fade ahead of big meeting / Nikkei Asia (paywall)
“Hopes for a ‘bazooka-style’ stimulus in China have faded in advance of a much-anticipated meeting of the Communist Party’s Politburo, prompting economists to lower their growth forecasts for Asia’s largest economy.”
China’s overconfidence could trip up its self-sufficiency dream / Nikkei Asia (paywall)
“During a panel discussion on the Belt and Road, Chinese speakers all eloquently praised the infrastructure initiative. But they tactfully avoided talking about the topical issue of ‘debt traps.’ And when inconvenient questions were raised, the panelists suddenly turned all silent, and the moderator, from a state-run broadcaster, skillfully ended the discussion.”
China’s data ‘black box’ puzzles economists / FT (paywall)
“For investors and policymakers worldwide, China’s quarterly economic data is a starting point in decoding the state of the world’s second-largest economy, but the latest figures contained a puzzle of their own.”

Foreigners can use China’s digital payment services
China’s WeChat Pay and Alilpay now accept Visa and Mastercard / Nikkei Asia (paywall)
“International visitors to China can now easily use the country’s leading mobile payment platforms, which have become essential to shopping and dining.”

IPOs
Beijing pushes for toning down of China risks in IPO prospectuses-sources / Reuters
“Beijing has asked law firms to tone down the language used to describe China-related business risks in Chinese companies’ offshore listing documents, warning failure to do so could cost them regulatory green light for the IPOs, three people familiar with the matter said.”

Yuan trading
Yuan exceeds dollar in China’s bilateral trade for first time / Nikkei Asia (paywall)
“Use of China’s yuan has been increasing in its bilateral trades. The proportion of yuan-based trading reached 49% in trades executed by companies and institutional investors, exceeding use of the dollar for the first time, according to Nikkei analysis.”

Foreign consultancies in China
Work dries up for U.S. consultancies in China after national security raids / FT (paywall)
“Top U.S. consultancies are struggling to attract business in China as Beijing’s national security raids scare away local clients and global investors pull back from dealmaking in the country.”

Development and real estate
China property developers’ shares, bonds dive as sector worries deepen / Reuters
“Stocks and bonds in China’s real estate industry fell to around eight-month lows on Monday as repayment concerns at two of the country’s biggest developers deepened a crisis of confidence in the sector.”
Is China property for speculating? Xi’s Politburo lets real estate off leash after 6 long years / SCMP (paywall)
“After years of embracing increasingly restrictive property policies, China’s leadership says the time for change has come, and it will optimise policies in the long-embattled sector to shore up real estate while defusing financial risks in the broader economy.”
China hints at property easing as closely watched Politburo meets / Nikkei Asia (paywall)
“The Chinese Communist Party Politburo convened on Monday to discuss economic policies, state media reported, with officials acknowledging ‘new difficulties and challenges’ while hinting at moves to support the property sector.”
Chinese property stocks fall despite Dalian Wanda avoiding default / FT (paywall)
“Mainland Chinese property stocks fell sharply on Monday after a last-ditch bond repayment by conglomerate Dalian Wanda failed to allay investor concerns about the sector.”
China holds off on major stimulus as it signals property easing / Bloomberg (paywall)
“China’s top leaders signaled more support for the troubled real estate sector alongside pledges to boost consumption and resolve local government debt, though fell short of announcing large-scale stimulus to support the slowing economic recovery.”

SCIENCE, HEALTH, AND ENVIRONMENT:

Health insurance and the aging population
China seeks cure for ailing health system / Caixin (paywall)
“A long-sought restructuring of one of China’s two national medical insurance programs is racing against the clock as the demands of an aging population drains the fund that provides healthcare for more than 360 million urban residents.”
Big pharma bets big on China / Caixin (paywall)

Hydropower
China dams make ‘upstream superpower’ presence felt in Asia / Nikkei Asia (paywall)
“Drought in China dried up parts of the Yangtze river last year – but the largest water transfer apparatus ever built still drew from it to supply Beijing’s needs.”

Extreme weather
Five dead after heavy rains in eastern China, crops damaged in northeast / Reuters
“Five people died and two were missing, after heavy rain burst a river bank in a village near eastern China’s Hangzhou city on Saturday, flooding houses and carrying away people and their belongings, state media reported.”
China on flood alert as heavy rain forces evacuations / SCMP (paywall)

Seed security
China’s corruption hunters target produce aisle in push for seed security / WSJ (paywall)
“For one of his newest anti corruption campaigns, Chinese leader Xi Jinping is ordering his enforcers to dig up dirt. This time, he means, literally, the kind in the ground.”

POLITICS AND FOREIGN AFFAIRS:

Russia
China secretly sends enough gear to Russia to equip an army / Politico
“Shipments of military-capable hardware expose a China-sized loophole in Western sanctions.”
Russia and China end military exercises in Sea of Japan / Moscow Times
China, Russia conclude drills as U.S., South Korea, Japan deepen security ties / Reuters
“China and Russia on Sunday wrapped up an air and naval exercise in the Sea of Japan aimed at ‘safeguarding’ the security of waterways, the Chinese defense ministry said.”
Quantum entanglement: how U.S.-led sanctions are turning Russia’s genius scientists to China for collaboration / SCMP (paywall)
“Cooperation between Russian and Chinese scientists is leading to huge advances in quantum technology.”

Gym roof collapse kills 11
11 killed as roof collapses at middle school gym in China’s far northeast, officials say / AP
“Eleven people were killed when a roof collapsed at a middle school gymnasium in China’s far northeast, authorities said Monday.”
China school gymnasium’s roof collapses, killing 11 / Reuters
China school gymnasium roof collapses, killing 11 / Nikkei Asia (paywall)
School gym roof collapse leaves 11 dead in northeast China / Caixin (paywall)
At least 11 killed after school gym roof collapses during a volleyball practice in China / NYT (paywall)
Qiqihar school roof collapse kills 11, girl volleyball players among victims / Sixth Tone

No military dialogue
Why China won’t talk with America’s military / Foreign Affairs (paywall)
Yun Sun writes: “Beijing sees silence as leverage…Beijing wants Washington to worry about China’s provocative military acts, to ask for reassurance, and then not receive it. By depriving U.S. officials of security and certainty, Beijing hopes that it can pressure them to decrease the United States’ military footprint in the waters and airspace near China.”

China’s anti-espionage law
China seeks to reassure multinationals over anti-spying law / Nikkei Asia (paywall)
“China vowed clarity regarding its new, broader anti-espionage law to foreign multinationals on Friday, aiming to reassure businesses fearful of being accused of spying.”

China hack targeted cloud data as well as emails
More than government emails likely exposed in hack tied to China / Bloomberg (paywall)
“Suspected Chinese hackers who infiltrated the emails of U.S. Commerce Secretary Gina Raimondo and government officials from around the world may have had access beyond emails, according to a cloud security firm…[The hackers may also have infiltrated] applications that include Teams, OneDrive and Sharepoint, cloud security firm Wiz Inc. said on Friday.

Taiwan military preparedness
As Taiwan prepares for anti-invasion exercises, China sends dozens of warplanes toward the island / AP
“China sent dozens of warplanes, including fighter jets and bombers, toward Taiwan, the island’s Defense Ministry said Saturday, marking a forceful display days before the democracy plans to hold military exercises aimed at defending itself against a possible invasion.”
‘Air raid alert’: Taiwan holds annual evacuation drill amid China tension / Reuters
“Cities across northern Taiwan ordered cars off roads and people to stay indoors on Monday for an annual air-raid exercise as the island steps up preparations in the event of a Chinese attack amid rising military threats from Beijing.”
How China’s military is slowly squeezing Taiwan / FT (paywall)
“For all the focus on a potential invasion, some in Taipei fear a Chinese pressure campaign that gradually changes the status quo.”

U.S.-China competition and tensions
U.S. weighs potential deal With China on fentanyl / WSJ (paywall)
“Beijing has demanded the U.S. lift restrictions on a police forensics institute said by Washington to have facilitated human-rights abuses.”
Untangling the U.S. from China’s economy is messy / WSJ (paywall)
“The Biden administration’s attempt to surgically cut economic ties with China is proving difficult to execute.”

ASEAN
China to widen Asean trade with first major waterway in 700 years, but will Pinglu Canal be a game changer or white elephant? / SCMP (paywall)
“Chinese authorities like building roads and bridges from times gone by, as connectivity facilitates flows of people, goods and also fortune. But only a few can afford to construct canals that demand massive amounts of labor and mastery of technology.”

North Korea
High-level Chinese delegation to visit North Korea — KCNA / Reuters
“ A high-level Chinese delegation will travel to North Korea this week, the North’s official KCNA news agency reported on Monday, in the first acknowledged visit of its kind since Pyongyang shut its borders in the wake of the COVID-19 epidemic.”
High-level Chinese delegation to visit North Korea this week: KCNA / Nikkei Asia (paywall)
Opinion: Beijing can’t make North Korea ‘denuclearize’, Mr Blinken / SCMP (paywall)
Alex Lo writes: “China is as likely to stop Pyongyang’s nuclear arms programme as the US is to halt its sale of weapons to Taiwan.”

Myanmar
Inside the Chinese-run crime hubs of Myanmar that are conning the world: ‘we can kill you here’ / SCMP (paywall)
“From Shwe Kokko to KK Park, a slew of brutal criminal enterprises now dot the Moei River that forms Myanmar’s border with Thailand.”

Japan
China urges Japan not to disrupt chip industry after technology curbs take effect / AP
“China’s government appealed to Japan on Monday not to disrupt the semiconductor industry after curbs on exports of Japanese chip-making technology took effect, adding to technology restrictions Washington and its allies have imposed on China on security grounds.”
As Japan aligns with U.S. chip curbs on China, some in Tokyo feel uneasy / Reuters
China ‘dissatisfied’ with Japan’s chip equipment export controls / Nikkei Asia (paywall)
China warns Japan on NATO, hopes it refrains from undermining trust in region / Reuters
“The Chinese embassy in Japan said on Monday that NATO’s plan to expand into the Asia-Pacific violates U.N. rules and hoped Japan, in its interaction with NATO, would refrain from actions that undermine trust among countries in the region.”

China-Africa relations
Wang Yi pledges Beijing will help Ethiopia recover and boost ties with Kenya and Nigeria / SCMP (paywall)
“As the West steps up its diplomatic ventures into Africa, China has renewed its commitment to the continent, with debt relief and reconstruction pledges for Ethiopia and calls on new administrations in Kenya and Nigeria.”
Power fantasies: The truth about Chinese ‘chiefs’ in West Africa / Sixth Tone
“From ‘infrastructure chiefs’ to ‘chiefs of the Chinese,’ a number of Chinese have been awarded chieftainships in Africa. Their powers are less glamorous than many imagine, however.”

SOCIETY AND CULTURE:

Music
Rock and rivals: Two cities duel for China’s music capital crown / Sixth Tone
“For Shijiazhuang and Xinxiang, the race to become China’s rock music capital is more than just a title; through social media and viral campaigns, they hope to boost tourism.”

Asia Games
Before Asian Games, Hangzhou students tutor elderly in English / Sixth Tone
“From students tutoring their grandparents to public transportation staff undergoing English training, Hangzhou is abuzz with preparation for the multi-sport event.”

Film
Despite slow China start, ‘Barbie’ sets a benchmark — for dating / Sixth Tone
“Since its release last Friday, ‘Barbie’ has grossed around $7 million, far behind domestically produced titles.”
How China’s greatest ever film was rescued from oblivion / Sixth Tone
Fèi Mù’s 費穆 1948 masterpiece ‘Spring in a Small Town’ [小城之春] was condemned to obscurity for decades after its release. But 75 years later, it has finally won recognition as the best Chinese film ever made and is receiving a new wave of attention.”

Household registration
Zhongkao fallout as backlash against ‘returning students’ triggers official investigation / Sixth Tone
“Xi’an has relaxed its household registration requirements to attract talent in recent years. Now authorities are investigating whether out-of-province students are taking advantage of the system to improve their exam chances following parents’ complaints.”

Sports
Chinese coach apologizes for ‘irrational behavior’ after slapping referee / Reuters
“A Chinese football coach has apologized for behaving ‘irrationally’ after slapping a referee during a second-tier match on Sunday, his team Liaoning Shenyang said.”
American NBA player Anderson gains Chinese citizenship – CBA / Reuters
“Minnesota Timberwolves forward Kyle Anderson has obtained Chinese citizenship through naturalization, the Chinese Basketball Association (CBA) said on Monday.”
Two senior Chinese soccer officials caught in sweeping graft dragnet / Caixin (paywall)
“Two more senior officials of the Chinese Football Association (CFA) have fallen under graft probes, as the country’s anti-corruption crackdown on the sport has now caught a former referee in its dragnet.”