China News - 1 June 2022
For the latest episode of our Talks on China podcast, we were joined by Carl Minzner to discuss the role of internal politics in Xi Jinping's refusal to deviate from his stringent 'zero-COVID' policy. Listen here.
International
Shanghai reopens after two months of Covid lockdown. After 65 days, more than 90% of residents are able to leave their residential compounds, and public transport has resumed. Some large factories are likely to keep the closed loop system and most children will not yet return to face to face schooling. The Guardian, SCMP, BBC, 1 June
New Zealand forges closer security ties with US after China’s Pacific push. Jacinda Ardern, New Zealand’s prime minister, and President Joe Biden agreed to closer security co-operation in response to “growing strategic competition” in the Pacific. FT, 1 June
Wang Yi says China has no geopolitical intentions in Pacific islands relations. SCMP, 1 June
China-led AIIB drops Russia as venue for annual gathering. Nikkei Asia, 1 June
Mongolia under pressure to align with Russia and China. The Guardian, 31 May
China focus
China releases its long-awaited 14th Five-Year Plan for renewables. Reuters, Twitter, 1 June
China’s economic downturn shows signs of easing. Economic activity declined again in May, but at a slower pace than in April. China’s official PMI rose to 49.6 in May, from April’s 47.4. WSJ, 31 May
China youth unemployment leaves tens of millions jobless. In April, China’s jobless rate among 16- to 24-year-olds, a group that includes new college graduates, climbed to a record 18.2%. Bloomberg, 1 June
Economy & tech
HSBC plans $448 mln investment in Chinese business - Xinhua. In the rare interview with Xinhua, CEO Noel Quinn said the investment would be carried out over a five-year period running until 2025 without specifying the divisions that would receive the cash. Reuters, 1 June
Apple to shift iPad capacity to Vietnam amid China supply chain woes. For the first time ever Apple is moving some iPad production out of China and shifting it to Vietnam. Nikkei Asia, 1 June
Chinese researchers say they have developed AI to predict course of hypersonic missiles. SCMP, 1 June
US ‘actively considering’ China trade tariffs move, but need to find a balance. SCMP, 1 June
Long reads & opinion
Does the UK’s new development strategy support its foreign policy objectives? Theo Beal and David Lawrence. Chatham House, 31 May
British climate diplomacy should take on the free-riding polluters in Beijing. Jack Richardson. Conservative Home, 31 May
The closing of the Chinese mind. Cindy Yu. The Spectator, 1 June
The FT view: An opportunity for China to improve ties with foreign investors. FT, 31 May
The Guardian view on the UN in Xinjiang: a grave error. The Guardian, 1 June
This newsletter will return on Monday 6 June after the Jubilee bank holiday.