China News - 11 December

International

Hong Kong’s “patriots-only” election draws record low turnout. Despite officials extending voting by 1.5 hours, a record low 27.5% of the city's electorate cast their ballots. This poll is widely seen as a test of public support for the political order imposed by Xi. Chan Ho-him. Financial Times, 11 December

China raises complaint over Taiwan’s participation in COP28. A member of the Chinese delegation said “China has noted that during the meeting a handful of countries ignore the fact that Taiwan is an inalienable part of China and make noises about the participation by the Taiwan authorities in the COP”. William James. Reuters, 9 December

Philippines and China trade accusations over South China Sea collision. The Philippine coast guard accused Beijing of firing water cannons and ramming resupply vessels as well as a coast guard ship. China’s coast guard said the Philippine vessel had intentionally rammed its ship. Mikhail Flores, Colleen Howe and Eve Wu. Reuters, 10 December

Economy & Tech

Millions drop out of China’s state health insurance system. Tens of millions of subscribers have cancelled their coverage as a result of rising premiums and fears of an economic slowdown. Sun Yu. Financial Times, 10 December

China’s deflation fears intensify as consumer prices fall at the steepest pace in 3 years. The consumer price index fell 0.5% last month, the national statistics bureau said that is the biggest drop since November 2020. Fortune, 9 December

India’s NSE set to take Hong Kong’s spot among world’s largest markets. The total market capitalisation of companies listed on the NSE was $3.7tn as of the end of October, compared to Hong Kong’s $3.9tn. John Reed and Andy Lin. Financial Times, 10 December

China’s electric car factories can’t hire fast enough. China misjudged how rapid the expansion of the EV sector would be, leaving a shortfall of skilled technicians as young people are not entering into manufacturing careers. Keith Bradsher. The New York Times, 8 December

China LandSpace’s methane-powered rocket sends satellites into orbit. This success could boost investor confidence in the use of methane as rocket fuel, which is cleaner, more efficient and even slashes costs. Roxanne Liu, Ella Cao and Ryan Woo. Reuters, 9 December

Opinion & long-reads

How China made a youth unemployment crisis disappear. When China’s youth unemployment rate hit a record 21.3% in June, Beijing responded by announcing it would no longer publish the statistics. When autocratic governments cancel such unflattering statistics, the problem becomes the purview of anecdotes and guesswork. Josh Zumbrun. WSJ, 8 December