China News - 14 October 2021

Upcoming event - Banking on the Belt and Road: Join us for a discussion with experts from the AidData team as they break down China’s lending on the international stage. This virtual briefing will take place on Monday 18 October at 4pm BST and will be hosted by Tom Tugendhat MP. Register here.

International

UK, China share ‘unique opportunity’ to work together to protect planet, says UK envoy to China. With the UK hosting COP26 and China hosting COP15 this year, the UK and China have a unique opportunity to work together to protect our planet, our economies and our livelihood, Caroline Wilson, the British Ambassador to China, told the Global Times in an exclusive interview. Global Times, 13 October

China’s coal plans could derail Cop26 climate ambitions, says Labour. Ed Miliband joins climate experts in expressing deep concern over Beijing’s plans to step up coal output to deal with a spiralling energy crisis that threatens economic growth. The Guardian, FT, 13 October

G20 to reinforce rules on subsidies in move seen to be aimed at China, backs WTO reforms. Trade and investment ministers in the G20 major economies affirmed the need to reinforce international rules on industrial subsidies to ensure fair competition, according to a statement released on Wednesday by ministers. SCMP, 13 October

UN experts urge review of Hong Kong security law; say arrests ‘incompatible’ with human rights and international law. Four United Nations international rights experts have urged the Hong Kong authorities to launch an independent review of the Beijing-imposed national security law. Their statement called for a “reinvigoration of an independent judiciary in Hong Kong, a pause in applying this law, and a fundamental reconsideration of its use.” HKFP, 14 October

Sculptor calls in lawyer to save Hong Kong Tiananmen statue. The Telegraph, 13 October

Australia’s defence department review could see the Northern Territory’s 99-year deal with Chinese company scrapped or imposed with additional requirements. The NT government remains in the dark about potential moves by the federal government to scrap Landbridge Group’s lease over the Port of Darwin amid national security concerns. The Guardian, 13 October

US strengthens Asia-Pacific defences by deploying floating base for helicopters and hovercraft to Okinawa. The USS Miguel Keith, an expeditionary staging base designed to transport large quantities of equipment and serve as a floating base for helicopters and hovercraft, was deployed to the White Beach naval base on the Japanese island as joint Quad maritime drills began. SCMP, NHK, 13 October

Xi Jinping speaks with ‘old friend’ Angela Merkel in parting video call. Politico, SCMP, CGTN, Xinhua, 13 October

Beijing Winter Olympics: IOC vice-president says China human rights ‘not within’ its remit. Al Jazeera, HKFP, 13 October

Sally Rooney brought to book over Normal People’s publication in China. The Times, The Telegraph, 14 October

Economy & tech

China: Key price measure rises at fastest rate ever. China's "factory gate" prices - a measure of what manufacturers charge wholesalers for products - grew at the fastest rate on record last month as companies face power cuts and surging commodity prices. BBC, Bloomberg, WSJ, 14 October

US overtakes China as biggest bitcoin mining hub after Beijing ban. The Cambridge Centre for Alternative Finance found that China’s share of the global hashrate — the computational power required to create bitcoin — fell from 44% to zero between May and July after its State Council banned cryptocurrency mining and trading, citing environmental and financial concerns. SCMP, FT, The Guardian, 13 October

Evergrande crisis leaves Chinese developers shut out of global debt markets.
International bond sales by Chinese developers have all but halted as the crisis at China Evergrande stokes fears of defaults across the country’s property sector, throttling a crucial driver of Asia’s high-yield debt market. FT, 14 October

Giant China project leads the rise of renewable mega-hubs. China, already a global leader in renewable energy, seeks to raise the bar dramatically on wind and solar capacity. Bloomberg, 13 October

China’s exports grew by 28.1% in September, but likely to slow as other manufacturing markets open up, PPE demand wanes. RTHK, CGTN, SCMP, 13 October

China focus

China tests unmanned warships at secret base. China is testing larger, more capable drone warships for “high-end” combat at a secret base on the north-eastern coast. Maxar, a US space technology company, revealed that China is mixing its expanding fleet of aircraft carriers, destroyers and frigates with large “uncrewed surface vessels” at a new pier near the city of Dalian. The Times, 14 October

Tutoring companies stop taking payments as nonprofit deadline looms. China’s top education authority has advised all curriculum-based tutoring companies to stop selling classes until they’ve successfully converted into nonprofit organizations. Sixth Tone, 13 October

Xi stresses importance of ensuring senior citizens live happily. Speaking ahead of China's Seniors' Day, Xi urged Party committees and governments at all levels to implement a ‘national strategy’ to address challenges associated with population ageing. Xinhua, 13 October

Damage to China’s wetlands by invasive cordgrass highlights fight against biodiversity loss. SCMP, 13 October

Opinion & editorial

Will China’s plan to build more coal plants derail Cop26? China’s decision to build more coal plants is a setback for climate action, but analysts say it could still meet its long-term emission reduction targets. Jonathan Watts. The Guardian, 13 October 

If Cop26 is a failure, the world will have to deal with the consequences. Simon Nixon. The Times, 14 October

China’s power crisis will affect industries worldwide. David Fickling. Bloomberg, 13 October

The real question about China for investors. Beijing’s policymaking process is the main issue, not its political objectives. Logan Wright. FT, 13 October

Longer reads

The story of China’s first atomic bomb. James Carter. SupChina, 13 October

Why China won’t back off Taiwan. James Palmer. Foreign Policy, 13 October

AUKUS and the dawn of realpolitik minilateralism in the Indo-Pacific. Alessio Patalano. The new pact signals a decisive shift of focus in action and priorities. Nikkei Asia, 13 October

The man who knew too much of Xi's power plays is out. Ex-minister Fu Zhenghua was the engine behind the president's anti-corruption drive. Katsuji Nakazawa. Nikkei Asia, 14 October

China’s ‘drifting’ migrant mothers tell their stories. The author, an artist and editor of several previous compilations of essays on motherhood, wanted to help migrant women record their experiences. Jing Yuan. Sixth Tone, 13 October