China News - 16 November 2020
CRG event tomorrow from 10am - 11am: China: The View from Europe. With transatlantic alliances likely to be a key feature of Biden’s China policy, the CRG has convened an expert panel to discuss the future of Europe’s relations with China. Register here.
International
Asia-Pacific countries form world's largest trading bloc RCEP after years of talks. Analysts have said that the deal represents a win for China’s influence in the region - it is the country’s first plurilateral trade agreement - but only a minor improvement on existing trade deals. The key economic impact is likely to come from changes to “rules of origin”, which may incentivise member nations to diversify suppliers within the region. But the RCEP deal carries “symbolic heft”, writes the NYT, and also comes after a retreat by the United States from sweeping trade deals that reshape global relationships. Nikkei, BBC, The Economist, SCMP, NYT, 15 November
Australia hopes Asia-Pacific trade deal will improve ties with China. Reuters, 15 November
Eyes on Biden's TPP move as China joins mega trade deal RCEP. Nikkei, 15 November
EU must assert strategic autonomy in face of US-China dominance, says Macron. European leaders must not let up on efforts to construct an autonomous bloc that is capable of resisting the duopoly of China and the US, Emmanuel Macron has said in his first extended response to the US presidential election. “It is vital that our Europe finds the ways and the means to decide for itself to rely on itself, not to depend on others in every area, technological, health, geopolitics, and to be able to cooperate with whomever it chooses,” he said. The Guardian, 16 November
EU foreign affairs chief Josep Borrell admits Western countries “a bit naive” about Beijing’s manipulation of global trade rules. Washington Post, 16 November
Interference: Irish politician accused of ‘meddling’ on China’s behalf. The ceann comhairle Seán Ó Fearghaíl contacted the Department of Foreign Affairs, Fianna Fail, Fine Gael and various TDs about Ireland’s position on Taiwan after several meetings with Chinese diplomats since 2017. In one letter to the Chinese ambassador, the ceann comhairle said that he had spoken to TDs in the “strongest terms” about the need to adhere to the One China policy. The Times, 15 November
Donald Trump plans new hardline moves against China in coming weeks, official says. Actions under consideration include protecting US technology from exploitation by China’s military, countering illegal fishing and more sanctions against Communist Party officials or institutions causing harm in Hong Kong or the far western region of Xinjiang, the official said, without providing specifics. SCMP, 16 November
G20 strikes historic debt pact to help poorer states hit by COVID. Major creditors, including China, will be expected to follow the joint guidelines agreed by the G20. Reuters, 15 November
Pakistan to pacify Belt and Road opposition with more projects. Nikkei Asia, 15 November
UK
Boris Johnson key energy speech expected this week. The FT speculates that he is set to give the go-ahead to new nuclear power stations — such as Sizewell — as well as new policies supporting the hydrogen economy and a transition to electric vehicles. FT, The Guardian, 15 November
This is likely to be a key test of government’s stance on China, given China General Nuclear took a 20% stake in the development phase of Sizewell with the expectation of involvement in the construction phase. The BBC reported in September that the UK government is considering options to replace China's CGN as an investor in Sizewell.
UK: Tower Hamlets objects to new China embassy after Uyghur crackdown. China has revealed plans for a new embassy in Tower Hamlets as tensions escalate between the East London borough and China’s ambassador to the UK. Liu Xiaoming, China’s Ambassador to the UK, wrote to the mayor of Tower Hamlets last month outlining his ‘grave concern’ at local opposition ‘under the excuse of Xinjiang and Hong Kong related issues’. The Times, Daily Mail, 16 November
Diane Abbott apologises for speaking at event alongside Chinese human rights abuse denier. The Labour MP, who was shadow home secretary under Jeremy Corbyn until April this year, spoke at a webinar where claims were made that any mistreatment of Uighur people were a "fiction" cooked up to try and start a "racial war". Sky News, 15 November
UK-China cooperation 'urgent' for Glasgow climate talks next year - David Cameron in address to annual Caixin summit. Caixin, video of speech, 14 November
China watch
Citizen journalist facing jail in China for Wuhan Covid reporting, indicted on charges of spreading false information. The Guardian
Signing of RCEP "victory of multilateralism, free trade": Chinese premier. The deal is being used to bolster the Chinese government’s claims about trade liberalisation. Xinhua
Economy & tech
HSBC has big ambitions for China but Westerners still dominate its board. HSBC earns more money in Asia than it does in the rest of the world. The bank’s British chief executive, Noel Quinn, is refocusing on the lender’s lucrative network in China and Hong Kong while scaling back operations in Europe and the US. WSJ, 15 November
Flagship scheme to forge closer links between Britain and China's stock markets dubbed a 'flop' after UK firms shun the London-Shanghai Connect scheme. Just four Chinese companies have used the scheme. This is Money, 15 November
US suspends threat to ban TikTok, extends deadline by two weeks. The Times, 15 November
Longer reads & opinion
Speech by Germany’s Foreign Minister Heiko Maas on “rethinking arms control”. This discussion also needs to involve China. As a major nuclear and military power, Beijing must engage more strongly in arms control, transparency and risk reduction. Transcript, 6 November
Germany walks tightrope between China and rest of Indo-Pacific, as Berlin turns its foreign policy attention. Nikkei Asia, 15 November
Why the Arctic is not the next South China Sea. War on the Rocks, 5 November
What is behind China’s diplomacy of indignation? The Diplomat, 15 November
The week ahead
Monday
Chief Executive of Macao, Ho Iat-seng, delivers his annual policy address.
Tuesday
Second reading of National Security & Investment Bill in House of Commons.
BRICS leaders attend video summit, hosted by Russia and attended by President Xi Jinping.
2:30pm: Foreign Affairs Committee session with oral evidence on the UK’s role in strengthening multilateral organisations, including Liam Fox.
Thursday
EU foreign affairs ministers hold a videoconference summit, with briefing from Josep Borrell and multilateralism on the agenda. Details.
Friday
PBoC rates announcement, with no change expected.
US-Taiwan ministerial dialogue takes place in Washington between economic ministers.
Saturday
Saudi Arabia hosts virtual G20 conference from 21-22 November.