China News - 2 February 2022
New China Research Group event: Tom Tugendhat MP will be joined by experts Rogier Creemers, Rui Ma and John Lee to discuss China’s digital governance and its strategic approach to technology. You can register for the Wednesday 9th February (4pm GMT) event here.
International
British judges set to enforce national security law in Hong Kong. Andrew Cheung, the chief justice of the territory’s Court of Final Appeal, has confirmed that there is no bar preventing the foreign judges that sit on its bench from hearing cases under the national security law. Most of the overseas judges sitting on the bench are from Britain and include the two senior members of the UK Supreme Court. The Times, 2 February
UK government publishes first ever Defence Space Strategy. The UK will invest £1.4 billion in cutting-edge technology to protect UK interests in space and will strengthen partnerships with key allies and NATO to build stability and resilience. Chief of the Air Staff Sir Mike Wigston commented: “China seeks to become the world’s pre-eminent space power by 2045, an aspiration supported by its developments in cyber, electromagnetic and kinetic systems that potentially could threaten other users in space.” Gov.uk, Beijing to Britain, 1 February
EU to outline tech standards plan to counter China influence. Margrethe Vestager, the bloc’s competition chief, told the Financial Times the new strategy was designed to ensure Europe continued to set international benchmarks that guided the development of everything from facial recognition systems, advances in battery power and the next generation of environmental innovations. FT, 2 February
Australia backs rare earths mine to reduce China’s supply dominance. On Wednesday, the Australian government agreed a A$140mn (US$100mn) project financing loan to the Yangibana rare earths mine in the Gascoyne region of Western Australia. The mine is being established by Hastings Technology Metals, a company set to become Australia’s second-biggest exporter of rare earth minerals. FT, 2 February
As the US pulls back from the Middle East, China grows its presence. China is expanding its ties to Middle Eastern states with vast infrastructure investments and cooperation on technology and security. Beijing struck $10.5bn in new construction contracts in Iraq last year, despite a broader downturn in Chinese outbound investment. NYT, FT, 1 February
US trade official says China failed to meet 'Phase 1' commitments. "It's not our goal to escalate here. But we're looking at all the tools we have in our toolbox to make sure they're held accountable," Deputy US Trade Representative Sarah Bianchi said, without providing details. Reuters, SCMP, 1 February
Scientists leave the UK as China overtakes US as most favoured destination. Science Business, 1 February
Argentina's Fernandez set for China, Russia tour in wake of breakthrough IMF debt talks. Reuters, 1 February
China inks nuclear power plant deal with Argentina. Nikkei Asia, 2 February
China-Japan ties ‘may rest on trade alone’ after Tokyo human rights vote. SCMP, 2 February
Winter Olympics: Torch relay gets under way in Beijing. BBC, 2 February
Economy & tech
Chinese drone company DJI received funding from Chinese government investors, despite prior claims. New research by IPVM, a video surveillance research group, show that at least four investment funds that are owned or operated by the Chinese government have invested in the drone maker. In December the US Treasury Department added DJI to a US investment blacklist over the sales of drones to law enforcement in Xinjiang. The Washington Post, 1 February
Former US security officials urge Congress to act on China legislation. More than a dozen former senior US national security officials have pressed congressional leaders to quickly pass legislation to boost technology funding. The US House of Representatives plans a procedural vote on Wednesday on a bill that will include $52 billion to subsidise semiconductor manufacturing and research. Reuters, 1 February
Shanghai becomes giant semiconductor bottleneck. Congestion at the world’s biggest port in Shanghai is being compounded by reductions in air-cargo capacity at the city’s main airport, a situation that’s likely to raise costs further for the semiconductor industry. Bloomberg, 1 February
China should step up support to the economy, IMF says. Caixin, 1 February
China to launch platform for chipmaking collaboration with Intel, AMD. Nikkei Asia, 2 February
China focus
China’s Communist Party quietly inserts itself into everyday life. A sprawling propaganda campaign that has gone virtually unnoticed outside the country is taking place in ‘civilization’ centres, new report finds. WSJ, 31 January
Railway trips jump 65% in China’s holiday travel rush. While up from last year, Lunar New Year travel is still well below pre-pandemic levels amid recurrent Covid flare-ups. Caixin, 2 February
Xi loyalist Ding Xuexiang could benefit from factional infighting in quest to reach Standing Committee. The Diplomat, 1 February
Chinese activists held for two years await trial. The Guardian, 1 February
Opinion & editorial
Why China and North Korea are watching US response to potential Russian invasion closely. The Telegraph, 2 February
China’s digital yuan could become a model for other countries. Eswar Prasad. Fortune, 2 February
Xi Jinping has transformed China’s Middle East policy. Beijing was once wary of the region. Now, it’s all-in. Anchal Vohra. Foreign Policy, 1 February
Long reads
Uyghurs reveal what it's like in a Chinese prison. Two new books go behind the scenes of Chinese oppression in Xinjiang, where CCTV reports anyone who visit their mosque too regularly. Christopher Harding. The Telegraph, 1 February
China’s hidden debt: how much is it and what is Beijing doing to curb the financial risk? Amanda Lee. SCMP, 1 February
China’s Digital Silk Road and Africa’s technological future. How will the DSR affect Africa's technological and security future? Motolani Agbebi. Council on Foreign Relations, 1 February
Which Chinese athletes have a shot at gold at Beijing 2022? China has assembled a formidable squad for its first home Winter Olympics. Here are the Chinese stars to watch out for. Li Pasha. Sixth Tone, 2 February