International
Pro-China candidate Mohamed Muizzu wins Maldives presidency, upending relationship with India. Both China and India were competing for influence in the island nation. The runoff vote was considered a referendum on whether to pursue closer ties with India or China. The Guardian, 1 October
China says the US is the true “empire of lies”. The Chinese Foreign Ministry has lashed out at the US after the US State Department accused China of manipulating global media through censorship, data harvesting and covert purchases of foreign news outlets. Ryan Woo. Reuters, 30 September
The US government quizzes British firms on Chinese investment links. Nus Ghani, the Business and Trade Minister, said the government was waiting on the results of the US survey to decide on whether to follow their lead and clamp down on Chinese investments. Stefan Boscia. POLITICO, 29 September
Russia and China’s super weapons and the threat of nuclear war. Russia has “suspended” participation in the New START weapons treaty, which limits the number of strategic warheads both Moscow and Washington can keep ready to use. The pact expires in 2026 and is unlikely to be renewed. China has rapidly increased its nuclear arsenal, and now has more than 400 warheads. Lewis Page. Telegraph, 1 October
Trade between Russia and China is booming so much that shipping containers are “piling up”. Christian Roeloffs said in a Container xChange report that “there is significant cargo movement from China into Russia but very scarce movement back to China from Russia. Containers are piling up in Russia which means that the secondhand container prices are very low in Russia. Simone McCarthy. CNN Business, 29 September
Germany welcomes China’s support for G20 debt restructuring framework. Following a meeting with He Lifeng, German Finance Minister Christian Lindner said “we welcome the fact that the Chinese side is also committed to this in our Joint Statement, because solutions are inconceivable without China as such an important player in world politics”. Maria Martinez. Reuters, 1 October
Economy & Tech
HSBC executive to leave after criticising UK’s stance on China. Sherard Cowper-Coles will be stepping down after saying that the UK government has been “weak” in curtailing its dealings with China because of pressure from the US. Stephen Morris and Kaye Wiggins. Financial Times, 29 September
China looks to relax cross-border data security controls. The Cyberspace Administration published rules which seem to clarify and simplify the transfer of data out of China for ordinary business activities. Ryan McMorrow. Financial Times, 28 September
China’s economy stabilises as factory activity returns to expansion. China’s factory activity expanded from 49.7 to 50.2 in September for the first time in 6 months according to the National Bureau of Statistics. Ryan Woo and Tina Qiao. Reuters, 30 September
China hopes Golden Week holiday will deliver economic boost. Fred Neumann, chief Asia economist at HSBC, said “this holiday is going to be a test” on whether increased spending in restaurants will filter through into larger spending on things such as cars and apartments. Joe Leahy and Chan Ho-him. Financial Times, 30 September
Opinion & long-reads
The US cannot afford to lose a soft-power race with China. Bilateral relations have become just as important as military power. Raja Krishnamoorthi. Foreignpolicy, 29 September
Why Evergrande’s problems are only getting worse. The company is $300bn in debt and its chairman and founder is under police surveillance. Daisuke Wakabayashi. The New York Times, 30 September
Does China’s property bust make a financial crisis inevitable? An imminent financial crisis is not necessarily the case, as a result of Beijing’s heavy hand in the economy and some quirks in China’s property sector. Nathaniel Taplin. WSJ, 30 September
Attention-seekers and autocrats are a combustible mix. Proposed legislation will make it illegal to offend the “Chinese national spirit” or “hurt the feelings of the Chinese people”. This legislation could easily cause diplomatic disputes with the West. Elisabeth Braw. foreignpolicy, 28 September