China News - 20 April 2023
International
Chinese businessman with Conservative party links hosted secret overseas police station in Croydon. Chinese businessman Ruiyou Lin has organised Conservative Party fundraising dinners and been photographed alongside prime ministers. Billy Kenber and Sam Dunning. The Times, 19 April
UK warns China against intimidating foreign nationals on British soil. Policing minister Chris Philp said the government would not comment further at risk of jeopardising ongoing law enforcement investigations. Reuters, 19 April
Italy in talks with Taiwan over potential chip deal as it considers scrapping participation in China’s Belt and Road Initiative. Officials have reportedly discussed increased cooperation with Taiwan on the production and export of semiconductors, though Prime Minister Giorgia Meloni is yet to take a position on the matter. Italy is the only G7 country that has signed up for the BRI. The agreement will be automatically renewed in 2024 unless Italy acts. Chiara Albanese and Alessandro Speciale. Bloomberg, 20 April.
US Congress holds first hearing on implementation of Uyghur Forced Labor Prevention Act. Lawmakers discuss potential loopholes: brands such as Shein accused of using exemption for direct-to-consumer shipments under US$800 to evade customs scrutiny. Richard Vanderford. Wall Street Journal, 18 April
Blinken and G7 foreign ministers stress unity on Russia and China. Top diplomats reaffirm shared vision after Macron’s controversial comments on Taiwan. Edward Wong. New York Times, 18 April
China signals climate intent as vice-premier meets with COP28 president. Ding Xuexiang reiterated China’s climate goals in meeting with Sultan al-Jaber in Beijing. William Zheng. South China Morning Post, 20 April
China warns Guatemala against helping Taiwan. Guatemalan president Alejandro Giammattei due to arrive in Taiwan on Saturday for a two-day visit. Guatemala is one of only 13 remaining diplomatic allies Taiwan has left. Shweta Sharma. The Independent, 19 April
EU demands ‘immediate and unconditional’ release of Chinese activists detained last week. Yu Wensheng and wife Xu Yan were detained on their way to a meeting with EU officials. Their charges: ‘picking quarrels and provoking trouble’. Finbarr Bermingham. South China Morning Post, 19 April
India’s population to surpass China by June, according to UN data. Both governments have been subdued in their responses as demographic challenges remain a sensitive issue. Financial Times, 19 April
Economy & tech
Seagate fined US$300 million for sales to Huawei. Seagate, the world’s largest hard-drive maker, violated export controls by selling millions of units to blacklisted Huawei Technologies Co. The deal is the largest stand-alone settlement in the history of the Bureau of Industry and Security. Bloomberg, 20 April
Guangdong province doubles down on semiconductor industry. 40 major semiconductor projects worth more than US$74 billion in the pipeline. Iris Deng. South China Morning Post, 19 April
US-China Economic and Security Review Commission calls for tighter regulation of Chinese e-commerce firms Shein and Temu. In a public brief, the US agency say the two have skirted US laws and regulations, giving them an unfair advantage over homegrown companies. TechInAsia, 19 April
HSBC: Spinning off Asia-pacific business would result in material loss of value. HSBC has hit back at its largest investor, Chinese insurance company Ping An. Ping An has failed to attract support from other shareholders or advisors for the restructuring proposal. Owen Walker and Emma Dunkley. Financial Times, 19 April
Opinion & long reads
The Chinese economy after the ‘Two Sessions’. An analysis of the Government Work Report on the economy. George Magnus. Council on Geostrategy, 19 April
3 nuclear powers, rather than 2, usher in a new strategic era. China on track to massively expand nuclear arsenal. David E. Sanger, William J. Broad and Chris Buckley. New York Times, 19 April
Threats to the dollar’s dominance are overblown. While renminbi-backed trade grows, it still only accounts for about 3 percent of central bank reserves. Financial Times, 19 April