China News - 24 July
International
Cleverly delays China trip after envoy’s disappearance. Chinese Foreign Minister Qin Gang’s near-month-long absence from public view contributed to a delay in what was previously expected to be a late-July visit to Beijing by Cleverly, reports Bloomberg. The UK and China are discussing further possible dates. Bloomberg, 21 July
Top Chinese diplomat proposes talks with Japan and South Korea. The proposal is seen as signalling a willingness to resume talks among the countries. The last time that the three countries' leaders met was in 2019. US allies, Japan and South Korea, are wary of China’s growing military assertiveness. Reuters, 23 July
Students are “magnetic targets” for espionage head of MI5 warns. “If your field of research is relevant to, say, advanced materials, or quantum computing, or AI, or biotech – to name but a few – your work will be of interest to people employed by states who do not share our values,” Ken McCallum told the annual Bowman lecture at the University of Glasgow last month. Ewan Somerville. Telegraph, 22 July
Retired Canada police officer charged with foreign interference for China. William Majcher has been arrested and faces charges under the Security of Information Act. He “used his knowledge and his extensive network of contacts in Canada to obtain intelligence or services to benefit the People’s Republic of China”. The Guardian, 21 July
Japan likely to come to Taiwan's aid during a Chinese invasion. Japan’s Minister of State for Defence Ino Toshiro said: “If people all over the world have the will to support Taiwan, similar to the way they supported Ukraine when we witnessed Russia’s aggression, then, yes, it would be very possible that we will provide some kind of support to Taiwan”. Nicola Smith. Telegraph, 23 July
China supplying equipment to Russia it should not, French diplomat says. French officials told CNN that diplomat Bonne was referring to both dual-use technologies and non-lethal assistance, such as helmets and body armour. Although the use of Chinese equipment on the battlefield has not yet been seen, it is something under close scrutiny. Reuters, 21 July
China sends 37 warplanes to Taiwan ahead of major combat and evacuation drills. Taiwan is holding its annual military exercises next week, aimed to prepare civilians and practice defending itself from a potential invasion. Unlike previous years, people in the street will be escorted to bomb shelters during a practice air raid siren (previously they were told to wait indoors for 30 minutes). Vishwam Sankaran. The Independent, 22 July
China watch
Five dead after heavy rains in eastern China and crops damaged in the northeast. Floods carrying people, houses and belongings were reported in a village near Hangzhou. Around 5,600 people were evacuated in Liaoning province. 54 hectares of crops in Jinzhou are already ruined, and some soybean crops are still threatened. Reuters, 23 July
China to resume 15-day visa-free entry for Singapore and Brunei citizens. The visas have been restored three years after they were stopped to prevent the spread of Covid. China lifted many of its zero-Covid measures in December, but tourist visas have only been issued since March. Reuters, 23 July
11 die as roof collapses on girl’s volleyball team in China. Many eyewitnesses state that the victims were mainly children. Police have detained the bosses at a local construction company, according to local media. Kelly Ng. BBC News, 24 July
Economy & tech
Work dries up for US consultancies in China after national security raids. Top US consultancies are struggling to attract business as Beijing’s security raids scare local clients and global investors. Bain and McKinsey are delaying start dates for new recruits to 2025, and around half of McKinsey’s staff do not have paid client projects to work on. Ryan McMorrow, Joe Leahy, Nian Liu and Eleanor Olcott. Financial Times, 23 July
China backed AIIB secures World Bank deal. This is the highest profile agreement since Beijing-based group was accused of being infiltrated by the CCP. AIIB’s board approved a proposal to issue $1bn in credit guarantees against sovereign-backed loans made by the World Bank’s lending arm, the International Bank for Reconstruction and Development. Joe Leahy and Alec Russell. Financial Times, 21 July
China seeks to boost demand by pushing urban development. The cabinet has approved guidelines for transforming underdeveloped areas in megacities. The promotion of these “urban villages” is seen as an attempt to help the faltering Chinese economy. It will improve livelihoods, expand domestic demand and help high-quality urban development. Reuters, 21 July
Opinion & long-reads
China’s data ‘black box’ puzzles economists. The lack of any detailed explanation on the “seasonal adjustment” process is making it harder to decipher China’s economy. Thomas Hale. FT, 23 July
Report says China can boost yuan’s international role. A report from Renmin University said China should push for more free-trade agreements to create favourable conditions for the yuan’s use overseas. Frank Tang. South China Morning Post, 23 July
Prominent scientist “downplayed Covis lab leak theory to avoid upset”. Private messages released by the US Oversight Committee show Prof Andrew Rambaut feared “s*** show” for accusing Beijing in discussions of a paper The Proximal Origin of Sars-CoV-2. Sarah Knapton. Telegraph, 22 July
Why Kissinger Went to China — Again. Daniel W. Drezner. Politico, 22 July