China News - 29 October 2020
Reuters reports that Biden, if elected, would consult allies on future of U.S. tariffs on China, according to advisers. Democrat Joe Biden would immediately consult with America’s main allies before deciding on the future of U.S. tariffs on China, seeking “collective leverage” to strengthen his hand against Beijing if he is elected president, Biden top advisers said on Wednesday. “The failure of the Trump administration has been to go it alone. And that has given China an escape hatch,” said Jeffrey Prescott, a former senior foreign policy in the Obama administration. Reuters, 29 October
US loosens Huawei curbs, increasingly allows sales of chips to Huawei’s non-5G businesses. Analysts suggest that this indicates that the US intends to allow Huawei to stay in the handset business, given it does not present an obvious national security threat to the US. FT, 29 October
FBI charges 'Chinese agents who coerced dissidents'. Five individuals have been arrested in the US, facing charges of targeting opponents of the Chinese Communist Party and trying to coerce people to go to China to face punishment. John Demers, an assistant attorney general, said the suspects were all involved in a global Chinese operation known as “Fox Hunt” aimed at pressuring targets sought by Beijing. BBC, The Guardian, 29 October
Large Covid outbreak in China linked to Xinjiang forced labour. More than 180 cases of Covid-19 documented in the past week in Shufu county, in southern Xinjiang, can be traced back to a factory that was built in 2018 as part of government “poverty alleviation” efforts, a campaign that researchers and rights advocates describe as coercive. The Guardian, 29 October
Pompeo urges Indonesia to focus on China's treatment of Uighurs, urged Jakarta to resist China’s entreaties to “look away from the torments of your fellow Muslims”. Reuters, 29 October
Hong Kong activist Tony Chung is first public figure charged under new security law. Student leader and pro-democracy activist Tony Chung, 19, was denied bail in a Hong Kong court today and will next appear in court on January 7, where he faces between ten years and life in prison if convicted. He is charged with secession, money laundering and conspiracy to publish seditious materials. The Times, Reuters, 29 October
Taiwan marks 200 days without domestic Covid-19 infection, highlighting success of swift approach. The Guardian, 29 October
Climate change: China eyes launch of national emissions trade scheme within five years, says top climate change official. It will quickly become the world’s largest carbon trading scheme once it moves from its pilot status. Reuters. The BBC also reports new carbon sink analysis of China's forests which show two areas in the country where the scale of carbon dioxide absorption by new forests has been underestimated. BBC, 29 October
Thailand and China sign delayed deal on Belt and Road rail line. Nikkei, 29 October
China watch
Beijing release communiqué from fifth plenum, press conference scheduled for this evening (10am Beijing time). Xinhua
Xinhua picks up on Ray Dalio FT piece. “The anti-China bias "has blinded too many for too long to opportunities" in a changing world, a major British newspaper has reported.” Xinhua. See the original FT opinion article “don’t be blind to China’s rise in a changing world” from 23 October.
Economy & tech
Understanding the digital yuan: China’s sovereign digital currency is designed primarily to grow retail payments at home and prevent the dominance of the US dollar, rather than address threats raised by cryptocurrencies or stablecoins, a former central bank governor says. SCMP, 29 October
Hong Kong’s Secretary for Justice calls for HK enterprises in the Greater Bay Area (GBA) to be able to adopt Hong Kong law for purposes of arbitration and contracts. Currently, foreign-invested enterprises in China cannot adopt foreign law or ask a foreign institution for arbitration without "foreign-related elements." The Standard, 28 October
Greater Bay Area: British Chamber of Commerce members building China strategy around special access to Greater Bay Area. SCMP, 28 October
Longer reads & opinion
FT View: The march of Ant is a Chinese success story of fintech innovation as impressive as anything in the West. FT, 28 October
As the US retreats in a coronavirus-ravaged world, China is increasing its influence on the world stage. SCMP, 29 October