China News - 5 May 2023
International
Hikvision cameras found on Manchester GCHQ base. At least nine cameras were found on Heron House, a multi-tenancy building in Manchester that is leased from Manchester City Council. GCHQ has said it does not operate Hikvision cameras on its part of the building. Channel 4 News, 4 May
Canada considers expelling Chinese diplomats for targeting MP. Foreign Affairs Minister Melanie Joly summoned China's ambassador on Thursday to discuss the issue raised by the CSIS report. Nadine Yousif. BBC News, 5 May
University of Waterloo, Canada cuts ties with Huawei over federal security rules. The Government of Canada’s mandatory risk-assessment framework for university researchers was introduced two years ago to safeguard intellectual property from authoritarian governments. Vice-president of university research claims rules ‘led to an inability to get partnership funds through that portfolio.’ Andrea Woo and Xiao Xu. The Globe and Mail, 4 May
US Seeks Meeting With China Defense Minister. The Pentagon is seeking a meeting between Defense Secretary Lloyd Austin and his Chinese counterpart next month. The proposed meeting would take place alongside the ISS Shangri-La Dialogue, an annual security forum in Singapore. Peter Martin. Bloomberg, 5 May
China urges ‘high vigilance’ over NATO expansion in Asia. Mao Ning, spokesperson for the Chinese foreign ministry, said Asia was a ‘promising land for cooperation and development and should not be a battle arena for geopolitics’. Reuters, 4 May
TikTok suspends film on Jimmy Lai. On 18 April, the Acton Institute released its documentary about Jimmy Lai, The Hong Konger. The Institute’s TikTok account, which was set up the same day the film premiered, was subsequently suspended. Amidst media backlash, TikTok has announced that the account was removed in error and has been reinstated. Wall Street Journal, 3 May
US trade official to discuss China’s ‘economic coercion’ in upcoming Asia-Pacific Economic Cooperation talks. Christopher Wilson, assistant US Trade Representative, says US has ‘ongoing concerns about the misuse and manipulation of intellectual property’. The issue is likely to be raised at the Apec trade ministers’ meeting, set for May 25 and 26. Robert Delaney. South China Morning Post, 5 May
China’s ‘14+1’ initiative is over, says Czech foreign minister. Beijing founded the grouping in 2012, initially with 16 European countries, in an effort to rebuild ties with the formerly Soviet-controlled part of Europe. The group expanded to 17+1 when Greece joined, but shrank to 14+1 when Lithuania, Estonia and Latvia decided to drop out. The initiative has weakened as Central European governments have grown increasingly wary of China. Stuart Lau. Politico, 4 May
Economy & tech
White House releases standards for critical and emerging tech. The strategy was unveiled in a briefing yesterday. It focuses on four key areas: investment, participation, workforce, as well as integrity and inclusivity. WH.Gov, 4 May
China slams US Chips Act subsidies at WTO. China representative says the Chips and Science Act, that sets aside US$53 billion to fund domestic chip production and research, allows US to ‘interfere with the allocation of market resources’ and show ‘double standards’. Xinmei Shen. South China Morning Post, 4 May
Alibaba’s global online commerce arm considers US IPO. Alibaba in March unveiled plans to break up its empire into units such as e-commerce, logistics and the cloud, with each business potentially exploring fundraising and an IPO. The unit, which includes platforms AliExpress and Lazada, has been valued at as much as US$39 billion by analysts. Yoolim Lee and David Ramli. Bloomberg, 4 May
The next iPhone will still be made in China. The iPhone 15 is likely to rely on three suppliers - Foxconn Technology Group, Luxshare Precision Industry Co and Pegatron Corp - as Apple seeks to avoid dependence on a single contract manufacturer. Ben Jiang. South China Morning Post, 4 May.
Chinese companies told to step up data checks on auditors. Government issues warning in attempt to strengthen controls over sensitive corporate information. Cheng Leng and Edward White. Financial Times, 4 May
JPMorgan chairman set to visit mainland China for first time in four years. Jamie Dimon’s trip comes after JPMorgan acquired 100% ownership of its funds management joint venture in January. The approvals process took more than two years. Reuters, 5 May
Opinion & long reads
China’s new strategy for waging the microchip tech war. Gregory C. Allen. CSIS, 3 May
Western Banks’ collusion with the CCP should raise alarms. Director at the China Strategic Risks Institute warns banks may bow to pressure from Beijing in the event of a Taiwan conflict. Sam Goodman. The Diplomat, 4 May
Why China’s censors are deleting videos about poverty. After Xi Jinping declared a ‘comprehensive victory in the battle against poverty’, discussion of economic struggle in China remains taboo. Li Yuan. New York Times, 4 May