China News - 7 December
International
Britain announces 46 new sanctions aimed at Russia’s military supply chain. Britain announced 46 new sanctions against individuals and groups including entities operating in China, Turkey, Serbia and Uzbekistan. Sarah Young and Alistair Smout. Reuters, 6 December
China’s Wang stresses promoting stable, healthy Sino-US relations with Blinken. During a phone conversation with Antony Blinken, Wang Yi said having a stable and sustainable China-US relationship is vital. Bernard Orr. Reuters, 6 December
Rome pulls out of Xi’s Belt and Road initiative. Italy has formally informed Beijing of its decision to end its participation in the BRI. Amy Kazmin. Financial Times, 6 December
EU expected to issue veiled warning to China over supply of cut-cost goods. Ursula von der Leyen and Charles Michel are expected to warn Xi that if China does not do something about the supply of cut-cost goods to Europe, the bloc could retaliate with tariffs and even a trade war. Lisa O’Carroll. The Guardian, 5 December
Taiwan presidential election: opposition in chaos as China looms in background. Voters are faced with a choice of continuity with the ruling DPP, or change with an opposition that favours closer ties with Beijing. Helen Davidson and Chi Hui Lin. The Guardian, 6 December
Economy & Tech
Xi Jinping is asserting tighter control of finance in China. The CCP’s main theoretical journal has laid out a new ideological framework for the financial system that highlights the primacy of Xi and follows Marxist principles. Keith Bradsher and Joy Dong. The New York Times, 5 December
Volkswagen says Xinjiang plant audit finds no evidence of forced labour. The German carmaker hired a consultancy and local law firm to look into the factory following complaints by investors and human rights groups. Markus Loning said “we could not find any indications or evidence of forced labour among the employees. Patricia Nilsson. Financial Times, 5 December
Apple moves towards India-made iPhone batteries in push away from China. As part of the US tech giant’s effort to diversify its global supply chain away from China, Apple wants the batteries for its latest generation of iPhones to be made in India. Qianer Liu and John Reed. Financial Times, 6 December
TikTok owner ByteDance to buy back shares after amassing $50bn cash pile. TikTok’s success means ByteDance can buy back up to $5bn worth of shares from investors. Arash Massoudi, Ivan Levingston and Eleanor Olcott. Financial Times, 6 December
China starts up world’s first fourth-generation nuclear reactor. China has started commercial operations at a new generation nuclear reactor that is the first of its kind. Colleen Howe. Reuters, 6 December
Rio Tinto rosy on China over uptick in manufacturing activity. Chief executive Jakob Stausholm says that although the property slowdown is “challenging”, the steel mills are running “flat out”. Nic Fildes. Financial Times, 6 December
Young Chinese spurn traditional investments in favour of gold. The trend of young gold buyers in China highlights the uncertainty about growth prospects in China’s economy, which has yet to recover from Covid-19. Casey Hall and Amy Lv. Reuters, 5 December
Asia’s first Saudi Arabia ETF lists on Hong Kong stock exchange. Saudi Arabia’s $700bn sovereign wealth fund has been named as an anchor investor in the fund. Sinyi Au and John Sedgewick. Financial Times, 6 December
Opinion & long-reads
Sorry America, China has a bigger economy than you. It comforts both the US and China not to acknowledge the changing shift in global economic power. Chris Giles. Financial Times, 6 November
South Korean display industry still paying a heavy price for Chinese deal. Although South Korea has a reputation for innovation, its recent economic development has been driven largely by its ability to “absorb” and develop technologies that were invented elsewhere. Christian Davies. Financial Times, 6 December
Against the odds, China’s push to internationalise its currency is making gains. Despite the slowing state of the Chinese economy, the renminbi has achieved a fast increase in its cross-border use in 2023. Alicia Garcia-Herrero. Financial Times, 6 December