Good Morning. Welcome to The Wire’s daily news roundup. Each day, our staff gathers the top China business, finance, and economics headlines from a selection of the world’s leading news organizations.
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The Wall Street Journal
- China Overtakes U.S. as World’s Leading Destination for Foreign Direct Investment — Flows into America nearly halved as Covid-19 dragged on the economy in 2020.
- China’s Economy Overtaking the U.S. Will Be Harder Than It Looks — Estimates that China will soon overtake the U.S. in total economic heft depend on it maintaining current growth trends, and poor demographics will make it difficult to hold the lead.
- China Played Its Hand Well in 2020. Will It Keep Winning? — While American democracy struggled to cope with the pandemic, economic crisis and political unrest, Chinese authoritarianism could point to notable successes—and rising international clout.
- China Pushes for High-Level Meeting to Ease Tension With U.S. — Beijing plans to pivot from trade issues to climate change and the pandemic in an effort to overcome divisions.
- Anger at China’s Covid-19 Response Smolders in Wuhan — One year later, Beijing tries to portray pandemic’s starting point as a symbol of victory, but many residents aren’t buying it.
- China Joins Global Push to Rein in Tech Companies — Beijing’s moves come amid efforts by Brussels and Washington to curb the power of digital giants.
- China’s Love of TikTok-Style Apps Powers $5 Billion IPO — Kuaishou Technology targets world’s largest IPO since late 2019.
- A China With More Clout Awaits Biden at the WTO — Beijing has become more active in cases and cast itself as a defender of the group’s top court.
- Caterpillar’s Chinese Rivals Power Through the Pandemic — Sany Heavy and Zoomlion have gained market share in China while their foreign competitors have been hobbled by Covid-19.
The Financial Times
- China livestreaming/Kuaishou: tipping points — In the longer term, online tipping exposes the country’s second-biggest short video app to official disapproval.
- The EU-China deal that gives Beijing too little to lose — The risk to the EU’s credibility seems too high for the deal to be worth it.
- Shares in Evergrande’s EV venture surge 60% on capital injection — Unit of world’s most indebted developer worth more than Ford despite never releasing a car.
- Asia tech share rally helps boost global markets — Tencent’s stock surge lifts investor sentiment around Chinese internet groups.
- TikTok rival Kuaishou to raise up to $6.3bn in Hong Kong IPO — Deal a measure of investor demand for Chinese tech groups as Beijing cracks down on sector.
- Joe Biden and US allies need a joint approach to China — Handling Beijing effectively requires clear priorities, and unity.
- China food: catching a crab — Shortages and price rises are on the cards.
- Wall Street eyes China despite continued tensions with US — Opportunities for investors seen despite economic and technological rivalry.
The New York Times
- China Wanted to Show Off Its Vaccines. It’s Backfiring. — Delays, inconsistent data, spotty disclosures and the country’s attacks on Western rivals have marred its ambitious effort to portray itself as a leader in global health.
- How Space Became the Next ‘Great Power’ Contest Between the U.S. and China — The Biden administration faces not only waves of Chinese antisatellite weapons but a history of jumbled responses to the intensifying threat.
- Has China Done Too Well Against Covid-19? — The country doesn’t care enough about vaccination because of a false sense of security.
Caixin
- China to Open New Path for Foreign Investors to Trade Hot High-Tech Board Shares — The Hong Kong and Shanghai bourses announce that eligible STAR Market shares will soon be included in their stock connect program.
- Shares in E-Cigarette Maker RLX Surge on New York Debut — The company boasts a nearly two-thirds share of China’s fast-growing market for vaporizers
- In Depth: Pandemic Demand, Smartphone Shuffle Put Squeeze on Global Chipmakers — A perfect storm of factors has sent the global semiconductor sector into its latest boom cycle, which comes even as the global economy struggles
South China Morning Post
- China-EU investment deal allows for arbitration to settle disputes, documents show — The new investment agreement signed between China and the European Union allows for the use of arbitration to settle trade disputes, and introduces stricter clauses on market access and technology transfer, the full text of the deal reveals.
- Huawei moves into smart vehicles as US sanctions stymie 5G and semiconductor ambitions — Chinese tech giant Huawei Technologies Co, facing US sanctions that have hobbled its core networking business, is targeting the new growth area of smart vehicles, setting the goal of “bringing the digital world to every car”.
Bloomberg
- China’s Sweeping Climate Goals Meet Resistance On the Ground — Local governments and industry executives are finding ways around President Xi Jinping’s pledge to be net zero by 2060.
- Tencent’s $251 Billion Rally Triggers Frenzy in Shares, Options — Hong Kong’s equity traders can’t get enough of Tencent Holdings Ltd., the $950 billion giant that’s on pace for its biggest ever monthly gain.
- China’s Offshore Purgatory Snares More Australian Coal Cargoes — After loading up with coal the DZ Weihai slipped into the turquoise waters off the coast of Australia this month and began a 14-day voyage to the southern Chinese port of Yangpu. How long the ship waits to discharge its cargo upon arrival is anyone’s guess.
Reuters
- Exclusive: China’s Huawei in talks to sell premium smartphone brands P and Mate – sources — China’s Huawei Technologies Co Ltd is in early-stage talks to sell its premium smartphone brands P and Mate, two people with direct knowledge of the matter said, a move that could see the company eventually exit from the high-end smartphone-making business.
- Explainer: South China Sea tension flares again as Biden takes charge — A U.S. aircraft carrier group led by the USS Theodore Roosevelt entered the South China Sea over the weekend to promote “freedom of the seas” at a time of U.S. concern about China-Taiwan tensions and Beijing asserting its maritime agenda.
- U.S. ban on China firms could affect $60 billion of bonds: JPMorgan — U.S. curbs on investors owning securities from a number of Chinese companies could affect as much as $60 billion worth of bonds and spark hefty outflows through forced selling, JPMorgan wrote in a note to clients.
Other Publications
- The Atlantic: China’s Leader Attacks His Greatest Threat — Xi Jinping hasn’t just cracked down on private business—he is targeting individual entrepreneurs themselves.
- Axios: Xi Jinping warns against “new cold war” in Davos speech — Xi didn’t refer directly to U.S.-China tensions, but the subtext was clear.
- Nikkei Asian Review: China’s big three airlines put off Boeing and Airbus deliveries — State carriers took every plane ordered from domestic maker COMAC.