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 to Continue Push for Global Power, Press Taiwan for Reunification, U.S. Report Says — Beijing also is seeking to at least double its nuclear-weapons stockpile during the next decade.
- John Kerry Says U.S. Will Hold China to Account on Climate Pledges — Ahead of trip to Shanghai, climate envoy says U.S. could use satellites to monitor greenhouse-gas emissions globally.
- Biden Brushes Off China’s Complaints, Sends First Delegation to Taiwan — A former senator and two former U.S. deputy secretaries of state will meet Taiwan’s president as China steps up military intimidation.
- China’s Economy Is Still Dependent on Housing and Exports — Despite Beijing’s rhetorical emphasis on new industries and self-reliance, housing and exports continue to drive China’s recovery.
- U.S. Climate Envoy to Arrive in Shanghai for Meeting With Chinese Counterpart — John Kerry and Xie Zhenhua to discuss climate matters as well as how to support developing countries pursuing low-emissions economic growth.
- China’s Bad-Bank Panic Unveils the Man Behind the Curtain — State support is a crucial linchpin of the Chinese financial system. Things can unravel quickly when investors no longer believe it is there.
- China’s Tech Giants Vow, in Unison, to Play by Regulator’s Rules — Days after a record fine against Alibaba, China’s tech companies have pledged to adhere to antimonopoly regulations.
- Biden’s China Rhetoric Makes Japan Uneasy — Prime Minister Suga is first foreign leader to meet president in person and brings less confrontational tone on Beijing.
- Jack Ma’s Ant Group Will End Some Practices That Helped Fuel Its Growth — Beijing wants the financial-technology giant to unwind arrangements that gave it an advantage over rivals and banks.
The Financial Times
- US pushes Japan to back Taiwan at Biden-Suga summit — Washington seeks joint statement of support as it courts allies to counter China.
- Beijing hints at truce in war on Jack Ma’s business empire — Alibaba appears to escape tough punishment while Ant Group faces more severe measures.
- China’s digital currency is a threat to dollar dominance — Beijing’s ambitions could spur acceptance of renminbi as main rival to US currency.
- Central bank and consumer buying in India and China arrest gold’s slide — Prices steady as new sources of demand offset exchange traded fund outflows.
The New York Times
- China Poses Biggest Threat to U.S., Intelligence Report Says — The annual assessment does not predict a military confrontation with either Russia or China, but it suggests that intelligence operations, cyberattacks and global drives for influence will intensify.
- John Kerry Heads to China to Talk Climate — After contentious talks in Alaska, the visit by President Biden’s climate envoy could signal that the two countries are willing work together on some issues, even as they clash on others.
- Biden Wants World Leaders to Make Climate Change Commitments — The administration is closing in on deals with some close allies, but agreements with powers like China, Brazil and India are proving difficult.
Caixin
- China’s Central Bank Chooses New Deputy Governor — Li Bo, a former vice mayor of Chongqing municipality, is a financial veteran who previously spent 14 years in several positions at PBOC.
- TikTok Owner ByteDance Silent on Rumored Hong Kong IPO Plan — U.S. regulatory pitfalls amid tensions with China have convinced the short-video giant to raise cash closer to home, sources say.
- Lenovo Still Top Dog in Global PC Market in First Quarter of 2021 — China’s Lenovo maintained its position as the world’s largest personal computer (PC) vendor in the first quarter of 2021 with a market share of 25.1%, as the company tightened its grip on its supply chains amid a global chip shortage, according to research firm Gartner.
South China Morning Post
- US-China ties: Washington funded terrorists in Xinjiang, Beijing says — China on Wednesday accused the United States of supporting unrest in Xinjiang as it continues to defend its clampdown on Muslim minorities in the region.
- US-China tech war: Beijing can ‘stay cool’ on Biden’s US semiconductor push, analysts say — The push by US President Joe Biden to develop the domestic chip industry on US soil, including a special US$50 billion fund, does not pose an immediate threat to China even though Biden has cited the country as a reason for the initiative, analysts say.
Bloomberg
- Pigs Are Seen as Next Big Thing in Xinjiang as Cotton Dims — China should build more pig farms in Xinjiang as its cotton industry is under threat from declining soil fertility, according to a government researcher, commenting after some international companies avoided fiber produced in the region over allegations of forced labor.
- Geely’s Iconic Lotus Cars Said to Mull Raising $1 Billion — Zhejiang Geely Holding Group Co. is considering raising about $1 billion to help expand its iconic British sports and racing automotive business Lotus Cars into the electric vehicles market in China, according to people familiar with the matter.
- Iron Ore Retreats as Shipments, Market Balance Take Spotlight — Iron ore futures fell in China as investors weighed export data from top shippers and elevated stockpiles of the steel-making material.
- China Clamps Down on Private Oil Refineries to Curb Capacity — China is clamping down on independent oil refiners in an effort to curb overcapacity and stamp out illegal practices as the central government tries to control one of the country’s fastest-growing industries.
- China Huarong’s Plunging Bonds Point to Major Market Shift — For decades, it’s been an article of faith in China’s credit market: Companies controlled by the central government will get bailed out if they ever run into trouble.
- Are China’s Covid Shots Less Effective? Experts Size Up Sinovac — The lower protection rates of China’s Covid-19 vaccines have raised concerns about shots that are key to inoculation rollouts from Brazil to Indonesia, especially after their efficacy was questioned by one of the most senior Chinese health officials.
- Aluminum Jumps to Highest Since 2018 on Strong China Trade Data — Aluminum surged to the highest in almost three years, leading gains in base metals as Chinese trade data buoyed the outlook for demand.
Reuters
- Serbia halts China-owned mine over environmental breaches — Serbia has ordered China’s Zijin Mining Group to halt work at a shaft at the country’s only copper mine and to complete a waste water treatment plant after it failed to comply with environmental standards, the mining and energy minister said on Wednesday.
- U.S. senators match House bill to assist Uighur refugees — A bipartisan pair of U.S. senators on Tuesday introduced a bill to expedite refugee applications from Uighurs, matching an effort in the U.S. House of Representatives to assist members of the largely Muslim ethnic group that advocates say face persecution in China.
- U.S. issues subpoena to Chinese company as part of supply chain review — WASHINGTON (Reuters) -The U.S. Commerce Department said on Tuesday it had issued a subpoena to an unnamed Chinese company as part of the Biden administration’s review of its supply chain for any risks posed to U.S. national security.
Other Publications
- Axios: Xinjiang statement removed from cotton watchdog website — Last year, an international cotton watchdog organization announced it was ceasing all operations in Xinjiang amid reports of widespread forced labor. That statement has now disappeared from the organization’s website as backlash grows in China against international attempts to boycott Xinjiang cotton.
- Axios: Interview: Gen Nakatani on China and the U.S.-Japan alliance — The U.S. and Japan should coordinate even more closely to check China’s military rise, Gen Nakatani, a prominent member of Japan’s House of Representatives and a former defense minister, told Axios in an interview.
- AP News: China-drafted electoral reform bill introduced in Hong Kong — Hong Kong’s electoral reform bill was introduced in the city’s legislature on Wednesday, setting in motion changes that will give Beijing greater control over the process while reducing the number of directly elected representatives.
- Foreign Policy: The Summit That Can’t Fail — Japan’s prime minister visits Washington at a time when, thanks to Chinese aggressiveness, U.S.-Japan relations are critical.
- Nikkei Asian Review: Chinese semiconductor startup raises $100m in Pre-A round — Innostar pulls in state-backed funds for production of ReRAM and storage chips.
