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
- Taiwan Gains Favor in Europe’s East, Angering China — Disappointment over a lack of major Chinese investments has left some capitals feeling they have little to lose by deepening ties with Taipei.
- Chinese Developer Modern Land Fails to Repay $250 Million U.S. Dollar Bond — The green real-estate company had previously sought to extend the bond’s Oct. 25 due date.
- China’s Energy Crisis Complicates Its Plans for Climate Announcements Ahead of COP26 — Worst power shortage in two decades is squeezing Chinese leaders between U.N. climate expectations and need for stable supply of energy.
- Evergrande Doesn’t Cloud HSBC’s Sunny Forecast — Buyback shows bank’s confidence that it will capture Asian growth and be insulated from any Evergrande default and wider real-estate fallout.
- Beijing Olympics Will Require Vaccine or 21-Day Quarantine — The Winter Games will be held in a closed loop, organizers say, strictly limiting participants’ movement, with daily testing and mask requirements also in place.
- Does Taiwan’s Military Stand a Chance Against China? Few Think So — Poor preparation and low morale are pressing concerns; sweeping leaves and pulling weeds in basic training.
The Financial Times
- China blamed for cancellation of events for German book on Xi Jinping — Publisher says situation is a ‘disquieting signal’ after presentations pulled at short notice.
- Modern Land becomes latest Chinese developer to miss a bond payment — Country’s property sector not out of woods yet despite Evergrande narrowly avoiding default.
The New York Times
- China Locks Down City of 4 Million to Subdue Covid Outbreak — Lanzhou, with about four million people, reported six new coronavirus cases on Tuesday, and a total of 39 over the past week.
Caixin
- Walmart Denies Pressuring Its Chinese Suppliers Into Forced Exclusivity — Company rejected rivals’ claims that its Sam’s Club stores are engaging in the anticompetitive practice, which has been a focus of regulatory ire.
- China Reminds Local Governments It’s Illegal to Discriminate Against Foreign Companies — Finance ministry notice warns authorities to clear up violations of laws and regulations on equal treatment by the end of November.
- China’s Steel Industry on Track to Churn Out Less This Year Than in 2020 — In line with official targets, crude steel production likely to fall by 30 million tons, industry association says.
South China Morning Post
- Party chief in Inner Mongolia sacked over ‘insufficient’ Covid-19 response — The party secretary for Inner Mongolia’s Ejina banner – a tourist destination in northern China that is grappling with a Covid-19 outbreak – has been removed from his post for mismanagement of the pandemic response, according to a local newspaper.
- China’s vast high-speed rail is a big emitter but down the line leads to greener freight: study — China’s rapid expansion of high-speed rail has indirectly cut greenhouse gas emissions by creating capacity for freight on conventional trains, according to a new study.
- China, US ‘to up economic coordination’ as Evergrande crisis casts shadow — Top economic officials from China and the US have agreed to step up policy coordination during talks, with observers saying US Treasury bonds and real estate group China Evergrande’s debt crisis could have been on the agenda.
Bloomberg
- China Urges Evergrande Founder to Pay Debt With Personal Wealth — Chinese authorities told billionaire Hui Ka Yan to use his personal wealth to alleviate China Evergrande Group’s deepening debt crisis, according to people familiar with the matter.
- Suning.com Said to Mull Sale of Carrefour China Majority Stake — Suning.com Co., the Chinese retailer backed by Alibaba Group Holding Ltd., is weighing a sale of its controlling stake in Carrefour SA’s business in the country, people with knowledge of the matter said.
- Record China Defaults in Focus as Modern Land Joins the List — A Chinese developer of real estate projects that use green technologies has become the latest builder to default, adding to the record for offshore bonds from the nation’s borrowers.
- Hong Kong Rejects Plea From Global Banks to Scrap Zero-Covid — Hong Kong’s government said it will stick to its “zero infection” strategy on Covid-19, rebuffing a plea from global banks for the city to ease its strict quarantine policy and set a clearer time-line for a return to normal or risk its status as a center for international business.
Reuters
- China issues plan to hit carbon emission peak before 2030 — China will take action to reduce waste, promote renewables and unconventional fuel, and reform its electricity network as part of its plan to bring carbon emissions to a peak before 2030, China’s cabinet said on Tuesday.
- China NDRC studying mechanism to stabilise coal prices over long-run — The NDRC was also considering including coal in a “prohibiting exorbitant profits” category.
Other Publications
- The Washington Post: In advance of climate summit, tension among Biden aides on China policy — John Kerry has repeatedly pushed for direct diplomacy between Biden and Xi, believing that an improved bilateral relationship can produce better outcomes in Scotland. White House aides, including national security adviser Jake Sullivan, are more skeptical that the United States alone can coax China into reducing emissions.
- Politico: Frustration builds over stalled China competition bill — There’s growing frustration that Congress has yet to approve a bipartisan package that aims to make the U.S. economy more competitive against China and address crippling supply chain challenges.
- 1843 Magazine | The Economist: “It’s a wonderful place…a playland.” The Hong Kongers fleeing to Blackpool — What do the newcomers make of the deprived British seaside town?
