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
- Samsung is a Case Study in How Manufacturers Leave China — The company still has significant operations in China but its smartphone manufacturing business pulled up stakes years ago.
- Chinese Travelers Swarm Domestic Tourist Sites, a Positive Sign for Economy — Domestic-travel numbers during Labor Day holiday top prepandemic levels.
The Financial Times
- ‘We have survived!’: China’s Huawei goes local in response to US sanctions — Tech group is trying to lead way for Chinese companies eager to reduce reliance on western technology.
- Starbucks still expects uncertainties in China’s recovery — Coffee chain says sales in its second-biggest market have started to moderate.
- Washington signals support for South Korean chipmakers in US battle with China — Samsung and SK Hynix can expect extension to permission for sending US chipmaking tools to their Chinese plants.
- US investor interest in China cools as political tensions grow — Trading activity in US options tracking Chinese stocks slows after hitting record last year.
- European carmakers play catch-up in China with record investment — Automotive sector dominates foreign financing as companies try to regain market share from domestic rivals.
- Opinion: US-China rivalry could trample Panama underfoot — Beijing’s increased investment in the strategic nation has raised America’s hackles. By Michael Stott
- Alphaville: Apple is a Chinese company — What happens when the SEC, auditors and investors wake up?
Caixin
- China’s AI Charge Part 1: The Battle Begins to Build a ChatGPT Challenger — Armed with deep AI capabilities, Baidu and Alibaba are trying to capitalize on first-mover advantage.
- China’s Garment Industry Under Pressure as Western Imports Tumble — China’s textile and apparel exports face “significant growth pressure” this year after shrinking 6.8% year-on-year to $67.2 billion in the first quarter.
- In Depth: China’s Banks Look to Bolster Bottom Line After Lending Binge — Despite issuing a record amount of loans in the first quarter, China’s banks are bracing for profitability to weaken further in 2023.
South China Morning Post
- Award-winning Chinese mathematician Sun Xin returns from US to work at Peking University — Sun, who specialises in probability theory and mathematical physics, was a joint winner of the prestigious Rollo Davidson Prize this year.
- Boom in smart vehicles drives Chinese carmakers and third-party producers like Black Sesame to ramp up auto chip output — Hemmed in by US sanctions on advanced chips, China has formed an army of producers that are able to churn out mature node chips for use in cars.
- Lawyers for Hong Kong’s Jimmy Lai say tycoon denied fair trial, subject to persecution in bid to close national security case — Senior Counsel Robert Pang argues fair-minded observer would find bias with Lai’s conviction, citing secrecy of how city leader has appointed judges for security cases.
- Hong Kong June 4 vigil likely to be on hold for fourth year amid park renovations, pro-Beijing group eyes event in limited area — Government says Victoria Park’s six soccer pitches and central lawn closed for maintenance, with completion expected only by end of June.
Nikkei Asia
- HSBC battles shareholder revolt as breakup vote looms — Bank’s balancing act between U.K. and China appears increasingly untenable.
- U.S. to weigh rules for keeping AI safe from China, other competitors — Biden administration seeks to guard against economic and security risks.
- To invest in China or not? Milken conference ponders the question — Regulatory crackdowns cited as risk, some say decoupling makes it more attractive.
- Hong Kong to slash democratically elected seats on local councils — Plan includes strict vetting for candidates in double blow to pro-democracy camp.
Bloomberg
- China Restricts Overseas Access to Key Corporate Information — New rule is result of regulatory changes, people familiar say.
- US Lawmakers Query Nike, Adidas Over Forced Labor in China — Companies asked if materials came from the Xinjiang region.
- US Navy Is Hobbled by Failures as the Risk of Conflict With China Looms — GAO cites ‘troubling’ findings on readiness among the services.
- Opinion: This Chinese Rebound Is Already Starting to Look Tired — The post Covid-Zero economy resembles two distinct recoveries: One is sagging, the other is sprightly. By Daniel Moss
- Opinion: Don’t Bother Investing in China Unless You’re Chinese — Only a local can properly circumvent the country’s infamous firewall. Even asset managers in Hong Kong no longer have a clear picture of the mainland. By Shuli Ren
Reuters
- China’s AI industry barely slowed by US chip export rules — U.S. microchip export controls imposed last year to freeze China’s development of supercomputers used to develop nuclear weapons and artificial-intelligence systems like ChatGPT are having only minimal effects on China’s tech sector.
- Chinese data provider tightens some information access for offshore users — Chinese financial data provider Wind Information Co has blocked some offshore users from accessing certain business and economic data, people with knowledge of the matter said, fuelling concern about information access in the world’s second-largest economy.
- TikTok’s head of U.S. trust and safety will leave the company — TikTok said on Tuesday its head of U.S. trust and safety, Eric Han, will depart the company on May 12, leaving the popular short-form video app without a key executive as it fights the threat of a ban in the U.S.
Other Publications
- The Washington Post: The most popular app in the U.S. deleted mentions of its Chinese owner — Want to avoid apps from China? Good luck telling which ones are Chinese.
- Toronto Star: Justin Trudeau says Canadian critical minerals are more expensive than China’s because ‘we don’t use slave labour’ — Speaking in New York, Trudeau said modern trade agreements don’t need to “single out or punish bad actors” like China but should enshrine environmental and labour standards that would exclude authoritarian regimes.