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
- How Is China’s Economy Doing? Not Nearly as Well as China Says It Is — 2023 was supposed to be the year that China turned things around. Instead, the opposite happened.
- As U.S. Seeks Calmer China Ties, Europe Gets Tough — European leaders plan to warn Chinese leader Xi Jinping that the bloc is prepared to impose new sanctions and trade penalties unless it acts to address economic frictions.
- Wall Street Puts a ‘Sell’ on Its China Holdings — Institutional investments in the nation have plunged as its economy slows and property market craters; “a bit of an awakening.”
- Once Unstoppable, Alibaba Is Now Faltering — Alibaba was a major driver of China’s growing consumer economy. Now it has lost its lead—even in online shopping.
- Atomic Power Is In Again—and China Has the Edge — China became the first country to begin operating a fourth-generation nuclear power plant, placing it at the cutting edge of atomic power just as climate change is bringing it back into vogue.
- China’s Exports Snap Half-Year Slide — Exports edged up 0.5% last month, but this won’t be enough to offset weakness in the country’s economy.
- How China’s Education Firms Survived the Crackdown — Chinese education stocks have earned a gold star in 2023: an unexpected, albeit partial, comeback after Beijing’s brutal regulatory crackdown that began in 2021.
- Moody’s Faces Growing Backlash Over Its Negative Outlook on China — Moody’s Investors Service is facing a barrage of criticism from China after the U.S. ratings company changed its credit outlook on the country.
The Financial Times
- UAE’s top AI group vows to phase out Chinese hardware to appease US — Abu Dhabi-backed G42 says it ‘cannot work with both sides’ and retain access to American-made AI chips.
- China’s CATL denies ‘espionage threat’ accusations — Electric-vehicle battery maker’s technology disconnected from US military base.
- Moody’s advised staff to work from home ahead of China outlook cut — US rating agency employees in Beijing and Shanghai believe concern over possible backlash prompted unusual move.
- Chinese exports edge higher for first time in 6 months — Uptick seen as boost to policymakers eager to stimulate recovery in world’s second-biggest economy.
- He blew the whistle on Amazon. He’s still paying the price — Four years after Tang Mingfang called out the injustices he witnessed at a Foxconn factory in China, nothing has changed — except for him.
- Why export controls are failing to cripple their targets — Diverse geopolitics, smart researchers and resourceful traders are undermining attempts to control critical products.
- China deepens ties with Saudi Arabia at Hong Kong gathering — Beijing and Riyadh are expanding their economic relationship as they seek to reduce reliance on the US and its allies.
The New York Times
- The Clock is Ticking on Improving China-U.S. Relations, Experts Say — Participants in a task force at the DealBook Summit said President Xi seemed ready to expand economic relations. But for how long?
- Five Ways A.I. Could Be Regulated — There is little agreement among regulators and lawmakers around the world on how artificial intelligence should — or even could — be controlled.
- E.U. Leaders in China to Press Xi on Russia and Trade Imbalance — The European summit with China’s leader comes as relations have cooled over Beijing’s alignment with Russia in its war on Ukraine and a surge in Chinese exports.
- Opinion: Kissinger Was Right About China, and He Still Is — I can think of no other political figure or thought leader today who helped to initiate as monumental a positive impact on a foreign country as Mr. Kissinger. By David Daokui Li.
Caixin
- American Express Doubles Down for Majority Stake in China Bank Card Clearing Business — U.S. credit card giant increases investment in Chinese clearing house joint venture to tap into trillions of dollars card transactions.
- China to Allow Social Security Fund to Buy Domestic Pension Products, Futures — The NSSF can also invest in more types of corporate bonds, according to draft finance ministry regulations.
- Unsold New Homes Accumulating in China’s Smaller Cities Despite Efforts to Revive Market — Destocking times rise as property slump continues and demand for new homes fails to recover.
- In Depth: China’s Internet Content Kings Struggle to Keep Users Paying — Following years-long campaigns, Tencent, iQiyi and Alibaba’s Youku have finally convinced customers to subscribe, but retention remains a challenge.
- Wanda Billionaire Founder Cedes Control of Cinema Business — Property tycoon Wang Jianlin sells controlling stake in Wanda Film movie theater business to ease liquidity strain and stay afloat during property downturn.
South China Morning Post
- China and Singapore agree to let each other’s citizens travel visa-free — Beijing hailed the deal as ‘great news’, while the city state said the new 30-day arrangement would come into force early next year.
- McDonald’s China pushes development of native apps based on HarmonyOS, as adoption of Huawei’s mobile operating system accelerates — McDonald’s China unit is part of the first batch of multinational food companies on the mainland that have committed to build apps based on Huawei’s self-developed HarmonyOS mobile platform.
- Generative AI translation lifts overseas sales of Chinese online literature industry: report — China’s online literature industry saw sales rise nearly 40 per cent last year, according to a new report by Tencent Holdings-backed China Literature.
- China’s college graduates to hit record high 11.79 million in 2024, adding to job market pressure — A record number of college students are set to graduate in China next year at a time of high unemployment within the 16-24 age group.
- With China’s first cruise ship delivered, unit of CSSC calls for Shanghai-based supply chain as it chases more orders — Deputy general manager of Shanghai Waigaoqiao Shipbuilding says domestic and global suppliers should choose Shanghai for R&D and production to create a complete supply chain.
Nikkei Asia
- Analysis: Xi-Biden summit leaves China’s economic policies up in air — Key policy meeting likely postponed to 2024; Evergrande issue also left unresolved.
- China’s changing billionaires: PDD up, Country Garden down — It wasn’t that long ago that China’s real estate sector produced many of the country’s top billionaires. But their fortunes have fallen, while entrepreneurs taking their brands global have soared.
- Xi Jinping to visit Vietnam with rail project talks expected — Chinese and Vietnamese communist parties to discuss rare earths, ‘common destiny’: sources.
- Opinion: China’s property crisis won’t be solved by just treating symptoms — As 2024 approaches, few questions loom larger than whether China can overcome the property crisis that risks limiting its long-run economic potential. By William Pesek.
Bloomberg
- China’s Covid Zero Scars Leave Citizens Fearful of Curbs — One year after President Xi Jinping abandoned his Covid Zero strategy, vestiges of China’s vast anti-epidemic architecture are exposing the underlying scars of a regime that caused rare social unrest.
- Temu Extends Lead Over Shein in US as Shoppers Embrace a Bargain — This year’s Black Friday sales may have disappointed a number of US retailers but for online marketplace Temu, November was another banner month.
- Air Pollution Crisis: China Cuts Down on Smog While India Chokes — India and China have each struggled with throat-searing air pollution blanketing their major cities with the onset of winter. Only one country has succeeded in tackling the problem.
- China Scores a Big Win in Race with US for Influence on the Moon — China notched a diplomatic victory in its race against the US for influence in space, with Egypt agreeing to support Beijing’s plan for a proposed project on the moon.
- US Raises Concern Over China Warships’ Rare Stop in Cambodia — The US has called for more information about a naval base in Cambodia after a rare visit by Chinese warships, renewing concern Beijing wants a military facility in the Southeast Asian nation.
Reuters
- China’s push to loosen Mao-era residence rules runs into hurdles — In recent months, Chinese authorities have fanned hopes among some economists that the internal passport system that has largely tethered people’s destinies to their place of origin since the 1950s may be in its dying days.
- China’s exports grow for first time in 6 months in relief for factories — Exports grew 0.5% from a year earlier in November, customs data showed on Thursday, compared with a 6.4% fall in October and beating the 1.1% drop expected in a Reuters poll.
- With soy and lithium trade in the balance, Argentina’s Milei has a China conundrum — The libertarian economist insulted communist-run China in a fiery campaign, but takes office on Sunday needing the country’s second-largest trade partner more than ever as a recession looms and foreign currency reserves run dry.
Other Publications
- CNAS: CNAS Responds: COP28 — CNAS experts respond to the occasion, and remark on the potential national security implications of the summit.
- The Guardian: ‘Substantial volume’ of clothing tied to Uyghur forced labour entering EU, says study — Calls for legislation after dozens of brands identified as being at risk of sourcing materials linked to China’s transfer programmes.
- Rest of World: Forget Quibi. Chinese streamers are hooking Americans with werewolf love triangles — Streaming app ReelShort ranked as the top-downloaded iOS app in the U.S. for three consecutive days in November.
- CSIS: Beyond Taiwan and De-risking: Allied Strategies for Addressing the China Challenge — China is building the footings of a new illiberal order using security threats, economic coercion, and disinformation campaigns.
- The Economist: Will China leave behind its economic woes in 2024? — Xi Jinping must decide whether to set an ambitious growth target.
- Foreign Policy: China Hawks Are Putting the Green Transition at Risk — New electric vehicle restrictions will end up hurting U.S. interests.
