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
- 35 Years After Tiananmen, China’s Conduct Again Triggers Alarm — In 1989, blowback was swift; alienation today is ‘systematic, progressive, long-term.’
- The CEO Trying to Smooth U.S.-China Tensions in Farm Country — Jeff Rowe is working to fend off criticism over pesticide giant Syngenta’s ownership.
- China Is ‘Prepositioning’ for Future Cyberattacks—and the New NSA Chief Is Worried — ‘We see it as very unique and different—and also concerning,’ Gen. Timothy Haugh said in a WSJ interview.
- China’s Biggest Cities Continue to Ease Home-Buying Policies — Guangzhou and Shenzhen, two of China’s four Tier-1 cities, on Tuesday reduced the down payments required for first-home purchases.
- GenScript Biotech Shares Drop After U.S. Lawmakers Scrutinize Chinese Ties — The biotech company’s shares were recently 20% lower, taking year-to-date losses to 60%.
- Zelensky Says China Is Helping Russia Undermine a Peace Summit on Ukraine — Chinese assistance to Russia will only prolong the war, Ukraine’s leader says on visit to Singapore.
- China Wants a Bigger Role in the Middle East. But Not Too Big. — With the U.S. under fire for support of Israel in the Gaza war, China sees an opening. But Washington’s influence is still predominant.
- China’s Defense Chief Turns Down Temperature on Tensions With U.S. — Speech by Adm. Dong Jun echoes remarks by U.S.’s Austin playing down prospect of war, but hot spots remain.
- U.S., Chinese Defense Chiefs Confirm Plan to Reopen Hotlines in First Face-to-Face Meeting — Direct channels are intended to help keep tensions in Asia from spiraling into confrontation.
- Pentagon Chief Says War With China Neither Imminent nor Unavoidable — Even as Washington and Beijing seek to cool tensions, Lloyd Austin’s remarks about Chinese activity in the Indo-Pacific drew a rebuke from China.
- China Caixin PMI Signals Faster Manufacturing Growth in Contrast to Official Gauge — The China Caixin manufacturing purchasing managers index rose to 51.7 in May from 51.4 in April.
- China Electric-Vehicle Shares Rally After Strong Sales in May — The May EV sales numbers were in line with most analysts’ expectations.
The Financial Times
- Australia orders Chinese-linked funds to sell rare-earth stakes in ‘national interest’ — Canberra is trying to create stronger supply chain for critical minerals in the energy transition.
- Beijing says MI6 recruited couple employed by Chinese state agency — Accusation follows recent arrests in UK and Europe targeting alleged Chinese espionage.
- Chinese businesses target Vietnam and Mexico as trade tensions with US rise — Investment increases in countries that offer alternative supply chain route to US.
- Shein fashion group plans to file for London listing in coming days — Confidential filing would lay groundwork for blockbuster IPO and provide a coup for faltering UK stock exchange.
- Russia-China gas pipeline deal stalls over Beijing’s price demands — Power of Siberia 2 project would offer lifeline to exporter Gazprom as Moscow’s dependence on its neighbour grows.
- Zelenskyy says China helping Russia by sabotaging peace summit — Ukraine president urges US to go further to ease curbs on using weapons it supplies.
- China hits out at ‘aggressive’ Taiwan for military build-up — Defence minister Dong Jun says Lai Ching-te’s new government is eroding prospects for unification.
- Chinese trade body seeks drone jammers for Russian buyers — Procurement notice follows concern in US and Europe over China’s sale of dual-use goods to Moscow.
- China accuses US of seeking ‘Asia-Pacific Nato’ — PLA general blames Washington for tension as Pentagon chief says allies seek ‘convergence’ on defence and security.
The New York Times
- In Singapore, China Warns U.S. While Zelensky Seeks Support — The annual Shangri-La Dialogue became a stage for competing demands on U.S. global power, including the war in Ukraine and tensions over Taiwan.
- China Lands Spacecraft on Far Side of the Moon — The landing brings the Chang’e-6 mission a step closer to being the first to return a sample from the part of the moon that’s never seen from Earth.
- A Pacific Island With Ties to Taiwan Was Hacked. Was It Political? — Palau’s claims that China orchestrated the attack remain unproven. But it’s clear that the breach presents a danger for another ally of Palau: the United States.
- Opinion: Why the Pandemic Probably Started in a Lab, in 5 Key Points — The fact that the virus emerged in Wuhan points squarely at its unique SARS-like virus laboratory. By Alina Chan
Caixin
- Cover Story: Yen’s Decline Tied to U.S.-Japan Rate Gap Is Seen Stretching to 2025 — The depreciation of the yen has spurred Chinese tourism to Japan, with the country becoming the top destination for Chinese travelers during the Golden Week holiday.
- China Explains Why It Is ‘Hardly Able’ to Attend Ukraine Peace Summit in Switzerland — China is “hardly able” to attend the Ukraine peace summit in Switzerland due to significant differences between the meeting’s arrangements and China’s principles, as well as international expectations, a Chinese foreign ministry spokesperson said.
- China’s Manufacturing Expansion Accelerates for Fourth Straight Month, Caixin PMI Shows — Activity in China’s manufacturing sector clocked a fourth consecutive month of accelerated growth in May, with particularly strong increases in consumer goods production, a Caixin-sponsored survey showed Monday.
South China Morning Post
- Ukraine peace summit: China denies pressuring others not to attend — Beijing hits back at Volodymyr Zelensky’s claims that it is working to disrupt the meeting in Switzerland this month.
- An era of robotics, ‘AI factories’ powered by Nvidia’s chips and software is ‘in our near future’, CEO Jensen Huang says — Ahead of the opening of Taiwan’s Computex trade show, the Nvidia chief executive presented how ‘AI factories’ and ‘physical AI’ would help transform industries.
- TikTok, ByteDance reject reports they are caving in to US divestment pressure, putting up a fight against Biden order — TikTok calls report that it is cloning its recommendation algorithm for US users to prepare for a potential divestment ‘misleading’ and ‘inaccurate’.
Nikkei Asia
- Australian trust in China low despite better relations, poll finds — Lowy Institute says 71% of respondents worry about possible Chinese military threat.
- China defense chief vows ‘resolute actions’ against Taiwan independence — Dong Jun tells forum there is a ‘limit’ to Beijing’s ‘restraint’ in South China Sea.
- China’s Great Wall Motor shuts Europe headquarters, fires all staff: sources — Carmaker becomes latest Chinese outfit to cut European plans after poor German sales.
Bloomberg
- Krugman Says China Is ‘Bizarrely Unwilling’ to Boost Demand — China’s leaders are “bizarrely unwilling” to use more government spending to support consumer demand instead of production, according to Nobel laureate in economics Paul Krugman.
- China Steps Up Warning to EU Days Before Tariff Decision — China accused the European Union of working to “suppress” Chinese companies and said it will take action to safeguard its interests, as the bloc moves closer to imposing tariffs on Chinese electric vehicles.
- China’s Tourists to Spend Nearly $1 Trillion on Holidays at Home — Chinese tourists are making up for the lost holidays of the past few years, splashing cash on travel at home and abroad, putting spending on track to exceed pre-pandemic levels for the first time — an important benchmark in the industry’s recovery.
Reuters
- China maintains stance on disputed Gulf islands despite Iran’s anger — China held its stance on three disputed islands in the Persian Gulf on Monday despite Tehran’s anger at Beijing for describing the Iran-controlled islands as a matter to be resolved with the United Arab Emirates.
- Prospect of peaceful ‘reunification’ with Taiwan being ‘eroded’, China says — The prospect of peaceful “reunification” with Taiwan is being increasingly “eroded” by Taiwanese separatists and external forces, Chinese Defence Minister Dong Jun said on Sunday, drawing an angry response from the government in Taipei.
- Red tape clogs China’s offshore IPO pipeline even as markets recover — More than a year after China pledged to smoothen the process for offshore listings, firms are reeling from a regulatory logjam that is unlikely to ease soon, and staring at the prospects of sharply lower valuations even as market sentiment improves.
Other Publications
- The New Yorker: The Shadow of Tiananmen Falls on Hong Kong — The anniversary of the massacre coincides with verdicts in the trial of the pro-democracy activists known as the Hong Kong 47.
- The Atlantic: The Dalai Lama is landing in the middle of the 2024 election — And Joe Biden should welcome him.
- Washington Post: OMG your hair looks so cute! Young Chinese love American ‘praise culture.’ — Even as China cools on the United States’ fashion and entertainment trends, one aspect of American life is sparking admiration: American ‘praise culture.’
- The Guardian: China and Hong Kong reportedly detain dissidents before Tiananmen Square anniversary — Events marking 35 years since troops ended peaceful protest with deadly violence are banned in China and Hong Kong.
- Sky News: Online fashion giant Shein to file prospectus for £50bn London float — Shein, which was valued at $66bn in its last fundraising, will file a confidential prospectus with the City regulator this month as it nears a blockbuster City listing, Sky News learns.
- Fortune: Airbus CEO blames global trade wars on the U.S. rather than China, citing old subsidy spat with Boeing — The CEO of Airbus has a view on who’s to blame for the trade wars that have engulfed the global economy, but unusually he’s not pointing fingers at China.
