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
- Mexico Gets Cold Feet Over New Chinese EV Plant After Trump Win — Chinese EV maker BYD is finalizing plans for a factory in Mexico, a push that will test Trump’s trade policies and the Mexican government’s appetite for conflict with the president-elect.
- Trump Pledges Tariffs on Mexico, Canada and China — The president-elect’s plans come after his tough economic rhetoric on the campaign trail.
The Financial Times
- Chinese ship linked to cable sabotage urged to move into Swedish waters — Stockholm steps up probe after two cables were cut in Baltic Sea.
- Trump says he will hit China, Canada and Mexico with new tariffs — US president-elect vows to impose levies on first day in retaliation for illegal migration and drug trafficking.
- How Shanghai’s ambition to be the ‘future of finance’ fell apart — The city was meant to be China’s answer to New York. But trade tensions and changing domestic priorities have taken a toll.
- Scots stand firm on Chinese wind turbine factory despite ‘hostile state’ fears — Kate Forbes says there is ‘room’ for Mingyang’s plant, as SNP government pushes for green growth.
- Apple hits hurdles in China with AI rollout for iPhones — Official at top regulator says path to approval will be easier if US tech group finds local partners.
- Opinion: Starbucks has been outclassed by local rivals in China — Coffee giant would benefit from a helping hand from a local partner. By Lex.
The New York Times
- After Trump’s Tariff Threat, Is a China Currency War Next? — While China could offset American tariffs by letting its currency fall, that might endanger Beijing’s recent efforts to stabilize the economy.
- Fentanyl Rises Again, This Time as Trump’s Diplomatic Weapon Against China — The president-elect’s pledge to use tariffs to stem the flow of opioids from China could backfire if Beijing responds by ending counternarcotics cooperation.
- Huawei Targets Apple with Advanced Chip Innovation in China — Last year, a chip breakthrough put Huawei on top of the Chinese smartphone market. Now it is rolling out its newest phone, the Mate 70 series.
- China’s Police Are Preying on Small Firms in Search of Cash — With localities facing budget holes, the police are crossing provincial borders to collect fines and draining company treasuries. Businesses call it a shakedown.
- Trump Plans Tariffs on Canada, China and Mexico That Could Cripple Trade — The president-elect said that he would impose the across-the-board tariffs on Day 1 and that they would stay in place until Canada, Mexico and China halted the flow of drugs and migrants.
- Biden White House Holds Up U.S. Contribution to Anti-Doping Agency — The administration is pressing the World Anti-Doping Agency to allow an outside audit after it failed to suspend Chinese swimmers for positive tests.
Caixin
- China’s Multitrillion-Dollar Salve for Local Government Hidden Debt — Beijing’s latest $1.4 trillion support package shows there is a lot left to be brought onto balance sheet.
South China Morning Post
- Chinese hi-tech staff and students on study tours targeted by foreign governments: MSS — Ministry of State Security says overseas agents may use various methods to ‘win over and brainwash’ Chinese students studying abroad.
- Xiaomi readies mobile chip design for 2025 mass production to cut reliance on Qualcomm — Xiaomi’s move could help with China’s goal of tech self-reliance, but only Apple and Google have completely transitioned to self-designed silicon.
- China’s multidecade dairy boom sours as population ages, sales slump — Sales of top dairy firms like China Mengniu and Inner Mongolia Yili fell between 9 and 13 per cent in the first half, S&P said.
- Opinion: China’s visa-free initiative shows it is choosing openness over isolation — China is ready for the world to witness its development, experience its culture and engage with its people. By Wang Huiyao.
- Opinion: How the West can navigate Sino-Russian cooperation in the Arctic — As China and Russia deepen Arctic cooperation, Western nations must collectively balance engagement with vigilance to mitigate tensions. By Nong Hong.
Nikkei Asia
- China advances economic security with plan to revive modern Silk Road — China-Europe rail link provides alternative supply chain to Indo-Pacific bloc.
- U.S. state pension divests nearly $300m from China — Kansas fund liquidates 12 securities in Hong Kong and China.
- China to push renewables for energy security under new law — Beijing to diversify imports and fortify supply chains amid U.S. rivalry.
- Nepal PM heads to China ahead of India, breaking tradition — Beijing-backed infrastructure tops Oli’s agenda as he leans further away from India.
- China’s stock brokerages set for windfall as trading activity soars — Turnover doubles on mainland markets after Beijing’s stimulus rollout.
Bloomberg
- Ex-Bank of China Chairman Sentenced to Death With Reprieve — China handed a suspended death sentence to former Bank of China Ltd. Chairman Liu Liange over bribery, marking heightened scrutiny over the nation’s $66 trillion financial sector.
- Trump Tests Xi’s Appetite to Play Ball With Early Tariff Threat — Donald Trump fired an opening shot in his tariff battle with Beijing by promising an additional 10% levy on Chinese goods. The question that now confronts President Xi Jinping is how much more is coming.
- EU Proposes to Sanction Chinese Firms Aiding Russia’s War — The European Union is proposing to sanction several Chinese firms that it claims helped Russian companies develop attack drones that were deployed against Ukraine.
Reuters
- Trump camp says China is ‘attacking’ U.S. with fentanyl. They aim to fight back — President Joe Biden‘s fentanyl diplomacy with China is under scrutiny as President-elect Donald Trump’s team seeks a harder line to stop the flow of Chinese-made chemicals powering America’s epidemic. Tariffs are just part of the discussion.
- Investors say they know how to trade Trump 2.0 — The reminders of Trump’s unpredictability and his negotiation-by-media style added a new source of background volatility and unease to the financial markets.
Other Publications
- Foreign Policy: Washington Is Getting Economic Security Wrong — Competition with China is based on false premises.
- Foreign Affairs: How America’s War on Chinese Tech Backfired — And Why Trump’s Plans Would Make Things Even Worse.
- The Washington Post: Violent attacks in China fuel concerns some are ‘taking revenge’ on society — The recent car rammings and mass stabbings come as the economy slows and discontent rises, leading authorities to order investigations into local disputes.
- Rest of World: India banned a Chinese app four years ago. Government agencies are still using it — CamScanner was one of 59 Chinese apps the Indian government banned in 2020, amid a border conflict with China.
