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
- China Is Experiencing a Boom in Share Sales — China is claiming a record proportion of global initial public offerings and other debuts, aided by buoyant markets, a new tech board and companies seeking listings closer to home.
- Ant Group Nears Giant IPO After Green Light From Hong Kong’s Exchange — Hong Kong’s stock exchange gave Ant Group approval to proceed with its long-awaited initial public offering in the city, paving the way for what will likely be a record-breaking share sale.
- China Deserves a Day in Court — Congress could change the law to allow lawsuits against Beijing over Covid-related misconduct.
- Pakistan Drops TikTok Ban After App Pledges to Police Content — Authorities in Pakistan said they would lift a ban on TikTok after the Chinese-owned video-sharing app agreed to take down content they deemed vulgar, indecent and immoral.
- China Adds New Export Restrictions in Latest Trade-Dispute Move — The new law will allow China to ban exports to protect national security, adding a versatile weapon to Beijing’s arsenal as it fights a war over trade and technology with the U.S.
The Financial Times
- Sweden bans Huawei and ZTE from 5G telecoms networks — Move follows security services warning on spying and technology theft by China.
- From ‘Made in China’ to ‘Bought in China’? — Country is now a net importer of steel, hinting at possibility of change in its trade dynamic.
- What will Xi’s China do next? — Three books shed light on the historical forces driving Beijing’s mission for superpower status — and what it means for Asia and beyond.
- US stimulus talks, ConocoPhillips deal, China semiconductors — US stocks slid on Monday as a stimulus deal deadline looms and Covid-19 cases rise.
- The world must counter China’s dominance of rare earths — Country has grip on swath of minerals crucial to future key industries.
- Beijing deploys role in Korean war in fight against the US — A wave of propaganda has been unleashed to venerate China’s involvement in 1950s conflict.
- Chinese officials downplayed coronavirus risks — FT investigation reveals early mis-steps that led to global spread of Covid-19.
- China risks cementing its structural flaws — An over-reliance on state investment persists.
- A distracted US is dangerous for Taiwan — Political turmoil in Washington may open a window of opportunity for Beijing.
The New York Times
- In China, the Formidable Prosecutor Turned Lonely Rights Defender — After sheltering a prominent dissident, Yang Bin, a former prosecutor, is now under the scrutiny of the police. But she has no regrets.
- U.S. Diplomats and Spies Battle Trump Administration Over Suspected Attacks — American officials in China, Cuba and Russia say U.S. agencies are concealing the true extent of the episodes, leaving colleagues vulnerable to hostile actions abroad.
Caixin
- Investors Load Up on First Ever Sale of Chinese Depositary Receipts — Electric-scooter maker Ninebot receives online applications for 45 billion CDRs for just 12 million on offer.
- Central Bank Proposes Fleshed-Out Rules to Keep Dirty Cash Out of Real Estate — PBOC’s Beijing operations office issues draft guidelines for property developers and real estate brokers, requiring them to know the actual identity of their clients.
- Ant Group Gets Regulator’s Approval for Hong Kong IPO — It now needs a final nod from the CSRC to list on Shanghai’s STAR Market for its dual listing.
- Smartphone Heavyweight Oppo Flips Switch Into Smart TVs — Device manufacturer joins Chinese brands, including Xiaomi and Huawei, in the race to grab a share of the internet of things market.
- South China City Hits Early Targets for Local Hydrogen Car Economy — Foshan has 1,400 hydrogen vehicles on the road and 15 charging stations up and running.
- Alibaba Blends Brick-and-Mortar, Online Grocery Shopping With $3.6 Billion Investment — Alibaba is splashing out $3.6 billion to take over China’s biggest hypermarket operator Sun Art Retail Group Ltd., which runs the Auchan and RT-Mart hypermarket chains in China. Observers see the move as Alibaba’s play to consolidate its e-commerce dominance with the world of traditional offline grocery stores.
- China’s Mobile Tower Giant Reports Modest Revenue Growth — With the rapid rollout of 5G mobile networks across China, China Tower, the state-owned monopoly which provides the country’s major telecoms with tower services, enjoyed modest growth in both revenue and profit in the first three quarters of 2020.
- Jack Ma Tops Hurun China Rich List With $58.8 Billion Fortune — Jack Ma, a founder of e-commerce giant Alibaba, has topped the Hurun China Rich List for the third year in a row.
- Xiaomi Shows off Super-Fast-Charging Wireless Technology — Chinese smartphone maker Xiaomi has unveiled wireless charging technology that can top-up a 4,000mAh battery in just 19 minutes, as handset manufacturers scramble to roll out such chargers to win over the hearts of time-conscious consumers.
South China Morning Post
- National security law: Hong Kong banks told by HKMA to report suspicious transactions — Banks operating in Hong Kong have been told to report financial transactions believed to violate the city’s controversial national security law (NSL) as they would suspected incidents of money laundering or terrorism financing, according to the city’s top financial regulator.
- China’s first private 5G mobile network for mining deployed in Shandong province — China’s first privately built 5G mobile network for mining started operations on Saturday at a coal mine in the eastern coastal province of Shandong, pushing forward Beijing’s drive for industries to modernise with leading-edge digital infrastructure.
- A survivor’s guide for simultaneous dual listings in Hong Kong and mainland China’s markets — Ant Group is on course to become the world’s first company to launch a simultaneous initial public offering on Hong Kong’s main board and Shanghai’s Star Market, creating a template for other firms to follow.
- Huawei sanctions shrink founder Ren Zhengfei’s wealth while Xiaomi CEO Lei Jun’s net worth doubles — US sanctions on Chinese telecommunications giant Huawei Technologies have eaten into founder Ren Zhengfei’s personal wealth, even as opportunities in 5G boost the fortunes of other smartphone billionaires in the country, according to the latest Hurun China Rich List.
- China ‘unsurprisingly’ keeps loan prime rate steady for sixth straight month amid economic recovery — China kept its benchmark lending rate for corporate and household loans steady for the sixth straight month at its October fixing on Tuesday, encouraged by an extended recovery in the world’s second-largest economy from the coronavirus shock.
- China’s coronavirus recovery gathers steam, but young jobseekers face being left behind — China’s accelerated economic rebound in the third quarter has failed to significantly improve job prospects for the country’s young and educated, reflecting a weak link beneath headline growth figures that have been largely engineered by state spending and industrial production.
- China digital currency: Shenzhen consumers spend 8.8 million yuan in largest trial of digital yuan — China’s largest test of its sovereign digital currency ended with 8.8 million yuan (US$1.3 million) being spent in over 62,000 transactions during the week-long trial in Shenzhen.
- China to curb ‘chaos’ in semiconductor industry and hold bosses accountable for risky, loss-making projects — China will strengthen supervision of new entrants into its “chaotic” semiconductor industry following a number of high-profile collapses during Beijing’s push to reduce its reliance on imports by boosting investment in home-grown computer chip development and manufacturing.
- Jack Ma leads the pack as Chinese billionaires’ 2020 fortunes grow by the size of Russia’s economy — The Covid-19 pandemic has not stopped Chinese billionaires from getting even richer. A stock market boom and a flurry of new listings has further boosted their fortunes, according to the latest Hurun China Rich List.
- Carrie Lam says remarks on Shenzhen’s rise taken ‘out of context’, touts Hong Kong’s key role in Greater Bay Area plan — Chief Executive Carrie Lam Cheng Yuet-ngor has sought to reassert Hong Kong’s vital role on a national level, a week after she was widely criticised for stating she was unbothered by being overtaken by Shenzhen.
- Sweden bans Huawei, ZTE from upcoming 5G mobile networks — Swedish regulators on Tuesday banned the use of telecommunications equipment from China’s Huawei Technologies and ZTE Corp in its 5G mobile networks ahead of the spectrum auction scheduled for next month.
- Hong Kong leader Carrie Lam will not let recession or property slump delay controversial Lantau Tomorrow Vision plan — Hong Kong’s leader has said her determination to boost land supply would not be stalled by the global recession or a slump in the property market, insisting there could be serious consequences in doing so, without specifying what they might be.
- Taiwan looks to legal action against mainland China ‘to get justice’ for worker hurt in Fiji row — Taiwan is considering legal action in Fiji after vowing to get justice over an altercation at a Taiwanese national holiday event in the South Pacific country this month.
- Retired Taiwanese military officers under investigation over alleged spying activities — Three retired Taiwanese military officers, including a major general, are under investigation in Taiwan over alleged spying activities involving mainland China, the Taipei District Prosecutor’s Office said.
- China-Australia cattle trade continues despite tensions — China’s allowed 3,600 cattle to enter from Australia last week, a sign that heightened tensions between the two countries have not hindered all areas of trade.
- ‘This is historic’: Tibetan political leader meets new US special envoy — The head of the Tibetan government-in-exile said he met the new US special coordinator on Tibet, whose appointment last week angered China, at the State Department, the first political head of the Tibetans in exile to be hosted there in 60 years.
- China-Australia relations: coal, cotton curbs could violate trade rules, lawyers say — China’s informal verbal prohibitions on Australian imports of coal and cotton could breach rules set out by the World Trade Organization (WTO), as well as the free trade deal between the two nations, according to trade lawyers.
- Hong Kong is heading for a ‘cataclysmic recession’ as city’s runaway debt service ratio imperils economy, research firm says — Hong Kong’s economy may be headed for a “cataclysmic recession” because private-sector borrowers are being challenged by the city’s worst growth contraction on record from paying off their debt, according to an independent research firm.
Bloomberg
- Lebedev’s Independent Bets on India and China to Triple Sales — Independent Digital News & Media Ltd., owner of Britain’s Independent news website, is shuffling its editors and planning to roll out Indian and Chinese editions in a bid to triple sales by 2025.
- China Defends Giving Experimental Covid Vaccines to Thousands — China said giving coronavirus vaccines still in clinical trials to hundreds of thousands of people is justified given the risk of Covid-19 returning through its borders and the lack of any significant side-effects so far from the shots.
- Sweden Bans Huawei, ZTE From New 5G Infrastructure — Sweden has banned Huawei Technologies Co. and ZTE Corp. from gaining access to its fifth-generation wireless network, adding to the increasing number of European governments forcing local telecom companies to shift away from Chinese suppliers.
- Cathay to Cut 6,000 Jobs and Close Dragon Brand, SCMP Says — Cathay Pacific Airways Ltd. will cut 6,000 jobs and close its Cathay Dragon brand, the South China Morning Post reported, as part of a strategic review to combat the deep damage caused by the coronavirus pandemic.
- China Condemns U.S. Meeting With Tibet Government-in-Exile — China criticized a meeting between the U.S.’s new Special Coordinator for Tibetan Issues Robert Destro and Tibet’s president-in-exile Lobsang Sangay, accusing America of trying to destabilize the region.
- India Considers Taiwan Trade Talks as Both Spar With China — Support is growing within India’s government to formally start talks on a trade deal with Taiwan as both democracies see relations with China deteriorate.
- China Leisure Spending Remains a Drag on Rebounding Economy — China’s hotels and restaurants, one of the hardest-hit industries in the economy during the coronavirus pandemic, remained a significant drag on growth in the third quarter even as the recovery steadily gains momentum.
- Turkey’s Domestic Carmaker Picks China’s Farasis for Batteries — Turkish carmaker TOGG inked a deal with China’s Farasis Energy Co. Ltd. to jointly manufacture electric batteries, a key part of Turkey’s multi billion-dollar endeavor to produce its own automobile brand.
- Swiss Watch Exports Decline, Leaving Industry More China-Reliant — Swiss watch exports extended their longest decline in about three years as the industry becomes even more dependent on the Chinese market.
- Greater China Offshore Loan Volumes Show Signs of Recovery — Offshore loan volumes in the Greater China region rebounded in the third quarter from the previous three months amid a recovery in the nation’s economy from the global pandemic.
- Century-Old Mill Turns to Cleaner Steel to Take On China — Japan’s oldest steel mill is venturing into recycling the industrial metal to tackle climate change and survive a race with Chinese mills.
- In Russia, Alibaba (BABA), Yandex (YNDX) and Others Battle for Online Crown — The pandemic pushed millions of Russians to try e-commerce. With Amazon absent, a handful of local players jockey for dominance.
- Iron Ore Enjoys Tailwind From Record Chinese Steel Production — Iron ore continued to enjoy a tailwind from record Chinese steel production, although the weight of ore supply is likely to keep prices in check. Vale produced more than expected last quarter, while BHP’s shipments also rose as demand continues to benefit from China’s rebound.
- Rise of ‘Xi Thought’ Shows Long Future for One-Man Rule in China — What sort of science fiction does Xi Jinping like? How can China’s weathermen use the president’s political philosophy to improve their forecasts? In what ways can “Xi Thought” help prepare the country for the next big earthquake?
- Tesla to Start Exporting China-Made Model 3 Sedans to Europe — Tesla Inc. will start exporting Model 3 sedans made at its gigafactory on the outskirts of Shanghai to Europe later this month, seeking to boost sales in one of the fastest-growing electric-car markets.
- Ant IPO Pushes Demand for Hong Kong Dollar to Most on Record — Demand for Hong Kong dollars hasn’t been this strong since before the global financial crisis, when the U.S. Federal Reserve flooded markets with liquidity.
- Trading Floors Are Full and Masks Off in Post-Covid Shanghai — On the trading floor at Bank of Communications Co.’s $164 billion wealth management unit in Shanghai, traces of the worst pandemic in a century are hard to find.
- BAIC Electric-Vehicle Unit Pins Comeback Hopes on Luxury Model — Beijing Automotive Group Co.’s electric-car unit hopes to put its recent lackluster performance behind it with the launch this weekend of a new high-end model called the Arcfox.
- New Zealand, China Benefit From Covid-19 Management. Not Sweden — Coronavirus leadership matters and has been richly rewarded in China and New Zealand. In Sweden, not so much.
- Chinese Customs Clears Thousands of Australian Cattle for Entry — China’s customs has allowed 3,600 cattle to enter from Australia, a sign that heightened tensions between the two countries have not hindered this kind of trade.
- Third of Japan Firms Still Mulling Hong Kong Presence After Law — A third of Japanese firms with operations in Hong Kong are still mulling whether to exit, downsize or rethink their operations in the city, according to the latest survey by Japan External Trade Organization published Monday.
Reuters
- Latin American payment giant rises amid pandemic, with an eye on China’s Ant — Latin America’s top e-commerce firm is revving up its digital payments engine as shops shift online amid the coronavirus pandemic, and is looking toward China for inspiration to bring the region’s un-banked and cash-loving savers online.
- Daimler chief eyes China growth as trade tensions rise — Daimler’s Chief Executive said China will remain Mercedes-Benz’s biggest growth market in the next decade and the German carmaker will adjust production locations to capture shifts in demand as global trade tensions continue to rise.
- Impossible Foods launches in Asian grocery stores as it aims to move into China — Impossible Foods’ faux beef burgers will be sold in grocery stores in Hong Kong and Singapore starting Tuesday, the company said as it vies to bolster its presence in Asia and before entering the potentially lucrative mainland China market.
- Sinopharm says may be able to make over one billion coronavirus vaccine doses in 2021 — China National Pharmaceutical Group (Sinopharm), one of several Chinese firms developing coronavirus vaccines, said it may have the capacity to produce more than 1 billion doses in 2021, Chairman Liu Jingzhen said on Tuesday.
- U.S. and Brazil must reduce dependence on China imports: Pompeo — U.S. Secretary of State Mike Pompeo warned on Monday that as the United States and Brazil reinforce their business partnership, they need to reduce their dependence on imports from China for their own security.
- Taiwan says it won’t be intimidated by China’s ‘hooligan’ diplomats — Taiwan will not be intimidated by China’s “hooligan” officials and will continue to celebrate its national day around the world, the government said on Tuesday, after Taiwan said Chinese diplomats had tried to charge into a diplomatic event in Fiji.
- China accuses U.S. politicians of ‘smearing’ economic and trade cooperation — China’s foreign ministry said on Tuesday some U.S. politicians were “smearing” normal economic and trade cooperation, after U.S. Secretary of State Mike Pompeo said Brazil and the United States needed to reduce their dependence on Chinese imports.
- China’s Sinovac vaccine is safe, Brazil institute says — An experimental coronavirus vaccine developed by China’s Sinovac Biotech appeared to be safe in a late-stage clinical trial in Brazil, preliminary results showed on Monday.
- Stock market boom, new listings mint China billionaires at record pace — China is minting new billionaires at a record pace despite an economy bruised by the coronavirus pandemic, thanks to booming share prices and a spate of new stock listings, according to a list released on Tuesday.
Xinhua
- China’s housing prices remain stable in September — China’s housing market remained generally stable in September, with slight month-on-month growth in home prices in major cities, official data showed on Tuesday.
- China’s Sichuan posts increase in foreign goods trade — Southwest China’s Sichuan Province reported a 22.7-percent increase in the foreign trade of goods in the first nine months of 2020, according to customs data released on Monday.
- China’s consumer spending grows at faster pace — Chinese consumers stepped up their spending in September, a sign of an economic recovery gathering strength amid the effective containment of the COVID-19 epidemic at home.
- China’s surveyed unemployment rate drops in September — China’s surveyed unemployment rate in urban areas stood at 5.4 percent in September, 0.2 percentage points lower than that of August, data from the National Bureau of Statistics (NBS) showed Monday.
- China’s early economic recovery “good news” to Philippines: finance secretary — China’s early recovery from the COVID-19 pandemic is “good news” for the Philippines, Philippine Finance Secretary Carlos Dominguez said Tuesday, adding that China’s fast recovery is a boon to the Philippines.
- China’s central bank injects liquidity into market — China’s central bank pumped cash into the banking system through open market operations to maintain liquidity Tuesday.
- China invests massively in energy projects in poor areas — China has invested over 2.7 trillion yuan (about 402.92 billion U.S. dollars) in large energy projects in impoverished areas since 2012, an official said on Monday.
- China’s fixed-asset investment up 0.8 pct in first 3 quarters — China’s fixed-asset investment went up 0.8 percent year on year in the first three quarters of 2020, data from the National Bureau of Statistics showed Monday.
- China’s central bank injects liquidity into market via reverse repos — China’s central bank on Monday continued to pump cash into the banking system via reverse repos to maintain liquidity.
- AI industry booming in central China’s Henan — AI-related industries in central China’s Henan Province have enjoyed a strong growth momentum, with a scale now exceeding 30 billion yuan (about 4.5 billion U.S. dollars), according to local authorities.
- China’s housing prices remain stable in September — China’s housing market remained generally stable in September, with slight month-on-month growth in home prices in major cities, official data showed on Tuesday.
- East China province to expand digital economy scale — East China’s Shandong Province plans to ramp up efforts to bring its digital economy to a world-class level by 2030, according to a press briefing held in the capital city of Jinan on Monday.
- China’s Jiangxi sees foreign trade surge in first three quarters — East China’s Jiangxi Province saw its foreign trade volume up 21.3 percent year on year in the first three quarters to 304.82 billion yuan (about 45.5 billion U.S. dollars), local customs data showed.
- East China’s Zhejiang sees robust foreign trade — The foreign trade volume of eastern China’s Zhejiang Province rose 8.6 percent year on year to 2.44 trillion yuan (about 364 billion U.S. dollars) in the first three quarters of this year, according to Hangzhou Customs on Monday.
- China’s central SOEs report revenue, profit growth in Q3 — China’s centrally administered state-owned enterprises (SOEs) saw both profit and revenue growth in the third quarter (Q3), the country’s state-asset regulator said Tuesday.
- China’s loan prime rates remain unchanged — China’s one-year loan prime rate (LPR), a market-based benchmark lending rate, came in at 3.85 percent on Tuesday, unchanged from the previous month.
Other Publications
- Fox Business: China beats North American box office for the first time amid coronavirus shutdowns — The two highest-grossing films of the year have come out of China as well.
- Market Screener: Corn Rises as Chinese Futures Jump on Drought — Corn for December delivery gaining 0.8% to $4.05 1/4 a bushel, on the Chicago Board of Trade Monday, rising in tandem with Chinese corn futures amid drought issues there.
- Nikkei Asian Review: Japan and China to lift ban on business travel — Journeys to be conditional on negative coronavirus test results and itineraries.
