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 Reaches Back in Time to Challenge the West. Way, Way Back. — The country’s archaeologists are striking out along the Silk Road to trace the reach of ancient Chinese civilization, disputing long-held beliefs.
- China Pledges Steps to Shore Up Flagging Economy — Leaders acknowledged growing challenges but say Beijing will meet its economic growth target.
- The U.S. Wanted to Knock Down Huawei. It’s Only Getting Stronger. — The Chinese telecom giant struggled at first under U.S. sanctions—then Beijing stepped in.
- Heineken Shares Sink After China Impairment Hits Earnings — Charge reflects concerns about China’s economic environment and consumer demand, brewer says.
- Gas or Electric? Splitting the Difference Could Energize Chinese Automakers — Range anxiety is bad for battery demand but good news for Chinese PHEV makers.
The Financial Times
- Chinese online store Temu faces supplier backlash over business model shift — Internet marketplace taking on Amazon and Shein aims to cut delivery times by storing goods closer to shoppers.
- China’s Xi calls for faster measures to boost domestic consumption — Politburo admits ‘insufficient’ domestic demand amid rising signs of concern over weaker growth.
- Chinese low-tech manufacturers hanging on by ‘their fingernails’ — Clothing, toy and furniture factories hit by anaemic orders, trade restrictions and growing competition.
The New York Times
- Chinese E.V. Makers Are Upending Thailand’s Auto Market — China’s electric vehicle companies are making inroads in Thailand, a key industry hub, as Europe and the United States wield tariffs to keep them out.
- U.S. Pledges $500 Million in New Military Aid to the Philippines, as China Asserts Sea Claims — Secretary of State Antony J. Blinken and Defense Secretary Lloyd J. Austin III warned Beijing against engaging in hostilities with U.S. allies in the South and East China Seas.
- Why Are There Fears of War in the South China Sea? — China claims most of the strategic waterway and is trying to push out neighbors like the Philippines. Any deadly mistake could risk war.
- Japan Built Thailand’s Car Industry. Now China Is Gunning for It. — After dominating sales in Thailand for decades, Mazda, Nissan and other Japanese companies are losing their grip on a market long viewed as a regional hub.
- Who Is Shujun Wang, the Queens Man Accused of Spying for China? — Mr. Wang is on trial this week in Brooklyn federal court. He vigorously disputes the charges against him.
- China Cleared Swimmers in Doping Dispute, Citing Tainted Burgers — Two Chinese athletes, one of whom was named to the Olympic team in Paris, tested positive in 2022 for a banned steroid. China blamed contaminated food, as it had after previous positive tests.
Caixin
- Olympics Games Boost Air Travel Between China and France — The Olympic Games in Paris have fueled a surge in air travel between China and France, although flight services linking the two countries have yet to return to pre-pandemic levels.
- Exports Alone Cannot Solve China’s Economic Woes, Expert Warns — China’s economy has struggled to meet expectations over the past year, with the persistent slowdown in the real estate sector proving a major drag, Lu Ting, Nomura’s chief China economist, said at the 2024 Greater Bay Area Chief Economists Forum.
- Hong Kong Pre-Owned Property Prices Hit Eight-Year Low — Hong Kong’s pre-owned home prices plummeted to their lowest in nearly eight years, with June’s private property index dropping 1.24% from May and a sharp 13.1% year-on-year decline, despite a brief rise after the government lifted property controls.
South China Morning Post
- Chinese suppliers storm Temu office in Guangzhou in protest over ‘harsh’ policies — Hundreds of Chinese suppliers on Temu, the overseas shopping app run by PDD Holdings, staged a protest at the e-commerce giant’s office in Guangzhou over alleged unreasonable platform policies.
- BYD cuts premium prices by 17.3%, opening new front in China’s EV discount war — BYD reignites China’s EV price war with 50,000 yuan discounts on its premium SUVs.
- Hong Kong’s Greater Bay Airlines launches tax-free sea-to-air service for 6 mainland ports — Starting Tuesday, passengers can book one ticket for both high-speed ferry travel and connecting flights at Hong Kong International Airport.
Nikkei Asia
- China’s Politburo calls for consumption boost to drive 2024 growth — Top leadership acknowledges ‘many’ risks, calls for acceleration of fiscal policies.
- TSMC to start construction of first European chip plant in August — Taiwan Semiconductor Manufacturing Co. will hold a groundbreaking ceremony next month in Dresden, Germany, for its first plant in Europe, the latest milestone as the world’s top chipmaker expands its global production footprint, sources briefed on the matter told Nikkei Asia.
- For China’s e-commerce platforms, low prices are no longer enough — Key sector is prioritizing sustainable sales growth.
- China M&A deals down 45% in first half as economic slump continues — Tighter regulations at home and abroad make acquisitions harder to complete.
Bloomberg
- China Vows to Focus on Consumption With Growth Target at Risk — China’s ruling Communist Party pledged to make boosting consumer spending a greater policy focus, as weak domestic demand threatens the nation’s annual growth target despite an export boom.
- China Seizes Chance to Play Peacemaker in Ukraine Before US Vote — Chinese President Xi Jinping is stepping up efforts to position himself as a peacemaker for ending Russia’s war in Ukraine, despite growing criticisms from the US and Europe that Beijing is propping up the Kremlin’s battlefield efforts.
- China to Stop Publishing Daily Global Stock Flows in Mid-August — China took another step to obscure information about overseas funds going into and out of its sagging stock market, saying it will stop publishing daily flows data in the middle of August.
Reuters
- Gymnastics-Chinese gymnasts devastated after letting team gold slip through — Chinese gymnasts were left totally distraught after their gold medal hopes were abruptly dashed in the final moments of the men’s team competition at the Paris Olympics on Monday following two error-laden routines on the high bar.
- UAE blocks meetings between AI firm G42 and US congressional staffers, spokesperson says — The United Arab Emirates scuttled meetings this month between U.S. Congressional staffers and G42 after U.S. lawmakers raised concerns the Emirati AI firm could transfer powerful U.S. AI technology to China, according to a congressional spokesperson.
- China’s COSCO Shipping, Fortescue to build green fuel supply chain — China’s COSCO Shipping Corporation has signed a preliminary agreement with Australia’s Fortescue to jointly build a green fuel supply chain to help reduce pollution from the shipping industry, the Chinese company said on Monday.
- India tells two state firms not to use China telecoms gear, source says — India has told two state-run telecoms firms to use locally-made rather than Chinese telecom equipment to upgrade their mobile networks to 4G, a senior government source said on Thursday.
Other Publications
- The New Yorker: Reimaging China in Tokyo — A new community of expats is opening bookstores, attending lectures, and imagining alternatives to Xi from the relative safety of Japan. By Chang Che
- Associated Press: US boosts alliance with the Philippines with $500 million funding and pact amid concern over China — Washington’s top diplomat and defense chief announced $500 million in military funding Tuesday to boost Philippine defenses and progress on a proposed military intelligence-sharing pact as both allies renewed their concerns over China’s continuing aggressive actions in the region.
- Carnegie Endowment for International Peace: Why Should China Borrow Abroad? — In spite of China’s extraordinarily high investment levels, domestic savings nonetheless exceed domestic investment by quite a lot, making it a large net exporter of capital. By Michael Pettis
- CNBC: Where are China’s ultra-rich parking their wealth amid a slowing economy? — China’s ultra-wealthy population — people with a net worth of at least $30 million — is expected to increase by almost 50% in a few years, according to projections in a recent Knight Frank wealth report.
