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
- U.S. Prepares New AI Chip Restrictions to Close China’s Backdoor Access — Washington plans rules limiting semiconductor shipments to some countries accused of supplying Beijing.
- China Races to Squelch Unrest as Signs of Economic Malaise Spread — Knife attacks and car rammings have officials unnerved about widespread societal discontent.
- China’s Economy Loses Momentum — China will probably hit its ‘around 5%’ growth target for the year, but economists say more stimulus will be needed as trade tensions loom.
- Vietnam Won Big in Donald Trump’s First Trade War. Now, It’s a Target. — Once described by Trump as the ‘single worst abuser’ on trade, Vietnam attracted manufacturers wanting to avoid China tariffs during his term.
- Biden Administration Signs Modified Science Pact With China — Long-running agreement embraced by academics had come close to lapsing amid warnings it threatened national security.
- CEOs Want Trump to Change Course on Tariffs. He Isn’t Budging. — Companies mount a campaign to soften the president-elect’s trade policies, but Trump’s team tells consultants he is serious.
- Prices Won’t Stop Falling in China, and Beijing Is Grasping for Solutions — Companies are pumping out goods amid falling prices, creating a vicious cycle that is eroding confidence.
- Has World War III Already Begun? — An axis of autocracies led by Russia, China, Iran and North Korea is challenging the democratic world order.
- Opinion: America Needs the Nippon Steel Deal — The takeover of U.S. Steel would challenge Chinese market dominance, bolster our economic and national security, and protect U.S. jobs. By Mike Pompeo.
- Opinion: Trump Courts Xi Jinping, Slaps Japan — China’s Communist leader won’t be charmed by an inaugural invitation. By The Editorial Board.
The Financial Times
- Weak China retail sales add to pressure on Beijing to lift economy — Consumption rises less than forecast in November, highlighting why leadership made it the top economic concern.
- EU presses for new powers to combat threat of Chinese import surge — Brussels increasingly concerned it would struggle to fight back in a global trade war.
- How China is setting up shop in America’s backyard — An increasingly close trade relationship is putting Mexico in the spotlight.
- Australia lowers tax revenue forecast on weak Chinese economy — Treasury cuts $5.4bn from budget estimates over next four years, citing ‘significant impact’ of softer commodities demand.
- China’s ‘loyal wingman’ drones open new front in competition with U.S. — Aircraft designed to accompany crewed stealth jets could help Beijing challenge American air superiority.
- China’s ecommerce merchants set up shop in Russia’s online marketplaces — Ozon and Wildberries welcome Chinese sellers looking for new markets as sanctions hit both countries’ traders.
- UK minister defends talks with Beijing despite China spy claims — Home secretary says Britain will take robust approach to any challenge to national or economic security.
- Robotaxi start-up Pony.ai expects cheaper driverless cars on more roads in China in 2025 — Newly listed group plans to quadruple fleet and predicts big cities will extend boundaries for self-driving services.
- Big Chinese naval exercise leaves Taiwan and U.S. struggling for response — Taipei and Washington draw different conclusions over meaning of unannounced military deployment.
- Chinese tech group Hikvision ditches Xinjiang surveillance projects — Termination of contracts could shield company from Donald Trump’s incoming U.S. administration.
- What do investors need to look out for in 2025? — The U.S. dominates at FT Money’s annual investment panel — much to some participants’ annoyance.
The New York Times
- Automakers Thrived in the Pandemic. Many Are Now Struggling. — Changing technology, political turmoil and competition from China are cutting into profits and forcing carmakers to cut jobs and close factories.
- Impeachment in South Korea Has Cost Washington a Staunch Ally — President Yoon Suk Yeol shifted his country closer to Washington and stood up to Beijing. But that foreign policy could be recalibrated in the future.
- Opinion: This Unreadable Russian Novel Drives Xi’s Struggle Against America — The Chinese leader is digging into the language of revolution, and a radical Russian novel, as he prepares for battle with Donald Trump. By John Garnaut and Sam Chetwin George.
Caixin
- Huawei to Spin off Smart Car Business Unit to Yinwang by Jan. 1 — Spinoff is intended to solidify Huawei’s position as a smart vehicle supplier in testing times.
- Mainlanders Flood Hong Kong Talent Program — Since the Top Talent Pass Scheme was launched in 2022, over 90% of the more than 100,000 applicants have been from the Chinese mainland.
- How Regulation Shake-Up Cast Public-Private Partnerships Into Limbo — PPP projects at risk as financial oversight falls between the cracks after supervision framework revised.
- Opinion: China Envisages Bigger Deficit, More Rate Cuts and Greater Support in 2025 — The CEWC sets out China’s economic goals for 2025 with the central task being stabilizing growth. By Wang Tao.
South China Morning Post
- Palestinian rescuers see China’s Blue Sky amid the bomb blasts of Israel-Gaza war — China’s Blue Sky Rescue has been helping train Palestinians in urban search and rescue operations in bid to help save more lives.
- Alibaba to sell department store Intime to focus on core e-commerce, sources say — The reported Intime sale is part of Alibaba’s broader efforts to restructure its business and refocus on its e-commerce and cloud businesses.
- Economist Zhang Yansheng on how China can survive Trump threats, avoid Japan’s mistakes — Seasoned researcher says Trump’s ‘extremist’ protectionism will isolate U.S. and cede the high ground on multilateralism to China.
- Chinese entrepreneurs, wary of tariffs, tag along with investments in U.S. visa bids — A new cohort of Chinese migrants to the U.S. is on the rise – investors looking to permanently relocate to conduct their business smoothly.
- How will Hungary’s Orban square the circle of ties with China and Trump? — The Hungarian prime minister must walk a fine ‘economically neutral’ line between East and West.
Nikkei Asia
- U.S. and China lead government bitcoin holdings, seized in crime probes — U.S. and China lead government bitcoin holdings, seized in crime probes.
- Temu, Shein face roadblocks in Southeast Asia push — Vietnam, Indonesia put up restrictions to protect local businesses.
- Japan’s Shiseido pays heavy price for dependence on China — Stock market not impressed by plan for cutting costs, lifting profit margin.
- Inside China’s data-driven hunt for taxes on overseas gains — Rich told to self-assess and pay up, boosting local coffers but risking exodus.
- China’s 2024 property sales on course to reach just half the peak — November data offers positive glimmers as Beijing signals more policy support.
Bloomberg
- TikTok Hawks Tapped for Jobs Contrast With Trump’s Murky Stance — The appointments set up a potential conflict in the next administration — not least with Trump himself.
- Gallium Rises to Highest Since 2011 Following China Export Curbs — China accounted for 98 percent of global gallium production in 2023.
- China Will Keep Trying to Spur Consumption Without Big Stimulus — Recent steps will likely fall short of the radical action analysts believe is required to stem a deflationary spiral and rescue the property market.
- Opinion: Trump’s Worldview Isn’t as Unpredictable as You Think — The president-elect is inheriting a plethora of hot wars, cold wars and potential wars. Here are five ways they could play out. By Hal Brands.
Reuters
- Exclusive: Major cloud providers could get key role in AI chip access outside the US, sources say — The U.S. could empower companies like Google and Microsoft to act as gatekeepers worldwide for highly sought-after access to AI chips.
- Exclusive: Yellen won’t rule out sanctions on Chinese banks, curbs on ‘dark fleet’ oil tankers — The Treasury Secretary talked with Reuters about efforts to reduce Russia’s oil revenue and access to foreign supplies to fuel its war in Ukraine.
- Exclusive: Trump transition team to roll back Biden EV, emissions policies — The transition-team plan would redirect money toward securing China-free supplies of batteries and the critical minerals to build them.
- China’s ‘erotic clothing’ capital braces for Trump and e-commerce crackdown — The development of the lingerie industry in eastern Guanyun county, 180 miles from the metropolis of Nanjing, has exploded partly due to a U.S. tariff exemption likely to soon be curtailed or scrapped.
Other Publications
- Radio Free Asia: Alleged Chinese spy tied to Prince Andrew is businessman Yang Tengbo — The well-connected adviser did little to hide his links to the Chinese government.
- POLITICO: How Trump is already driving Congress’ China legislation — As negotiations intensified in recent weeks on a bill to restrict U.S. investment in China, recent versions have shown deference to the incoming administration.
- WIRED: Former ByteDance Intern Accused of Sabotage Among Winners of Prestigious AI Award — Keyu Tian and his coauthors won the Best Paper Award at the annual NeurIPS machine-learning conference for their work on a new technique for generating images. Some have objected to the decision.
- Foreign Policy: What China Got Right in Latin America — To compete in the region, a second Trump administration needs to do more than saber-rattle.
