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
- House Votes 419-0 to Pass Resolution Condemning China for Spy Balloon — Lawmakers also seek more information about balloon’s entry into U.S. airspace, how decision was made to shoot it down.
- Chinese Balloon Carried Antennas, Other Equipment to Gather Intelligence, U.S. Says — U.S. preparing to take action against entities tied to Chinese balloon surveillance program, official says.
- U.S. Poised to Further Tighten Technology Exports to China After Balloon Incident — Newly formed House panel might also press for tougher measures to slow advancement of Chinese military capabilities.
- FBI’s Christopher Wray Wants Business to Help Fight China, Cyber Threats — Agency promises ‘Ritz Carlton-level customer service’ in effort to warm ties to companies.
- Europe’s Next Energy Test: Wrestling Solar Back From China — Continent is trying to rebuild its solar-panel industry after it was decimated by competition.
- China’s Hesai Said Lower Delisting Risk Was ‘Essential’ for Its U.S. IPO — Hesai Group, a Chinese developer of sensor technologies used in self-driving cars, said reduced delisting risk faced by Chinese companies propelled its decision to go public on Nasdaq.
- Citadel Wins Wider Access to Chinese Stock and Bond Markets — Citadel’s brokerage and trading arm has secured an important endorsement from Beijing that will give wider access to mainland China’s stock and bond markets.
- Xinjiang Governor’s Planned Visit to Europe Sparks Anger — China’s Erkin Tuniyaz, sanctioned by U.S. over human-rights abuses, expected to visit London and Brussels.
- China’s Reopening Pushes Inflation Higher — But economists expect rising prices from post-Covid rebound to have only limited spillover into the global economy.
- China’s Balloon Program Grew From a Humble Start — Effort that now alarms U.S. military developed in a blurry zone between science and national defense.
- U-2, Cold War Flashpoint, Comes Out of the Shadows for Chinese Balloon — Pushing 70, the spy plane retains unmatched capabilities that have helped it stave off retirement.
The Financial Times
- China pulls back from global subsea cable project as US tensions mount — Telecoms groups withdrew investment in Sea-Me-We 6, which will transmit data between Asia and western Europe.
- Chinese property brokers despair as homebuyers sit on sidelines — Tepid recovery underscores challenges in Beijing’s effort to revitalise critical economic sector.
- Chinese balloon had antennas for intelligence gathering, US says — State department official said aircraft was part of a broader surveillance fleet.
- Chinese tech group’s Nasdaq IPO signals revival for offshore listings — Hesai Technology is the largest China-based company to go public in the US since 2021.
- China coal: energy shortage ensures chemical romance ends badly — Beijing has abruptly cooled on coal-to-chemicals sector as it retreats from green commitments.
- Jing Tsu: ‘The days of armchair scholarship are over if you’re studying China’ — The writer on why the west and China misunderstand each other — and how culture can bring them closer together.
The New York Times
- China, Still Trying to Play Down Balloon, Finds It’s Getting Harder to Do — Beijing has accused the United States of waging “information and public opinion warfare.” But analysts say a lack of credible messaging from China is not helping.
- What Was the Chinese Spy Balloon Trying to Collect? Here’s What We Know — Here is what we know about the balloon.
- House Votes Unanimously to Condemn China Over Spy Balloon — The vote came after Republican leaders rebuffed a right-wing effort to formally rebuke President Biden for the episode, part of an effort to keep partisanship out of China policy.
- Chinese Balloon Had Tools to Collect Electronic Communications, U.S. Says — China’s surveillance balloons have flown over more than 40 countries and are directed by the Chinese military, the State Department said. The F.B.I. is studying debris.
Caixin
- Analysis: China Had Some Strong Holiday Spending Numbers, but Don’t Break Out the Champagne — A handful of promising data points don’t herald a sustained rebound in consumption that the government hopes will prop up the economy, analysts say.
- Huawei Suspends Auto Business Chief Wang Jun — Disappointing progress for ‘Huawei Inside’ smart car business model is behind suspension as tech giant pushes for profitability, source close to company tells Caixin.
South China Morning Post
- China’s top memory chip maker YMTC slashes equipment orders amid US sanctions, market headwinds — Top Chinese memory chip maker YMTC has cut orders for new production equipment by 70 per cent in recent months, a sign that US sanctions and a slowdown in the global NAND market are hurting.
- Starved of chips, China’s bid to topple US as No 1 economy faces ‘unprecedented’ pressure — US technology containment has led some international organisations to delay – if not drop entirely – forecasts that China will become the world’s No 1 economy.
Nikkei Asia
- U.S. chip tool makers eye Southeast Asia as China business shrinks — Export controls drive shift as semiconductor industry suffers demand slump.
- Switzerland helps China Inc. satisfy its itch for overseas listings — Swiss exchange opens its door as going public in U.S. becomes more fraught.
- Opinion: U.S. cannot count on South Korea’s Yoon to line up against China — Despite tough campaign rhetoric, president wants country to be pivotal state. By Derek Grossman
Bloomberg
- Half of Taiwanese Support a Visit by McCarthy, Defying China — More than half of Taiwanese surveyed in a recent poll say they support a visit by House Speaker Kevin McCarthy — even though China responded to a trip by his predecessor by launching missiles over the democratically run island.
- Huobi Bets China Will Warm to Crypto as Exchange Targets Hong Kong — Digital-asset exchange Huobi plans to expand its operations in Hong Kong, betting the city’s pro-crypto pivot presages an easing of the ban on virtual coins in mainland China and hence smoother access to users there.
- Chinese Balloon Had Parts With English Writing, Lawmakers Told — An alleged Chinese spy balloon that traversed the US had western-made components with English-language writing on them, members of Congress were told on Capitol Hill Thursday, people familiar with the matter said.
- UK Would Meet Xinjiang Governor to Protest Against China Human Rights Abuses — British officials are prepared to meet with the governor of China’s western region of Xinjiang, but the government said that any talks during a potential visit to the UK would be used to raise the issue of human rights violations against the Uyghurs.
- Germany’s China Dependency Is Dangerous, Finance Minister Says — Finance Minister Christian Lindner is worried that Germany’s economy is becoming too reliant on China and called for closer trade ties with democratic countries to counteract this dependency.
Reuters
- China says proposed U.S. ban on Chinese buying U.S. property violates market rules — The United States is violating the principles of market economy and international trade rules in considering a ban on Chinese citizens buying property in the United States, the Chinese foreign ministry said on Friday.
- Exclusive: Intel weighs boost to investment in Vietnam chip packaging plant — The possible move, which one source said could be worth about $1 billion, would signal a growing role for Vietnam in the global supply chain for semiconductors.
Other Publications
- Associated Press: ‘It just rang’: In crises, US-China hotline goes unanswered — Defense Secretary Lloyd Austin reached out to his Chinese counterpart via a special crisis line. But Austin’s effort Saturday fell flat, when Chinese Defense Minister Wei Fenghe declined to get on the line, the Pentagon says.
- Quartz: Companies involved in the making of the Chinese spy balloon could face sanctions — Washington is confident the manufacturer of the Chinese balloon has a “direct relationship” with the People’s Liberation Army (PLA).
- The Economist: How the “nine-dash line” fuels tensions in the South China Sea — China has co-opted a cartographic mistake to bully its neighbours.
