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. Companies Vouched for China During Trump’s First Term. Not Anymore. — Executives are more pessimistic about opportunities and see risks in advocating Beijing’s cause.
- China’s Economy Is Burdened by Years of Excess. Here’s How Bad It Really Is. — Overindebtedness, overbuilding and overcapacity are causing problems at home and abroad.
- China’s Xi Jinping Nods to ‘External Uncertainties’ in New Year’s Speech — Weeks before Trump takes office, country’s leader seeks to shore up confidence that its economy can withstand threats.
- How an FBI Sting Stopped a Russian Smuggler but Not His Hong Kong Supply Route — U.S. ruse with a path through Fiji shows extent of effort to stop flow of supplies supporting Moscow’s war in Ukraine.
- Businesses Preparing for Another Year of Geopolitical Tumult — Geopolitical concerns still rank high among the anxieties plaguing executives as a new year begins.
- BYD, Chinese EV Peers Post Record Sales for December — Companies also offered discounts to meet annual sales targets.
- WeChat, TikTok First to Secure Licenses Under Malaysia’s New Social-Media Rules — Telegram is expected to secure a license soon.
- Alibaba to Sell Stake in Chinese Hypermarket Operator — The company will sell its entire 78.7% stake in Hong Kong-listed Sun Art Retail Group.
- China’s Private Factory Activity Gauge Shows Continued Expansion — The Caixin manufacturing purchasing managers index reading marked a third straight month of activity expansion.
The Financial Times
- U.S. investors in China venture funds race to comply with new tech rules — Financial institutions rush to secure assurances their money is not being used to develop Chinese technology.
- China steps up drive to break Boeing and Airbus grip on plane market — State-owned Comac opens offices abroad and pushes for overseas certification as it increases output of C919 jets.
- China’s electric-vehicle leader BYD posts record sales in 2024 — Bigger companies beat targets as intense competition rocks world’s biggest car market.
- Alibaba sells stake in Chinese hypermarket operator at steep discount — Sun Art deal is ecommerce group’s second major divestment of bricks-and-mortar assets in less than a month.
- Opinion: How to invest in a much-changed China — While Trump threatens punitive tariffs, investors need to understand how much the country has altered in recent years. By Swetha Ramachandran.
- Opinion: The EU’s impossible choice on trade and tariffs — Trump’s threat of higher duties on Chinese goods raises the stakes for a union proud of its free-trading instincts. By Andy Bounds.
The New York Times
- China Hits Dozens of U.S. Companies With Trade Controls — The move was the latest escalation in the back and forth between Beijing and Washington over products considered vital to national security.
- Xi Jinping, China’s Leader, Nods to Economic Challenges — In a New Year’s address, Xi Jinping made a rare acknowledgment of the flagging economy while reiterating the government’s growth targets.
Caixin
- How Will the Yuan Perform in 2025? — Donald Trump’s tariff policy is the key uncertainty when weighing up the yuan’s stability.
- Chinese Airlines Skirt Southern Russia After Azerbaijan Plane Crash — Carriers including Air China and China Southern have rerouted flights to avoid the region.
- China’s New Economy Industries Take a Hit as Capital Inputs Tumble — While labor inputs also slip, gauge for technology hits record high, Caixin index shows.
South China Morning Post
- Why mainland China’s Taiwan integration experiment in Fujian is starting to fizzle — Beijing invests billions into luring Taiwanese to Fujian’s Pingtan county, but it has yet to translate into political loyalty.
- China’s efforts to bring back foreign visitors are bearing fruit, but will they be enough? — Visitor numbers are well down on pre-Covid levels despite a string of measures, including the offer of visa-free access.
- China’s fusion of fireworks and drones reignites world’s oldest firework industry — As bans on traditional fireworks become more common in China, the industry is capitalising on the growing popularity of drone shows and shifting to ‘cold fireworks.’
Nikkei Asia
- China’s failed airspace auction highlights local financial woes — Property slump spurs interest in tapping ‘low altitude economy.’
- Chinese gym chain hit by branch closures in sign of economic strain — Members of private equity-backed Will’s left in limbo.
- China’s Wingtech abandons Apple ambitions after U.S. blacklisting — Supplier rushes to sell MacBook and Samsung-related operations to Luxshare.
- Uncertainties cloud China’s 2025 IPO prospects — Record-low fundraising deals expected for 2024 due to policy-tightening measures.
- Japan’s Muji looks to open another flagship store in China — Stand-alone shops that project lifestyle brand do well domestically, president says.
Bloomberg
- Brazilian Miner Boosts Rare Earths Output in Challenge to China’s Grip — China’s dominance has the U.S. and allies scouring the globe for alternative sources.
- Opinion: A ‘Made in China’ Crisis Awaits Big Auto — The Asian nation’s EVs and exports, coupled with rising protectionism, promise a year of restructuring ahead. By Liam Denning.
Reuters
- U.S. considers potential rules to restrict or bar Chinese drones — The Commerce Department said it was seeking public comments by March 4 on potential rules to safeguard the supply chain for drones.
- Mexico unveils new tariffs, popular e-tailers like Shein, Temu may be in crosshairs — Goods that enter Mexico via courier companies originating from countries like China that do not have an international treaty with Mexico will be subject to a duty of 19%.
- China’s 2025 iron ore imports set to hit new high even as steel demand dwindles — Rising imports show traders and suppliers still expect Chinese iron ore demand to remain resilient for years to come despite persistent weakness in the property sector.
Other Publications
- The Economist: China is catching up with America in quantum technology — But its state-heavy innovation model comes with risks.
- The Economist: Xi Jinping has much to worry about in 2025 — A struggling economy, rising social tensions and the return of Donald Trump will test China’s leader.
- Foreign Affairs: The Man Who Almost Changed China — Hu Yaobang and the unfinished business of reform and opening.
