Plan for $10 Billion Chip Plant Shows China’s Growing Pull

Paul Mozur
New York Times
On Friday, the California-based chip maker GlobalFoundries announced a $10 billion project in China, showing how the center of gravity continues to shift across the Pacific.

China’s Quota on Hollywood Film Imports Set to Expand, State Media Says

Patrick Brzeski
Hollywood Reporter
After an “extremely cordial” call between President Trump and Chinese leader Xi Jinping, a government-backed news outlet projected an expansion to China’s film quota and a greater share of box-office revenue for Hollywood studios.

Here Are Five Ways China’s New Silk Road Is Good for Western Companies

Alex Capri
Forbes
China’s One-Belt-One-Road initiative is the most ambitious infrastructure project in history. Referred to as “OBOR,” this immense network of planned highways, railways, energy grids and port facilities will create economic corridors between 65...

China’s Transgender Oprah

Economist
As an army colonel who became a woman, she exemplifies a society in flux

EU to Phase out China Solar Panel Duties Read

Star Online
The EU said Wednesday it aimed to phase out anti-dumping duties on Chinese solar panel imports after 18 months, ending a bitter dispute with one of its largest trading partners.

‘Irrational’ Coal Plants May Hamper China’s Climate Change Efforts

Edward Wong
New York Times
A certain coal plant near the rugged Kazakhstan border and others like it undermine China’s aim of being a global leader on efforts to limit climate change.

Joyous Africans Take to the Rails, With China’s Help

Andrew Jacobs
New York Times
China, which designed the system, supplied the trains and imported hundreds of engineers for the six years it took to plan and build the 466-mile line. And the $4 billion cost? Chinese banks provided nearly all the financing.

China’s Shipbuilders Go From Boom to Rust

Trefor Moss
Wall Street Journal
Shipyards across China are being driven out of business by weak global demand for new ships

How China Lost $1 Trillion

Keith Bradsher
New York Times
It’s a lot of money—but it’s shrinking.

China Protests U.S. Sanctions on Iran, but Sees ‘Clouds of War’ Dispersing over South China Sea

Simon Denyer
Washington Post
China said Monday it had lodged a formal protest with the United States over a decision to impose new sanctions targeting Iran, which affected a handful of Chinese companies and individuals.

It Won’t Be Easy for Donald Trump to Bully China

Clay Chandler
Fortune
Trump’s screeds against China—for cheapening its currency, stoking its export machine and “stealing” American jobs—were a centerpiece of his campaign. And yet, as Trump himself probably knows, China won’t be easy to bully.

China’s Intelligent Weaponry Gets Smarter

John Markoff and Matthew Rosenberg
New York Times
The Pentagon’s plan to bring A.I. to the military is taking shape as Chinese researchers assert themselves in the nascent technology field.

Disappearance of Chinese Billionaire Alarms Financial Sector

Yifan Xie and Josh Chin
Wall Street Journal
Xiao Jianhua is one of several high-profile Chinese businessmen to go missing since China’s 2015 stock-market crash

Ivanka Trump Effect: New Year Wishes from President’s Daughter Welcomed in China

Benjamin Haas
Guardian
Beijing media says visit to embassy in U.S. could help ‘balance president’s harsh posture’ but relationship with Washington remains strained

These American-Made Ford Raptor Pickups Are Shipping off to China

Jordan Golson
Verge
In a move that is sure to make President Trump happy, Ford is shipping a boatload of F-150 Raptor pickup trucks. Company reps are very excited to be sending American-made trucks over to China instead of the other way around.

China Tightens Monetary Policy by Raising Money Market Rates

Bloomberg
China’s central bank tightened monetary policy by raising the interest rates it charges in open-market operations and on funds lent via its Standing Lending Facility as it shifts to reining in asset prices and inflation.

Chinese Tourism to Africa Is Up, but Travel Companies Are Wary

Eric Olander, Cobus van Staden & more
Africa is becoming an increasingly popular holiday destination among adventure-seeking Chinese tourists. The number of visitors who went to Africa in 2016 was up sharply due to looser visa restrictions and new direct flights between China and...

Viewpoint

02.02.17

The Art of a China Deal

James McGregor
By his own admission, President Donald J. Trump is a brilliant businessman, a master negotiator, an exceptional deal maker, somebody who always wins. When it comes to China, he is prepared to do just that—win. “I’ve read hundreds of books about...

China Labor Unrest Spreads to ‘New Economy’

Hudson Lockett
Financial Times
Retail and logistics sectors hit by strikes and protests once focused on industry

Why Foreign Companies Are Shutting Shop in China

Jane Li
South China Morning Post
Sony Electronics, Marks & Spencer, Metro, Home Depot, Best Buy, Revlon, L’Oreal, Microsoft, and Sharp—some of the big names to have closed Chinese operations

The Life of a Football Coach in China

Matt Stanger
Guardian
After impressing in Taiwan and the Philippines, Matt Ward moved to Shanghai Shenxin, where he gained ‘all the experience you need to deal with anything’

China Is Facing a Catch-22 Dilemma

Jacob Shapiro
Business Insider
A subsidiary of the Industrial and Commercial Bank of China (ICBC) has recently reached deals with seven Chinese state-owned enterprises to convert about 60 billion yuan ($8.7 billion) of unpaid loans into equity shares.

Apple Renaissance in China Key for iPhone 8 Success but It Faces a Tough Road Ahead

Arjun Kharpal
CNBC
Apple’s fiscal first quarter results showed a bit of stabilization in China and “record revenues” in India, according to CEO Tim Cook, but the U.S. technology giant still faces challenges in these emerging but increasingly “critical” markets.

Philippines’ Duterte Asks China to Patrol Piracy-Plagued Waters

Reuters
Philippine President Rodrigo Duterte on Tuesday said he had asked China to help in the fight against Islamic State-linked militants by sending ships to patrol southern waters plagued by raids on commercial vessels.

For Couriers, China’s E-Commerce Boom Can Be a Tough Road

Ryan McMorrow
New York Times
The Chinese e-commerce industry has been built on the backs of couriers—called kuaidi, or express delivery, in China. They number 1.2 million, and online retailers like Alibaba use them to zip packages to customers by scooter or three-wheeled...

Facebook Is Trying Everything to Re-Enter China—and It’s Not Working

Alyssa Abkowitz, Deepa Seetharaman,...
Wall Street Journal
Since regulators blocked the service in 2009, CEO Mark Zuckerberg has hired well-connected executives, developed censorship tools and taken a ‘smog jog’ in Beijing—but the company has made no visible headway.

With Pen Plan, China Etches Nationalist Economic Policy

Chuin-Wei Yap
Wall Street Journal
New ability to manufacture pen nibs gives China ability to produce whole pen—and a point of pride

Apple iPhone Toppled from No. 1 Spot in China for the First Time in 5 Years Making Firm ‘Vulnerable’: Research

Arjun Kharpal
CNBC
Apple’s iPhone has failed to clinch the title for the top selling smartphone in China for the first time since 2012, making the U.S. technology giant “vulnerable” in the world‘s second-largest economy

Conversation

01.27.17

TPP is Dead, Now What?

David Dollar, Charlene Barshefsky & more
On Monday, on his first full working day as president, Donald Trump officially withdrew the United States from the Trans-Pacific Partnership (TPP), a 12-nation trade pact that did not include China and did not have the votes to...

Chinese Send Fake Trump Tweets as Jokes, New Year Wishes

Associated Press
In China, Twitter is blocked but fake tweets by @realdonaldtrump look set to become the latest internet sensation.

Books

01.23.17

China as an Innovation Nation

Edited by Yu Zhou, William Lazonick, and Yifei Sun
This volume assesses China’s transition to innovation-nation status in terms of social conditions, industry characteristics, and economic impacts over the past three decades, also providing insights into future developments.Defining innovation as the process that generates a higher quality, lower cost product than was previously available, the introductory chapter conceptualizes the theory of an innovation nation and the lessons from Japan and the United States. It outlines the key governance, employment, and investment institutions that China must build for such transition to occur, and examines China’s challenges and strategies to innovate in the era of global production systems. Two succeeding chapters explain the evolving roles of the Chinese state in innovation, and the new landscape of venture capital finance. The remaining chapters provide studies of major industries, which contain analyses of the evolving roles of investment by government agencies and business interests in the process. Included in these studies are traditional industries such as mechanical engineering, railroads, and automobiles; rapidly evolving and internationally highly integrated industries such as information-and-communication-technology (ICT); and newly emerging sectors such as wind and solar energy.Written by leading academics in the field, studies in this volume reveal Chinese innovation as diverse across industries and enterprises and fluid over time. In each sector, we observe continued co-evolution of state policy, market demand, and technology development. The strategies and structures of individual companies and industrial ecosystems are changing rapidly. The sum total of the studies is a great step forward in our understanding of the industrial foundations of China’s attempt to become an innovation nation. —Oxford University Press{chop}

Forget Xi’s ‘Defense’ of Globalization. China Just Fortified the Great Firewall.

Emily Rauhala
Washington Post
Over the weekend, China announced a new, year-long crackdown on “unauthorized Internet connections.”

China’s Growing Obesity Problem

Benjamin Shobert
Forbes
A recent study published shows that China can now lay claim to having a greater percentage of obese men and women than in the United States.

China Swings back at Golf, Shutting down 111 Courses

Normaan Merchant
Associated Press
China has launched a renewed crackdown on golf, closing 111 courses in an effort to conserve water and land, and telling members of the ruling Communist Party to stay off the links.

China’s Economy Grows Strongly, Yet Central Bank Eases Policy

Keith Bradsher
New York Times
China’s economy firmly hit its growth target last year, but this is China, where figures are sometimes doubted and where economists look for signs of strain underneath the numbers.

Asian Shares Mixed as Investors Eye Trump’s Inauguration

Aza Wee Sile
CNBC
Asian markets were a mixed bag on Friday after China’s latest set of economic data suggest the economy is recovering, even as risk sentiment sours ahead of Donald Trump’s inauguration

China’s Latest Hollywood Move: Pumping $1B into Paramount Movies

Sherisse Pham
CNN
Paramount Pictures has announced a $1 billion financing deal with two Chinese firms, strengthening the U.S. studio's ties with a lucrative but difficult market...

U.S. Commerce Nominee Ross Calls China ‘Most Protectionist’ Country

David Lawder
Reuters
Billionaire investor Wilbur Ross, U.S. President-elect Donald Trump’s choice for commerce secretary, voiced sharp criticism of China’s trade practices on Wednesday

China Is America’s “Vendor,” and Needs to Treat Its Biggest Customer Better, Trump’s Commerce Pick Says

Heather Timmons
Quartz
China loomed large in the US senate’s confirmation hearing today of Wilbur Ross for commerce secretary.

Viewpoint

01.19.17

Do We Want to Live in China’s World?

Robert Daly
Each weekday morning, I cross D.C.’s National Mall and pass a sign on Constitution Avenue bearing an epigram by the U.S. architect Daniel Burnham: Make No Little Plans. And every morning, these words make me think not of Burnham’s 20th century...

Conversation

01.18.17

U.S.-China Flashpoints in the Age of Trump

Zha Daojiong, Isaac Stone Fish & more
Over the past year, Donald Trump has vowed to “utterly destroy” ISIS, considered lifting sanctions on Russia, promised to cancel the Paris climate agreement and “dismantle” the Iran nuclear deal. But many of his most inflammatory statements are...

China’s Top Economic Official Braces for Possible Trade War

Chris Buckley and Keith Bradsher
New York Times
Liu He has struggled to overcome resistance to a program of measured economic liberalization and more open markets that he argues is critical to China’s long-term economic health

First Freight Train from China to Britain Arrives in London

Ritvik Carvalho
Reuters
The first China-to-Britain freight train arrived in London on Wednesday after a 7,500-mile journey, marking a milestone in China’s push to build commercial links across Europe and Asia.

The Chinese Government Finally Admitted That Its Economic Data Was Made Up

Zheping Huang
Quartz
For many who have long believed that China’s economic growth figures seemed too good—and tidy—to be true, they now have official confirmation of that skepticism.

China’s Oil Collapse Is Unintentionally Helping OPEC

Bloomberg
OPEC’s campaign to prop up oil prices is getting unlikely support from its biggest customer.

Google Play and iOS Apps Demand Surges in India and China

Leo Kelion
BBC
The two leading app stores both experienced a tilt towards Asia in 2016, according to an annual study.

Rich Chinese, Inspired by ‘Downton,’ Fuel Demand for Butlers

Chris Buckley and Karoline Kan
New York Times
Inspired in part by the Downton Abbey television drama, the country’s once raw and raucous tycoons are fueling demand for the services of homegrown butlers trained in the ways of a British manor.

China Overseas Investment Spree Set to Run Out of Steam

Lingling Wei
Wall Street Journal
A government think tank predicts China’s direct investment overseas, after years of robust gains, is likely to decline in 2017

Books

01.11.17

Taiwan’s China Dilemma

Syaru Shirley Lin
China and Taiwan share one of the world’s most complex international relationships. Although similar cultures and economic interests have promoted an explosion of economic ties between them since the late 1980s, these ties have not led to an improved political relationship, let alone progress toward the unification that both governments once claimed to seek. In addition, Taiwan’s recent Sunflower Movement succeeded in obstructing deeper economic ties with China. Why has Taiwan’s policy toward China been so inconsistent?Taiwan’s China Dilemma explains the divergence between the development of economic and political relations across the Taiwan Strait through the interplay of national identity and economic interests. Using primary sources, opinion surveys, and interviews with Taiwanese opinion leaders, Syaru Shirley Lin paints a vivid picture of one of the most unsettled and dangerous relationships in the contemporary world, and illustrates the growing backlash against economic liberalization and regional economic integration around the world. —Stanford University Press{chop}

The Humble Ballpoint Pen Has Become a New Symbol of China’s Innovation Economy

Josh Horwitz
Quartz
China has grown by leaps and bounds during its quest for greater domestic innovation, but one of its most recent accomplishments is in an area that’s considerably more basic: ballpoint pens.

2016 China-Africa Year in Review

Eric Olander & Cobus van Staden
After years of relatively trouble-free development, 2016 marked a turning point in the China-Africa relationship, amid turbulent changes in the global economic and political order. China increased its deployment of combat troops to the continent,...

Conversation

01.10.17

Can Beijing’s Ivory Ban Save the Elephants?

Eric Olander, Peter J. Li & more
On New Year’s Eve, Beijing announced it will ban the ivory trade in China, potentially shutting down the world’s biggest ivory market. Why did Beijing decide to curb the ivory trade? Will it put enough muscle behind it to enforce the decision? What...

China Probes Bitcoin Exchanges amid Capital Flight Fears

Gabriel Wildau
Financial Times
Investors in the cryptocurrency say they doubt it is being used to transfer large amounts of cash out of China.

How Chinese Super App WeChat Plans To Lock Out Foreign App Stores In China

Yue Wang
Forbes
Since its launch on January 21 2011, WeChat has established a solid track record in pushing forward big game changing innovations within China’s mobile ecosystem.

Alibaba Looks to Bricks and Mortar With Bid for Mall Operator in China

Amie Tsang and Paul Mozur
New York Times
Alibaba is pushing further into the very sector that it helped to disrupt with a $2.6 billion bid for Intime Retail, a department store and mall operator in China.

McDonald’s China Operations to Be Sold to Locally Led Consortium

Amie Tsang and Sui-Lee Wee
New York Times
McDonald’s said on Monday that it would sell its businesses in mainland China and Hong Kong for $2.08 billion to Citic, a state-owned conglomerate, and the Carlyle Group, a private equity firm.

China Is Mad About Hollywood Remakes

Lillian Lin
Wall Street Journal
Aiming to crack new frontiers in China, Hollywood studios are turning to something familiar: established American films and TV series that can be remade for Chinese audiences.

How a China Crackdown Caused Bitcoin’s Price to Plunge

Geoffrey Smith
Fortune
The value of the cryptocurrency bitcoin is melting down Thursday, having dropped 20% against the dollar by midday Eastern Time in only two hours of frantic trading.

Apple Removes New York Times App in China

Benjamin Haas
Guardian
Company says it will not offer news site in app store because it has been told by Beijing it is in ‘violation of local regulations’

How Chinese Entrepreneurs Can Help Trump ‘Make America Great Again’

Edward Tse
South China Morning Post
Edward Tse says Chinese investment and job creation are just what the US economy needs to sharpen its edge, not isolationism and trade wars