Foreign Direct Investment in China Declines

Liyan Qi & Richard Silk
Wall Street Journal
Foreign firms worry over arbitrary law enforcement, rising labor costs.

Rigged: Comradely Relations Go From Bad to Worse

Economist
Vietnam and China share a long history of enmity—and of managing to patch things up when they go wrong. But their latest dispute is not running true to form.

Instagram Grows in China, Despite Ban on Parent Facebook

Francis Bea
CNET
While Facebook itself is blocked by the Chinese government, Facebook-owned Instagram is growing fast in that country.

Alibaba Acquires UCWeb, Maker Of China’s Most Popular Mobile Browser

Catherine Shu
TechCrunch
Alibaba, already an investor in UCWeb, will buy all remaining shares of the web browser and search company. The two firms announced the merger, one of the most significant among Chinese Internet companies to date, earlier today.

Ten Questions Cambridge University Must Now Answer Over the Chong Hua Donation

Peter Foster
Telegraph
The news that one of China's most powerful political families has endowed a professorial chair at Cambridge University raises profound and disturbing questions, both about the integrity of British academia and the reach of China's soft-...

Conversation

06.11.14

Is a Declining U.S. Good for China?

Zha Daojiong, Gordon G. Chang & more
Zha Daojiong:Talk of a U.S. decline is back in vogue. This time, China features more (if not most) prominently in a natural follow-up question: Which country is going to benefit? My answer: certainly not China.Arguably, the first round of “U.S.-in-...

The World Cup: Brought to You by One of China's Greenest Corporations

Simeon Tegel
Global Post
Yingli's got solar panels, and Latin America's got sun. Hey, perfect match.

China Now Has More Millionaires Than Any Country but the U.S.

Jason Chow
Wall Street Journal
China had 2,378,000 millionaire households in 2013, a rise of 82% from the previous year and almost double the 1,240,000 millionaire households in Japan, according to the Boston Consulting Group Global Wealth 2014 report unveiled on Tuesday.

China Auto Sales Rise But Domestic Brands Lag

Joe McDonald
Sacramento Bee
Sales in the world's biggest auto market accelerated in May but domestic Chinese brands lagged and their market share shrank, an industry group reported Tuesday.

China’s Real Estate Downturn Spells Trouble for Global Economy

Chengcheng Jiang
Time
The world's largest trading nation's economic growth remains heavily dependent on property, meaning a sharp downturn in that sector would be felt across Asia and beyond.

How “Rogue” Is China's Aid?

Cullen S. Hendrix and Marcus Noland
Washington Post
Moisés Naím has called Chinese development assistance “rogue aid,” claiming that it is nondemocratic and harmful to progress and to average citizens.

Costco Keeps Selling Treats From China Despite Dog Death

Kathy Tomlinson
CBC News
Costco is under fire for continuing to sell pet jerky treats from China, despite being warned by an owner whose veterinarian believes treats purchased there killed her Yorkshire terrier puppy.

Commentary: China, India Strategic Partners, not Rivals

Chen Shilei
Xinhua
China and India have had more high level exchange this past year than in nearly 60 years because they know common development can only be achieved through a strategic cooperative partnership.

State Firms Barred from Vietnam Contract Bids

Keira Lu Huang
South China Morning Post
Vietnamese and Chinese ships have been clashing since China set up an oil rig near disputed island in the South China Sea last month. Tensions over the move caused anti-China riots in Vietnam.

From China with Pragmatism

Stephen T. Asma
New York Times
Americans see patronage as corruption, but Chinese recognize that giving money in a red envelope is good manners and important social grooming, and unrelated to graft.

Accel’s Breyer to Partner With Venture Capital Firm in China

David Barboza
New York Times
James Breyer, the venture capitalist who made a fortune with an early bet on Facebook, is putting some of his winnings to work in partnership with Beijing-based IDG Capital to invest in tech start-ups.

China Escalates Its War on American Tech Firms

Michael Schuman
Time
The Chinese government, angered by Washington's charge that Beijing engages in cyberspying, is looking for some payback.

Finally, One Analyst Believes China Is Improving

Chris Wright
Forbes
In recent years, an upbeat note on the Chinese economy has been hard to find. Step forward Nomura, which on June 3 raised its GDP forecast for the second quarter from 7.1% to 7.4% and its full year forecast from 7.4% to 7.5%.

China Swaps Gusto for Rigor as It Learns From Africa

Franz Wild
Bloomberg
Cowed by capricious commodity prices, political instability and a string of lost investments, Chinese financiers aren’t as gutsy as when state-owned giants whipped up business abroad 15 years ago.

American Businesses in China Feel Heat of a Cyberdispute

Edward Wong
New York Times
Chinese officials are ramping up political and economic pressure on the United States following indictments against five members of the Chinese Army on charges of economic cyberespionage.

China’s Culture of Compliance Is Crippling the Country

Rana Foroohar
Time
This year, China will very likely overtake the U.S. as the world’s largest economy. It has certainly become wealthy. But it has also become less free.

First Rule of Chinese Tourism: Give Them What They Want

Kristie Lu Stout
CNN
As the global travel industry rolls out the welcome mat for China's surge of outbound tourists, it should consider tipping the scales in their customers' favor.

Features

05.29.14

Why Defenders of Killer Whales Are Worried About China

Leah Thompson
Late last year, the circus came to Hengqin. Trained elephants from Thailand, Russian jugglers and monkies, Kazakh horses, Bengal tigers, and Cuban acrobats descended on the once-sleepy island near Macau for China’s “First International Circus...

Meet ‘Crazy Jack,’ China’s E-Commerce Titan

Alexa Olesen
Foreign Policy
A former employee says Jack Ma sees himself as an artist, not a businessman.

Caixin Media

05.27.14

Threats to Anonymous Sources Shake Chinese Journalism

Courts in the capital are mulling over what's being described as the first legal attack against the use of anonymous sources in news reports published by the Chinese media.The charges leveled against the Guangzhou-based Southern Weekend...

US Wins WTO Luxury Car Ruling Against China

BBC
The World Trade Organization found no basis for duties that China imposed on saloons and off-road vehicles between 2011 and 2013 in retaliation for US trade policies.

Special Report: The Power Struggle Behind China's Corruption Crackdown

Benjamin Kang Lim, David Lague and...
Reuters
When Xi Jinping was named President in March last year, the 48-year-old billionaire Liu Han was detained and surrounded by corruption investigators and prison guards.

Books

05.22.14

Age of Ambition

Evan Osnos
From abroad, we often see China as a caricature: a nation of pragmatic plutocrats and ruthlessly dedicated students destined to rule the global economy—or an addled Goliath, riddled with corruption and on the edge of stagnation. What we don’t see is how both powerful and ordinary people are remaking their lives as their country dramatically changes.As the Beijing correspondent for The New Yorker, Evan Osnos was on the ground in China for years, witness to profound political, economic, and cultural upheaval. In Age of Ambition, he describes the greatest collision taking place in that country: the clash between the rise of the individual and the Communist Party’s struggle to retain control. He asks probing questions: Why does a government with more success lifting people from poverty than any civilization in history choose to put strict restraints on freedom of expression? Why do millions of young Chinese professionals—fluent in English and devoted to Western pop culture—consider themselves “angry youth,” dedicated to resisting the West’s influence? How are Chinese from all strata finding meaning after two decades of the relentless pursuit of wealth?Writing with great narrative verve and a keen sense of irony, Osnos follows the moving stories of everyday people and reveals life in the new China to be a battleground between aspiration and authoritarianism, in which only one can prevail. —Farrar, Straus, and Giroux {chop}

China Threatens Security Checks for Tech Firms After U.S. Indictments

Christopher Buckley
New York Times
China will establish new procedures to assess potential security problems with Internet technology and services used by sectors “related to national security and the public interest.”

Environment

05.21.14

Infographic: China’s Pig Footprint

from chinadialogue
Meat invariably means pig in China, with pork accounting for 65% of the meat consumed in the country.And after last year's high-profile takeover of the U.S. pig giant Smithfield by Shuanghui International, since renamed the WH Group, the...

“The Big Bang Theory” and Our Future with China

Evan Osnos
New Yorker
The United States has never faced a rival whose ordinary people lead lives that have so much in common with ours in America. (The Soviets did not get Carson.)

China Accuses U.S. of Hypocrisy Amid Charges of Economic Espionage

Massoud Hayoun
Al Jazeera
Unresolved allegations that the U.S. National Security Agency spied on a Chinese telecoms giant Huawei have resurfaced amid growing anger from Chinese officials over accusations that the PLA hacked American databases.

Media

05.20.14

Netizens Complain Chinese Government Was Slow to Respond to Violence in Vietnam

On May 18, Hong Lei, a spokesman for China’s Ministry of Foreign Affairs, said China “will suspend some of its plans for bilateral exchanges with Vietnam in response to the deadly violence against Chinese nationals in the country,” according to...

Conversation

05.19.14

Is This the Best Response to China’s Cyber-Attacks? 

Robert Daly, Chen Weihua & more
On Monday, the United States Attorney General Eric Holder accused China of hacking American industrial giants such as U.S. Steel and Westinghouse Electric, making unprecedented criminal charges of cyper-espionage against Chinese...

Caixin Media

05.19.14

“White Glove” Sisters at Center of Coal Country Graft Scandal

Two sisters with business savvy and important friends in high places are now the standout figures in the mysterious case of a former Shanxi province government official, Jin Daoming, charged with corruption.Few details of the Jin case have emerged...

Department of Justice Indicts Chinese Hackers: What Next?

Adam Segal
Council on Foreign Relations
The US indicted five Chinese military officers for cyberspying, but the Snowden revelations about alleged NSA activities make it hard to build support for diplomatic efforts from the rest of the world.

Viewpoint

05.16.14

Government Steps Up To Labor’s Demands

Kevin Slaten
On April 14, most of the 40,000 workers at the Dongguan Yue Yuen shoe factory—supplier to Nike, Adidas, and other international brands—began what would become a two-week work stoppage. While there are thousands of strikes in China every year, the...

Environment

05.15.14

Anti-Chinese Sentiment on Rise in Myanmar

from chinadialogue
The Shwe pipeline shaves an angry bald strip across the red clay hills and disappears into the morning mist. A sign hanging above an area cordoned off by bamboo fencing warns in English, “Severe punishment on pipeline destruction.”“Families were...

The Growing Allure of Designed-in-China Fashions

Christina Larson
Businessweek
Guo Pei, a couture designer based in Beijing, says she’s seeing increased demand for custom-made gowns as Chinese performers and socialites have more formal occasions to attend.

Anger Grows in Vietnam Over Dispute With China

Mike Ives and Thomas Fuller
New York Times
Thousands of workers rampaged through an industrial area in southern Vietnam in what reportedly began as protests against China’s stationing of an oil rig in disputed waters off of Vietnam’s coast.

Shoe Maker Yue Yuen Suspends Vietnam Production Amid Protests

Donny Kwok and Rachel Lee
Reuters
Vietnam accounts for about a third of Yue Yuen's global production capacity, which amounted to 313 million pairs of shoes last year.

Chinese Police Charge British Former Head of GSK in China With Bribery

Megha Rajagopalan and Kazunori Takada
Reuters
The case is the biggest corruption scandal to hit a foreign company in China since the Rio Tinto affair in 2009, which resulted in four executives, including an Australian, being jailed for between 7-14 years.

Protestors Torch Factories in Southern Vietnam as China Protests Escalate

Euan McKirdy
CNN
Properties in the Vietnam-Singapore Industrial Parks (VSIP) I & II in Binh Duong were targeted by thousands of protesters demonstrating over China's deployment of an oil rig in disputed waters.

China May Seek Extradition of Corrupt Officials from U.S.

Massoud Hayoun
Al Jazeera
The specter of Chinese President Xi Jinping’s sweeping anti-graft campaign has in recent months ousted officials of all ranks and even banned authorities from purchasing ostensible symbols of corruption.

China Inc. Moves Factory Floor to Africa

Peter Wonacott
Wall Street Journal
Faced with rising labor costs at home and negative perceptions about their employment practices in Africa, Chinese companies are setting up new factories on the continent and hiring more Africans.

Media

05.13.14

Why Are There No Credit Scores in China?

Few would dispute that Chinese society suffers from a serious trust problem. After surviving crafty scams and shoddy products for years, Chinese people have become guarded with strangers and cautious in business dealings. Given all that, it would be...

State Sector is China’s Secret Sauce

Joe Zhang
South China Morning Post
The state sector has provided essential organization, capital and the ability to survive turbulence collectively. That’s the Chinese edge, like it or not.

China Real Estate Falls Back to Earth

Keith Bradsher
New York Times
One of the world’s longest-running bull markets finally seems to be stalling, with broad consequences for China’s economy and possibly its politics as well.

China’s Coal Dependency Threatens Efforts to Curb Warming

Michael Forsythe
New York Times
China's coal consumption contributes one-fifth of the world’s total emissions of the greenhouse gas carbon dioxide from fossil fuels, which, if it continues, will make it change “almost impossible." 

China to Build Railway Linking East Africa

Agence France-Presse
Leaders agree $3.8bn project to link Kenya's port of Mombasa to neighboring Uganda, Rwanda, Burundi and South Sudan.

China May Build an Undersea Train to America

Ishaan Tharoor
Washington Post
Chinese officials are considering a route that would start in the country's northeast, thread through eastern Siberia and cross the Bering Strait via a 125-mile long underwater tunnel into Alaska.

Media

05.08.14

The Chinese Are Coming! (And That’s OK)

On April 29, the United States Chamber of Commerce, a U.S. lobbying group, announced that Chinese investment in the United States surpassed U.S. investment in China for the first time. The news has been a long time in coming: Over the past decade,...

Caixin Media

05.06.14

Growing Pains for a Megalopolis in Transition

Twenty years of on-and-off government discussions have yielded little progress toward the goal of coordinating urban and industrial development in a key Chinese megalopolis—the region encompassing the nation's capital Beijing, neighboring Hebei...

Young Party Members ‘Top Earners’

Li Jing
South China Morning Post
 Survey of China's 'post-80s' generation finds high pay tied to official status inside the Chinese Communist Party.

China Jails Man for Leaking Military Data

Marin Patience
BBC
News reports have not named the country which received the information leaked by a man surnamed Li in 23 classified documents, of which 13 were considered highly classified, state media said.

China's 'Ordinary' Billionaire Behind Grand Nicaragua Canal Plan

Mathew Miller
Reuters
Wang Jing, the businessman behind Nicaragua's $50 billion Interoceanic Grand Canal, insistis he's not an agent of the Beijing government.

China Premier Arrives in Africa Eyeing Better Ties

Elias Meseret
Associated Press
China's Li Keqiang arrived Sunday in Ethiopia for a four-country tour of Africa, calling for deeper ties with his country and seeking to recast a relationship that has admittedly faced difficulties.

Why India Will Soon Outpace China

James Gruber
Forbes
India’s decentralized, often chaotic economic model has been seen as inferior to China’s authoritarian, top-down model. A reappraisal of that view may soon be in order.

China's Half-Year Report Card on Economic Reform: Slow, Safe and Steady

Kevin Yao and Tomasz Janowski
Reuters
Incremental steps promise to reach enough critical mass to sustain reform momentum and help the world's second-largest economy shift down fairly smoothly after decades of red-hot growth.

Conversation

04.30.14

Will China’s Economy Be #1 by Dec. 31? (And Does it Matter?)

William Adams, Damien Ma & more
On April 30, data released by the United Nations International Comparison Program showed China’s estimated 2011 purchasing power parity (PPP) exchange rate was twenty percent higher than was estimated in 2005. What does this mean? China's...