China Allows French, German, Italian Citizens to Enter Visa Free; Foxconn founder Terry Gou withdraws from race for Taiwan president; Everything You Need to Know About China’s Child Pneumonia Outbreak
Welcome to this issue of The China Brief. Today is November 24, 2023. Here at The China Brief, we bring you the latest news on China's politics, economy, and society from global media sources, along with exclusive expert analysis. If you find our content helpful, please subscribe to our newsletter.
China Allows French, German, Italian Citizens to Enter Visa Free
Bloomberg
China will allow citizens from several European countries, including France, Germany, and Italy, to enter the country without a visa. The move aims to facilitate cross-border exchanges and attract more visitors to China. The visa-free entry will be available for leisure, business, and family travelers and will last from December 1 to November 30 of the following year. The Chinese government has been making efforts to boost foreign investment and open up to the outside world amid an economic slowdown. The visa easing comes ahead of meetings between Chinese and European officials, including the EU-China summit in early December.
Foxconn founder Terry Gou withdraws from race for Taiwan president
Nikkei Asia
Terry Gou, the billionaire founder of Foxconn, has withdrawn from the race to be Taiwan's next president after the breakdown of opposition talks to mount a joint ticket against the ruling party. Gou blamed the ruling Democratic Progressive Party for taking Taiwan to the brink of war by antagonising China, which claims the island as its own territory. Gou did not specify what he would do next in the presidential campaign or who he might back.
Everything You Need to Know About China’s Child Pneumonia Outbreak
Bloomberg
China is experiencing a wave of pneumonia cases, particularly among children, prompting concerns about a potential new pathogen. However, Chinese health authorities have stated that the cases are caused by known germs, including mycoplasma pneumoniae, RSV, adenovirus, and influenza. The World Health Organization (WHO) has requested more data to confirm this and has advised people to take precautions such as wearing masks and washing hands regularly. China has the world's highest incidence of mycoplasma pneumoniae that is resistant to antibiotics, raising concerns about the severity of the illness.
China’s Belt and Road Eyes Smaller Projects, More Use of Yuan
Bloomberg
China is set to prioritize small projects and increase the use of the Chinese currency in its Belt and Road Initiative (BRI). The move comes as President Xi Jinping seeks to revive the flagship investment program amid a slowing domestic economy and global skepticism. China will focus on projects with small investments that have quick impacts and positive economic, social, and environmental benefits. The BRI has attracted around $1 trillion since its launch in 2013, but momentum has waned due to the pandemic and China's economic slowdown. The average deal size for the BRI fell to $392 million in H1 2021, down 48% from its peak in 2018. China also plans to promote the internationalization of the yuan in BRI projects by encouraging greater use of the currency and supporting the sale of yuan-denominated bonds.
Diplomats from South Korea, Japan and China will meet about resuming a trilateral leaders’ summit
Associated Press
The top diplomats from South Korea, Japan, and China are set to meet in South Korea to discuss resuming their leaders' summit, which has not been held since 2019 due to the COVID-19 pandemic. The three countries have had strained relations due to various issues, including historical disputes, the US-China rivalry, and North Korea's nuclear program. The foreign ministers will also hold bilateral meetings on the sidelines of the trilateral summit. In September, senior officials from the three countries agreed to restart the summit "at the earliest convenient time."
China Taps Zhu Hexin as FX Regulator’s Communist Party Chief
Bloomberg
Zhu Hexin has been appointed as the Communist Party chief at China's foreign exchange regulator, the State Administration of Foreign Exchange (SAFE). Zhu, a banking veteran, will oversee the country's $3tn foreign reserves. The role is seen as more powerful than the administrative head of the institution. Zhu previously held positions at Sichuan province and the People's Bank of China before becoming chairman of Citic Group. The appointment completes China's economic leadership changes following the party congress a year ago.
Russian and Chinese executives discuss Russia-Crimea tunnel project
Washington Post
Chinese and Russian business executives with government ties have held secret talks regarding the construction of an underwater tunnel connecting Russia to Crimea, according to communications intercepted by Ukraine's security services. The talks were triggered by Russian concerns over the security of an 11-mile bridge across the Kerch Strait, which has been bombed twice by Ukraine and remains a vulnerable war target. Constructing a tunnel near the bridge would face enormous obstacles, say experts, as it would be costly, require years to complete, and would be the first time such a project has been attempted in a war zone. Experts have expressed surprise at China’s involvement in the project, as it would be an easy target for sabotage by Ukraine. However, the project’s backers are concerned about the economic atrophy that could take place without safe passage, and a tunnel would provide a secure link to contested territory. For China, the project would be another addition to its expanding inventory of global port and transportation infrastructure, and it could finance the project and extract payment either in tolls or from Russian oil and gas exports.
Chinese court rejects Canadian pop star Kris Wu's appeal
Reuters
Canadian pop star Kris Wu has had his appeal denied by a court in Beijing after he was sentenced to 13 years in prison for crimes including rape. The court stated that Wu violated the will of women and engaged in group licentiousness. The charges against Wu were made in July 2021 when an 18-year-old Chinese student accused him of inducing her and other girls, some of them underage, to have sex with him. Wu has denied the accusations. He was detained in July 2021 and has since lost endorsement deals with 15 brands.
Dramatic Week in Taiwan Leaves Pro-US Candidate as Frontrunner
Bloomberg
Taiwan's Vice President Lai Ching-te, the ruling Democratic Progressive Party's candidate, now has a clearer path to victory in next year's presidential election, following the collapse of a much-hyped alliance between the main opposition camps. The failure of the unity ticket is likely to frustrate Beijing, which has been critical of Lai's stance on cross-strait relations. The outcome is expected to release some pressure off Washington's shoulders, as Lai is seen as US-friendly. The US has strong links to Taiwan's ruling party and has pledged $480 million to bolster the island's military capabilities.
Alibaba Begins Overhaul to Revive Cloud Arm After Nixing Spinoff
Bloomberg
Alibaba is reorganising its cloud business, Alibaba Cloud Intelligence, by appointing three new executives to head up major business lines. The move comes after Alibaba cancelled the spinoff and listing of the cloud unit, disappointing investors and leading to a $24bn selloff. The reorganisation clarifies reporting lines after a year of management turmoil and is intended to help Alibaba regain market share lost to state-backed rivals. The cloud division is central to Alibaba's AI initiatives and the company claims it hosts half of China's generative AI firms and serves 80% of the country's tech companies.
Thailand Turns to Chinese Influencers to Allay Tourist Concerns
Bloomberg
Thailand is planning to leverage Chinese social media influencers and companies like Huawei and Alipay to promote the country as a tourist destination. The Tourism Authority of Thailand aims to attract Chinese travelers in order to reach its target of luring 40 million visitors next year and generating $87 billion in revenue. The country plans to more than double its tally of Chinese visitors to 8.2 million in 2024 from about 3.5 million this year. The government has also signed an agreement with Chinese travel platform Fliggy, owned by Alibaba Group, to jointly promote Thailand as a safe place to visit.
French foreign minister holds talks in China on climate and global tensions
Associated Press
France's Foreign Minister, Catherine Colonna, has called for France and China to work together to address global tensions and issues such as climate change and biodiversity. Colonna made the remarks during an official trip to Beijing ahead of a major U.N. climate conference and an EU-China leaders meeting. The visit coincided with the start of a four-day truce in the Israel-Hamas war. Colonna emphasized the shared responsibility of big powers in tackling global challenges and alleviating tensions around the world. Despite their differences, China has been trying to repair its relations with major trading partners, including Europe.
Singapore family office enquiries slow amid money laundering probe
Nikkei Asia
The number of enquiries to set up family offices in Singapore has slowed following an investigation into a major money laundering case in the city-state, according to Edmund Leow, partner and head of tax practice at Dentons Rodyk. The number of single-family offices in Singapore nearly tripled in 2022, but enquiry rates have now dropped off, while the application process for tax incentives by single-family offices has become longer. However, some remain hopeful that the influx of Chinese wealth into Singapore will continue.
Yao Ming jumps to defence of China basketball players after online abuse
South China Morning Post
Yao Ming, the president of the Chinese Basketball Association, has defended the national team after players faced online abuse following a series of disappointing results. The team has consistently failed to live up to high expectations, most recently losing to the Philippines in the semi-finals of the Asian Games. Fan anger has failed to dissipate, with players being targeted online. Yao stated that while criticism of technique and tactics is welcome, abuse that goes beyond basketball is not acceptable. He promised to support players in defending their rights and interests and to provide necessary support against online abuse.
Taiwan’s TPP candidate registers for presidential run, ending joint ticket hopes
South China Morning Post
Taiwan People’s Party's (TPP) Ko Wen-je has registered his run for the presidency, ending the opposition parties' attempt to form a joint ticket. The move gives the ruling Democratic Progressive Party (DPP) an easier route to victory. The KMT and TPP had been in talks since October to form a joint “blue-white” ticket, but failed to resolve a dispute over how to select the candidate who will head the ticket. Another four-year term for the independence-leaning DPP is likely to unsettle Beijing. Taiwan's presidential election will be held on 13 January along with the legislative elections.
Stay informed about the latest news, analysis, and policy briefs from across the globe related to China with the China brief. Our team aggregates, synthesizes, and summarizes the most important information from various sources, including media outlets, think tanks, government agencies, and industry experts.
Our mission is to provide you with easily accessible and critically valuable information tailored to your specific field of interest. We understand the significance of staying up-to-date on developments related to China and aim to make this information comprehensible for our readers.
Join the conversation and stay informed about the latest news and developments related to China by visiting our website at www.6dobrief.com