Has Xi Jinping brought China’s private sector back into the fold?
Ukraine: US, Russia to name teams to discuss war's end；China follows up fast on Xi’s pledge for private sector support
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Has Xi Jinping brought China’s private sector back into the fold?
South China Morning Post
President Xi Jinping recently convened a symposium with China’s top entrepreneurs, marking the first such meeting since late 2018. The event aimed to restore investor confidence and support for the private sector amidst recent economic challenges and regulatory crackdowns. Similar to the previous meeting, it occurred against a backdrop of rising tariffs and tensions with the U.S.
Xi emphasized the importance of the private sector, assuring entrepreneurs they would receive equal treatment under the law and access to markets alongside state enterprises. The presence of key Politburo members and influential business leaders, including Jack Ma and Ren Zhengfei, underscored the meeting's significance for policymaking and economic strategy.
This gathering is viewed as a commitment to stabilizing expectations for private enterprises, potentially signaling an end to the recent regulatory clampdown. Analysts anticipate possible policy shifts towards increased support for technological innovation, manufacturing upgrades, and market-friendly reforms. The meeting represents an important signal from the Chinese government to foster a more supportive environment for the private sector, which plays a crucial role in the country's economy.
https://www.scmp.com/economy/china-economy/article/3299118/has-xi-jinping-brought-chinas-private-sector-back-fold?utm_source=rss_feed
Ukraine: US, Russia to name teams to discuss war's end
Deutsche Welle
Recent talks between top US and Russian diplomats, held in Saudi Arabia, focused on addressing the ongoing war in Ukraine and the broader relationship between the two nations. The discussions, which lasted over four hours, involved US Secretary of State Marco Rubio and Russian Foreign Minister Sergey Lavrov, among other officials. While positive sentiments were expressed, both sides acknowledged that the dialogue was in its early stages, emphasizing that one meeting alone would not suffice to establish lasting peace.
As the negotiations unfolded, there were concerns from European leaders about potential shifts in security dynamics that could arise from US-Russia talks occurring without their involvement. Experts warned that these discussions could reshape the future of European security, especially if the US were to make concessions regarding NATO's presence in Eastern Europe. Additionally, Russian officials reiterated their stance on Ukraine’s NATO membership, asserting that NATO must disavow previous commitments made in 2008 regarding Ukraine’s potential accession to the alliance.
Meanwhile, European leaders, including German Foreign Minister Annalena Baerbock, expressed that discussions on peacekeeping troops in Ukraine were premature while the conflict continues. The EU's desire to collaborate with the US on peace initiatives was also highlighted, with a commitment to uphold Ukraine's sovereignty and territorial integrity. The ongoing talks reflect a complex geopolitical landscape, with diplomatic efforts taking place amid a backdrop of uncertainty and potential shifts in international relations, particularly regarding the role of the US, Europe, and Russia in securing peace.
https://www.dw.com/en/ukraine-us-russia-to-name-teams-to-discuss-wars-end/live-71645180
China follows up fast on Xi’s pledge for private sector support
South China Morning Post
Following a symposium led by President Xi Jinping, China announced new measures to support the private sector, prioritizing stable growth for privately owned firms. The National Development and Reform Commission revealed plans to update the negative investment list and promote fair competition between private and public firms. The government aims to boost domestic investment with significant funding and support for private enterprises, while also addressing financing delays. A draft legislation promoting the private economy is set for a second review, which could establish foundational laws for private sector development, crucial as China faces economic challenges and geopolitical tensions.
https://www.scmp.com/economy/policy/article/3299175/china-follows-fast-xis-pledge-private-sector-support?utm_source=rss_feed
China pledges to protect private businesses from illegal investigations, economic crime
South China Morning Post
China's top prosecutors have vowed to enhance legal protections for private businesses, committing to address illegal investigations targeting the sector. This promise follows a meeting between President Xi Jinping and prominent entrepreneurs, aimed at reassuring them amid economic challenges. Du Xueyi, head of economic crime prosecution, stated that Beijing would combat profit-driven illegal law enforcement practices and improve coordination to resolve outstanding criminal cases involving companies. In 2024, prosecutors resolved 2,390 cases related to private firms. The private sector has been struggling with low confidence due to a sluggish economy and geopolitical tensions, prompting Xi to encourage tech innovation and offer protections for businesses. Additionally, the Supreme People's Court has warned against defamation campaigns against companies, asserting that offenders will face consequences. A recent case involved an individual who posted defamatory content about a tech company, resulting in ordered compensation and an apology.
https://www.scmp.com/news/china/politics/article/3299186/china-pledges-protect-private-businesses-illegal-investigations-economic-crime?utm_source=rss_feed
China stocks diverge as Xi's business outreach fuels tech surge
Nikkei Asia
Investors increased their investments in Chinese tech stocks on Tuesday, lifting Hong Kong's Hang Seng Index by 1.6% to a four-month high, while mainland indexes fell. Major companies like Tencent, Alibaba, and Xiaomi saw significant gains. This positive momentum follows a meeting between tech leaders and President Xi Jinping, who expressed support for the private sector. Despite this, mainland stocks declined, with some consumer stocks suffering. Analysts remain cautious about long-term recovery, emphasizing the need for demand-side stimulus and policy reforms to restore investor confidence.
https://asia.nikkei.com/Business/Markets/Equities/China-stocks-diverge-as-Xi-s-business-outreach-fuels-tech-surge
Xi’s meeting with Jack Ma, tech bosses is tonic for US$245 billion Hong Kong bull run
South China Morning Post
President Xi Jinping's recent meeting with key Chinese business leaders, including Alibaba's Jack Ma, has sparked optimism in Hong Kong's stock market, signaling a potential end to the regulatory crackdown on the tech sector. Analysts from Morgan Stanley and UBS predict that major Chinese tech stocks will continue to thrive, with the Hang Seng Index reaching its highest point in four months. This meeting is viewed as a sign of Beijing’s renewed support for the private sector and tech innovation amidst economic challenges and geopolitical tensions, suggesting a shift towards more market-friendly policies.
https://www.scmp.com/business/china-business/article/3299134/xis-meeting-jack-ma-tech-bosses-tonic-us245-billion-hong-kong-bull-run?utm_source=rss_feed
Veteran Google AI researcher joins TikTok owner ByteDance to lead foundational research
South China Morning Post
Wu Yonghui, a former Google Fellow with 17 years of experience at the tech giant, has joined ByteDance to lead foundational research in artificial intelligence (AI). He will work in ByteDance's Seed department, which was established in early 2023, following the rise of interest in AI sparked by OpenAI's ChatGPT. Wu reports directly to ByteDance CEO Liang Rubo and aims to explore advanced AI concepts. Before his departure from Google, Wu held various positions, including vice-president of research at DeepMind, and has a strong academic background with a PhD in computer science. His move to ByteDance is motivated by a desire to engage in innovative, long-term scientific research. The company is striving to enhance its AI capabilities and has set ambitious goals, including exploring "the upper limit of intelligence" and improving user interactions. Liang has emphasized the need for the company to accelerate its AI innovation efforts.
https://www.scmp.com/tech/big-tech/article/3299146/veteran-google-ai-researcher-joins-tiktok-owner-bytedance-lead-foundational-research?utm_source=rss_feed
China alleges military veteran shared secrets of troops, weapons with foreign spy agency
South China Morning Post
China's Ministry of State Security (MSS) has announced the arrest of a military veteran, surnamed Ni, for allegedly aiding a foreign espionage agency in stealing military secrets. The MSS revealed that an account named Dongye, linked to an 80-year-old man, was used to send sensitive information about troop locations and weapon configurations via social media. After extensive investigation, officers identified Ni, who had a military background but had been discharged due to disciplinary issues. The arrest took place in a remote area under challenging conditions, following an intercepted communication instructing him to gather information from a specific military base. The MSS emphasized the importance of military security amidst rising tensions with the U.S. and allied nations, calling for public vigilance against unauthorized military information sharing.
https://www.scmp.com/news/china/politics/article/3299127/china-alleges-military-veteran-shared-secrets-troops-weapons-foreign-agencies?utm_source=rss_feed
Huawei launches Mate XT in Malaysia to kick off trifold smartphone’s overseas roll-out
South China Morning Post
Huawei Technologies launched its Mate XT, the world's first trifold smartphone, in Malaysia, marking the international rollout of this 5G device. The Mate XT, initially released in China on September 20, aims to help Huawei rebuild its global smartphone business, which has been affected by US trade sanctions. The launch event in Kuala Lumpur attracted nearly 1,000 attendees, including media and partners from various regions. Alongside the Mate XT, Huawei also showcased other products like the MatePad Pro tablet and Huawei Band 10 wearable device. The Mate XT is marketed as a pioneering innovation, featuring the thinnest foldable design and the largest display in its category. It is priced at €3,499 (about US$3,668) for the 1-terabyte version. While it runs HarmonyOS in China, the international version will use an Android-based EMUI system without Google Play support. Huawei's domestic smartphone market share is currently at 16%, positioning it as the second-largest vendor in China. Despite sanctions, Huawei reported significant revenue, demonstrating its resilience in the telecommunications sector.
https://www.scmp.com/tech/big-tech/article/3299179/huawei-launches-mate-xt-malaysia-kick-trifold-smartphones-overseas-roll-out?utm_source=rss_feed
China’s state-owned enterprises pledge to shore up country’s economic growth in 2025
South China Morning Post
China's local state-owned enterprises (SOEs) aim to enhance economic efficiency through restructuring and mergers as part of their 2025 plans. With a focus on expanding investments and supporting emerging industries, local authorities emphasize SOEs’ role in driving economic growth amid rising global challenges. The State-owned Assets Supervision and Administration Commission (SASAC) has highlighted the need for SOEs to improve productivity and has initiated several high-profile mergers. Local SASAC branches are prioritizing strategic restructuring and investment in key sectors while committing to allocate at least 15% of total investments to emerging industries.
https://www.scmp.com/economy/china-economy/article/3299164/chinas-state-owned-enterprises-pledge-shore-countrys-economic-growth-2025?utm_source=rss_feed
Tiger Brokers adopts DeepSeek AI as Chinese brokerages rush to capitalise on breakthrough
South China Morning Post
Tiger Brokers has integrated DeepSeek's AI model into its chatbot, TigerGPT, as part of a trend among Chinese brokerages and fund managers to leverage AI in finance. This integration follows DeepSeek's impressive growth, prompting many firms, including Sinolink Securities and CICC Wealth Management, to adopt its technology for research and investment processes. The move is expected to enhance decision-making and efficiency within the financial sector, with UBS predicting a significant increase in financial IT spending due to rapid AI adoption. TigerGPT will initially be available for free in China and Singapore, showcasing enhanced analytical capabilities.
https://www.scmp.com/business/markets/article/3299158/tiger-brokers-adopts-deepseek-ai-chinese-brokerages-rush-capitalise-breakthrough?utm_source=rss_feed
Chinese venture capitalist Nisa Leung leaves Qiming after 19-year stint
South China Morning Post
Nisa Leung, managing partner at Qiming Venture Partners, is leaving the firm after 19 years. She joined Qiming in 2006 and played a key role in establishing the firm as a leader in healthcare and biotech investments in China, with notable investments including Gan & Lee and Venus MedTech. Qiming has initiated a leadership transition, appointing William Hu and Kan Chen to oversee healthcare investments following Leung's departure. Qiming, founded in 2006, has raised $9.5 billion and invested in over 580 companies, achieving significant portfolio success, including multiple unicorns. Leung has received recognition for her contributions to venture capital, including being listed in Forbes' Midas List and Fortune China’s Most Powerful Women in Business. The reasons for her departure have not been disclosed.
https://www.scmp.com/business/article/3298998/chinese-venture-capitalist-nisa-leung-leaves-qiming-after-19-year-stint?utm_source=rss_feed
DeepSeek could burst ‘peak China’ myth with AI-driven economic revival
South China Morning Post
The narrative of "peak China" as an uninvestible economy may be shifting due to the rapid adoption of DeepSeek's generative AI models. China faces significant economic challenges, including slowed urbanization, a shrinking labor force, and external pressures from the US. However, DeepSeek's low-cost AI solutions are being embraced across various sectors, potentially revitalizing China's $18 trillion economy. The models could contribute significantly to GDP growth, aiding China's goal to double per capita GDP by 2035. This development may challenge the notion of China's economic stagnation and highlight the potential of technological advancements.
https://www.scmp.com/opinion/china-opinion/article/3298970/deepseek-could-burst-peak-china-myth-ai-driven-economic-revival?utm_source=rss_feed
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