Zhuhai car attack: China tightens security as leaders look for ‘risks and dangers’；Beijing names financier Qi Bin as deputy director of Hong Kong liaison office
China is catching up with the West on tech, Microsoft president says
Welcome to this issue of The China Brief. Today is November 13, 2024. 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.
Zhuhai car attack: China tightens security as leaders look for ‘risks and dangers’
South China Morning Post
Security in Guangdong has been intensified following a car attack in Zhuhai that killed 35 people. Authorities are investigating the incident, which involved a man with personal troubles driving into a crowded area. In light of the attack, police presence has increased, especially during the ongoing air show, to ensure public safety and deter potential threats. President Xi Jinping called for better risk prevention and control measures. Officials are also focusing on identifying residents facing difficulties to provide support and prevent similar incidents in the future.
https://www.scmp.com/news/china/politics/article/3286364/security-tight-after-zhuhai-car-attack-leaders-look-risks-and-dangers?utm_source=rss_feed
Beijing names financier Qi Bin as deputy director of Hong Kong liaison office
South China Morning Post
Beijing has appointed Qi Bin, former vice-president of China's sovereign wealth fund, as a deputy at the central government's liaison office in Hong Kong. This decision, announced by the State Council, is seen as an indication of Beijing's aim to enhance financial cooperation with Hong Kong. Qi, 57, previously served as vice-president and deputy chief investment officer at the China Investment Corporation (CIC).
https://www.scmp.com/news/hong-kong/politics/article/3286396/beijing-names-qi-bin-deputy-director-hong-kong-liaison-office?utm_source=rss_feed
China is catching up with the West on tech, Microsoft president says
CNBC
The West shouldn't assume that China is lagging behind the U.S. and Europe on tech developments, Microsoft's president and vice-chairman warned.
U.S-China tensions in the past few years have centered on the battle between the two nations for tech supremacy, culminating in a slew of export controls on critical technologies. Late last year, China's Huawei surprised the market with the release of a smartphone whose reviews indicated downloads speeds associated with 5G, sparking speculation of an apparent chip breakthrough that defied U.S. tech sanctions.
Speaking at the Web Summit tech conference in Lisbon, Portugal, on Tuesday, Microsoft's Brad Smith told CNBC that "in many ways," China is close to or is even catching up on technology.
"I think one of the dangers, frankly, is that people who don't go to China too often assume that they're behind," he told CNBC's Karen Tso. "But when you go there, you're impressed by how much they're doing."
He predicted that Chinese and American companies will be competing on technology into the distant future and urged U.S. and European companies to collaborate to grow economies and bring new advancements like artificial intelligence to the rest of the world.
Microsoft has operated in China since 1992, according to the company's web page, including through its largest research and development center outside the U.S. Microsoft CEO Satya Nadella said last year that the firm wasn't focused on China as a domestic market, but that it provides services to Chinese companies and has a more visible presence locally than do many other U.S. tech giants.
Asked about whether trade and tech transfers — or the movement of data, designs or innovations — with China will get more challenging as Washington transitions between the administrations of U.S. incumbent leader Joe Biden and President-elect Donald Trump, Smith it was too early tor know.
"The truth is, as an American technology company, we can do business in China only when we are offering a service that the Chinese government wants to have there, and the U.S. government wants us to bring there," he said, adding, "And in some cases they look at, say, a data center to support a Mercedes or a Siemens or a Starbucks or a General Motors — there seems to be a level of comfort. In consumer services, not really."
He predicted that we'll live in a world where some technology will move to China, and it won't be the tech firms that decide.
—CNBC's Jordan Novet contributed to this article.
https://www.cnbc.com/2024/11/13/china-is-catching-up-with-the-west-on-tech-microsoft-president-says.html
Former Chinese defence minister and military leader Liang Guanglie dies aged 83
South China Morning Post
Liang Guanglie, a former Chinese defense minister, passed away at the age of 83 from an unspecified illness in Beijing. He was recognized as a significant figure in China's military history, having joined the army in 1958 and rising through various ranks to become defense minister and state councillor from 2008 to 2013. Liang played a key role in the Sino-Vietnamese War in 1979 and later held important military leadership positions, including chief of general staff of the People’s Liberation Army (PLA) and a member of the Central Military Commission.
During his tenure as defense minister, Liang was instrumental in managing China's military diplomacy, particularly during a time of increasing US-China tensions and collaboration, especially under the Obama administration. He engaged with US defense officials amidst rising tensions in the South China Sea and the US's strategic pivot to Asia in 2011. Liang also contributed to military analysis regarding Taiwan, authoring a book on historical amphibious operations to inform naval warfare strategies. His legacy includes his influence on China's defense policies and military relations with the United States.
https://www.scmp.com/news/china/military/article/3286274/former-chinese-defence-minister-and-military-leader-liang-guanglie-dies-aged-83?utm_source=rss_feed
China battery giant CATL would build US plant if Trump allows it, chairman says
South China Morning Post
Contemporary Amperex Technology (CATL), the leading battery manufacturer, may consider establishing a plant in the US if the new administration allows Chinese investment in the electric vehicle supply chain. CATL's founder, Robin Zeng, expressed openness to US expansion after previous investment attempts were blocked by US trade measures. Despite facing heavy tariffs and restrictions, CATL continues to license battery production deals with companies like Ford and Tesla. Zeng also shared insights on Tesla's CEO Elon Musk's strategies and challenges, emphasizing the importance of realistic timelines for technology deployment.
https://www.scmp.com/business/china-evs/article/3286365/china-battery-giant-catl-would-build-us-plant-if-trump-allows-it-chairman-says?utm_source=rss_feed
Australia’s US envoy Kevin Rudd gets ominous hint from ex-Trump aide on his future
South China Morning Post
A former adviser to Donald Trump, Dan Scavino, has warned Australian envoy Kevin Rudd about his future in Washington as Trump's past feud with Rudd resurfaces. Scavino responded to Rudd's congratulatory message to Trump with an animated GIF suggesting Rudd's tenure may be ending soon. Rudd, who became Australia’s ambassador to the US in 2023, had previously made several anti-Trump comments and has since deleted them. While Rudd has expressed a desire to work closely with Trump's administration, old footage of him calling Trump a "village idiot" has re-emerged, drawing criticism. Australian Prime Minister Anthony Albanese defended Rudd, insisting he is the right person for the job, while others, including opposition leader Peter Dutton, expressed concern about Rudd's past remarks. Social media reactions have included calls for Rudd to be removed and speculation about Australia's position in the Five Eyes intelligence alliance. Despite the challenges, Defence Minister Richard Marles remains optimistic about the US-Australia alliance.
https://www.scmp.com/week-asia/politics/article/3286362/australias-us-envoy-kevin-rudd-gets-ominous-hint-ex-trump-aide-his-future?utm_source=rss_feed
As China mourns, some question delay in release of information about deadly car attack
Guardian
A 63-year-old man named Fan drove his car into a sports center in Zhuhai, China, killing 35 and injuring 43. He was found with self-inflicted knife wounds, reportedly upset over his divorce settlement. Details about the incident were delayed for a day, prompting criticism on social media about censorship and slow information dissemination by authorities. Despite the tragedy, a makeshift vigil was held, but police restricted media access and monitored the scene. This incident marks one of the deadliest mass killings in China in a decade, amid rising concerns over public safety and government transparency.
https://www.theguardian.com/world/2024/nov/13/china-zhuhai-car-crash-tragedy-death-toll-sports-centre
China’s space ambitions face ‘huge test’ from Musk presence in Trump White House
South China Morning Post
Elon Musk's potential role in a second Donald Trump administration could significantly impact the U.S. space program and challenge China's extraterrestrial ambitions, according to Chinese analysts. Musk may head a new "department of government efficiency," which could influence NASA and streamline U.S. aerospace efforts. The rivalry in space is intensifying between the U.S. and China, both of whom are leading defense spenders. Analysts warn China should avoid an arms race and focus on its own aerospace projects while potentially cooperating with the U.S.
China has made notable strides in space exploration, including its Chang’e lunar missions and Tiangong space station, but the U.S. still leads in technology. The U.S. Space Force has expressed concern over China's rapid development of counterspace capabilities. Observers in China argue for a strategic focus on their own space initiatives without overextending resources. They believe that learning from Musk's innovative approaches could enhance China's aerospace efficiency. Some experts suggest that quiet cooperation between the two nations could benefit space exploration, highlighting opportunities for scientific exchange.
https://www.scmp.com/news/china/diplomacy/article/3286379/chinas-space-ambitions-face-huge-test-musk-presence-trump-white-house?utm_source=rss_feed
Chip war: China’s GPU start-up helmed by former Nvidia executive kicks off pre-IPO process
South China Morning Post
Chinese semiconductor start-up Moore Threads Intelligence Technology, led by former Nvidia China executive James Zhang, has initiated the process for an initial public offering (IPO) amidst a strong interest in the chip industry fueled by Beijing's goal for technological self-sufficiency. The company specializes in designing graphics processing units (GPUs) and has engaged Chinese investment bank Citic Securities for the pre-IPO process. Recently, Moore Threads transitioned to a joint-stock company, increasing its capital base to 330 million yuan (approximately US$46 million).
The company is joining other chipmakers like Biren Technology and Enflame in pursuing IPOs as onshore capital markets become more attractive to start-ups. Moore Threads has attracted significant investment, raising over 2 billion yuan from various investors, including venture firms and technology giants like ByteDance and Tencent. The start-up was valued at 77.42 billion yuan prior to its recent funding round and has received a total of US$800 million since its founding in 2020.
However, both Biren and Moore Threads were added to the U.S. Entity List in October 2023, which restricts their access to services from global foundries like Taiwan Semiconductor Manufacturing Company. Despite these challenges, Moore Threads continues to benefit from China's push to enhance its capabilities in advanced chip manufacturing.
https://www.scmp.com/tech/tech-war/article/3286352/chip-war-chinas-gpu-start-helmed-former-nvidia-executive-kicks-pre-ipo-process?utm_source=rss_feed
Palau president hits out at China as re-election confirmed
Al Jazeera
Surangel Whipps Jr. has been re-elected as the pro-Western president of Palau, defeating his brother-in-law Tommy Remengesau in the recent election. Whipps received 5,626 votes to Remengesau's 4,103. Following his victory, he reaffirmed his commitment to the United States and criticized China for its maritime claims and actions that he views as disrespectful to Palau's sovereignty. He highlighted concerns over Chinese research vessels operating in Palau's waters and China's naming of underwater mountains claimed by Palau. Whipps aims to diversify Palau's economy and protect its environment, while the country continues to strengthen its military partnership with the US, including a recent deal for $890 million in economic assistance. Palau's stance has distanced it from China, resulting in Beijing blacklisting the island as a tourist destination, impacting its economy.
https://www.aljazeera.com/news/2024/11/13/palau-president-hits-out-at-china-as-re-election-confirmed
Trump says new Indonesian leader's English is 'so good'. It might not be enough to woo him away from China
Australian Broadcasting Corporation
Indonesian President Prabowo Subianto's recent visit to Washington for talks with President Biden gained attention due to his phone call with Donald Trump, where Prabowo expressed admiration and a willingness to congratulate Trump in person. Prabowo, with deep ties to the US, is eager to assert Indonesia's influence compared to his predecessor. However, his recent dealings with China, including a joint statement on the South China Sea, have raised concerns about Indonesia's sovereignty and foreign policy direction. Experts suggest this move may reflect a growing dependency on China while highlighting a strategic misstep in the region.
https://www.abc.net.au/news/2024-11-13/what-prabowo-visit-china-and-united-states-mean-for-the-region/104591024
Chinese military conducts sea and air patrol around shoal amid tension with Philippines
South China Morning Post
The Chinese military conducted a joint sea and air patrol around the Scarborough Shoal, a disputed area claimed by both China and the Philippines, amid ongoing tensions in the South China Sea. The patrol, conducted by the People's Liberation Army’s Southern Theatre Command, was described as lawful. Scarborough Shoal, effectively controlled by China since a standoff in 2012, has been a focal point of escalating tensions between the two nations. Recently, the Philippines enacted laws that assert its territorial claims over parts of the Spratlys, prompting Beijing to condemn these actions and publish geographic coordinates for the area. China maintains that its military activities in the region are aimed at strengthening marine management and are consistent with international law.
https://www.scmp.com/news/china/diplomacy/article/3286355/chinese-military-conducts-sea-and-air-patrol-around-shoal-amid-tension-philippines?utm_source=rss_feed
Vietnam weighs new tech law that risks irking U.S. under Trump
Nikkei Asia
Vietnam is considering new data consent and foreign transfer regulations for its tech sector, which critics argue may hinder innovation and exacerbate its trade deficit with the U.S. The proposed rules, influenced by China's regulations, would require government approval for cross-border data transfers and expand authorities' access to user data. Critics, including the Computer & Communications Industry Association, warn that these measures could disrupt business operations and violate trade agreements. As lawmakers continue to debate the draft, there are calls for revisions to protect both U.S. trade ties and the local economy.
https://asia.nikkei.com/Business/Technology/Vietnam-weighs-new-tech-law-that-risks-irking-U.S.-under-Trump
Trump signals hard line on China with hawkish cabinet picks
Al Jazeera
President-elect Donald Trump's recent nominations for his administration showcase a pronounced hardline stance toward China, indicating a focus on national security and trade issues. Notable appointments include John Ratcliffe as CIA director, Pete Hegseth as Secretary of Defense, and Michael Waltz as national security adviser, all of whom are recognized for their confrontational views regarding Beijing. Trump also named Elise Stefanik as UN ambassador and is expected to nominate Marco Rubio as Secretary of State. The selected individuals share a belief in a critical power struggle between the U.S. and China, suggesting that Trump's administration may pursue a confrontational approach toward Beijing.
Trump's potential trade policies, particularly under the guidance of Robert Lighthizer—who previously played a key role in the trade war—could involve imposing significant tariffs on Chinese goods. Analysts predict that such tariffs could adversely impact China's economy and neighboring countries in Asia. The administration's emphasis on decoupling from China aligns with Lighthizer's call for limiting trade and critical technology exports to the nation. This approach could exacerbate existing tensions, particularly as Trump's second term coincides with rising hostilities between China and Taiwan, which the U.S. has been increasingly supportive of.
Among Trump's picks, Elon Musk stands out for his relatively favorable view of China, owing to his substantial business interests there. Musk's contrasting perspective raises questions about the coherence of Trump's foreign policy direction, especially regarding the U.S.-China relationship. While other appointees advocate for a robust U.S. stance against Beijing, analysts warn that the unpredictability of Trump's leadership could lead to instability within his administration. The effectiveness of his chosen officials in navigating complex diplomatic relations and addressing the challenges posed by China remains uncertain, particularly given Trump's history of rapidly changing his cabinet.
https://www.aljazeera.com/news/2024/11/13/trump-signals-hard-line-on-china-with-hawkish-cabinet-picks
China to host leaders of international economic bodies as global uncertainties mount
South China Morning Post
Chinese leaders are planning a high-profile meeting next month with heads of major international economic organizations to discuss the country's economic development and address global uncertainties. The meeting will include representatives from ten major organizations, such as the World Bank and the International Monetary Fund, and will update the annual 1+6 round-table mechanism initiated in 2016. This meeting signifies China's growing economic influence, as the country is a key player in global economic recovery and a proponent of globalization. The specifics of the meeting, including its date, are still being finalized. The context of the meeting is influenced by concerns over U.S. trade policies under President Trump, who has proposed significant tariffs on Chinese products. President Xi Jinping has emphasized the importance of cooperation between China and the United States.
https://www.scmp.com/economy/china-economy/article/3286348/china-host-leaders-international-economic-bodies-global-uncertainties-mount?utm_source=rss_feed
A diminished Biden heads to APEC summit in Peru, overshadowed by China’s Xi
Associated Press
U.S. President Joe Biden's presence at the Asia-Pacific Economic Cooperation (APEC) summit in Lima, Peru, is overshadowed by the recent election of Donald Trump, which has implications for U.S.-Latin America relations. Trump's "America First" policy may hinder Biden's efforts to assert U.S. influence, particularly as China, led by President Xi Jinping, showcases its investment in the region with the inauguration of a $1.3 billion megaport in Chancay, Peru. This development symbolizes China's growing dominance in Latin America, with trade between China and the region soaring significantly in recent years. Analysts suggest that the U.S. risks appearing isolated as China solidifies its partnerships and investments, particularly in infrastructure, renewable energy, and telecommunications. Despite U.S. concerns over Chinese influence and investments, experts indicate that the U.S. has not effectively countered China's initiatives. The upcoming APEC summit is expected to highlight the competition between the U.S. and China, with Xi's port project likely stealing the spotlight from Biden's agenda.
https://apnews.com/article/biden-xi-usa-china-apec-peru-504111bb2837ceae5fba1543a70d48c4
TikTok and ByteDance hire hundreds of Chinese workers in US despite scrutiny
South China Morning Post
Despite national security concerns, TikTok hired a significant number of employees from China in the last fiscal year, with 669 out of 1,089 approved H-1B visa applications coming from there—a 50% increase from the previous year. These hires included roles in TikTok's US Data Security Division. US officials worry that ByteDance, TikTok's parent company, could be compelled to share US user data with the Chinese government. Amid ongoing scrutiny, TikTok continues to recruit talent from China, reflecting its ties to ByteDance and operations in the US, despite potential political backlash.
https://www.scmp.com/tech/tech-war/article/3286325/tiktok-and-bytedance-hire-hundreds-chinese-workers-us-despite-scrutiny?utm_source=rss_feed
China weighing property tax breaks to boost sales, free up household cash
South China Morning Post
Chinese authorities are planning to ease tax regulations related to residential property transactions to stimulate the struggling real estate market and encourage consumer spending. The Ministry of Finance announced that new policies are under review, which could include a potential 2% reduction in deed tax for homebuyers and the removal of a 5% value-added tax for sellers on properties sold within two years. These changes could lead to significant savings for both parties, particularly benefiting the second-hand housing market. Additionally, Shenzhen is considering increasing housing provident fund loan limits to help homebuyers. Recent data shows a slight improvement in the housing market, with a smaller decline in second-hand home prices in October compared to September. Overall, these tax changes are seen as a positive move to enhance housing transactions and economic support.
https://www.scmp.com/business/article/3286321/china-weighing-property-tax-breaks-boost-sales-free-household-cash?utm_source=rss_feed
Russian security chief tells Wang Yi that US ‘containment’ must be countered
South China Morning Post
Russian Security Chief Sergei Shoigu met with Chinese Foreign Minister Wang Yi to discuss the need for collaboration between Russia and China to counter US “containment” following Donald Trump's election. Their meeting, the first high-level interaction post-election, emphasized the deepening military and defense ties between the two nations, strengthened since Western sanctions over Russia's actions in Ukraine. Both officials expressed a commitment to enhancing bilateral cooperation and addressing global strategic stability amidst changing international dynamics. Despite potential shifts in US policy, experts believe the China-Russia partnership will remain strong and autonomous.
https://www.scmp.com/news/china/diplomacy/article/3286303/russian-security-chief-tells-wang-yi-us-containment-must-be-countered?utm_source=rss_feed
China’s hottest AI bot? ByteDance’s Doubao tops the charts with 51 million active users
South China Morning Post
Doubao, a conversational bot developed by ByteDance, has become the leading AI app in China, boasting 51 million monthly active users since its launch in August. It surpasses competitors like Baidu’s Wenxiaoyan and Alibaba’s Kimi, which have 12.5 million and 10 million users, respectively. The app is free and offers a wide range of features, including text editing, data analysis, and multimedia generation. Despite its popularity, ByteDance has not yet revealed a monetization strategy for Doubao. Users appreciate its user-friendly design and versatile capabilities, which have been expanded with over 20 new features in three months. The success of Doubao is attributed to ByteDance's resources, strong product team, and a focus on personalization and user engagement.
https://www.scmp.com/tech/tech-trends/article/3286276/chinas-hottest-ai-bot-bytedances-doubao-tops-charts-51-million-active-users?utm_source=rss_feed
China Rolls-Royce owner declines compensation from truck driver, upset by online fame claims
South China Morning Post
A Rolls-Royce owner, Zhu, in China declined compensation from a truck driver after a minor collision, opting to pay for repairs herself. Despite her kind gesture, she faced accusations of staging the incident for online fame. The accident, which occurred in Guangzhou, led to Zhu gaining over 1.4 million followers on Douyin. In response to the accusations, Zhu emotionally defended her actions, emphasizing the safety of her children and welcoming investigations. The incident sparked discussions about the implications of fame and public perception, with many praising Zhu's generosity despite the scrutiny.
https://www.scmp.com/news/people-culture/trending-china/article/3286181/china-rolls-royce-owner-declines-compensation-truck-driver-upset-online-fame-claims?utm_source=rss_feed
Mexico Signals It Could Hit Back at U.S. With Tariffs of Its Own
NY Times
Mexico's government has indicated that it will respond with its own trade restrictions if President-elect Donald Trump implements high tariffs on Mexican exports. Economy Minister Marcelo Ebrard stated that Mexico is prepared to react with tariffs if Trump imposes a 25 percent tariff, highlighting the escalating tensions between the two countries following the U.S. election. Trump has threatened to impose tariffs as high as 100 percent on Mexican goods unless Mexico addresses issues related to migration and drug trafficking. Such tariffs could severely impact Mexico's economy, which relies heavily on exports to the U.S.
https://www.nytimes.com/2024/11/12/world/americas/mexico-tariffs-trump.html
Bailing out China's economy has suddenly become more urgent
Australian Broadcasting Corporation
Following Donald Trump’s election victory, Chinese authorities have implemented a series of financial stimulus measures to bolster their struggling economy, which has been significantly impacted by a prolonged property downturn. These measures include interest rate cuts, eased lending restrictions, and a $2.1 trillion debt reduction package aimed at alleviating the burdens on local governments. However, these initiatives have not impressed global investors, who see them as mere debt recycling.
As Trump’s administration prepares for potential tariffs against China, analysts predict a gradual approach to avoid a drastic inflation impact on the US economy. This could significantly affect China's already decelerating economy, characterized by a construction slowdown and deflationary pressures, including a recent drop in the Consumer Price Index.
With the looming threat of tariffs, American investments in China have stalled, exacerbating economic challenges. Beijing is expected to continue stimulus efforts, potentially focusing on increasing domestic demand and consumer spending. Additionally, the Chinese currency is depreciating, which has drawn criticism from the US. As China prepares for possible tariffs, it may increase exports to the US before seeking alternative markets.
https://www.abc.net.au/news/2024-11-13/bailing-out-chinas-economy-has-suddenly-become-more-urgent/104591932
China-backed megaport to open in Peru as Belt and Road hub
Nikkei Asia
Chancay port, a majority Chinese-owned facility in Peru, is set to become a key component of China's Belt and Road initiative, enhancing trade links between Asia and South America. Opening on Thursday, it can accommodate large container ships and is expected to significantly reduce shipping times to China. The port, backed by COSCO Group, could generate $4.5 billion for Peru's economy and outpace Brazil's largest port in capacity. While the U.S. views this as a threat to its influence in Latin America, China aims to strengthen economic ties with the region amidst growing tensions with the U.S.
https://asia.nikkei.com/Spotlight/Belt-and-Road/China-backed-megaport-to-open-in-Peru-as-Belt-and-Road-hub
What Trump’s win means for China
Economist
Chinese propagandists are using Donald Trump's re-election as evidence of America's corruption and decline, portraying it as a sign of their superpower rival's weaknesses. However, the potential real-world consequences of Trump's return to power could be significant, including the imposition of 60% tariffs, which would greatly impact China's economy, and increased tensions over Taiwan, which could lead to disastrous outcomes globally.
https://www.economist.com/podcasts/2024/11/12/what-trumps-win-means-for-china
Wall Street makes wagers on the likely winners and losers in a second Trump term
Associated Press
Following the recent election, Wall Street is reacting positively to the prospect of a second Trump administration, with investors favoring stocks in sectors like banking and fossil fuels, which could benefit from Trump's anticipated policies of lower taxes and reduced regulations. However, the retail sector faces uncertainty due to potential tariff increases, which may lead to higher consumer prices and profit margins suffering. Analysts caution that while the stock market may be buoyed by initial optimism, historical trends suggest that promises made during campaigns may not translate into actual policy changes.
In the technology sector, there is cautious optimism about potential benefits from a relaxed regulatory environment, particularly concerning antitrust issues that could allow for more mergers and acquisitions. Trump's administration may also support advancements in artificial intelligence, a key area in the global competition with China. However, concerns remain over the implications of proposed tariffs on the semiconductor industry, which could negatively impact companies like Nvidia and disrupt supply chains.
Both the automotive and healthcare industries are bracing for mixed impacts from a Trump presidency. While automakers may relish the prospect of less stringent emissions regulations, they are wary of potential tariffs on imported vehicles that could inflate costs. In healthcare, pharmaceutical companies might benefit from reduced regulatory hurdles, yet they could also face challenges if the Trump administration attempts to dismantle aspects of the Affordable Care Act. As businesses across various sectors prepare for these changes, uncertainty looms regarding how effectively Trump will fulfill his campaign promises.
https://apnews.com/article/trump-regulation-taxes-tariffs-energy-retail-technology-cff11a24cf9a7e05a7b42b3e99a61768
Donald Trump’s China policy could pit deal makers against ideologues: analysts
South China Morning Post
President-elect Donald Trump campaigned on an "America-first" platform, emphasizing his deal-making skills to restore the country's global dominance. His policies towards China included threats of tariffs and a trade war, ultimately leading to a deal that failed to resolve the trade deficit. As he prepares for a second term, Trump's approach is viewed with mixed optimism; some believe his business-oriented mindset could improve U.S.-China relations, while others fear his hardline appointees may hinder negotiations on trade and technology.
Trump's national security adviser, Mike Waltz, a vocal critic of China, has pledged to confront adversaries and strengthen U.S. alliances. His team is expected to adopt a tough stance on China, as indicated by potential cabinet nominees such as Marco Rubio, who has advocated for sanctions against Beijing. Analysts suggest that internal tensions may arise between Trump's transactional inclinations and the more principled stances on democracy and human rights held by his advisers. The final composition of Trump's cabinet remains uncertain, with key positions still unfilled, indicating ongoing debates over U.S. foreign policy direction.
https://www.scmp.com/news/china/article/3286308/donald-trumps-china-policy-could-pit-deal-makers-against-ideologues-analysts?utm_source=rss_feed
What to know about TikTok's future under Trump
Axios
President-elect Trump may protect TikTok, which faced potential U.S. bans due to national security concerns over its Chinese parent company, ByteDance. A bipartisan law passed in April mandates a sale by January, with a possible 100-day extension. Trump, who expressed opposition to banning TikTok during his campaign, could push Congress to repeal the law or direct his attorney general to avoid enforcement. Despite bipartisan support for the ban, TikTok has challenged its constitutionality. Trump's administration is anticipated to include officials critical of China, while ByteDance engages lobbyists for TikTok's advocacy.
https://www.axios.com/2024/11/12/trump-tiktok-ban-president
Ukraine war: EU’s next top envoy says China must pay ‘higher cost’ for backing Russia
South China Morning Post
Kaja Kallas, the likely next EU foreign policy chief, emphasized during her confirmation hearing that China must face greater consequences for its support of Russia's war in Ukraine. She argued that without China's backing, Russia's aggression would weaken. Kallas highlighted the growing cooperation among China, Russia, Iran, and North Korea, suggesting the EU needs a more assertive strategy towards China. She also warned that failing to support Ukraine could embolden aggressors globally. Kallas called for the EU to enhance its trade relationships, particularly in Latin America, to counter China's influence.
https://www.scmp.com/news/china/diplomacy/article/3286294/eus-next-top-envoy-says-china-needs-pay-higher-cost-backing-russia-ukraine?utm_source=rss_feed
Why Donald Trump’s win could mean a defence budget nightmare for Taiwan
South China Morning Post
US president-elect Donald Trump has made Taiwan a significant focus in his 2024 campaign, advocating for the island to increase its defense spending and scrutinizing its semiconductor industry. His calls for Taiwan to pay "protection fees" and boost defense spending to 10% of GDP have raised concerns among Taiwanese officials about their ability to meet these demands amid increasing military threats from China. Taiwan's Democratic Progressive Party (DPP) government finds these expectations challenging, as the bipartisan consensus in the US is pushing for a more realistic defense spending target of 3-5%, an increase from the current 2.45% of GDP.
The growing reliance of Taiwan on the US for military backing complicates its situation, especially as Beijing views Taiwan as part of China. The DPP administration, led by President Tsai Ing-wen, has gradually increased defense spending over the years but still falls short of the 3% target, which could affect other government programs like healthcare and social welfare. Analysts warn that Trump's demands could lead to political fallout for the DPP in future elections, as significant increases in military spending could crowd out essential social expenditures and erode public support.
Trump's approach also raises concerns about the sustainability of US arms sales to Taiwan, which have increased significantly during his administration. However, many of the approved sales remain undelivered, leading to questions about Taiwan's ability to effectively utilize these weapons due to insufficient personnel and recruitment challenges. The Taiwanese government has responded to US concerns by enhancing its civil defense measures and military training, but public opinion remains mixed. Furthermore, Trump’s criticisms of Taiwan's semiconductor industry suggest he may push for technology transfers to bolster US supply chains, further complicating Taiwan's strategic position in the evolving geopolitical landscape.
https://www.scmp.com/news/china/politics/article/3286227/why-donald-trumps-win-could-mean-defence-budget-nightmare-taiwan?utm_source=rss_feed
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