NEWS / the week of July 27 - August 1
NOTE: The news reports below are not in chronological order. There is often a time lag in their reaching the US and in gaining our attention. These reports reflect the opinions of a variety of news sources.
📉 Economy & Employment
Deadly Floods in Northern China / July 30,2025
Northern China, including Beijing and Hebei, experienced devastating flooding from July 23 to 29, killing dozens and displacing tens of thousands. In Miyun District alone, more than 130 rural villages were isolated. A nursing home tragedy claimed 31 elderly lives after being omitted from evacuation plans.
Cybersecurity Showdown Over Nvidia Chips / July 31,2025
On July 31, China's cyberspace regulator summoned Nvidia over alleged “backdoor” security risks in H20 chips recently reintroduced into the Chinese market. Nvidia denied the claims, highlighting broader tensions in U.S.–China tech and AI competition.
Trade Talks Continue to Avoid Tariff Spike / July 31,2025
In late July, officials from China and the U.S. met in Stockholm to extend a temporary trade truce before the August 12 tariff deadline. Discussions centered on ensuring economic stability and potentially laying groundwork for a future Trump‑Xi summit.AP News+3Reuters+3AP News+3
Macau Dissident Arrested Under National Security Law / August 1,2025
A former pro‑democracy legislator in Macau, Au Kam San, was arrested under China’s national security law for alleged “collusion with foreign forces,” marking a crackdown similar to patterns seen in Hong Kong.
China Cracks Down on Counterfeit Pop Mart Toys / July 30,2025
Authorities intensified enforcement against counterfeit Labubu dolls (a cultural export from Pop Mart), seizing thousands of fake units to protect IP and strengthen China’s cultural branding.
Manufacturing Contracts as Export Orders Fall / July 31,2025
China’s manufacturing sector is in contraction: July’s S&P Global PMI fell sharply to 49.5, down from 50.4 in June, signaling shrinking output and declining export orders for four consecutive months. Businesses are cutting production and headcount amid weak global demand.
Policy Promises and Trade Tensions / July 31,2025
After unproductive trade talks with the U.S., Chinese leaders pledged support to affected exporters via export rebates, special financing, and free-trade zones. Yet no major policy reforms were announced. Growth remains weak (estimated at ~5.2% in Q2), leaving trade-dependent industries vulnerable AP News.
👥 Social & Workforce Challenges
Youth Unemployment Hits Record Levels / July 21,2025
China’s youth unemployment rate (ages 16–24, excluding students) surged to 17.1% in July, marking the highest rate so far in 2025. This is partly attributed to heightened competition among nearly 12 million recent graduates and regulatory disruptions to tech and education sectors. The official overall urban unemployment rate also ticked up slightly to 5.2%.
Cultural Nostalgia Signals Economic Discontent / August 1,2025
A wave of nostalgic trends on Chinese social platforms—nostalgic aesthetics and fashion from the early 2000s—is being used as a subtle form of protest against the current stagnant economy. Young people are using these feelings of nostalgia to critique sluggish consumption and limited opportunities indirectly.
🧭 Other Social Issues
Prominent Monk Investigated Again / July 28,2025
The abbot of Shaolin Temple, Shi Yongxin, is back in scrutiny over allegations involving embezzlement and sexual misconduct. The Buddhist Association of China revoked his ordination amid widespread criticism of his luxurious lifestyle and controversial use of Shaolin commercial brands.