News that caught our eye / The week ending June 30, 2023
Tap here for our archives.
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.
Beijing sizzles at 106 degrees, hottest June day recorded in capital / June 23, 2023
China experienced record breaking heat last week, with the capital, Beijing breaking a 1961 heat record for the hottest day in June. Concerns also rose about electricity being cut off because of high demand. The heat is expected to affect northern and northeastern China (NBC News).
US charges Chinese individuals and firms over fentanyl chemical trafficking / June 23, 2023
The US Justice Department filed charges against four Chinese companies for producing the materials for making fentanyl and shipping them to the US. A Manhattan southern district court revealed the indictment against the Chinese chemical company, Hubei Amarvel Biotech, and three executives. Indictments were issued against three other companies from another New York district court (The Guardian).
Analysis: Investors shelve China assets before bigger stimulus / June 25, 2023
Investors in Chinese stocks are hesitant to gamble on the Chinese market due to the slow rebound of the Chinese economy after the Covid crisis. Authorities have cut interest rates, but not enough to get revive the economy. This makes some stocks more of a bargain, but investors still prefer short-term options (Reuters).
China’s surprising move after slashing rates amid global economic turmoil / June 26, 2023
While Australia and other “Western” economies are raising interest rates to combat inflation, China is slashing rates in an attempt to re-ignite its smoldering economy. The 10-point cut is meant to stimulate business confidence and housing demand, but may not be enough to significantly change the market (news.com.au)
China’s premier strikes bullish tone on economic growth despite concerns / June 27, 2023
China’s Premier Li Qiang spoke optimistically about the Chinese economy’s second-quarter results after a disappointing first quarter. China is dealing with low consumer confidence, low demand, and a staggeringly high youth unemployment rate around 20%. While some ratings agencies have lowered their growth forecasts for China, the World Bank raised theirs (CNN Business).
Nvidia dips on report U.S. considering new chip export restrictions for China / June 28, 2023
The US government is considering additional chip export restrictions against China, which caused several chip maker stocks to recede into negative territory upon the announcement. The new restrictions would block measures taken by some chip makers to skirt around prior restrictions (CNBC).
China expresses support for Russia after aborted mutiny / June 25, 2023
Both the Chinese Foreign Ministry and Chinese citizens on social media expressed support for Russia and Vladimir Putin after the Wagner Group’s attempted mutiny was aborted on Saturday. Russia’s Foreign Minister Andrei Rudenko held talks in Beijing over the weekend. China vowed to stay out of Russia’s “internal affairs (Reuters).
‘Don’t see why not’: China envoy on backing Ukraine’s ’91 borders / June 27, 2023
China’s EU envoy, Fu Cong, stated that supporting a return to Ukraine’s 1991 border with Russia when it broke from the Soviet bloc could be considered in peace negotiations with Russia. Cong made his remarks after the 2023 Europe-China Business Summit in Brussels on June 16 (Al Jazeera).
Haley says Trump did ‘too little’ about China threats / June 27, 2023
Presidential candidate Nikki Haley criticized her former boss’ dealings with China, stating that he didn’t do enough to stem China’s threatening advances, and for Trump’s congratulating Xi on the 70th anniversary of the Communist Party. Haley’s campaign speech suggested a more aggressive stance toward China than the prior and current administrations’ approach (AP News).
PM Modi’s US visit sends ‘strong’ message to China in a subtle way / June 25, 2023
While China was not explicitly a major topic in Prime Minister Modi’s visit with President Biden last week, its economic, technological, and military influence underscored much of their talks. Two significant deals strengthened the US’s ties with India while boosting India’s military capabilities (Mint).
US Officials Agree: China’s Xi Is a Dictator / June 25, 2023
Secretary of State Antony Blinken agreed with President Biden’s claim that President Xi is a dictator as he spoke on “Face the Nation.” Blinken recently visited China to ease tensions with the US adversary but evidently told his counterparts that both sides will still do and say things that the other side won’t appreciate (VOA).