5 h. ago “Historic opportunity”: why China is betting on a poor province in trade war

The 2025 trade war launched by the United States is shaping up to become a watershed moment for Chinese policymakers. While the country’s economic resilience and role at the centre of global supply chains helped secure a 90-day truce with Washington, Beijing is digging deep to fight a protracted conflict. The forthcoming Five-Year Plan – China’s signature development blueprint – is expected to fortify the domestic economy in the pursuit of global leadership. Provincial leaders are seizing...

Events

17 h. ago China urged to take bolder steps to tackle price wars, deflation and weak demand

Beijing’s latest push to curb price wars may help ease deflationary pressures, but analysts warn the current measures fall short of addressing deeper structural problems facing the world’s second-largest economy. China’s GDP deflator – a broad measure of prices across goods and services – has been negative since the second quarter of 2023, while consumer prices have fallen for four straight months year-on-year. To stop the deflationary spiral, Chinese authorities should address the cause: weak...

Events

21 h. ago How China’s C919 could win big from revived US jet engine exports: analysts

China is expected to sustain production of its home-grown aircraft and expand access to foreign skies, following the United States’ removal of a ban on selling American jet engine parts and technology to Chinese buyers. But analysts cautioned that earlier export restrictions imposed by the Trump administration had a chilling effect – one that could harden Beijing’s resolve to accelerate the development of indigenous engines and other critical components. Sales resumed last week after a bilateral...

Politics

21 h. ago How China’s C919 aircraft could win big from revived US jet engine exports

China is expected to sustain production of its home-grown aircraft and expand access to foreign skies, following the United States’ removal of a ban on selling American jet engine parts and technology to Chinese buyers. But analysts cautioned that earlier export restrictions imposed by the Trump administration had a chilling effect – one that could harden Beijing’s resolve to accelerate the development of indigenous engines and other critical components. Sales resumed last week after a bilateral...

Politics

23 h. ago Australia’s Albanese to address Darwin Port sale on China visit

When Australian Prime Minister Anthony Albanese arrives in China next week for his second official visit, he will have more than the typical diplomatic niceties to discuss with President Xi Jinping. A major task on Albanese’s agenda, besides routine topics like trade, will be to explain his country’s stance on Chinese investment – in particular, addressing the controversy over the ownership and potential government-influenced sale of the Darwin the Post has learned from sources with knowledge of...

Politics

24 h. ago Why France is toasting China’s new tariff on European brandy

China’s new anti-dumping duty targeting European brandy unexpectedly became the toast of France over the weekend, after Beijing granted exemptions to a string of French cognac makers. The cordial reaction in Paris came as a surprise to many analysts, who had initially predicted that China’s decision to impose the tariff might further raise tensions with the European Union and sour preparations for an upcoming leaders’ summit in Beijing. But French leaders ended up hailing the ruling as a...

Economics

38 h. ago Why Chinese investors can still expect a warm welcome in many US cities

Most local government officials in the US still welcome Chinese-invested projects despite a rise in trade tensions this year, a Chinese chamber of commerce leader said this week as potential investors weigh up economic benefits and geopolitical risks. City leaders want Chinese investment to help stimulate their local economies, especially in manufacturing projects that are hard to source elsewhere, said Ni Pin, chairman of the China General Chamber of Commerce branch in Chicago. “There are a lot...

Economics

47 h. ago Party at sea: why young Chinese have fallen in love with cruise ship holidays

After graduating from Fudan University’s prestigious MBA programme this year, Dong Wenxin wants to keep in touch with his fellow students. The 30-year-old figured many former students probably felt the same way – eager to reconnect even when scattered across China. Living in Shanghai, a major global port city with regular cruise ship departures, gave him an idea. Dong saw business potential in organising group trips that would bring former students back together for quality time at sea. Over the...

Politics

53 h. ago Trump wants to ground China’s drones – but have they flown too high to reach?

US President Donald Trump issues quite a few executive orders. So many, in fact, that one could be forgiven for not keeping up with them all. But amid the rapid-fire policy changes that have come to characterise his administration, one arrived last month that could have drastic implications for the world’s drone market – and China’s role in it. The order, signed June 6, requires government agencies to prioritise using home-grown unmanned aircraft systems (UAS) “to the maximum extent permitted by...

Politics

67 h. ago Solar energy milestone: China taps the ocean in breakthrough for industry

China has launched a fully seawater-based solar energy system – the first of its kind suitable for industrial use and large-scale power production – as part of broader efforts to expand renewables in coastal regions, boost the maritime economy and drive industrial innovation. Located in Qingdao, Shandong province, the floating solar station builds upon another offshore photovoltaic power generation project launched in late May. Together, they form the largest initiative of its kind by Sinopec,...

Politics

67 h. ago Mozambique seeks US$1.4 billion debt relief from China after unrest hits economy

Mozambique seeks US$1.4 billion debt relief from China after unrest hits economy  South China Morning Post

Economics

3 d. ago South Korea, Japan step up as US targets China’s shipbuilding – can they succeed?

As the United States vows to curb China’s dominance in shipbuilding – despite its domestic capacity being nearly nonexistent – South Korea and Japan are looking to benefit from the rivalry and reclaim their competitive edge. South Korea’s president, Lee Jae-myung, who took office a month ago, campaigned on supporting the industry – which he described as being “in major crisis”. “Shipbuilding has been a core industry driving Korea’s exports and creating jobs,” he said in a social media post on...

Events

3 d. ago As China, EU eye warm ties, Brussels aims to protect its manufacturing base

Hopes for a long-awaited recovery of factory activity in Europe’s manufacturing powerhouse were uplifted this week as a key indicator of the sector’s health surged to a 34-month high in Germany. But the fact that the country’s manufacturing purchasing managers’ index for June still remained at 49.0 – when a reading below 50 suggests a contraction in the sector – underscores the uphill challenge that Germany is facing in trying to regain growth and past glory in its manufacturing activities. The...

Politics

4 d. ago Will China’s latest vow to tackle solar panel oversupply have desired impact?

China has vowed to reduce excessive competition and oversupply in its solar photovoltaic (PV) industry, which is continuing to explore global markets. Industry and Information Technology Minister Li Lecheng told 14 representatives from solar PV manufacturers and industry associations on Thursday that the “industry must be governed in accordance with laws and regulations, and disorderly low-price competition should be comprehensively addressed”, the ministry said in a statement released after...

Politics

4 d. ago China urged to issue 30 trillion yuan in bonds to tackle local debt crisis

China should issue 30 trillion yuan (US$4.2 trillion) in treasury bonds to swap local governments’ hidden liabilities to re-energise growth momentum and cut off financial risks at their root, a Beijing-based think tank has proposed. Such a move, combined with a few trillion yuan worth of additional bonds to shore up the property market, boost consumption and remove excessive industrial capacity, would be a strong step toward resolving China’s local-level debt and real estate crises once and for...

Events

4 d. ago China, US ease export curbs but Trump’s Vietnam deal risks blowback: analysts

A week after announcing long-anticipated progress from high-level talks in London, China and the United States are taking concrete steps to clear export hurdles and issue licenses for strategic goods. The easing of trade restrictions signals a tentative reset between the world’s two largest economies. But the thaw remains fragile, as analysts warned that Washington’s new trade deal with Vietnam could provoke a response from Beijing. Still, for now, both sides have moved to restore access to...

Politics

4 d. ago China’s power bank crackdown: 6 preflight answers for wary travellers

China’s aviation authorities have imposed an emergency ban on air passengers’ carrying substandard power banks, catching many travellers off guard. The safety precaution, which went into effect on June 28, two days after being announced by the Civil Aviation Administration of China (CAAC), has triggered questions and concerns. Here are six points that people travelling to and within China need to know – from which power banks are still allowed, to what can be done with ineligible ones at the...

Events

4 d. ago Economist Huang Yiping floats Hong Kong as stablecoin staging ground

Issuing a stablecoin pegged to the offshore yuan in Hong Kong may be more feasible than in mainland China due to the latter’s capital controls, a central bank adviser has said. The comments from Huang Yiping, also dean of Peking University’s National School of Development, came as worries arise in Beijing’s policy circles that Washington could gain an upper hand through the cryptocurrency offshoot as a means of consolidating US dollar dominance. “As China’s capital account is not fully...

Politics

4 d. ago ‘Better than expected’: Chinese firms in Vietnam upbeat over US tariff deal

Chinese manufacturers in Vietnam breathed a sigh of relief on Wednesday, after Washington and Hanoi agreed a “better than expected” trade deal that will reduce US tariffs to 20 per cent and bring an end to three months of uncertainty. Most Chinese exporters are likely to continue operating in the Southeast Asian nation in the wake of the agreement, with firms viewing the final tariff rate as manageable, analysts and businesspeople in the country told the Post. US President Donald Trump announced...

Economics

5 d. ago Why President Xi is turning to the ocean for China’s growth – and who benefits?

President Xi Jinping has stressed the need to advance the “high-quality development” of China’s marine economy, highlighting its growing strategic importance during a high-level economic meeting on Tuesday. He also called for stronger policy support to accelerate the sector’s growth. In this explainer, the Post examines why the marine economy matters to the country's overall economic strategy, where government policy is heading, and which sectors stand to benefit. Why does the marine economy...

Politics