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NEWS IN CHINA

• Xi and Putin Send Letters to 10th China-Russia Expo: On 17th May, President Xi Jinping and President Vladimir Putin sent congratulatory letters to the 10th China-Russia Expo, which was being held in Harbin. In their messages, both leaders highlighted this annual expo as a platform for deepening economic relations and cooperation between the two nations. In his letter, Xi noted that 2026 marked the 30th anniversary of the China-Russia strategic partnership of coordination and the 25th anniversary of the Treaty of Good-Neighborliness and Friendly Cooperation. He stated that bilateral cooperation across various sectors had continued to deepen and produce significant results through joint efforts by both sides. Xi expressed hope that the expo would further strengthen practical cooperation by allowing both countries to make use of their geographical proximity and complementary economic advantages, while also contributing to social and economic development and improving the well-being of both populations. Putin described the China-Russia Expo as the largest exhibition platform between the two countries and emphasized its role in facilitating direct and substantive dialogue. He stated that the event would help identify new opportunities for mutually beneficial cooperation and further strengthen bilateral ties.
  
  
• China Criticizes European Commission’s Use of FSR: On 16th May, China criticized the European Union’s use of the Foreign Subsidies Regulation (FSR) against Chinese companies, particularly following the European Commission’s investigation into Chinese security equipment firm Nuctech. A spokesperson for China’s Ministry of Commerce (MOC) urged the EU to “correct its wrong practices,” stop what Beijing described as the unfair targeting of Chinese firms, and provide a fair business environment for Chinese companies operating in Europe. The statement followed remarks by China’s Ministry of Justice, which argued that the EU’s investigation into Nuctech under the FSR amounted to unlawful extraterritorial jurisdiction. China claimed that the EU had expanded the scope and frequency of investigations into Chinese companies and had escalated some cases into deeper probes. Beijing also accused the EU of forcing Chinese banks to cooperate with investigations and requesting excessive amounts of China-based information unrelated to the cases, which it argued had negatively affected the operations of Chinese companies and financial institutions in Europe. The MOC also referred to a January 2025 Chinese investigation that concluded the EU’s implementation of the FSR created trade and investment barriers. While reiterating that disputes should be managed through dialogue and consultation, China warned that it would closely monitor the EU’s actions and take necessary measures to protect the interests of Chinese enterprises and national security. 
  
  
• China’s Push for Integrated Urban Health Checks with Renewal: China’s Ministry of Housing and Urban-Rural Development directed that it would promote integrated urban health checks with renewal efforts, making health assessment a prerequisite for renewal. Through the plan, the Housing Ministry urged all cities to carry out localized health check-ups to bridge the gap between the health check-up plan and its implementation on the ground. The 2026 plan called for high-quality urban health check-ups through comprehensive health check-ups across housing, residential areas, street blocks, and urban districts to address local urban issues. Authorities were also asked to establish mechanisms for identifying, resolving, evaluating, and improving urban problems over the long term. The remarks followed a recent video conference convened by the ministry to outline the 2026 urban health check agenda. Officials noted that in 2025, 297 prefecture-level cities and 152 county-level cities conducted urban health assessments, which reportedly helped identify and address several urgent urban governance and public welfare issues, providing support for China’s broader urban renewal strategy.
  
  
• White Paper Highlights Growth of China’s Satellite Navigation Sector: The Global Navigation Satellite System and Location-Based Services Association of China released a white paper that reported that China’s satellite navigation industry grew to 629 billion yuan in 2025, marking a 9.24 percent increase year-on-year. It highlighted that nearly 1.4 billion smartphones in China were equipped with BeiDou positioning capabilities by the end of 2025, accounting for around 98 percent of all mobile phones in the country. It also noted that more than 160 million wearable devices and over 100 million passenger vehicles used BeiDou-supported navigation and positioning systems. Beyond China, BeiDou products and services had reportedly been exported to more than 140 countries and regions worldwide. The white paper highlighted that China’s satellite navigation sector was increasingly integrating with mobile communications, indoor positioning technologies and artificial intelligence to build what it described as a “BeiDou spatiotemporal industry.” Zhang Huifeng, president of the association, stated that BeiDou’s role was evolving from simple location tracking to supporting smarter decision-making through data integration and AI technologies. The white paper also reflected China’s broader efforts to expand its digital infrastructure and technological capabilities. 
  
  
• China's State Administration for Market Regulation Unveils 2026 Work Plan: China’s State Administration for Market Regulation released the 2026 work plan with 34 measures to support the private sector and aimed to improve regulations and ensure a fair market environment. The plan focuses on standardizing regulations, strengthening legal measures, promoting fair competition in the market and enhancing regulatory services for businesses. It also calls for innovative regulatory approaches to strengthen services supporting the high-quality development of private businesses. It aims to introduce credit-based incentives and improve technical trade support through new policy measures. This policy comes at a time when private companies in China are playing an increasingly important role in driving innovation and technological development across multiple sectors, often with strong state support and policy backing. Through the plan, the regulators also aim to remove trade barriers, advance the building of a unified national market, strengthen antitrust compliance guidance, and address “rat race” competition to maintain fair market order. In addition, the plan introduces new enforcement mechanisms, including off-site, contactless and QR-code-based inspection systems, while also aiming to strengthen support for the high-quality development of China’s private sector.

SOCIAL MEDIA CHATTER

Weibo Debates Dowry Dispute: A post with the hashtag #188,000 Yuan Dowry Refuses to Be Returned After Engagement Breakup, Claiming Man Proposed Breakup First# is going viral on Weibo. A taxi driver in Guangzhou sought legal support after his son’s engagement ended and the woman later refused to return the 188,000 yuan dowry. The post stated that under Chinese law, if a marriage certificate has not been obtained and the marriage has not taken place, the dowry or bride price is generally expected to be returned either fully or in substantial part. The case quickly gained attention online, with many users linking it to the growing financial burdens associated with marriage in China, particularly the pressure of high bride prices and wedding-related expenses placed on families even before marriage takes place.  Online users were extremely divided on the issue.  Some users supported legal action to recover the bride price, with comments stating that “the bride price can be returned through a lawsuit.” Others focused on the economic realities of marriage, with one user writing, “If you don’t have money, don’t get married at all.” Several commenters also questioned the institution of marriage itself, asking, “Is marriage a must?” and others criticized dowry practices. Some users also pointed to the social stigma and emotional isolation women may face after a broken engagement, particularly in more traditional social settings. 

INDIA WATCH

Guancha Reviews Bloomberg Report on India’s AI-Driven Market Risks: An article published in Guancha analysed a report by Bloomberg, which argued that India was emerging as a major loser in the global Artificial Intelligence (AI)-driven investment. As the capital flow increasingly shifted toward markets with strong capabilities in semiconductors, computing infrastructure, and AI models. The report noted that the Indian stock market had lost significant value of around $924 billion and experienced sustained foreign investor outflows with net withdrawals of $42 billion, along with a sharp decline in its weight in the MSCI index. It reflected on the weakening investor confidence due to the all-time low Indian rupee against the dollar, forcing Prime Minister Narendra Modi to urge its citizens to reduce oil consumption and avoid unnecessary travel to preserve foreign reserves. The article also highlighted additional concerns around India’s structural vulnerabilities in the AI transition. It pointed out that the NSE Nifty IT Index had fallen more than 26% during the year, nearing its lowest level since 2023, reflecting a global sell-off in services and legacy sectors affected by AI disruption. The article added that the weighting of India’s IT sector in the Nifty Index had declined significantly from over 17% in early 2022 to around 8%, even as firms such as the Adani Group invested in data center infrastructure. However, it stated that the sustainability of such investments remained uncertain, particularly given that up to 15 million Indians were employed in IT services and global capability centers. A structural slowdown in hiring and shifting global demand for IT services, it noted, could have broader spillover effects across real estate, consumption, lending, and the financial sector. The article concluded that while the full economic impact remained uncertain, slowing growth forecasts posed challenges to India’s high-growth narrative in an increasingly AI-driven global economy.