CiCM 8th August 2024

NEWS IN CHINA

China's Export Sector and Forex Reserves Show Strong Performance: China's export sector has exceeded expectations in the first seven months of 2024, with goods trade volume expanding 6.2% year-on-year to 24.83 trillion yuan ($3.46 trillion). Exports rose 6.7% while imports climbed 5.4%, reaching a historic high for this period. The sustained strength of external demand, particularly from developed economies and expanding markets in developing nations, has contributed to this growth. Concurrently, China's foreign exchange reserves increased to $3.2564 trillion by the end of July, marking a 1.06% or $34 billion rise from the previous month - the biggest increase so far this year. This growth is attributed to a declining US dollar index and rising global financial markets. Officials remain optimistic about the future, citing China's steady and improving economic fundamentals as key factors in maintaining stable foreign exchange reserves. However, analysts caution that ongoing trade frictions with major economies and geopolitical tensions may impact future performance, emphasizing the need for targeted support measures to maintain trade resilience.
China Discovers Major Gas Field in South China Sea, Boosting Energy Security: China National Offshore Oil Corporation (CNOOC) has announced the discovery of the world's first ultra-deep water and ultra-shallow large gas field near Hainan Province. The Lingshui 36-1 gas field has proven geological reserves of over 100 billion cubic meters of natural gas, with an average water depth of about 1,500 meters and an average buried gas layer depth of 210 meters. This discovery is crucial for China's energy security, helping to meet growing demand and reduce import dependency. The find completes CNOOC's plan to establish a 1 trillion cubic meter gas zone in the South China Sea by 2025. Experts highlight the significance of this discovery for China's energy structure transformation and its potential to enhance the country's deep-water exploration technology. The news comes as China's natural gas production and imports continue to rise, with consumption projected to reach 420-425 billion cubic meters in 2024, up 6.5-7.7 percent from the previous year.
Expert Proposes US-China Space Cooperation to Combat Climate Change: Following China's recent retrieval of samples from the far side of the moon, discussions have emerged about potential US-China collaboration in space-based research to address global challenges, particularly climate change. Daniel Kammen, a professor at the University of California, Berkeley, suggests that the two nations could work together on space-based solar power projects. Both countries have made significant advancements in this field, with the US demonstrating wireless power transmission in space and China planning a space high-voltage transfer experiment by 2028. Kammen highlights the potential of space-based solar as a continuous energy source that could benefit cities worldwide. He also sees opportunities for cooperation in fusion power research and lunar exploration. Despite acknowledging political sensitivities, Kammen emphasizes the urgency of such collaboration, noting that both countries are behind schedule in meeting their climate goals. The US aims to halve emissions by 2030, while China targets carbon neutrality by 2060.
China Intensifies Diplomatic Efforts for Middle East Peace, Condemns Hamas Leader's Assassination: China has ramped up its mediation efforts in the Middle East, with Foreign Minister Wang Yi holding phone conversations with his counterparts in Egypt and Jordan. Wang strongly condemned the assassination of Hamas leader Ismail Haniyeh in Tehran, warning that it has pushed the regional situation to a more dangerous level. He emphasized China's commitment to working with all parties to avoid escalation and resume Gaza ceasefire talks. Wang urged the international community to form a joint force to achieve a full and permanent ceasefire in Gaza. Both Egypt and Jordan expressed appreciation for China's role in promoting peace and hope for continued cooperation. China's special envoy on the Middle East, Zhai Jun, has also been actively engaging with counterparts from Switzerland and Iran. This diplomatic push underscores China's growing role in Middle East peace efforts, following its success in facilitating an agreement among Palestinian factions and brokering the Saudi Arabia-Iran deal last year. Chinese officials stress the need for dialogue and consultation to resolve disputes, positioning China as a trustworthy mediator without self-interests in the region.
China Expands Intellectual Property Protection Network Nationwide: China's National Intellectual Property Administration (CNIPA) has announced a significant expansion of its intellectual property (IP) protection network. The number of IP protection centers under construction and in operation across the country has reached 73, spanning 28 provinces, autonomous regions, and municipalities. This includes the recent approval of a new national IP protection center in Haikou, the capital of Hainan Province. The Haikou center will focus on rapid and coordinated IP protection for the equipment manufacturing and biopharmaceutical industries, which have seen robust growth in the region. In 2023, the combined output value of these industries in Haikou exceeded 40 billion yuan (approximately 5.6 billion U.S. dollars). CNIPA officials emphasized that the new IP protection center will further support Haikou's characteristic industries in enhancing their market competitiveness both domestically and internationally. This expansion underscores China's commitment to strengthening its intellectual property protection framework and fostering innovation across various sectors of its economy.

SOCIAL MEDIA CHATTER

Chinese Firm's Zodiac-Based Job Discrimination Sparks Online Debate: A company in Guangdong province has gone viral for banning job applicants born in the Year of the Dog, citing potential conflicts with the boss born in the Year of the Dragon. Sanxing Transportation's job posting for a clerk position explicitly asked those born under the dog zodiac sign not to apply, adhering to traditional beliefs that certain zodiac combinations bring bad luck. The company's staff confirmed that less qualified applicants would be considered as long as their zodiac sign wasn't dog. This unusual hiring policy has ignited a heated discussion on Chinese social media platforms, with many netizens denouncing it as discriminatory and overly superstitious. Some shared similar experiences of zodiac-based job preferences, while others vowed not to work for such companies. A legal expert noted that while the policy could be considered discriminatory, preferences based on zodiac signs are not illegal in China. The incident has sparked broader conversations about the role of traditional beliefs in modern workplace practices and the limits of hiring criteria.

INDIA WATCH

Indian Wrestling Star Vinesh Phogat Retires After Olympic Disqualification: Chinese news agency Xinhua reported that Indian wrestler Vinesh Phogat has announced her retirement from the sport following a heartbreaking disqualification at the Paris Olympics. The 29-year-old three-time Olympian was set to compete in the 50kg freestyle category finals but was removed from the draw after weighing in slightly above the limit. Phogat, who had earlier become the first female Indian wrestler to reach an Olympic final, expressed her anguish in a social media post, stating, "Wrestling won and I lost. My dreams are shattered." Her career highlights include three Commonwealth Games golds, two World Championships bronze medals, and one Asian Games gold. Phogat's retirement marks the end of a tumultuous journey that included a knee injury at Rio 2016 and her role as a vocal critic of sexism in sports. The incident has sparked discussions about weight management pressures in wrestling and the toll of high-stakes competition on athletes' mental health.

Prepared By

Vanshika Patel

Vanshika is a recent graduate from Ashoka University with a degree in Economics and a minor in Computer Science. Her interests lie in understanding the global economy and its impact on international communities, policy-making, and the social sector. She is particularly drawn to quantitative analysis and has a keen interest in international economics, aiming to contribute to data-driven decision-making in global economic contexts.