China

The car industry’s China crisis

New cars could soon start disappearing from Britain’s forecourts, with the latest supply chain crunch threatening to cripple the global motor industry. It’s a crisis that once again delivers a stark warning about the dangers of over-dependence on China and the costs of succumbing to Beijing’s predatory trade practices. The automotive industry is currently facing a critical shortage of magnesium, which is an essential raw material for the production of aluminium alloys, including gearboxes, steering columns, fuel tank covers and seat frames. Stockpiles are running low, there is no substitute for magnesium in the production of aluminium sheets, and China has a near monopoly on the market. In Germany, Europe’s

LSE takes £1.5 million from China

Boris Johnson might insist that the UK will not ‘pitchfork’ Chinese investment but it seems not everyone in government agrees. Liz Truss, the new Foreign Secretary, has made headlines today for saying what many on her back benches believe — that Britain cannot be dependent on China and allow it a role in our nuclear plants or the G7.  That fundamental divide on how to approach Beijing is not merely confined to Westminster, but rather something that extends across industry, civil society and of course, academia. One of the ways the Chinese Communist Party has sought to extend its overseas cultural influence is by Confucius Institutes. They run educational and cultural

How to counter China

When another country does something to upset the Chinese Communist party, it gets accused of ‘a Cold War mentality’. This is psychological projection, in Freudian terms, a defence mechanism which projects onto others the negative aspects of one’s own self. But the CCP is right in a way: we should have more of a ‘Cold War mentality’ or at least a ‘values and systems war’ mentality. China is not the Soviet Union. We never co-operated with the USSR on trade and investment or science and technology. We do with China. Indeed the CCP sees itself as fighting a ‘values and systems war’. Xi Jinping, in his first speech to the

Wuhan clan: the price I paid for my lab leak exposé

On 12 March last year, I texted a trusted source connected to Australia’s foreign intelligence agency. ‘What do you think about the theory that the virus came from a virology lab in China? Does that have credibility? I know it’s officially a conspiracy theory but China is not exactly a picture of transparency so I thought it’s possible.’ He replied to say he knew someone ‘very involved in the observation of that lab and its activities’ and it was a definite possibility the virus leaked from the facility. It was a surprising response because, at the time, this view contradicted every utterance by scientists and world leaders, who insisted the

There is no Russia-China axis

You should be careful what you wish for, because you might just get it, so the old cliché goes. In diplomacy at the moment, it seems you should be careful of the threats you prepare for, because you may end up producing them. There is a growing trend in the West towards treating Russia and China as some single, threatening ‘Dragonbear’ (a reference to the two countries’ national animals). This underrates the very real tensions between Moscow and Beijing, but risks pushing them even closer together. The most recent case in point was Nato secretary-general Jens Stoltenberg’s interview in the Financial Times, in which he criticised ‘this whole idea that we

China is using the climate as a bargaining chip

China’s President Xi Jinping has apparently not yet decided whether to travel to Glasgow next month for the big climate conference known as COP26. That is no doubt partly because he’s heard about the weather in Glasgow in November, and partly because he knows the whole thing will be a waste of his time. After all, the fact that it is the 26th such meeting and none of the previous 25 solved the problem they set out to solve suggests the odds are that the event will be the flop on the Clyde. But another reason he is hesitating was stated pretty explicitly by his Foreign Minister, Wang Yi: ‘Climate

Xi threatens Taiwan because he’s weak

Over the weekend, China sent waves of warplanes racing towards Taiwan in numbers not seen before, forcing the democratic self-ruled island to scramble fighters and ready its air defence missiles. The United States says it is ‘very concerned’ by Beijing’s ‘provocative’ actions and reiterated Washington’s ‘rock solid’ commitment to the island. According to Taiwan’s defence ministry, 38 Chinese aircraft, including nuclear-capable bombers and J-16 fighter jets, entered its air defence identification zone on Friday, and another 39 did so again on Saturday — the largest incursion to date. Some 16 more were sent on Sunday. The air defence zone is not Taiwanese air space as such but covers the sensitive approaches

Will China’s ‘digital yuan’ reinvent money as we know it?

What’s behind China’s latest crackdown on crypto? For some time, Beijing has banned bitcoin and other cryptocurrency exchanges from operating within its borders. Last week, the Chinese Communist party extended the ban to criminalise anyone dealing in crypto. ‘Virtual currency-related business activities are illegal,’ declared the People’s Bank of China. The CCP would ‘resolutely clamp down on virtual currency speculation… to safeguard people’s properties and maintain economic, financial and social order’. China accounts for nearly half of the world’s crypto mining, a process in which high-powered computers are used to generate the digital currencies. Most of China’s crypto mining takes place in the country’s most remote regions, such as Inner

Portrait of the week: Petrol panic, Labour’s meltdown and China’s crypto crackdown

Home The crisis of the week was a shortage of fuel at garages. ‘There is no need for people to go out and panic buy,’ said Paul Scully, the small-business minister. That set motorists queueing. BP had shut some petrol stations and blamed a shortage of heavy goods vehicle drivers. Grant Shapps, the Transport Secretary, blamed ‘one of the haulage associations’ for leaking details of a government meeting at which fuel industry people expressed concerns that fuel stocks were at two-thirds of normal levels. But Rod McKenzie, the managing director of policy and public affairs at the Road Haulage Association, said it wasn’t him. The government suddenly said it would

The case against Aukus

Just weeks after the denouement of the West’s misadventure in Afghanistan, Boris Johnson is again committing Britain to a risky international venture. Aukus, the naval partnership between the United States, Australia and the United Kingdom, appears to tie Britain to an Indo-Pacific strategy that is militarily and geopolitically flawed. In December 1941, the catastrophic sinking of the then imperious new battleship HMS Prince of Wales along with the battlecruiser HMS Repulse off the coast of Malaya led to the loss of Singapore and brought the curtains down on Britain’s Asian Empire. Britain was over-stretched and unable to commit resources to the defence of the Pacific. History rarely repeats itself exactly.

Martin Vander Weyer

Is government preparing to shake the magic money tree again?

Will my bath water still be hot by Christmas? That’s not a question I’d normally feel a need to share with you, but shortly after this morning’s ablutions I read that Bulb Energy — the UK’s sixth-biggest energy supplier with 1.7 million customers, including me — ‘is seeking a bailout to stay afloat amid surging wholesale gas prices’. The spike in the global gas-price graph is extraordinary, up 250 per cent since the start of 2021 and steeper in August. It has many causes beyond our shores, including depletion of stocks last winter, restricted supplies from Russia, hurricane-hit US refineries and increased Asian demand post-Covid. But as this column has

Kate Andrews

China and the WHO are given an easy ride in the Covid blame game

Are you ready to relive 2020? That’s what Adam Tooze is offering as he tells the story of Covid-19 through the spectacular and terrifying economic consequences created by the global health crisis. For many, the answer will be a simple no. But for others looking to make sense of an utterly surreal year, Shutdown might seem an obvious place to start. Unfortunately, the book offers less analysis and more ranting than would normally be expected from an economic digest — especially one written about one of the most startling shocks to the economy the world has ever seen. Some readers may like the rant. If you’re of the opinion that

Charles Moore

The legacy of Stephen Toope

Stephen Toope, Vice-Chancellor of Cambridge University, has begun this academic year by announcing it will be his last in the post. Professor Toope says, no doubt truthfully, that he wants to see more of his Canadian family, dissevered from him by Covid. But I think it reasonable to relate his departure to wider issues. When he arrived in 2017, the ‘Golden Era’ of UK/Chinese relations still, in theory, existed. Cambridge uncritically welcomed Chinese government and business participation. In 2019, speaking in China, Professor Toope hailed the China Development Forum’s ‘Greater Opening Up for Win-Win Cooperation’ and praised President Xi Jinping’s Belt and Road Initiative. A preface composed in his name

China’s obsessive attempts to subvert the West

Most people who think themselves well informed know little or nothing about China. They – or I should say ‘we’ for I am just as ignorant – understand what the CIA and FSB are, and what they want. But what is the CPAFFC, and, if it arrives in your neighbourhood, should you worry? How about the United Front, the ‘magic weapon for strengthening the party’s ruling position,’ in the words of Xi Jinping? What does it do and why does China’s dictator praise it so? I am back from the last place I expected to learn about the Chinese Communist Party: the Budapest Forum, a conference of progressive European mayors

Farewell to Cambridge’s disastrous Vice-Chancellor

So farewell then, Stephen Toope. The undistinguished Canadian lawyer who has spent recent years trying to run Cambridge University into the ground has just sent an announcement to all faculty, alumni and students. In it he informs them that he has decided to step down from his position as Vice-Chancellor at the end of this academic year. The reason he gives is that he has decided to spend more time with his family. You do not have to read between the lines to realise that Toope is leaving because his brief tenure at Cambridge has been an unmitigated disaster, a fact that has become increasingly clear. Among the highlights of his career

Xi Jinping is weaponising China’s sex scandals

Zhou Xiaoxuan was in tears when she emerged from the Beijing court around midnight on Tuesday. ‘I’m really sorry there wasn’t a better result,’ she said in a video clip shared by supporters after the court threw out a sexual harassment case against one of the country’s most famous television hosts. Zhou claimed she had been forcibly groped and kissed while working as an intern at state broadcaster CCTV in 2014. The case was seen as a test of China’s proclaimed determination to clamp down on abuse, and it galvanized the country’s fledgling #MeToo movement. A court statement said Zhou had provided insufficient evidence, though she told supporters outside the

China tightens its grip on Cambridge

The revelations this week of the alarming influence of Huawei within the Cambridge Centre for Chinese Management provide the latest evidence of the tightening grip of China on Britain’s leading university. The Times reports that three out of four directors of the centre — part of the university’s Judge Business School — have ties to the telecoms giant, which has close links to the Chinese Communist party. The centre’s ‘chief representative’ is a former vice-president of the company who has been paid by the Chinese government. An honorary fellow of the centre wrote a book praising Huawei’s ‘ability to transform the intellectual elite into a band of soldiers with the

China’s war on effeminate men

A rectification notice from China’s state censor earlier this month included a peculiar admonition to ‘resolutely oppose’ effeminate men on television. The note stood out in the otherwise dry document. Its other targets — people with ‘poor morals’ or ‘lacking solidarity with the party and nation’ — make sense within Beijing’s authoritarian logic. But it’s hard to conceive of pretty boys in eyeliner joining the party’s long lists of revolutionary enemies. The term used for effeminate men in the notice — niangpao — is vague, but the National Radio and Television Administration is counting on its broadcast partners to know what it means. An example of the sort of effeminate

Are China’s climate promises just a load of hot air?

Few cities in China represent the country’s addiction to coal more than Tianjin, where Alok Sharma travelled this week to talk about cooperation on climate issues. It sits on the coast of one of China’s most polluted regions, and its port is a key hub for trading 100 million tons a year of the stuff – that’s roughly 12 times Britain’s annual coal burn. Chinese coal consumption is on track to increase this year by around ten per cent. To meet that demand, vast new open cast pits are being rushed into service in Inner Mongolia, China’s biggest coal production region, from where supplies are brought down the coast to

Is it time to defund the world’s policeman?

It gets lost in the many creative purposes successive American administrations invented to justify remaining in Afghanistan, but the primary goal of the original aerial assault in 2001 was clear and primitive: revenge. Not always a dish best served cold. That military operation was an attempt to satisfy public thirst for payback, and also for agency. 9/11 made the country feel powerless. Given today’s glorification of victimhood, it’s worth remembering that when Americans were granted victimhood en masse, they didn’t care for it. If in the eating revenge is often thin gruel, so also is the experience of being proved right. I opposed the extended occupations of both Afghanistan and