China News Live: China's military reforms for Taiwan action reportedly face setbacks

China's military reforms for Taiwan action reportedly face setbacks

China's People's Liberation Army (PLA) has reportedly failed to implement key military reforms needed to achieve its goal of having enough firepower to take Taiwan by force in 2027, according to a report in Washington Times. This assessment comes from an Air Force think tank report, which suggests challenges in meeting the 2027 capability target set for the PLA's modernization.

JPMorgan says Chinese stocks 'not particularly cheap' amid weak earnings power

Chinese equities are not as cheap as they may seem because the nation's economic slowdown has weakened corporate earnings power, JPMorgan Asset Management stated, as per a report in South China Morning Post. While current valuations, based on historic earnings, are in line with the decade's average, investors are experiencing diminished returns as return on equity is faltering due to a weaker profitability trend, making it imperative for investors to carefully screen stocks and sectors to identify potential winners.

Chinese scientist arrested in US for alleged biological material smuggling

A Chinese scientist was arrested upon arrival at Detroit airport in the US, accused of smuggling biological material, The Guardian said in a report. Authorities stated on Monday that this is the second such case in days involving alleged smuggling by a Chinese national. The scientist is accused of shipping biological material, described by the FBI as related to certain worms and requiring a government permit, months ago to staff at a laboratory at the University of Michigan.

Chinese firms expand manufacturing presence in Hungary

A significant number of Chinese companies are setting up factories in Hungary, leading to a notable increase in business for firms facilitating these investments, according to a report in South China Morning Post. For instance, Yingke Law Firm's Budapest office, established to serve this wave of Chinese businesses, is experiencing rapid growth by assisting clients with services such as sourcing labor and finding office spaces to navigate local establishment processes.

Nato chief says alliance must build Indo-Pacific ties to meet China’s military challenge

NATO Secretary General Mark Rutte stated on Monday that China's significant military build-up and its close alignment with Russia, Iran, and North Korea mean NATO should enhance its partnerships in the Indo-Pacific region to address the challenge posed by Beijing, the South China Morning Post said in a report. Rutte delivered these remarks at Chatham House in London, coinciding with US-China ministerial-level trade negotiations taking place in the city.

Trump responds to China's latest trade measure via Truth Social

President Donald Trump has issued a response via Truth Social to China's "latest hike" in trade measures, marking a recent event in the ongoing U.S.-China trade dispute during his second presidential term, TIME says in a report. The article, described as a timeline of the trade war, details this interaction where Trump reacted to a new action taken by China.

Competition intensifies in China's budget electric vehicle market

Competition in mainland China’s budget electric vehicle (EV) market is set to escalate as consumers increasingly prioritize value, with a wide array of intelligent EVs priced under 150,000 yuan (US$20,864) from manufacturers like BYD and Leapmotor vying for attention, South China Morning Post said in a report. This trend is fueled by government subsidies of up to 20,000 yuan and an ongoing price war, attracting budget-conscious buyers who are also influenced by a broader "consumption downgrade" phenomenon spreading to the automotive sector. Dealers and analysts observe that this environment provides consumers with numerous choices but also puts pressure on manufacturers.

Chinese scientist arrested at Detroit airport over alleged smuggling of biological material

A Chinese scientist was arrested upon arrival in the U.S. at the Detroit airport, an incident authorities described Monday as involving the alleged smuggling of biological material, according to a report in AP. The scientist is accused of shipping biological material related to certain worms, which the FBI stated in a court filing requires a government permit, months ago to staff at a laboratory at the University of Michigan.

Chinese scientist arrested at Detroit airport over alleged unpermitted biological material shipment

A Chinese scientist was arrested upon arrival in the U.S. at the Detroit airport, with authorities stating on Monday that the arrest is related to the alleged smuggling of biological material, AP said in a report. The scientist is accused of shipping biological material, described by the FBI in a court filing as related to certain worms and requiring a government permit, months ago to staff at a laboratory at the University of Michigan.

Hong Kong restaurant group closure leaves workers seeking HK$5 million

More than 30 of approximately 120 employees impacted by the sudden closure of nine restaurants operated by Hong Kong's King Parrot Group have sought help from labour authorities, with a representative indicating the debt involved has increased to HK$5 million (US$637,155), according to a report in South China Morning Post. The 33-year-old catering group, which at its peak managed over 20 brands and more than 30 themed restaurants, closed the nine eateries on a recent Friday, prompting the affected workers to seek assistance the following Monday.

Hong Kong authorities urge tourism sector to offer National Games packages and discounts

Authorities in Hong Kong are encouraging the local tourism industry to develop promotional packages, potentially featuring hotel discounts, for spectators attending the National Games, which the city is scheduled to co-host in November, the South China Morning Post said in a report. Rosanna Law Shuk-pui, Hong Kong's Secretary for Culture, Sports and Tourism, stated on Monday that a unified ticket sales platform will be implemented for all Games events held in Guangdong province, Hong Kong, and Macau, with further details to be announced soon.

Mainland Chinese man arrested in Hong Kong for allegedly igniting fireworks at Avenue of Stars

Hong Kong police arrested a 21-year-old man from mainland China on Monday afternoon in Tsim Sha Tsui, suspected of illegally discharging fireworks at the Avenue of Stars, South China Morning Post said in a report. This followed the circulation of a video on social media since Sunday, which reportedly showed a man, heard speaking Mandarin, igniting a firework at the waterfront promenade near K11 Musea and telling the person filming to cease recording.

Hong Kong exchange benefits from IPO surge as investor confidence in China's market grows

Hong Kong Exchanges and Clearing (HKEX) is riding a wave of initial public offerings (IPOs), prompting global investment banks such as Morgan Stanley to raise its share price target for the exchange operator, South China Morning Post said in a report. This optimism is reportedly fueled by HKEX's strong year-to-date performance and a growing investor belief that the mainland Chinese market is stabilizing or 'bottoming out.' Contributing factors to this trend include ongoing US-China geopolitical tensions, which have encouraged some Chinese companies to pursue listings on HKEX, as well as recent economic policies and stimulus measures by Beijing aimed at stabilizing the mainland economy, which influences positive investor sentiment.

US students in China face frequent questions about President Trump amid declining enrollment

The number of U.S. students studying in China has markedly decreased, yet those who are presently there find themselves frequently questioned about President Donald Trump, The Washington Post says in a report. These students reportedly believe that it remains critically important for Americans to gain a better understanding of China.

Hong Kong trade council chief says tariff war 'not the end of the world' for businesses

The new chairman of Hong Kong's Trade Development Council (HKTDC), Frederick Ma Si-hang, who assumed office on June 1, 2025, has asserted that the US-China tariff war is "not the end of the world" for Hong Kong companies, the South China Morning Post said in a report. Speaking on Monday, Ma detailed plans for the council to assist businesses in capitalizing on geopolitical uncertainties, including exploring the establishment of more HKTDC offices in new markets and rebranding the Asian Financial Forum to incorporate additional industry elements. The HKTDC currently maintains 51 offices globally.

Macau to launch iris scan immigration for eligible Hongkongers this week

Macau is launching an iris recognition immigration clearance system this week for Hong Kong permanent residents who are already registered for Macau's automated passenger clearance service, South China Morning Post said in a report. Authorities in Macau announced on Monday that eligible Hongkongers can use the new service from noon on Wednesday, with 81 iris recognition channels installed at six border checkpoints to expedite travel.

Hainan promotes tourism, discusses visa-free policy at industry event

More than 450 global tourism industry representatives gathered in Sanya, China, on June 7 for the "Night of Hainan" Tourism Promotional Event, designed to showcase the province's tourism and cultural resources, AP said in a report. Key topics of discussion included Hainan's latest visa-free policy for citizens from 85 countries and the opening of new international routes, aligning with China's broader strategy to develop Hainan into a Free Trade Port and a major international hub by 2035.

COP29 host suggests China can lead global climate efforts amid perceived US absence

The upcoming COP29 climate summit's host, an Azerbaijan negotiator, has indicated that China could take the lead in global climate action, especially given a perceived retreat or inconsistency from the United States in this sphere, Nikkei Asia says in a report. This potential shift in leadership underscores the importance of accelerating the implementation of existing climate pledges to maintain momentum in international efforts to combat climate change, according to the negotiator.

Chinese families migrate to Japan seeking educational opportunities

An increasing number of wealthy and middle-class families from China are choosing to migrate to Japan, primarily driven by the pursuit of quality education for their children and the appeal of a comfortable lifestyle, Nikkei Asia says in a report. This trend is influenced by factors such as Japan's reputable educational institutions and perceived stability, alongside considerations regarding China's domestic economic conditions, youth employment prospects, and its regulatory environment.

China's export curbs drive rare-earth metal prices near record highs

China's export curbs are contributing to prices for critical industrial rare-earth metals, such as dysprosium and terbium, hovering near record highs, with some reported to have doubled in price since April 2025, Nikkei Asia said in a report. These export controls by China, which often involve strict licensing requirements or quotas rather than outright bans, affect the global supply of these materials. Dysprosium and terbium are particularly vital heavy rare earths, crucial for manufacturing high-performance magnets used in electric vehicles and defense applications. This situation follows previous Chinese export controls on other critical minerals, such as gallium and germanium, which were announced in July 2023.

Hong Kong's economy pressured by US-China policy divergence, Hibor plunge impacts stock market

Hong Kong's economy faces significant challenges due to its position as an importer of US monetary policy while being economically synchronized with mainland China, making it vulnerable to the economic and policy divergence between the US and China, the South China Morning Post said in a report. The city has experienced multiple shocks since 2018, hindering substantial recovery and raising concerns about its status as a global financial hub, with a recent plunge in the Hibor (Hong Kong Interbank Offered Rate) reportedly impacting the stock market more significantly than the property sector.

China 'closely monitoring' Mekong pollution reports linked to mining in Myanmar

China's embassy in Thailand announced it is “closely monitoring” heavy metal pollution in northern Thai rivers, which has been reportedly linked to suspected Chinese mining operations in neighboring Myanmar, South China Morning Post said in a report. The embassy acknowledged recent comments from the Thai government regarding the incident and stated it has “taken note” of recent tests concerning the pollution in a tributary of the Mekong River.

China launches pilot program for robotic elderly care

China has launched a national pilot programme aimed at accelerating the deployment of robots to alleviate the pressure of elderly care, as the nation grapples with a rapidly ageing population and a labour shortage, South China Morning Post said in a report. The Ministry of Industry and Information Technology, in collaboration with the Ministry of Civil Affairs, issued a notice on Monday inviting organisations to participate in pilot projects. This initiative seeks to enhance the integration of robotics into smart elderly care.

Robots replace master workers in Chinese military drone factory for precision tasks

Robots have replaced master technicians for critical tasks like drilling carbon-fibre body frames in a Beijing military drone factory, according to a report in South China Morning Post. This advanced material, crucial for its light and strong properties, demands extreme precision in drilling, as even minor errors in angle or positioning could compromise the drone's stealth capabilities and necessitate scrapping the entire component. Previously, this intricate work was performed by highly skilled "master technicians" whose expertise, while significant, faced limitations in production speed and contributed to higher costs, prompting the shift towards automation.

China's May export growth slows and deflation deepens as U.S. tariffs reportedly take effect

China experienced a slowdown in its export growth, reaching a three-month low in May, while deflationary trends in the country deepened, Reuters said in a report. These economic developments are reportedly occurring as U.S. tariffs impact the nation's trade.

Hong Kong authorities warn residents about US travel amid protests

Hong Kong authorities have issued a call for residents to be vigilant and prioritize their safety if travelling to the United States, citing ongoing protests in the country, South China Morning Post said in a report. The warning specifically highlighted immigration-related protests in Los Angeles, which reportedly escalated following the deployment of California National Guard troops to support federal law enforcement amid clashes between protesters and immigration agents.

Hong Kong official suggests income leeway for public housing to counter 'lying flat'

Cleresa Wong Pie-yue, chairwoman of the Hong Kong Housing Authority’s subsidised housing committee, proposed on Monday offering some flexibility to public rental flat applicants whose incomes are marginally above the eligibility limit, South China Morning Post said in a report. This suggestion aims to counteract the "lying flat" phenomenon, where individuals or families reportedly quit jobs, switch to part-time work, or keep adult children unemployed specifically to meet the strict income criteria for public housing. Wong cited media reports detailing such behaviors among those awaiting public rental flats in Hong Kong.

Hong Kong students continue to face US visa appointment unavailability

Students from Hong Kong intending to study at American universities are still facing obstacles in booking visa appointments with the US consulate in the city, even as such slots have become accessible in Beijing and other locations, the South China Morning Post said in a report. As of Monday morning, three education consultancies confirmed their clients remained unable to secure these necessary appointments, a situation reportedly exacerbating confusion among students and attributed to 'sudden policy shifts' from Washington in recent days, according to figures like Samuel Chan Sze-ming, a managing partner at an education consultancy.

ByteDance's China content quality head departs amid stricter censorship

Li Tong, who led the Content Quality and Data Service (CQC) team for ByteDance's China-focused apps under Douyin Group, is no longer with the company, South China Morning Post said in a report. Her departure comes as the Beijing-based tech giant, owner of Douyin, advances its content security measures to comply with the Chinese government's increasingly stringent censorship demands, which include recent regulations from China's Cyberspace Administration (CAC) targeting algorithm-driven content recommendations to ensure alignment with state values. This personnel change occurs within a broader context of an ongoing crackdown and heightened scrutiny on China's technology sector by authorities concerned with data security and the nature of online content.

China maths prodigy Wei Dongyi attracts 23 million social media fans in five days

Chinese mathematics prodigy Wei Dongyi, an assistant professor in mathematics at Peking University, recently launched his first social media account, gaining 23 million followers in five days, South China Morning Post said in a report. The 33-year-old from Shandong province has captured widespread attention, which has included public discussion about his appearance and dental health alongside his academic achievements. Wei reportedly prefers a life focused on research.

China's May rare earth export value drops significantly amid US trade tensions

The value of rare earth elements exported by China in May 2025 decreased by almost 50% year-on-year, reflecting Beijing's capacity to leverage its control over the critical-mineral supply chain, South China Morning Post said in a report. This development occurred as analysts suggest China's export controls on these minerals serve as a significant bargaining chip in trade negotiations with the United States. China is the world's second-largest economy and a dominant player in rare earth processing.

Suicide note from Chinese teen prompts renewed online discussion on academic pressure

An 18-year-old girl in her final year at a top high school in Bengbu, Anhui province, China, committed suicide in April, leaving behind a note that has since reignited online discussions about the significant academic burden faced by children in the country, South China Morning Post said in a report. In her letter, the student described the immense pressure she felt to perform well and stated that relentless exams, particularly in maths and physics, had overwhelmed her.

Hong Kong PolyU study finds sensory data improves AI's grasp of complex concepts

Researchers at Hong Kong Polytechnic University (PolyU), in collaboration with academics from Ohio State University, Princeton University, and the City University of New York, have discovered that incorporating sensory and motor information can significantly improve how large language models (LLMs) represent complex concepts, AP says in a report. The study, led by Professor Li Ping, Sin Wai Kin Foundation Professor in Humanities and Technology, Dean of the Faculty of Humanities at PolyU, and Vice President of PolyU Hangzhou Research Institute, analyzed models including ChatGPT (GPT-3.5 and GPT-4) and Google's LLMs (PaLM and Gemini). Findings suggest this 'grounding' technique allows models to link abstract and concrete ideas more effectively, generating conceptual representations that are more aligned with human understanding, with the results recently published in a scientific journal.

China removes over 50 tonnes of rubbish from Zhangjiajie park caves, four officials punished

Authorities in China have completed a major cleanup operation in Zhangjiajie National Forest Park, removing more than 50 tonnes of rubbish that had accumulated over years in ancient caves, South China Morning Post said in a report. The action, which also led to the punishment of four local officials, was reportedly triggered after a viral video highlighted how nearby villagers had been using a natural cave in Cili county, Hunan province, as a dumping ground for an extended period, resulting in significant garbage accumulation in the scenic area known for inspiring a location in the film Avatar.

DJI to enter robotic cleaner market with vacuum-mopping robot this month

Chinese drone giant DJI is expected to launch a combination vacuum cleaner and mopping robot, named DJI ROMO, this month, a move anticipated to intensify competition in China's crowded robotic cleaner market, South China Morning Post said in a report. The Shenzhen-based company has reportedly been developing the product, which will be introduced in June, for the past four years, according to information from internal sources cited by the state-backed financial newspaper China Securities Journal.

Hong Kong promotes 18 start-ups at Paris VivaTech for European expansion

Hong Kong is actively presenting its technology start-ups at the VivaTech trade show in Paris this week, with the government-funded Hong Kong Science and Technology Parks Corporation (HKSTP) supporting 18 companies in their bid to enter the European market, South China Morning Post said in a report. This initiative, part of Hong Kong's strategy to become an innovation hub and strengthen European business connections, aims to help the start-ups secure partnerships, investments, and facilitate their expansion, according to HKSTP chief marketing officer Hilda Chan.

UK Chancellor Rachel Reeves meets Chinese Vice Premier He Lifeng in London

UK Chancellor Rachel Reeves met with Chinese Vice Premier He Lifeng in London on Monday, June 9, 2025, AP said in a report. The Associated Press video delivery log confirmed the meeting between the two officials; details of the discussions were not provided in the log entry.

Media gather at London's Lancaster House ahead of US-China trade talks

Media assembled at Lancaster House in London, United Kingdom, on June 9, 2025, in anticipation of forthcoming U.S.-China trade talks, as per a report in Reuters. The media presence was noted between 11:00 GMT and 12:00 GMT, but the specific venue for the actual trade negotiations between the U.S. and China has not yet been officially confirmed.

China's exports to the US drop 35% in May as trade talks with Washington are set to begin

China's exports to the United States fell by 35% in May 2025 compared to the previous year, with export values dropping to $28.8 billion from $44 billion a year earlier, according to new customs data, AP says in a report. A new round of trade talks between China and Washington was scheduled to commence in London later on Monday. China's total exports rose 4.8% in May, a slowdown from the 8.1% year-on-year increase in April, while imports declined 3.4% year-on-year, resulting in a trade surplus of $103.2 billion.

Starbucks to cut prices in China amid economic pressure and competition

Starbucks will cut prices in China as consumer businesses in the country face pressure from a weaker economic backdrop and intense competition, Financial Times said in a report. This decision reflects the challenging market conditions impacting companies operating in the Chinese market.

Global shares mixed as investors await details from US-China trade talks

Global markets were mixed on Monday with investors anticipating details from trade negotiations between the United States and China being held in London, AP said in a report. Futures for the S&P 500 and Dow Jones Industrial Average saw a slight increase of 0.1%. In Europe, Paris's CAC 40 declined by 0.1%, Germany's DAX fell 0.4%, and the British FTSE 100 remained largely unchanged. Asian markets saw Tokyo's Nikkei 225 gain 0.9%.

Beijing cybersecurity conference focuses on AI era security breakthroughs

The Main Forum on Digital Security of the Global Digital Economy Conference 2025 (GDEC 2025) and the 2025 Beijing Cyber Security Conference (BSC 2025) commenced in Beijing, China, on June 5, 2025, AP says in a report. The conference, themed "Security Breakthrough: Reshaping Built-in Security Systems," aims to bring together representatives from government, industry, academia, and research sectors to discuss strategic advancements for the cybersecurity industry amidst the rise of artificial intelligence.

Hong Kong lawmakers demand action on bitumen-lined water pipes after contamination

Lawmakers in Hong Kong have called on authorities to reveal the locations of all water pipes lined with bitumen and to implement sensor systems for monitoring water quality, as per a report in South China Morning Post. This demand follows the detection of bitumen in the freshwater supply of two public housing estates. The government had previously acknowledged that 700km, or 8 per cent, of the city's water pipe network, features an inner protective coating of bitumen. Lawmaker and engineer Lo Wai-kwok voiced these concerns on Monday, pushing for greater transparency and proactive measures.

Asian markets react positively ahead of US-China trade talks in London

Asian shares jumped and the dollar pared recent gains on Monday as markets reacted to better-than-expected U.S. jobs data ahead of talks in London between the United States and China, which are aimed at mending their trade rift, Reuters said in a report. Wall Street stocks had previously closed sharply higher on Friday after the jobs data eased concerns about potential damage to the U.S. economy.

RedNote unveils open-source AI model, claims it outperforms DeepSeek in Chinese

Chinese social media company RedNote has entered the artificial intelligence market by open-sourcing its first large language model (LLM), dots.llm1, unveiled on Friday, June 6, 2025, South China Morning Post said in a report. The Shanghai-based firm, which aims to leverage its international presence for new growth, claims this new model is superior to DeepSeek in Chinese language applications. The dots.llm1 is a mixture-of-experts system that utilizes 14 billion active parameters from a total of 142 billion when processing queries.

China central to development, operation of Egypt's new capital city

China is playing a pivotal role in Egypt's New Administrative Capital, a developing city 45km east of Cairo designed to house 6 million people, as per a report in South China Morning Post. The Chinese state-owned China State Construction Engineering Corporation (CSCEC) serves as the primary contractor for the new city's central business district and, under a deal between China and Egypt, will also be responsible for its operation and maintenance. The new capital is a significant project taking shape in the desert.

Jimmy Lai's son accuses UK of 'weakness' over father's detention in Hong Kong

Sebastien Lai, son of detained pro-democracy advocate Jimmy Lai, has accused the UK government of 'weakness' regarding his father's ongoing detention in Hong Kong, and stated that his father's health is rapidly deteriorating, Financial Times said in a report. Jimmy Lai, a British citizen, is being held under the National Security Law imposed on Hong Kong by Beijing.

China's exports to US plunge as producer index hits two-year low amid looming trade talks

China has experienced a significant plunge in its exports to the United States, coinciding with its key producer index falling at the most rapid pace in two years, despite governmental efforts to stimulate demand, Financial Times said in a report. These developments occur as new trade negotiations between the two countries are reportedly looming.

Chinese food courier and poet Wang Jibing appointed vice director of reading promotion body

Wang Jibing, a 55-year-old food courier in China who has gained recognition for writing thousands of poems and publishing several books, was appointed vice director of the Xuzhou All People Reading Enhancement Association in early June, South China Morning Post said in a report. The organization, which promotes public reading, is described as a charitable body affiliated with the Xuzhou municipal civil affairs bureau in eastern Jiangsu province. Wang has been nicknamed the "food courier poet."

China leverages export controls, shifting trade power dynamics and prompting global supply chain reassessment

China is actively preparing for further trade disputes by leveraging its export control mechanisms, a strategy highlighted by its past success in impacting global supply chains through materials like rare earths, which has shifted the dynamics of trade discussions, Financial Times said in a report. This approach includes implemented controls on other critical minerals such as gallium and germanium, essential for semiconductors and electric vehicles, underscoring Beijing's intent to use its dominance in key resources as leverage in broader technological and trade tensions. Consequently, other countries and multinational corporations are increasingly focused on reassessing their supply chain vulnerabilities and expediting efforts to diversify their sourcing of these essential materials.