SinoExpress™

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Amidst the unprecedented sighting of a Chinese militia boat on the east coast of Taiwan, Chinese authorities have rolled out a series of regulatory changes signaling intensified preparations for potential conflicts. President XI Jinping should welcome these developments because he highlighted the need to have a strong civil air defense system in the country a full decade ago. However, these developments may be perceived differently by foreign investors searching for signs of peace and stability—especially because, under the newly revised National Defense Mobilization Law, these foreign investments in China have the potential to be expropriated should the country implement national defense mobilization.Read this article

Images: Circe Denyer, Computer Chip Board Art;
Basudev Shrestha, Communist Flag
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DeepSeek’s plan to utilize Huawei’s advanced AI chips at its massive data center in Inner Mongolia and Malaysia’s evaluation of similar chips from Huawei to support its AI initiative are two recent examples showing the importance of China’s production of homegrown chips. Such production determines not only China’s level of self-reliance but also the country’s potential role in the international AI ecosystem. Since Huawei announced its new approach to building chips in May, China has stepped up regulatory measures to accelerate the development of chips. Notably, China published technical specifications for chips that “relevant AI chip development entities, testing and assessment agencies, and end-users” in China are expected to follow. The response of foreign governments to chips developed in line with these technical specifications should be observed closely.Read this article

Images: Gerd Altmann, Welcome in the Future;
Basudev Shrestha, Communist Flag
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The widespread adoption of Moonshot AI’s Kimi K3 has sparked keen interest in the recipe for success of this new Chinese AI model. Frequently misdescribed as “open-source”, which suggests full transparency, Kimi K3 is merely “open-weight”—meaning that only the “final weights and biases” of the model are disclosed, while critical elements such as the training dataset are not. As Moonshot AI’s continued success could help China achieve at least a big leap in the global AI race, this may lead to the Chinese leadership’s granting the company access to massive amounts of data for training future AI models. Understanding how China is building datasets and adopting strict measures to protect data allows other players in the AI race to weigh their options more strategically.Read this article

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The extraterritorial reach of China’s new law on “ethnic unity” has drawn attention because the law has a broadly phrased provision stating that “organizations and individuals” located outside China can be held liable if they, targeting China, carry out acts “undermining ethnic unity and progress” or “creating ethnic division”. While this extraterritorial application of the law deserves attention, the domestic enforcement of the law must also be followed closely as, if mishandled, such enforcement could lead to circumstances that would complicate China’s relations with its strategic partners such as Kazakhstan.Read this article

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Former ambassador of China to the U.S. CUI Tiankai recently stated that China is committed to building “a community with a shared future for mankind” and rejects any “Group of Two” (G2) concept to refer to the U.S.–China relationship. Building such a community is a principle that is central to achieving President XI Jinping’s vision of “socialism with Chinese characteristics for a new era”, which has been enshrined in the Chinese Constitution since 2018. China’s Minister of Foreign Affairs WANG Yi has shed light on the interpretation of the principle. The recent release of a joint declaration by China and Laos on building “a community with a shared future” between the two countries illustrates how China applies the principle in practice to grow its own global influence. As much as China aspires to build “a community with a shared future for mankind”, a statement recently made by Singapore’s former Prime Minister Lee Hsien Loong suggests that China’s push to build this community will face resistance.Read this article

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A recent survey conducted in Taiwan has sparked concerns because the results seem to suggest that a significant percentage of Taiwan people would “accept” “One Country, Two Systems”—the principle that China relied on to resume its sovereignty over Hong Kong and Macao in 1997 and 1999, respectively—in order to avoid potential conflict with China. A closer look at the survey question reveals its lack of clarity. Yet a bigger problem is that it is based on an assumption: should “peaceful reunification” with China occur, Taiwan’s relationship with mainland China would be “much like the relationships currently shared by Hong Kong, Macao, and mainland China”. Various sources, including XI Jinping’s remarks, suggest that the Taiwan model would be quite different from the models used in Hong Kong and Macao.Read this article

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At his recent meeting with the Chairperson of Taiwan’s Kuomintang CHENG Li-wun, XI Jinping enumerated four “opinions” about cross-strait relations, including reunification. The principle “one country, two systems”—which China relied on to resume its sovereignty over Hong Kong and Macao in 1997 and 1999, respectively—was not mentioned at all. This omission stands in contrast with how Xi has previously reiterated the importance of using this principle to resolve the “Taiwan issue”. A similar omission can be seen in China’s new 15th Five-Year Plan for National Economic and Social Development. Has China adopted a new approach to resolving the “Taiwan issue”?Read this article

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The crisis in the Middle East and China’s 15th Five-Year Plan for National Economic and Social Development (2026–2030) have dominated news headlines, while two changes to China’s Foreign Trade Law seem to have gone unnoticed. These changes are small but significant, as China’s application of these new provisions will reveal whether the trade powerhouse can adhere to objective standards and, thereby, create more certainty amidst growing trade uncertainty around the world.Read this article

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Multiple national leaders’ recent visits to China have raised the country’s hopes that it will see more foreign investment in 2026. Such optimism should be particularly prevalent in provinces that have shown impressive economic performance. Henan is one of them. With a GDP of RMB 6.66 trillion in 2025, Henan recorded the fastest growth in GDP among China’s ten provinces with the highest GDPs. To maintain Henan’s growing momentum, the provincial government has introduced measures focusing on foreign investment and other areas. While emphasizing the importance of protecting foreign investors’ legal rights and interests, Henan must deliver results due to its highest court’s handling of a landmark case, which has the potential to continue to weaken foreign investors’ confidence in the provincial judiciary.Read this article

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Amidst growing uncertainty in the West after the U.S. capture of Nicolás Maduro and his wife as well as increasing Sino-Japanese tension over Japanese Prime Minister Takaichi Sanae’s comments on Taiwan, Chinese President XI Jinping warmly welcomed South Korean President Lee Jae Myung’s state visit to seek support from an important neighbor. The visit was concluded with signed documents highlighting the two countries’ economic cooperation. Such economic cooperation may benefit from the seeds of mutual respect planted by the two countries’ judiciaries years ago. Yet there are two uncertainties: Will South Korea be able to sell computer chips to China, in defiance of external pressure? And will China be able to win the hearts of South Koreans, whose votes will influence President Lee’s decision?Read this article

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In early December, hundreds of leading scientists and entrepreneurs from around the world attended a forum held in Yunnan, a province located in southwest China, to discuss artificial intelligence, life sciences, and many other topics having a great and increasing impact on our lives. Why was such an important forum not organized in Shenzhen or Hangzhou but rather in an inland province that is better known for its rich cultural heritage? The answer lies in the unique role Yunnan played during the Second World War and its strategic importance to China today.Read this article

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The recent remarks of tech billionaire Bill Gates concerning the impressive efforts China has made with respect to nuclear energy has increased awareness of the country’s commitment to solving a major puzzle: how to provide a cost-effective and environmentally friendly source of energy to power data centers necessary for operating artificial intelligence applications and services? China’s efforts on this front are expected to intensify when a new law focusing on nuclear energy and technology comes into effect in early 2026.Read this article

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Shortly before the announcement of the winners of the 2025 Nobel prizes, an official newspaper of China published an article highlighting mismanagement of research funds and other problems inside Chinese research institutions. If left unaddressed, these problems will likely continue to limit China’s success in achieving scientific breakthroughs that are recognized by Nobel prizes. As these problems may also adversely affect China’s mission to build “new quality productive forces”, remedial measures are being rolled out to ensure that great scientific minds are fully utilized in the country.Read this article

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China’s massive parade held in early September not only showed the country’s military strength but also led to signaling to the Global South that China’s science and technology capabilities may help the world’s less developed countries survive in the AI era. The Global South will observe intently how China introduces and implements AI-powered measures to modernize its own rural areas. China’s success on this front will help strengthen its relations with the Global South as the latter is likely to be interested in leveraging China’s experiences and support to accomplish modernization.Read this article

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Allegations that Nvidia has equipped AI chips sold to China with “tracking and positioning” functions have led Chinese authorities to demand an explanation from the U.S. tech giant. While Nvidia may be able to address related concerns in this instance, Chinese leaders should have already been alarmed amidst fears about the potential use of imported chips and other high-tech products as a Trojan horse. As China’s need for home-grown technologies and talent is more urgent than ever, a talent incubation program that has been implemented for more than ten years by a Chinese drone manufacturer is likely to become an important model for replication in various high-tech industries.Read this article

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The global challenges facing China during the first six months of 2025 have led the country to take various measures aimed at strengthening the Chinese market and reducing international risks. One such measure is the revision of China’s Anti-Unfair Competition Law to combat unfair practices at home and overseas. Likely inspired by a case decided by the Supreme People’s Court in 2021, the revised law’s extraterritorial reach is expected to impact Chinese and foreign companies significantly.Read this article

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Two surveys recently conducted in 41 countries and 96 countries, respectively, show that respondents generally perceived China more favorably than the United States. These survey findings signal to Chinese leaders that their efforts to help improve China’s global image through the development of cultural industries have produced results. To President XI Jinping, in particular, these findings help fuel his latest plan to accelerate the transformation of China into a cultural power.Read this article

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While the world was paying attention to Chinese troops’ participation in Russia’s Victory Day parade held at the Red Square on May 9, a new set of rules authorizing China’s military courts to exclusively handle more cases seems to have gone unnoticed. As the impact of these new rules is likely to be substantial, they should be better understood.Read this article

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Hainan, China’s island province located at the country’s southernmost point, appears to be a much-needed haven for companies struggling to survive the current tariff war. In 2020, the Chinese leadership released a large-scale plan to turn the entire province into a free trade port. Endowed with lower tax rates and other preferential treatments such as exemptions from certain legal restrictions, Hainan, which has a land area of only 33,920 square kilometers, may play a role commensurate with its special status to help China weather the tariff storm.Read this article

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Oracle co-founder Larry Ellison’s struggle to transform agriculture with AI applications through his venture Sensei Farms may prompt one to wonder whether his vision to “improve human nutrition while preserving the world’s natural resources” can be realized. Chinese leaders share a similar vision. They feel compelled to turn this idea into reality because of the formidable challenge posed by the need to feed the country’s 1.4 billion people with the limited arable land available. To overcome this challenge, the Chinese leadership has set ambitious goals to develop agriculture utilizing AI and has designated Zhejiang Province—home to DeepSeek and a few other key AI companies—to lead the endeavor.Read this article

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The sudden emergence of DeepSeek has awakened the world to China’s high-tech capabilities. In the coming years, the country is expected to continue strengthening its efforts to increase such capabilities and nurture the development of its high-tech industries. To this end, China needs to ensure a continuous supply of high-tech talent and a strong demand for high-tech products from its population, which includes segments with limited digital and scientific literacy that may have the opposite effect, i.e., weakening such demand. To address these needs, China recently introduced certain measures.Read this article

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The World Health Organization has projected that, compared with 2018, nearly 360 million more people in China will enjoy improvements in health and wellbeing in 2025. To meet this target, among others, and to prepare for health care challenges arising from significant demographic changes occurring in China, the Chinese leadership has introduced various measures, including allowing the establishment of wholly foreign-owned hospitals in nine localities. These measures are welcome. However, a major problem lies in whether China is ready to amend legal rules to reduce the legal risks associated with medical practice as potential criminal consequences are likely to deter foreign medical professionals from practicing in China.Read this article

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In July, immediately after China successfully retrieved lunar samples from the far side of the Moon, Dr. Mei Gechlik, Founder and CEO of SINOTALKS®, encouraged China to invite scientists from different countries, including the United States, to study these samples. According to Reuters, a few U.S. universities are now contributing their efforts to make such U.S.-China joint studies possible. Will this potential U.S.-China space collaboration open a door for Elon Musk to leverage his connections with Beijing and President-elect Donald Trump to create win-win opportunities for U.S. investment in China’s space-related industries? What types of space-related investments will likely survive rigorous regulatory reviews in China and the United States? The way in which China’s “wish list” for space-related investments evolves over the coming months, along with corresponding U.S. reactions, will help answer these questions.Read this article

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The U.S.-China race to set a standard lunar time has captured global attention. Standardizing lunar time is, however, only the first step. The real race lies in whether any time set by the United States or China can be applied effectively to space operations from which other countries can benefit. If other countries see results, this will ensure their sustained endorsement of the lunar time used in the operations benefiting them. Only with such solid support will the endorsed lunar time become the prevailing standard. China recently rolled out a three-stage plan to apply its timing system to a series of lunar operations. With its space ambitions, the expanding BRICS may be able to help China bring its three-stage plan to fruition and share the fruits of such success. When this happens, China’s lunar time has a good chance to prevail.Read this article

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Dawn Hudson, Silver Map (Publicdomainpictures.net)

President XI Jinping recently outlined ten partnership actions for China and Africa to jointly take in the next three years. Focusing on advancing modernization, these actions will likely motivate young Africans to pursue education in China to acquire related knowledge and skills and to build strong China-Africa networks. Trends revealed by a recent study suggest that furthering education in China may produce additional results for young Africans: their interactions with growing East Asian student communities in China will also prepare them well to become effective intermediaries between Africa and East Asia, as the latter actively seeks to tap into Africa’s tremendous potential.Read this article

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China’s impressive performance during the 2024 Summer Olympics has heightened many overseas Chinese’s interest in their own Chinese roots. This will likely boost their fascination with opportunities emerging from China, whose economy the IMF predicts will grow 5% in 2024. Beijing should, therefore, be motivated to step up its efforts to effectively engage overseas Chinese, who have been perceived by Beijing as important bridges connecting China with the rest of the world. Coincidentally, the Supreme People’s Court’s new initiative regarding the ascertainment of foreign laws can help engage overseas Chinese effectively.Read this article

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Yinan Chen, Hong Kong City Buildings (Publicdomainpictures.net)

In early July, a new Hong Kong law extended nearly 400 land leases in the formerly British-governed city for another 50 years, making the leases go beyond June 30, 2047—the critical date marking the potential expiry of the Beijing-approved governance system operating in the city since its handover to China in 1997. More leases are expected to be extended in the same manner. If the extension of these leases—which has broad implications—is handled well, Beijing will be able to significantly contribute to the prosperity and stability of not only Hong Kong, but also Asia.Read this article

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A key lesson from the failure of Prime Minister Modi’s Bharatiya Janata Party (“BJP”) to secure a majority in the lower house of India’s parliament and to sustain its popularity in traditionally pro-BJP states is the pressing need to solve the issue of economic inequality in India. Mr. Modi faces mounting pressure to deliver during his third term as India’s Prime Minister a strong economic performance to those who have not yet benefited from India’s progress. Similar challenges are being faced by Chinese leaders, who are rolling out new measures aimed at supporting the “accelerated rise” of Central China. Given India’s growing competition with China, how China plans to accomplish this goal should be of significant interest to India and its allies.Read this article

Image: Irina Pechkareva, A Space with the Moon (Publicdomainpictures.net)

China’s ongoing mission to collect rocks and soil from the far side of the Moon marks another milestone in the country’s space exploration despite its exclusion from U.S. space projects. This accomplishment should make U.S. policymakers ponder whether adopting a similar exclusionary approach will help or hurt the United States’s efforts to secure the lead in the U.S.-China AI race. More importantly, the potential catastrophic consequences of AI manipulation demand a better approach that focuses on generating benefits at a global level, rather than devolving into a simple win-lose race between two international powers.Read this article

The recent establishment of the Secretariat for the China-Central Asia Mechanism represents a key step taken by China as well as Kazakhstan, Kyrgyzstan, Tajikistan, Turkmenistan, and Uzbekistan, to “comprehensively promote [their] cooperation”. China has expressed its wish to “bring more benefits to the people” of the five Central Asian nations. This wish is especially welcome amidst the world’s growing concerns that poverty and social marginalization might have contributed to the rise of terrorist activities in Central Asia. How can China turn this wish into reality? A recent survey showing Southeast Asians’ unprecedented level of support for China provides some useful lessons for reference.Read this article