chinese – भारतीय रोज़ नई ख़बरें

Musk’s visit to China enhances ties amid US officials’ ‘overcapacity’ hype

Tesla CEO Elon Musk File Photo: Xinhua

Despite the so-called overcapacity hype, Tesla CEO Elon Musk made a visit to China on Sunday, showcasing the resolve of the world-leading electric car maker to develop in the Chinese market, its second-largest.

Chinese experts said the visit has strongly refuted overcapacity claims about China’s new-energy vehicle (NEV) industry, and many foreign investors, including Musk, are eyeing the market prospects and investment returns.

Musk arrived in Beijing on Sunday and met with Chinese Premier Li Qiang, according to the Xinhua News Agency.

Li stressed that China’s super large-scale market is always open to foreign enterprises and China will continue to work on expanding market access, strengthening service guarantees and providing a better business environment, allowing companies from all countries to invest in China with peace of mind.

Musk said the Tesla Shanghai Gigafactory is Tesla’s best-performing factory, thanks to the hard work and intelligence of the Chinese team. Tesla is willing to deepen cooperation with China and achieve more win-win results.

We are honored to participate in the rapid development of China’s NEV industry. We will continue to work hard in China, develop together with the industry in areas such as AI, electric vehicles and energy storage, accelerate the implementation of clean energy and autonomous driving technologies, and turn our beautiful vision into reality, according to the official weibo account of Tesla on Sunday night.

The visit by Musk comes amid the ongoing 2024 Beijing International Automotive Exhibition, during which global players such as Volkswagen and Mercedes-Benz have signaled their entry into the NEV sector on a large scale, highlighting their confidence in the Chinese market. Interestingly, Tesla does not have a booth at the show.

Chinese analysts said that Musk’s visit highlights the importance of the Chinese market to many US companies as they are enhancing ties, unlike politicians in Washington who always hype anti-China rhetoric.

China’s determination to open wider to foreign companies to pursue high-quality development stands in sharp contrast with the US, which has been using bad faith tactics to smear China’s competitive emerging industries, including EVs, Chinese analysts said.

Musk’s China visit validated once again the company’s commitment to the vast market potential of the Chinese EV sector, and made the “overcapacity” narrative hyped by some Western politicians and media outlets fade, experts said.

Many people are optimistic about the market prospects of NEVs and returns on investment, and many holders of capital are willing to enter such a field, including Musk, Sang Baichuan, dean of the Institute of International Economy at the University of International Business and Economics, told the Global Times on Sunday.

“China does not have overcapacity, which is a false proposition,” Sang added.

Reuters reported that Musk would engage with senior Chinese officials to deliberate on the implementation strategy for full self-driving technology in China, paving the way for the activation of the autonomous driving mode on Tesla cars.

Musk’s trip also came just over a week after he scrapped a planned visit to India to meet with Prime Minister Narendra Modi, citing “very heavy Tesla obligations,” according to Reuters.

The tremendous opportunities brought by China’s high-level opening-up retain a strong appeal for US businesses, which are looking forward to and appreciating the extensive Chinese market, Huo Jianguo, a vice chairman of the China Society for World Trade Organization Studies in Beijing, told the Global Times on Sunday.

Global sales of EVs are set to reach 45 million in 2030, according to a forecast by the International Energy Agency in 2023. That is about 4.5 times the sales recorded in 2022, and three times the 2023 figure.

While the US continues to hype “overcapacity” of NEVs in China, China’s door is opening wider and wider, including to US companies, Zhou Mi, a senior research fellow at the Chinese Academy of International Trade and Economic Cooperation, told the Global Times on Sunday.

Tesla, for example, built its first Gigafactory outside the US in Shanghai in 2019, which gave a boost to the development of the NEV industry amid competition.

China is Tesla’s second-largest market only after the US. The Tesla Gigafactory in Shanghai, which started production in 2020, is Tesla’s largest production center in the world.

Tesla sold some 600,000 EVs in 2023 in China, according to media reports. But in the final quarter, it ceded its position as the top EV seller in China to China’s BYD, as fierce market competition raged.

Amid the rapid development of the NEV industry in China, the penetration rate of passenger NEVs exceeded 50 percent in the first half of April, as reported by China Central Television on April 22, outperforming traditional gasoline-powered vehicles.

Musk’s last visit to China was in May 2023, when he met with leaders from several top Chinese officials in charge of foreign policy, industry and foreign trade. He also visited the Tesla Shanghai Gigafactory and met with leaders from the Shanghai municipal government, CCTV reported.

The tale of three generations of the De Gaulle family’s friendship with Chinese people

Gregoire de Gaulle Photo: Li Hao/GT

Standing in the streets of Beijing in 1978, Gregoire de Gaulle, a 23-year-old French young man, was on his first visit to the faraway country and was eager to take everything he saw with a camera in hand.

Before that, his father went to China in 1964. “I was still young at that time, but I know it was a rare trip for him. My father brought back many posters, books, photos, and important videos he took while in China,” Gregoire told the Global Times on Wednesday in Beijing. “It made our whole family very excited and our lives started to be connected to China.”

Fascination with a country

China has been an integral part of French photographer Gregoire de Gaulle’s entire life, thanks to his father, Bernard de Gaulle. His family has made great contributions to the relationship between China and France.

His great-uncle, former French president Charles de Gaulle, was the first Western leader to establish diplomatic ties between his country and the People’s Republic of China in 1964. By September of that year, Gregoire’s father had organized the first ever exhibition of French industrial tools in China with a second the following year.

Bernard de Gaulle was the former chairman of the Comité France Chine and was known as a China-France friendship messenger.

Ever since he was a young boy, Gregoire was deeply affected by the Chinese stories and travel experiences recounted by his father. “My father’s fascination with China and love for Chinese culture filled me with expectations and curiosity,” Gregoire recalled.

When he had a two-month vacation after service in Karachi, Pakistan in 1978, he decided to start his own China story and do something that his great-uncle, Charles de Gaulle had wanted to do before his passing in 1970. He didn’t even think about where he would go as he had only ever heard of Beijing, Shanghai and Guangzhou.

“I was lucky then because, starting from 1978, China started the opening-up policy. I was able to explore the whole of China.” For Gregoire at that time, China “was a completely new world, a world that I did not understand at all.”

At that time, the roads were very wide, but there were few cars. “People’s main means of transportation were bicycles. As a foreigner, I also joined them. I made many friends in Beijing, and we took trains and boats together, from Beijing to Xi’an, Chengdu, Chongqing, Wuhan, Shanghai and Guangzhou.”

He was deeply attracted by the scenes in front of Chinese houses: Children set up benches on the roadside to do their homework, adults were busy washing and hanging clothes, and the elderly were playing chess and cards.

A visitor explores an exhibition showcasing the ties between the De Gaulle family and the Chinese people at Beijing’s He Art Museum on April 24, 2024. Photo: Li Hao/GT

Continued friendship

“I have always been moved by small things in daily lives of ordinary people when visiting China,” he told the Global Times at a new photo exhibition in Beijing on Wednesday, which pays tribute to his family’s contribution to the China-France friendship.

“From a human perspective, it is a grand narrative; but from a small, individual perspective, it also has a very unique charm.”

Therefore, Gregoire focused his lens on the daily lives of ordinary Chinese people. “There was no big difference between China in 1978 and China in 1964 in terms of architectural design, people’s clothing, and transportation methods,” as he had seen so many photos and videos taken by his father in China in the 1960s. However, since 1978, “I could deeply feel the huge changes every time I went to China.”

He was shocked by China’s rapid development in recent decades, from infrastructural transformations to an improvement in people’s daily lives. “And the cities have since become so large and people are full of vigor.”

In 2013, Bernard de Gaulle planned to visit his eldest son Remi de Gaulle who was working in Shanghai. Gregoire was worried that his 90-year-old father would not be able to complete the trip by himself, so he came to China to accompany his father. They visited Beijing, Shanghai, Nanjing and Hong Kong, taking many photos during their travels.

One year later, an exhibition featuring two groups of photos that Gregoire took in 1978 and 2013 respectively kicked off in Shanghai. His photos of China were also exhibited in 2019.

Despite the great changes in the cities, he was happy to see that the enchanting simplicities of life had remained largely the same. These little things still “fascinated me.” “China’s fine traditions and the kind and positive spirit of the Chinese people have never changed,” he told the Global Times.

The year 2024 marks the 60th anniversary of diplomatic relations between China and France. He accepted an invitation from Southwest China’s Guizhou Province to take photos of China’s Huajiang Grand Canyon Bridge, still under construction and set to be world’s highest bridge, to highlight China’s fast development and introduce it to the world.

Although he only met his great-uncle (General De Gaulle) three times, he shared the same sincere feelings toward China as his father, great-uncle, and other family members including the fourth generation.

“I have always felt a great friendship between my family and the Chinese people. I find Chinese people have really deep emotions toward our family. I hope that in the future, there will be a fourth generation to carry on our friendship,” he said, adding that his children are already interested in promoting cultural and artistic exchanges between the two countries. His nephew is married to a Chinese woman.

Gregoire also said that he knows he’s better known in China than in France because of his great-uncle.

“So the story between our family and China continues.”

800,000 copies of pirated film, TV works seized in crackdown

Promotional materials for Chinese movie YOLO Photo: Courtesy of Douban

China’s Ministry of Public Security has recently revealed that more than 40,000 cases of copyright infringement and counterfeiting were handled nationwide in 2023, involving the seizure of products like bootleg films and forged food brand packaging.

Investigations targeting these fraud cases were carried out under a nationwide special operation called “Kunlun 2023.” The operation continues in 2024 with the unchanged goal of fighting “intellectual property infringement.”

The operation hit a new milestone in February. A total of 800,000 films, predominately bootlegs of movies like YOLO and Article 20, were seized by police departments in the provinces of Zhejiang, Anhui and Jiangsu.

The bootleg films were those that debuted during the 2024 Chinese Spring Festival holiday. They were mainly shared illegally online. Besides bootleg video recordings and pirated disk versions of these movies, 230 online shops illegally distributing such contents were included in the crackdown.

Cultural policy expert Song Weiping told the Global Times that such unlawful bootleg films sustain a “lucrative yet unethical market.” Taking bootleg films as an example, he noted their prices online are usually “much less than half” of the price for a cinema ticket, the expert emphasized.

“Some of those films were even circulated for free. Also, story-based films are more easily to be devalued in the pirate market since they do not boast the same visual effects that are exclusive to cinematic blockbusters,” Song remarked.

The unlawful reproduction of films is a topic that can always spark a wide spectrum of public debate in China. Xue Zhiqian, a popular Chinese singer was slammed by netizens in February on the internet after he snapped photos of the film Pegasus 2 in a cinema and then posted them on China’s X-like Sina Weibo.

Although law expert Xu Xinmin told the Global Times that a few individual photos can hardly constitute copyright infringement, netizens’ criticism of Xue is still trending, especially posts accusing him of being “ignorant of copyright’s importance” and “misleading the public.”

“Copyright infringement is extremely harmful to creative works, including art, films and so forth. To protect a work’s copyright is not the author’s own responsibility, but also that of the creative industry,” Xu told the Global Times.

Other than taking care of the film sector, the special operation also included crack down on intellectual property infringement related to sectors such as software, makeup, food and household appliances.

A total of 1,168 counterfeit hair dryers imitating a popular English brand were seized by police. The profit of sales of such counterfeits reached more than 40 million yuan ($5.5 million). In Central China’s Henan Province, four food processing spots were discovered that specialized in making counterfeit seasoning products of a popular Chinese food brand.

Those results were achieved through a close collaboration between China’s Ministry of Public Security and its deployed sub-provincial organs throughout the country.

“Such a deployment enlarges the scope of discovering potential crimes, and also reveals China’s nationwide efforts in cracking down on piracy,” Xu told the Global Times. The expert also added that these cases were chosen to be revealed around World Intellectual Property Day (WIPO) to show China’s dedication to protecting intellectual property rights. WIPO falls annually on April 26.

Global car producers in launch fever for NEV models at Beijing auto show

Photo: Li Hao/GT

After a four-year absence of its offline show, China’s largest auto show, or 2024 Beijing International Automotive Exhibition, which kicked off in Beijing on Thursday, has regained global attention. Global players such as Volkswagen and Mercedes-Benz are signaling their entry into NEVs on a large scale, highlighting their confidence in the Chinese market.

Such moves are in contrast with the so-called “overcapacity” cited by some US officials, which primarily pertains to industries such as electric vehicles (EVs). Chinese market observers said that it’s groundless to hype the overcapacity narrative, because the production capacity of NEVs to meet consumers’ upgrading demand remains insufficient.

A total of 44 models from the Volkswagen Group’s brands are on display at the ongoing show, 11 of which are making their debuts, according to information that Volkswagen Group shared with the Global Times. Among the total, there are 18 NEV models.

The group said it is accelerating the process of electrification. Starting from 2026, at least eight pure electric models specially developed for the Chinese local market will be launched. By 2030, the group will provide at least 30 pure electric models in the Chinese market.

Such moves are shared by other global players. BMW and MINI, the two brands under the BMW Group, brought their new models on Thursday, including BMW’s BEV model- the new BMW i4 had its world premiere, and MINI’s first all-electric crossover – the all new, all electric MINI Aceman, also made its world debut in Beijing.

Electrification, digitalization and sustainable development are the current major trends in the automobile industry. The BMW Group’s goal is to achieve more than 50 percent of sales from electric vehicles by 2030, said Oliver Zipse, chairman of the board of BMW AG, in Beijing on Wednesday night.

Mercedes-Benz brought 21 new models to the show, including the world’s first pure electric G-Class off-road vehicle. Maybach’s first mass-produced pure electric model, the Maybach EQS pure electric sport utility vehicle, hit the Chinese market at the show.

Photo: Li Hao/GT

China is the world’s second-largest market for G-class off-road vehicles. We will increase our input in the Chinese market and build our electric era with Chinese speed, said Hubertus Troska, member of the board of Mercedes-Benz Group AG.

Automakers from China and abroad are set to unveil 117 new models versus 93 at last year’s show in Shanghai, while a total of 278 NEVs will go on display, seven more than last year, according to the organizers.

The timing of the show comes as China’s NEV market shows fast development. Data from the China Association of Automobile Manufacturers showed that NEVs accounted for 30 percent of cars sold in China in the first two months of this year.

“Four years ago, when I came here, the NEV models of Chinese brands accounted for a large part of the show, but this time, many foreign companies are actively promoting their NEV products,” a visitor surnamed Li told the Global Times on Thursday.

The fever of foreign car producers for NEVs in China is in contrast with the so-called overcapacity hype by some Western countries, in which they focus on the growth of Chinese manufacturing in new industries represented by EVs, lithium-ion batteries and solar panels.

There is no such thing as “overcapacity” in China’s NEV sector. As a matter of fact, the production capacity of NEVs to meet consumers’ upgrading demand remains insufficient, Wu Shuocheng, a veteran automobile analyst, told the Global Times on Thursday.

“I do not think that China has excess capacity. It’s better to look at the China’s NEV market from a dynamic and developmental perspective. Through market competition, there will be elimination of outdated production capacity in the sector,” Wu said.

The Ministry of Commerce also slammed so-called overcapacity on Thursday. He Yadong, spokesperson of the ministry, said that the issue of production capacity must be based on the background of economic globalization, and fully consider the reality of the global division of labor and international markets.

From a global perspective, there is no overcapacity, but rather a shortage in the new-energy sector. Currently, the development of green, low-carbon and environmentally friendly new energy is an important global response to climate change, He said.

Global players all emphasize the importance of the Chinese market, and they bolster their competitive positions through local partnerships and innovation.

Volkswagen Group said that it is focusing on its local development capacities and its partnerships with local tech companies and manufacturers such as Horizon Robotics, Thundersoft and XPENG.

“We are accelerating our electric offensive with additional products for new segments. In this way, we are taking advantage of opportunities in the rapidly growing e-market,” Ralf Brandstätter, board member for the China region and CEO of Volkswagen Group China, told the Global Times.

Photo: Li Hao/GT

Global guests share ideas about Sora and AI onslaught at 14th BJIFF

Artists on stage at the opening ceremony of the 14th Beijing International Film Festival in Beijing’s Huairou district on April 18 Photo: Li Hao/GT

The 14th Beijing International Film Festival (BJIFF) is underway. Buzzing with excitement and filled with diverse discussions, the festival has attracted a large cross-section of international filmmakers. Chinese moviegoers are flocking to the festival, eager to catch the screenings of their favorite films.

Qianqian (pseudonym), a movie enthusiast, told the Global Times that she has grabbed about 10 film tickets for various screenings. However, she lamented missing out on the 4K-restored version of
Peony Pavilion and US independent crime film
Pulp Fiction.

The top three fastest-selling films at the BJIFF, according to the committee, were Chinese films
May, the 4K-restored version of
Peony Pavilion, and
Like Winds, Like Weeds.

Tickets for foreign language films such as Japanese animated film
Perfect Blue,
Pulp Fiction, and dark comedy film
Dr. Strangelove were also snatched within seconds.

With over 200 activities planned, the BJIFF offers a colorful array of cultural activities, providing film enthusiasts with an enriching and entertaining experience.

Going global and IP innovative

BJIFF this year initially launched events such as the BJIFF International Lounge and Film Season for Diplomats, providing a platform for Chinese and foreign guests to discuss the paths for Chinese films to further go global. Participants emphasized the need for strategic support and meticulous planning to unlock the full potential of Chinese films on the international stage.

William Feng, Vice President of Asia Pacific, Motion Picture Association in the US, highlighted the interest of North American audiences in Chinese culture, citing the success of films like
Crouching Tiger, Hidden Dragon,
Hero, and
House of Flying Daggers. However, he noted a slight decline in interest, possibly due to viewer fatigue in certain kung fu genre.

He also suggested that Chinese films collaborate with streaming platforms for distribution. “Chinese film distribution should not be limited to theatrical distribution, as the user base of online platforms such as Netflix and Disney+ is very large. These online platform channels are excellent opportunities.”

Quentin Bohanna, International Sales Executive at Mk2 Films, emphasized the importance of international promotion for Chinese art films, particularly targeting markets like the US. He suggested strategies such as limited screenings followed by expansion based on audience response.

China has produced a lot of blockbusters in recent years, and related cultural products, as was the case with
The Wandering Earth II which also achieved remarkable success.

At a forum on international movie IP authority and franchise development, experts stated that in the category of derivative products, the key category segmentation model is adopted to accurately match the audience portraits of different popular IPs with market demand, accurately creating derivative products that meet audience needs, which can achieve both high-level collection and practical utilitarianism.

Ni Yuehong, former vice president of the Beijing Film Academy, told the Global Times that we also need to strengthen industrial cooperation, integrate advantageous resources, jointly promote the deep integration of the film derivative industry with the cultural and tourism industries, and create more influential cultural IPs.

Technological elements

The impact of AI on the global film and television industry has always been a hot topic.

Oscar-winning Australian sound editor David White told the Global Times that he holds an open and inclusive attitude and believes that current technology cannot threaten high-level Hollywood film production.

However, copyright issues involved in training models have always been controversial, and he hopes that regulations will be proposed by government bodies rather than private institutions in the future.

Hong Kong director Derek Tsang told the Global Times that AI would be a great help for filmmakers with low budgets and limited resources. However, he has also observed some new screenwriters using AI to write, which he considers to be a negative phenomenon as he firmly believes that human emotions and stories should come from humans, and emotions are something that AI cannot replace.

He stated that he would use AI as a tool for basic work but would invest his true emotions and feelings in the creation of scripts.

To incorporate technological elements into this year’s BJIFF, the 14th BJIFF also opened a panorama in the screen and technology section at the China Science and Technology Museum.

According to the committee, a total of 33 special effects films from 14 countries, including China, Russia, the US, and the UK were screened, along with 14 public welfare screenings of popular science documentaries, films highlighting the spirit of scientists, and short science fiction films, including popular Chinese science film
Seek Out Natural Mysteries. Director Wang Jie, who directed the film, told the Global Times that he hopes such events would inspire more people to engage with science and technology through cinema.

Cross-Straits exchange

During the 14th BJIFF ReelFocus Fresh Blood Short Film Program, Peggy Chiao, Jury President of the program and a film producer and professor from the island of Taiwan, expressed that she saw many young filmmakers with potential in this event.

She emphasized the shared cultural heritage between the Chinese mainland and the island of Taiwan, and called for increased collaboration to promote mutual understanding and unity.

Chiao told the Global Times that coming to the mainland is like coming home because her parents moved from the Chinese mainland to the island of Taiwan. She added that this emotional connection is very special to her. As a filmmaker, she uses films to know the story of her father’s generation.

Chiao expressed that the cultural roots of both sides of the Straits are the same, and cultural exchanges truly help deepen mutual recognition among people and foster a sense of true kinship.

Guests on stage at the opening ceremony of the 14th Beijing International Film Festival in Beijing’s Huairou district on April 18 Photo: Li Hao/GT

Strengthening bonds through film

Illustration: Chen Xia/Global Times

In celebration of the 50th anniversary of establishing diplomatic relations between China and Brazil in 2024, the 14th Beijing International Film Festival (BIFF) has taken a significant step toward enhancing cultural exchanges and cooperation between the two countries.

By inviting Brazil as the Guest of Honor and hosting a series of collaborative events with the Brazilian Embassy in China, the film festival aims not only to deepen the comprehensive strategic partnership between China and Brazil but also to elevate its international influence.

During the ongoing festival, the Brazil Film Week showcased four outstanding Brazilian films, namely
Mars One,
Pictures of Ghosts,
The Second Mother, and
History of Love and Fury, to Chinese audiences, offering them a glimpse into Brazil’s rich cinematic landscape.

Meanwhile, renowned Brazilian animator Carlos Saldanha served as an international judge for the prestigious Tiantan Awards.

Cassius Rosa, Brazil’s vice minister of culture, told the Global Times in a one-on-one interview that the four Brazilian films show a rich diversity of genres and that he hopes that Chinese moviegoers can enjoy them while gaining insight into Brazil.

He emphasized the role of cinema as a powerful medium for strengthening mutual understanding and cultural exchanges between nations, and said that Brazil also actively promotes Chinese films in various cities.

He noted that Chinese kung fu action films, along with historical and comedic genres, are highly popular among Brazilian audiences.

This reciprocal exchange of cinematic experiences reflects the mutual interest and appreciation between the two countries.

In addition to showcasing Brazilian films in China, the cultural exchange event extends to Brazil, with the Chinese Film Festival opening in Rio de Janeiro on March 22 and the annual Sao Paulo Chinese Film Festival featuring a diverse selection of Chinese films.

Such initiatives demonstrate the growing collaboration in the film industry, supported by bilateral agreements and partnerships between China and Brazil.

In recent years, under the vigorous promotion of both governments, film and television cooperation between China and Brazil has deepened.

In September 2017, the two countries signed their first film co-production agreement. During Brazilian President Luiz Inacio Lula da Silva’s visit to China in April 2023, the two countries signed an agreement on television cooperation production.

Films co-produced by Brazilian and Chinese companies will enjoy national treatment in the two countries, benefit from existing public funding mechanisms, and be regarded as national products in their respective markets.

On Friday, at a forum for exchanges between Chinese and foreign filmmakers, representatives from the BIFF and the Rio de Janeiro International Film Festival signed a memorandum of cooperation.

They agreed to establish mechanisms to encourage mutual visits, conduct discussions and field research, and establish mechanisms for recommending films to each other, enhancing cooperation and exchange in the film industry between the two countries.

On Sunday, Rosa, accompanied by officials from the Brazilian film community delegation, visited the State Production Base of the China Film Group in Beijing’s Huairou district.

During the visit, they toured the post-production sound and video department, LED virtual studio, and outdoor shooting locations, gaining a detailed understanding of the facilities and technology at the hub of China’s film production industry.

During the discussions, Rosa introduced the recent situation of Brazil’s film industry and inquired about the current requirements for importing foreign films into China.

While expressing great expectations for cooperation, he announced the decision to invite a delegation of Chinese filmmakers to Brazil for in-depth exchanges in the near future.

He also hoped that through film screenings, film imports and exports, co-productions, and other means, both countries can enhance cultural exchanges and mutual learning, continuing the friendship between China and Brazil.

“By continuously deepening cultural exchanges between the peoples of both countries, we can promote mutual understanding and use this as a driving force to expand economic and trade exchanges into multiple areas,” Rosa said.

The year also marks the one-year anniversary of the China-proposed Global Civilization Initiative.

Rosa told the Global Times that besides films, the two countries also have a large potential for cooperation in other cultural fields, including literature, dance and the circus.

As film serves as a vital bridge for communication between nations, the exchange of film cultures between China and Brazil paves the way for mutual learning and industry development. By leveraging the power of film, both countries can strengthen cultural bonds, enhance mutual respect, and foster lasting friendship.

The author is a reporter with the Global Times. [email protected]

The world is young domestic firms’ oyster

A view of the booth of Huawei at the 2024 Mobile World Congress Barcelona in Spain earlier this year. GAO JING/XINHUA

In 2014, a group of experts in smart manufacturing, each of them boasting around 15 years of work experience, gathered in a three-bedroom apartment in Beijing and decided to start up with Beijing Roborock Technology Co Ltd. What was extraordinary was their clear and simple ambition: to develop the world’s best robotic vacuum cleaner.

Ten years on, their dream has come true. Roborock is a leading player in its sector and, in terms of global sales in 2023, the top-selling brand among smart vacuum cleaners worldwide, according to Euromonitor International, a market research firm.

Its products are available in more than 170 countries and regions, with nearly half of its revenue coming from overseas markets.

Quan Gang, president of Roborock, summed up the success story.”From day one, our eyes were set on the global market. From the very beginning, we have sought to meet the demands of global users. Our product design, production and marketing efforts have been tailored to meet their demands from the outset.”

That helped the startup to remain flexible and nimble while preserving its unique technology. Corporate executives and experts said Roborock is the epitome of new-age Chinese enterprises that see the world as their oyster right from day one.

Such companies are quick to recognize that growing globally competitive brands in their respective segments is critical to success these days. They rely on both China’s manufacturing prowess and their own strengths in research and development.

What distinguishes them from the previous generation of globally known Chinese enterprises is their global vision and clarity on goals. While the previous lot went global only when they had grown big enough in the domestic market, the new bunch target the global market from the very beginning, experts said.

Huang Chenhong, president of German software and cloud giant SAP Greater China, who has witnessed the transformation of Chinese companies in their global expansion over the past three decades, said, “Despite challenges such as lackluster global demand and geopolitical uncertainties, Chinese companies have not slowed down their pace of going global.”

Data from China’s Ministry of Commerce prove his point. Chinese enterprises’ outbound direct investment grew 5.7 percent year-on-year last year to exceed 1.04 trillion yuan ($143.7 billion), highlighting their continued expansion overseas.

“I think globalization is now entering a new stage. Globalization today involves more Chinese companies expanding their business overseas,” Huang said. “We can see many enterprises, whether State-owned, private or even small and medium-sized enterprises, have 30 to 50 percent of their business overseas. Some companies are even born to serve overseas markets and have never considered doing business domestically.”

Chinese companies have attained a stage of technological innovation where they are starting to embody the spirit of multinational corporations.

“In the past, when we talked about MNCs, we thought of German or American companies. Today, Chinese companies come to mind naturally,” Huang said, adding that SAP has helped many Chinese companies such as Lenovo, BYD and Mindray navigate the international waters over the past three decades.

US Section 301 investigation targeting China’s maritime, logistics and shipbuilding industries ‘groundless’

China-US Photo: GT

The China Council for the Promotion of International Trade (CCPIT) on Sunday blasted the US Section 301 investigation into China’s maritime, logistics and shipbuilding industries, calling it groundless, and said it will organize industry companies to mount a legal defense to safeguard the legitimate rights and interests of Chinese companies.

Observers on Sunday slammed the Section 301 investigation, saying it is illegal and invalid, and China will take countermeasures. They stressed that the US trying to control every segment of the industrial chain is not beneficial to the country itself.

The Section 301 investigation is illegal, unilateral and invalid as it is not included in the WTO framework, He Weiwen, a senior fellow at the Center for China and Globalization, told the Global Times on Sunday.

He noted that WTO members have no right to determine if any other member violates regulations, and only the organization can make the ruling.

China’s maritime, logistics and shipbuilding sectors have actively conducted technological innovation and participated in free market competition based on market development needs, which significantly contributed to the development of global trade as well as the smooth and stable operation of global supply chains, a CCPIT spokesperson said in a statement posted on its official WeChat account.

Related US research showed that the predicament of the US maritime, logistics and shipbuilding sectors was mainly caused by a lack of market competitiveness, and it had nothing to do with China’s laws, policies and practices.

The CCPIT and the China Chamber of International Commerce, on behalf of China’s business community, urged the US to respect market rules and the principle of fair competition, immediately stop making the wrong moves, and return to the multilateral trade system based on market rules and principles.

The spokesperson said that CCPIT will organize industry companies to make a legal defense and attend the US hearings with upstream and downstream companies, so as to safeguard the legitimate rights and interests of Chinese companies.

The remarks came after the office of the US Trade Representative (USTR) announced on Wednesday that it is initiating an investigation of acts, policies and practices of China’s targeting the maritime, logistics and shipbuilding sectors for dominance after a petition filed with the USTR’s office by five US national labor unions.

The USTR alleged that China is using “unfair, non-market policies and practices” to dominate those sectors, according to a USTR press release.

The US Section 301 investigation is contrary to the normal laws of market competition, while negatively affecting global enterprises’ operations, Gao Lingyun, an expert at the Chinese Academy of Social Sciences, told the Global Times on Sunday.

Gao said that no country can have competitive advantages in all aspects of the industry chain. He said that the US making efforts to keep all links in the industrial and supply chains firmly in its own hands is not conducive for the country itself or for the global division of industry.

In addition to the CCPIT, Chinese authorities have already urged Washington to correct its wrongdoings while stopping the manipulation of issues related to China in the US presidential election year.

“According to the WTO ruling, the former US administration was wrong to impose additional steel and aluminum tariffs on certain WTO members and launch a Section 301 investigation and raise tariffs on China.

“Instead of correcting its mistake, the US chose to double down on it by threatening new tariff hikes and announcing a new Section 301 investigation,” Lin Jian, a Chinese Foreign Ministry spokesperson, said on Friday, urging the US to be prudent in its words and deeds, and stop manipulating issues related to China in the election year.

The Biden administration is reportedly pushing for tariffs to “triple” on Chinese steel and aluminum, as Washington is targeting Chinese industries under the guise of the “overcapacity” fallacy.

Regardless of what tags the US uses for its excuses, the so-called Section 301 investigation and other tools are just malicious attempts by the US to suppress China while dismissing WTO rules.

He Weiwen said that “overcapacity” is also a problem related to US competitiveness, and he stressed the importance for the two sides to conduct dialogue including the “overcapacity” issue, based on evidence.

Emotional Zhou makes F1 home debut

Chinese driver Zhou Guanyu bursts into tears after ending his maiden Chinese Grand Prix at the Shanghai International Circuit on April 21, 2024. Photo: VCG

Emotional Chinese Formula One driver Zhou Guanyu burst into tears after ending his maiden Chinese Grand Prix at the Shanghai International Circuit on Sunday with a 14th place finish.

The FIA, the sport’s governing body, gave Zhou an unprecedented but ceremonial position after the 56-lap race, putting Zhou’s parking position on the grid next to podium finishers Max Verstappen and Sergio Perez of Red Bull, and Lando Norris of McLaren.

“I was thinking about the difficulties and challenges that perhaps people couldn’t see behind the scenes or in front of their TVs, and I couldn’t imagine that one day there would be a Chinese driver standing on our Chinese track, and it’s me,” Zhou told reporters after finishing the race.

The previous time he said he cried was at the end of 2021, when his agent told him that he would be a F1 driver. He made his F1 debut in 2022, but had to wait for two more seasons to race at home.

F1 held its 1,000th race in Shanghai in 2019, when Zhou was a test driver for Renault. The hiatus lasted for four years due to COVID-19-related travel restrictions.

“I was very excited and enjoyed the whole weekend, including finally being able to release some pressure. I think I made some mistakes this weekend.There were some areas where I could have done better, but for a debut, I think I did my best and the crowd cheered for me,” Zhou, now 24, told reporters.

It was the F1 races held on this circuit that inspired Zhou to start his motor sport racing career.

Zhou’s Chinese motor racing predecessors include Cheng Congfu, Ho-pin Tung and Ma Qinghua, but none of them made it into the Sunday race.

“Apart from getting emotional, I can’t imagine Chinese fans have so much passion for Chinese racing or the enthusiasm for myself and for F1,” Zhou said.

“Considering my personal experiences in so many Chinese Grands Prix races, whether as a spectator or as a test driver, there has been no feeling quite like this one.”

Zhou also noted that Sunday’s performance on his home track was not his best.

“I definitely think I couldn’t unleash myself 100 percent because after all, I’ve never raced on this track before. I’ve only driven civilian cars, and perhaps many drivers on the grid are more familiar with it than me,” Zhou said.

“But we only had one practice session, and then went straight into the race, so it was very difficult to find my limits. Of course, there were mistakes, and there were areas where I could have done better. I believe that next year, or the year after, or the year after that, I will definitely be better than I am now.”

Looking ahead, Zhou aims to continue improving and competing for victories against midfield teams.

“My goal is to have more impressive performances, whether in qualifying or the race, to win as much as possible against midfield teams, and to strive for more points,” he said.

The three race days at the Shanghai International Circuit attracted a total of over 200,000 fans, local organizers said. Experts say Zhou’s debut at home is sure to be a big impetus to attract even more fans to the sport.

Zhou and his Sauber F1 team have yet to score any points this season, which has held five Grands Prix so far. His teammate Valtteri Bottas did not finish the race due to an engine problem.

The next F1 race will be held in Miami, the US on May 6, while the Chinese Grand Prix will return to China next year on March 23, 2025.

Protectionism not the solution to addressing erosion of US competitiveness

Illustration: Xia Qing/Global Times

The Office of the US Trade Representative recently initiated a probe into China’s maritime, logistics and shipbuilding sectors, alleging China used “unfair, non-market policies and practices” to dominate those industries. This, coupled with the Biden administration’s new threat to impose high tariffs on Chinese-made aluminum and steel, is again escalating trade tensions between the world’s two largest economies.

The probe and threat bear the US’ often-used hallmark of leveraging protectionism to resist free trade in Washington’s hope to protect its own industries and jobs. However, the competitive edge held by Chinese industries is due to the hard work and effort of the Chinese people, the persistent technological innovation of Chinese companies and their proactive participation in free market competition.

China’s world-leading telecom equipment, high-speed trains, solar panels, and electric vehicle manufacturing, as well as its maritime, logistics and shipbuilding sectors, have gradually built up their strength through many years’ expertise and Chinese enterprises’ willingness to incorporate new tech breakthroughs and domestically developed software solutions.

Now, high-quality and less costly goods manufactured by Chinese companies are becoming increasingly popular across the world. Chinese technologies, such as 5G and green renewable energies, are helping the Global South develop their economies. Therefore, the American politicians’ old playbook of using unilateral economic coercion to suppress and stymie the advance of Chinese economy will ultimately fail. Their desire to prolong or perpetuate American industrial dominance in the world will not come true, either.

As known to the world, protectionism and unilateralism won’t bring back the lost manufacturing jobs to US shores. America’s high labor costs and the Federal Reserve’s insistence on an elevated interest rate of over 5 percent mean that American manufacturers can hardly compete with their Chinese counterparts. The cost-effectiveness of Chinese companies is nearly unparalleled in the world. For example, the cost of making an electric vehicle in China is approximately two times lower than in the US.

The Biden administration remains obstinate in playing the zero-sum game by implementing a policy the administration calls “small courtyard with high walls” to demarcate itself or decouple from China. It is odd to many in the world why the US stubbornly refuses to choose the road of win-win cooperation with China. Is it just to prolong America’s dominance and hegemony in the world?

America’s “decoupling from China” debate started about six years ago, and reached its climax in 2020. Over the past three years, the Biden administration has not tempered the decoupling or “de-risking” rhetoric, even though it knows that this decoupling will disrupt global supply chains and fragment global economy, leading to undesirable efficiency losses among American companies as well.

To slow China’s economic growth, the US government, since 2018, has imposed high tariffs on up to $360 billion worth of Chinese goods, roped in its allies and “like-minded” countries to form exclusive trading blocs in key industrial sectors, pushed its businesses to relocate manufacturing operations away from China and blacklisted over 1,000 Chinese companies and research institutions. These trade barriers will hinder advancements in the world’s sustainability agenda, which relies on unrestricted and seamless exchanges of both existing and emerging technologies.

In public, senior US officials, including Treasury Secretary Janet Yellen, professed disinterest in decoupling, but the Biden administration has pushed ahead with it in an attempt to isolate China and contain its rise. The US government has curbed Chinese investment in the US, banned imports of Chinese technology products such as solar panel components and 5G gear, and prohibited high-tech exports to China, including cutting-edge semiconductor chips and the tools to make them.

However, the two giant economies are so tightly intertwined that it is almost impossible for Washington to harm China without hurting itself, sometimes seriously. The US’ decoupling strategy will only stand in the way of improving its corporate efficiency. As global supply chains are threatened by the decoupling policy, companies are complaining about a less elastic, less efficient and increasingly costly supply of components needed for manufacturing. Ordinary consumers in the US and the West are angered by expensive goods combined with high inflation.

The economic consequences of decoupling, raising trade barriers, or the push for de-globalization by the US are becoming a growing concern for global policymakers. Economists have started to estimate the economic costs for the world economy. Recently, the International Monetary Fund (IMF) listed rising economic fragmentation and an increase in trade restrictive measures as trends that could harm the medium-term outlook for the global economy.

Facing the relentless restrictions imposed by the US in recent years, China didn’t choose to sit idle or throw in the towel. Thinkers and policymakers started to realize the risks of relying on foreign technology and instead focused on a strategic shift of great historic importance to decrease reliance on US technology and prioritize domestic research and innovation in order to safeguard China’s economic security. Additionally, China decided to further open its economy to businesses from all countries and expand sectors available to foreign investors.

In contrast to the US, which has retreated from global economic integration, China has emerged as a leading advocate for globalization, free trade and inclusive development. History shows that shutting out foreign competition will never lead to success in the long run. The US’ decision to build “high walls” to block Chinese goods and technology will not solve the underlying issues of inefficiency in its enterprises, leading to higher consumer prices and prolonged inflation for American citizens. Protectionism is not the solution to addressing the erosion of US competitiveness.

The author is an editor with the Global Times. [email protected]