As traditional US allies hedge their bets, will China be the one to cash in?

China’s engagement with traditional US allies amid the turmoil of Donald Trump’s presidency may be a sign that it is moving away from its customary diplomatic approach in favour of a “wedge strategy” that some observers believe may help reshape global dynamics. They point to the ways US partners are trying to keep as many doors open as possible – to insure themselves against both an erratic Washington and increasingly assertive Beijing. At Davos last month, Canadian Prime Minister Mark Carney warned about “a rupture” in the US-led global order,…

Waning fortunes: how Western brands are adapting to China’s changing consumer landscape

“Three Starbucks peach lattes for 84.90 yuan [US$12]”, a live streaming host tells viewers on Douyin, China’s popular short-video platform. “Three, two, one – the link is up. Don’t miss this deal, babes.” As Starbucks’ planned sale of a majority stake in its China business to Boyu Capital, announced three months ago, awaits regulatory clearance, the US coffee chain has stepped up its push into China’s heated live streaming shopping race, using discounts to bring down the cost per cup. The transaction is nearing completion, with China’s antitrust regulator ready…

US steps up Apec role after Xi–Trump call as ties with China show signs of thaw

Just days after Chinese leader Xi Jinping and US President Donald Trump held a two-hour phone call aimed at stabilising bilateral ties, the US confirmed it would play an active role at this year’s first Asia-Pacific Economic Cooperation senior officials’ meetings in Guangzhou, signalling intensified engagement with Beijing. The US State Department announced on Friday that a “team of experts”, led by senior US official Casey Mace and Acting Principal Deputy Assistant Secretary of State for Oceans and International Environmental and Scientific Affairs Ruth Perry, would use the gathering to…

As Beijing and Moscow tout ties, China’s firms keep Ukraine’s lights on

Across Europe, demand for Chinese goods is soaring as consumers seek quality products at a lower cost. Some goods – particularly electric vehicles, batteries and solar panels – have been shipped from China at a large enough scale that the continent’s lawmakers have begun taking action against an “overcapacity” they feel could throttle domestic industries. But in one European country where multi-day blackouts are commonplace, buyers are rushing to secure a piece of that excess supply, desperate for any power source that can keep them warm. Advertisement Those buyers are…

China warns US arms sales to Taiwan could threaten Trump visit

Unlock the White House Watch newsletter for free Your guide to what Trump’s second term means for Washington, business and the world The US is compiling a large arms sale of Patriot missiles and other weapons for Taiwan that Beijing has privately warned could jeopardise President Donald Trump’s state visit to China in April. The Trump administration is developing a package of four systems for Taiwan to purchase on the heels of the record $11.1bn arms package it unveiled in December, according to eight people familiar with the situation. China…

Why the new US-India trade agreement is a big deal

For the India-China-US triangle, the new US-India trade deal, announced with Trumpian flourish on social media on Monday, has potentially significant economic, geopolitical and strategic implications. US President Donald Trump’s post, which came after a phone call with Narendra Modi, said the Indian prime minister had committed to “BUY AMERICAN”, including over US$500 billion of US products. It also said Modi had “agreed to stop buying Russian Oil, and to buy much more from the United States and potentially Venezuela” which would “help END THE WAR in Ukraine, which is…

US accuses China of secret nuclear testing

The United States accused Beijing on Friday of conducting a secret nuclear test in 2020 ‌as it called for a new, broader arms control treaty that would bring in China as well as Russia. The accusations at a global disarmament conference highlighted serious tension between Washington and Beijing at a pivotal moment in nuclear ‍arms control, a day after the treaty limiting US and Russian missile and warhead deployments expired. “I can reveal that the US government is aware that China has conducted nuclear explosive tests, including preparing for tests…

How American Technology Helps China Persecute Its Christians

When Chinese authorities raided the Early Rain Covenant Church in Chengdu in 2018, Li Yingqiang, the sole church elder to temporarily escape custody, placed his children in the care of another family and went into hiding. The leaders of Early Rain thought they had prepared for a Chinese Communist Party (CCP) crackdown, yet their efforts were to no avail. More than 100 out of 500 church members were arrested in the 2018 raid, including Early Rain’s leader, Pastor Wang Yi. Authorities later sentenced Wang to nine years in prison for…

China keeps Cuba and Uruguay in the fold, puts Panama out in the cold

Cuba became the second Latin American country to send a high-ranking official to China this week. Cuban Foreign Minister Bruno Rodriguez Parrilla’s arrival in Beijing follows that of Uruguayan President Yamandu Orsi, the first regional leader to travel to China since the US assault on Venezuela in early January. Beijing’s attempt to court top Latin American officials stands in stark contrast to its tougher position on Panama, where it is embroiled in a dispute over two strategic ports. Advertisement Chinese Foreign Minister Wang Yi told Rodriguez on Thursday that Beijing…

Japan’s KDDI finds up to $1.5bn in fictitious revenues

Unlock the Editor’s Digest for free Roula Khalaf, Editor of the FT, selects her favourite stories in this weekly newsletter. KDDI, one of Japan’s big three telecoms providers, said that as much as ¥246bn ($1.5bn) of revenue came from fictitious transactions, marking the latest scandal for a leading Japanese company. The telecoms group postponed the release of its third-quarter results on Friday because of an ongoing probe into “suspicions regarding inappropriate transactions” at its subsidiaries Biglobe and G-Plan, which provide internet connections and advertising services. It added that it “confirmed…