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China Intelligence Brief (April-May 2018)

The China Intelligence Briefs are the start of a global initiative to provide context and recommendations to businesses, non-profit organizations, and policy makers who are looking for specific examples of opportunity or disruption from global events. While analyzing the macro problems we often identify specific issues that affect our clients and readers. Identifying both opportunities & challenges allow us to better identify solutions at home and abroad for a wide range of disciplines. In addition to the China Intelligence Briefs, we maintain detailed notes from interviews, overseas trips & business missions, conferences, conventions, and private events. We provide access to these notes and other analytical products for clients and paid subscribers.

Drones delivery is fast developing in China’s E-Commerce market

SUMMARY  On June 18, Jingdong, or JD.com, a Chinese e-commerce company, began testing their prototype drone delivery service, an initiative to reduce transportation costs and delivery times for more remote areas. On the same day, Google announced that it would be investing $550 million to develop new retail solutions using cutting edge AI and logistics…

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China Nepal Cooperation on Railway as a part of One Belt One Road

From June 19th to the 24th, Nepal’s Prime Minister K.P. Sharma Oli met with Chinese President Xi Jinping and Premier Li Keqiang during Oli’s visit in Beijing to discuss Belt and Road Initiatives (BRI). Both sides expressed a willingness to work together to build a railway network across the Himalayan Mountains and increase economic ties through BRI (previously known as the One Belt One Road (OBOR) Initiative) transportation and communication projects.

Misconceptions in South China Sea Can Raise US-China Tensions

At the recent Shangri-La Dialogue in the first week of June, United States Secretary of Defense, James Mattis, accused the Chinese occupation in the South China Sea to be a militarization tactic aimed at intimidating and imposing its power in the region. Further, the Pentagon rescinded its invitation to China for the 2018 Rim of the Pacific exercise (RIMPAC). – Dillon Billingham

China removed missile systems from disputed South China Sea

As of June 6th, images taken in the first week of June show that China has removed or relocated the surface-to-air missile systems from Woody Island, a disputed territory in the South China Sea. Beijing-based naval expert, Li Jie, said that the removal was temporary and for the purpose of maintenance. – Ziqing Zhang

China Might be in the Command as Trade Tensions Rise

On June 6, Singapore’s Finance Minister Heng Swee Keat asserted that the recent tit-for-tat trade dispute between the US and China likely carries the major risk of miscalculation, potentially spelling possible chaos on the global economy. – Dillon Billingham

Facebook giving access to Chinese hardware firms

June 5, American social media giant Facebook released a statement that it had data-sharing partnerships with four Chinese electronics manufacturers, including Huawei which had been tagged by the US intelligence community as a potential threat to national security. While the partnerships are still active, Facebook representatives said that their relationship with Huawei would…… – Analyst Ziqing Zhang

China, the Petrodollar System, and Why it Matters

Overview On March 26th, 2018, the Shanghai International Energy Exchange launched a new crude oil futures contract. The most notable aspect of this contract is that it is priced in Chinese Yuan and not U.S. Dollars. If widely adopted, this has the potential to be a seismic shift in energy markets and global trade since…

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