Diplomacy

Navalny cloud may yield green energy silver lining

22 Sep 2020

A suspected Novichok attack on the Kremlin critic further complicates German links to Russia via the new Nord Stream 2 pipeline. For now, gas needs mean Berlin can’t bow to U.S. pressure to ditch the project. But it should add impetus to the drive for alternative energy sources.

TikTok CEO exit makes chaos even harder to tame

27 Aug 2020

Kevin Mayer is leaving after three months. It's no surprise with the video app owned by China's ByteDance facing a split and sale or a U.S. ban. But a buyer, be it Microsoft, Oracle or otherwise, could have used his help – after all, he has 100 days more experience than they do.

Wall Street prefers China to Pennsylvania Avenue

20 Aug 2020

Chinese companies are rallying in New York despite delisting threats from Washington. Governance problems abound, yet the $2 trln group is beating the S&P 500. That may be part greed, part short attention spans, but the finance industry is betting the White House is bluffing.

U.S.-China tech spat is less costly than tariffs

14 Aug 2020

The two nations will review their trade deal as the White House refocuses on a purge of Chinese apps. The economic damage is more limited than tariffs, which upended companies and hurt consumers on both sides. Containing the trade fight is more important than saving TikTok.

Hong Kong will be lucky to end up like Singapore

11 Aug 2020

Media mogul Jimmy Lai has been arrested. Press freedoms are being curtailed; elections are postponed. Businesses hope the territory will settle on a model resembling its rival city state, with politics separated and commercial rule of law upheld. That looks far-fetched.

India is the neglected elephant in TikTok’s room

10 Aug 2020

Microsoft and Twitter want pieces of the Chinese video app, but seem uninterested in its largest market by users. There may be practical reasons, given Western tech giants remain welcome in India. But they might also fear New Delhi will give local copycats a helping hand.

U.S. gloves are off with sanctions on HK leader

7 Aug 2020

The Treasury is targeting Carrie Lam, Hong Kong's chief executive, and other officials accused of undermining the territory’s autonomy. It follows blows to Chinese apps WeChat and TikTok. Previous hits had been tolerable for Beijing but it’s now harder to avoid confrontation.

Pompeo’s Chinese web wall is a tall order

6 Aug 2020

The U.S. Secretary of State's "Clean Network" initiative wants to purge America’s internet of Chinese telecoms, apps, and cloud services. Washington aims to ring-fence the People’s Republic, and Mike Pompeo is seeking allies. The costs for companies on both sides could be high.

China tech will double-down in Southeast Asia

5 Aug 2020

As Washington and New Delhi block Chinese apps, fast-growing markets like Indonesia and Vietnam have gained importance for mainland technology firms. Early movers like Alibaba found limited traction in the region, but the next wave is nimbler, and may enjoy more success.

Corona Capital: PizzaExpress, Aerospace pain

4 Aug 2020

Concise views on the pandemic’s corporate and financial fallout: The UK restaurant chain’s restructuring is not that tasty a meal for creditors; Airplane-parts maker Spirit’s reliance on Boeing’s 737 MAX has it heading into worse turbulence.

WeChat makes bigger brick in anti-China firewall

3 Aug 2020

Tencent’s app is next in line for a White House ban after TikTok. Blocking WeChat, crucial to life and business in the People’s Republic, would protect overseas Chinese from Beijing’s spies, but cut them off from home. That would hasten and deepen the decoupling of the internet.

TikTok learns old lesson about U.S. art of deal

2 Aug 2020

President Trump had significant influence on conversations between Microsoft and TikTok after owner ByteDance’s proposed minority stake in earlier talks posed concerns. On M&A that raises national security worries, Chinese firms will find Uncle Sam is the new poison pill.

Trump’s Venezuela curveball smashes more norms

27 Jul 2020

The U.S. belatedly asked a district court to reverse a decision allowing the forced sale of shares in refiner Citgo – a crown jewel among Venezuela's assets. Despite D.C.’s weak logic and wishful premise, it could muck up the case. There may be broader damage, too.

China’s Huawei holds a 5G trump card

27 Jul 2020

The telecom kit maker’s stack of next-gen wireless patents will be essential as a global standard for 5G emerges. So even as Vodafone and others ditch Huawei hardware, they might end up licensing its intellectual property, and doing so on Chinese terms. That could be punishing.

“America First” mantra is here to stay

22 Jul 2020

President Donald Trump says election rival Joe Biden’s $700 bln "Buy American" plan is policy plagiarism. Both are running partly as economic nationalists. Biden would repair international relations, but he's no fan of globalized supply chains or unfettered trade.

Corona Capital: Movies, Basketball, Tech optimism

21 Jul 2020

Concise views on the pandemic’s corporate and financial fallout: Warner Bros’ indefinite delay of its blockbuster movie “Tenet” spells bad news for the industry; healthy players and good social-media stats give the NBA a boost; Silicon Valley shows a hint of pessimism.

Huawei might starve overseas before it sells

20 Jul 2020

The Chinese telecoms kit maker is under renewed attack from Downing Street to Washington. Founder Ren Zhengfei has mulled divesting intellectual property, but buyers for that, or for overseas handset or network units, are few. Nor will Beijing permit a sale that looks like defeat.

Apple and peers could lose “when in China” shield

16 Jul 2020

The iPhone maker is one of many firms that tailors products to suit China’s demands, recently deleting an app used by Hong Kong protesters. Such decisions could soon be treated by U.S. authorities as foreign lobbying. That would curtail a delicate – and profitable – dance.

Viewsroom: Wall Street, Huawei, Chinese taxpayers

16 Jul 2020

Investment bankers have had a very nice lockdown indeed, says U.S. Editor John Foley. British Prime Minister Boris Johnson backtracks on 5G, delivering his pal Donald Trump a tech victory against China. Meantime President Xi Jinping takes some unusual tax pointers from Uncle Sam.

OPEC maintains illusion of control over oil price

15 Jul 2020

The producer group and allies stuck to plans to hike output, after coordinating a huge cut in April. While that will soothe jittery oil traders, a second virus wave would ruin the calm. And the more prices rise, the harder it will be to stop members pumping what they like.