SwedCham China Insights for the Week of February 9 - February 23 , 2024

Top news of the week:

China’s top legislature schedules session for late February

February 9, 2024

The Standing Committee of the 14th National People’s Congress will hold its eighth session in Beijing on February 26 and 27 to prepare the upcoming “Two Sessions”. This decision was made during a meeting of the Council of Chairpersons of the NPC Standing Committee, which was presided over by Zhao Leji, chairman of the standing committee.

Xi delivers speech at Spring Festival reception, extending festive greetings to all Chinese

February 10, 2024

On the Spring Festival reception for the year of 2024 held on February 8, President Xi Jinping delivered a speech and extended Spring Festival greetings to the Chinese people of all ethnic groups, compatriots in the Hong Kong SAR, the Macao SAR and Taiwan, as well as overseas Chinese.

China’s industrial enterprises register steady recovery in 2023

February 11, 2024

China’s industrial enterprises saw a steady recovery in 2023 and their combined revenues increased for a fifth straight month, official data showed. Last year, revenues of major industrial firms with annual main business revenue of at least 20 million yuan (about USD$2.82 million) went up 1.1 percent year on year, according to the National Bureau of Statistics (NBS).

China new bank loans in Jan hit record high on policy support

February 12, 2024

Banks extended 4.92 trillion yuan (USD$683.7 billion) in new yuan loans in January, hitting a record high, up sharply from December and beating analysts’ expectations, data from the People’s Bank of China (PBOC) showed.

Ukraine crisis: Chinese envoy calls to reflect on Minsk agreement

February 13, 2024

On February 12, China’s permanent representative to the United Nations, Zhang Jun, called on all parties concerned to reflect on the current situation of the Ukraine crisis after the new Minsk agreement signed in 2015, calling to resolve the conflict through dialogue and consultation.

China urges Israel to halt military operations in Rafah, warns of ‘serious humanitarian disaster’

February 14, 2024

China urged Israel to stop its military operation as soon as possible and make every effort to avoid innocent civilian casualties, so as to prevent a more serious humanitarian disaster in the Rafah area (the southern Gaza border city), the spokesperson of the Ministry of Foreign Affairs said.

China to further promote energy conservation

February 15, 2024

China is set to formulate a plan this year aimed at enhancing energy conservation practices in central and state organs from 2025 to 2030, according to the National Government Offices Administration. The plan will prioritize key areas such as optimizing the energy consumption structure of public institutions, reducing fossil fuel consumption, and advancing new energy and technologies.

China, U.S. top diplomats hold ‘constructive’ talks on issues dividing them

February 16, 2024

Top diplomats from China and the U.S. held a “candid and constructive” discussion on February 16 on issues vexing their strained relations over Taiwan, the situation in the South China Sea, Russia’s war against Ukraine, and synthetic opioids.

China, EU should further advance comprehensive strategic partnership: Wang Yi

February 17, 2024

As the major stabilizing forces of the world, China and the European Union (EU) should work together to address global challenges amid the increasingly turbulent international situation, Foreign Minister Wang Yi said on February 17. Wang made the remarks while meeting EU High Representative for Foreign Affairs and Security Policy Josep Borrell on the sidelines of the Munich Security Conference.

China’s State Council discusses draft government work report

February 18, 2024

China’s State Council convened a plenary meeting to discuss a draft government work report on February 18. The document will be deliberated at the top legislature’s annual session in March. Premier Li Qiang presided over the plenary meeting.

China’s police chief calls for cooperation with U.S. on law enforcement

February 19, 2024

Chinese State Councillor and Minister of Public Security Wang Xiaohong called for mutual respect and cooperation with the U.S. on international law enforcement, including drug control, during his meeting with U.S. Homeland Security Secretary Alejandro Mayorkas in Vienna on February 18 (local time).

CSRC holds over 10 meetings with market players, experts over 2 days

February 20, 2024

On February 18 and 19, China Securities Regulatory Commission (CSRC), led by its newly appointed chairman, held more than 10 back-to-back meetings with a wide range of market participants to solicit suggestions on regulations, risk prevention and high-quality development. Wu Qing, the newly appointed CSRC chairman, and other officials of the regulator separately chaired the meetings.

MIIT releases standard system for carbon peak and neutrality in the industrial sector

February 21, 2024

On February 21, Ministry of Industry and Information Technology (MIIT) published guidelines for the construction of carbon peak and neutrality standard system in the industrial sector. The guideline puts forward a series of targets by 2025 and 2030. It also plans the framework and key areas for carbon peak and neutrality in the industrial sector.

China starts drafting of law to promote private sector

February 22, 2024

China started the drafting of a law for the promotion of the private economy and the legislative process will be accelerated, in a bid to put into practice the requirement for equal treatment of state-owned enterprises and private enterprises in the legal system, China Media Group reported.

Crack down on abnormal trading does not restrict selling, Says China’s securities watchdog

February 23, 2024

On February 22, China Securities Regulatory Commission (CSRC) said that the regulatory measures taken by the Shanghai and Shenzhen stock exchanges against abnormal trading behaviour aim to fulfil the responsibility of trading supervision, not to restrict selling. CSRC made the comment at a press briefing in response to media reports about the selling ban.

Insight of the week:

During the Spring Festival from February 10 to 17, fresh momentum has been injected into the consumption drive of the world’s second-largest economy, as highlighted by various data.

Chinese people made 13.52 million cross-border trips during the Spring Festival, nearly 90 percent of the level in 2019 before the COVID-19 pandemic, according to the National Immigration Administration. 474 million domestic passenger trips were made during the holiday, up 34.3 percent year-on-year, according to the Ministry of Culture and Tourism. Its corresponding tourism revenue came up to 632.69 billion yuan (USD$87.95 billion), a year-on-year increase of 47.3 percent. Compared to the 2019 Spring Festival holiday, domestic tourism spending rose 7.7% and domestic trips increased 19%, according to the ministry’s data. But the holiday in 2024 lasted for eight days, one day more than the Spring Festival break in 2019. The ministry did not give a breakdown of the tourism spending per trip, but according to Reuters calculations based on the ministry data, average spending per trip during the holiday this year reached 1,335 yuan, down 9.5% from 1,475 yuan per trip in 2019. Analysts at Goldman Sachs said in a note that domestic tourism data during the Spring Festival improved from the New Year’s holiday earlier this year and the National Day Golden Week last October, but tourism revenue per head softened and remained below the pre-pandemic level.

China’s box office revenue during the eight-day holiday exceeded 8 billion yuan, hitting a new record for the holiday period, according to preliminary statistics from the National Film Administration.