China’s top legislative body recently announced a debt swap plan that will relieve local governments from paying a total of RMB 12 trillion (USD 1.66 trillion) of off-balance sheet debt.
Former president and now President-elect Donald Trump’s resounding victory will have serious implications for US companies doing business in China.
China’s new Export Control Regulations on Dual-Use Items, released in October, grant the Chinese government the authority to require a license to export certain covered products, technologies, and services that are found in, or can be used to produce, certain chemical, biological, missile, and nuclear items.
On September 26, the US Department of Commerce’s Bureau of Industry and Security (BIS) issued a proposed rule on securing the information and communications technology and services (ICTS) supply chain for connected vehicles (CVs). The proposed rule would prohibit several types of ICTS transactions, most notably the import of Chinese CVs and certain hardware absent an authorization from BIS.
Data released by the National Bureau of Statistics on October 18 reveals that China’s GDP grew by 4.6 percent in the third quarter of the year, the slowest pace since early 2023.
On September 30, China’s State Council released its finalized Network Data Security Management Regulations, set to take effect on January 1, 2025. The regulations are now the highest-level administrative guidance for implementing the Cybersecurity Law, the Data Security Law, and the Personal Information Protection Law.
Today, USCBC submitted comments to the Bureau of Industry Security (BIS) at the Department of Commerce regarding proposed rules on military, military support, intelligence, and foreign security end users. USCBC is supportive of efforts to protect national security, but the Council is concerned that these rules will harm trade in many non-sensitive sectors and potentially result in commercial decoupling with China.
At a tech conference last month, Minister of Industry and Information Technology (MIIT) Jin Zhuanglong praised the advancement of China’s domestically-developed software, AI, and associated technologies. He promised to expand government support for the ecosystem as part of China’s xinchuang—or innovation technology application innovation (ITAI)—initiative.
US and Chinese officials convened in early September in Tianjin, China for the second US-China Commercial Issues Working Group (CIWG), marking another step in the iterative process of addressing commercial concerns between the two countries.
As tariffs and other trade restrictions between the United States and China continue to rise, US policymakers are flagging a related trend: an increased manufacturing presence of Chinese firms in third countries—particularly in Mexico and Vietnam. Some accuse these firms of deliberate “country hopping” to skirt US tariffs on imports from China and enter the US market at lower tariff rates.
