China Digest (28 April – 4 May, 2025)
Esha Banerji, Research Assistant, VIF
India-China Relations
Electronics Imports from China Under Watch; But No Surge in Shipments

Recent data shows a decline in electronics exports from China to India and the US in January and February, easing concerns of an import surge. Chinese shipments to the US dropped from $10 billion in January to $6 billion in February, while exports to India remained steady at $1.8 billion. An Indian government panel continues to monitor electronics and other key imports amid fears that ASEAN countries could act as proxies for China following new US tariffs. No significant surge has been detected yet, though the full impact of the tariffs is expected in the coming months. Click here to read...

Geopolitical and Diplomatic Developments
China and Gabon Vow to Deepen Strategic Cooperation

During a meeting in Libreville on May 4, 2025, Chinese President Xi Jinping’s special envoy Mu Hong met with Gabonese President Brice Clotaire Oligui Nguema following the latter’s inauguration. Mu conveyed Xi's greetings and expressed China's desire to strengthen its comprehensive strategic cooperative partnership with Gabon. Both sides reaffirmed their traditional friendship, with Gabon pledging continued support for the one-China principle and closer collaboration across various sectors. Click here to read...

China-Japan Tensions Rise After Nationalist Plane Flies Over Disputed Diaoyu Islands

A diplomatic row has erupted between China and Japan after a civilian plane, allegedly piloted by Japanese ultranationalist activists, flew over the Diaoyu Islands (Senkakus in Japan) on May 3. China claims the aircraft violated its airspace and responded by dispatching a helicopter. Beijing lodged formal protests with Tokyo, warning of countermeasures, while Japan responded with its own protest, citing violations of its territorial waters and airspace by Chinese coastguard vessels and a helicopter. The long-standing territorial dispute over the resource-rich islands has intensified, with increased Chinese patrols and repeated encounters in the contested waters. Click here to read...

China’s US Envoy Slams Tariffs, Says Beijing Won’t Be Intimidated

Chinese ambassador to the US, Xie Feng, stated that China does not seek conflict but will not be “intimidated,” criticizing Washington’s tariff policy during the Chinese embassy’s annual open day in Washington. He emphasized that tariffs harm global growth and reiterated Beijing’s stance that it did not initiate the trade war. Xie called for dialogue based on equality and mutual respect, while China’s commerce ministry acknowledged US attempts to restart talks, insisting they hinge on tariff removal. As both countries face economic slowdowns, they have begun exempting some goods from tariffs, with Beijing also reportedly considering addressing US concerns over fentanyl-related exports. Click here to read...

Military and Security Updates
China Reveals Specs of Type 094 Nuclear Submarine for First Time

China has disclosed specifications of its Type 094 nuclear-powered ballistic missile submarine for the first time during the PLA Navy’s 76th anniversary open day. The submarine has a submerged displacement of 11,000 tonnes, a top speed of 30 knots, and can operate at a depth of 400 meters. Armed with JL-2 ballistic missiles (range ~7,000 km), it forms part of China's sea-based nuclear deterrent. The newer Type 094A version is quieter and carries JL-3 missiles (range >10,000 km), while development of the next-generation Type 096 is underway and expected to feature even more advanced capabilities. Click here to read...

China’s Military Says Anti-Corruption Drive Prepares PLA for War

China’s military has linked its intensifying anti-corruption campaign to combat readiness, saying such political “rectification” has historically preceded major wars like the Second Sino-Japanese War and the Korean War. The leadership emphasized rooting out corruption and enforcing loyalty to prepare the People’s Liberation Army (PLA) for potential conflict. The commentary comes amid a string of high-level dismissals, including Central Military Commission members Miao Hua and Li Shangfu. The PLA aims to become a “fully modern army” by 2027, and “world-class” by 2050, but faces internal political and organizational challenges in meeting these goals. Click here to read...

Economic and Trade Trends
China’s “Green-Collar” Workforce Expands with Surge in Low-Carbon Jobs

China is witnessing rapid growth in “green-collar” jobs as part of its broader push for sustainable development. On Shanghai’s Changxing Island, new roles like energy storage maintenance and carbon capture technicians are emerging alongside traditional industries. As of late 2024, China officially recognized 137 green professions, employing over 3.4 million people in ecological and environmental sectors. Universities are adapting by offering interdisciplinary programs in fields like carbon neutrality and green finance. However, industry experts stress the need for standardized certifications and vocational training to fully professionalize this new workforce. Click here to read...

Temu Shifts to U.S. Sellers to Sidestep Trump’s Tariffs

Chinese-owned e-commerce platform Temu is abandoning its China-based import model in favour of a “local fulfilment” approach, selling only U.S.-sourced goods to American customers. The move aims to avoid steep tariffs imposed by President Trump, especially after the removal of the de minimis exemption for small parcels. Temu is now recruiting U.S. merchants to maintain low prices and improve service, as rival platforms like Shein and Alibaba also struggle with rising import costs. The shift highlights mounting pressure on global retailers to adapt to a protectionist U.S. trade environment. Click here to read...

Technology and Innovation
China’s 84-Year-Old Power Grid Expert Signs Up for Space Travel

Li Licheng, an 84-year-old Chinese engineering legend, has booked a seat on a commercial spaceflight slated for 2028, becoming the oldest Chinese civilian to sign up for space tourism. The veteran power grid expert, known for pioneering China’s ultra-high voltage transmission projects, plans to go to space three times before he turns 89. His participation with Beijing Interstellar Human Spaceflight, China’s first commercial crewed spaceflight firm, marks a symbolic leap for the country's emerging private space tourism industry—still trailing behind U.S. companies like Blue Origin. Click here to read...

China’s Weather Modification Test Creates 30 Olympic Pools of Rain in Xinjiang

Chinese scientists have used drones to release silver iodide over Xinjiang, boosting rainfall by over 4% across 8,000 square kilometres in just one day. The operation generated 70,000 cubic meters of additional rain, enough to fill 30 Olympic swimming pools, using only 1 kilogram of silver iodide. The success of the experiment demonstrates China’s advanced use of drone technology in cloud seeding, providing a potential solution for regions facing drought and desertification. Click here to read...

Internal Politics and Policy Shifts
9 Dead, 70 Hospitalised After 4 Boats Capsize in Southwest China

More than 80 people fell into the Liuchong River in southwestern China when four tourist boats capsized on Sunday afternoon. The incident occurred in Qianxi city, Guizhou province. Nine people were confirmed dead, and 70 others were hospitalised, with one person still missing as of Sunday evening. A tourist on a non-capsized boat reported a sudden change in weather, including heavy rain and mist on the water’s surface. The China Meteorological Administration had forecast heavy downpours for southwestern and southern China, including Guizhou and Guangxi Zhuang autonomous region.

Rescue operations are ongoing, with local authorities focusing on finding the missing person. Chinese President Xi Jinping has urged “all-out efforts” in the search and rescue operations, as well as in treating the injured. This incident follows a similar boat tragedy in Guizhou in December, where eight people were killed. Click here to read...

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