This episode contains segments on:

• China’s price indices in June;
• State Council’s action plan to improve government procurement;
• Guideline to prevent financial fraud in the capital market;
• China Climate Change Blue Book 2024.

Also, listeners are invited to join an event online or in Beijing on 23rd July on the impact of the French elections on France’s China policy and EU’s relationship with China.

Contact:

We’d love to hear your feedback. Contact us at website@europeanchamber.com.cn.

Follow the European Chamber on LinkedIn, Twitter, WeChat (europeanchamber), and sign up for our newsletter here, to get notified on new episodes.

Read more:

China price indices, June (NBS)

https://www.stats.gov.cn/sj/zxfb/202407/t20240710_1955509.html

https://www.stats.gov.cn/sj/zxfb/202407/t20240710_1955508.html

State Council’s action plan to improve government procurement

https://english.www.gov.cn/policies/latestreleases/202407/04/content_WS66866f3cc6d0868f4e8e8dc1.html

New guideline to prevent financial fraud in the capital market

https://english.www.gov.cn/policies/latestreleases/202407/05/content_WS6687cd66c6d0868f4e8e8e92.html

China Climate Change Blue Book 2024

https://www.cma.gov.cn/2011xwzx/2011xqxxw/2011xqxyw/202407/t20240705_6400897.html

European Chamber event: The Impact of French Elections 2024 – Navigating Shifts in EU-China Ties

https://www.europeanchamber.com.cn/en/upcoming-events/26326/_Hybrid_The_Impact_of_French_Elections_2024_Navigating_Shifts_in_EU_China_Ties

Transcript:

RUI: Hello and welcome to China ShortCuts,

MARIANN: the European Chamber’s weekly catchup on China’s business landscape.

RUI: This episode was recorded on 10^th July 2024.

(MUSIC)

RUI: The year-on-year drop in China’s producer prices slowed further in June, while consumer prices continued to increase at a subdued pace, according to data released by the statistics bureau on 10^th July.

MARIANN: Prices producers charge their customers fell 0.8 per cent in June compared to the same period last year. This was the lowest rate of decrease recorded since January 2023. In the first half of 2024, producer prices dropped 2.1 per cent year-on-year. Consumer prices edged up 0.2 per cent in June from the same period last year. The slight increase was largely prompted by a rise in prices of services and non-food consumer goods, as food prices continued to fall. In the first half of the year, consumer prices dipped 0.1 per cent below the level recorded in the first six months of 2023.

(MUSIC)

RUI: On 4^th July, China’s State Council issued an action plan to improve government procurement processes, by establishing standards to ensure a level playing field for domestically produced products regardless of the company’s ownership structure.

MARIANN: The plan is aimed at addressing and resolving major existing problems, such as the application of discriminatory terms, bid-rigging and arbitrary charges within the next three years. The State Council called for relevant laws and regulations to be further improved to align with international rules, including the World Trade Organization’s Government Procurement Agreement.

RUI: A lack of fair access to government procurement in China has been a longstanding issue for European companies operating in the country. Medical device procurement has been a key advocacy topic for the European Chamber’s Healthcare Equipment Working Group since the launch of the China Manufacturing 2025 initiative in 2015, which included market share targets for domestic high-end medical devices. In April, the EU launched an investigation into medical device procurement in China, seeking to address EU companies’ concerns.

(MUSIC)

RUI: On 5^th July, six of China’s national institutions, including two ministries, the People’s Bank of China and the State Council, jointly issued a guideline to further prevent financial fraud in the capital market.

MARIANN: The guideline sets serious punishments for fraudulent issuance of stocks and bonds and calls for tackling systematic and coordinated fraud. The document is also aimed at improving coordination between ministries and central and local authorities for better market supervision and enforcement of relevant laws and regulations.

(MUSIC)

RUI: On 4^th July, China’s meteorological administration released the China Climate Change Blue Book 2024, which recorded historic highs in the country’s average temperatures in 2023.

MARIANN: 2023 was the warmest year globally, since meteorological observations began in 1850. In China, the annual average surface temperature was 0.8 Celsius degrees higher than normal, making last year the warmest since 1901. The Blue Book observes that extreme high temperatures and heavy precipitation tend to be both more frequent and more intense in China, with extreme low temperatures generally showing the opposite trend.

China has been grappling with extreme weather events in recent months too, with several central and southern provinces inundated with floods, while heat waves have been exacerbating droughts in the country’s northern regions.

(MUSIC)

RUI: As the European parliamentary elections yielded a setback for the French government, French President Emmanuel Macron dissolved the country’s parliament and called for snap elections to be held in June.

MARIANN: With France playing a pivotal role in EU agenda-setting, its domestic political landscape can significantly influence the bloc’s stance on international affairs, trade policies, and strategic partnerships.

RUI: Join us on 23^rd July online or in person in Beijing to find out how the different electoral outcomes will shape France’s China policy. Find out how experts assess the potential impact of the French elections on EU trade, competition, industrial, foreign and security policies, particularly in relation to China.

(MUSIC)

MARIANN: Thanks for listening, and don’t forget to tune in again next week.

RUI: In the meantime, please find useful links in the episode notes.