Newsletter 139 - November 6, 2022
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Welcome to the 139th edition of Trade War.
International bankers gather in Hong Kong; despite the facts, they say they’re bullish on China and don’t read the international media. Chinese investment banks to cut salaries under Common Prosperity pressure from Beijing. Covid easing rumors — eventually proven false — and signs of progress on U.S.-China audit deal send Chinese stocks soaring.
World’s largest iPhone factory goes into lockdown as workers flee. ‘Closed loop’ pandemic production model under stress as international brands risk damaged reputations for mistreating migrants. Foxconn ups wages to try to keep Chinese workers while Apple supplier Wistron begins iPhone 14 production in India.
U.S.-China tech war fuels Xi’s self-reliance goals and aim to put Beijing on fighting footing. American chip equipment firms may ‘bleed out market share’ as Dutch and Japanese competitors sell to China. German leader’s visit gets some concessions but also gives Xi huge face as he starts second decade in power.