Von der Leyen and Macron in China + Alibaba splits into 6 companies + China blocks foreign users from database

The meeting of EU Commission President Ursula von der Leyen with China's President Xi Jinping has just wrapped up in Beijing. France's President Emmanuel Macron, who travelled together with von der Leyen, will continue to Guangzhou, accompanied by a large business delegation.

Just one week ago, von der Leyen gave her first major speech on EU China policy at an event co-hosted by MERICS. Has her trip brought any progress to the desired new balance in relations with China? Von der Leyen wants to focus on “de-risking” in dealing with the emerging world power, but wants to keep channels open for cooperation in selected areas.

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In our latest issue of the MERICS China Essentials Brief, analyst Grzegorz Stec points out that “European capitals may be reluctant to follow von der Leyen’s lead at a time when many national leaders seek to revive commercial and diplomatic ties with China. A common European position is badly needed, and the Commission President will have to try to build a consensus behind her de-risking proposal.” Read more

Alibaba splits into six to navigate tech sector’s new politics and regulation

MERICS expert Jacob Gunter comments: “Breaking up Alibaba Group’s core lines of business could be an effective way to isolate different parts of the company from each other to make regulatory and political compliance easier, especially for the less sensitive entities. We can expect other tech giants to also try novel strategies to navigate the new era they’re operating in.”?Read more

China locks foreigners out of databases, raising worries for researchers

MERICS analyst Vincent Brussee says: “Under Xi’s ‘securitization of everything’, information, too, has become a matter of national security. Some of the sources have provided a glimpse into still rich and pluralistic academic debates in China. Ultimately, the trend is clear: global stakeholders will have to face more important decisions about China with less access to key information.” Read more

China pushes back against US export controls

Commenting on Beijing's action against US chipmaker Micron, MERICS expert Antonia Hmaidi said: “Foreign firms operating in China face mounting pressure from increasing international tensions. With the thin pretext of cybersecurity review, China signals to the US and its allies that it has means of pushing back against export controls, with carefully selected targets.” Read more

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