CX Daily: How the Balance of Power Over Ukraine Shattered Overnight

Russia-Ukraine /

In Depth: How the balance of power over Ukraine shattered overnight

On Monday evening in Moscow, Russian President Vladimir Putin made his country’s strongest move on Ukraine since the annexation of the Crimean Peninsula in 2014 by recognizing the independence of two separatist regions in eastern Ukraine that were established by pro-Russian forces.

Since 2014, the “Donetsk People’s Republic” and “Luhansk People’s Republic” have occupied nearly half of Ukraine’s easternmost Donetsk and Luhansk regions, where the Ukrainian government in Kyiv has lost control. Until this week, however, no country in the world, including Russia, had ever recognized their legitimacy.

On Monday afternoon, Putin convened an expanded meeting of the Russian Federation Security Council after the leaders of the pro-Russian forces of the two regions asked their neighbor to grant them legal recognition. Putin also signed a mutual aid treaty between Russia and the two “people’s republics” and authorized Russian troops to cross the border into areas controlled by local pro-Russian forces to “maintain peace.”

Opinion: China must navigate Ukraine crisis with extra caution

Wang Shuo: How Putin Is Taking Slices of the West’s Sausage in Ukraine

Covid-19 /

Hong Kong can stock up on anti-Covid drugs to tackle omicron outbreak, top infectious disease expert says

China’s top infectious disease expert Zhong Nanshan urged Hong Kong authorities to “put people’s lives and health first” in a Cantonese video message, where he shared recommendations for Hong Kong to contain its latest outbreak, including reserving anti-Covid drugs such as U.S. pharmaceutical giant Pfizer Inc.’s oral pill Paxlovid.

Hong Kong residents are facing the city’s worst-ever Covid-19 outbreak, which has overwhelmed its health-care system and led the government to impose its toughest social-distancing rules.

Zhang Wenhong: Beijing Winter Olympics sets perfect example for how to bring people together amid pandemic

Covid may cut sperm count and sex drive, study finds

FINANCE & ECONOMY

ByteDance’s Shanghai headquarters on Jan. 6. Photo: VCG

ByteDance /

ByteDance looks to exit securities business as fintech rules tighten

TikTok owner ByteDance Ltd. is set to sell or shut down all of its securities businesses amid the tightening regulatory environment for Chinese internet giants’ financial operations, Caixin learned.

A ByteDance subsidiary agreed to sell 100% of its stake in Beijing Wenxing Online Technology Co. Ltd. to Chinalin Securities Co. Ltd. for 20 million yuan ($3.16 million), according to a filing released by Chinalin Securities on Monday.

Wenxing is the operator of Dolphin Stock (海豚股票), an app that provides stock market data and news. Chinalin Securities plans to register Wenxing as a subsidiary that provides information technology services, the securities firm said.

Pension /

China expands private pension pilot program

A pilot program to grow the individual private pensions market, which was rolled out last year in two provincial-level regions, will be expanded to the whole country starting March 1 and will allow pension insurance companies to participate for the first time, the China Banking and Insurance Regulatory Commission (CBIRC) said.

The “special commercial pension insurance” program started in East China’s Zhejiang province and the southwestern municipality of Chongqing on June 1, 2021. It allows individuals to set up their own private pension accounts with insurers, which invest the funds on their behalf. They can start taking money out after they turn 60.

Real estate /

Chinese banks cut mortgage rates in bid to boost demand

Banks continued to lower mortgage rates in February, and fewer Chinese cities reported a drop in housing prices in January, signs that an easing of policy curbs aimed at propping up the market is having an effect.

Mainstream mortgage rates for new and pre-owned housing in 103 surveyed cities each dropped by 9 basis points from last month to 5.47% for new units and 5.75% for pre-owned in February, according to data compiled by the Beike Research Institute, a property think tank. A basis point is a hundredth of a percentage point. Banks have also accelerated mortgage approvals, the institute said Monday.

Quick hits /

China vows to contain bond default risks, deepen reforms

BUSINESS & TECH

Three cans of Abbott powdered milk sit on display at the 4th China International Import Expo in Shanghai in November 2021. Photo: VCG

Milk powder /

China warns consumers about contaminated U.S.-made infant milk powder

China warned that several powdered baby milk products made by Abbott Laboratories may be contaminated with dangerous bacteria after American authorities began an investigation into the U.S. company.

The General Administration of Customs (GAC) said in a Sunday statement (link in Chinese) that Abbott products including its Similac, Alimentum and EleCare powdered formula brands shouldn’t be bought or consumed. The statement said none of these products entered China via “general trade.”

General trade refers to exports and imports by licensed domestic enterprises. However, in recent years there has been a rise in cross-border e-commerce platforms that sell overseas products. The GAC mentioned one cross-border e-commerce platform in particular, haitao.com.

Evergrande /

Evergrande chairman maintains commitment to soccer club

Embattled China Evergrande Group is still committed to its money-losing soccer business, according to Chairman Hui Ka Yan.

The debt-laden property developer’s chief, known in Mandarin as Xu Jiayin, vowed to continue in the soccer business and build the Guangzhou Evergrande Football Club as a “cradle and platform.” He made the comment Saturday at a soccer management meeting, Caixin learned.

Corruption /

Graft probe into grains ensnares 27 officials in East China

Authorities in East China’s Zhejiang province are probing dozens of people for misconduct related to grain purchase and sale as graft busters across the country step up efforts to stamp out corruption among grain officials and state enterprise representatives.

Anti-graft agencies in the province have placed 27 people in the local agricultural system under investigation since the beginning of this year, eight of whom turned themselves in, according to an article (link in Chinese) released by the Central Commission for Discipline Inspection (CCDI) and the National Supervisory Commission.

Quick hits /

Yango Group defaults on $657 million of bonds

Hong Kong bans flights from Amsterdam, Singapore

China signals coal reliance to continue with three new mines

Tech Insider /

ByteDance flees fintech, subsidy cut fails to dent NEV sales

Energy Insider /

China backs share sales by NEV companies

GALLERY

China’s internet gives Feb. 22 a little love

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