Table.Briefing: China (English)

China expertise after EU election + Africa’s smartphone king from Shenzhen

Dear reader,

Today, the first EU citizens cast their votes on the future composition of the European Parliament. The larger parties, in particular, have pledged to increase their China expertise. The extent of China’s influence on the European Parliament has recently been highlighted by the espionage case involving AfD staffer Jian Guo, as well as investigative reports on the Dutch party NL Plan, which is allegedly funded by Beijing’s United Front.

Amelie Richter examined the actual state of China expertise on the EU candidate lists. Although the newly elected European Parliament will again have a China delegation, and there are indeed China and Taiwan experts among them, one thing is already clear: The gap left by Reinhard Buetikofer, the most prominent China expert in the European Parliament, will not be easily filled.

Zhu Zhaojiang, the founder of the smartphone company Transsion, knew he was too late for his home market. The Chinese mobile phone market was saturated, and the competition was too fierce. Instead, the manufacturer from Shenzhen took a bold step. He focused on less affluent markets, and with great success. Today, in the Global South and Africa, Transsion phones are the number one brand, more well-known than Apple and Samsung. Their growth rates are so remarkable that they already overshadow the Western competition in some international comparisons.

It’s not just the relatively low prices that have made this success possible, writes Joern Petring. Transsion smartphones are better adapted to local conditions than those of their competitors. For example, camera filters are optimized for darker skin tones and the batteries last longer. In countries that are regularly affected by power outages, this can be a real competitive advantage.

Your
Fabian Peltsch
Image of Fabian  Peltsch

Feature

EU elections: Where the China experts sit in the European Parliament

Starting today, the first EU citizens are heading to the polls to vote on the future composition of the European Parliament. The EU election begins in the Netherlands, while Germany will vote on Sunday. The future parliament needs to focus on developing expertise on China – there is a notable shortage of sinologists, at least on the German electoral lists.

“From a personnel perspective, there’s a significant gap in China expertise on the EU election lists,” says Marina Rudyak, a sinologist from Heidelberg University. “While dealing with the People’s Republic is a crucial issue for the EU’s future, it’s only partially reflected in the programs, not so much in the actual candidate lists.”

Foreign policy focus on Ukraine and Russia

Reinhard Buetikofer, the Green party’s European politician and the EU Parliament’s most prominent China expert, is not running for re-election. Sinologist Janka Oertel, Director of the Asia Program at the European Council on Foreign Relations, was not elected to the Greens’ European list. “I’ve noticed a general decline in Asian foreign policy expertise within the Greens,” says Rudyak.

There is Sergey Lagodinsky, another foreign policy expert, but his focus is on Russia and Ukraine. “The FDP’s Agnes Strack-Zimmermann also concentrates more on this region rather than on China and Asia.”

Rudyak points out a broader issue: “I think there’s a general lack of awareness about the urgency of the China issue. It’s assumed that no one outside the China bubble is interested.” In the election campaign, China mainly plays a role in economic security discussions, but only at a high EU level, such as in debates between the lead candidates. In Germany itself, there has been very little mention of China in the EU election campaign.

China delegation to reflect power balance in EU Parliament

The newly elected EU Parliament will have a China delegation again. These delegations are intended for interparliamentary exchanges with non-EU countries, which is particularly challenging in the case of China. Beijing had imposed sanctions on the previous chair of the China delegation, Green politician Buetikofer. The current delegation has 37 full members and 34 substitutes. Typically, the composition should reflect the power balance in the EU Parliament.

Besides Buetikofer, Greens members Henrike Hahn and Alexandra Geese were also part of the China delegation. Viola Cramon-Taubadel served as a human rights expert substitute. René Repasi from the SPD is the vice-chair of the China delegation, and his party colleague Thomas Rudner is a member. The German Liberals are represented by Moritz Koerner.

The CDU/CSU had three representatives in the delegation. However, two of them, Markus Pieper and Karolin Braunsberger-Reinhold, are not running in the 2024 EU election. CSU politician Monika Hohlmeier is on the list in Bavaria. The Left had a substitute member in the China delegation, Helmut Scholz. The AfD and Free Voters were not represented in the delegation.

Indirect China expertise for trade and Taiwan

The China issue indirectly involves multiple EU Parliament committees. Green politician Anna Cavazzini, for example, led the legislation on the EU Supply Chain Act. SPD European politician Bernd Lange was the chair of the powerful EU Trade Committee, which among other things, scrapped the investment agreement CAI and was responsible for trade tools like the Anti-Coercion Instrument against economic coercion. SPD politician Joachim Schuster, who is running again in Bremen/Bremerhaven where BYD regularly docks with its super freighters filled with e-cars, was also part of the committee.

CDU politicians Daniel Caspary and Michael Gahler have experience with China as well. Caspary was instrumental behind the International Procurement Instrument, first applied in the case of medical technology. Gahler chairs the EU Parliament’s Taiwan Friendship Group and was also sanctioned by Beijing in March 2021.

Friendship groups are not official EU Parliament bodies. A China Friendship Group was dissolved after a funding scandal. The Free Voters in the European Parliament have Engin Eroglu, who focuses on Uyghur rights in China.

AfD candidate Krah with direct Beijing connections

The party Volt does not significantly mention China in its current election program. The party did not respond to inquiries about whether its list includes candidates with China expertise. In 2020, Volt issued a China proposal.

As for the AfD, their candidate Maximilian Krah has been embroiled in several scandals, including allegations that his Chinese assistant was potentially spying for Beijing. Krah was a member of the trade committee until the end of January and sat on the USA delegation.

The satirical party “Die Partei” had its own China scandal a few years ago: Nico Semsrott left the party in 2021 after a racist tweet from party colleague Martin Sonneborn, who had used the stereotype that Asians cannot pronounce the letter “R” in a humorously intended tweet.

  • EU
  • EU Parliament
  • European election 2024
  • European policy
  • Uiguren

Transsion: Africa’s smartphone king from Shenzhen

Employees of Transsion in a factory in Narayanganj, Bangladesh.

Tecno, Itel, Infinix: These smartphone brands may be largely unknown in the West, but in Africa and increasingly in other regions of the global south, they are becoming more familiar to many people than Apple or Samsung.

Behind these devices stands Transsion, headquartered in Shenzhen, southern China. It’s also a name not commonly known in the West. However, in recent years, the company has secured a substantial share of the global smartphone market.

In the latest ranking of the world’s largest manufacturers by market observer IDC, Transsion ranked fourth behind Samsung, Apple and Xiaomi. The company’s growth rates are particularly impressive: From January to March, Samsung sold 60.1 million smartphones, a decrease of 0.7 percent compared to the previous year. Apple’s sales even dropped by 9.6 percent to 50.1 million iPhones. Xiaomi sold 40.8 million devices (+33.8 percent). But Transsion overshadowed all with an 84.5 percent growth and 28.5 million devices sold. Even with potentially lower future growth rates, the global smartphone crown seems within reach for the company.

Growth without benefiting from home market

It’s remarkable that Transsion, which was founded as Tecno Mobile in 2006, grew to its current size without benefiting from its massive home market. Founder Zhu Zhaojiang made a farsighted decision at that time: He realized it would be challenging to gain a foothold in the fiercely competitive Chinese market, where many companies were ready to start their smartphone production. Both Huawei and Oppo were preparing to launch their first devices then. Xiaomi followed a few years later.

The situation then is somewhat reminiscent of today’s electric car manufacturers in China. Too many companies are trying to establish themselves in the home market, making it difficult to operate profitably. Zhu Zhaojiang took a different path: He left the Chinese smartphone market untouched and instead specialized in affordable devices for the African market.

Market leader not just in Africa

In 2017, his company became the market leader on the continent for the first time and has since been known as the “smartphone king of Africa”. Since then, the market share in Africa has consistently been between 40 percent and 50 percent. Transsion has also been successfully expanding into the Middle East and South Asia, where it is a market leader in countries like Pakistan and Bangladesh. Transsion has established factories in Ethiopia, India and Bangladesh to produce and supply products for local markets.

The company gains an advantage by offering devices tailored to the needs of African customers, such as smartphones with cameras optimized for darker skin tones. Another technological feature that is particularly popular in Africa and South Asia is the dual-SIM functionality.

Hardware and software for local needs

This allows users to use two different SIM cards simultaneously, which is beneficial given the frequent network instability and varying tariff structures in these regions. Transsion has also invested in developing smartphones with longer battery life, which is crucial in areas where power outages are common and access to electricity can be limited.

In addition to hardware adaptations, Transsion has developed software solutions specifically for its markets. For instance, the Boomplay music app, tailored to the African market, offers local music content that caters to the users’ tastes. Similarly, the Scooper news app provides local and international news in a format relevant to local readers. Both apps have over 50 million monthly users.

  • Shenzhen
  • Smartphone
  • Technology

News

Carbon footprint: How China will calculate emissions of industrial products in the future

China has unveiled a new system for measuring and managing the carbon footprint of its industrial products. The new “Carbon Footprint Management System” will be overseen by the Ministry of Ecology and Environment and is scheduled to be implemented in 2027, according to a strategy paper released on Wednesday. It will establish standards for measuring the CO2 emissions of around 100 key products in the Chinese economy.

These standards will first apply to high-CO2-emission products such as coal and natural gas, as well as export products like steel, aluminum, lithium-ion batteries and electric vehicles. The Ministry of Ecology and Environment stated that it hopes to expand these guidelines to 200 products by 2030.

Just last week, the State Council presented a new action plan for emission reductions for the years 2024 and 2025. According to this plan, key industries, from steel production to transportation, are expected to reduce their CO2 emissions. The new footprint system complements these plans and, according to analysts, could play a crucial role in China’s efforts to reduce emissions in the manufacturing sector – thus helping to avoid trade conflicts and import tariffs under the EU’s forthcoming Carbon Border Adjustment Mechanism (CBAM).

This move indicates that China is working to catch up with EU legislation, which has already “established clear rules for measuring and disclosing the carbon footprint of products,” said Ma Jun, Director of the independent Institute of Public and Environmental Affairs in Beijing. “China is a latecomer in this regard, so there are still some gaps to fill,” Ma added. The CBAM is set to come into force in 2026. rtr/ck

  • CBAM
  • Climate policy
  • Climate protection

Nio: What the EV manufacturer plans with its third plant

Nio has been granted permission to construct a third factory, which will have the capacity to produce up to 600,000 vehicles, according to individuals familiar with the matter. If this new plant operates at full capacity, the company could potentially produce up to one million cars per year in total.

The new “F3” plant is located in the city of Huainan in the eastern province of Anhui. It will primarily produce vehicles for Nio’s newly introduced affordable car brand, Onvo, which was launched in May, the sources added.

China’s state planners have been cautious about approving plans for new EV production facilities due to concerns over overcapacity and declining demand since 2022. Nio told Reuters that the company does not have issues with overcapacity.

Nio informed Reuters that construction of the plant has already begun and that an initial capacity of 100,000 units is planned for single-shift operations. The company did not respond to questions about whether the capacity of the F3 plant would later be expanded to the theoretically possible 600,000 units. rtr

  • Industrie

‘Dual-use’ goods: How Moscow expresses solidarity with Beijing

On Wednesday, the Kremlin labeled a statement by US Treasury Secretary Janet Yellen as “blackmail”, after she warned that Washington would impose sanctions if China increased its exports of “dual-use” goods to Russia. Kremlin spokesperson Dmitry Peskov declared that Washington’s tone was entirely unacceptable and that Moscow stood in solidarity with Beijing. “We are fully aware that our Chinese counterparts do not accept such language, such messages and threats, this kind of blackmail,” Peskov told reporters. US politicians need to realize that one cannot speak to an economic superpower like China in this manner, he added.

The US claims that China is supporting Russia’s war efforts in Ukraine by supplying goods that can be used for both civilian and military purposes. “I have been extremely clear at the highest levels of the Chinese government that this is something we will not tolerate, and that we intend to sanction this activity,” Yellen said on Tuesday. rtr

  • Ukraine-Krieg

Solar manufacturer: Why Longi plans to shut down production lines abroad

Longi Green Energy Technology, the Chinese solar giant, is planning to shut down some production lines in its factories in Malaysia and Vietnam, according to the news magazine Caixin, which cited an employee of the company.

The primary reason is the expiration of a two-year tariff exemption that the United States granted to several Southeast Asian countries. This exemption, in place since 2022, applied to solar products imported into the US from Malaysia, Cambodia, Thailand and Vietnam. It aimed to help meet the US demand for these products. In contrast, imports of solar cells from China are subject to high tariffs. In mid-May, the US government decided to double the tariffs on solar cells imported from China from 25 to 50 percent.

Chinese companies have circumvented these high US tariffs by relocating their supply chains to Southeast Asian countries and exporting from there to the US. This strategy is also used by companies in other industries.

When asked by Caixin about the production cuts, Longi stated that the company had “adjusted” its production plans at some locations due to operational challenges such as changes in product prices and trade policies. jul

  • Handelsstreit

Heads

The key players of the China scene – NGOs


Kai Mueller – Executive Director of the International Campaign for Tibet (ICT) Germany

Kai Mueller has been active in various human rights organizations for over 20 years. Since 2005, he has served as the Executive Director of the International Campaign for Tibet in Germany. He coordinates and directs advocacy projects at both national and international levels. As an expert witness, he informs the German Bundestag about Chinese human rights abuses. As a lobbyist, he advocates for the Tibetan people’s rights in various United Nations bodies.

Tenzyn Zoechbauer – Executive Director of the Tibet Initiative Germany e.V.

Tenzyn Zoechbauer, whose mother is Tibetan, was born in Vienna in 1991. She is frequently seen at protest events advocating for a self-determined Tibet and denouncing Chinese government influence while showing solidarity with civil society actors in China, such as the White Paper protests by young Chinese in December 2022. Zoechbauer’s grandmother fled Tibet in the early 1960s. Zoechbauer herself hopes to one day visit Tibet as a free country.

Glacier Kwong – Activist

Glacier Chung Ching Kwong became the face of the Hong Kong protest movement in Germany in 2019. Alongside prominent Hong Kong activist Joshua Wong, she sought support at places like Berlin’s Humboldt University and the Federal Press Conference. Kwong now works as a lead analyst at the Inter-Parliamentary Alliance on China, focusing on surveillance and digital resistance. She is a doctoral candidate in law at the University of Hamburg and a former spokesperson for Hong Kong’s internet rights group Keyboard Frontline.

Ray Wong – Chair of Freedom for Hong Kong e.V.

Ray Wong Toi-yeung is a democracy activist from Hong Kong and an advisor for the NGO Hong Kong Watch. In 2015, he founded the political group “Hong Kong Indigenous” in his hometown, which became one of the leading parties in Hong Kong’s pro-democracy movement. In 2016, Wong was imprisoned for his political activism and faced up to ten years in prison. He fled Hong Kong in 2017 and was granted asylum in Germany the following year. He currently lives and studies in Goettingen.

Nora Sausmikat – Head of China Desk Urgewald

Nora Sausmikat was a foreign student in China during the Tiananmen Square crackdown, an experience that deeply influenced her. She soon dedicated herself to political research on participation and memory culture in China. Sausmikat helped establish the China Program at the Asienhaus Foundation and developed an exchange program between European and Chinese NGOs. Since 2019, she has led the China Desk at the environmental and human rights organization Urgewald, based in Sassenberg, Westphalia.

Li Shuo – Director of the climate hub at the Asia society

Li Shuo is a senior policy advisor for Greenpeace East Asia, focusing on air pollution, energy policy, water and biodiversity. Li joined Greenpeace in 2011, one of the largest international NGOs in China. Educated in Nanjing and Washington, Li negotiates multilateral environmental agreements for the organization, including the United Nations Framework Convention on Climate Change (UNFCCC) and the Convention on Biological Diversity (CBD).

Sandra Schulze – Managing Director at Bildungsnetzwerk China gGmbH

As the new managing director of the Educational Network China, Sandra Schulze aims to increase China expertise in Germany, especially in schools. Previously, she was the Area Manager for China at Berlin Partner for Business and Technology. Schulze studied Chinese at Beijing Foreign Studies University and is an alumna of “Zukunftsbruecke – Chinese-German Young Professional Campus”. She lived in China for several years as a child.

Hanno Schedler – Consultant at the Society for Threatened Peoples (STP)

Hanno Schedler advocates for the rights of religious, linguistic and ethnic minorities. Since 2008, in the Department of Genocide Prevention and Responsibility to Protect at GfbV, he has focused on Chinese human rights violations in Tibet and Xinjiang. Schedler highlights the responsibilities of German companies at shareholder meetings and informs the Federal Press Conference about the situation of the Uyghurs. He studied political science, sociology and sinology in Trier and Rennes, France.

Haiyuer Kuerban – Director of the Berlin Office of the World Uyghur Congress

The 40-year-old gives a face to the tragic plight of the Uyghurs in Xinjiang through his political engagement. As the director of the Berlin office of the World Uyghur Congress, Kuerban coordinates the activities of about 30 organizations advocating for Uyghur rights. He conducts public relations and lobbying work for his people, who are silenced in China. Kuerban discusses human rights violations by the Chinese government with politicians and the media. Many of his close family members still live in Xinjiang and are subjected to Chinese repression, like millions of others.

Joachim Glatter – President of the German-Chinese Lawyers Association

As the president of the DCJV, Joachim Glatter promotes knowledge of Chinese law in Germany and German law in China, fostering academic exchange between lawyers from both countries. Glatter has 25 years of experience advising multinational and mid-sized companies on Chinese foreign investment and trade law, as well as arbitration in China. He is a listed mediator for the China International Economic and Trade Arbitration Commission (CIETAC) and the Shanghai International Arbitration Center (SHIAC). Until the end of 2014, he was a partner in several large international law firms.

  • Tibet
  • UNFCCC

Executive Moves

Wang Wenbin, the spokesperson for the Ministry of Foreign Affairs, is to become China’s ambassador to Cambodia. The 53-year-old has worked in diplomatic missions for more than 30 years, primarily in the field of political planning and affairs in African countries such as Senegal, Cameroon and Mauritius. From 2018 to 2020, Wang served as ambassador to Tunisia. From July 2020 to May 2024, he served as the 32nd Spokesperson of the Ministry of Foreign Affairs.

Raymond Greene will be the new US representative at the American Institute in Taiwan, which acts as a de facto embassy in Taipei, from summer 2024. Greene replaces Sandra Oudkirk in this position. Greene previously served as Deputy Director of the Institute, as well as in the Tokyo missions and in various roles in Washington, mainly focused on economic relations.

Is something changing in your organization? Let us know at heads@table.media!

Dessert

Rap is a popular music genre in China that can convey social criticism between the lines. One of the latest examples is the song “Factory” by Zhang Fangzhao. The 27-year-old gained a wider audience through the talent show “The Rap of China” and in this song, he tells the story of his escape from his hometown of Jiaozuo in Henan Province. In recent years, the area has faced environmental pollution, mass layoffs and population outflows. The music video depicts the region in bleak colors but also celebrates the resilience of its residents. The song struck a chord on social media, with thousands of people sharing their experiences on platforms like Weibo about still being discriminated against in cities like Shanghai as country bumpkins from the provinces.

China.Table editorial team

CHINA.TABLE EDITORIAL OFFICE

Licenses:
    Dear reader,

    Today, the first EU citizens cast their votes on the future composition of the European Parliament. The larger parties, in particular, have pledged to increase their China expertise. The extent of China’s influence on the European Parliament has recently been highlighted by the espionage case involving AfD staffer Jian Guo, as well as investigative reports on the Dutch party NL Plan, which is allegedly funded by Beijing’s United Front.

    Amelie Richter examined the actual state of China expertise on the EU candidate lists. Although the newly elected European Parliament will again have a China delegation, and there are indeed China and Taiwan experts among them, one thing is already clear: The gap left by Reinhard Buetikofer, the most prominent China expert in the European Parliament, will not be easily filled.

    Zhu Zhaojiang, the founder of the smartphone company Transsion, knew he was too late for his home market. The Chinese mobile phone market was saturated, and the competition was too fierce. Instead, the manufacturer from Shenzhen took a bold step. He focused on less affluent markets, and with great success. Today, in the Global South and Africa, Transsion phones are the number one brand, more well-known than Apple and Samsung. Their growth rates are so remarkable that they already overshadow the Western competition in some international comparisons.

    It’s not just the relatively low prices that have made this success possible, writes Joern Petring. Transsion smartphones are better adapted to local conditions than those of their competitors. For example, camera filters are optimized for darker skin tones and the batteries last longer. In countries that are regularly affected by power outages, this can be a real competitive advantage.

    Your
    Fabian Peltsch
    Image of Fabian  Peltsch

    Feature

    EU elections: Where the China experts sit in the European Parliament

    Starting today, the first EU citizens are heading to the polls to vote on the future composition of the European Parliament. The EU election begins in the Netherlands, while Germany will vote on Sunday. The future parliament needs to focus on developing expertise on China – there is a notable shortage of sinologists, at least on the German electoral lists.

    “From a personnel perspective, there’s a significant gap in China expertise on the EU election lists,” says Marina Rudyak, a sinologist from Heidelberg University. “While dealing with the People’s Republic is a crucial issue for the EU’s future, it’s only partially reflected in the programs, not so much in the actual candidate lists.”

    Foreign policy focus on Ukraine and Russia

    Reinhard Buetikofer, the Green party’s European politician and the EU Parliament’s most prominent China expert, is not running for re-election. Sinologist Janka Oertel, Director of the Asia Program at the European Council on Foreign Relations, was not elected to the Greens’ European list. “I’ve noticed a general decline in Asian foreign policy expertise within the Greens,” says Rudyak.

    There is Sergey Lagodinsky, another foreign policy expert, but his focus is on Russia and Ukraine. “The FDP’s Agnes Strack-Zimmermann also concentrates more on this region rather than on China and Asia.”

    Rudyak points out a broader issue: “I think there’s a general lack of awareness about the urgency of the China issue. It’s assumed that no one outside the China bubble is interested.” In the election campaign, China mainly plays a role in economic security discussions, but only at a high EU level, such as in debates between the lead candidates. In Germany itself, there has been very little mention of China in the EU election campaign.

    China delegation to reflect power balance in EU Parliament

    The newly elected EU Parliament will have a China delegation again. These delegations are intended for interparliamentary exchanges with non-EU countries, which is particularly challenging in the case of China. Beijing had imposed sanctions on the previous chair of the China delegation, Green politician Buetikofer. The current delegation has 37 full members and 34 substitutes. Typically, the composition should reflect the power balance in the EU Parliament.

    Besides Buetikofer, Greens members Henrike Hahn and Alexandra Geese were also part of the China delegation. Viola Cramon-Taubadel served as a human rights expert substitute. René Repasi from the SPD is the vice-chair of the China delegation, and his party colleague Thomas Rudner is a member. The German Liberals are represented by Moritz Koerner.

    The CDU/CSU had three representatives in the delegation. However, two of them, Markus Pieper and Karolin Braunsberger-Reinhold, are not running in the 2024 EU election. CSU politician Monika Hohlmeier is on the list in Bavaria. The Left had a substitute member in the China delegation, Helmut Scholz. The AfD and Free Voters were not represented in the delegation.

    Indirect China expertise for trade and Taiwan

    The China issue indirectly involves multiple EU Parliament committees. Green politician Anna Cavazzini, for example, led the legislation on the EU Supply Chain Act. SPD European politician Bernd Lange was the chair of the powerful EU Trade Committee, which among other things, scrapped the investment agreement CAI and was responsible for trade tools like the Anti-Coercion Instrument against economic coercion. SPD politician Joachim Schuster, who is running again in Bremen/Bremerhaven where BYD regularly docks with its super freighters filled with e-cars, was also part of the committee.

    CDU politicians Daniel Caspary and Michael Gahler have experience with China as well. Caspary was instrumental behind the International Procurement Instrument, first applied in the case of medical technology. Gahler chairs the EU Parliament’s Taiwan Friendship Group and was also sanctioned by Beijing in March 2021.

    Friendship groups are not official EU Parliament bodies. A China Friendship Group was dissolved after a funding scandal. The Free Voters in the European Parliament have Engin Eroglu, who focuses on Uyghur rights in China.

    AfD candidate Krah with direct Beijing connections

    The party Volt does not significantly mention China in its current election program. The party did not respond to inquiries about whether its list includes candidates with China expertise. In 2020, Volt issued a China proposal.

    As for the AfD, their candidate Maximilian Krah has been embroiled in several scandals, including allegations that his Chinese assistant was potentially spying for Beijing. Krah was a member of the trade committee until the end of January and sat on the USA delegation.

    The satirical party “Die Partei” had its own China scandal a few years ago: Nico Semsrott left the party in 2021 after a racist tweet from party colleague Martin Sonneborn, who had used the stereotype that Asians cannot pronounce the letter “R” in a humorously intended tweet.

    • EU
    • EU Parliament
    • European election 2024
    • European policy
    • Uiguren

    Transsion: Africa’s smartphone king from Shenzhen

    Employees of Transsion in a factory in Narayanganj, Bangladesh.

    Tecno, Itel, Infinix: These smartphone brands may be largely unknown in the West, but in Africa and increasingly in other regions of the global south, they are becoming more familiar to many people than Apple or Samsung.

    Behind these devices stands Transsion, headquartered in Shenzhen, southern China. It’s also a name not commonly known in the West. However, in recent years, the company has secured a substantial share of the global smartphone market.

    In the latest ranking of the world’s largest manufacturers by market observer IDC, Transsion ranked fourth behind Samsung, Apple and Xiaomi. The company’s growth rates are particularly impressive: From January to March, Samsung sold 60.1 million smartphones, a decrease of 0.7 percent compared to the previous year. Apple’s sales even dropped by 9.6 percent to 50.1 million iPhones. Xiaomi sold 40.8 million devices (+33.8 percent). But Transsion overshadowed all with an 84.5 percent growth and 28.5 million devices sold. Even with potentially lower future growth rates, the global smartphone crown seems within reach for the company.

    Growth without benefiting from home market

    It’s remarkable that Transsion, which was founded as Tecno Mobile in 2006, grew to its current size without benefiting from its massive home market. Founder Zhu Zhaojiang made a farsighted decision at that time: He realized it would be challenging to gain a foothold in the fiercely competitive Chinese market, where many companies were ready to start their smartphone production. Both Huawei and Oppo were preparing to launch their first devices then. Xiaomi followed a few years later.

    The situation then is somewhat reminiscent of today’s electric car manufacturers in China. Too many companies are trying to establish themselves in the home market, making it difficult to operate profitably. Zhu Zhaojiang took a different path: He left the Chinese smartphone market untouched and instead specialized in affordable devices for the African market.

    Market leader not just in Africa

    In 2017, his company became the market leader on the continent for the first time and has since been known as the “smartphone king of Africa”. Since then, the market share in Africa has consistently been between 40 percent and 50 percent. Transsion has also been successfully expanding into the Middle East and South Asia, where it is a market leader in countries like Pakistan and Bangladesh. Transsion has established factories in Ethiopia, India and Bangladesh to produce and supply products for local markets.

    The company gains an advantage by offering devices tailored to the needs of African customers, such as smartphones with cameras optimized for darker skin tones. Another technological feature that is particularly popular in Africa and South Asia is the dual-SIM functionality.

    Hardware and software for local needs

    This allows users to use two different SIM cards simultaneously, which is beneficial given the frequent network instability and varying tariff structures in these regions. Transsion has also invested in developing smartphones with longer battery life, which is crucial in areas where power outages are common and access to electricity can be limited.

    In addition to hardware adaptations, Transsion has developed software solutions specifically for its markets. For instance, the Boomplay music app, tailored to the African market, offers local music content that caters to the users’ tastes. Similarly, the Scooper news app provides local and international news in a format relevant to local readers. Both apps have over 50 million monthly users.

    • Shenzhen
    • Smartphone
    • Technology

    News

    Carbon footprint: How China will calculate emissions of industrial products in the future

    China has unveiled a new system for measuring and managing the carbon footprint of its industrial products. The new “Carbon Footprint Management System” will be overseen by the Ministry of Ecology and Environment and is scheduled to be implemented in 2027, according to a strategy paper released on Wednesday. It will establish standards for measuring the CO2 emissions of around 100 key products in the Chinese economy.

    These standards will first apply to high-CO2-emission products such as coal and natural gas, as well as export products like steel, aluminum, lithium-ion batteries and electric vehicles. The Ministry of Ecology and Environment stated that it hopes to expand these guidelines to 200 products by 2030.

    Just last week, the State Council presented a new action plan for emission reductions for the years 2024 and 2025. According to this plan, key industries, from steel production to transportation, are expected to reduce their CO2 emissions. The new footprint system complements these plans and, according to analysts, could play a crucial role in China’s efforts to reduce emissions in the manufacturing sector – thus helping to avoid trade conflicts and import tariffs under the EU’s forthcoming Carbon Border Adjustment Mechanism (CBAM).

    This move indicates that China is working to catch up with EU legislation, which has already “established clear rules for measuring and disclosing the carbon footprint of products,” said Ma Jun, Director of the independent Institute of Public and Environmental Affairs in Beijing. “China is a latecomer in this regard, so there are still some gaps to fill,” Ma added. The CBAM is set to come into force in 2026. rtr/ck

    • CBAM
    • Climate policy
    • Climate protection

    Nio: What the EV manufacturer plans with its third plant

    Nio has been granted permission to construct a third factory, which will have the capacity to produce up to 600,000 vehicles, according to individuals familiar with the matter. If this new plant operates at full capacity, the company could potentially produce up to one million cars per year in total.

    The new “F3” plant is located in the city of Huainan in the eastern province of Anhui. It will primarily produce vehicles for Nio’s newly introduced affordable car brand, Onvo, which was launched in May, the sources added.

    China’s state planners have been cautious about approving plans for new EV production facilities due to concerns over overcapacity and declining demand since 2022. Nio told Reuters that the company does not have issues with overcapacity.

    Nio informed Reuters that construction of the plant has already begun and that an initial capacity of 100,000 units is planned for single-shift operations. The company did not respond to questions about whether the capacity of the F3 plant would later be expanded to the theoretically possible 600,000 units. rtr

    • Industrie

    ‘Dual-use’ goods: How Moscow expresses solidarity with Beijing

    On Wednesday, the Kremlin labeled a statement by US Treasury Secretary Janet Yellen as “blackmail”, after she warned that Washington would impose sanctions if China increased its exports of “dual-use” goods to Russia. Kremlin spokesperson Dmitry Peskov declared that Washington’s tone was entirely unacceptable and that Moscow stood in solidarity with Beijing. “We are fully aware that our Chinese counterparts do not accept such language, such messages and threats, this kind of blackmail,” Peskov told reporters. US politicians need to realize that one cannot speak to an economic superpower like China in this manner, he added.

    The US claims that China is supporting Russia’s war efforts in Ukraine by supplying goods that can be used for both civilian and military purposes. “I have been extremely clear at the highest levels of the Chinese government that this is something we will not tolerate, and that we intend to sanction this activity,” Yellen said on Tuesday. rtr

    • Ukraine-Krieg

    Solar manufacturer: Why Longi plans to shut down production lines abroad

    Longi Green Energy Technology, the Chinese solar giant, is planning to shut down some production lines in its factories in Malaysia and Vietnam, according to the news magazine Caixin, which cited an employee of the company.

    The primary reason is the expiration of a two-year tariff exemption that the United States granted to several Southeast Asian countries. This exemption, in place since 2022, applied to solar products imported into the US from Malaysia, Cambodia, Thailand and Vietnam. It aimed to help meet the US demand for these products. In contrast, imports of solar cells from China are subject to high tariffs. In mid-May, the US government decided to double the tariffs on solar cells imported from China from 25 to 50 percent.

    Chinese companies have circumvented these high US tariffs by relocating their supply chains to Southeast Asian countries and exporting from there to the US. This strategy is also used by companies in other industries.

    When asked by Caixin about the production cuts, Longi stated that the company had “adjusted” its production plans at some locations due to operational challenges such as changes in product prices and trade policies. jul

    • Handelsstreit

    Heads

    The key players of the China scene – NGOs


    Kai Mueller – Executive Director of the International Campaign for Tibet (ICT) Germany

    Kai Mueller has been active in various human rights organizations for over 20 years. Since 2005, he has served as the Executive Director of the International Campaign for Tibet in Germany. He coordinates and directs advocacy projects at both national and international levels. As an expert witness, he informs the German Bundestag about Chinese human rights abuses. As a lobbyist, he advocates for the Tibetan people’s rights in various United Nations bodies.

    Tenzyn Zoechbauer – Executive Director of the Tibet Initiative Germany e.V.

    Tenzyn Zoechbauer, whose mother is Tibetan, was born in Vienna in 1991. She is frequently seen at protest events advocating for a self-determined Tibet and denouncing Chinese government influence while showing solidarity with civil society actors in China, such as the White Paper protests by young Chinese in December 2022. Zoechbauer’s grandmother fled Tibet in the early 1960s. Zoechbauer herself hopes to one day visit Tibet as a free country.

    Glacier Kwong – Activist

    Glacier Chung Ching Kwong became the face of the Hong Kong protest movement in Germany in 2019. Alongside prominent Hong Kong activist Joshua Wong, she sought support at places like Berlin’s Humboldt University and the Federal Press Conference. Kwong now works as a lead analyst at the Inter-Parliamentary Alliance on China, focusing on surveillance and digital resistance. She is a doctoral candidate in law at the University of Hamburg and a former spokesperson for Hong Kong’s internet rights group Keyboard Frontline.

    Ray Wong – Chair of Freedom for Hong Kong e.V.

    Ray Wong Toi-yeung is a democracy activist from Hong Kong and an advisor for the NGO Hong Kong Watch. In 2015, he founded the political group “Hong Kong Indigenous” in his hometown, which became one of the leading parties in Hong Kong’s pro-democracy movement. In 2016, Wong was imprisoned for his political activism and faced up to ten years in prison. He fled Hong Kong in 2017 and was granted asylum in Germany the following year. He currently lives and studies in Goettingen.

    Nora Sausmikat – Head of China Desk Urgewald

    Nora Sausmikat was a foreign student in China during the Tiananmen Square crackdown, an experience that deeply influenced her. She soon dedicated herself to political research on participation and memory culture in China. Sausmikat helped establish the China Program at the Asienhaus Foundation and developed an exchange program between European and Chinese NGOs. Since 2019, she has led the China Desk at the environmental and human rights organization Urgewald, based in Sassenberg, Westphalia.

    Li Shuo – Director of the climate hub at the Asia society

    Li Shuo is a senior policy advisor for Greenpeace East Asia, focusing on air pollution, energy policy, water and biodiversity. Li joined Greenpeace in 2011, one of the largest international NGOs in China. Educated in Nanjing and Washington, Li negotiates multilateral environmental agreements for the organization, including the United Nations Framework Convention on Climate Change (UNFCCC) and the Convention on Biological Diversity (CBD).

    Sandra Schulze – Managing Director at Bildungsnetzwerk China gGmbH

    As the new managing director of the Educational Network China, Sandra Schulze aims to increase China expertise in Germany, especially in schools. Previously, she was the Area Manager for China at Berlin Partner for Business and Technology. Schulze studied Chinese at Beijing Foreign Studies University and is an alumna of “Zukunftsbruecke – Chinese-German Young Professional Campus”. She lived in China for several years as a child.

    Hanno Schedler – Consultant at the Society for Threatened Peoples (STP)

    Hanno Schedler advocates for the rights of religious, linguistic and ethnic minorities. Since 2008, in the Department of Genocide Prevention and Responsibility to Protect at GfbV, he has focused on Chinese human rights violations in Tibet and Xinjiang. Schedler highlights the responsibilities of German companies at shareholder meetings and informs the Federal Press Conference about the situation of the Uyghurs. He studied political science, sociology and sinology in Trier and Rennes, France.

    Haiyuer Kuerban – Director of the Berlin Office of the World Uyghur Congress

    The 40-year-old gives a face to the tragic plight of the Uyghurs in Xinjiang through his political engagement. As the director of the Berlin office of the World Uyghur Congress, Kuerban coordinates the activities of about 30 organizations advocating for Uyghur rights. He conducts public relations and lobbying work for his people, who are silenced in China. Kuerban discusses human rights violations by the Chinese government with politicians and the media. Many of his close family members still live in Xinjiang and are subjected to Chinese repression, like millions of others.

    Joachim Glatter – President of the German-Chinese Lawyers Association

    As the president of the DCJV, Joachim Glatter promotes knowledge of Chinese law in Germany and German law in China, fostering academic exchange between lawyers from both countries. Glatter has 25 years of experience advising multinational and mid-sized companies on Chinese foreign investment and trade law, as well as arbitration in China. He is a listed mediator for the China International Economic and Trade Arbitration Commission (CIETAC) and the Shanghai International Arbitration Center (SHIAC). Until the end of 2014, he was a partner in several large international law firms.

    • Tibet
    • UNFCCC

    Executive Moves

    Wang Wenbin, the spokesperson for the Ministry of Foreign Affairs, is to become China’s ambassador to Cambodia. The 53-year-old has worked in diplomatic missions for more than 30 years, primarily in the field of political planning and affairs in African countries such as Senegal, Cameroon and Mauritius. From 2018 to 2020, Wang served as ambassador to Tunisia. From July 2020 to May 2024, he served as the 32nd Spokesperson of the Ministry of Foreign Affairs.

    Raymond Greene will be the new US representative at the American Institute in Taiwan, which acts as a de facto embassy in Taipei, from summer 2024. Greene replaces Sandra Oudkirk in this position. Greene previously served as Deputy Director of the Institute, as well as in the Tokyo missions and in various roles in Washington, mainly focused on economic relations.

    Is something changing in your organization? Let us know at heads@table.media!

    Dessert

    Rap is a popular music genre in China that can convey social criticism between the lines. One of the latest examples is the song “Factory” by Zhang Fangzhao. The 27-year-old gained a wider audience through the talent show “The Rap of China” and in this song, he tells the story of his escape from his hometown of Jiaozuo in Henan Province. In recent years, the area has faced environmental pollution, mass layoffs and population outflows. The music video depicts the region in bleak colors but also celebrates the resilience of its residents. The song struck a chord on social media, with thousands of people sharing their experiences on platforms like Weibo about still being discriminated against in cities like Shanghai as country bumpkins from the provinces.

    China.Table editorial team

    CHINA.TABLE EDITORIAL OFFICE

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