The Chinese Covid wave is apparently already approaching its peak for the time being; the first people who have recovered have already returned to work. However, this also means that a staggering number of people are currently acutely ill. Due to a lack of data, it is not possible to map the curve. But it is safe to assume that the curve is steeper in China than it has ever been in Germany.
Our analysis provides a snapshot of the mood in a country where the pandemic is still raging. The question of what the spread of the infection will mean for the Chinese and German economies is something we have only been able to briefly outline here – again due to a lack of hard data.
However, this very issue was the main focus of the government Economic Work Conference held last week. With the infection tsunami brewing, we initially had only one report on this. Today, we take a closer look at a core message of the important meeting: The leadership is once again turning its attention to private investors – and even finding words of encouragement for foreign industries.
The pandemic situation in China has spiraled out of control even faster than initially feared. Within a week, the sickness rate skyrocketed. Company employees in several regions independently estimate that more than half of their staff is unable to work. “Several companies have either shut down or scaled back production,” says Joerg Wuttke, President of the EU Chamber of Commerce.
Volkswagen urges the remaining healthy workers at the Foshan plant to work overtime to keep operations going. The next concern is the breakdown of many long-haul truck drivers. This would again affect logistics and thus also deliveries to Europe. Epidemiologists expect several infection waves with a first peak in the near future. The next peak would then follow the New Year’s celebrations at the end of January.
The infection is fueled by, of all things, rules that were supposed to save the economy from needlessly high sick leaves. In Zhejiang, Anhui and Chongqing, employees are supposed to go to work even if they are sick, provided they do not show any symptoms. This keeps the company running in the short term, but in the next step, the remaining employees also become infected.
China’s opening is far more severe than it was, for example, in Germany. At least in Germany, there was a noticeable effort to uphold the more effective contact restrictions even after the waves subsided. In some German states, someone who recently tested positive for Covid is still not allowed to go outside for a walk. In China, these restrictions are now also being lifted in many places. In Germany, contact restrictions had repeatedly managed to flatten the curve. China now lets the high, steep “wall” run its course. (China.Table reported).
The consequences are also evident in the capital city of Beijing, which until recently had been shielded from the effects of Covid. Garbage is now piling up in many compounds. Some restaurants and stores no longer open daily, only when employees are available.
On the e-commerce website Meituan, stores repeatedly disappear for hours at a time – sometimes even during the payment process. Supermarkets are often no longer able to provide fresh goods. And the streets are almost exclusively reserved for delivery drivers. Those who do not have to, no longer go out on the streets. Even in faraway provinces, the virus runs rampant. “Everyone here is sick,” reports a German woman from a village in southern Yunnan.
What is particularly bizarre and alarming is that the testing stations only seem to give out negative results. Those who are positive no longer receive any notification at all. This was reported independently by several people in Beijing whose rapid tests at home were positive. The apps no longer showed a result for them. In Shanghai, Covid tests are no longer officially required for access to clinics. China moves blindly through the pandemic.
German travelers on their way to Christmas vacation are currently also affected by the Covid chaos. Some airlines continue to demand proof that travelers have had no contact with infected individuals. This may be made easier by the lack of reliable tests, but objectively it is made impossible by the many infections. Air China demanded that one passenger provide a certificate from a hospital. However, hospitals everywhere are already overwhelmed with serious infections.
By now, everyone in China is aware of the situation. The propaganda rhetoric of “optimizing” zero-Covid is being made fun of. The low reliability of the official numbers now even concerns the vaccination rate. Chinese media report that some citizens are listed as vaccinated in the system but have never received the jab. Gregor Koppenburg/Finn Mayer-Kuckuk/rtr
Chinese designer and university lecturer Wu Guanying (吴冠英) passed away. Wu died on Tuesday at the age of 67, the Academy of Fine Arts of Tsinghua University announced. According to the statement, Wu had suffered from a “severe cold.” Wu was the main designer of the Fuwa mascots for the 2008 Beijing Olympics. He also designed the Fu Niu LeLe cow, the mascot for the 2008 Paralympic Games. Wu also designed the commemorative coin for the 70th anniversary of the founding of the People’s Republic of China and several postage stamps. Wu was born in 1955 in Zhongshan in the southern Chinese province of Guangdong.
Wu’s last post on the social media platform Weibo from early December showed a photo of his front door. On it, he had hung a drawing of a bunny. The bunny explained “Please leave the express delivery at the door and please put the small parts in the box. Thank you!” Wu left a comment under the post, “Be careful anyway.” ari
“I am most productive after talks – and unfortunately at night,” Jan Weidenfeld reveals about his work at the Mercator Institute for China Studies, or Merics for short. This is because Weidenfeld first listens. Preferably to people who have a different perspective on German and European relations with China. In the evening, when the phones have stopped ringing, he takes a clear look and works out courses of action for local actors.
But it was a long path to this point, which took Weidefeld via his home in Krefeld, to an English boarding school and to Maastricht for his bachelor’s degree. “In the heyday of the European unification process,” as Weidenfeld says, he still studied European Studies in Maastricht and then went to Cambridge, where he earned his master’s degree in international relations in 2008.
In 2013, he joined the renowned think tank Rand-Cooperation as an analyst. With his expertise in economic and security policy, however, he quickly caught the eye of Merics, which at the time was setting up the European China policy unit. At that time, taking a European perspective on China policy was not yet a matter of course. But it was a great opportunity for Weidenfeld, who joined Merics as head of the European China policy unit.
Since 2021, he has been Director of Policy and Advisory at Merics. For Weidenfeld, talking to business professionals, politicians and civil servants is indispensable: “I like to listen to people first, instead of directly bombarding them with our analyses and assessments. Because I always want to find out what challenges my interlocutors see specifically in their work context. Only in this way can we talk together about how to shape future ties with China.”
There is plenty to do. After all, sudden lockdowns, the influence of the Communist Party and geopolitical tensions are a source of concern for many German companies in China. From VW to Swabian SMEs – a reassessment of China is taking place everywhere, says Weidenfeld.
Still, many companies want to stay in China and continue their success stories. This is understandable in the short term, but is it sustainable in the long term? Weidenfeld advises: “It’s still important to take advantage of opportunities, but on a long-term basis! Companies must pay more attention to which parts of their value chain they integrate in China and how far they go in doing so. At the same time, they must keep an eye on their dependencies on the Chinese market.”
With regard to the upcoming China strategy of the German government, Weidenfeld says: “Above all, it is also a matter of establishing the changing view of China as the basis for German government action.” He predicts that Germany will emphasize China’s role as a systemic rival and competitor – also because China poses a growing security risk.
The debate about the partial acquisition of a container terminal of the Port of Hamburg by the Chinese company Cosco has shown how far opinions on China’s influence vary. But Weidenfeld urges rationality. “A passable compromise has been found given the circumstances.” Still, he advises avoiding majority stakes in critical infrastructure and active minority stakes in the future.
And he is pleased that this debate is now happening loudly and publicly. China has become an explosive topic in political parties, parliament and the public sphere. So for Weidenfeld and his interlocutors, there is plenty to talk about to help shape China policy in the future. Jonathan Kaspar Lehrer
In our Executive Moves on December 21, 2022, we incorrectly stated that Li Zhenan served as head of CDB Bildungsconsulting GmbH in Bad Camberg, Hesse, since November. In fact, he founded the Frankfurt-based company back in 2017 and has been its CEO ever since. We ask our readers and the person concerned to excuse this error.
Christmas in Taiwan, as in many countries in East Asia, is above all a festival of lights. Tens of thousands of people flock to the shopping streets in the evening hours to marvel at the twinkling Christmas lights. Even though there is little sign of a reflective season amidst the many illuminated advertisements, it is not a purely commercial event. Christmas in Taiwan is also a couples’ day – albeit less emotionally laden than the also imported Valentine’s Day.
The Chinese Covid wave is apparently already approaching its peak for the time being; the first people who have recovered have already returned to work. However, this also means that a staggering number of people are currently acutely ill. Due to a lack of data, it is not possible to map the curve. But it is safe to assume that the curve is steeper in China than it has ever been in Germany.
Our analysis provides a snapshot of the mood in a country where the pandemic is still raging. The question of what the spread of the infection will mean for the Chinese and German economies is something we have only been able to briefly outline here – again due to a lack of hard data.
However, this very issue was the main focus of the government Economic Work Conference held last week. With the infection tsunami brewing, we initially had only one report on this. Today, we take a closer look at a core message of the important meeting: The leadership is once again turning its attention to private investors – and even finding words of encouragement for foreign industries.
The pandemic situation in China has spiraled out of control even faster than initially feared. Within a week, the sickness rate skyrocketed. Company employees in several regions independently estimate that more than half of their staff is unable to work. “Several companies have either shut down or scaled back production,” says Joerg Wuttke, President of the EU Chamber of Commerce.
Volkswagen urges the remaining healthy workers at the Foshan plant to work overtime to keep operations going. The next concern is the breakdown of many long-haul truck drivers. This would again affect logistics and thus also deliveries to Europe. Epidemiologists expect several infection waves with a first peak in the near future. The next peak would then follow the New Year’s celebrations at the end of January.
The infection is fueled by, of all things, rules that were supposed to save the economy from needlessly high sick leaves. In Zhejiang, Anhui and Chongqing, employees are supposed to go to work even if they are sick, provided they do not show any symptoms. This keeps the company running in the short term, but in the next step, the remaining employees also become infected.
China’s opening is far more severe than it was, for example, in Germany. At least in Germany, there was a noticeable effort to uphold the more effective contact restrictions even after the waves subsided. In some German states, someone who recently tested positive for Covid is still not allowed to go outside for a walk. In China, these restrictions are now also being lifted in many places. In Germany, contact restrictions had repeatedly managed to flatten the curve. China now lets the high, steep “wall” run its course. (China.Table reported).
The consequences are also evident in the capital city of Beijing, which until recently had been shielded from the effects of Covid. Garbage is now piling up in many compounds. Some restaurants and stores no longer open daily, only when employees are available.
On the e-commerce website Meituan, stores repeatedly disappear for hours at a time – sometimes even during the payment process. Supermarkets are often no longer able to provide fresh goods. And the streets are almost exclusively reserved for delivery drivers. Those who do not have to, no longer go out on the streets. Even in faraway provinces, the virus runs rampant. “Everyone here is sick,” reports a German woman from a village in southern Yunnan.
What is particularly bizarre and alarming is that the testing stations only seem to give out negative results. Those who are positive no longer receive any notification at all. This was reported independently by several people in Beijing whose rapid tests at home were positive. The apps no longer showed a result for them. In Shanghai, Covid tests are no longer officially required for access to clinics. China moves blindly through the pandemic.
German travelers on their way to Christmas vacation are currently also affected by the Covid chaos. Some airlines continue to demand proof that travelers have had no contact with infected individuals. This may be made easier by the lack of reliable tests, but objectively it is made impossible by the many infections. Air China demanded that one passenger provide a certificate from a hospital. However, hospitals everywhere are already overwhelmed with serious infections.
By now, everyone in China is aware of the situation. The propaganda rhetoric of “optimizing” zero-Covid is being made fun of. The low reliability of the official numbers now even concerns the vaccination rate. Chinese media report that some citizens are listed as vaccinated in the system but have never received the jab. Gregor Koppenburg/Finn Mayer-Kuckuk/rtr
Chinese designer and university lecturer Wu Guanying (吴冠英) passed away. Wu died on Tuesday at the age of 67, the Academy of Fine Arts of Tsinghua University announced. According to the statement, Wu had suffered from a “severe cold.” Wu was the main designer of the Fuwa mascots for the 2008 Beijing Olympics. He also designed the Fu Niu LeLe cow, the mascot for the 2008 Paralympic Games. Wu also designed the commemorative coin for the 70th anniversary of the founding of the People’s Republic of China and several postage stamps. Wu was born in 1955 in Zhongshan in the southern Chinese province of Guangdong.
Wu’s last post on the social media platform Weibo from early December showed a photo of his front door. On it, he had hung a drawing of a bunny. The bunny explained “Please leave the express delivery at the door and please put the small parts in the box. Thank you!” Wu left a comment under the post, “Be careful anyway.” ari
“I am most productive after talks – and unfortunately at night,” Jan Weidenfeld reveals about his work at the Mercator Institute for China Studies, or Merics for short. This is because Weidenfeld first listens. Preferably to people who have a different perspective on German and European relations with China. In the evening, when the phones have stopped ringing, he takes a clear look and works out courses of action for local actors.
But it was a long path to this point, which took Weidefeld via his home in Krefeld, to an English boarding school and to Maastricht for his bachelor’s degree. “In the heyday of the European unification process,” as Weidenfeld says, he still studied European Studies in Maastricht and then went to Cambridge, where he earned his master’s degree in international relations in 2008.
In 2013, he joined the renowned think tank Rand-Cooperation as an analyst. With his expertise in economic and security policy, however, he quickly caught the eye of Merics, which at the time was setting up the European China policy unit. At that time, taking a European perspective on China policy was not yet a matter of course. But it was a great opportunity for Weidenfeld, who joined Merics as head of the European China policy unit.
Since 2021, he has been Director of Policy and Advisory at Merics. For Weidenfeld, talking to business professionals, politicians and civil servants is indispensable: “I like to listen to people first, instead of directly bombarding them with our analyses and assessments. Because I always want to find out what challenges my interlocutors see specifically in their work context. Only in this way can we talk together about how to shape future ties with China.”
There is plenty to do. After all, sudden lockdowns, the influence of the Communist Party and geopolitical tensions are a source of concern for many German companies in China. From VW to Swabian SMEs – a reassessment of China is taking place everywhere, says Weidenfeld.
Still, many companies want to stay in China and continue their success stories. This is understandable in the short term, but is it sustainable in the long term? Weidenfeld advises: “It’s still important to take advantage of opportunities, but on a long-term basis! Companies must pay more attention to which parts of their value chain they integrate in China and how far they go in doing so. At the same time, they must keep an eye on their dependencies on the Chinese market.”
With regard to the upcoming China strategy of the German government, Weidenfeld says: “Above all, it is also a matter of establishing the changing view of China as the basis for German government action.” He predicts that Germany will emphasize China’s role as a systemic rival and competitor – also because China poses a growing security risk.
The debate about the partial acquisition of a container terminal of the Port of Hamburg by the Chinese company Cosco has shown how far opinions on China’s influence vary. But Weidenfeld urges rationality. “A passable compromise has been found given the circumstances.” Still, he advises avoiding majority stakes in critical infrastructure and active minority stakes in the future.
And he is pleased that this debate is now happening loudly and publicly. China has become an explosive topic in political parties, parliament and the public sphere. So for Weidenfeld and his interlocutors, there is plenty to talk about to help shape China policy in the future. Jonathan Kaspar Lehrer
In our Executive Moves on December 21, 2022, we incorrectly stated that Li Zhenan served as head of CDB Bildungsconsulting GmbH in Bad Camberg, Hesse, since November. In fact, he founded the Frankfurt-based company back in 2017 and has been its CEO ever since. We ask our readers and the person concerned to excuse this error.
Christmas in Taiwan, as in many countries in East Asia, is above all a festival of lights. Tens of thousands of people flock to the shopping streets in the evening hours to marvel at the twinkling Christmas lights. Even though there is little sign of a reflective season amidst the many illuminated advertisements, it is not a purely commercial event. Christmas in Taiwan is also a couples’ day – albeit less emotionally laden than the also imported Valentine’s Day.
