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Briefings - 11. page

China to Pay $400 Million Compensation for Ecuador Hydropower Project Defects

China’s Belt and Road Initiative (BRI) has suffered a significant setback. China Power Construction has agreed to pay approximately $400 million in compensation to the government of Ecuador to cover losses caused by defects and quality problems at the Coca Codo Sinclair Hydropower Project, a flagship infrastructure project linked to the BRI. The case is reportedly the first instance in which a large-scale BRI project has resulted in compensation due to construction flaws, raising broader concerns about the execution and long-term sustainability of China’s overseas infrastructure ventures.

China Hydropower signed an EPC (engineering, procurement, and construction) contract for the project on October 5, 2009, covering site selection, geological surveys, and engineering design. However, construction was plagued by setbacks, including serious on-site accidents and repeated cost increases cited by the contractor. As a result, the project’s total cost rose from an initial $1.7 billion to $2.7 billion. After delays of nearly ten months, the hydropower plant was eventually completed. Xi Jinping, accompanied by his wife Peng Liyuan, traveled to Ecuador’s capital to attend the inauguration ceremony.

Source: China News, December 14, 2025
https://news.creaders.net/china/2025/12/14/2948527.html

CNA: China’s Housing Market Expected to Continue Its Decline in 2026

Primary Taiwanese news agency Central News Agency (CNA) recently reported that, China’s real estate market remains sluggish, with the downturn expected to continue in 2026. China’s Index Academy, an official real estate market research institution, predicted in its “China Real Estate Market Outlook for 2026 Report” that the sales of newly built commercial housing will decrease by 6.2 percent year-over-year in 2026.

The Report points out that, under the government policy guidance of controlling new construction and optimizing existing stock, the new construction work is expected to decrease by 8.6 percent and the nationwide total real estate investment will decrease by 11 percent year-over-year in 2026.

Looking back at the Chinese housing market in 2025, the Report shows that the cumulative price of secondhand homes in 100 cities fell by 8.36 percent last year. Also, according to the latest statistics from China’s National Bureau of Statistics, from January to November 2025, national real estate development investment decreased by 15.9 percent year-over-year, with residential investment decreasing by 15 percent year-over-year, and the sales of newly built commercial housing decreased by 7.8 percent year-over-year.

A sluggish Chinese real estate market is dragging down economic growth. The International Monetary Fund (IMF) stated last December that, while China’s economic growth is showing resilience, weak domestic demand and deflationary pressures are making imbalances significant. The key policy priority is to shift towards a consumption-driven economic growth model, reducing over-reliance on exports and government investment.

Source: CNA, January 2, 2026
https://www.cna.com.tw/news/acn/202601020079.aspx

Report: Many Districts in Beijing Owe Civil Servant Salaries

According to overseas-based political commentator Yuan Hongbing, China’s economic slowdown has evolved into a fiscal crisis that is increasingly affecting government finances and employment. He said that in 2025, in Beijing, only Haidian District was able to pay civil servants their full annual salaries, while officials in other districts reportedly received only eight to nine months of wages due to budget shortfalls. This suggests serious fiscal strain even in China’s capital, with conditions likely more severe in other regions and economically weaker rural areas.

Yuan also cited official data indicating that the “gross employment rate” for university graduates in 2025 is only about 60 percent, a figure that includes “flexible” (non-stable) and temporary jobs. Based on these numbers, he estimated that nearly five million new graduates are unemployed this year, and when combined with jobless graduates from previous years, the total number of unemployed college graduates may have reached around 20 million, underscoring the mounting employment challenges facing China’s educated youth.

Source: NTDTV, December 23, 2025
https://www.ntdtv.com/gb/2025/12/22/a104049049.html

China Becomes World’s Leading Caviar Exporter as Luxury Delicacy Goes East

Chinese-produced caviar is making significant inroads into the luxury food market, with China now the world’s largest exporter of this premium ingredient. According to a year-end report by French news radio Franceinfo, large-scale sturgeon farms in China continue to expand rapidly.

Chinese caviar is sweeping global markets, gradually replacing French and Iranian products on gourmet tables worldwide. In Paris, premium caviar brand Kaviari was among the first to recognize Chinese products’ potential. Chinese caviar prices range from 3,000 to 9,000 euros ($3,150 to $9,450) per kilogram, comparable to French caviar, with a 250-gram box selling for 825 euros ($866). One customer described it as a market leader, stating that it meets all caviar expectations regarding size, texture, and taste, with the sturgeon’s origin being irrelevant.

Initially, brands faced the challenge of convincing skeptical customers. Today, half of France’s Michelin-starred chefs source from China. Kaviari’s managing director Karin Nebot admits they can now confidently disclose the Chinese origin without hesitation.

China’s dominance stems from massive production capacity. Nearly half of global caviar consumption originates from China, where farms continue proliferating. At the largest facilities, sturgeon are fed multiple times daily and require up to 25 years to produce eggs.

Chinese companies have become market leaders, producing 200 tons of caviar in 2024. Kaluga Queen, a leading Hangzhou-based brand, aims to increase French sales by 15-20 percent in 2026. Originally operating as an OEM supplier to French, Swiss, and American brands, Kaluga Queen now markets directly under its own label after gaining recognition from top international chefs, including the late Joël Robuchon.

Geopolitical factors have disrupted traditional Iranian and Russian caviar trade routes in recent years. Within just a decade, China has secured its position as the world’s top caviar exporter, with this luxury delicacy’s core technology and production now concentrated in Chinese facilities.

Source: Radio France International, January 2, 2026
https://rfi.my/CJgd

Leaked Report: CCP Shifts From Mass Messaging to Targeting Influential Overseas Social Media Accounts

A leaked internal Chinese Communist Party (CCP) public security document reportedly admits that recent efforts to control Chinese-language discourse on foreign social media have been largely ineffective. According to the document, overseas Chinese discussions have become decentralized and fragmented, with criticism of the regime emerging not only from traditional media but also from individual influencers and social media accounts. In response, the CCP appears to be adjusting its strategy, moving away from broad narrative campaigns toward targeted engagement with influential “big V” accounts, potentially offering cooperation incentives.

The file notes that the previous approach of mass coverage and centralized messaging had limited impact. Authorities are now reportedly focusing on a case-by-case strategy, aiming to identify, categorize, and engage with influential accounts that have significant reach, rather than attempting to control all content indiscriminately.

The article also points out that some formerly critical overseas Chinese accounts have recently shifted their tone, highlighting positive aspects of China’s economy and development while urging a more “balanced view.” This has sparked online speculation that such changes may result from behind-the-scenes engagement or pressure.

Source: Epoch Times, December 23, 2025
https://www.epochtimes.com/b5/25/12/23/n14660760.htm

Audio Reveals Alleged PLA Effort to Buy Overseas Opinion Leaders

An overseas Chinese military-focused social media commentator known as “Speak Truthful Words Xu” (“說真話的徐某人”) posted an audio recording on X on December 18, alleging that another influencer, “Sunset Pirate” (“落日海盜”), attempted to recruit him in September 2024 to produce pro-China content. The recording reportedly captures Sunset Pirate claiming to act as an intermediary for the Chinese People’s Liberation Army (PLA) and offering Xu €40,000 per month (approximately NT$1.48 million) to highlight perceived weaknesses in Taiwan’s military in ways that could undermine public confidence in Taiwan’s defense.

After the audio circulated online, Sunset Pirate deleted all of his social media accounts and has not responded publicly. Xu later uploaded the 43-minute unedited recording to his YouTube channel. The conversations involve several Chinese and foreign online personalities. Xu, who is believed to be based in Italy and focuses on international military affairs, is known for posting content supportive of Taiwan, which has been widely cited by Taiwanese media.

In the recording, Sunset Pirate claims to have previously worked in Beijing’s public security system, specializing in intelligence and information operations, and says he has recruited influencers in Japan, Italy, and the United States to promote Chinese traditional culture. He reportedly told Xu that maintaining an “objective” tone on overseas Chinese platforms could help deter Taiwan independence, and outlined strategies for subtly shaping discussions without overt political messaging. He also suggested that criticism of the Chinese Communist Party might be tolerated as long as it did not target Xi Jinping directly, and discussed producing content on the Ukraine war for internal use by his organization.

Source: Central News Agency (Taiwan), December 20, 2025
https://www.cna.com.tw/news/acn/202512200196.aspx

China Accelerates Africa’s Digital Transformation Through Infrastructure and Innovation

Digital transformation represents a cornerstone objective of the African Union’s Agenda 2063. Through high-quality Belt and Road cooperation and the China-Africa Cooperation Forum, China-Africa collaboration in the digital economy has expanded significantly in recent years, spanning infrastructure development, e-commerce platforms, and digital talent cultivation.

In Botswana’s capital Gaborone, the China-built National Data Center stands as the country’s first facility of its kind. Constructed by Jiangxi International Economic and Technical Cooperation, the center began operations in June 2024 after three years of development. Project manager Zhu Yahan explained that the facility accommodates high-performance servers meeting large-scale data storage and transmission needs for government and commercial users. The center features triple power redundancy through municipal supply, emergency backup, and diesel generators ensuring uninterrupted operations. According to Sethogo Segoale, CEO of Botswana Fiber Networks, the center’s operation has transformed the local information technology ecosystem, enabling faster and more cost-effective data exchange for internet users while advancing national digitalization efforts.

Kenya’s e-commerce landscape has been revolutionized by Kilimall, China’s pioneering internet platform in Africa. Operating for over a decade across multiple African countries, Kilimall serves 8,000 sellers through 12,000 stores and 1,500 community pickup points, with app downloads growing fifty percent annually. The platform’s proprietary logistics and payment systems have enhanced consumer experiences significantly. Kenyan furniture seller Kariuki credits Kilimall’s prepayment system for enabling him to sell 300-400 products monthly across different regions.

Meanwhile, China is cultivating Africa’s digital workforce through initiatives like Rwanda’s Luban Workshop. Students receive practical training at Zhejiang’s Jinhua Vocational and Technical University, learning e-commerce management, data analysis, and live-streaming techniques. The workshop’s technical standards have been incorporated into Rwanda’s vocational education system. Former South African diplomat Grobler notes that China’s comprehensive approach—from building infrastructure serving 700 million users to hosting ICT competitions and e-commerce training camps—continuously empowers Africa’s digital transformation journey.

Source: People’s Daily, January 3, 2026
https://paper.people.com.cn/rmrb/pc/content/202601/03/content_30128998.html

China Heightens Silver Export Controls in Line with Rare Earth Standards

Singapore’s primary Chinese language newspaper Lianhe Zaobao recently reported that China has tightened its export controls on silver, bringing controls for the precious metal in line with those on rare earth minerals. The new export control policy for silver officially took effect on January 1, upgrading from the previous quota system to a strict “one-order-one-approval” license system.

Only companies with an annual output of more than 40 or 80 tons of silver (depending on which region of China the company is located in) and a demonstrated history of three consecutive years of exports can apply for qualifications to continue exporting under the new policy. Approval scope for exports covers key dimensions such as buyer background and compliance of use, and the control period will last at least until the end of 2027. The new policy marks the formal inclusion of silver in China’s national strategic resource list, upgrading it from a “commodity” to a “strategic material,” with export management now on par with rare earths.

Elon Musk recently posted on social media platform X: “This is not a good thing. Silver is needed in many industrial production processes.” Silver is crucial to the U.S. industrial and defense supply chain. The U.S. added silver to its National Critical Minerals List last November, citing its wide applications in areas such as circuitry, batteries, solar panels, and antibacterial medical devices.

China has long been one of the world’s largest silver producers, at one point contributing nearly 90 percent of global production (including byproducts).

Source: Lianhe Zaobao, January 2, 2026
https://www.zaobao.com.sg/finance/china/story20260102-8044089