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Low-Budget Chinese Animation “Niulai” Becomes a Box-Office Hit

The low-budget Chinese animated film Niulai (牛来) has unexpectedly become a box-office phenomenon, largely because audiences consider it exceptionally poorly made. Released on August 5, the 86-minute film earned only RMB 7,169 (US$1,067) in its first nine days. But curiosity, online mockery, and viral memes subsequently drove audiences into theaters. By August 24, its cumulative box office had reportedly reached about RMB 45.2 million (US$6.3 million), while Maoyan’s professional platform projected a final total of around RMB 119 million (US$16.6 million).

The film tells the story of a young calf named “Niulai” and a leopard named “Baola.” Its crude 3D modeling, stiff animation, and seemingly illogical dubbing have become the focus of online jokes. The film was reportedly produced almost entirely by a mother-and-son team over five years, with the son handling directing, modeling, editing, and dubbing, while his mother handled the screenplay and additional dubbing. Industry estimates put the production cost at only several thousand to tens of thousands of yuan.

The film has generated a wave of online parody and remixing, with Chinese netizens creating spin-offs such as Malai, Goulai, Xionglai, and Lv Lai, featuring horses, dogs, bears, and donkeys, respectively.

Some political commentators interpret the phenomenon as more than simple entertainment, arguing that audiences may be expressing fatigue with the Chinese Communist Party’s (CCP) heavily promoted patriotic and political narratives and seeking a channel of non-mainstream expression. Others attribute its popularity primarily to its unusual production story, poor but genuine amateur quality, comedic effect, and the power of online meme culture.

Source: Epoch Times, August 20, 2026
https://www.epochtimes.com/gb/26/8/20/n14833144.htm

China Expands Supply Cooperatives’ Role in Agriculture and Rural Economy

China has released the National Supply and Marketing Cooperatives’ 15th Five-Year Plan, outlining 18 key tasks aimed at strengthening food security and supporting rural revitalization. By 2030, the plan calls for the construction or renovation of about 100 national strategic agricultural-input reserve facilities and 1,000 county-level agricultural-input distribution centers.

The plan would further expand the role of the supply-and-marketing cooperative system in agricultural machinery services, farmland management, agricultural processing, warehousing and distribution, and other agricultural services. The system currently has about 37,000 grassroots cooperatives and 856,000 business and service outlets nationwide. In some regions, cooperatives have also been incorporated into high-standard farmland management, county-level commercial networks, and emergency supply systems, while affiliated companies participate directly in procurement, wholesale, retail, logistics, and asset management.

Supply and marketing cooperatives were once a central part of China’s rural planned economy, controlling much of the distribution of fertilizer, pesticides, seeds, daily necessities, and agricultural products. Their influence declined after market reforms opened rural commerce to private businesses, but the system has been expanding again in recent years.

Critics warn that the expansion could increase state control over rural distribution and squeeze out private businesses, leaving farmers and consumers with fewer private alternatives and increasing their dependence on state-controlled distribution networks.

Source: Radio Free Asia, August 4, 2026
https://www.rfa.org/mandarin/zhengzhi/2026/08/04/china-supply-and-marketing-cooperatives-great-canteens-planned-economy/

Beijing Claims China’s Cooperation with Iran Is Legitimate and Should Not Be Disrupted

On August 24, the United States launched Operation Economic Outcast, a new campaign aimed at economically isolating Iran and targeting its financial and commercial networks. The Trump administration also warned countries and entities continuing to support Iran that they could face U.S. sanctions.

Xinhua News Agency reported China’s response, emphasizing that its cooperation with Iran has always been conducted within the framework of international law.

At a regular press briefing on August 25, Chinese Foreign Ministry spokesperson Lin Jian said China has repeatedly expressed its firm opposition to unilateral sanctions that lack a basis in international law and have not been authorized by the UN Security Council.

Lin said economic warfare and “maximum pressure” would not help resolve disputes but would instead further intensify tensions and conflicts, create spillover risks, disrupt the global economic and financial order, and harm the legitimate rights and interests of other countries. He said the immediate priority should be to de-escalate the situation and return to dialogue and negotiations as soon as possible.

Lin said China’s cooperation with Iran has always been conducted within the framework of international law and should not be interfered with or disrupted. He added that China is closely monitoring relevant developments and will take all necessary measures to firmly safeguard its rights and interests.

Source: Xinhua, August 25, 2026
https://www.news.cn/world/20260825/4f45e922e10649b29e9a0c89bbaf83d6/c.html

People’s Daily: Southern Europe’s Economic Recovery Offers Lessons on Economic Opening for Europe

People’s Daily published an article describing the economic success of four Southern European countries—Portugal, Italy, Greece, and Spain.

The article says that the European debt crisis more than a decade ago pushed the four economies into severe fiscal and economic difficulties, but they have since staged a significant recovery. Spain’s GDP grew 2.8 percent in 2025, well above the euro-area average, while Italy maintained strong manufactured-goods exports and Greece and Portugal recorded government surpluses.

The article argues that their recovery has been driven by structural reforms and greater openness to international trade and investment. It highlights cooperation with China as an example. After Chinese shipping company COSCO became involved in the operation of Greece’s Piraeus Port, it upgraded the port and expanded its shipping network, turning the once-struggling facility into a major Mediterranean logistics hub and creating thousands of jobs. In Spain, Italy, and Portugal, Chinese companies have also invested in renewable energy, infrastructure, logistics, and advanced manufacturing, bringing capital, technology, and access to broader markets while supporting industrial upgrading and job creation.

The article concludes that economic openness can bring greater benefits than protectionism, suggesting that European countries should avoid policies aimed at restricting economic ties with China.

Source: People’s Daily, August 24, 2026
https://world.people.com.cn/n1/2026/0824/c1002-40784672.html

Analyst Warns China May Face the Worst “Latecomer Disadvantage” in Asia

Economic commentator Sun, who specializes in economic history and political-economic trends, said in a YouTube video that China may face the most severe version of what he calls the “latecomer disadvantage” confronting many Asian economies. The concept suggests that countries can achieve rapid growth by adopting existing technologies and accelerating industrialization and urbanization, but this compressed development can also accelerate demographic aging and expose weaknesses in underlying institutions.

Sun points to Japan as an example and cites UN projections that Asia is becoming the world’s oldest region, with people aged 65 and above expected to account for one-quarter of Asia’s population by 2050. He argues that rapid urbanization and industrialization have contributed to falling birth rates and accelerated population aging across Japan, the Asian Tigers, and China.

He warns that as aging and slower growth intensify, governments may respond with increasingly aggressive stimulus measures that fail to address underlying demographic problems while creating new risks. He identifies excessive government debt, loss of confidence in the currency, and eventual financial and social instability as potential consequences, arguing that China could be the Asian economy that suffers the most.

Sun concludes that the experience of Asian economies shows that “learning from the West requires learning the whole system, not just half of it.” In his view, rapid economic development cannot be sustained without the broader legal, social, and institutional foundations that support mature Western economies.

Source: Epoch Times, August 17, 2026
https://www.epochtimes.com/gb/26/8/16/n14831003.htm

China Claims Resilience to Iranian Crude Disruption, but Its Arguments Are Questionable

China is playing down the impact of disruptions to Iranian oil exports, despite Iran supplying a significant share of China’s crude imports. People’s Daily recently published an article titled “The Energy Supply Must Remain in Our Own Hands,” arguing that China has demonstrated “remarkable resilience” despite the prolonged closure of the Strait of Hormuz and disruptions to Middle Eastern energy supplies.

The first part of the article focused on Shandong Province, home to many of China’s small, privately owned “teapot” refineries. It claimed that Shandong has sufficient oil supplies for two main reasons: First, although imports from the Middle East have declined this year, Chinese companies avoid significant disruptions via strengthened energy cooperation with countries including Brazil and Canada. Second, technological advances at the Shengli Oilfield in Shandong, including improved recovery rates and expanded shale-oil production, have increased domestic oil output to 23.71 million tons in 2025, a recent high.

However, Chinascope’s research suggests that making up the Iranian crude loss could be difficult. Chinese media outlet Sina reported that Shandong’s independent refineries rely heavily on crude from the Middle East, Africa, and Russia, importing more than 100 million metric tons in 2024 {2}. Reuters estimates that China receives about 1.4 million barrels of Iranian crude per day, equivalent to roughly 70 million metric tons annually {3}. China imported about 108 million tons from Russia and 44 million tons from Brazil in 2024 {4}, while Canadian crude imports reached 15.5 million tons in 2025 {5}. It would therefore be difficult for increased imports from Brazil and Canada to quickly replace the volume of Iranian oil potentially lost because of U.S. sanctions.

The second argument—rising domestic production—also appears insufficient to offset the potential shortfall. Shengli Oilfield’s output increased from 23.45 million tons in 2023 {6} to 23.59 million tons in 2024 {7} and 23.71 million tons in 2025. The 2025 increase was only about 120,000 tons, or 0.5 percent, from the previous year. That increase is negligible compared with the potential loss of Iranian supplies. Even Shengli’s entire annual production is only about one-third of the roughly 70 million tons of Iranian crude China imports annually.

These figures suggest that Beijing’s claim of “oil resilience” may be overstated and serves more as a propaganda message.

Sources:
1. People’s Daily, August 24, 2026
https://paper.people.com.cn/rmrb/pc/content/202608/24/content_30176622.html
2. Sina, December 29, 2025
https://finance.sina.com.cn/roll/2025-12-29/doc-inhemcnw8134191.shtml
3. Reuters, January 20, 2025
https://www.reuters.com/markets/commodities/chinas-crude-oil-imports-top-supplier-russia-reach-new-high-2024-2025-01-20/
4. Guru Focus, March 10, 2026
https://www.gurufocus.com/news/8692925/china-buys-155m-tons-of-canadian-oil-in-2025-as-shipments-jump-168?utm_source=chatgpt.com
5. Reuters, August 21, 2026
https://www.reuters.com/business/energy/iranian-oil-offers-chinese-buyers-fall-us-blockade-bites-sources-say-2026-08-21/6. China National Radio, January 14, 2024
https://news.cnr.cn/native/gd/20240114/t20240114_526557375.shtml
7. National Bureau of Statistics, January 17, 2025
https://www.stats.gov.cn/sj/zxfb/202501/t20250117_1958326.html

China Tightens Restrictions on Catholic Activities

Chinese Catholics reportedly face growing restrictions on religious activities in Shanghai and Beijing, including access to religious books, pilgrimages, online prayer services, and Catholic funeral rites. In Shanghai, the religious-items store at Xujiahui Cathedral has reportedly stopped selling the Bible, theology books, and commonly used Catholic prayer books. Similar reports indicate that some Beijing churches have also removed Bibles from sale.

Restrictions reportedly extend to collective pilgrimages, with a Beijing-area priest saying that parish groups now need government approval to travel to churches in other regions. Catholic online activities have also been affected. A Chinese Catholic platform reportedly stopped livestreaming the Rosary from Lourdes in December 2025, cutting off an important source of religious content, particularly for older Catholics.

On August 18, a Shanghai Catholic reportedly said that funeral homes across the city had stopped allowing Catholic funeral rites beginning this month, suggesting that the restrictions may now extend beyond religious activities during believers’ lives to Catholic end-of-life and funeral practices.

Source: Epoch Times, August 20, 2026
https://www.epochtimes.com/gb/26/8/20/n14833207.htm

Peru’s New Government Avoids Mentioning China and Chancay Port

Peru’s new government has emphasized trade openness and closer ties with the Asia-Pacific but notably avoided mentioning China or the Chancay Port in its first comprehensive policy address. Prime Minister Luis Galarreta said the government would seek to bring the Peru-Hong Kong free trade agreement into effect in 2026, pursue new trade agreements, and position Peru as a trade and investment hub between South America and the Asia-Pacific.

The omission of China is notable because China is Peru’s largest trading partner and a major investor in mining, energy, and infrastructure. Peru exported about $32 billion worth of goods to China last year, while the $1.3 billion Chancay deep-water port, built and operated by Chinese state-owned COSCO Shipping, has become a symbol of Beijing’s growing influence in Latin America and a focus of U.S.-China competition.

The omission does not necessarily signal a major shift in Peru’s China policy. President Keiko Fujimori and Foreign Minister Carlos Espá have emphasized attracting investment and maintaining strong relations with China. It remains unclear whether the government deliberately avoided sensitive China-related issues or simply focused its first policy address on domestic priorities.

Source: Liberty Times (Taiwan), August 21, 2026
https://ec.ltn.com.tw/article/breakingnews/5547601