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The Exchange - October 21, 2022

2022-10-21
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  • China Holds Its 20th National Party Congress | The Communist Party of China (CPC) began its 20th National Party Congress on Sunday, with a report from the party's General Secretary Xi Jinping. The report replenished the idea of the Sinicization of Marxism and highlighted national security and the development of education and technology. However, some noted a surprising lack of emphasis on markets. While some said the report signaled a tendency toward self-sufficiency, a senior economic official reaffirmed that “China’s door will only open wider.”
  • Blinken Warns Of A “Much Faster Timeline” For Taiwan | U.S. Secretary of State Anthony Blinken stated that China was resolved to pursue reunification with Taiwan on a “much faster timeline” than expected in an unusual comment about China's intention to forcefully overtake the island. The remark came after President Xi reiterated that China will do its utmost to achieve peaceful reunification with Taiwan but would not rule out using force.
  • Western Suppliers Cut Ties with China | Following Biden’s new export controls, Western suppliers have begun to cut ties with Chinese chipmakers. One such company, ASML, has directed employees to stop working on any equipment at Chinese chip factories while the exact rules are being decided. The executives of American companies, such as AMEC, are also affected by the new rule, which could force them to decide between jobs and U.S. citizenship. Observers warn Biden’s restrictions will also cut off the talent flow going into China.

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