Xi Jinping Boosts Private Sector in China Amidst U.S. Tech Tensions

In a groundbreaking development, the China Ship Scientific Research Centre has unveiled a compact device capable of cutting undersea cables at depths up to 4,000 meters. This device, designed for dual use in civilian salvage and seabed mining, has the potential to disrupt vital global communication networks, as it targets armoured cables that facilitate 95% of data transmission worldwide, according to the South China Morning Post. Engineered by a team led by Hu Haolong, the device employs a diamond-coated grinding wheel that rotates at 1,600 rpm to cut through steel-reinforced cables while minimizing environmental disturbance. The design successfully addresses the challenges of high-pressure underwater conditions, utilizing a titanium alloy shell and advanced positioning technology for precise operation. While officials assert that the tool is intended for marine resource development, military analysts express concerns about its implications for global security, particularly near strategic locations like Guam, critical to U.S. military operations. This development is part of China’s broader efforts to expand its undersea capabilities and enhance its status as a leading maritime power.

Low-cost drone accessories from Chinese e-commerce platforms such as Temu and AliExpress are raising concerns about the potential for mainstream quadcopters to be easily converted into weapons. Researchers from Red Balloon, a security firm, have discovered various add-ons including AI-guidance modules and long fiber optic tethers, which can allow users to operate drones beyond the range of signal jammers. These technologies have been observed in the Russia-Ukraine conflict, and similar items can be purchased for less than $300. Ang Cui, CEO of Red Balloon, expressed alarm over how inexpensive these products have become, emphasizing that they can empower anyone, from criminal groups to individuals with malicious intent, to conduct violent acts. "These are toys that are really amazing at killing people," Cui stated. The alarming ease of access to military-grade drone technology highlights the need for regulatory measures. However, Alibaba and Temu have yet to comment on the potential risks posed by these accessories. As the situation evolves, experts warn that weaponized drones may present significant threats to public safety.

China has declared its readiness for "any type of war" with the United States in response to President Donald Trump's escalating trade tariffs. The two nations are inching closer to an economic conflict, with Trump recently imposing additional tariffs on all Chinese imports, prompting Beijing to retaliate with 10-15% tariffs on U.S. agricultural products, according to statements from China's embassy reposted on social media. In a speech at the National People's Congress, Premier Li Qiang emphasized the government's focus on increasing defense spending by 7.2% this year, while asserting that China remains confident in its economic growth despite external pressures. As reported by Reuters, this increase is part of China's broader strategic initiative amid claims that the U.S. is attempting to shift blame for the fentanyl crisis onto China. The statement also expressed Beijing's condemnation of what it sees as U.S. bullying tactics, asserting that intimidation will not deter China. Analysts suggest that while China maintains a military budget of $245 billion, it may underreport actual defense spending. As tensions rise, both nations' leaders are grappling with complex geopolitical challenges that could affect global markets.