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July 28, 2026

Daily Briefing β€” 2026-07-28

China Compass Daily Briefing

Β 
CHINA COMPASS
Briefing Β· 2026-07-28 Β· 17 signals
Canada-China bilateral trade (May 2026)
$11.9B
Imports
$7.8B
Exports
$4.1B
πŸ“‹ Today's Briefing

China has taken a strong stance against the US, urging Washington to halt its threats of sanctions against Chinese AI companies. The Chinese government has accused the US of engaging in AI hegemony, a move that could escalate tensions between the two global powers.

In other news, the Tokyo District Public Prosecutors Office has indicted a Self-Defense Forces officer for breaking into the Chinese embassy in Japan. This development follows a psychiatric evaluation confirming the officer's mental fitness to stand trial. The incident has sparked diplomatic discussions between China and Japan.

Additionally, Beijing's Central Axis, a UNESCO World Heritage site, celebrated its second anniversary with public events and new exhibitions at key heritage points. This cultural milestone highlights China's commitment to preserving its rich historical legacy.

The bottom line: The escalating tensions between China and the US over AI sanctions could have far-reaching implications for global technology and trade. Meanwhile, the indictment of the Japanese officer adds a new layer to the complex diplomatic relations between China and Japan.

China Compass tracks daily Canada-China relations, trade, and geopolitical signals. Stay informed with our daily briefings at www.chinacompass.ca.

β—†
πŸ”” Top Signals
πŸ’» technology
China urges the U.S. to stop threatening sanctions against Chinese AI firms
Why it matters
BEIJING, July 27 (Xinhua) -- On Monday, China urged the United States to stop smear campaigns against Chinese AI companies and threatened them with sanctions, stating that such actions lack factual and legal grounds and constitute a typical form of AI hegemony.
Xinhua Β· 2026-07-27
🀝 diplomatic
Regular Press Conference of Foreign Ministry Spokesperson Lin Jian on July 28, 2026
Why it matters
CCTV: It is reported that the Tokyo District Public Prosecutors Office has indicted the Self-Defense Forces officer who broke into the Chinese embassy in Japan with a knife after a psychiatric evaluation confirmed that he is mentally fit to be held criminally responsible for his actions.
β†’ What is China's comment? Lin Jian: It has been four months since Kodai Murata, a sitting officer of Japan’s Self-Defense Forces, illegally entered the Chinese embassy in Japan with a knife.
MFA China Β· 2026-07-28
πŸ‘₯ social
Beijing's Axis Line Heritage Sites Celebrate Two Years of Successful Nomination
Why it matters
On that day, heritage points along the axis including the Forbidden City, China National Museum, Zhengyang Gate, Xiangnongtan, and Bell and Drum Towers opened to the public and launched new exhibitions to celebrate this significant moment.
Xinhua Β· 2026-07-28
πŸ›οΈ political
China's Position on the So-called Excess Capacity Issue
Why it matters
BEIJING, July 28 (Xinhua) -- On Tuesday, China's Ministry of Commerce released a document entitled "China's Position on the So-called Excess Capacity Issue." Please see the attachment for the document.
β†’ China's Position on the So-called Excess Capacity Issue.
MOFCOM Β· 2026-07-28
βš–οΈ legal
The CPC Central Committee and the State Council Forward the Ninth Five-Year Plan for Legal Education (2026-2030) Issued by the Ministry of Justice and the Central Propaganda Department
Why it matters
Xinhua News Agency, Beijing, July 27 Recently, the Central Committee of the Communist Party of China and the State Council forwarded the Ninth Five-Year Plan (2026-2030) of the Central Propaganda Department and the Ministry of Justice on carrying out publicity and education on the rule of law, and issued a notice requesting all departments in all regions to implement it carefully in combination with practice.
β†’ Creating a good environment for the rule of law...
State Council Β· 2026-07-28
β—†
πŸ“Š Market Snapshot
β–² Top Gainers
NetEase HK$199.60 β–² +4.50%
JD.com HK$124.10 β–² +4.11%
NIO Inc HK$36.98 β–² +2.10%
β–Ό Top Losers
PetroChina HK$9.84 β–Ό -0.10%
WuXi Biologics HK$38.58 β–Ό -0.21%
CNOOC HK$22.98 β–Ό -0.95%
πŸ’± Currency Rates
USD/CNY 6.76 β–Ό -0.20%
CAD/CNY 4.78 β–Ό -0.56%
USD/CAD 1.41 β–² +0.20%
View Full Briefing β†’
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