On today’s show Andrew and Bill begin with a week of escalating rhetoric in response to Japanese Prime Minister Sane Takaichi’s comments about a Taiwan contingency. Topics include: Memories of Senkakku Islands tensions in 2012, why protests in the streets are unlikely this time, possibilities to escalate and de-escalate from here, and possible PRC motivations for reacting so forcefully. From there: A new round of disappointing real estate data while Lou Jiwei predicts prolonged contraction, “phantom loans” at banks, and a rescue mission for the Shenzhou 21 crew at Tiangong space station. At the end: A leaked White House memo alleges Alibaba is cooperating with the PLA, Hasan Piker’s viral travels spawn thoughts on Western influencers touring China, and a BBC journalist is reportedly under investigation for espionage in Brussels.

Get all episodes of Sharp China, Sharp Tech, Stratechery Updates and Interviews, Greatest of All Talk, Asianometry and the Dithering Podcast as part of Stratechery Plus for $15/month or $150/year.

Bill Bishop is the author of Sinocism

To email the show: email@sharpchina.fm

@SharpTechPodcast Channel — YouTube

@Stratechery Channel — YouTube

PRC-Japan crisis; October government spending drops; Real estate prices continue to decline; Shenzhou 20 crew returns — Sinocism

Weak October credit data; CSRC head to resign?; No letup in PRC attacks over Japanese PM’s Taiwan comments; New Model of Global Leadership; Nexperia — Sinocism

Saber-rattling about militarily intervening in the Taiwan Strait situation will only lead Japan down a road of no return — PLA Daily

How Japan’s new prime minister has brought China’s ‘wolf warriors’ back out — CNN

Japan senior diplomat visits Beijing to ease spat over Taiwan — Nikkei Asia

China Secondhand Home Prices Fall in All Major Cities for Second Month — Caixin

China Sees Worst Credit Growth in a Year as Demand Dries Up — Bloomberg

China Banks Issue Phantom Loans to Hit Targets in Slow Economy — Bloomberg

Exclusive: GM wants parts makers to pull supply chains from China — Reuters

White House memo claims Alibaba is helping Chinese military target US — Financial Times

Tesla Wants Its American Cars to Be Built Without Any Chinese Parts — Wall Street Journal

US influencer Hasan Piker’s China tour draws fire after viral Tiananmen police encounter — SCMP

america against china against america — Jasmine Sun

Sinocism Live: Dispatches from China with Afra Wang and Jasmine Sun — Sinocism

BBC journalist probed by secret services over China spying allegations — Daily Mail