☕️ Good morning, friends,

For as long as anyone can remember, it’s always been the same fear: sundials kill jobs, steam engines kill jobs, AI kills jobs.

But new technologies create jobs your grandparents could only have dreamed of. China is now desperately seeking drone flight planners (m/f/d).

Wishing you all a smooth flight into the week!

P.S. You’ve definitely NEVER seen Donald Trump like this before…

🤝 P.P.S. For our webinar “The China AI Playbook,” there are only 28 tickets available. Secure your spot now.

BENCHMARKS

NUMBERS

178 billion USD

This is the record high in assets that Hong Kong’s MPF retirement fund has reached this year. The number of MPF millionaires has doubled compared with five years ago.

1.42 million

That’s how many new energy vehicles China exported in the first half of the year, a 41 percent increase. Growth well above last year’s rate.

31%

That is how much hotel rates in Osaka rose year-on-year, driven by Expo visitors. The increase far exceeds the national average.

TOP BIT

🌐 China Wants to Set Up a Global AI Organization

China’s Premier Li Qiang has called at the country’s most important AI summit for the creation of a worldwide body to coordinate and regulate artificial intelligence. The aim: to drive technology transfer, set standards, and position itself as a counterbalance to the new US action plan.

The Details

📣 Multilateral vs. America First: While the US pursues export offensives and decoupling, China is advocating open AI access—especially for Global South countries.

🤝 Diplomacy in Shanghai: Delegates from over 30 nations are debating the structure and headquarters of a new organization. At the same time, China is showcasing the strength of its AI ecosystem with more than 3,000 products and 40 major language models.

🧠 China’s Vision: A unified governance framework, reduced fragmentation, enhanced talent exchange, and a global open-source AI community.

🛑 The Contrast: Three days earlier, Donald Trump unveiled a US plan focused on “anti-woke” AI models and reinforcing American dominance.

Why It Matters

• Battle of World Orders: AI is a strategic linchpin. Whoever writes the rules will shape tomorrow’s markets.

• China’s Offensive Strategy: Instead of merely reacting, Beijing is actively promoting its own vision for global tech governance.

• Trust as a Resource: While the West emphasizes regulation, China sells openness—strengthening its influence in the Global South.

Background

The World Artificial Intelligence Conference (WAIC) is China’s premier tech forum. The push for a global coordinating body was first detailed there.

AI was enshrined as a new growth model in China’s 14th Five-Year Plan in 2020, and since then the domestic AI ecosystem has rapidly expanded—with home-grown chips, models, and robots—even under US sanctions.

📊 All Data & Details: CNBC, The Straits Times, SCMP

WEBINAR

🧠 The China AI Playbook

Everyone is talking about AI. We’ll show you how it really works.

In just 90 minutes, discover the latest trends and how we used AI to make our processes profitable.

You’ll get:

✅ The latest AI trends from Asia
✅ A real use case from our own work
✅ A 340-page AI report
✅ The asiabits automotive dossier

Bonus: 45 minutes of live Q&A – ask us anything (except for our Netflix passwords).

📅 Only 28 tickets! The first ten attendees get 10% off.

👉🏻 Secure your spot now.

HEAD OF THE DAY

🇰🇷 Jay Y. Lee

⚙️ From founder’s son to tech captain: Jay Y. Lee studied in Seoul and Japan, became vice chairman of Samsung Electronics in 2012, navigated the company through a bribery scandal and presidential pardon, and today, as Executive Chairman with a $10.6 billion net worth, drives its global innovation strategy with a clear AI vision.

👉 Lesson learned: An acquittal doesn’t automatically erase lost trust. Only through airtight compliance and transparent decision-making can a company rebuild credibility over the long haul.

MARKET BIT

🇺🇸 US Automakers Complain Over Japan Deal

Details

📉 15% Tariff Instead of 25%: Trump cuts the punitive duty on Japanese imports to 15%, while simultaneously announcing a vague $550 billion investment pledge from Tokyo for US industrial projects.

🚘 Cost Disadvantage for Detroit: GM, Ford, and Stellantis still face 50% steel tariffs and 25% on parts, leaving them clearly worse off than Toyota & Co.; the UAW calls it a “missed opportunity.”

🇯🇵 Questionable Market Opening: US brands hold only about 6% of Japan’s market share; experts doubt that large pickups and SUVs will find buyers there—even with simplified approvals.

💰 Investment Haze: The $550 billion is neither contractually secured nor defined in structure, timeline, or expected returns; critics fear it’s purely an election-year narrative.

Why It Matters

• Shifted Competitive Balance: Lower tariffs for Japanese vehicles could put US Rust Belt manufacturing and jobs under renewed pressure.
  

• New Trade Logic: After months of threatening 25% duties, a 15% rate feels almost moderate—and raises pressure on the EU and South Korea to strike similar deals.
  

• Credibility Test: Whether the $550 billion truly materializes will determine new plants for chips, energy, and defense—shaping Trump’s economic legacy.

👉🏻 Full Story: AP, Axios

TOP READS

⚔️ Thailand Pushes Talks: Bangkok aims to resolve deadly border fighting with Cambodia via direct dialogue, but welcomes Malaysia and ASEAN mediation. Over 100,000 evacuated, at least 15 reported dead in Thailand. Full Story.

📱TikTok Faces Another US Shutdown: Commerce Secretary Lutnick warns TikTok will go dark if China blocks the sale. US demands control over algorithm and tech. 170 million users affected, deadline ends in September. Full Story.

⚛ China Unveils Groundbreaking Fast Reactor: State-owned CNNC presented the CFR-1000 design at an experts symposium in Fuzhou. The innovative reactor, with 1.2 GW capacity, is expected to start after approval post-2030, boosting China's global competition in advanced nuclear energy and promising worldwide progress in cleaner power sources. Full story.

OPTIONAL READS

Singapore: The country plans its initial nuclear projects with ASEAN for sustainable energy production. More on this.

Japan: Japan’s megabank Mizuho expands its European footprint by acquiring a London-based renewables M&A advisory firm. More on this.

China: Pop Mart sues 7-Eleven outlets in California over alleged trademark infringement. More on this.

FORTUNE COOKIE

🪆 Matryoshka Fever in Manzhouli: Who would’ve thought that, for once, no AI is behind the next internet hype? In Manzhouli on China’s northern border, two oversized matryoshka-doll hotels tower over the city.

The internet is split: to some, a fairytale backdrop; to others, more like a Squid Game–style nightmare.

The room service is genuinely creepy. Would you open the door for it? 👀

Putin’s lodging on his next China visit? We say “da!”

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Spotted something funny, interesting, or noteworthy in or about Asia? Send it to [email protected] and we’ll feature it right here!

FEEDBACK

See you tomorrow in your inbox, 

Thomas, Michael & the Team of asiabits