US President Joe Biden signed an executive order on Wednesday restricting investments in China, intended to further stymie China's advances in three cutting-edge technology areas: semiconductors and microelectronics, quantum information technologies and certain artificial intelligence systems. The "decoupling" of high tech from China began under Donald Trump, and the Biden administration has continued that ambition. However, the new order doesn't target US investments already invested in China, but the new ones. The Biden administration has repeatedly claimed that the US restrictions will be narrowly targeted and will not "have a fundamental impact on affecting the investment climate for China." Biden's new executive order is still subject to consultation with the US business community and the public and is not expected to take effect until next year. The order has been brewed for a long time and has generated a lot of publicity. But almost no one believes that this executive order will deal a new practical blow to Chinese high technology, because almost everyone knows that China needs American technology more than American money. The order has gained much attention because it is seen as part of a broader trend of the US drifting away from China. The promulgation and brewing process of the executive order reflects the strong desire of American political elites to suppress China's high-tech development, as well as a fierce game between those supporting the executive order and the concerns of the technology and economic sectors about a potential backfire on the US. It is a kind of compromise. Washington obviously hopes that major allies will follow Biden's executive order. The UK's Sunak government has made cautious statements, stating that it is consulting business and the financial sector before deciding whether to follow suit. In fact, China also has the ability to influence the extent to which Biden's executive order is implemented, as well as the extent to which the US will go in terms of "decoupling" from China. We are definitely not just passive recipients of US policies. American political elites are eager to "decouple" from China as quickly and deeply as possible, but they fear two things: First, this will immediately damage the performance of relevant high-tech companies in the US, undermine their influence and further innovation. The current Biden administration, in particular, does not want to incur strong resentment from Silicon Valley and Wall Street toward the escalating "decoupling," which will ultimately lead to the loss of support for the Democratic Party. Second, they are afraid of pushing China toward more resolute independent innovation to achieve breakthroughs in key technologies such as chips. If the US "decoupling" policy gives birth to major technological achievements in China, it means that Washington will completely lose the gamble: They originally wants to stifle China's high-tech development, but ends up strangling their own companies. What China needs to do next is to fully unleash our innovation vitality, continuously reduce our dependence on high-tech products from the US, and prove that as long as we are determined to achieve independent innovation, we have the ability to accomplish things. We need to prove that being pressured by the US will only make us stronger. As long as there are several solid proofs of this trend, the US policy community will fall into unprecedented chaos, and their panic will be much more severe than when they saw the rapid expansion of the Chinese economy before Trump started the trade war. Regardless of the future of China-US relations, the current battle will be the key battle that determines the future competition between China and the US. China can only win and cannot afford to lose. High-tech products such as chips are not isolated. The innovation power of China's entire manufacturing industry and the creative vitality of the whole society are the foundation for shaping these key achievements. When pressured by the US, our society needs to generate confidence and resilience from all directions, and we need to accelerate and seize every opportunity, rather than shrink and simply defend. Otherwise, the US will gain the upper hand in momentum, and we will truly be in a passive and defensive position. We must see that the US is on the offensive, but its offensive is becoming weaker and weaker, and it is always hesitant with each step. What is presented to China are difficulties and risks, but also the dawn of victory.

Australia pledged on Tuesday to increase investment in Pacific island nations, offering A$6.3 million ($4.3 million) to support their financial systems. Some Western banks are cutting ties with the region because of risk factors, while China is trying to increase its influence there. Some Western bankers have terminated long-standing banking relationships with small Pacific nations, while others are considering closing operations and restricting access to dollar-denominated bank accounts in those countries. "We know that the Pacific is the fastest-moving region in the world for correspondent banking services," Australian Treasurer Jim Chalmers said in a speech at the Pacific Banking Forum in Brisbane. "What's at stake here is the Pacific's ability to engage with the world," he said, with much of the region at risk of being cut off from the global financial system. Chalmers said Australia would provide A$6.3 million ($4.3 million) to the Pacific to develop secure digital identity infrastructure and strengthen compliance with anti-money laundering and counter-terrorist financing requirements. Experts say Western banks are de-risking to meet financial regulations, making it harder for them to do business in Pacific island nations, where compliance standards sometimes lag, undermining their financial resilience. Australia's ANZ Bank is in talks with governments about how to make its Pacific island businesses more profitable amid concerns about rising Chinese influence as financial services leave the West, Chief Executive Shayne Elliott said Tuesday. ANZ is the largest bank in the Pacific region, with operations in nine countries, though some of those businesses are not financially sustainable, Elliott said in an interview on the sidelines of the forum. "If we were there purely for commercial purposes, we would have closed it a long time ago," he said. Western countries, which have traditionally dominated the Pacific, are increasingly concerned about China's plans to expand its influence in the region after it signed several major defense, trade and financial agreements with the region. Bank of China signed an agreement with Nauru this year to explore opportunities in the country, following Australia's Bendigo Bank saying it would withdraw from the country. Mr. Chalmers said Australia was working with Nauru to ensure that banking services in the country could continue. ANZ Bank exited its retail business in Papua New Guinea in recent years, while Westpac considered selling its operations in Fiji and Papua New Guinea but decided to keep them. The Pacific lost about 80% of its correspondent banking relationships for dollar-denominated services between 2011 and 2022, Australian Assistant Treasurer Stephen Jones told the forum, which was co-hosted by Australia and the United States. “We would be very concerned if there were countries acting in the region whose primary objective was to advance their own national interests rather than the interests of Pacific island countries,” Mr. Jones said on the first day of the forum in Brisbane. He made the comment when asked about Chinese banks filling a vacuum in the Pacific. Meanwhile, Washington is stepping up efforts to support Pacific island countries in limiting Chinese influence. "We recognize the economic and strategic importance of the Pacific region, and we are committed to deepening engagement and cooperation with our allies and partners to enhance financial connectivity, investment and integration," said Brian Nelson, U.S. Treasury Undersecretary for Counterterrorism and Financial Intelligence. The United States is aware of the problem of Western banks de-risking in the Pacific region and is committed to addressing it, Nelson told the forum's participants. He said data showed that the number of correspondent banking relationships in the Pacific region has declined at twice the global average rate over the past decade, and the World Bank and the Asian Development Bank are developing plans to improve correspondent banking relationships. U.S. Treasury Secretary Janet Yellen said in a video address to the forum on Monday (July 8) that the United States is focused on supporting economic resilience in the Pacific region, including by strengthening access to correspondent banks. She said that when President Biden and Australian Prime Minister Anthony Albanese met at the White House last year, they particularly emphasized the importance of increasing economic connectivity, development and opportunities in the Pacific region, and a key to achieving that goal is to ensure that people and businesses in the region have access to the global financial system.

Carlsberg to buy Britvic for 1,315p per share Carlsberg will also buy out Marston's from brewing joint venture Danish brewer plans to create integrated beverage business in UK Shares in Carlsberg, Britvic, Marston's all rise July 8 (Reuters) - Carlsberg (CARLb.CO), opens new tab has agreed to buy British soft drinks maker Britvic (BVIC.L), opens new tab for 3.3 billion pounds ($4.23 billion), a move the Danish brewer said would forge a UK beverage "powerhouse" and that sent both companies' shares higher. Carlsberg clinched the takeover with a sweetened bid of 1,315 pence per share - comprising cash and a special dividend of 25 pence a share - after the British company rejected 1,250 pence per share last month. The acquisition will create value for shareholders, contribute to growth and forge a combined beer and soft drink company that is unique in the UK, CEO Jacob Aarup-Andersen told investors on a conference call. "With this transaction we are creating a UK powerhouse," he said. He brushed off concerns from some analysts about integration risks, saying Carlsberg has a strong track record of running beer and soft drink businesses in several markets. Soft drinks already make up 16% of Carlsberg's volumes. COST SAVINGS As drinkers in some markets ditch beer for spirits or cut back on drinking altogether, brewers have looked to broaden their portfolio into new categories like hard seltzer, canned cocktails and cider, as well as zero-alcohol brews. Britvic sells non-alcoholic drinks in Britain, Ireland, Brazil and other international markets such as France, the Middle East and Asia. Carlsberg said the deal will deliver a number of benefits, including cost and efficiency savings worth 100 million pounds ($128 million) over five years as it takes advantage of common procurement, production and distribution networks. It will also see Carlsberg take over Britvic's bottling agreement with PepsiCo (PEP.O), opens new tab. Carlsberg already bottles PepsiCo drinks in several markets and there is scope to add more geographies in future, Aarup-Andersen said. arlsberg halted share buy backs on Monday as a result of the deal. Chief financial officer Ulrica Fearn said these would resume once Carlsberg reaches its revised target for net debt of 2.5 times EBITDA, from 3.5 times currently - a goal it expects to meet in 2027. "Whilst this represents a shift in the strategy away from organic top- and bottom-line growth and consistent returns to shareholders, we view it as a relatively low risk transaction with attractive financials," Jefferies analysts said in a note. Carlsberg also said on Monday it will buy out UK pub group Marston's (MARS.L), opens new tab from a joint venture for 206 million pounds. That will give it full ownership of the newly formed Carlsberg Britvic after the deal. ($1 = 0.7805 pounds) Get the latest news and expert analysis about the state of the global economy with Reuters Econ World. Sign up here. Reporting by Stine Jacobsen, Yadarisa Shabong and Emma Rumney Editing by Sherry Jacob-Phillips, Rashmi Aich, David Goodman and David Evans

NEW DELHI, July 9 (Reuters) - India's beleaguered Paytm (PAYT.NS), opens new tab has secured approval from a government panel that oversees investments linked to China to invest 500 million rupees ($6 million) in a key subsidiary, three sources with direct knowledge of the matter said. The approval, which still has to be vetted by the finance ministry, will remove the main stumbling block to the unit, Paytm Payment Services, resuming normal business operations. Paytm Payment Services is one of the biggest remaining parts of the fintech firm's business, accounting for a quarter of consolidated revenue in the financial year ended March 2023. A separate unit, Paytm Payments Bank, was wound down this year by order of the central bank due to persistent compliance issues, triggering a meltdown in Paytm's stock. The government panel had earlier held back approval due to concerns about the 9.88% stake in Paytm held by China's Ant Group. India has intensified scrutiny of Chinese businesses since a 2020 border clash between the two countries. All in all, Paytm has been waiting for the nod from the government panel for about two years and without it, it would have had to also wind down its payment services business, which was forbidden from taking on new customers in March 2023. Once the approval has been formalised, it will be able to seek a so-called "payment aggregator" licence from the Reserve Bank of India. The sources, two of whom are government sources, declined to be identified as the decision has not been formally announced. India's foreign, home, finance and industries ministries, whose representatives sit on the panel, did not reply to emails seeking comment. A Paytm spokesperson said the company does not comment on market speculation. "We will continue to make disclosures in compliance with our obligations under the SEBI Regulations, and will inform the exchanges when there is any new material information to share," the spokesperson said.

At the beginning of this year, Elon Musk had a fortune of $251 billion and could almost single-handedly solve world hunger. However, Tesla's stagnant sales, the endless struggle to buy Twitter, and the volatility of Tesla's stock price meant he lost a lot of money this year. According to Forbes, Musk is the billionaire with the most losses so far this year, with his wealth shrinking at a rate of about $5 billion a month. According to the website, his wealth shrank by more than 10% from the end of 2023 to June 28, 2024. As the website explains: Between December 31, 2023, and June 28, the last day of regular stock market trading for the first half of the year, Musk's net worth fell from $251.3 billion to $221.4 billion, a bigger drop than any other billionaire tracked by Forbes, but Musk remains the richest person on the planet. The main reason for the dip in Musk's pocketbook is that a Delaware judge in January canceled Musk's then-record Tesla compensation package worth $51 billion, which led Forbes to cut the value of the equity award by 50 percent because of uncertainty about whether Musk would receive those stock options. Excluding that bonus, Musk's wealth has remained volatile over the past six months, with the value of his 13 percent stake in Tesla shrinking by about $20 billion as falling profits and car deliveries sent the stock down 20 percent. But that was partly offset by the growth of Musk's stake in his generative artificial intelligence startup xAI to $14.4 billion (Musk also has a roughly $75 billion stake in private aerospace company SpaceX, a $7 billion stake in social media company X, And smaller stakes in other companies, such as brain experimentation startup Neuralink).