CHINA, RUSSIA PLAN TO TAKE DOWN STARLINK
Leaked documents from the China Aerospace Science and Technology Corp. reveal a plan between China and Russia to disable Elon Musk's Starlink satellite network. The plan is based on a three-level escalation ladder: diplomatic obstruction, a shared electromagnetic-jamming architecture, and network paralysis combining cyber warfare with kinetic countermeasures to destroy satellites faster than SpaceX can launch replacements. The documents reveal a partnership "to build weapons neither country could develop alone," including Starlink-specific malware and jamming devices. They reference a meeting between officials from China's Central Military Commission and Russian defense contractors to co-develop a system to intercept U.S. hypersonic missiles. (Der Spiegel, July 9, 2026; The Insider, July 9, 2026; United24, July 9, 2026)
CHINA, DPRK AFFIRM MUTUAL DEFENSE TREATY
Premier Li Qiang and his North Korean counterpart, Pak Thae Song, pledged to expand strategic and economic cooperation during recent bilateral talks in Beijing. The meeting marked the 65th anniversary of the 1961 China-DPRK Treaty of Friendship, Cooperation and Mutual Assistance, which enshrines a commitment to military intervention if either side is attacked. Li affirmed Beijing's desire to improve ties with Pyongyang, and called for closer alignment to defend shared geopolitical interests. For his part, Pak said North Korea supports China's core interests and supports more economic, technological, and infrastructural connectivity. (Saudi Gazette, July 11, 2026)
BEIJING CURBS FOREIGN ACCESS TO NEW AI MODELS
Over the last month, Chinese authorities have been holding meetings with the country's top tech firms, including tech giants Alibaba and ByteDance, to discuss impending restrictions on foreign access to their advanced AI models. The restrictions would target future frontier models, including the successors to Alibaba's Qwen and ByteDance's Doubao, and limit who can fund domestic AI start-ups. Beijing recently ordered Meta to unwind the $2 billion acquisition of Chinese startup Manus and has launched export-control investigations into AI firms relocating abroad. (Taipei Times, July 12, 2026)
GERMAN AUTO SALES PLUMMET IN CHINA
German carmakers are experiencing historic sales declines in China, driven by weakening domestic demand and a fierce price war with local electric vehicle (EV) manufacturers. German brands remain heavily reliant on internal combustion engine vehicles at a time when Chinese consumer preference has shifted toward more affordable, tech-heavy domestic EV brands. During the second quarter of this year, China sales for Volkswagen, Mercedes-Benz, BMW and Porsche fell between 30% and 41% year-on-year. Mercedes-Benz said China was "a significantly weaker overall market and macroeconomic environment," while Porsche described the market as "challenging." (Associated Press, July 11, 2026)
TWO SENTENCED IN CHINESE FENTANYL TRAFFICKING SCHEME
A federal court has sentenced two New Jersey men for their roles in an illicit network that imported more than one metric ton of fentanyl analogues and other narcotics directly from China. Sean Tighe received a 151-month prison sentence after pleading guilty to distributing fentanyl analogue pills and laundering money via wire transfers and bitcoin to Chinese suppliers. His co-conspirator Juan Rodriguez got 60 months for possession with intent to distribute. The ring used commercial air freight and package delivery services to smuggle chemicals from China, which they pressed into pills at a Newark facility. (South China Morning Post, July 10, 2026)
[EDITOR'S NOTE: The Trump administration has intensified diplomatic and economic pressure on Beijing to restrict fentanyl precursor exports and dismantle the associated illicit financial networks trafficking synthetic opioids into the United States.]
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