logo
China is laughing at the West's lack of ‘stamina'. It has a point

China is laughing at the West's lack of ‘stamina'. It has a point

Telegraph05-05-2025
China has turned up the trolling. When Donald Trump announced his April 2 'liberation day' tariffs singling out China, Communist Party propagandists responded with AI-generated movie clips of the US president and JD Vance, his vice-president, wearily stitching hats and putting together electronics in sweatshops. China was goading the United States, saying: 'This is the dirty work we do for you – are you sure you want to do it instead?'
But the latest provocation, which has gone largely unnoticed, cuts deeper. China is questioning whether the West has what it takes to sustain an advanced technological society in the long-term. It has 'strategic stamina' and claims we do not.
The occasion of this dig was a relatively minor nuclear announcement. China has created a small, experimental thorium molten salt reactor (MSR), and claimed a world first in being able to refuel it without shutting it down. Thorium reactors are a road not taken, an alternative to designs based on the uranium fuel cycle that the West adopted.
For once, Chinese engineers and scientists didn't steal intellectual property but used declassified US documents on projects that the West had abandoned and developed them. China's new reactor builds on work abandoned by the United States as recently as 2018.
Thorium, a radioactive metal named after the Norse god Thor, has some merits. It's much more abundant than uranium and can act as a fuel as well as a coolant. It destroys waste as it goes along, so has long been touted as a safer option for smaller countries that want to adopt nuclear energy.
However, thorium fuel cycle designs were less efficient than ones using uranium and plutonium and thorium projects were mothballed. The decision was not uncontroversial. As Edward Teller, the father of the hydrogen bomb, wrote in his final published paper in 2003 at the age of 94, this was a 'mistake': molten salt reactor development should have 'kept going as a backup option'.
After that, interest in thorium molten salt designs briefly flickered into life once again – there was even an all-party parliamentary group on thorium energy at Westminster. However, the movement waned once again. The group last met a decade ago.
Now for the trolling. Xu Hongjie, of the CAS Shanghai Institute of Applied Physics and a 70-year-old veteran of nuclear engineering, is the man behind China's new thorium breakthrough. Announcing the achievement, he couldn't resist contrasting the persistence of his engineers to his counterparts, and the policy elites, in the fickle West.
'The US left its research publicly available, waiting for the right successor. We were that successor,' he told China's state-owned Guangming Daily.
Taking a very long-term view is something China prides itself on. We like to attribute this trait to them, too. For example, the comment by late premier Zhou Enlai that it was 'too early to tell' if the French Revolution had been a success has long been trotted out as an example of the Middle Kingdom's far-reaching view. But it turns out not to be true. The comment, made in the 1970s, was actually about the 1968 unrest in Paris, not the French Revolution.
But the misattribution belies a deeper truth. In case there was any ambiguity, Mr Xu made it clear. In nuclear energy, he says, 'rabbits sometimes make mistakes or grow lazy. That's when the tortoise seizes its chance ... You need to have strategic stamina, focusing on doing just one thing for 20, 30 years'.
Ouch. This hurts, because we know it's true: we have no 'strategic stamina'.
'China likes to rattle us about its technological advances, but it's right about strategic stamina,' says one nuclear industry source.
A little caution is needed before declaring that we're falling behind in a nuclear race, and a 'race' is not always the best metaphor in any case (it certainly isn't with artificial intelligence). Molten salt reactors still represent a formidable technical challenge: their Achilles' heel is the presence of salt, which as any boat owner knows, brings big trouble.
Problems are only magnified in a radioactive high-temperature environment, where the fluorine created in the process 'unleashes a persistent chemical assault' that 'renders typical alloys like stainless steels defenceless,' as one chemical engineer vividly explains. China's tiny 2 megawatt demonstration unit is very far away from a commercial product, much smaller even than the reactor used in a nuclear submarine.
The real nuclear story is one it learnt from France: build a lot of reactors quickly. China has 58 operational reactors, 30 more gigawatt-scale reactors are under construction, and it approved another 10 last week. Meanwhile, we agonise over building half a dozen small ones, and bury our plutonium stockpile to appease the climate gods. 'Keep ordering new units and the costs come down,' says the insider. France has proved that works.
But Xu is articulating something much bigger: a civilisational challenge.
'We should worry. Contrary to the fashionable view, humans are defined not so much by their communications or psychology, but by what they produce. No pyramids, no Egyptian civilisation,' says James Woudhuysen, visiting professor of forecasting and innovation at London South Bank University.
Civilisations fail for all kinds of reasons but one is that they stop taking the important things seriously. Our own policy elites fixate on speculative issues rather than resilience and energy security. Policy experts obsess over small supply-side tweaks and hacks that bring marginal gains, rather than the big picture.
The people who have scientific and technical backgrounds are almost completely absent in Whitehall or the policy think tanks of SW1. The engineering-led innovation in the kind of deep technology that can sustain a prosperous society is being neglected.
China's latest trolling is just adding insult to injury – the injury that we know we've inflicted on ourselves.
Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

FNZ signs five-year cloud and AI deal with Microsoft
FNZ signs five-year cloud and AI deal with Microsoft

Finextra

timea minute ago

  • Finextra

FNZ signs five-year cloud and AI deal with Microsoft

FNZ, a leading end-to-end wealth management platform has today announced a global, five-year strategic partnership with Microsoft to transform the wealth management industry through technology, innovation and AI-driven digital solutions. 0 The partnership combines FNZ's industry-leading technology, wealth management expertise and global reach with Microsoft's advanced AI capabilities, cloud infrastructure and engineering excellence. By integrating Microsoft Azure AI Foundry at the heart of its platform, FNZ is redefining how financial institutions, advisors and their clients interact by delivering more personalized, intelligent and resilient digital wealth management experiences. This collaboration with Microsoft accelerates this transformation by helping FNZ bring new solutions to market faster, enhance client outcomes, boost advisor productivity and drive innovation across industry. With more than 650 financial institution partners, over 26 million end investors and close to $2 trillion in assets under administration, FNZ brings scale to the partnership. This provides access to one of the largest wealth management data sets in the world, enabling the powerful application of AI, cloud technologies and analytics to deliver deeper insights, greater personalization and better outcomes for advisors, clients and institutions alike. Through the partnership, FNZ will work with Microsoft to deliver advanced AI tools, drive new technology development and collaborate on joint go-to-market initiatives, including: • Creating a next-generation advisor and investor experience: FNZ will integrate Azure AI Foundry capabilities, including Azure OpenAI in Foundry Models, into its market-leading platform to provide enhanced personalization, greater efficiency and a next-generation user experience. • Innovative applications for data and analytics: FNZ will utilize Microsoft Fabric to strengthen its data and analytics capabilities, delivering deeper insights tailored to the unique needs of wealth managers and advisors. • Co-development and joint engineering: FNZ will develop new digital wealth solutions by embedding Azure AI Foundry into FNZ's global platform. Joint engineering teams will accelerate product innovation, enhance platform intelligence, and deliver secure, scalable services that strengthen risk management, compliance and resilience. FNZ will also deploy GitHub Copilot across its engineering teams to boost developer productivity and innovation. • Resilience and scalability: By combining FNZ's market-leading platform and delivery capabilities with Microsoft's technologies and tooling, the partnership will help create more resilient, scalable and industrial-strength solutions for financial institutions. • Enhancing operational efficiency: FNZ will also deploy Microsoft 365 Copilot and intelligent agents to support middle- and back-office processes. • Global joint go-to-market: FNZ will collaborate with Microsoft on joint go-to-market activities, including the development and deployment of modular wealth solutions through multiple channels, including the Microsoft Marketplace, alongside coordinated global marketing initiatives and joint participation in industry events. Roman Regelman, Group President, FNZ, said: "FNZ has always been at the forefront of innovation in wealth-management technology. Partnering with Microsoft allows us to accelerate our AI-led roadmap and enhances our ability to deliver personalized, intelligent and resilient solutions to our clients, strengthening our position of leadership." "Together, we are not just upgrading technology. We are setting a new standard for how wealth management is delivered. Partnering with Microsoft further advances our mission to open up wealth, by making investing more accessible to more people worldwide." Bill Borden, Corporate Vice President, Worldwide Financial Services, Microsoft, said: 'Our partnership brings together Microsoft's AI and cloud technologies with FNZ's global platform and expertise in wealth management to deliver insights that will lead to more impactful and personalized experiences for advisors and their clients. Together, we're helping financial institutions lead as Frontier Firms by reimagining their operations through agentic AI, accelerating innovation, and unlocking new value across the wealth management ecosystem.' FNZ is backed by some of the world's largest institutional shareholders, including Caisse de dépôt et placement du Québec (La Caisse), Canada Pension Plan Investment Board (CPP Investments), Generation Investment Management and Motive Partners.

No AI? No exit, says investment bank Artis Partners
No AI? No exit, says investment bank Artis Partners

Finextra

timea minute ago

  • Finextra

No AI? No exit, says investment bank Artis Partners

Fintechs that fail to embed AI into their operating model will find it increasingly difficult to orchestrate an exit, according to investment bank and tech advisory firm Artis Partners. 0 Embedded AI has become a fundamental trigger for enterprise software acquisitions, reshaping how strategic buyers select targets, according to Victor Basta, managing partner at Artis Partners. 'Without a deeply embedded AI story, soon it will probably become impossible for any digital-first business to succeed in terms of getting an exit,' he says. Most strategic buyers — particularly mid-market public companies and larger private equity-backed platforms — are acquiring businesses which have successfully embedded AI into their product functionality and operational delivery, says Basta. 'These companies don't manifest as AI businesses. They're not on a Gartner AI list,' he adds. 'But that capability 'under the hood' is exactly what buyers are chasing. It's about acquiring businesses with customers, product, and domain strength, but with AI capability already built in.' This marks a clear shift from 12 months ago, when AI-native model-builders and enterprise software companies operated in separate market segments. Today, strategic buyers no longer separate these categories, as adoption quickly becomes more use case driven rather than infrastructure led. Additionally, buyers are assigning higher valuations based on perceived differences in how deeply companies have embraced AI credibly. Recent deals Artis advised on highlight this dynamic. Ravelin Technology, acquired by Worldpay, leverages embedded AI for merchant fraud detection. Likewise, businesses as diverse as digital mental health platforms and HR enabling software are in the process of being acquired based on their ability to support customers with AI capability tuned to their specific use case. Neither of these examples would position themselves as AI-native, yet embedded AI significantly underpins their strategic value. 'In a year or two, there will be no software that isn't AI, so the current distinctions driving exit values will no longer apply, but for the moment it is making the difference between prices of 100 and 200 for similar businesses,' says Basta. 'Buyers understand this and are acting now to build capability from within.'

Sunday's News in Pictures: Donald Trump announces US-EU trade deal at Turnberry after day of golf
Sunday's News in Pictures: Donald Trump announces US-EU trade deal at Turnberry after day of golf

Scotsman

timea minute ago

  • Scotsman

Sunday's News in Pictures: Donald Trump announces US-EU trade deal at Turnberry after day of golf

It was a busy day at Turnberry in South Ayrshire yesterday, with US President Donald Trump enjoying a day of golf before announcing a trade deal with the EU. Ahead of sitting down for a discussion with European Commission president Ursula von der Leyen, Mr Trump played a few rounds of golf with his family, where he was seen blowing kisses to supporters. It was later that day that he spoke with Ms von der Leyen to announce a trade deal between the EU and the US. Today, Mr Trump is set to meet one-on-one with UK Prime Minister Sir Keir Starmer at Turnberry, before they are expected to travel to a private engagement at Trump International in Menie. Here are some pictures from the historic day at Turnberry. 1 . US President Donald Trump shakes hands with European Commission President Ursula von der Leyen US President Donald Trump with European Commission President Ursula von der Leyen after agreeing on a trade deal between the two economies following their meeting at Turnberry | AFP via Getty Images Photo Sales 2 . US President Donald Trump shakes hands with European Commission President Ursula von der Leyen after agreeing on a trade deal between the two economies AFP via Getty Images Photo Sales 3 . US President Donald Trump (R) and European Commission President Ursula von der Leyen at Turnberry Trump told reporters after: "We have reached a deal. It's a good deal for everybody." The EU chief also hailed it as a "good deal". | AFP via Getty Images Photo Sales 4 . Staff and family, Bettina Anderson, Donald Trump Jr. and Eric Trump U.S. look on as President Donald Trump and President of the European Commission Ursula von der Leyen announce a US-EU trade deal The US-EU trade deal was announced after a meeting at Trump Turnberry golf club on July 27, 2025 in Turnberry, Scotland. | Getty Images Photo Sales

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into a world of global content with local flavor? Download Daily8 app today from your preferred app store and start exploring.
app-storeplay-store