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SCHWEIZER
BOTSCHAFT IN BEIJING
EMBASSY OF SWITZERLAND IN BEIJING
AMBASSADE DE SUISSE EN CHINE |
Der wöchentliche
Presserückblick der Schweizer Botschaft in der VR China
The Weekly Press Review of the Swiss Embassy in the People's Republic
of China
La revue de presse hebdomadaire de l'Ambassade de Suisse en RP
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DPRK
Mongolia
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| Foreign Policy |
Xi Focus: Xi's trip to Greece, Brazil to advance bilateral ties, BRICS cooperation (Xinhua)
2019-11-08
Chinese President Xi Jinping's upcoming visit to Greece and Brazil is expected to intensify China's relations with the two countries and enhance BRICS cooperation, officials said here Thursday. At the invitation of Greek President Prokopis Pavlopoulos, Xi will pay a state visit to Greece from Nov. 10 to 12, said Vice Foreign Minister Qin Gang. This will be the first visit to the European country by a Chinese president after an interval of 11 years, which will exert a historic influence of China-Greece ties and push forward China-Europe relations and Belt and Road cooperation, Qin said. He noted that China and Greece, both with old civilizations, are trustworthy and helpful friends respecting and supporting each other on core interests and major concerns. Greece is among the first European Union (EU) countries to sign an intergovernmental cooperation document with China to jointly construct the Belt and Road, Qin said, adding that Greek prime ministers attended the first and second Belt and Road Forum on International Cooperation in Beijing. The two sides have conducted fruitful cooperation on the principle of mutual benefit and win-win cooperation and witnessed increased bilateral trade and investment, Qin said. "The Piraeus Port project, a flagship project for the Belt and Road cooperation, has made important contributions to the local economic and social development of Greece and played an important role in advancing connectivity in various regions around the globe," said the vice foreign minister. Speaking of people-to-people and cultural exchanges, Qin said peoples of the two countries respect each other and advocate openness and inclusiveness in their close interactions. "Both China and Greece hold that different civilizations should respect each other and facilitate experience sharing, mutual learning and conversation among civilizations," he said. China and Greece are new friends of the "17 +1" cooperation. In April this year, Greece became a full member of the China-Central and Eastern European Countries Cooperation Mechanism, adding new opportunities to the development of this mechanism, which is also conducive to developing China-EU relations and China-EU connectivity, Qin said. Greek Prime Minister Kyriakos Mitsotakis led a delegation to the ongoing second China International Import Expo (CIIE). Xi met with him, and the two leaders visited the Greek pavilion, Qin said. According to Qin, in Greece, Xi is scheduled to hold talks respectively with Pavlopoulos and Mitsotakis, in a bid to consolidate political mutual trust and traditional friendship between the two countries, intensify pragmatic cooperation in trade, investment, infrastructure and other fields, uphold multilateralism and free trade and build an open world economy. Besides, Qin noted that the Chinese and Greek leaders will conduct cultural exchanges and advocate dialogues among civilizations. The two sides will issue a joint statement on strengthening the comprehensive strategic partnership, draw up a blueprint for the development of bilateral ties, sign intergovernmental cooperation documents on investment and education, and ink commercial agreements in such fields as ports, finance, and energy. Greece, in the West, and China, in the East, are heirs of ancient civilizations. Noting that both China and Greece are faced with the mission of rejuvenation and prosperity, Qin said the two countries can enlighten the world to deal with various problems and challenges. Xi's upcoming visit to Greece shows respect and appreciation of the ancient Chinese civilization to the ancient Greek civilization, as well as the expectation of jointly building a community with a shared future for humanity, Qin said. It is believed the visit will elevate the level of bilateral cooperation in an all-round way and inject new impetus to the development of China-EU relations with fruitful results, Qin stressed. According to Vice Foreign Minister Ma Zhaoxu, at the invitation of Brazilian President Jair Messias Bolsonaro, Xi will attend the 11th BRICS summit in Brasilia, the capital of Brazil, from Nov. 13 to 14. BRICS is the acronym for an emerging-market bloc that groups Brazil, Russia, India, China and South Africa. Xi is scheduled to attend the closing ceremony of the BRICS business forum, closed and public meetings of the BRICS leaders' meeting and the BRICS leaders' dialogue with the BRICS Business Council and the New Development Bank. The leaders' declaration is expected to be released, Ma said. Xi will hold talks with Bolsonaro, sign cooperation documents in various fields, and hold bilateral meetings with leaders of other participating countries to exchange views on ties and BRICS cooperation, Ma said. As the world is undergoing changes rarely seen in a century and confronted with unprecedented opportunities and challenges, BRICS countries have drawn ever-growing attention worldwide, Ma said, stressing that China appreciates the efforts made by Brazil in its preparation and stands ready to jointly prompt the meeting to achieve fruitful results. He voiced expectations of the Chinese side. "The Chinese side hopes that BRICS countries will further enhance political mutual trust, boost mutually beneficial cooperation and forge a more comprehensive, closer and broader partnership," Ma said. As for safeguarding multilateralism and strengthening global governance, Ma voiced China's determination to make joint efforts with other BRICS countries to safeguard the rules-based multilateral trade system, the international order based on international law, and the international system with the UN at the core. This aims to promote a more equitable, open, transparent and inclusive global governance system and safeguard common interests and development space of emerging markets and developing countries, Ma said. "China believes the five BRICS countries should follow the trend of the new industrial revolution and facilitate economic transformation and upgrading," Ma noted. As an important outcome of last year's Johannesburg meeting, the BRICS partnership for a new industrial revolution has progressed well in the past year, he said, adding that China is willing to work with concerned parties to accelerate the development of the partnership and tap more potential for cooperation projects, so as to propel high-quality development of the five countries. "China looks forward to more cooperation on economy, trade, finance, political security and people-to-people exchanges, with projects meeting the development needs of the five countries and serving the interests of their peoples," he said. The Chinese side believes that with concerted efforts of all parties and under the political guidance of the five countries' leaders, the 11th BRICS Summit will be a full success, Ma said, stressing that the BRICS countries will continue to contribute to world peace and development and the building of a community with a shared future for humanity. ^ top ^
Traditional Chinese medicine must face same regulations as Western methods, European doctors demand (SCMP)
2019-11-08
Top European medical bodies demanded on Thursday that Chinese traditional medicines be subject to the same regulatory oversight as conventional Western methods, despite recent WHO recognition of their use. "Just because the World Health Organisation includes a chapter on traditional Chinese medicine in its new International Classification of Diseases, it is not automatically safe to use without robust evidence," Professor Dan Marhala, president of the Royal Swedish Academy of Sciences, said in a statement issued by top European medical and scientific bodies. The European Academies' Science Advisory Council (EASAC) and the Federation of European Academies of Medicine (FEAM) said European lawmakers must protect the health of European citizens. Accordingly, the existing European regulatory framework should be revised to make sure traditional Chinese medicine (TCM) is held to the same standards of proof and evidence as conventional medicine. "There have been examples where some traditional Chinese medicine has undergone thorough preclinical investigation and proven in rigorous clinical trials to contribute significant health benefit – artemisinin therapy for malaria, for example," Marhala said. "There may be more leads to diagnosis and therapeutic benefit yet to be discovered but this can in no way mean that other claims can be accepted uncritically." It was not necessarily the WHO's intention to promote the use of TCM, but its stamp of approval could lead supporters to promote wider application, the statement cautioned. As a result, patients could be confused over which diagnosis was appropriate and which therapy was effective. More serious still, said former EASAC president Jos van der Meer, is that some TCM "can have serious side effects and interactions with other treatments". "Moreover, patients may be at risk that severe diseases are treated ineffectively and conventional medical procedures delayed," he added. The WHO included TCM in an official classification of diseases coming into effect in January 2022. In 2015, China's Tu Youyou won the Nobel Prize for medicine for discovering artemisinin, giving a huge boost to the credibility of TCM, which many in the West deride as lacking scientific foundation and verging on quackery. In China, traditional medicine has a long, distinguished history and its practitioners are treated with great respect. EASAC comprises the national science academies of EU Member states, plus Norway and Switzerland. FEAM groups medical academies which provide advice to the European authorities. ^ top ^
9 sentenced for fentanyl production, trafficking (China Daily)
2019-11-08
The head of a Chinese fentanyl production and trafficking network targeting customers in the United States received a suspended death sentence at a court in Hebei province on Thursday, in the first criminal case involving opioids jointly investigated by the two countries. The joint operation has proved effective and the two countries will continue to work together to stem the flow of fentanyl, a synthetic opioid, Chinese and US narcotics control officials said. The bust of the drug trafficking network in China was led by information obtained by the US Homeland Security Investigations Office in New Orleans when a cooperating defendant provided the name and contact information of an individual in China from whom he had bought narcotics in August 2017, said Austin Moore, the US Department of Homeland Security and Immigration and Customs Enforcement attache to China, at a news conference after the court hearing in Xingtai, Hebei province. In September 2017, the US authority shared the information with the Ministry of Public Security's Narcotics Control Bureau, and both sides agreed to coordinate in a joint narcotics investigation, Moore said. Chinese police then connected the contact information with an employee of a biochemical company registered in Xingtai. The company turned out to be a distributor of fentanyl targeting foreign markets via the internet, including the US. The company used express mail or regular postal services to smuggle fentanyl abroad, said Yu Haibin, a senior narcotics control official with the Ministry of Public Security. Police then tracked down the company's supplier, Liu Yong, who began running a fentanyl lab in Changzhou, Jiangsu province, in May 2017, Yu said. On Nov 6, 2017, the US side wired a payment to the biochemical company, prompting Chinese authorities to commence a series of raids that yielded an extraordinary number of arrests and seizures of contraband and criminal proceeds, Moore said. On Thursday, Liu was sentenced in the Xingtai Intermediate People's Court to death with a two-year reprieve for producing and trafficking 11.9 kilograms of fentanyl and other narcotics. Jiang Juhua, co-founder of the laboratory, and Wang Fengxi, head of the biochemical company, received life sentences. Six other key members of the drug network also received fixed-term sentences ranging from six months to 10 years. "During the investigation, we have provided information on more than 50 suspicious postal packages to the US authorities, which has led to three arrests so far. The case has set a good example of China and the US jointly fighting fentanyl-related crimes," Yu said. "As the success of this joint investigation demonstrates, Chinese and American investigators have the capacity to collaborate across international borders — bringing those who would harm our respective communities to justice. Today's event is another important step," said Moore. Fentanyl is a highly potent pain reliever often used by cancer patients. It is 50 to 100 times stronger than morphine. After the meeting between President Xi Jinping and US President Donald Trump at the G20 Summit in December, China agreed to list all fentanyl derivatives as controlled substances. In May, China included 25 fentanyl analogues on the list of controlled substances, four more than the US. The move means that those who produce or distribute fentanyl can receive the maximum punishment for drug trafficking — death. China has stepped up efforts to control fentanyl-related substances in recent years including enhancing international cooperation and cracking down on underground laboratories. Deaths caused by fentanyl overdoses in the US surged to 31,600 in 2018 from 19,400 in 2016. China should not be blamed for the problem of fentanyl abuse in the US, Yu said, adding that reducing demand is the only way to fundamentally tackle the issue. ^ top ^
Aventura Technologies, which supplies US military, charged with selling illegal Chinese surveillance and security equipment (SCMP)
2019-11-08
US federal prosecutors have filed criminal charges accusing a New York company of exposing the US government and private customers to security risks by illegally importing and selling surveillance and security equipment from China. The charges against Aventura Technologies, which is based in Commack, New York, and seven current and former employees were made public on Thursday in the federal court in Brooklyn. Six of the people have been arrested, including Jack Cabasso, the man accused of leading the scheme. Prosecutors said the defendants falsely told customers that Aventura's products were made in the United States rather than imported, mainly from China, in a scheme that ran from 2006 until this month. Some of those products carried known cybersecurity risks, according to prosecutors. The company's largest customers are US government agencies including the Army, Navy and Air Force, though it also sold to private companies, making about US$88 million since 2010, prosecutors said. "Aventura not only defrauded its customers, but also exposed them to serious known cybersecurity risks," US Attorney Richard Donoghue said at a news conference in Brooklyn. Cabasso and the other people who were arrested were expected to be arraigned in Brooklyn on Thursday. Their lawyers could not immediately be identified. Aventura did not immediately respond to a request for comment. Founded in 1999, Aventura describes itself on its website as a "true 'single-source' manufacturer" providing security hardware, software and peripheral products to government, military and enterprise customers. According to the complaint, Aventura sometimes sold Chinese imports with false "Made in the USA" labels already affixed or displayed on packaging. Donoghue said the government began investigating the alleged scheme after a member of an Air Force security unit saw an image of a Chinese security service badge in software for one device. Prosecutors said Aventura reported having sold US$20.7 million of security equipment to the US government through the end of 2018 via US General Services Administration contracts. They also accused Aventura of misrepresenting itself as a "woman-owned small business" to win government contracts set aside for such businesses, falsely listing Cabasso's wife, Frances Cabasso, as the company's owner and chief executive. She is also a defendant. The complaint included communications that, according to prosecutors, show the defendants knew about the illegal imports. It quoted an instant message from the defendant Eduard Matulik, a director of international sales, to a colleague that 'im going to china because I need to know what we are selling and have to source a bunch of stuff," and that "jack doesn't have time and we don't know what we are selling anymore". Prosecutors are seeking to have Jack Cabasso jailed without bail, saying his wealth, overseas connections and "lengthy criminal history," including a conviction for tampering with a jury in an earlier fraud case against him, point to a high risk that he will flee the country. In court papers, they said they have seized US$3 million and a luxury yacht from him, but believe he has other assets offshore. ^ top ^
RCEP a positive signal for global trade (China Daily)
2019-11-08
The 35th ASEAN meeting held in Bangkok declared on Monday that the Regional Comprehensive Economic Partnership negotiations had concluded after six years of negotiations. The RCEP is a 16-member economic grouping, comprising 10 member states of the Association of Southeast Asian Nations and six of ASEAN's free trade agreement partners －Australia, China, India, Japan, New Zealand and the Republic of Korea. India has decided to stay away from the RCEP, as some of its outstanding issues could not be resolved. Yet other RCEP members are expected to work with India in an effort to resolve these issues, and if it is satisfied that its concerns have been addressed, it could join the regional partnership at a later date. However, even without India, the RCEP is a large free trade agreement, as it will bring 15 economies under a set of common trade rules that would comprise common tariffs, rules of origin, investment provisions and other trade issues including intellectual property management, competition policy and e-commerce. The RCEP is unique as an FTA as it includes some of the world's largest economies (China and Japan), high per capita income economies (Singapore, New Zealand, Brunei and Australia), major industrialized economies (Japan, the ROK, Singapore and China), middle-income economies with vast natural resources (Malaysia, Indonesia, Thailand, the Philippines and Vietnam) and less-developed, low-income economies (Cambodia, Laos and Myanmar). Indeed, the RCEP is a heterogeneous grouping allowing lots of scope for economic synergies and complementary economic opportunities. An interesting aspect of the RCEP is its ASEAN-centrality. All non-ASEAN members of the RCEP are connected to ASEAN through existing ASEAN+1 FTAs, and the RCEP is expected to supersede all these FTAs over time. In the process, it is expected to encourage and enlarge economic relations between ASEAN and the other RCEP members. The prospects are particularly strong with respect to ASEAN and China. ASEAN is already the second-largest trading partner of China, and the implementation of the RCEP from 2022 should see much greater trade and investment between China and ASEAN with a positive influence on regional value chains that connect both of them. Another interesting aspect of the RCEP is its much wider scope. Compared with the existing ASEAN+1 FTAs, the RCEP reflects much greater access. This will be made possible by the elimination of tariffs on almost 90 percent of traded goods; updated rules of origin allowing the scope of value addition through the entire RCEP geography; stronger provisions on trade in services and cross-border foreign investment; and new rules on facilitating trade in e-commerce. By acquiring a greater scope and including many more new issues, the RCEP promises to be a more versatile, modern and new-generation trade agreement. It reflects the more modern developments in global trade and would encourage member states to take part in such trade on the basis of their respective comparative advantages. For instance, the RCEP is expected to contribute to the growth of digital trade, as well as financial, telecommunications, transport and tourism sectors. The RCEP was conceptualized at a time when the US was leading negotiations among a group of Asia-Pacific economies on the Trans-Pacific Partnership agreement. However, the US withdrew from the TPP after Donald Trump became president. And although the remaining TPP members came together to revive the agreement as the Comprehensive and Progressive Trans Pacific Partnership, it lost a lot of its economic and strategic importance following the exit of the US. The decline in the importance of the TPP turned the Asia-Pacific's attention to the RCEP. And compared with the CPTPP, the RCEP is much larger in that has as its members bigger economies with larger populations. It is also a more "inclusive" FTA as it includes less-developed, low-income as well as high-income and middle-income economies. In fact, the RCEP's importance is evident from the fact that CPTPP members such as Japan, Australia and New Zealand also worked actively to conclude the RCEP negotiations. Clearly, these countries visualize new opportunities through the RCEP, ones they didn't or don't see in the CPTPP. Yet another notable feature of the RCEP is the ability of its members to conclude the agreement at a time when trade frictions are visible across the world. Even among RCEP members, Japan and the ROK have recently had serious problems leading to some export restrictions. And in the recent past, the South China Sea issue had raised tensions between China and some ASEAN member states, which has since defused. But the RCEP members overcame these challenges and concluded the RCEP negotiations. Which sends a positive signal for global trade at a time when several countries are looking to use trade to fulfill their narrow geopolitical objectives. ^ top ^
China set to make new offer to EU as agriculture chief Phil Hogan admits there has been 'limited progress' on investment deal (SCMP)
2019-11-07
China will make a new offer to the European Union next month as the two sides seek to reinvigorate talks on an investment agreement that a senior EU official admitted had "made limited progress" on some key aspects. Phil Hogan, currently the EU Agriculture Commissioner, said on Thursday that both sides needed to redouble their efforts to reach a deal next year. "I got a sense during my visit that China wants to work with Europe closely and I will bring the message back to Brussels", he told reporters at a press conference in Beijing. Both sides held the 24th round of talks on a comprehensive agreement on investment this week, with topics including industrial subsidies, technology transfer and market access, he said. Hogan, who is set to become trade commissioner in the new Brussels administration, said he expected that the two sides could reach an "ambitious" investment treaty and China's revised market access offer "that will be made in December" would provide a significant signal. However, he conceded that the two sides were still trying to produce results on issues such as subsidies, tech transfer and reform of the World Trade Organisation, saying: "I also have to say that we have made limited progress on the commitment to market access." The two sides have already scheduled a series of meetings for next year – including the annual China-EU summit in Beijing in April and a summit in Germany in September that Chinese President Xi Jinping is expected to attend. Hogan said Xi expected both sides to complete the investment agreement talks by autumn next year but he stressed that the substance of the deal would be more important than reaching a speedy conclusion. European businesses are becoming increasingly concerned that any trade deal between China and the US come be struck at the expense of European interests. Joerg Wuttke, president of the European Union Chamber of Commerce in China, echoed Hogan's comments about the lack of progress in talks earlier this week, saying Beijing was "cancelling meetings all the time" and warning that Europe feared being "pushed off a cliff ". On Thursday China said it had agreed to a phased rollback of some tariffs once it strikes a deal with the US, while it was also looking at dropping restrictions on American poultry exports. While declining to go into details on the possible impact of a China-US deal on Europe, Hogan said it should not violate WTO principles and also urged Beijing to effectively lift export barriers for European meat products. He also urged both sides to resolve their difference constructively, saying: "Given China's very large size in global trade, it can play a leading role in solving many international trade tensions, and the reform of the WTO rules is central to maintaining a rule-based multilateral trade system." While some of the EU's concerns over issues such as subsidies, technology transfers and fair treatment are shared by the US, Hogan reiterated that EU would not take sides in the trade war. On Wednesday, the EU and China signed a long-awaited "geographical indication" deal to improve protection for 100 regionally specific products – ranging from Champagne to Feta cheese – to prevent imitations being sold elsewhere. Hogan's visit also saw him meet his "future counterparts" – trade minister Zhong Shan and head of customs Ni Yuefeng – in Beijing. He also told the press conference that he had sent a "strong message" that the incoming EU leadership would adopt the same policies on China as the old commission, particularly on trade. ^ top ^
British universities under fire for politicizing honorary degrees (Global Times)
2019-11-07
British universities are under criticism for political bias, losing prestige over more than one case of stripping honorary degrees of foreign politicians, Chinese experts said, referring to a recent withdrawal of honor of Hong Kong pro-establishment legislator Junius Ho Kwan-yiu by a UK university. Anglia Ruskin University (ARU) in Cambridge withdrew Ho's honorary law degree in October, claiming he "has caused increasing concern," after a member of the British parliament urged the ARU to withdraw his degree based on an allegation of Ho shaking hands with individuals allegedly related to an attack on a passenger train at Yuen Long in July. "This is not the first time that Western universities, which assert academic independence from politics and flaunt academic freedom, used degree-stripping as a tool to crush politicians with different ideologies and political positions," Zhang Yiwu, a professor at Peking University, told the Global Times. "This has been a long tradition in Western universities if you remember how Aung San Suu Kyi's award was suspended by a UK union and Bristol University in 2017 over Myanmar's crisis," he continued. In 2017, one of Britain's largest trade unions suspended an award given to Aung San Suu Kyi during her time as a political prisoner, the Guardian reported, as a result of her controversial response to Myanmar's humanitarian crisis. The move came as a number of British institutions that awarded honorary degrees to Aung San Suu Kyi, including Bristol University, which said they were reviewing or removing honors bestowed on Aung San Suu Kyi during her time in opposition. "These Western universities take the partial facts they see in the Western media as the whole truth. Armed with these reports, they make decisions they take for granted," Zhang explained. But their decision has a certain presupposition, which reflects the difference of ideology and values between the East and the West. The judgment of this value is very subjective, and the "fact" on which it is based on is also controversial, which explains why their decision cannot be accepted by the mainstream society in China, Zhang told the Global Times. "The case demonstrates that so-called justice in the UK judicial procedure is flawed, and anything will be put aside in the face of politics," Ho said in an earlier response to the Global Times, noting that he was left with no chance to respond. British universities have presented an arrogant, incontrovertible attitude in making such a decision, Chinese experts said. Ho said in a public statement via social media on October 29 that he was saddened that academic repression, political repression and procedural injustice had taken place in Britain, the birthplace of common law and judicial review. Ho doubted what right a British legislator had in judging China's domestic affairs. The West uses all means to suppress the power that resists color revolution, Ho noted in the statement. "We support Ho in protecting his legal rights. He should give back the honorary degree to the British university, as schools that do not respect people do not deserve the names of our honest and patriotic Chinese people," said a widely liked comment on social media. "This is the 'political correctness' in the academic environment of Western universities. It is also obvious that Western universities are catering to the Western mainstream society," Zhang said. "The West's academic environment links with the political establishment, which has been evident for quite a long time…" Zhang stressed. "They do not wish that you take their degree and challenge their values at the same time. The university decisions are part of a wider political divide between Eastern and Western values," he said. In a separate case, London School of Economics (LSE) in the UK issued a formal statement last month confirming pro-independence Taiwan regional leader Tsai Ying-wen's PhD after receiving a large number of queries regarding the authenticity of Tsai's dissertation and doctoral diploma. But the statement did not convince all, as an officer from the LSE library had once confirmed earlier that Tsai's thesis was unavailable and the LSE library has never had a copy of it, Taiwan media reported. However the university did not give a clear explanation for the inconsistent responses. "We cannot rule out the possibility that the LSE will back Tsai Ing-wen up for political reasons," an LSE aluminum told the Global Times. LSE sent a high-profile congratulation on its official Facebook page to Tsai Ing-wen, an LSE graduate, in January 2016 when Tsai became Taiwan's first female leader. "We're thrilled to read that she attributes her international perspective to studying in London with us," the post said. ^ top ^
Donald Trump and Xi Jinping may delay trade deal signing until December, at location outside US (SCMP)
2019-11-07
US President Donald Trump and Chinese President Xi Jinping may not be able to sign a partial trade deal until December, and two US locations have been ruled out for their highly anticipated meeting, according to a person familiar with the matter. The two sides have been trying to negotiate a limited trade deal that would entail the US dropping some tariffs on Chinese imports in exchange for Beijing resuming purchases of American farm goods and other products. The US-China trade war that Trump began has been a drag on both nation's economies, and the leaders had initially expected to take a step toward resolving it ahead of the 2020 US elections at an international summit in Chile this month. The summit was cancelled because of protests in the capital, Santiago. US locations for a Trump-Xi meeting that had been proposed by the White House, including Iowa and Alaska, have been ruled out, the person said. Locations in Asia and Europe are now being considered instead, the person said, asking not to be identified because the discussions are not public. Reuters reported earlier that the signing might be delayed and likely would not occur in the US. Trump administration officials in recent days have expressed optimism that phase one of a comprehensive trade deal might come together this month, helping boost equity markets to records this week. "I think we're in good shape, we're making good progress, and there's no natural reason why it couldn't be" signed this month, US Commerce Secretary Wilbur Ross told Bloomberg Television in an interview on Sunday in Bangkok. "But whether it will slip a little bit, who knows, it's always possible." US stocks slid on Wednesday on the news that an agreement may have to wait until December. ^ top ^
Xi holds talks with Macron, pledging for enhanced China-France ties (Xinhua)
2019-11-06
Chinese President Xi Jinping Wednesday held talks with his French counterpart Emmanuel Macron at the Great Hall of the People in Beijing. "We have made mutual visits to our respective countries on the 55th anniversary of the establishment of diplomatic relations and lifted China-France ties to a higher level," Xi said. Xi noted that the speeches, delivered respectively by him and Macron at the opening ceremony of the second China International Import Expo on Tuesday in Shanghai, sent a strong message to the world in firmly safeguarding multilateralism and free trade, as well as building an open world economy. "Our frank, in-depth and fruitful discussions on many topics of common concern have deepened mutual understanding and trust," Xi said. China and France, as two permanent members of the UN Security Council and representatives of Eastern and Western civilizations, should strengthen strategic communication, shoulder more responsibilities and exercise their roles as major countries, as the world is undergoing changes rarely seen in a century, Xi said. He pledged to work jointly with Macron to further advance the China-France comprehensive strategic partnership, looking out on the world, the future and the people, and keep the partnership at the forefront of major-country relations. China-France ties have shown a strong momentum of development, Xi said, adding that the consensus reached by him and Macron had been actively implemented since his successful state visit to France in March. Citing some successful projects including the No.1 and No. 2 power units of Taishan nuclear power plant which have provided a successful model for the construction of third-generation nuclear power plants around the globe, Xi said the two countries have published the list of the second batch of industrial cooperation projects. The Chinese government has just successfully issued 4 billion euro-denominated sovereign bonds in Paris. The two countries have also completed negotiations on an agreement of geographical indications between China and Europe. Xi expressed his hope that more tangible cooperation results will be achieved. Stressing the importance of maintaining and enhancing political mutual trust, Xi called on both sides to put their words of respecting each other's sovereignty, territorial integrity, core interests and major concerns into actions. The two countries should facilitate exchanges between their legislative bodies, political parties and armed forces, and support the central and local departments in strengthening exchanges, Xi said, calling for strengthened cooperation on cybersecurity and counter-terrorism. The Chinese president called for further cooperation on large-scale projects, saying that China is ready to deepen the entire industrial chain cooperation with France in the nuclear energy field, encourage China's enterprises to explore new cooperation with France not only within the two countries, but also in third-party markets, and strengthen joint research and development on nuclear base and high-tech technologies. Xi said he hoped the new cooperation in aviation, aerospace and other fields could be well implemented. "We should expand the opening up of the two-way markets. China is willing to expand two-way trade and investment with France, improve trade and investment liberalization, and jointly uphold market rules and the principle of fair competition," Xi said. He said he hoped that France will put into action its words of not adopting discriminatory policies against China. "China is willing to import more high-quality and safe French agri-food products and carry out all-round agricultural cooperation in accordance with market demand," Xi said, noting that more efforts should be made to strengthen exchanges and cooperation in the intellectual property rights field and support the early conclusion of an ambitious and balanced China-European Union (EU) investment agreement. Regarding the alignment of the Belt and Road Initiative (BRI) with the EU's Euro-Asian connectivity strategy, Xi called for speedy implementation of the agreed demonstration projects, and the promotion of more enterprises to participate in third-party market, and the green development of the Belt and Road. Xi said China and France should intensify cooperation on innovation and achieve sustainable development. Efforts should be made to deepen science and technology cooperation, strengthen cooperation in fields including environmental protection and biodiversity conservation, and expand pragmatic cooperation in new energy vehicles, Internet-connected cars and artificial intelligence. "More French enterprises are welcome to take part in the construction of Wuhan Ecological Demonstration City," Xi said. As for promoting exchanges and mutual learning among civilizations, Xi wished the 2021 China-France Year of Culture and Tourism a success, noting that the two sides should strengthen cooperation in museum and cultural heritage protection. Xi said China is ready to strengthen cooperation with France in multilateral mechanisms such as the United Nations (UN) and the Group of 20. The two countries should jointly safeguard the international system with the UN at the core, the international order based on international law, as well as the multilateral trading regime with World Trade Organization (WTO) rules as the cornerstone, Xi said. They should push forward reform of the WTO toward the right direction through consultation, and give special consideration to developing countries' rights and interests, Xi said. "We will adhere to the principle of common but differentiated responsibilities, encourage more countries to cooperate in combating climate change with full and thorough implementation of the Paris Agreement," the Chinese president said. Macron said he is glad to visit China again on the 55th anniversary of the establishment of diplomatic relations. "My frequent exchanges with Xi have deepened friendship and political mutual trust between France and China and boosted pragmatic cooperation," Macron said, voicing his agreement with Xi on views concerning bilateral cooperation. France and China take the same position on many major international issues, and the two countries, as two major powers, shoulder particularly significant responsibilities under the current international situation, he said. Referring to France's strengthened dialogue and cooperation with China as "playing an important exemplary role," Macron said France is willing to properly settle the differences between the two sides based on mutual respect. French companies are eagerly looking forward to taking the opportunity of China's expanded opening-up, further entering into the Chinese market, expanding exports of agricultural products to China, and strengthening cooperation in areas such as aviation, aerospace, and civilian nuclear energy, as well as sci-tech innovation and finance, he said. China's issuance of euro-denominated sovereign bonds in Paris is of great significance to France, Macron said, pledging to keep the French market open to Chinese companies. He said France is ready to advance the alignment of the BRI with the EU's Euro-Asian connectivity strategy and jointly promote the green development of the Belt and Road. Macron called on the two sides to expand people-to-people exchanges, promote mutual learning between civilizations, jointly safeguard multilateralism, strengthen strategic communication and coordination on anti-terrorism and Iran nuclear issues, and advance the progress of the WTO reforms. Speaking of the Beijing Call for Biodiversity Conservation and Climate Change, which was released after the talks between the two heads of state, Macron said that France and China can play a leading role in these important issues. It is of critical significance for the European Union to intensify cooperation with China in today's uncertain world, and France is willing to advance EU-China ties and speed up the negotiation of the EU-China investment agreement. After the talks, the two heads of state witnessed the signing of cooperation agreements in areas including aerospace and aviation, nuclear energy, emergency management, cultural heritage, agriculture, industry, natural conservation, finance and third-party cooperation. They also met with the press together and witnessed the signing of a joint statement on concluding the negotiations of geographical indications between China and the EU. An action plan on China-France ties was also released after their talks. ^ top ^
Xi Focus: "Joining hands" toward "shared future": Xi and China int'l import expo (Xinhua)
2019-11-06
French wine, Jamaican coffee and Russian helicopters -- Chinese President Xi Jinping and his foreign guests had a rich, cosmopolitan experience Tuesday at the second China International Import Expo (CIIE) in Shanghai. For two consecutive years, Xi has opened the event proposed, designed and promoted by himself. At around 9:30 a.m. Tuesday, Xi led foreign leaders into the conference hall where the opening ceremony of the second CIIE was set, as the audience greeted them with thundering applause. The scene of Xi and foreign leaders attending multilateral events in China would be quite familiar to close observers of China. In 2019 alone, Xi has hosted the second Belt and Road Forum for International Cooperation, the International Horticultural Exhibition 2019 Beijing and the Conference on Dialogue of Asian Civilizations. With international events hosted by China emerging as a notable feature of the new era, the country is becoming a hub for joint consultation on global governance and development. Amid the disturbing threat of unilateralism and protectionism in the world, China initiated the world's first import-themed national-level expo in 2018 and has introduced new opening-up policies. "At last year's expo, I announced the initiatives China was to take in the five areas of further opening-up," Xi said. "One year on, these initiatives and steps have been by and large put in place." Now in Shanghai, the second CIIE has attracted participation of 155 countries and regions as well as 26 international organizations, while a great number of politicians, business elites and experts attended the second Hongqiao International Economic Forum held alongside the expo. "The Chinese people often say, 'The world is a big place, and I want to see just more of it.' What I want to say to you today is that the Chinese market is such a big one that you should all come and see what it has to offer," Xi said in his keynote speech at the opening ceremony, bringing about warm applause from the audience. "Economic globalization represents the trend of history. Like the world's great rivers, the Yangtze, the Nile, the Amazon and the Danube -- they all surge forward in relentless flow, and nothing can stop their mighty movement," he said. In the speech, Xi presented a prospect of jointly building an open world economy through cooperation, with innovation and for mutual benefits. "We need to 'join hands' with each other instead of 'letting go' of each other's hands. We need to 'tear down walls,' not to 'erect walls,'" Xi said. "We need to stand firm against protectionism and unilateralism." Sharing Xi's view, French President Emmanuel Macron, who attended the opening ceremony, said the success story of China shows that China needs to be open to the rest of the world and vice versa, adding that resorting to unilateralism, protectionism, tariffs or the law of the jungle will not resolve the problems the world is facing. Foreign leaders at the event agreed that China's further opening up will offer the rest of the world greater development opportunities and they would grasp such opportunities to enhance cooperation, advance the Belt and Road Initiative and embrace a brighter future together with China. After the opening ceremony, Xi toured the exhibitions with the foreign leaders. Accompanied by Macron, Xi visited the French booth and tasted French wine and beef. French entrepreneurs said they are bullish about the Chinese market and hope to further expand exports to China. While visiting the Chinese booth, Macron joyfully got into a simulated cockpit of China's homemade jumbo jet. It reminds people of a similar scene at the first CIIE a year ago, when Laotian and Vietnamese prime ministers had a simulated ride on the Fuxing, China's latest generation of high-speed trains, at the Chinese booth. From the Fuxing to the jumbo jet, the world has witnessed China's continuous leapfrog development and has benefited a lot from the equal and mutually beneficial cooperation with China. Standing in front of a countdown screen for winning the country's battle against poverty with the foreign leaders, Xi said China is ready to share its poverty relief experience with other countries and jointly build a community with a shared future for humanity featuring common development and freedom from poverty. As Xi observed in his Tuesday speech at the opening ceremony, China's development, viewed through the lens of history, is "an integral part of the lofty cause of human progress." "China will reach out its arms and offer countries in the world more opportunities of market, investment and growth," the Chinese president promised. "Together, we can achieve development for all." ^ top ^
Chinese premier calls for joint efforts to keep East Asian cooperation on right track (Xinhua)
2019-11-05
Chinese Premier Li Keqiang on Monday attended the 14th East Asia Summit (EAS) in Bangkok, calling for efforts from all parties to keep East Asian cooperation on the right track. Li said in his speech that the EAS should stick to its nature as a leaders-led strategic forum and promote political and security cooperation, social and economic development as well as strategic communication and pragmatic cooperation in a balanced way. He said the EAS should keep the Association of South East Asian Nations (ASEAN) at the center, stay focused on East Asia and Asia Pacific, and maintain the current regional cooperative structure in order to keep the cooperation on the right track. Li called on countries to work together to build an open world economy and firmly uphold multilateralism and free trade, so as to forge ahead economic globalization to a direction of openness, inclusiveness, balance and win-win cooperation. The statement on sustainable partnership to be issued after the meeting is conducive to a more balanced, efficient and sustainable development in the region, Li said, adding that China is willing to enhance cooperation with ASEAN in areas including smart cities, digital economy, AI and e-commerce. On the non-traditional security cooperation, Li said China will hold a joint anti-terror drill in China this month, and will continue to provide financial support to relevant UN bodies in holding an earthquake emergency exercise in Thailand next month. On the South China Sea issue, Li said the first reading of the single draft negotiating text of the Code of Conduct (COC) has been completed ahead of schedule, and the second reading has been launched. Parties concerned are striving for an agreement on the COC by the end of 2021, Li said, calling on all sides to create a favorable environment to this end. Stressing that freedom of navigation in the South China Sea is out of question, Li said countries within the region have the ability and wisdom to finish the COC talks and safeguard peace and stability in the South China Sea. Countries out of the region, which are not the parties concerned to the South China Sea issue, should respect and support the efforts of the intraregional countries, said Li. Participants at the meeting also included leaders from 10 ASEAN countries, South Korea, Russia, Japan, India, Australia and New Zealand, as well as senior officials from the United States. Thai Prime Minister Prayut Chan-o-cha hosted the meeting. The leaders agreed that all EAS parties should enhance mutual trust, expand cooperation and boost sustainable development under the new circumstances to address challenges such as climate change and terrorism. East Asia should not be a chessboard for big-power game, the leaders said, expressing their opposition to the zero-sum game. All parties are committed to finishing the talks on Regional Comprehensive Economic Partnership and welcome the progress made in the COC talks, said the leaders. The meeting approved a statement on sustainable partnership and issued outcome documents on the fight against drug trafficking and cross-border crime. Li also attended a luncheon on sustainable development in Bangkok on Monday. ^ top ^
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China intensifies efforts to ensure supply of farm produce, keep prices stable (Xinhua)
2019-11-08
The Chinese government will take stronger measures to ensure the supply of key farm produce and keep prices stable, the State Council decided at its executive meeting chaired by Premier Li Keqiang on Wednesday. Wednesday's meeting pointed out that agricultural production has been broadly stable this year, and grain output is expected to stay above 650 billion kg for the fifth straight year. The multiple steps introduced for swiftly restoring hog production are well underway, and good progress is being made with key agricultural products. The recent price hikes of some products in the "food basket", which mainly includes meat, aquatic products, eggs, milk, fruits and vegetables, have driven up overall prices and affected people's daily lives. "Another bumper harvest of grain production is well within reach this year, yet we must be clear-eyed about the challenges in agriculture. In particular, the relatively fast CPI rise deserves our close attention. We must see to it that the economy continues to develop within the appropriate range," Li said. The meeting urged efforts to take multi-pronged steps to restore hog production at a faster pace, by removing unjustifiable farming bans across the country. A bumper harvest of corn in north China will help better ensure pig feed supply for pig farming provinces in south China. The meeting also urged to increase the production of poultry, beef and mutton, and tap into the food reserves to ensure the supply of key farm produce and curb the price spikes of certain products. The meeting called for efforts to protect the farmland, and improve the mix and quality of grain production to make a success of the farming this fall and winter. Construction of water conservancy facilities should be stepped up during this winter and the next spring to steadily improve farming conditions. Local governments should activate the mechanism that link social assistance with price rise to meet basic livelihood needs of those living in difficulty. There should be no slackening of effort in ensuring grain production to make sure that China has full self-sufficiency in grain supply. "Our crucial task now is to take a host of measures to ensure the supply of key farm produce and keep prices stable. This is vital in maintaining macro economic stability," Li said. The meeting decided on steps to cultivate high-standard farmland for greater grain production capacity. The goal is to develop one billion mu (67 million hectares) of such farmland by 2022 with over 500 billion kg of production capacity. Stronger support will be given to the building of such farmland through local government bonds and land leasing revenues. Private capital will be attracted to such projects through diversified channels. "We are able to ensure overall self-sufficiency of grain supply and absolute food security. Government departments must make concerted efforts in supporting agricultural production and the development of high-standard farmland," Li said. "The price subsidies for low-income people should be activated nationwide to ensure their basic livelihood," Li added. ^ top ^
Nation plans to extend lead over US in 6G race: experts (Global Times)
2019-11-08
By already launching research into sixth-generation (6G) technology, China can be expected to extend the country's healthy lead over the US in global 5G into a future world that is increasingly reliant on technology, Chinese experts said on Thursday. The announcement by the Ministry of Science and Technology (MOST) Wednesday that China was kicking off research into 6G came a few days after the rollout of 5G commercial services in China, the world's largest internet market. Chinese net users responded to the ministry announcement by expressing marvel at the nation's capability and resolve to set its eyes on next-generation technology. The ministry, together with several government departments, the Chinese Academy of Sciences and the National Natural Science Foundation of China, held a meeting in Beijing on Sunday to start research on 6G technology, according to a statement posted on its website. Two teams were announced: one consisting of relevant government bodies and the other made up of 37 experts from universities, scientific research institutes and companies. The announcement invited a global spotlight on China's technological achievements, although 6G is already on the agenda of major economies including the US and a slew of technology firms including Chinese tech giant Huawei. "6G will certainly be a major upgrade in terms of functions and performances including mobile broadband, latency, reliability, intelligence, power consumption and coverage, although 6G is still a concept so far without specific definition and standards," said Tang Xiongyan, chief scientist of the network technology research institute at China Unicom, one of the country's three telecom carriers. Technologies and frameworks should be adopted to boost research and exploration, Tang told the Global Times on Thursday. The system of networks carried by electromagnetic waves is nearing its technical limits, leaving the industry to contemplate what format will enable the next generation of mobile network technology. Xiang Ligang, director-general of the Beijing-based Information Consumption Alliance, predicted that researchers may explore the potential of terahertz waves or integrate space, sea and ground functions into an intelligent network. China's 6G drive, albeit not targeting the US, will inevitably add a new layer of anxiety for a country already haunted by China's rising technological prowess, Chinese industry insiders said. Europe, the US, Japan and South Korea are probably all about to kick off 6G research, Tang noted. "When one generation of telecommunication technology is put into commercial use, it is time to carry out research on technologies and standards for the next generation," he said, "This is routine." In a fresh move in late October, Sony, NTT and Intel announced they were forming a 6G partnership. South Korea's LG Electronics announced as early as January that it was embarking on a research and development plan for 6G telecommunications, and in June Samsung Electronics and SK Telecom decided to work together to develop 6G, according to South Korean media reports. European countries have also started 6G research, with the University of Oulu in Finland establishing a 6G center early this year and publishing what it claimed was the world's first 6G white paper in September, outlining the key drivers, research requirements and challenges. Like 5G, 6G research will hinge on open innovation and international cooperation, Tang believed. But Chinese market watchers say the US fancies itself a pioneer in global protectionism, meaning any such global push would not be so easy and would most likely have to be spearheaded by China. Tang predicted the US would reinforce its technological advantage in microelectronics and software, and hope to change the traditional rules of the telecom industry and gain a new edge through subversive technology, ecosystem and business innovation. The US will surely be alert to Chinese 6G, said Xiang, the consumption alliance director-general. "The Trump administration is likely to impose more severe sanctions on Chinese tech companies, including Huawei and ZTE, and meanwhile, ban more technology communication or transfer with Chinese companies in an attempt to contain China's 6G technology development," Xiang said. However, US sanctions and technology blocks will not deter China and will help Chinese technology develop more rapidly, he said, citing China's 5G technology as a precursor. Chinese analysts all agreed that China was likely to overtake the US in 6G development. They pointed out the US approach is driven by companies and so cannot attract the best manpower and equipment from all sectors. Meanwhile technology push is based on the comprehensive research of companies, research institutions and other related departments under government guidance "which is surely more competitive," Xiang said. As 6G blurs international borders, the US technological approach of splendid isolation will soon lag behind, experts said. China and the EU with their more open attitudes toward markets and technology will have broader cooperation opportunities, Fu Liang, a Beijing-based telecom industry expert, told the Global Times. Chinese companies such as Huawei have been cooperating with the EU to deepen 5G development, with broader market access for both sides, he noted. ^ top ^
China Focus: Charting China's roadmap to better governance (Xinhua)
2019-11-07
Over the past 70 years, China has created twin miracles: rapid economic development and long-term social stability, a feat rarely seen elsewhere in the world. The Communist Party of China (CPC) has unveiled a secret to its success. In a milestone document, it elaborated in detail the strength of its systems: the system of socialism with Chinese characteristics and the system of governance. The document, adopted at the fourth plenary session of the 19th CPC Central Committee on Oct. 31, also laid out a "roadmap" to better turn institutional strength into even more effective governance. The "roadmap" -- spanning from the present day to the mid-century -- covers 13 key fields including Party leadership, democracy, rule of law, the economy, social governance, the environment, defense and diplomacy. Academics and experts interviewed by Xinhua shed light on some of the highlights of the document. Jiang Jinquan, deputy director of the Policy Research Office of the CPC Central Committee, said the leadership of the CPC is the "defining feature" and "greatest strength" of the system. Liu Chun, a professor at the Party School of the CPC Central Committee, said implementing the institutional requirement laid out by the document on improving Party leadership will ensure China marches on the path of socialism. Fudan University professor Sang Yucheng took note of the arrangements to advance socialist democracy, including to uphold and improve the systems of people's congresses, CPC-led multiparty cooperation and political consultation as well as to consolidate and develop the broadest possible patriotic united front. "Everyone hopes to take part in public affairs," Sang said. "These institutional arrangements will ensure people take part in managing state, economic, cultural and social affairs." Developing socialist democracy is a critical move that concerns the fate of socialism with Chinese characteristics, Sang said. On rule of law, the document called for improving systems and mechanisms that ensure compliance with the Constitution in every field. Fu Zitang, president of Southwest University of Political Science and Law, said strengthened law-making in key areas and accelerated introduction of legal arrangements for the extraterritorial application of Chinese law will better protect the rights and interests of Chinese nationals and enterprises overseas. On the economy, the call for upholding and improving China's basic socialist economic system is a breakthrough, said Liu Shijin, a member of the National Committee of the Chinese People's Political Consultative Conference. Liu said only under a socialist market economy can a market environment be created in which market entities of diverse forms of ownership fairly and equally compete and enjoy equal legal protection. Establishing a high-standard market system and new institutions for an open economy of higher standards is the direction made clear by the document on the country's reform and opening up, according to Liu. On culture, the document stressed the importance of upholding Marxism as a guiding ideology, which will better foster the Chinese spirit, Chinese values and Chinese strength, said Bing Zheng, a Jilin University professor. Song Guilun, a professor at Beijing Normal University, noted that the document added "democratic consultations" and "technological support" to the institution building on social governance on the basis of the report delivered at the 19th CPC National Congress. The document also embedded the philosophy that crime prevention requires joint work from personnel, technology and equipment so as to make it more comprehensive, more systematic and more effective, according to Song. On the environment, the document required the implementation of the strictest possible systems for environmental protection, the full establishment of a mechanism for efficient resource utilization, the improvement of institutions involved in ecological conservation and restoration, and the strengthening of the accountability system for ecological and environmental protection. Sound systems with strict enforcement are essential for realizing the harmonious coexistence between human and nature and carrying out the Beautiful China initiative, said Wu Shunze, an expert with the Ministry of Ecology and Environment. The document called for upholding and improving the system of "one country, two systems" and advancing the process toward the peaceful reunification of China. The call will greatly enhance the promotion of the "one country, two systems," said Qin Qianhong, a law professor at Wuhan University. "On diplomacy, the document called for upholding and improving the independent foreign policy of peace and working to build a community with a shared future for humanity," said Gao Fei, a professor at China Foreign Affairs University. He said that it shows China's willingness to work with countries around the world to build an open, inclusive, clean and beautiful world that enjoys lasting peace, universal security and common prosperity. China will open its arms wider to seek common development with countries around the world, contribute to a more equitable international governance system, and moves closer to center stage as a major developing country, according to Gao. ^ top ^
Standing Committee of 13th National Committee of CPPCC closes ninth meeting (Xinhua)
2019-11-07
The Standing Committee of the 13th National Committee of the Chinese People's Political Consultative Conference (CPPCC) concluded its ninth meeting in Beijing on Thursday. The meeting reviewed and adopted a resolution concerning the study and implementation of the guiding principles from the fourth plenary session of the 19th Communist Party of China (CPC) Central Committee and that from the Central Conference on CPPCC Work. Wang Yang, a member of the Standing Committee of the Political Bureau of the CPC Central Committee and chairman of the National Committee of the CPPCC, presided over the closing meeting and delivered a speech. A dedicated meeting was convened to study and implement the essence of the key CPC meeting, reflecting the strong consciousness of maintaining the political integrity of the CPPCC and its members, said Wang. Wang stressed upholding and improving the system of the CPC leadership over the CPPCC and promoting the development of the CPPCC system while adhering to it and improving the system while consolidating it. During the meeting, 100 influential CPPCC proposals over the past 70 years were commended, and representatives of the sponsoring members received the awards. After a vote at the meeting, Huang Shuxian was added as a member of the 13th CPPCC National Committee and deputy head of its committee of social and legal affairs. Liu Qiangdong's resignation for personal reasons as a member of the 13th CPPCC National Committee was also accepted. The meeting also endorsed a decision made by the 28th chairpersons' meeting on revoking Jiang Guowen's membership to the 13th CPPCC National Committee. ^ top ^
China to scrap business limits on foreign finance firms (Global Times)
2019-11-07
The State Council, China's cabinet, put forward 20 opinions in expanding opening-up, including the removal of all business restrictions on foreign banks, brokerages and fund management firms on Thursday, as part of its effort to strictly implement its pledges to safeguard a more "fair, transparent and predictable" business environment for foreign-invested companies. China will continue to reduce the negative list for foreign investment across the nation and regions beyond pilot free trade zones, and eliminate restrictions that are not on the negative list, in a bid to open more sectors to foreign investors, said the State Council in a statement on its website. To accelerate the opening of the financial industry, the State Council said all restrictions should be removed on the scope of business for foreign banks, securities companies and fund management companies. The notice also called for the removal of requirements on total assets for the establishment of foreign-funded banks. The quantitative entry conditions will be reduced for foreign investors in banking and insurance industries. The requirements for total assets and operating history will be removed for foreign insurance brokers, enabling expansion in China, according to the opinions. "This is a chance that foreign investors have waited for many years. No market in the world can provide yields of 5 percent as China does," Tian Yun, vice director of the Beijing Economic Operation Association, told the Global Times on Thursday. Policies on foreign investment in the vehicle industry will be fine-tuned to ensure equal market access for domestic and foreign automobile enterprises that make new-energy vehicles, according to the notice. It's worth noting that the opinions not only provide guidance as to what opening-up measures are to be taken next, but also designate which government departments and local governments should take responsibility. "The measure is a step-by-step implementation of China's promise to open up its economy to other countries," Tian said. Recent years saw China make continuous efforts in opening up its market and offering more opportunities for multinational companies, including a law on foreign investment and business environment optimization that will take effect on January 1, 2020. China has not only fully implemented its opening-up commitments taken when the country joined the WTO in 2001, but it also is doing better than its original commitments and taking more actions, said Sang Baichuan, director of the Institute of International Business at the University of International Business and Economics. "China's opening-up level is higher than that of many countries," Sang told the Global Times on Thursday, rebuking Western media reports that said China is slow in its opening-up. Standard Chartered told the Global Times via email that "We are glad to see various active measures are being steadily boosted and implemented. The financial opening-up has brought great development opportunities for us." Standard Chartered and Citigroup are the two overseas banks chosen by the People's Bank of China, the country's central bank, to be among the 18 rate-setting banks in interest rate mechanism reform in August. To further protect foreign investors' legitimate interests, the State Council said in the notice there will be more efforts to fully implement the foreign investment law, and establish and improve institutions for accepting complaints from foreign companies. Moreover, forced transfer of technology will be strictly banned. China will fully uphold the role of judicial protection of intellectual property rights (IPR), improve the IPR protection mechanism and establish a comprehensive and diversified resolution mechanism for IPR disputes, the notice said. These detailed measures will definitely reassure foreign companies operating in China, which in the past had many doubts about the safety of their IPR, Dong Dengxin, director of the Finance and Securities Institute at Wuhan University of Science and Technology, told the Global Times Thursday. The country will do more to make the implementation of regulations more consistent and the formulation of regulatory documents more transparent, the State Council said. In the future, China needs to improve its supervision capacity, especially in cross-border cooperation, to prevent risks related to foreign investment and foreign exchange, Dong said. ^ top ^
Senior CPC official urges publicizing spirit of key Party plenum (Xinhua)
2019-11-07
Senior Communist Party of China (CPC) official Wang Huning Thursday demanded efforts to publicize the spirit of the fourth plenary session of the 19th CPC Central Committee in a comprehensive and accurate manner. Wang, a member of the Standing Committee of the Political Bureau of the CPC Central Committee and a member of the Secretariat of the CPC Central Committee, made the remarks at a meeting to rally morale for the lecturers to publicize the spirit of the plenary session, which was convened from Oct. 28 to 31 in Beijing. He asked the lecturers to develop an in-depth understanding of the plenary session spirit to better serve the publicity works. Wang required the lecturers to clearly explain the achievements made in the cause of the CPC and the country since the third plenary session of the 19th CPC Central Committee, and the significance, the tasks as well as the targets in upholding and improving the system of socialism with Chinese characteristics, and advancing the modernization of the system and capacity for governance. The lecturers should also clearly explain the theories and reform measures put forward in the fourth plenary session, the advantages of the system of socialism with Chinese characteristics and China's system for governance, and the Party's leadership over upholding and improving the system of socialism with Chinese characteristics and advancing the modernization of China's system and capacity for governance, said Wang. He also said the lecturers should go to enterprises, villages, government bodies, campuses and communities to better unite the public with the plenary session spirit through face-to-face talks. ^ top ^
China Focus: CPC decision on system, governance released (Xinhua)
2019-11-05
A decision of the Communist Party of China (CPC) Central Committee on some major issues concerning how to uphold and improve the system of socialism with Chinese characteristics and advance the modernization of China's system and capacity for governance was made public Tuesday. The decision was adopted at the fourth plenary session of the 19th CPC Central Committee, which was convened from Oct. 28 to 31 in Beijing. The decision noted that the system of socialism with Chinese characteristics is a scientific system developed by the Party and the people through their long-term practices and explorations. All the work and activities of China's governance are carried out in accordance with the system of socialism with Chinese characteristics, said the document, noting that the country's system and capacity for governance are the embodiment of the system of socialism with Chinese characteristics and its enforcement capability. Highlighting the two miracles of rapid economic development and long-term social stability in the past 70 years since the founding of New China, it pointed out that the system of socialism with Chinese characteristics and China's system for governance are systems of strong vitality and huge strength as proven by practice. These systems are able to push for the continuous progress of the country with nearly 1.4 billion people and ensure the realization of the two centenary goals toward the rejuvenation of the Chinese nation, which has a civilization of more than 5,000 years, it added. It summarized the notable strengths of China's state and governance systems in 13 aspects, and called for efforts to better turn institutional strength into effective governance. The upholding and improving the system of socialism with Chinese characteristics and advancing the modernization of China's system and capacity for governance should be carried out under the guidance of Marxism-Leninism, Mao Zedong Thought, Deng Xiaoping Theory, the Theory of Three Represents, the Scientific Outlook on Development, and Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era. The decision vowed to see that institutions in all fields are notably improved when the CPC marks its centenary before the modernization of China's system and capacity for governance is basically achieved by 2035 and realized in full as New China celebrates its own centenary. It specified the following tasks and measures: Upholding and improving the system of institutions for Party leadership and improving the Party's capacity to practice scientific, democratic and law-based governance; Upholding and improving the system of institutions through which the people run the country and developing socialist democracy; Upholding and improving the system of socialist rule of law with Chinese characteristics and improving the Party's capacity for law-based governance and law-based exercising of state power; Upholding and improving the government administration system of socialism with Chinese characteristics. A law-based government administration with well-defined functions and duties shall be built; Upholding and improving China's basic socialist economic system and promoting the high-quality development of the economy; Upholding and improving the system to make advanced socialist culture prosperous and developed to consolidate the common ideological foundation upon which all people are united and work together; Upholding and improving the livelihood system for protecting both urban and rural residents and working to meet people's ever-increasing needs for a better life; Upholding and improving the social governance system based on collaboration, participation and common interests, as well as maintaining social stability and defending national security; Upholding and improving the system for developing an ecological civilization and promoting the harmonious coexistence between humans and nature; Upholding and improving the Party's absolute leadership over the armed forces and ensuring that they will faithfully fulfill their missions in the new era; Upholding and improving the system of "one country, two systems" and advancing the process toward the peaceful reunification of China; Upholding and improving the independent foreign policy of peace and working to build a community with a shared future for humanity; Upholding and improving the Party and state oversight systems and strengthening checks on and oversight over the exercise of power. Noting that upholding and improving the system of socialism with Chinese characteristics and advancing the modernization of China's system and capacity for governance is an important strategic task for the Party, the document stressed that all the goals and tasks set by the session must be fully accomplished under the leadership of the CPC Central Committee. Party committees, governments and leading officials at all levels should conscientiously strengthen their awareness of the system, take the lead in safeguarding the authority of the system and set an example in implementing the system for the whole Party and the society, said the decision. The entire Party and Chinese people of all ethnic groups should rally closely around the CPC Central Committee with Comrade Xi Jinping at the core, said the document. It also called for hard work to uphold and improve the system of socialism with Chinese characteristics, advance the modernization of China's system and capacity for governance, achieve the two centenary goals and realize the Chinese Dream of national rejuvenation. ^ top ^
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Peace urged for upcoming district elections in Hong Kong (Xinhua)
2019-11-08
The appeal for peaceful and fair district council elections has been on the rise in Hong Kong amid escalating violent acts and threats targeting candidates and voters. Nearly 200 candidates of the elections took to the street on Thursday, urging the Electoral Affairs Commission (EAC) to take immediate measures to ensure the elections be held in a peaceful, fair and open manner. The procession started at the Hong Kong Special Administrative Region (HKSAR) government headquarters at 3:30 p.m. local time and headed for the office of EAC. Many participants waved posters that condemn violence and wore green head ribbons to show support for peace. As the march reached the office of EAC, HKSAR lawmaker Chan Hak-kan read out a petition letter, citing harassment and assaults on pro-establishment candidates. The lawmaker urged the HKSAR government and EAC to take specific measures to ensure a safe and fair environment for the upcoming elections. The safety of more than 1,000 candidates must be protected, and efforts must be taken to ensure over 4 million voters can exert their voting right without fear, Chan said. Nicholas Muk, a candidate and a teacher of Pui Kiu Middle School, said his campaign events were disrupted many times, with himself verbally abused and his posters torn up. "The radicals would throw petrol bombs and commit violent attacks, which makes a lot of people scared and worried about their personal safety," Muk said. Junius Ho, the HKSAR lawmaker running for the re-election in district council of Tuen Mun, was stabbed in the left side of his chest by a male in his election campaign event near Richland Garden, Tuen Mun, on Wednesday morning. Hong Kong citizens have called for joint efforts to stop violence so as to create a peaceful and fair environment for the elections which will be held on Nov. 24. The Independent Commission Against Corruption said last week that by the end of October, it had received 77 complaints in relation to the district council election, of which 28 cases involved use of force or duress against candidates. ^ top ^
China still counting on Hong Kong to enact its own national security law 'or the city will face unbearable cost', says Beijing adviser (SCMP)
2019-11-07
Beijing is still counting on Hong Kong to enact a national security law by itself, a heavyweight adviser on Beijing policy for the city has said, amid fears that the central government could take more direct action on the controversial issue. "For more than 20 years, Hong Kong still has not completed legislation and law enforcement on national security," Wang Zhenmin, director of Tsinghua University's Centre for Hong Kong and Macau Research, said on the sidelines of an event for business leaders hosted by Beijing think tank Centre for China and Globalisation. "This is the constitutional responsibility of the special administrative region for all stakeholders." Wang was referring to Article 23 of the Basic Law, Hong Kong's mini-constitution, which stipulates that the city must enact its own national security law. But the article has remained highly controversial in Hong Kong, amid fears that its freedoms and autonomy would be undermined. A national security bill was shelved in 2003 when hundreds of thousands took to the streets to protest against it, and eventually contributed to the resignation midterm of Tung Chee-hwa, the city's first chief executive. All three subsequent leaders of the city, including the incumbent Chief Executive Carrie Lam Cheng Yuet-ngor, have opted against stepping into the same minefield by officially initiating the legislation. Lam told reporters in Beijing on Wednesday that the task involved "bigger challenges" in the present circumstances. The remarks by Wang – who advises on the central government's policies for Hong Kong and is a former director of legal affairs at Beijing's liaison office in the city – were made on Saturday, two days after the end of a key meeting of the Communist Party elite, including President Xi Jinping. During the meeting, known as the fourth plenum of the 19th Party Congress, attendees said there was a need to safeguard national security in Hong Kong and called for the establishment of a legal system and enforcement mechanism of national security in the city. Macau introduced its own national security law 10 years ago but proposals for similar legislation in Hong Kong met stiff resistance. After last week's party meeting, there was mounting concern that Beijing was losing patience for the city to enact its own national security law and that the National People's Congress, China's legislature, could issue an interpretation of Basic Law or enact a national law directly. But Wang said Beijing still hoped the city could introduce its own national security legislation, as outlined by the Basic Law, and blamed Hong Kong's inability to end its ongoing unrest on the absence of such a law. "There are plenty of international lessons Hong Kong can learn from to safeguard national security while ensuing normal transactions at the markets," he said, saying that Britain, the United States and Singapore all had national security laws and enforcement. Wang said that such laws would help stabilise investors' confidence, despite regularly cited fears that such a move would undermine Hong Kong's autonomy. Expectations of a national security bill being initiated by Hong Kong are low, with the administration struggling to restore calm after months of protests. Lam did not include plans to enact a national security law in her annual policy address last month, and has said that the prospect of doing so was "lower" after the ongoing unrest triggered by her unpopular and now-withdrawn extradition bill, which would have allowed the transfer of criminal suspects to mainland China's opaque legal system. In her previous two policy addresses, Lam had said that her government had the constitutional responsibility to enact a national security law under Article 23 of the Basic Law, and that she would act to create a favourable environment for it. Echoing Wang's remarks, a retired Shenzhen-based law professor specialising in Hong Kong affairs said Article 23 remained the most important step in introducing national security measures, despite fears of more direct action by Beijing. "I personally think Article 23 will be an important step to be taken next," said the person, who spoke on condition of anonymity. "The extradition bill is more closely related to ordinary citizens, whereas Article 23 is more indirectly related. The failure with the extradition bill doesn't mean Article 23 is off the table." Wang added that, although peaceful protest had been common in the city, the violent scenes of recent weeks had not been seen before. "There are more than 10,000 protests each year in Hong Kong, but most of them were peaceful, so normal business operations were not disturbed," he said. "But the violence in the past four months was not seen in the past and has hurt multiple sectors and the life of ordinary citizens." When asked what would happen if Hong Kong failed to pass the law, Wang declined to say what direct action Beijing could take. "Everybody can see Hong Kong is sick, and if no one is willing to go through treatment, the city will be over," he said. "China would of course bear a heavy loss over Hong Kong, but for Hong Kong the costs will be unbearable." ^ top ^
Xi Focus: Xi meets HKSAR chief executive (Xinhua)
2019-11-05
President Xi Jinping on Monday met with Chief Executive of Hong Kong Special Administrative Region (HKSAR) Carrie Lam, who is in Shanghai for the second China International Import Expo. After hearing Lam's report on the recent situation in Hong Kong, Xi said the disturbances in Hong Kong have lasted five months. Lam has led the SAR government to fully discharge its duties, strive to stabilize the situation and improve the social atmosphere, and has done a lot of hard work, he said. Xi voiced the central government's high degree of trust in Lam and full acknowledgement of the work of her and her governance team. Ending violence and chaos and restoring order remain the most important task for Hong Kong at present, he noted. Xi demanded unswerving efforts to stop and punish violent activities in accordance with the law to safeguard the well-being of the general public in Hong Kong. Meanwhile, effective efforts should be made in work including having dialogue with all sectors of the society and improving people's livelihood, Xi said. Xi expressed his hope that people from all walks of life in Hong Kong fully and faithfully implement the principle of "one country, two systems" and the HKSAR Basic Law, and make concerted efforts to safeguard Hong Kong's prosperity and stability. ^ top ^
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| Macau |
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| Taiwan |
Hong Kong bookseller Lam Wing-kee who fled to Taiwan says he's ready to reopen in Taipei (SCMP)
2019-11-07
Lam Wing-kee, the Hong Kong bookseller who moved to Taiwan in April – three years after claiming he had been kidnapped by Chinese agents for selling books banned across the border – says he plans to reopen his store, Causeway Bay Books, in Taipei early next year. The shop would sell books about Taiwan, Hong Kong and mainland China, and cater to "free souls" so they could understand the increasingly complex situation facing the three territories, he said. "I'm looking for premises in downtown Ximending where many locals and tourists visit," he said on Thursday. "And I am planning to make it a space for everyone, because the bookstore is only able to open because of help from the public." Lam was referring to a crowdfunding campaign he launched on the FlyingV platform between September and November, which raised NT$5.97 million (US$196,000) from about 2,900 people. Under the terms of the campaign – titled "Causeway Bay Books – Reopen in Taiwan – Open for Free Souls" – he has six months to open his new store. Lam said the ongoing pro-democracy protests in Hong Kong had prompted him to start over in Taiwan. "The idea of reopening Causeway Bay Books is to introduce books that will increase readers' understanding of what exactly has happened in Taiwan, Hong Kong and the mainland," he said. Causeway Bay Books was located in the district of Hong Kong from which it took its name. Lam and four booksellers disappeared in late 2015 and were detained in mainland China for selling books critical of China's leaders. Lam was released in June 2016 and allowed to return to Hong Kong to retrieve a hard drive containing details of his customers. But while in the city he jumped bail and went public about how mainland police had detained him as he crossed the border into Shenzhen, blindfolded him and interrogated him for months. In late April, Lam fled to Taiwan, concerned that he would be sent to the mainland under a now-withdrawn extradition bill. The proposed legislation sparked the anti-government protests that have steadily escalated over the past five months. "With the protests going non-stop and the two sides refusing to compromise, I can't see an end to the unrest or a future for Hong Kong, given that Beijing is unlikely to allow the holding of general elections there," Lam said. "My advice for the students and young protesters is to put their personal protection first … and if their safety is under threat, leave Hong Kong as soon as possible." Lam said he had met with several groups of Hongkongers in Taiwan, many of whom had asked him for advice on how they could remain on the self-ruled island. Lam, who is in Taiwan on a three-month tourist visa that can be extended for a further three months, said that as Hongkongers were not classed as refugees they would not be able to seek political asylum in Taiwan, but could use alternative channels, like studying, working or investing, to help them stay. Many human rights organisations and civic groups were also willing to help, he said. ^ top ^
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| Economy |
China developers should consider other industries as Beijing unlikely to ease property controls, tycoon says (SCMP)
2019-11-08
The Chinese government is unlikely to ease its controls over the domestic property market, so developers should consider branching out into other industries, according to billionaire real estate tycoon Sun Hongbin. "Moving the economy away from relying too much on real estate is highly political and it is the country's choice for a long-term strategy. We must understand this adjustment," said Sun, the founder and chairman of Hong Kong-listed property developer Sunac, in a speech in Beijing on November 5 and published on Wednesday in local media. "Many people think that the pressure [on the housing market] is so big now, when will they ease? I say it is unlikely [that they will do so]," he added. The speech by Sun, who was ranked at No 20 on Forbes' China rich list this year with an estimated net worth of US$10 billion, highlights the dilemma facing China's real estate industry given the government's increasingly heavy-handed approach to managing the housing market and the economy. Beijing and local governments have sought to crack down on speculation in the real estate market and hold the rise in housing prices by introducing a series of measures such as tightening funds flowing into the sector, restricting property sales to local residents, increasing down payment requirements and putting price caps on new houses. While the downward pressure on Chinese growth is likely to grow in coming years, Beijing is unlikely to make a U-turn in its strategy to take the steps necessary to achieve "high-quality growth", Sun said. "For real estate companies, this control [from Beijing] must not be regarded as short-term, it is for the long-term – and it is a national strategy," Sun stressed. "Economic growth does not need to be so high, 4 per cent is quite good, this industry [real estate] is too important, but it takes up too much [in the way of resources]," Sun said. "In addition, the pillar of the general secretary's [Xi Jinping] theory is that the people are the centrepiece, and Chairman Mao talked about serving the people … serving the people means property prices can't go up." The world's second largest economy is growing at the slowest rate in decades, posting gross domestic growth (GDP) growth of just 6 per cent in the third quarter this year amid the trade war with the United States. So far Beijing has resisted launching large-scale stimulus even as exports are falling and domestic demand is weakening. The real estate sector, including construction, remains key driver of China's economic growth, accounting for around 30 per cent of the nation's GDP. Land sales to developers also accounts for up to 40 per cent of local government revenues. Commercial bank loans made to the real estate sector slowed from almost 30 per cent in 2017 to below 20 per cent in 2019, according to a report by credit rating agency Moody's. Sun also warned that the industry needed to reduce its overall leverage – the level of debt to sales. In addition, it should reduce its reliance on housing sales and branch out to offer "value-added" products that target consumption such as tourism, education and health care. Sunac, which already has a tourism business, said last month that it planned to work with Tsinghua University in Beijing and the city government of Qingdao in Shandong province to establish a 4.5 billion yuan (US$642 million) medical services centre as its entry into the health care market. "Our proposal in this area [value-added products] is mainly for five years and 10 years ahead, because it is very difficult to make money right now. We must be calm and steady, we must think about scale and high quality growth," Sun said. ^ top ^
China's pork imports predicted to surpass 3m tons in 2019: ministry (Global Times)
2019-11-07
China's imports of pork and related products are predicted to surpass 3 million tons this year and the figure will continue to rise in 2020, an official at the Ministry of Commerce (MOFCOM) said Thursday, urging international pork trade companies to set reasonable prices. The country's imports of substitutes - including beef and poultry - will reach 2.7 million tons this year, Wang Bin, a deputy chief for market operations at MOFCOM, said at the 10th China International Meat Conference in Shanghai, domestic news site 21jingji.com reported. China recently stepped up pork imports, as it has been fighting African swine fever since the virus was detected in August 2018. Entering the winter season, market demand for meat gradually will rise, particularly as China's traditional Spring Festival draws near, Wang said. Wang encouraged importers and suppliers to cooperate with Chinese purchasers. "Now is the best time. You can sign more agreements on pork trade. Then you can occupy the Chinese market during the golden season of New Year's Day and the Chinese Spring Festival as well as the first quarter of next year," he was quoted as saying in the report. He said international meat traders should have a long-term vision in setting reasonable export prices and establishing stable and sustainable trade relationships with Chinese purchasers. "Do not hike pork export prices too high, which will make you lose the opportunity for seek long-term development in the Chinese market," he said. In the first three quarters of this year, domestic pork production dropped 17.2 percent year-on-year to 31.81 million tons, Wang said, noting that domestic consumption of pork dropped 20-30 percent due to soaring prices. The continuous rise in prices is partly due to the reluctance of many large farming companies to sell pork right now, Ma Wenfeng, a senior analyst at Beijing Orient Agribusiness Consultancy, told the Global Times on Thursday. However, China's hog supply is expected to start to increase in the second half of 2020, Wang said. "Given that the price of pig feed saw continuous gains in recent months, pig breeding companies' production must have been recovering," Ma said. Ma predicted pork prices will drop significantly before the second half of 2020, as pork supply will increase in January and February. ^ top ^
Alipay launches international e-wallet, giving foreigners access to mobile payment platform in first for China (SCMP)
2019-11-05
Without a Chinese bank account and a local mobile phone line, foreigners have found it difficult, if not impossible, to find any smartphone app to pay for online purchases in China. That hurdle will be now removed under a pioneering effort by Alipay. Ant Financial Services Group, which operates one of China's two dominant e-payment platforms, will give foreign visitors to the mainland access to its mobile payment platform from Tuesday, according to a statement. It will allow visitors up to 90 days' usage of its smartphone application without requiring a local bank account or mobile phone number, it added. Ant Financial is an associate of Alibaba Group Holding, which in turn is the owner of The South China Morning Post. Under the programme called 'Tour Pass', the company will introduce an international version of its Alipay app for download and registration using their international phone numbers. The app will enable visitors to pay for their transactions using a 90-day prepaid card from the Bank of Shanghai. The move will open the door for Ant Financial to extend its dominance in the home market and tap into growing tourism in the world's second-largest economy. China received 30.5 million of foreign visitors in 2018, an increase of 4.7 per cent from the previous year. They spent about US$73.1 billion in lodging, food, shopping, among others, Ant Financial estimates. The international version of the Alipay app is not being made available for Hong Kong and Macau mobile phone users, Ant Financial said. There is a mobile payment solution called Alipay HK for Hong Kong users, which is different from the mainland version. To gain access to China's mobile payment services, Hong Kong residents can open a Chinese bank account through Bank of China (Hong Kong), one of the city's three currency issuers, without having to do so onshore. Ant Financial said the 90-day prepaid card can be reloaded using their international debit or credit cards. The minimum top-up is 100 yuan, with the balance capped at 2,000 yuan. Users can top up "multiple times" and Alipay has set an undisclosed but "reasonable" ceiling, it said. Alipay competes with Tencent Holdings' WeChat Pay for dominance in China's cashless economy. Both operators have more than 90 per cent penetration rate among internet users, according to a 2018 report on China's third-party mobile payments market by research firm Ipsos. Alipay, together with its local e-wallet partners across Asia, serves more than 1.2 billion users on its platform, according to its statement. ^ top ^
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| DPRK |
Warnings, recriminations and a missile launch: how the US-North Korea nuclear talks died (SCMP)
2019-11-08
When North Korean leader Kim Jong-un vowed "complete denuclearisation" last year, Washington and Seoul offered him an extra incentive to ensure the vow would stick. The allies suspended their major joint military exercises, sparking criticism from hardliners such as John Bolton, the former US national security adviser who warned that Kim was playing games. Washington and Seoul focused on diplomatic efforts to persuade North Korea to forfeit its nuclear weapons programme. Officials in both capitals offered Pyongyang blueprints to help Kim realise his economic ambitions in exchange for irreversible denuclearisation. Some top diplomats in Seoul have described this unorthodox approach as a measure to "give peace a chance." But eight months after the failure of his high-stakes summit with Kim, US President Donald Trump's determination to solve the nuclear stand-off through direct dialogue appears dead. Kim has instead pivoted to his signature nuclear gambit, launching ballistic missiles. Last month, Kim increased tensions further by test-firing a new submarine-launched ballistic missile (SLBM), directly threatening the US homeland. The possession of SLBMs significantly increases the country's second-strike capability, as it would allow nuclear retaliation even if all of its land-based missiles have been destroyed. The fact that it operates underwater also makes it harder for the US to detect before the launch, thus posing a greater threat to US territory. The working-level meeting between the US and North Korea in Stockholm, held right after the SLBM launch, also collapsed, further diminishing hopes. Top North Korean negotiator Kim Myong-gil issued a warning soon after the meeting that "terrible events" could occur. With Pyongyang returning to its traditional approach, Washington and Seoul are also tilting towards their orthodox stance on North Korea. The allies are now preparing to resume their joint air defence exercises, as narratives in Washington also showing some signs of changing. The Pentagon announced this week that the US and South Korea would go ahead with combined air exercises on the peninsula next month. "We are proceeding with the combined flying training event as planned," Army Lieutenant Colonel Dave Eastburn, a US Defence Department spokesman, said on Tuesday. The American military newspaper Stars and Stripes, citing US officials, said the exercises would replace the former annual drills known as Vigilant Ace. The allies cancelled the major large-scale exercise last year along with other joint drills – including Key Resolve and Ulchi Freedom Guardian – to better facilitate the North Korea negotiations. A South Korean defence ministry official said the allies would conduct a scaled-down air defence drill, which was confirmed by the Pentagon on Thursday. But the allies' aerial exercises are among Pyongyang's biggest fears as North Korea does not have the conventional capability to balance up the power. In 2017, at the Vigilant Ace exercise, the Pentagon sent its most advanced stealth fighters: the F-22 Raptor and F-35 Joint Strike Fighter. A total of 230 aircraft took part in the drill, showcasing the allies' conventional superiority to North Korea as well as its biggest security guarantor, China. Pyongyang protested immediately after the Pentagon's announcement. Kwon Jong-gun, a roving ambassador from its foreign ministry, said in a statement on Wednesday that the decision was a "reckless military frenzy" that would put the upcoming nuclear talks on the "verge of extinction". "Our patience is reaching an uppermost limit," Kwon said. "We won't just sit still and watch the reckless military move." Meanwhile, the narratives from Washington are also showing some signs of changing. US Secretary of State Mike Pompeo hinted last month that Washington might be shifting its approach to North Korea. "The truth is that we can't rely on failed strategies to convince Chairman Kim to give up his nuclear weapons," Pompeo said at the Heritage Foundation, a conservative think tank. "There is still much work to be done." Experts said it was obvious that Trump's highly touted relationship with Kim has not led to any progress toward North Korean denuclearisation. "The US has repeatedly sought to engage with North Korea, but Pyongyang deigned to have only eight days of diplomatic meetings during the past year and a half," said Bruce Klingner, a former chief analyst for the CIA and US Defence Intelligence Agency who is now the senior research fellow for Northeast Asia at the Heritage Foundation's Asian Studies Center. "After the Stockholm meeting, US officials indicated they had presented new ideas, but they were quickly rejected by North Korea," Klingner said. "Pyongyang has affirmed Kim Jong-un's warning that regime patience runs out at the end of the year and warned it may resume nuclear and ICBM testing." An intercontinental ballistic missile (ICBM) is a guided weapon with a minimum range of 5,500 kilometres (3,418 miles) – putting the United States within range – and is primarily designed for nuclear delivery. "Since the 2018 Singapore summit, Washington has slacked off enforcing US laws, cancelled numerous allied military exercises and embraced a leader responsible for crimes against humanity," Klingner said. "Trump has now adopted a weaker version of the Obama administration's 'strategic patience' policy and timid incrementalism of sanctions enforcement." Kristine Lee, an associate fellow for the Asia-Pacific Security Program at the Centre for a New American Security (CNAS), noted that Washington may be considering a "recalibration" of its policy to also put China in the picture. In fact, Beijing and Moscow conducted their first joint long-range air patrol in the Asia-Pacific region in July, revealing ambitions to expand their scope of political influence as Washington's regional military commitment is being questioned. Two Chinese H-6 bombers and two Russian Tu-95 strategic bombers performed a formation flight in the Sea of Japan – also known as the East Sea – then to the East China Sea, across the Air Defence Identification Zone of both South Korea and Japan in a demonstration of the countries' strengthening military cooperation. Last year, the two flexed their muscles during the Vostok 2018 war games in Russia's far east. In 2016, Chinese and Russian warships showed a similar coordinated move, sailing close to the disputed Senkaku islands – also known as Diaoyudao – raising alarms for US allies in the region. "As US negotiators have locked horns with North Korean interlocutors since President Donald Trump and Kim Jong-un's foray into diplomacy in June 2018, China has touted its role as a champion of peace and stability on the Korean peninsula, while using its relative proximity to Pyongyang to systematically undercut the United States' approach," Lee said. Washington's decision may signal "greater alignment of the United States' dual goals in Northeast Asia of managing the North Korea nuclear threat and competing strategically with China," Lee said. Chinese observers noted that Beijing would strongly protest against the allies' joint drill. Cheng Xiaohe, an associate professor with Renmin University in Beijing, said the Chinese government would monitor the drill at its doorstep closely. But he also said it would be difficult for Trump to shift the current North Korea policy because of domestic political turbulence. "There could be some uncertainties in its North Korea policy for a period of time [because of the impeachment inquiry], but still, the good news is that Trump himself wants to have talks with North Korea, even though others [in his administration] may not," said Cheng. Harry Kazianis, director of defence studies at the Center for the National Interest, said that trying to predict what Trump will do in foreign affairs would be a "complete guessing gaming" as shown by Trump's "illogical decision in Syria". "The administration clearly faces a looming crisis as North Korea's self-imposed deadline of moving towards a 'new way' at the end of the year is fast approaching. … In the coming weeks, I suspect Kim will test ever more advanced missiles to put pressure on Washington," Kazianis said. "While at the moment America can pretend that all is well with North Korea – with no long-range missile or nuclear testing – I suspect Kim will break that pledge in the coming months." "It will be at that point, Trump will have to decide to offer concessions or go back to a hardline maximum pressure policy like in 2017," he said. "But for now, Trump seems content to stand pat – but it won't last for long. Kim will see to that." ^ top ^
Seoul deports two men to North Korea for murdering 16 fishermen (SCMP)
2019-11-07
In an extremely unusual case, South Korea on Thursday deported two North Koreans after finding out they killed 16 fellow crew members on their boat then fled to South Korean waters, Seoul officials said. The two men in their 20s were sent back to the North through the truce village of Panmunjom on the border. "The government has decided to deport them as they have committed a heinous crime. They cannot be treated as refugees under international laws," ministry spokesman Lee Sang-min said. "They could also pose threats to the life and security of our people." North Korea still carries out public executions, including by firing squad and hanging. The two men were found south of the Northern Limit Line, a de facto sea border off South Korea's east coast on Saturday. They attempted to flee when the South's Navy tried to capture them, officials said. They were then taken to a nearby port for questioning, the ministry said. The deportation took place after South Korea informed the North of its decision to send them back earlier this week, and the North subsequently agreed to it, the ministry said. The rare deportation occurred despite tensions between the two Koreas after denuclearisation talks stalled. South Korea has a policy of accepting North Koreans who want to resettle in the South to avoid political oppression and economic poverty at home. It is the first time the South has deported any North Korean national who has come to South Korea since the end of the Korean war, according to the Unification Ministry, which deals with North Korean affairs. Unification Minister Kim Yeon-chul told the National Assembly on Thursday that the two deported men and another fellow sailor were involved in killing 16 fellow sailors, including the skipper of their fishing boat. Their boat with 19 crew members on board set sail off North Korea's port of Kimchaek in August to catch squid fish off Russia. Acting out of anger against the abusive skipper, the three accused killed him and murdered the remaining 15 to cover up their first crime, according to the minister. The three men threw the bodies overboard and sailed towards Kimchaek to flee to the Chagang province near the Chinese border. After one of them was arrested by North Korean authorities near Kimchaek, the two others ran away toward the South. After being spotted by the South Korean navy, they attempted to abscond for two days despite warning shots from a South Korean navy vessel before being captured. A North Korean defector said it was "absolutely certain" that the two will be executed in the North. "The North will probably execute them in public as a message to potential defectors – even if you flee to the South, you will end up like this," Eom Yeong-nam told the Post. North Korean fishing boats have occasionally drifted into South Korean waters, and South Korea has usually accepted those who chose to resettle and repatriated others who wished to return home. About 32,000 North Koreans have fled to the South since the end of the Korean war, most of them via China and in the past two decades. North Korean defectors are a sore point in relations between the two Koreas, with the North often claiming its citizens are held against their will in the South. ^ top ^
Chinese tourists in North Korea: 'almost a necessary evil' (SCMP)
2019-11-06
North Korea might not seem a likely victim of overtourism but, according to the website NK News, the hermit kingdom is struggling to accommodate a surge in arrivals from its neighbour to the west. On October 31, the Seoul-based platform estimated "conservatively" that a record 350,000 Chinese tourists will have visited the isolated nation by the year's end, adding that the volume of visitors is causing problems at some of the most popular destinations in the capital Pyongyang and beyond. Improved relations between China and the Democratic People's Republic of Korea, whose leaders have met five times since March 2018, are believed to be behind the DPRK's increased appeal, although the desire to know more about a mysterious neighbour and a lack of gambling laws also play a role. As does nostalgia. "I don't want to speak for all Chinese any more than I would for all Koreans, but there is a tendency for mainland tourists to assume that the DPRK is simply China from 40 years ago," Simon Cockerell, general manager of Koryo Tours, told NK News. Banking on another "conservative" estimate from NK News that each arrival spends US$500 per trip, the nation could net as much as US$175 million from tourism this year, without having to worry about those pesky international sanctions. "Simply by targeting the Chinese with their tourism business, North Korea can earn a considerable amount of foreign currency," one source told news site Daily NK. Businesses across the capital are booming, according to a November 1 NK News article, with the increase in arrivals driving improvements at hotels, including "more powerful hairdryers, new paving, mosquito nets, powerful showers and even 24-hour supplies of hot water". However, as other countries familiar with a sudden influx of travellers from the Middle Kingdom have found, the financial rewards aren't always enough to sugar the pill of being too popular. "Chinese groups are typically large and hence more difficult to control," a guide who led tours to North Korea told NK News. "Some local guides have expressed disappointment with the lack of interest in their explanations at tourist sites." The website also reported that Dr Tereza Novotna, a North Korea scholar, said that Chinese visitors were viewed as "almost a necessary evil", while Cockerell explained that local guides found the large groups "a bit overwhelming". Mainland tourists are also overwhelming specific sites, including Juche Tower and Kim Il-sung Square, in the capital, and the DMZ, the no man's land that separates the North from South Korea. Speaking to Daily NK, an unnamed North Korea expert said, "Before there used to be a quota on the number of Chinese tourists allowed into North Korea, but this quota has become useless." Visitors from the Middle Kingdom have been known to wander off, unaccompanied, something that is forbidden and can land tourists and their guides in serious trouble. In 2010, two Western journalists slipped away from the Yanggakdo hotel at dawn and photographed an illegal market. They were later confined to their hotel and forced to write a letter of apology as punishment, but things could have been much worse. American student Otto Warmbier was charged with subversion for allegedly taking a propaganda poster from his hotel room, also at the Yanggakdo, and sentenced to 15 years of hard labour in 2016. He died in June 2017, six days after being released and returned to his homeland in a vegetative state. As far as we know, no such penalties have been dished out to Chinese tourists. Sources told NK News that "DPRK tourist authorities simply don't want to rock the boat when it comes to the industry's biggest ever cash cow in history". Should North Korea need any evidence on what happens when a Chinese tourism boom goes unchecked, there are plenty of cautionary tales from around the region. Spoiler: it is not always pretty. Kyoto's Gion district – home to geisha, wooden machiya teahouses and lantern-lit lanes – has had enough of boorish tourists and banned photography on some of its famous streets. On October 25, Japanese broadcaster NHK reported that an association of residents and business owners had organised to implement the picture prohibition on private alleys near Hanamikoji Street, effective immediately. Signs telling visitors of the rules have been put up around the area while leaflets have been handed out to urge tourists to ask permission before snapping any geisha. The fine for flouting the rules is 10,000 yen (US$92). According to The Guardian newspaper, the ban and fine are not legally binding, with local businesses hoping the measure will convince visitors to have more respect for the neighbourhood. Group representative Mimiko Takayasu told NHK that the ban had been imposed to help preserve Gion's traditional atmosphere. They appeal to adrenaline junkies while inspiring crippling fear in others, but there is no denying that glass-bottomed bridges and walkways have drawn tourists to some of China's most scenic spots. According to the state-owned China News Service, there are more than 2,000 glass bridges and an "undetermined" number of glass walkways or slides in the mainland, but not all of them are safe. Amid a lack of national regulation, Hebei province has enforced regional requirements, leading to the closure of 32 glass-bottomed attractions over the past 18 months. Authorities in Guangdong have also been cracking down, demanding changes to six sites deemed unsafe in the province. Suddenly, that vertigo seems all too justified, doesn't it. ^ top ^
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| Mongolia |
Consulate General of Mongolia opens in Shanghai (Montsame)
2019-11-07
The Consulate General of Mongolia in Shanghai, China opened yesterday, November 6. Being the 72nd Consulate General of the country, it has an assigned area for consular functions which encompasses Guangdong, Fujian, Zhejiang, Anhui and Jiangxi provinces of China. It will work for protecting interest of Mongolian citizens living and studying in the assigned area, providing consular services promptly and issuing visa to Chinese and other nationals for tourism and investment purposes. Main functions of the Consulate General also include strengthening business ties and deepening trade and economic relations of the two countries by means of promoting Mongolia's investment environment and export opportunities to Chinese investors and others and seeking possibilities to introduce advanced technology of the country to Mongolia. ^ top ^
Macroeconomic risks to be discussed at upcoming Risk Forum – 2019 (Montsame)
2019-11-06
On November 13, Risk Forum of Mongolia – 2019 to be held aimed at identifying risks facing the Mongolian social, economic and business fields, discussing the ways to manage them with involvement of professional organizations and preventing from further risks. This year's forum will cover three main areas of macroeconomic risks for 2020 and business plan and foreign exchange risks; organizational risk management and tangible steps; hot topic in society: risks to arise in case of Oyu Tolgoi project termination. Mandal Daatgal insurance company has been organizing the event since 2009 for the tenth year with publications of ten yearly risk reports and in 2016, a method to assess risk index of Mongolia was formulated thanks to the Risk Forum. ^ top ^
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Jennia Jin
Embassy of Switzerland
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The Press review is a random selection
of political and social related news gathered from various media
and news services located in the PRC, edited or translated by
the Embassy of Switzerland in Beijing and distributed among Swiss
Government Offices. The Embassy does not accept responsibility
for accuracy of quotes or truthfulness of content. Additionally
the contents of the selected news mustn't correspond to the opinion
of the Embassy.
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