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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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Mongolia
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| Foreign Policy |
Chinese premier meets Japanese emperor (Global Times)
2018-05-11
Chinese Premier Li Keqiang met with Japanese Emperor Akihito in Tokyo on Thursday. Li conveyed Chinese President Xi Jinping's greetings to the emperor. He said his visit to Japan coincides with the 40th anniversary of the signing of the China-Japan Treaty of Peace and Friendship. China expects to review the spirit of the treaty with Japan through the visit, and boost bilateral ties back to the normal track and achieve new progress, he said. During his visit, Li held talks with Japanese Prime Minister Shinzo Abe, met with leaders of the Diet as well as heads of ruling and opposition parties. He will also pay a visit to Japan's northern island of Hokkaido, in order to boost local exchanges. China is willing to enhance people-to-people exchanges with Japan, consolidate the public foundation for bilateral ties, and strengthen understanding and affection between the two peoples, Li said. Emperor Akihito, for his part, said he was very glad to see Premier Li's official visit to Japan at such an important year, voicing his hope for further growth of ties through the visit. The emperor said he always recalls the moment when he was warmly welcomed by the Chinese people in his visit to China over 20 years ago. During the visit, he said, he strongly felt that the hearts of the two peoples were connected. He hopes the two countries would build a brighter future for bilateral ties through people-to-people exchanges. Li will conclude his official visit to Japan on Friday. It is the first by a Chinese premier in eight years. ^ top ^
China moves to strengthen financial ties to Japan in face of US trade war threat (SCMP)
2018-05-10
China and Japan have moved to strengthen their financial ties with each other amid the looming threat of a trade war with the United States. The two countries have been working to improve relations despite their ongoing territorial disputes and historic disagreements. Chinese Premier Li Keqiang, who is visiting Japan, announced three measures to boost links between the two economies: allowing Japanese investors to buy up to 200 billion yuan (US$31.4 billion) worth of securities in Chinese onshore markets, resuming talks over a halted bilateral currency swap deal and licensing a bank in Tokyo as a yuan clearing bank. Li told Japanese Prime Minister Shinzo Abe that relations between the two countries are "at a crucial stage", adding that the two neighbours should be partners rather than foes. Li also used the meeting to unveil a Renminbi Qualified Foreign Institutional Investor (RQFII) scheme, which allows the use of offshore yuan to buy Chinese stocks, bonds and other assets worth up to 200 billion yuan. The two Asian giants have also agreed to speed up negotiations on the resumption of a currency swap arrangement, after the deal was halted for about five years. A bilateral currency swap deal allows China to use its own currency to buy Japanese yen in time of need, and vice versa. Analysts described the measure as a sign of trust, but said it also offered a hint that there was a plan to sideline the US dollar in the region. "The swap line has been talked about for years," said Chen Zilei, a professor at Shanghai University of International Business and Economics. "It is a breakthrough on the basis of political mutual trust, and can help to avoid exchange rates risks." The two countries launched their first swap scheme worth US$3 billion in 2002 but the deal was not renewed after it expired in 2013 due to the ongoing dispute over the Diaoyu Islands, known as Senkaku Islands in Japan, in the East China Sea. The Japanese yen is a convertible currency, and the Chinese government is trying to boost the global clout of its own currency. The Japanese government may also start to consider including Chinese yuan in its foreign exchange reserves, according to Sayuri Shirai, a professor at Keio University, a former member of the policy board of the Bank of Japan. The open RQFII for Japanese investors "means the demand for yuan will rise in Japan," Shirai said. She argued that it was an "opportunity for [financial institutions] to diversify their investment portfolios"rather than focusing on US and European markets. Shirai said Japan, despite its geographical closeness to China was lagging behind other neighbouring countries in forming financial ties with the mainland but could still catch up. Japanese institutional investors are on the move already. Nomura Holdings, Japan's biggest brokerage, has applied for a 51 per cent stake in a joint-venture brokerage on mainland China, the second major international institution to do so after the Swiss banking giant UBS. The China Securities Regulatory Commission confirmed on Tuesday that it had received the application and would review it. A spokesman for Nomura said: "We have applied to set up a securities joint venture in China. We are currently discussing the details with the relevant parties and are unable to comment further at this stage." ^ top ^
Mahathir win unlikely to reverse China-Malaysia ties (Global Times)
2018-05-10
Chinese analysts expressed cautious optimism over China-Malaysia relations after an opposition coalition led by Malaysia's political strongman Mahathir Mohamad won the majority of seats in national elections. The 92-year-old former Malaysian prime minister said Malaysia may renegotiate some deals with China after his coalition won against the government of Najib Razak, who is credited with building warm ties with China. Mahathir previously criticized Chinese investments in Malaysia, calling some agreements signed or endorsed by Najib lopsided. But analysts said friendly China-Malaysia relations are unlikely to be reversed. "I don't think it is correct to call Mahathir 'anti-China' as some have in the media. When he was prime minister, he was friendly with China and visited China several times. At that time, Mahathir was a fervent critic of the US," Zhu Zhenming, a professor at the Yunnan Academy of Social Sciences, told the Global Times. Zhu said some of Mahathir's criticism of Chinese investments may have been politically driven in an attempt to defeat Najib in the election. "China's trade volume is too large to be ignored. Cooperating with China is not an option but a mutually beneficial trend that cannot be reversed," Zhu noted. Mahathir, who led Malaysia for 22 years before retiring at 78, told a news conference on Thursday that he supports China's Belt and Road initiative but said Malaysia reserves the right to renegotiate terms of some agreements with Beijing, if necessary. Mahathir's criticism toward Chinese investments has sparked concerns among some Chinese investors. Li Minglong, a businessman from Guangxi Zhuang Autonomous Region who imports bird's nest from Malaysia, told the Global Times he fears that the election results might impact his business in the short term. A businesswoman, Wu Wanrong, said she waited until midnight for the election results. Wu's business with Malaysia will continue but she hopes that her import papers won't be postponed with a new administration in office. Chinese foreign ministry spokesperson Geng Shuang said on Thursday that Mahathir is a veteran politician who has made important contributions to the development of China-Malaysia relations. "The current comprehensive strategic partnership between China and Malaysia enjoys a sound momentum and the cooperation is generating fruitful results. This has brought concrete benefits to the two nations and peoples and both sides should cherish it," Geng told the media. Analysts noted that Mahathir may diversify foreign investments in Malaysia and make Malaysia less dependent on China economically after taking office. "Elections aside, Mahathir's comments reflect some of his concerns that are not uncommon in Southeast Asia. Many of these countries are still adapting to China's rise," Zhu said. Mahathir's victory may postpone a high-speed rail project between Kuala Lumpur and Singapore. In a previous interview with The Sunday Times, Mahathir said: "We need to do a study on whether it is feasible or not because we don't have the money and have to borrow, and that is not something the Malaysian government can bear at the moment. We have to know whether we really need this HSR or not." Analysts also said a $13 billion East Coast Rail Link that will connect Malaysia's underdeveloped east coast to Kuala Lumpur, which Mahathir had campaigned against, could be shelved. ^ top ^
New freight train links Inner Mongolia and Iran (Xinhua)
2018-05-10
Freight train service from Bayannur city in north China's Inner Mongolia Autonomous Region to Tehran, Iran's capital, was launched Thursday morning. The train, carrying 1,150 tonnes of sunflower seeds, will travel 8,352 kilometers through Kazakhstan and Turkmenistan, arriving in Tehran in 15 days, said Chen Bo, deputy manager of the Hohhot office of China Railway. The new train route will shorten transportation time by at least 20 days compared with ocean shipping. Bayannur city is China' biggest sunflower seed production area. The city exports about 180,000 tonnes of sunflower seeds every year, with 90 percent of them headed for Middle Eastern, European and U.S. markets. Agricultural products from the city have been exported to more than 80 countries and regions, and its export volume has reached 420 million U.S. dollars. ^ top ^
China "strongly dissatisfied" with EU trade practice (Xinhua)
2018-05-10
China's commerce ministry said Thursday that the country is "strongly dissatisfied" with the European Union's use of a "surrogate country" approach in probes against Chinese products. In anti-dumping probes into made-in-China tires, the European Commission continued to use the unfair "surrogate country" approach, which imposes trade remedies by calculating production costs based on data in a third country, and inflated the degree of dumping, the Ministry of Commerce spokesperson Gao Feng said. China urged the EU to treat Chinese businesses fairly in the investigations, Gao said. This came after the European Commission announced the imposition of anti-dumping duties on tire imports from China beginning May 8 and lasting for six months. The EU move will not only harm the interests of Chinese businesses, but also undermines the long-term development of the EU tire industry and interests of its consumers, Gao said. He said China will closely follow the development of the case and firmly defend the legitimate interests of Chinese enterprises. ^ top ^
Is Beijing readying its airstrips for a military build-up in the South China Sea? (SCMP)
2018-05-10
A Chinese military aircraft was spotted on a disputed island in the South China Sea late last month, according to a US think tank that monitors activity in the region, and the move is unlikely to go unnoticed by Beijing's neighbours, analysts said. The presence of the Shaanxi Y-8 transport plane on a runway at Subi Reef in the Spratly Islands, as seen in satellite images taken on April 28, confirms that China has now landed military aircraft on all three of its airstrips – located on separate reefs – in the contested archipelago, the Washington-based Asia Maritime Transparency Initiative said. Last month, the Philippine Daily Inquirer published photographs, said to have been taken in January, of two Chinese transport planes, believed to be Xian Y-7s, on Mischief Reef in the island group, while in April 2016, a Chinese naval patrol aircraft, most probably a Y-8, landed on Fiery Cross Reef to evacuate three people who had fallen ill there. Beijing's militarisation of the South China Sea, which includes the construction of artificial islands and related infrastructure, has been strongly criticised by Vietnam, the Philippines, Brunei, Malaysia and Taiwan, all of which have competing territorial claims in the waterway. Subi Reef lies just 12 nautical miles from the Philippines' Thitu Island, which is home to about 100 civilians and a small military garrison, and the appearance of a Chinese military aircraft so close to its territory is unlikely to go down well in Manila, according to Richard Javad Heydarian, a specialist in international relations based in the Philippine capital. "This is a direct betrayal of China's supposed pledge to the Philippines not to militarise land features it [the Philippines] claims," he said. The latest images were also likely to be picked up by domestic opponents of Philippine President Rodrigo Duterte, who has been strongly criticised at home for his lack of response to China's development of military facilities in the region. At a press conference last week, a spokesperson for the foreign ministry in Beijing appeared to confirm US media reports that China had deployed missile defence systems in the Spratly Islands, but said the "relevant deployment targets no one". Collin Koh, a research fellow at the S Rajaratnam School of International Studies at Nanyang Technological University in Singapore, said that the military plane seen in the latest photographs appeared to be a "normal airlifter". He was referring to the fact that although the People's Liberation Army classifies the Y-8 as a transport plane, capable of carrying more than 120 passengers, several of them have been retrofitted with intelligence gathering equipment. "Seeing military-grade airlifters in the disputed area is not unusual," Koh said, adding that similar aircraft from the Philippine and Malaysian military had been spotted in the region. "The only [notable] thing is that because of the scale of the airstrips on China's artificial islands … they could support much larger airlift operations, [for example] during a large-scale military build-up." The strips are big enough to accommodate China's Y-20 heavy airlifters, H-6 strategic bombers and fighter jets, he said. ^ top ^
Three nations should push region's integration (China Daily)
2018-05-11
China, Japan and the Republic of Korea should accelerate negotiations to establish a free trade area and reach agreements on the Regional Comprehensive Economic Partnership as soon as possible to achieve regional integration, Premier Li Keqiang said on Wednesday. At the seventh China-Japan-ROK leaders' meeting in Tokyo, the premier said development of the three countries has benefited from free trade, and they should firmly stand together to safeguard the rule-based multilateral trading system and fight against protectionism and unilateralism. The regional partnership is a proposed free trade agreement between the 10 members of the Association of Southeast Asian Nations and six other countries, including China, Japan and the ROK. Li called on these neighbors to manage their differences using their wisdom and achieve a higher level of cooperation. He said the countries should strengthen cooperation in six key areas: trade liberalization, production capacity and investment, infrastructure and connectivity, finance, sustainable development and people-to-people exchanges. Li said the three countries should work to explore fourthparty markets using the model of "China-Japan-ROK plus X" to quicken regional development. There are disparities in the development levels of Asian countries, so China, Japan and the ROK should combine their advantages in equipment, capital and technologies for joint projects in production capacity, poverty alleviation, disaster management and environmental protection, he said. Japanese Prime Minister Shinzo Abe said the three countries support free trade and open markets as major traders and should propose trading rules with high standards. They should also boost personnel exchanges and enhance cooperation in education and tourism for a more open and inclusive development, he said. Li also called for continued dialogue and negotiations to achieve denuclearization and peace in the Korean Peninsula, saying China supports all relevant parties in conducting dialogues in all forms. Li also met separately with Republic of Korea President Moon Jae-in on Wednesday afternoon. The three leaders also delivered speeches at a sideline event, a China-Japan-ROK business summit of 200 business executives. "In the past few years, as far as trilateral relations and their impact on both overall economic and individual company performances are concerned, our mutual feeling is that openness and cooperation are conducive to economic development for us all," said the chairman of Chinese company Sanpower Group, Yuan Yafei, who spoke at the summit. Focusing on retail and healthcare, the Nanjing-based company has 40,000 overseas employees and seeks new market opportunities in Japan and the ROK. "We very much look forward to a more open and inclusive business environment, in which companies can 'go global' ... with reassurance among the three countries as a result of improved exchanges and collaboration made possible by this summit," Yuan said. The trilateral meeting was held at the right time, when the world is confronted with rising anti-globalization sentiment and protectionism, said Xu Liping, a researcher at the National Institute of International Strategy at the Chinese Academy of Social Sciences. It also will inject new energy into the global economy and free trade, as well as confidence into economic development in East Asia as long as the three countries carry out pragmatic cooperation, Xu added. ^ top ^
China urges Vietnam to respect sovereignty (Global Times)
2018-05-11
China urged Vietnam to respect its sovereignty and properly handle the South China Sea issue on Wednesday after the Vietnamese foreign ministry denounced the reported deployment of Chinese missile systems on the Nansha Islands as a "violation of Vietnamese sovereignty." "China has indisputable sovereignty over the Nansha Islands and the adjacent waters," foreign ministry spokesman Geng Shuang said at a daily briefing on Wednesday. "Our peaceful construction activities on the Nansha Islands, including the deployment of necessary national defense facilities, are meant to safeguard China's sovereignty and security, which is also the rights a sovereign state is entitled to." Through efforts by both countries, relations between China and Vietnam have witnessed positive development, Geng said. "We urge Vietnam to respect China's sovereignty and properly handle the South China Sea issue, promote relations and make them stay on the right track." Geng's remarks came after Vietnam asked China to withdraw military equipment from the South China Sea. "Vietnam requests that China, as a large country, shows its responsibility in maintaining peace and stability in the East Sea," Reuters reported. The Vietnamese statement came after China installed anti-ship cruise missile and surface-to-air missile systems on three fortified outposts in the South China Sea, CNBC reported. "Vietnam's claim that China is threatening Vietnamese national security is groundless as China's constructions in the South China Sea are defensive and do not target any countries," Chen Xiangmiao, a research fellow at the Hainan-based National Institute for the South China Sea, told the Global Times on Wednesday. Chen said Vietnam should understand that some countries - especially the US with its increasing presence in the area - are the reason for Chinese military construction. Vietnam was hyping the China threat theory, encouraging other Asian countries to get tough on China so as to enhance its own bargaining position with Beijing on the South China Sea, Chen said. "A peaceful situation in the area is not what Vietnam wants to see," Chen said. ^ top ^
China urges salvaging of Iran nuclear deal (Global Times)
2018-05-11
China on Wednesday urged the signatories to the Iran nuclear deal to safeguard the integrity of the agreement after President Donald Trump unilaterally pulled the US out of the pact, raising the risk of confrontation in the Middle East and casting a shadow on the upcoming US-North Korea nuclear negotiations. Chinese foreign ministry spokesperson Geng Shuang said on Wednesday that China regrets the US decision to leave the deal. "The Iran nuclear deal was a multilateral agreement reached after negotiations among six countries, the EU and Iran, and approved by UN Security Council Resolution 2231. All relevant parties should faithfully implement and safeguard the integrity and seriousness of the deal," Geng said. Trump said in a televised address from the White House that he would re-impose US economic sanctions on Iran to undermine "a horrible one-sided deal that should have never, ever been made." The 2015 agreement lifted sanctions on Iran in exchange for Tehran limiting its nuclear program. But Trump complained that the accord, the signature foreign policy achievement of his predecessor Barack Obama, did not address Iran's ballistic missile program, its nuclear activities beyond 2025 or its role in conflicts in Yemen and Syria. Analysts said the withdrawal will increase the risk of war in the Middle East, drive a potential arms race and aggravate conflicts between Iran and Israel and Saudi Arabia. "The Iran nuclear deal is not abolished. Only the US has decided to withdraw from a deal already approved by the UN Security Council. Its efficacy remains with or without the US. Trump's decision has only left the US isolated from the international community. Even its allies disapproved of the move," Hua Liming, a former Chinese ambassador to Iran, told the Global Times. Trump's withdrawal tests Iran's resolve to continue fulfilling its obligations under the accord, and that China, Russia and the EU should promptly find common ground to defend the deal to inject confidence in Tehran, said Niu Xinchun, a research fellow at the China Institute of Contemporary International Relations. With other signatories remaining in the deal, US sanctions can only inflict limited pain on Iran, analysts said. "The move damages US credibility in the international community. Trump's decision is politically driven to destroy Obama's legacy. He has given little consideration to what it might do to the rest of the world," Hua noted. […] Trump's decision also puts pressure on forthcoming negotiations with North Korea on its nuclear program. "Trump's decision shows Pyongyang how empty Washington's promises can be … The message is that Pyongyang must meet all US demands, otherwise the Iran deal is what Pyongyang will end up with. This is not the right atmosphere before an important summit," said Song Zhongping, a Beijing-based military expert. ^ top ^
US and China's trade clash to take centre stage at WTO (SCMP)
2018-05-11
The US and China are set to clash in Geneva on Tuesday as envoys from the world's two largest economies address the World Trade Organisation amid threats of a trade war. Chinese Ambassador Zhang Xiangchen will criticise Washington's proposed tariffs on US$150 billion of Chinese goods as well as levies on steel and aluminium that went into effect in March, according to an agenda of the meeting. Zhang's US counterpart, Dennis Shea, is expected to defend the measures and find fault with Beijing's retaliation. The debate comes just after a US team led by Treasury Secretary Steven Mnuchin ended trade negotiations in China with little progress other than agreeing to keep talking. The White House said on Monday that Chinese President Xi Jinping's top economic adviser, Vice-Premier Liu He, will travel to Washington next week for follow-up trade talks. Meanwhile, data released on Tuesday in Beijing showed the trade surplus with the US is not showing any signs of disappearing, despite US President Donald Trump's threats of tariffs. The surplus increased to US$22.2 billion in April, the first time that the gap has widened since November, according to Customs Administration data compiled by Bloomberg. The European Central Bank and International Monetary Fund have both warned that rising protectionism could undermine the strongest economic growth the world has seen in years. Economists expect a 3.7 per cent expansion this year and next after 3.8 per cent last year. "Unilateralist and protectionist measures taken by one major WTO member is putting unprecedented threats to the rules-based multilateral trading system," Zhang said at a meeting on Monday in a prelude to the more formal general council gathering the following day. "Responding collectively to ensure the functional and effective operation of the organisation becomes a pressing and most urgent matter for the moment." […] ^ top ^
Philippines, US hold biggest joint military drills seen during Duterte's rule but swear they're not aimed at China (SCMP)
2018-05-07
US and Philippine forces have begun their largest annual military exercises under President Rodrigo Duterte, who wanted to scale down America's military presence and involvement in combat drills as he sought closer ties with China and Russia. The Balikatan exercises opened on Monday and were to involve combat drills in mock urban settings to train special forces in battling terrorists in cities following an Islamic State-linked siege on southern Marawi city last year. After rising to power in 2016, Duterte vowed to scale back the presence of US troops involved in counterterrorism training in the country's south and once threatened to end the annual drills with American forces. These will be the largest joint drills since Duterte took office, though Philippine officials stress they are not aimed at China. The Philippines and the United States began a large-scale annual military exercise on Monday that includes a drill on part of Luzon island facing the disputed South China Sea. More than 8,000 troops will participate in the exercise, dubbed "Balikatan" (shoulder to shoulder), which is expected to run through to May 18, with troops from Japan and Australia also joining as they have in the last two years. The Philippine military said drills will be held in different parts of the country, including in the central provinces of Zambales and Tarlac. Scarborough Shoal, whose ownership is hotly contested between the Philippines and China, lies off Zambales. […] Angered by US criticism of his deadly anti-drug campaign, President Rodrigo Duterte said in 2016 that he wanted the annual exercise scrapped. But it ended up being held last year, albeit on a smaller scale, while maintaining humanitarian assistance and disaster relief activities. […] ^ top ^
Chinese premier arrives in Tokyo for official visit, China-Japan-ROK leaders' meeting (Xinhua)
2018-05-11
Chinese Premier Li Keqiang arrived in Tokyo on Tuesday for an official visit to Japan and the 7th China-Japan-Republic of Korea (ROK) leaders' meeting. Li's visit to Japan is the first by a Chinese premier in eight years, coinciding with the 40th anniversary this year of the signing of the China-Japan Treaty of Peace and Friendship. Li will attend the 7th China-Japan-ROK leaders' meeting on Wednesday, together with Japanese Prime Minister Shinzo Abe and ROK President Moon Jae-in. This year also marks the 10th anniversary of the China-Japan-ROK trilateral meeting outside the framework of the Association of Southeast Asian Nations. Upon his arrival in Tokyo, Li voiced his hope that on the trilateral meeting, which resumed after two and a half years, the three countries will cement trust and seek cooperation, and contribute to regional development, prosperity and peace. The three countries, as major world economies and important countries in the region, shoulder significant responsibilities in safeguarding economic globalization, trade and investment liberalization, leading regional integration and maintaining regional peace and stability, Li said. During his stay, the Chinese premier will hold talks with Abe and meet with Japanese Emperor Akihito. He will also meet with leaders of the Diet as well as heads of ruling and opposition parties. Li will attend a reception commemorating the 40th anniversary of the signing of the China-Japan Treaty of Peace and Friendship and deliver a speech. "It is worth cherishing the hard-won momentum for the improvement of China-Japan relations," he said, adding that bilateral ties face important opportunities for improvement and development. "Through the visit, I expect to review the spirit of the treaty together with the Japanese side, learn from history and look up to the future. China and Japan should make joint efforts to meet each other halfway, promote bilateral relations back to the normal track, and achieve stable and sustainable growth," Li said. The trip will also take Li to Japan's northern island of Hokkaido, where he and Abe will attend a China-Japan Governor Forum, and tour a high-tech exhibition at a local Toyota factory. It is the second leg of Li's first overseas trip since the new cabinet took office in March. He visited Indonesia before arriving in Tokyo. ^ top ^
Vietnam asks Beijing to remove military equipment from South China Sea to maintain 'peace and responsibility' (SCMP)
2018-05-11
Vietnam requested on Tuesday that China withdraw military equipment from the South China Sea, following media reports this month that China had installed missiles there. "Vietnam requests that China, as a large country, shows its responsibility in maintaining peace and stability in the East Sea," Vietnamese Foreign Ministry spokeswoman Le Thi Thu Hang said in a statement, referring to the South China Sea. The statement came after US news network CNBC reported this month that China had installed anti-ship cruise missiles and surface-to-air missile systems on three of its outposts in the South China Sea, citing sources with direct knowledge of US intelligence reports. China has made no mention of any missile deployments but says its military facilities in the Spratlys are purely defensive, and that it can do what it likes on its own territory. Vietnam and China have been embroiled in maritime disputes in parts of the South China Sea, where China claims 90 per cent of the potentially energy-rich maritime territory. "Vietnam is extremely concerned about the information (as reported) and reaffirms that all militarisation activities, including the installation of missiles on the Spratly Islands, is a serious violation of Vietnam's sovereignty," Hang said in the statement posted on the ministry's website on Tuesday. The installations, if confirmed, would mark the first Chinese missile deployments in the South China Sea, where other Asian countries including the Philippines and Brunei, have rival claims. ^ top ^
China, Indonesia to safeguard free trade (China Daily)
2018-05-08
China and Indonesia will safeguard free trade and the rule-based multilateral trading system as two major economies, in a bid to promote recovery of the world economy, trade liberalization and investment facilitation, Premier Li Keqiang said on Monday in Jakarta. The two countries will also work together for regional peace and stability in the South China Sea, while Indonesia is expected to play a constructive role in China's relations with the Association of Southeast Asian Nations, Li said as he and Indonesian President Joko Widodo briefed journalists. Meanwhile, China will expand imports of high-quality agricultural products from the Southeast Asian country, particularly palm oil, tropical fruits and coffee, to achieve a more balanced bilateral trade, Li said. "We share a wide range of common interests and adhere to peaceful development and international rules," Li said of the two nations. "Indonesia's agricultural goods are competitive in the Chinese market, and we would like to import another 500,000 metric tons of palm oil a year." The premier said China supports Indonesia's regional comprehensive economic corridor, which covers four provinces in the north, and will encourage Chinese companies to invest in the country. In their meeting, Widodo said the two countries have deepened economic, trade, investment and cultural cooperation as strategic partners. Indonesia will accelerate the process of the Jakarta-Bandung high-speed railway to ensure an early start to construction along the line. Li is making his first overseas trip since being re-elected premier in March. He and Widodo witnessed the signing of agreements on the regional economic corridor and infrastructure. The premier also met with ASEAN Secretary-General Lim Jock Hoi on Monday at the bloc's secretariat in Jakarta. Li said China-ASEAN trade exceeded $500 billion and more than 50 million people traveled between China and ASEAN countries, showing great potential. China hopes there will be breakthroughs in Regional Comprehensive Economic Partnership negotiations to boost economic and trade cooperation in East Asia, providing opportunities to enhance trade liberalization, he said. China also would like to work with ASEAN to boost innovation and promote innovation-driven development, the premier said. Lim said China has been ASEAN's largest trading partner for nine consecutive years, and both sides will strengthen ties for mutually beneficial outcomes. On Monday night, the premier attended a China-Indonesia business summit of over 600 businesspeople. In the keynote speech, he said China and Indonesia should work together to expand trade, which hit $60 billion last year. While importing more goods from Indonesia, China also hopes Indonesia will make it easier for Chinese tangerine growers to export there, he said. China will firmly adhere to its reform and opening-up to share the benefits of development with the rest of the world, Li said. The Chinese market can be an equal playing field for domestic and foreign companies, he added. This year marks the fifth anniversary of the China-Indonesia comprehensive strategic partnership. The key to Li's visit was to push forward projects of pragmatic cooperation, because Indonesia is a leading country in the regional bloc, said Xu Liping, a researcher at the National Institute of International Strategy at the Chinese Academy of Social Sciences. Both countries can promote cooperation in political safety, trade and economy and people-to-people exchanges by taking advantage of new opportunities under the framework of the Belt and Road Initiative, Xu said. ^ top ^
Beijing congratulates Putin on inauguration (China Daily)
2018-05-11
China extends sincere congratulations on Vladimir Putin's inauguration as Russian president, Foreign Ministry spokesman Geng Shuang said at a regular news conference on Monday. The Chinese side believes that under the leadership of President Putin, Russia will keep making achievements in its nation building and social and economic development, Geng said. President Xi Jinping had previously congratulated Putin on his re-election in a telephone conversation in March. The inauguration ceremony at St. Andrew Hall in the Grand Kremlin Palace in Moscow began with Putin's arrival from his office in the Kremlin in a new Russian-made limousine, which made its debut for the occasion. Putin previously had been elected president in 2000, 2004 and 2012. "Russia is a country with a great history and culture, and I, as the president, am obliged to extend them to our next generations," Putin said after taking the oath of office. Putin affirmed in his address the "security and military capability" of Russia and promised renewal of the economy and restoration of family values. He stressed the importance of the development of technology, so that it can boost the development of the society and benefit the Russian economy. Raising the real income of the Russians will be a major task for the country's leadership in the coming years, he said, adding that the actions of the government would help the economy to overcome the slump and to revitalize many sectors. Over 5,000 guests were invited to the ceremony, according to the Kremlin. Putin later put forward Dmitry Medvedev for the post of prime minister, the Kremlin said in a statement on its website. Medvedev's candidacy still has to be approved by the State Duma, or the lower house of parliament. The bilateral relationship between China and Russia has maintained high-level development and their comprehensive strategic partnership of coordination has reached a historical high, thanks to the two presidents' strategic leadership and personal influence, Geng said. With both China and Russia at a crucial stage in their development, "we trust that under the leadership of the two presidents, the essence of the comprehensive strategic partnership of coordination between China and Russia in the new era must be further enriched and the path for cooperation between the two countries will become wider," Geng said. ^ top ^
Chinese Vice-Premier Liu He to go to Washington to continue negotiations to avert a trade war (SCMP)
2018-05-08
Trade talks aimed at averting a US-China trade war will resume in Washington next week, the White House announced on Monday. China's Vice-Premier Liu He will visit the US capital "to continue the discussions with the president's economic team," White House press secretary Sarah Huckabee Sanders told reporters. Word of the visit by Liu, China's top economic adviser, came three days after a US delegation led by Treasury Secretary Steven Mnuchin left Beijing after two days of talks that produced no apparent consensus, leaving open the possibility that punitive tariffs on US$50 billion worth of imports from China would take effect in the coming weeks. In last week's talks, the US demanded that China cut the trade deficit the US currently faces by at least US$200 billion by the end of 2020. Additionally, the US called on China to halt state subsidies for industries under its "Made in China 2025" plan. Analysts said the opening round of talks served only to communicate each side's position. The Chinese government released a brief statement wrapping up the trade talks on Friday, calling the negotiations "candid and efficient". A statement from the White House described the discussions as "frank". China called on the US to cease its "section 301" investigation into China's trade and industrial policies, and to lift restrictions on high-technology exports to China. That investigation prompted the US Trade Representative office to announce its US$50 billion list of targeted Chinese products, mostly machinery and electronics. In retaliation, China announced tariffs on an equivalent amount of imports from the US. Sanders did not provide any further details about Vice-Premier Liu's visit. The Chinese embassy in Washington did not immediately respond to a request for comment. Reactions about last week's meeting in China's state media had suggested Beijing was open to continuing talks. A commentary in the ruling Communist Party mouthpiece People's Daily on Saturday described the talks by saying the "clouds are starting to part and the fog begins to disperse" after more than a month of "wind and rain". It said that the talks marked a change from the recent tit-for-tat exchanges between Beijing and Washington and sent a positive signal for the global economy, adding: "There is hope that the two nations will move away from confrontation and towards consultation." China's Commerce Ministry was studying measures to further lower import tariffs on some food, pharmaceuticals and medical instruments, Economic Information Daily reported on Monday, citing unidentified sources. If enacted, such a move would at least partly address US demands for easier access to China's markets. ^ top ^
China reiterates foreign enterprises' respect for its sovereignty, territorial integrity (Xinhua)
2018-05-07
Chinese Foreign Ministry on Sunday reiterated that foreign-funded enterprises should respect China's sovereignty and territorial integrity. This came after a U.S. statement released on Saturday, which objected to China's requirement that foreign companies should stop listing Hong Kong, Macau and Taiwan as "countries" on their websites and promotional materials. Spokesperson Geng Shuang noted that no matter what the U.S. side says, it will not change the fact that there is only one China and that Hong Kong, Macau and Taiwan are inalienable parts of China. China will stick to the One-China principle when dealing its external relations, Geng said, urging foreign enterprises operating business in China to respect China's sovereignty and territorial integrity, abide by Chinese law, and respect the Chinese peoples' feelings. ^ top ^
China, US reach agreements on trade (Global Times)
2018-05-06
A Chinese vice premier and the visiting US delegation have reached some agreements at meetings in Beijing on Thursday and Friday, but huge differences remain on some issues, and experts said the meetings are a positive sign, with US sincerity the key to avoiding a trade war. Vice Premier Liu He, also a member of the Political Bureau of the Communist Party of China Central Committee, and a US delegation led by Treasury Secretary Steven Mnuchin ended their economic and trade consultations in Beijing on Friday, and both sides agreed to set up a work mechanism to maintain close communication, the Xinhua News Agency reported. The report said the discussions were "straightforward, efficient and constructive." Both sides agreed that sound and stable trade relations are highly important for both countries, and agreed to make efforts to solve problems through dialogue and consultations. The negotiations did not break down as many observers had expected, which is good, Wu Xinbo, director of Fudan University's Center for American Studies, told the Global Times on Friday. "Previously, the US unilaterally imposed pressure on China, but now both sides agreed to solve problems by communicating, which is an important step," and China will likely send its team to the US as well, Wu noted. The US delegation is heading back to the US, a US official told Reuters Friday evening. The Americans have yet to give their account of the talks. "We are having very good conversations," Mnuchin told reporters earlier on Friday as he left his hotel. China and the US have agreed on issues such as "increasing US exports to China, bilateral service trade, mutual investments, protecting intellectual property, and resolving tariff and non-tariff measures." Both sides admit that huge differences still remain on some issues, and will continue to seek further progress, Xinhua reported. "Trade frictions were caused by unilateral actions by the US which violated international rules, and China's previous responses were based on international rules," Diao Daming, a US studies expert and an associate professor at the Renmin University of China, told the Global Times on Friday. Although the US delegation included several hardliners, China still welcomes the communication and agreements, which shows China was sincere in avoiding a trade war," Diao said. The members of the US delegation also included Commerce Secretary Wilbur Ross, US Trade Representative Robert Lighthizer, Larry Kudlow, Assistant to the President for Economic Policy and Peter Navarro, Assistant to the President for Trade and Manufacturing Policy. "Talk is always better than no talk, because either side will know what the other is thinking, and identify the differences. The two sides cannot immediately solve all problems, but will show they are responsible if they head in the same direction," Diao said. China lodged solemn representations with the US concerning the ZTE case during the meetings, a spokesperson with China's Ministry of Commerce (MOFCOM) said Friday at a press briefing, according to the MOFCOM's official website. The US side said they attach importance to China's representations and will relay China's stance to the US president, the spokesperson said. "China and the US have reached some agreements, but no further details have been released. A breakthrough in the key differences, such as those affecting the high-tech industry, is unlikely to be achieved at this stage," Wu noted. "There are only two directions for China and the US in the next stage: keep negotiating and hold consultations to avoid a trade war, or engage in a trade war with no winner. The key is whether the US will continue to be sincere," Diao said on Friday. ^ top ^
Yang Jiechi, Mike Pompeo discuss Korean Peninsula on phone (Global Times)
2018-05-07
Chinese Foreign Ministry on Sunday said Yang Jiechi, a member of the Political Bureau of the Communist Party of China (CPC) Central Committee, and US Secretary of State Mike Pompeo exchanged views on the Korean Peninsula issue during a Saturday phone conversation. According to Foreign Ministry spokesperson Geng Shuang, Yang, who is also director of the Office of the Foreign Affairs Commission of the CPC Central Committee, elaborated China's principle and position, and underscored China's stance on denuclearization, peace and stability of the peninsula, and settlement of the issue through dialogue and consultation. It is hoped that all parties can consider the China-proposed "dual-track" approach, according to Geng. The "dual-track" approach refers to promoting denuclearization on the peninsula and establishing a peace mechanism. China called on all parties to maintain the positive momentum in resolving the issue, and address each other's reasonable security concerns in a balanced manner in the process of promoting denuclearization, thus achieving the ultimate goal of long-lasting peace and stability on the peninsula and in the region, according to the spokesperson. ^ top ^
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China develops youth credit system for building high-trust society (Xinhua)
2018-05-10
China is developing a "youth credit system" to encourage young people to take an active part in building a high-trust society, officials said Thursday. The project is based on a five-year guideline to build a database and develop credit-rating criteria, incentives, and services for young people by 2020. The efforts have been led by the Central Committee of the Communist Youth League of China (CYLC), National Development and Reform Commission (NDRC), and the People's Bank of China. A campaign to communicate policies on the credit system was launched Thursday. Lectures, contests and other events will be held in 300 universities and colleges in 100 cities across the country, according to officials attending the launch. "The youth credit system is a comprehensive project," said Chen Hongwan, an NDRC official. "Dossiers will be created to carry good credit records of trustworthy young individuals, who will be favored or receive incentives when applying for student or startup loans or when looking for a job." Chen said the system encourages people who have committed dishonest acts to correct themselves to retain good credit records. Wang Hongyan, a senior CYLC official, said by developing the credit system, more will be done to improve services for the youth in education, employment and entrepreneurship, while education needs to be strengthened to guide young people to be trustworthy. Wang said the credit system was also part of a long-term guideline (2016-2025) on youth development. ^ top ^
China forms mega internet group to promote Party development in industry (Global Times)
2018-05-10
China's first federation of internet societies will push internet companies to clean cyberspace and safeguard the country's internet security and sovereignty, Chinese cyberspace analysts said on Thursday. China's internet-related social organizations formed a national confederation on Wednesday. Called the China Federation of Internet Societies (CFIS), the group consists of 300 internet organizations and enterprises, including 23 national organizations and 277 local ones, the Xinhua News Agency reported. The CFIS will provide political guidance for member organizations, encourage them to improve operations, help them express their needs and protect their interests, oversee operations of member organizations, and promote the development of Party organizations in the industry, said Ren Xianliang, CFIS president, at the inauguration ceremony. The CFIS is supervised by the Cyberspace Administration of China. News site caijing.com.cn reported that many celebrities in the internet industry, including Alibaba's founder Jack Ma Yun, Tencent founder and chairman Pony Ma Huateng and Baidu CEO and chairman Robin Li Yanhong, were appointed as CFIS vice presidents. Zhao Zhanling, a legal counsel of the Beijing-based Internet Society of China, told the Global Times that the government is urging internet companies to voluntarily and actively participate in cyberspace administration through the establishment of the CFIS. "Just relying on government authorities is far from enough in administering cyberspace, and it's more important that CFIS members voluntarily clean the cyberspace environment," Zhao said. Many internet companies this month stepped up management to their content after internet authorities punished video websites Toutiao and Kuaishou. Companies like Sina Weibo, Tencent and Youku have established special teams to take down audio and video programs suspected of distorting history and involving pornography and violence. They have removed over 1.5 million improper audios and videos, shut down 40,000 accounts and intercepted over 13.5 million messages, the State Administration of Radio and Television announced on Thursday. Internet companies also tightened their content supervision systems, established databases for harmful videos and even adopted facial recognition in user authentication. "The CFIS, highlighting its role to promote Party spirit in the industry, is significant for internet companies to maintain internet security to avoid political risks, such as to prevent foreign spy agencies or extreme forces from manipulating Chinese netizens," Zhao said. Qin An, head of the Beijing-based Institute of China Cyberspace Strategy, said that the Party should step up its guidance of CFIS members so that internet companies could raise their awareness in safeguarding China's sovereignty and interests. "But the Party units will not interfere in the operations of these companies," Zhao said. ^ top ^
China's supreme court stresses law enforcement to protect heroes (Xinhua)
2018-05-10
China's Supreme People's Court (SPC) has stressed strict enforcement of a new law to protect the reputation and honor of heroes and martyrs. The law was adopted by the country's top legislature in April and went into effect on May 1. The SPC ordered courts nationwide to punish those who violate the rights of name, portrait, reputation, and honor of heroes and martyrs in accordance with the law. People who profane or deny the deeds and spirit of the heroes and martyrs and those who glorify wars or acts of invasion and disturb the social order can face criminal punishments, the SPC said. A few recent incidents in which young people dressed in Japanese WWII army uniforms and spread photos online to glorify the war have provoked outrage among Chinese. Local courts are also required to accept lawsuits filed by family members of heroes and martyrs and public interest litigation by prosecutors against activities that defame heroes and martyrs, the SPC said. ^ top ^
Chinese video websites delete 1.5 mln illegal clips (Xinhua)
2018-05-10
Chinese video and live-streaming websites have deleted more than 1.5 million audio and video clips due to pornography, violence, vulgarity, distortion of history or the classics, and illegal editing over the past month, according to a statement by the State Administration of Radio and Television on Thursday. The statement said websites including Sina Weibo, Youku, iQiyi, Tencent, Miaopai, Huya and Douyu have deleted links and videos related to such illicit content. The websites have intensified the building of long-term examination mechanisms. Some of the websites have created lists of harmful and sensitive words to strengthen screening ability, the statement read. Since the beginning of the year, Chinese authorities have moved to straighten out irregularities in the online video sector, asking news website Toutiao and live-streaming website Kuaishou to remove obscene and violent content, and to close user accounts that uploaded such content in early April. So far, video and live-streaming websites have closed more than 40,000 illegal accounts and 4,512 live-streaming studios and banned 2,083 live-streaming performers, the statement said. ^ top ^
'First victim' of China's new anti-graft agency was 'left disfigured' after he collapsed and died during interrogation (SCMP)
2018-05-10
A government contract worker in southeast China has died in detention during a graft probe, the first known death since the country set up its super anti-corruption agency in March. The death of Chen Yong, 45, a former driver for the Jianyang district government in Nanping, Fujian province, is likely to prompt renewed scrutiny of the watchdog's powers. His sister told the mainland news outlet Caixin that she had been shocked to see her brother's face had been "disfigured" when she went to collect the body. Chen, who worked for the government between 2006 and 2016, was reported to have been detained last month as part of an investigation into Lin Qiang, one of the district's deputy directors. In China, suspected officials' drivers and personal secretaries are often targeted by investigators looking for evidence. During the preparations for the establishment of the National Supervisory Commission (NSC), the new super agency responsible for fighting corruption, the authorities made it clear that detainees would not be granted access to lawyers until they had been formally arrested and handed over to prosecutors. However, it was also announced that there would be rigorous supervision of the agents to safeguard the detainees. Chen's wife, identified only by her surname Lin, told the South China Morning Post: "We haven't heard any explanation yet, but they will set up an investigation team to look into the case. "They have also promised an autopsy." Lin refused to offer more details of the case but she and Chen's sister have said mainland media reports about his death were accurate. The sister told Caixin that she had been contacted by the authorities following her brother's death on Saturday and had been shocked to find him with "a disfigured face". Chen's sister and wife also reported that Chen had bruising around his waist and on his cheek. The family's request for a video of the interrogation was denied. The relatives were told that Chen collapsed while being interrogated around 4pm on Saturday and was rushed to hospital, but he died around four hours later. Chen's family said he regularly took medication to control his blood pressure and had problems with his stomach that predated his detention, but had no other known illnesses. The death of Chen occurred only two months after China adopted a new anti-graft law and established the NSC, which has branches at all levels of governments. The new agency merged the prosecuting office's anti-corruption branch with the Communist Party's disciplinary commission. The new body and its branches will investigate all party members and government and public officials suspected of involvement in corruption and those offering bribes. There are hopes that the NSC and a new supervisory law would help to bring the Communist Party's anti-corruption campaign into line with the country's laws. The NSC and its branches will be subject to scrutiny by the legislatures at the different levels of government at which they operate, while investigators will be held accountable if they are found to have tortured suspects. For decades, the party's powerful anti-graft watchdog, the Central Commission for Discipline Inspection, operated by using a secretive process known as shuanggui – which literally means confessing matters at a certain time and at a certain location – that allowed them to hold suspects for months without charge and with no legal accountability. It has been the main tool used in tackling corruption in the world's second largest economy since President Xi Jinping launched his signature war on graft in 2013, which has brought down scores of "tigers", or senior officials, as well as many more "flies" at more junior levels. ^ top ^
Former senior political advisor stands trial for bribery (China Daily)
2018-05-11
Sun Huaishan, a former senior political advisor, stood trial Wednesday for charges including taking bribes at the Intermediate People's Court of Hulun Buir city in North China's Inner Mongolia autonomous region. Sun was formerly a member of the Standing Committee of the Chinese People's Political Consultative Conference (CPPCC) National Committee and head of the Committee for Hong Kong, Macao and Taiwan Compatriots and Overseas Chinese of the CPPCC National Committee. According to the prosecutors' indictment, between 1994 and 2016, Sun allegedly took advantage of his posts to provide help for certain units and individuals in procurement of land use rights, enterprise operation, project approval and job promotions. From 2000 to 2016, he accepted money and property worth 39.75 million yuan ($6.24 million), either by himself or through his family, the indictment read. Prosecutors as well as Sun and his defense attorneys examined the evidence in court. Both sides fully expressed their opinions, according to the court's statement. In his final statement, Sun admitted his guilt and expressed repentance. More than 60 people, including lawmakers, political advisors, and journalists, attended the trial. The court ruling will be announced at a later date. ^ top ^
China cuts off tattoo, LGBT elements from Eurovision contest feed (Global Times)
2018-05-11
A Chinese online broadcast of the Eurovision Song Contest 2018 on Tuesday blacked out two performances allegedly containing tattoo and LGBT elements, which in the past months had been reportedly banned online or on TV in China. Two songs in the contest, Albania's "Mall" and Ireland's "Together" were removed from the two hour-long edited version of the contest's first semi-final aired Wednesday on mgtv.com, a website linked to popular Chinese broadcaster Hunan TV. Chinese netizens believe the two performances were removed on purpose as the performers of "Mall" sport tattoos, while the Irish song describes a gay relationship. A rainbow flag in the crowd, which represents the LGBT community, was also been blurred in the broadcast. Hunan TV owns the rights to broadcast the show in the Chinese mainland. Eurovision Song Contest 2018, the show's 63rd edition, is being held in Lisbon, Portugal with 43 participating countries. The second semi-final will be on May 10 and the final on May 12. In January, the Chinese media watchdog banned tattoos and several other subculture elements from being broadcast, a move that sparked heated discussions. A Chinese music festival reportedly banned artists from showing their tattoos on stage in April, after players on the Chinese national soccer team covered their tattoos during games in March. Chinese social media Sina Weibo imposed a ban in April on gay-themed content to "purify" the online environment. The ban was withdrawn several days later. ^ top ^
Former Chinese rising star Sun Zhengcai sentenced to life in prison for graft (SCMP)
2018-05-09
Sun Zhengcai, a former political high-flyer once tipped to be among China's next generation of leaders, was sentenced to life in prison for bribery on Tuesday. Sun's downfall followed that of Bo Xilai, his predecessor as party chief in Chongqing, and an ongoing crackdown in the southwestern megacity could snare a senior police officer who was once close to Bo. The Tianjin No 1 Intermediate People's Court said Sun, a former member of the Politburo, was convicted of taking more than 170 million yuan (US$26.7 million) in bribes directly or through designated third parties, state-run news agency Xinhua reported. He was also stripped of his political rights for life, and all his property and illicit gains confiscated, the report said. Chen Miner, a protégé of President Xi Jinping who is now in charge of Chongqing, has repeatedly called on officials there to banish the "pernicious influence" of his disgraced predecessors. A source close to the Chongqing police said the chief of Fuling district police Zhou Jingping, 52, recently became a target of an internal probe. "Zhou was suspended from his work before being placed under investigation in late April," said the source. The source added that Zhou was once a close aide of Bo's police chief and right-hand man Wang Lijun and had also gained the favour of the party chief. Zhou's profile remained on the Fuling police department website on Tuesday, but reports about his recent public appearances no longer featured on the homepage, and links to other articles about Zhou are no longer accessible on the police website. The source said that Zhou had fallen out with Wang in mid-2011, when Zhou was transferred from his post as head of the political department with the Chongqing Public Security Bureau to be the police chief in Fuling district. This move may also explain why Zhou had managed to survive the political storm that followed Bo and Wang's downfall in 2012, according to the source. Wang is now serving a 15-year sentence and four of his most senior aides in the police force – Guo Weiguo, Li Yang, Wang Pengfei and Wang Zhi – have also been jailed. It is unclear whether Zhou was implicated during Sun's downfall even though he was "re-elected" to be the police chief and deputy government head of Fuling district in early 2017 when Sun was still in charge. Sun, 54, pleaded guilty at his trial on April 12 and will not appeal against the sentence, state television reported on Tuesday. "I sincerely confess to and regret the crimes [I committed]. [I] accept the court's verdict [and] will not appeal," Sun said in court in footage aired by China Central Television. "I will earnestly accept re-education." The amount of bribes involved was punishable by death but the court said it had taken mitigating factors into account, including that most of the bribes were taken by "designated parties" and that Sun gave investigators additional, previously unknown information about his crimes. Chinese news outlet Caixin had reported that Sun's "designated parties" included two businesswomen. The court in the northern city of Tianjin said Sun committed the crimes while he was a district Communist Party boss in Beijing in 2002, when he was the minister of agriculture, and during his stints as party chief of the northeastern province of Jilin and Chongqing. The court said Sun took advantage of his position to seek profits for others, including helping others to win project tenders, secure government approval for projects and gain promotions. Sun was sacked as Chongqing's party boss in July and placed under investigation for corruption in the run-up to the party's national leadership reshuffle in October. He was the youngest member of the Politburo before he was expelled and was once widely considered a strong candidate to sit on the Politburo Standing Committee, the Chinese leadership's inner sanctum. Bo was also a Politburo member before he was placed under investigation in 2012 and later sentenced to life in prison for corruption and abuse of power. Chen Daoyin, a mainland political analyst, said although Sun had been sentenced for taking bribes, his downfall was mainly caused by political problems. In Chen's view, the prolonged crackdown on "pernicious influences" in Chongqing sends a strong signal to provincial leaders across China. "The message is loud and clear: local leaders should pledge absolute loyalty to the central leadership," he said. "Xi is now the unchallenged core of the party, and no matter if he ever decides to pick a successor or not, the political future of provincial leaders should be decided by, and only by, the central leadership - they have no room to think for themselves," he added. Deng Yuwen, a former editor with a newspaper affiliated with the Central Party School, said Chongqing's prolonged crackdown might not have been the result of orders from above. "To me, it seems likely that it is a way for Chen to show his loyalty and political correctness to the top leadership," he said. ^ top ^
Former vice minister of finance under investigation for disciplinary violations (Global Times)
2018-05-08
Zhang Shaochun, former vice minister of finance, is under investigation for "serious violation of discipline and law," according to the Central Commission for Discipline Inspection of the Communist Party of China and the National Supervisory Commission Monday. The State Council, China's cabinet, announced Zhang Shaochun was no longer vice minister of finance on April 4. ^ top ^
Bloggers detained for posting false stories (China Daily)
2018-05-08
Two bloggers have been detained in northern China on suspicion of posting fictitious stories about the head of a major dairy company, and may have contributed to a sharp decline in the company's share price. Liu Chengkun and Zou Guangxiang are accused of defaming Pan Gang, chairman of Inner Mongolia Yili Industrial Group, in a series of WeChat posts beginning on March 24. Police detained the pair recently in Hohhot, Inner Mongolia autonomous region, and have handed them over to local prosecutors, the city's public security bureau said in a statement on Monday. Liu is accused of posting three fictitious articles under his public WeChat account, Tianlu Caijing, suggesting that Pan had been detained by police for investigation after returning from a trip to the United States. Zou made a post on March 26 that said Pan had "disappeared" after returning from the US, despite being told earlier by Yili Group that the information was false, the statement said. The stories drew public attention. A report by Beijing Tongdafazheng Forensic Identification Center said Zou's story was viewed nearly 6 million times; Liu's was viewed more than 10,000 times. On March 26, Yili Group's market value fell by more than 6 billion yuan ($940 million) from the previous trading day, according to materials provided by the Shanghai Stock Exchange, where Yili has been listed since 1996. Yili Group issued a statement on Sina Weibo in early April saying that Pan had received treatment in the US in March and dismissing the Liu and Zou articles as rumors. Hohhot police went on to confirm that there was no record of Pan re-entering China after leaving for the US on Sept 5. "The stories written by Liu Chengkun and Zou Guangxiang received millions of hits online, which confused the public and caused financial losses to the company and even China's dairy market," said Xing Haoyu, a prosecutor in Hohhot. He said Liu confessed that the stories were fictions, yet they had damaged Pan's reputation, so they constituted the crime of defamation. Yili Group did not respond to requests for a comment on Monday. ^ top ^
Video sharing app Douyin denies banning Peppa Pig (China Daily)
2018-05-07
Representatives from video sharing app Douyin says Douyin is not banning Peppa Pig, according to National Business Daily and China National Radio. A form allegedly from Douyin Community Regulations circulating on the internet lists British children's TV animation character Peppa Pig as a "banned element", along with "banned songs", "pornographic and vulgar behaviours", "illegal or regulation-violating behaviors" and "discomforting behaviors". A Douyin user then posted a message from the Douyin app, which said that a video posted on April 21 containing Peppa Pig was banned from playing, for it "violates the community regulations and has not passed censorship". On May 2, National Business Daily released a report, saying that a Douyin insider denied there is a ban on Peppa Pig and the alleged Community Regulations form is false. According to the insider, "Douyin has made community regulations according to relevant law and regulations, hoping that everybody will maintain and follow the benign community regulations. However, the specific regulations could not be disclosed." A China National Radio report on May 5 also said that the app has not banned Peppa Pig. ^ top ^
China sends supervisors to inspect urban water pollution control (Xinhua)
2018-05-08
Chinese authorities on Monday launched a campaign against water pollution in cities, with inspection teams sent to provincial regions to check on progress in urban water pollution control. The first batch of teams have been sent to inspect 20 cities in Guangdong, Guangxi, Hainan, Shanghai, Jiangsu, Anhui, Hunan and Hubei, focusing on "black odorous water," or sewage and garbage discharge issues, said the Ministry of Ecology and Environment. The campaign aims to accelerate the construction of environmental protection infrastructure and facilities so the urban water environment will be fundamentally improved, the ministry said. China set a target to eliminate 90 percent of "black odorous water" in major cities by the end of last year, while that in all cities at the prefectural level and above should have been reduced by an average of 60 percent, according to a national action plan. Inspection teams will be sent to 36 major cities and some prefectural-level cities in May and June, and they may inspect again later this year to see whether problems have been solved, said the ministry. Besides water quality data, public satisfaction will be taken into consideration as a primary factor when assessing water pollution control work, it said. The government has passed its toughest-ever environmental protection law and introduced a "river chief" system to protect water resources. Ecological "red lines" will also be drawn in certain regions to strengthen environmental protection, according to earlier planning. ^ top ^
Three former officials prosecuted on bribery charges (China Daily)
2018-05-07
Three former vice-ministerial level officials have been prosecuted for alleged graft issues, according to the Supreme People's Procuratorate on Monday. Wei Minzhou, former vice-chairman of the Standing Committee of the Shaanxi Provincial People's Congress; Liu Shanqiao, former vice-chairman of the Hubei Committee of the Chinese People's Political Consultative Conference and Chen Xu, former chief prosecutor of Shanghai Municipal People's Procuratorate, have been charged with bribery. Wei, 62, has been charged with accepting bribes by the Chenzhou City People's Procuratorate in Central China's Hunan province. The procuratorate has prosecuted him to Chenzhou City Intermediate People's Court. A court hearing will be held at a later date. According to the indictment, Wei took advantage of his position to gain benefits for others and accepted huge bribes, either paid in cash or in other properties. Between 2007 to May 2017, Wei mainly served as secretary-general of the Shaanxi Provincial Party Committee; Party chief in Xi'an city, capital city in Northwest China's Shaanxi province; and former deputy director of the Standing Committee of the Shaanxi Provincial People's Congress. In May 2017, the Communist Party of China Central Commission for Discipline Inspection (CCDI) launched an investigation on whether he committed serious violations of Party disciplines. In August 2017, Wei was dismissed from his public position and expelled from the Party. His criminal case was sent to the prosecuting department for investigation. Liu, 62, former vice-chairman of the Hubei Committee of the Chinese People's Political Consultative Conference, was accused of bribery by the Nanyang City People's Procuratorate in Central China's Henan province. The Nanyang City People's Procuratorate prosecuted the case in the Nanyang city Intermediate People's Court. The prosecutors charged that Liu abused power that benefited other enterprises or individuals, then accepted a large amount in bribes in return. In June 2017, Liu was placed under investigation by the CCDI for serious violations of Party discplines. In September, he was expelled from the Party and removed from his administrative post. In a separate development, Chen, former chief prosecutor of the Shanghai Municipal People's Procuratorate was charged with accepting bribes by the Nanning city People's Procuratorate. According to the indictment, when he was serving as the deputy secretary-general of the Shanghai Municipal Party Committee and chief prosecutor of the Shanghai Municipal People's Procuratorate, he took advantage of his job position to gain benefits for others and used his political influence to help other officials to benefit others, then took huge bribes. The SPP said the prosecuting departments notified the suspects' of their legal rights and listened carefully to their lawyers' defense statements to protect their human rights. ^ top ^
CPC to issue work regulations on political and legal affairs (Xinhua)
2018-05-07
The Communist Party of China (CPC) plans to issue work regulations on its political and legal affairs this year, in a move to uphold absolute Party leadership. According to a statement issued after a workshop which was attended by officials on political and legal affairs, the regulations aim to strengthen the Party's leadership. During the workshop, State Councilor and Minister of Public Security Zhao Kezhi called on the political and legal officials to fully pursue a holistic approach to national security. He required them to combat all acts of infiltration, subversion, and sabotage, as well as violent and terrorist activities, ethnic separatist activities, and religious extremist activities. Zhao also asked them to further promote the Peaceful China initiative. ^ top ^
Guizhou vice governor under investigation for disciplinary violations (Xinhua)
2018-05-07
Pu Bo, vice governor of southwest China's Guizhou Province, is under investigation for "serious violation of discipline and law," according to an online statement by the Central Commission for Discipline Inspection of the Communist Party of China, and the National Supervisory Commission Friday. ^ top ^
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Landmark pollution lawsuit gets underway in Beijing (China Daily)
2018-05-11
Beijing's first air class-action lawsuit related to pollution began an open hearing session at the city's No 4 People's Court on Tuesday. The defendant in the case is Duocai Lianyi Co, a steel and paint operation in Daxing district. Prosecutors say Duocai has been polluting the air and has failed to install devices to reduce emissions in accordance with regulations. "The company has harmed the surrounding environment," prosecutors said during the trial. "We filed the lawsuit to seek a court order for it to halt emissions, and we are seeking compensation for the pollution it has caused as well as a public apology." Lawyers for Duocai said the company had already halted emissions after receiving an order to do so from the district environmental authority as well as paid 200,000 yuan ($31,435) in fines. They added that the company would enhance pollution controls further if a new environmental evaluation leads to such a recommendation. The verdict will be announced at a later date, the court said, without providing a more specific time frame. Under the Civil Procedure Law revised last year, prosecutors have the power to initiate class-action lawsuits against enterprises that damage the public interest, such as those polluting the environment or compromising food safety. ^ top ^
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| Tibet |
Tibet solar energy park to benefit 2,000 poor families (China Daily)
2018-05-11
Construction of China's largest photovoltaic industrial park has begun in Samdrubze district of Shigatse, Tibet autonomous region, with the project expected to house 2,000 families from poverty-stricken areas, local anti-poverty authorities said on Thursday. The park, with an investment of 28 billion yuan ($4.4 billion), will be centered on a 2,000-megawatt solar power plant, with an annual output of 4 billion kWh, and an output value of over 4 billion yuan, said Galsang Nyoidrub, director of the Samdrubze Development and Reform Commission. He said developing the solar power sector in Shigatse makes sense on many fronts. It is even nicknamed "the city of sunlight" with average annual sunlight of 3,300 hours. "We plan to officially start building the solar segment at the end of this year. If everything goes well, the plant will be completed in 2025. Five percent of the annual profit will be used for local poverty alleviation," Galsang Nyoidrub said. He said the electricity will be sold to South Asian countries, including Nepal and India, as well as to East China after transmission lines go up in the future. "Located close to an expressway which is under construction, and near the city's airport, the industrial park will also develop ecological agriculture and service industry jobs to generate more employment opportunities," he added. "The power plant alone will not generate enough job vacancies, so we will also develop agriculture suitable to local conditions. Greenhouses will be built under photovoltaic panels to save space." Two agricultural companies have already started operations in the park, investing 150 million yuan, Galsang Nyoidrub said. Opposite the photovoltaic industrial park, a "photovoltaic town" is under construction, with an investment of 4 billion yuan. The community will accommodate 2,000 households from poverty-stricken areas, representing the largest relocation project in the region. "We have already finished 75 percent of the project. Some 1,008 people from 234 households have already moved in, and most are satisfied with their living conditions and employment arrangements," Galsang Nyoidrub said. "One task is to persuade those poor households to leave their hometowns and help them find proper jobs." […] ^ top ^
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| Hongkong |
Hong Kong democracy rally organisers say gov't is 'ridiculous' for handing July 1 venue to pro-Beijing group (HKFP)
2018-05-11
Hong Kong activists have slammed the government for its "ridiculous" policies after it prevented them from using Causeway Bay's Victoria Park football pitches for their annual July 1 pro-democracy march. The Civil Human Rights Front, organisers of the annual rally, expressed "extreme dissatisfaction" with the government's decision in a statement released Thursday. The group traditionally used the pitches as the starting point for the march, but the government refused its request for the first time last year, giving the space instead to the pro-Beijing Hong Kong Celebrations Association. The Leisure and Cultural Services Department (LCSD) said the Association, which held a technology exhibition celebrating the 20th anniversary of the Handover, had priority to use the space because it is a charity. Last month, the LCSD had made the same decision to grant the use of the pitches to the Association, even though the Front submitted its application before the Association. The Front said the LCSD's reason for prioritising the Association based on its charitable status did not stand up to scrutiny. "The fact that a group that organises Handover celebrations is deemed having charitable elements is ridiculous," it said, adding that it would never be treated equally as political groups cannot attain charitable status in Hong Kong. For last year's march, the Front applied to use the football pitches on April 3, but the Association made an application on March 15. This year, the Front applied to all relevant government agencies for access to the protest venues more than six months in advance. But the group was told this year that the LCSD only reviews applications of events planned for a certain month together after their deadlines, meaning that applicants do not get priority even if they submit their requests earlier. The group also criticised the police for poor communication with the organisers. It said it had applied for the required letter of no objection from the force to hold the rally, but the police have yet to reply or even ask to meet with the organisers. Last year, the Front appealed the government's decision to reject its application through the Appeal Board on Public Meetings and Processions. It claimed that the attitude of the police representative was arrogant and that the "entire process was extremely insulting." The group said it would not "submit to humiliation" this year and would fight for access to another location in Causeway Bay as the rally's starting point. It is currently considering East Point Road. "Freedom of assembly is a right guaranteed by the Basic Law," the Front said. "The pro-establishment camp will bear responsibility for any problems caused by the denial of rallygoers' access to the football pitches." The Front's convener Sammy Ip questioned whether the Association's application to use the pitches on July 1 was politically motivated. The Association's chair Cheng Yiu-tong, who is also the chairman of the pro-Beijing Federation of Trade Union and a member of the Executive Council, said Thursday that the Association needs the space of all six football pitches on July 1 and cannot coordinate with the Front. Established in 2006, the Hong Kong Celebrations Association regularly holds carnivals, banquets and other forms of celebratory activity during important occasions such as July 1 or New Year's Day. The phone number listed on their website is the same as the pro-Beijing Federation of Trade Unions. ^ top ^
No more ways to convince lawmakers about Express Rail joint checkpoint bill, says Chief Exec. Carrie Lam (HKFP)
2018-05-11
Chief Executive Carrie Lam has said that the government has no more methods to convince lawmakers who oppose the joint checkpoint arrangement for the new Express Rail Link. Democrats and the Hong Kong Bar Association have cast doubt over the constitutionality of the mechanism whereby Hong Kong is set to effectively give up its jurisdiction across a quarter of the West Kowloon terminus. Immigration and customs procedures will be performed by mainland law enforcement agents. The scrutiny process at a legislative bills committee was completed on Monday, amid protests from pro-democracy lawmakers. They were only given one minute each to speak, and officials did not have to respond to questions one by one. The democrats chanted that the bill was unconstitutional and that ceding land was a "shameful" act. Lam said the scenes of protest were not the first to be seen at the legislature, and such incidents harmed the public's trust in the political system. "I believe there is a high chance to pass it, most importantly because it has wide support in society," she said. "In the process reviewing the bill, we have answered all questions that we can. In other words, if there are still lawmakers who do not support this bill – we have no more methods to convince them, we can only let the legislature debate and democratically vote on it." Lam said the committee held 19 meetings and two public hearings, spending 60 hours on a "simple bill" which only has eight clauses. She defended New People's Party lawmaker Regina Ip, chair of the committee, in her handling of the meeting on Monday after she cut short lawmakers' speaking time. "I certainly do not subscribe to that sort of attack or accusation against Mrs Regina Ip," she said. "I think she has tried her very best to conduct the meetings and to allow members to ask questions about this particular bill." Lam said she hoped that the bill will be passed before the end of June, so that the high-speed rail system could start operating by the end of September. Civic Party lawmaker Tanya Chan said Lam's responsibility was not only to convince lawmakers: "It is also her responsibility to issue a constitutional and legal bill," she said. "I hope Carrie Lam will not become the culprit in murdering 'One Country, Two Systems'." She said Ip did not follow meeting rules and often changed her decision during meetings, such as whether lawmakers were allowed to raise questions on procedures. "Even the chair did not know what she was doing," she said. ^ top ^
Democrat Ted Hui arrested over phone snatching incident, as pro-Beijing lawmaker seeks to oust him (HKFP)
2018-05-07
Democratic Party lawmaker Ted Hui was arrested for dishonest use of a computer, common assault, criminal destruction and obstruction of public officer on Saturday after he snatched a civil servant's phone in the legislature last week. Hui was released on HK$10,000 bail at around 11pm. Hui snatched a phone from a government executive officer who was tasked with checking upon the whereabouts of lawmakers. He checked the device in a men's bathroom for some ten minutes in an effort to discover what data was being collected. The executive officer in question reported the matter to the police, and the Democratic Party suspended Hui's membership following the incident. Chief Executive Carrie Lam has called Hui's behaviour "barbaric." Pro-Beijing lawmaker Regina Ip is set to move a motion to censure Hui over the incident. He risks being removed from the Legislative Council if – following an investigation – two-thirds of lawmakers vote in favour of his disqualification. The Legislative Council debated the motion at a House Committee meeting on Friday. Hui has admitted wrongdoing and said that he would respect and accept the Legislative Council handling the matter in accordance with its procedures and mechanisms. "Finally, I hope that – with this incident – the legislature, the public and especially the government would really reflect upon whether it is appropriate to send officers to monitor the lawmakers, and if it's in the interests of the public," he said, urging a review over the issue. Ip said that Hui behaved childishly, describing his act as "misconduct." "This behaviour shows that his personality is not suited to be a lawmaker," she added. Ip intends to raise the motion at the Legislative Council meeting on May 23. A censure motion requires the votes of two-thirds of lawmakers in attendance to pass. The legislature has 68 members, of which 25 belong to the pro-democracy camp – not including neutral medical sector lawmaker Pierre Chan. The Democratic Party – which holds seven seats – said that it will not vote, in order to avoid a conflict of interest. If party members do not attend the meeting, Hui may be at risk of disqualification. Last year, lawmakers slammed the police force for failing to disclose law enforcement information related to the charge of accessing a computer with dishonest intent and how it is used against activists. ^ top ^
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| Taiwan |
Taiwan groups protest US arms sales to Taiwan (Global Times)
2018-05-11
Pro-reunification groups in Taiwan gathered in Kaohsiung Thursday to protest US arms sales to the island and ask for peaceful development across the Taiwan Strait. Protestors assembled in the city during a forum on defense industries of the United States and Taiwan, holding banners and boards that read, "We want peace, not war," "No more debts for arms sales," "No Taiwan independence," and other slogans. The groups accused US arms groups of siphoning money from the island's budget and sabotaging the peaceful development across the Strait, according to a joint statement issued by the groups. The statement said huge military spending has become a burden for Taiwan, and the United States has been using the island to hinder the development of the mainland. Continuous military purchases will not save, and will only destroy, the future of the island, said the statement. Protesting groups included the Labor Party of Taiwan, the Alliance for the Reunification of China, and the China Tide Association. ^ top ^
Raids and 310 arrests as Taiwan cracks down on criminal gangs ahead of elections (HKFP)
2018-05-11
Taiwanese police have arrested more than 300 suspected gang members ahead of local elections in a crackdown triggered by concerns over the increasing involvement of organised crime in the island's tense politics. Four of the 310 arrested are reportedly members of a small pro-China party founded by a former gang leader that regularly organises protests in support of Beijing, which claims Taiwan as part of its territory. Police said in a statement Thursday they had confiscated illegal weapons and drugs following raids on 762 locations across the island in the sweep launched on April 30. Local elections scheduled for November are seen as an important barometer of popular support for the ruling independence-leaning Democratic Progressive Party (DPP) or the China-friendly Kuomintang. Former gang leader-turned-politician Chang An-lo, known as "White Wolf", spent 10 years in a US jail for drug trafficking and lived in exile for 17 years in China before returning to Taiwan in 2013. He was a leader of the Bamboo Union — one of Taiwan's largest criminal gangs — before founding the ChinaUnification Promotion Party. Members of Chang's party have been accused of attacking Taiwanese independence supporters and Hong Kong pro-democracy activist Joshua Wong when he visited Taipei in January 2017. They also allegedly attacked several student protesters last September at a music concert that was cut short following scuffles between pro-independence and pro-China protesters. Police also said a former senior Bamboo Union member had encouraged other gang members to take part in the China Unification Promotion Party's activities. Authorities are also investigating whether there was gang involvement in a protest last month over planned cuts to military veterans' pensions. More than a dozen reporters and over 80 policemen were injured during the protest that descended into chaos, with some throwing smoke bombs and attempting to pull down the gate to the parliament compound with ropes and chains. Beijing has turned hostile towards Taiwan after President Tsai Ing-wen of the DPP took office in 2016 as she has refused to accept that the island is part of "one China". China has stepped up pressure by convincing several of Taiwan's diplomatic allies to switch recognition to Beijing and intensifying military patrols close to the island. ^ top ^
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| Economy |
ZTE seeks stay of US ban, asks employees to 'welcome coming of dawn' (SCMP)
2018-05-07
ZTE Corp, facing a seven-year ban on buying crucial American technology, said it has requested a stay of the denial order that forbade US companies from doing business with the Chinese telecommunications equipment provider, asking its employees to be "full of hope to welcome the coming of dawn". The Shenzhen-based telecommunications equipment provider has been "proactively communicating with relevant departments of the US government", ZTE said in an internal memo to employees on Friday seen by the South China Morning Post. The company is striving to resolve the matter "as soon as possible" and will continue to maintain close communication with relevant parties, the memo said. The company has also submitted supplementary documents in according with guidance from the US Department of Commerce's Bureau of Industry and Security (BIS), according to the memo, which was sent by the Emergency Response Team set up by the company to deal with the fallout from the ban. ZTE declined to comment on the memo. The memo was sent after senior officials from China and the US concluded their first round of trade talks in Beijing on Friday with no breakthrough, agreeing only to have more dialogue to ease tensions. A short statement released by state-run Xinhua said both sides were still "very divided" on some issues and "more work needed to be done". Trade tensions have been rising between the world's two biggest economies as US President Donald Trump sought to reduce China's trade deficit with the US. The two sides "reached some consensus" and exchanged views on expanding US exports to China, bilateral investment, intellectual property protection and the imposition of tariffs, the statement said, without elaborating. A statement from the White House said the US delegation held "frank discussions" with Chinese officials on rebalancing the bilateral economic relationship. China's Ministry of Commerce said in a statement earlier on Friday that Chinese officials had made "solemn representations" over the ZTE case to the US delegation. In its memo, ZTE said that after learning of the US order on April 16, as a global company growing up in China, it has been acting in line with the government of China, and is taking steps under its guidance to facilitate the resolution of the issue. The company reiterated that it will strive to resolve the export ban through dialogue and safeguard its legal rights and interests. After learning of the denial order, ZTE immediately delivered a compliance code of conduct to all employees, and the company has suspended all business activities with US partners as required under the order, according to the memo. ZTE last month criticised the decision by the US to impose the export order as "extremely unfair". The US government had banned sales by American hi-tech suppliers to ZTE because the Chinese firm failed to discipline 35 employees involved in the illegal sale of telecommunications equipment to Iran, paid them full bonuses and lied about it to US authorities. ZTE chairman Yin Yimin said last month the US export ban has put the company "in a state of shock" as it would damage the interests of the firms' employees and shareholders, as well as telecommunications network operators and smartphone users around the world. The company has "reflected on its activities, learned the lesson and strengthened compliance and internal controls," according to the memo, which ended with an exhortation to the company's 80,000 employees. "However long the road, there is an end point, however long the night, there will be a conclusion, let us be steadfast and be full of hope to welcome the coming of dawn," the memo said. ^ top ^
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| DPRK |
Donald Trump hopes for 'world peace' as he announces he will meet North Korea's Kim Jong-un in Singapore in June (SCMP)
2018-05-10
US President Donald Trump announced on Twitter Thursday morning that his "highly anticipated" meeting with North Korean leader Kim Jong-un would take place in Singapore on June 12, saying that they will try to make the summit "a very special moment for World Peace". Trump tweeted his announcement about seven hours after he welcomed three Americans who had been held in North Korea when they returned to the US at Joint Base Andrews, a military base in Maryland, early Thursday morning. The US president said he hoped to reach a deal with Kim on North Korea's denuclearisation that could exceed people's expectations. "We will see if we can do something that people did not think was going to happen for many, many years," Trump said during his remarks at the arrival of the released Americans, Kim Dong-chul, Kim Sang-duk and Kim Hak-song. Trump – who will be the first sitting president to meet a North Korean leader – said that he favoured holding the meeting at the demilitarised zone separating the Koreas, but that most of his advisers argued for holding it at Singapore. A spokeswoman at Singapore's embassy in Washington told the South China Morning Post that Singapore was "pleased" to host the meeting, adding: "We hope this meeting will advance prospects for peace in the Korean Peninsula." The date and location of the summit are believed to have been finalised during US Secretary of State Mike Pompeo's second trip to North Korea earlier this week to firm up Trump's agenda for his meeting with Kim. After his meeting with Kim, Pompeo told reporters when he arrived at Yokota Air Base in Japan on Wednesday that the two had "a good and lengthy conversation" in preparation for the summit. The two sides have not yet made their conditions public about the denuclearisation negotiations. The Trump administration has stated that North Korea should make "a complete, verifiable, irreversible dismantling" of its nuclear weapons. But the swiftness in the development of events concerning North Korea has analysts anticipating potentially historic outcomes. "The pace of consultations suggests to me that we are closer to a major breakthrough on DPRK denuclearisation than ever before, " said Dennis Wilder, a former chief of China studies at the Central Intelligence Agency and senior East Asia director at the National Security Council under President George W. Bush. "It suggests that a major deal is under consideration that involves major concessions on each side," he added. […] Earlier on Thursday, Vice-President Mike Pence told NBC's Today programme that "in this moment, the regime in North Korea has been dealing, as far as we can see, in good faith". Pence said that despite Trump's recent praise for Kim, the administration was not ignoring the North's abysmal human rights record. "We have no illusions about that," he said, but added that "North Korea has taken steps that indicate this may be an opportunity for a breakthrough" on the Korean peninsula. ^ top ^
Trump-Kim summit in Singapore favors US, say Chinese observers (Global Times)
2018-05-11
Singapore has been chosen as the venue for the US-North Korea summit, a location that mostly favors the US side, Chinese observers said on Thursday. "The highly anticipated meeting between Kim Jong-un and myself will take place in Singapore on June 12th. We will both try to make it a very special moment for World Peace!" US President Donald Trump tweeted on Thursday evening. The location and time of the summit has been agreed, but with more details to come in the next few days, The Guardian reported. Singapore, as a gateway city-state between Asia and the West, would assure Trump of his security with a US military presence. It is also located "not too far" from Pyongyang, which makes it marginally acceptable to both sides, Wang Junsheng, a research fellow on East Asian Studies at the Chinese Academy of Social Sciences in Beijing, told the Global Times on Thursday. Such a location posed challenges to the North Korean leader Kim, said Lü Chao, a research fellow at the Liaoning Academy of Social Sciences. "North Korea, although having an embassy stationed in the Southeast Asian city-state, shares no special or intimate ties with Singapore and Kim would have to give up his most familiar and reliable special train to reach the site," Lü told the Global Times on Thursday. A flight from Pyongyang to Singapore covered over 4,700 kilometers, Lü noted, which would seem the outer limit of a charter flight from Pyongyang. It might be more feasible for Kim to lay over in a Chinese city to refuel his jet, he said, or even lease a Chinese plane. The long distance would also test the North Korean leader's communication with his capital city, he noted. The meeting would be the first ever between a sitting US president and a North Korean leader. The diplomatic atmosphere has improved greatly after Kim released US captives and pledged to freeze nuclear testing and abolish a nuclear test site, Wang said. However, one should not overlook the fact that mutual trust between the two sides is still next to non-existent and there is a big political gap when the two sides get down to actual negotiations, he said. US objectives for the summit were described by US Secretary of State, Mike Pompeo, as the immediate "permanent, verifiable and irreversible dismantling of North Korea's weapons of mass destruction program." North Korea has been less definite and rather vague about its own negotiating position. It remains difficult to predict what detailed terms Pyongyang will put on the table to achieve its goal of a security assurance from the US for its government, Wang said. The coming summit won't resolve the denuclearization issue once and for all, Lü indicated. "Topics will likely include how the US will verify the process, what access the US inspection team will have and what the US will offer North Korea in economic compensation for giving up for good its nuclear program," Lü said. […]" ^ top ^
Kim Jong-un confirmed as Xi Jinping's 'mystery guest' in surprise northern China summit (SCMP)
2018-05-09
Kim Jong-un has made a second surprise visit to China, in another sign of warming ties between the two communist states just weeks ahead of Kim's planned meeting with the US President Donald Trump. The visit, the first time he is known to have travelled by plane as leader, was his second visit to China in the space of just over a month. On Tuesday China's state news agency Xinhua reported that Kim had met President Xi Jinping in the northeastern city of Dalian during his two-day visit. The two had previously met during Kim's visit to Beijing in late March. Xi praised the improved ties between the two countries and said their latest meeting would benefit them and the entire region. Following the Chinese government's announcement, Trump tweeted that he was planning to discuss North Korea and trade with Xi on Tuesday. Kim was quoted by Xinhua as saying that his trip was intended to further improve Pyongyang's once frayed relations with Beijing and brief his Chinese counterpart about the latest developments following his meeting with South Korea's President Moon Jae-in last month. Kim reiterated his commitment to denuclearisation on the peninsula and lauded Xi's vision and Beijing's strategic support for his regime. "As long as the relevant parties eliminate hostile policies and security threats towards North Korea, there is no need for North Korea to possess nuclear weapons and denuclearisation is achievable" through confidence-building and phased steps, he said. Analysts expressed surprise at the frequent top-level exchanges between Beijing and Pyongyang and said Kim's latest visit, which further reinforces Beijing's foothold on the Korean peninsula, could have a major geopolitical impact. Like his trip to Beijing in late March, Kim's visit was shrouded in secrecy amid intense speculation over the past two days about a special North Korean guest visiting China. Kim, who travelled to Beijing by train last time, is believed to have travelled to Dalian by an Air Koryo flight. Kim seldom travels by plane and his travel plans are usually top secret, and his visits are usually announced only when they have been completed. Xi hailed Kim's trip as a strategically important move "at a profound, complex and critical juncture" for the Korean Peninsula. He also praised Kim's recent moves to lower tensions on the peninsula, which had been embroiled in a dangerous nuclear stand-off just a few months ago. "China supports North Korea's commitment to denuclearising the Korean peninsula and to dialogue and negotiations with the US," Xi said. Relations between Beijing and Pyongyang, which have been strained in recent years, have seen a major thaw since Kim's Beijing trip, his first overseas visit as leader. Following Kim's visit, there have been frequent high-level exchanges between the two sides, including visits by Chinese Foreign Minister and State Councillor Wang Yi and Song Tao, from the party's international liaison department. Cheng Xiaohe, a deputy director of the Centre for China's International Strategic Studies at Renmin University in Beijing said Kim's Dalian trip showed it was imperative for both leaders to meet again before the proposed Kim-Trump summit to be held later this month or in June. "Kim's first China visit was properly a goodwill visit, but this one was more substantial, which I believe concerns the ultimate political settlement of the Korean issue," he said. "What kind of role China can play in North Korea's denuclearisation, and what China can do, would be the most important part of their conversation". Cha Du-hyeogn, a visiting research fellow at Asan Institute for Policy Studies in Seoul, said Kim's visit was intended to increase his bargaining power ahead of his scheduled summit with Trump. "Kim is sending a clear message to the US that he will not be the only one compromising at the negotiating table. His visit also sends a message to Trump that there should be sufficient compensation in return for his denuclearisation as China is backing him up. In this way Kim is using China as leverage ahead of the upcoming summit," he said. In addition to meeting with Kim, two independent sources told the South China Morning Post that Xi would use the trip to Dalian to oversee the first sea trial of China's first domestically built aircraft carrier. "The Type 001A [carrier] will have a formal sea trial ceremony. President Xi will need to attend because it's the first aircraft carrier that has been 100 per cent developed and built by Chinese shipbuilders," one of the sources said. The Liaoning Maritime Safety Administration had announced on Friday that part of the sea outside the Dalian shipyard where the Type 001A carrier was built would be closed for military activity for one week. ^ top ^
US Secretary of State Mike Pompeo heads to North Korea to prepare for Donald Trump's summit with Kim Jong-un (SCMP)
2018-05-09
US Secretary of State Mike Pompeo was en route to North Korea to prepare for the president's summit meeting with North Korean leader Kim Jong-un on Tuesday afternoon, President Donald Trump told reporters at around 2:30pm on Tuesday. Trump's disclosure that Pompeo would arrive in the reclusive country "in an hour" came after his announcement that the US would withdraw from the Iran nuclear deal, a multilateral agreement aimed to freezing the Iranian nuclear programme. Pompeo's visit will be his second trip to North Korea since he secretly travelled to Pyongyang and met Kim in early April, a meeting, Trump said later on Twitter, that went "very smoothly" and formed "a good relationship". Pompeo's trip to Pyongyang comes on the heels of a second visit by Kim to China. On Tuesday Kim travelled to Dalian, a northeast coastal city in Liaoning Province, where he met with Chinese President Xi Jinping. Trump reiterated on Tuesday that the date and location of his summit meeting with Kim have been set – though neither have yet been officially announced – and said he believed his meeting with Kim would be "a very good success", helpful to the security of a region that is threatened by North Korea's nuclear ambitions. Trump declined to respond to reporters' questions in detail about whether Pompeo would raise with Kim the release of three Americans now being held in North Korea. "We will find out [whether] the three Americans will be free or not," Trump said. Two were arrested in 2017: Kim Sang-duk, on April 23, and Kim Hak-song, on May 6; the North Korean authorities accused each man of "hostile acts". Little is known about the case of the third, Kim Dong-chul, including why he was detained in 2015, according to US media reports. Trump's new lawyer, Rudy Giuliani, told Fox News on Saturday that "there is a good chance" that the three Americans detained in North Korea "will be released over the next several days". According to a transcript released by the State Department after Trump's Iran announcement, Pompeo told reporters on the plane at the Yokota Air Base in Japan during his trip to North Korea that it would be a "great gesture" for Pyongyang to release the American detainees ahead of the Trump-Kim summit. He said that the Trump administration had sought the release of these detainees for 17 months. "We'll talk about it [with the North Korean] again today. I think it'd be a great gesture if they would choose to do so." Pompeo said he was hoping to "nail down"the summit agenda and "put in place a framework for a successful summit between the two presidents". A second goal for the trip, Pompeo said, was to lay out a "set of conditions" of the denuclearisation negotiation between the US and North Korea. He said the US wants to "make sure that we're square" about what is not on the negotiation table. "We're not going to relieve sanctions until such time as we achieved our objectives" of a complete, verifiable, irreversible denuclearisation, he said. ^ top ^
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| Mongolia |
Civil societies demand to nationalize 51 percent of Oyu Tolgoi (Gogo)
2018-05-10
Yesterday, 35 civil society organizations headed by the National People's Movement for Rescuing the Country non-government organization presented a letter of demand to nationalize the 51 percent stake of Oyu Tolgoi to Armando Torres, CEO of Oyu Tolgoi. In the letter of demand, it was warned of not conducting talks and signing agreement on the underground development as the open-pit mine, which is being mined until today has no returns to Mongolian people, and demanded to immediately stop its illegal action of hindering the working group, which was established under a decree issued by the Parliament Speaker for the purpose of inspecting and examining OT's operations, and reviewing the Investment Agreement of OT. The letter also demanded the OT to run its operations in accordance with Mongolia's laws and regulations. The letter also demanded the OT to run its operations in accordance with Mongolia's laws and regulations. "In addition, there is a demand for cancellation of the agreement or amend it by including a clause under which Mongolian citizens shall own the 51 percent and make other related clauses to be clear and transparent," the letter emphasized. "In the clause 6.1 of the Constitution of Mongolia and in the 1803rd resolution of the UN issued in 1962, the state of the wealth and resources shall receive majority of their wealth and resources," Head of the Board of Directors of the National Movement Erdenebayar Aviermed underscored. "Under the regulations of the shareholders' agreement, Mongolia has to pay USD 3 million, which equals the cost of constructing 5 kindergartens, per day for settling the debt," he added. On Monday, MP and Chairman of Parliamentary Standing Committee on Economy Damba-Ochir Dorjdamba, former head of the abovementioned working group, submitted a letter of temporary dismissal from the head of the working group. On that day, the MPP group in the parliament discussed the request and appointed MP Terbishdagva Dendev as the head of the working group. ^ top ^
Asian parliament members to convene in Mongolia to discuss development issues (Gogo)
2018-05-10
Through a United Nations Population Fund (UNFPA) initiative, parliament members from Asian countries will convene in Ulaanbaatar, on June 11-12, to discuss regional population and development issues. The meeting will be held with support from the Social Policy, Education, Culture and Science Standing Committee of the Parliament of Mongolia. During the meeting, Asian legislators will exchange views on a wide-range of topics, including regional demographic movement, population ageing, reproduction, employment, and gender issues. In preparation for this high-level meeting, Chairman of the Social Policy, Education, Culture and Science Standing Committee Y. Baatarbileg met with UNFPA Mongolia Country Representative Naomi Kitahara on May 9. Both parties agreed to form a joint working-group to speed up preparation efforts. ^ top ^
President's proposal faces opposition (Gogo)
2018-05-10
On Tuesday, Parliamentary Standing Committee on Justice discussed the President of Mongolia's proposal of candidates for the head and deputy head of the Independent Authority Against Corruption. The majority of the committee members disapproved the proposal on the ground that it has violated several laws. Primarily, the proposal was submitted on Friday to the Parliament. On Monday, the Mongolian People's Party group in Parliament discussed the proposal at its closed meeting and reached a position not to support the candidates proposed by the President. The MPP group considers that the appointment term of the present heads have not been expired. ^ top ^
Mongolia's debt piles as Rio's revenue doubles (Gogo)
2018-05-11
The amount of loan Mongolia borrowed from Rio Tinto by pledging its future dividend has reached USD 1.1 billion, including its interest payment. In 2009, as the 34 percent stakeholder in the Oyu Tolgoi project, Mongolia borrowed USD 770 million from its partner, Rio Tinto which holds the remaining 66 percent of the OT through its ownership of Turquoise Hill Resources. Mongolia pays 6.5 percent interest, plus Libor interest rate (London Inter-bank Offered Rate), which totals around 8.4 percent, for the loan. According to an official source, this equals to USD 100-110 at present. Although the people who were involved in the Oyu Tolgoi Agreement say that this is hardly a loan, Mongolia will have to pay the interest, which is further piling up. As written in the Oyu Tolgoi Investment Agreement, the investment was financed from two sources: 75 percent from loans and 25 percent from shareholder. Erdenes Oyu Tolgoi LLC (backed by the Government of Mongolia) and Rio Tinto, the investors of Oyu Tolgoi, made primary investment of USD 2.2 billion. Out of this amount, Mongolia will be responsible for approximately USD 770 million. This has been paid by Rio Tinto under a condition that Mongolia will pay from its future dividend. However, in 2009, when the Loan Agreement was signed, the interest almost reached 10 percent. At the time of signing the agreement, the loan was estimated to be 9.9 percent plus US CPI (consumer price index). In 2011, the Investment Agreement was amended and set the interest at 6.5 percent plus one month Libor. At present, Mongolia's credit rating, which was falling in recent years, stands stable and is estimated to improve. Therefore, it is possible to reduce loan expenses by a certain amount, the Minister of Mining and Heavy Industry Sumiyabazar Dolgorsuren noted. In addition, an official source informed that the Government of Mongolia started talks with Rio. Officials explain that the loan cause no pressure on the State Budget. However, it will block future revenue income. Also, the exact date of dividend distribution is unclear. No one at Oyu Tolgoi and Rio Tinto could confidently say the exact date of Oyu Tolgoi's dividend payment. Early this year, Oyu Tolgoi's CEO Armando Torres told the media that Oyu Tolgoi must accomplish positive cash flow and pay dividends to its shareholders as early as possible. On the other side, he argued that the Government of Mongolia made a choice to loan its initial investment for 34 percent share from Rio and repay from its future dividends. In addition, he added that the underground development fund was raised in cooperation with international financial institutions. "Today, it is impossible to say the exact date of dividend distribution," said Mr. Armando Torres. He added that it will depend on how profitable Oyu Tolgoi will be. OT obtained USD 4.4 billion from Export Credit Agencies of the governments of US, Canada and Australia, as well as 15 IFIs. The amount, interest rate and the maturity of the loans variable. But Erdenes Oyu Tolgoi LLC and Turquoise Hill Resources informed that weighted average interest rate was set to be Libor plus 6 percent. Calculating since December 2015, when the agreement was signed, the total sum of loans obtained for financing the underground development has reached USD 5 billion including the interest. In addition, the company's expenses are also building up. For a long time, Oyu Tolgoi has been criticized for excessive spending. Deputy Minister of Mining and Heavy Industry Zagdjav Deleg notified that Rio raised USD 5- 6 billion fund with high interest from global financial market by pledging Mongolia's deposit. Out of this, USD 1 billion was invested in Mongolia. He added that Oyu Tolgoi's income does not flow through Mongolia's banking system and only 6-8 percent of its sales revenue is paid to Mongolia. In the last few years, Rio's profit doubled. On the contrary, Mongolia's debt has increased drastically. Rio was in a difficult situation in 2008, before the Oyu Tolgoi Investment Agreement. Rio's stock price had fallen 7 times from AUD 138 to AUD 20 by May 2008. Whereas last year, the company "treated" its shareholders with USD 5.2 billion – historical dividend disbursement. But Mongolia's economy and society still remain vulnerable. ^ top ^
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Ms. Selina Morell
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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