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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 de Chine
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  31.5-4.6.2021, No. 868  
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Switzerland

Interview: Liechtenstein's construction giant Hilti Group cements China business (People's Daily)
2021-06-02
Construction and technology multinational Hilti Group, Liechtenstein's biggest employer, is upbeat on the industry's recovery from the COVID-19 pandemic, thanks partly to an improving building quality in China, its CEO said. "The quality of construction, the digitization of construction, and the safety requirements of construction, they all increased significantly in China," CEO Christoph Loos told Xinhua in an interview at the firm's headquarters. "For us, China is an inspiration in many ways for how construction also will develop in other parts of the world." Hilti is based in Schaan, Liechtenstein's largest municipality, and is the principality's largest employer. The company employs around 30,000 people in more than 120 countries worldwide. China is the group's largest sourcing and production market, where Hilti counts 2,000 employees in five and soon six production locations, an important research and development (R&D) center as well as a sales and engineering team. Asked about the business outlook in China, Loos said: "We expect significant growth from the core business that we have, we are involved in nearly all larger infrastructure and energy projects across the country." "Next to sourcing and production and sales expansion, we've also invested significantly into our research and development setup in China, our R&D center in Shanghai is the third largest for us in the world." Hilti supplies technological products to the construction industry and offers products for measurement, drilling, demolition, sawing, grinding, screw, direct mounting, battery technology, fire protection, and installation technology. Doubly landlocked, Liechtenstein is the fourth-smallest country in Europe and lies in the heart of the Alps between Switzerland and Austria. Its population of around 38,000 people has one of the highest per capita incomes in the world. The country's industry is heavily export-oriented and focuses on high-quality goods and services. Manufacturing, machine and plant construction, precision tools, dental instruments and the food industry are the main areas of activity. The Hilti Group's sales for 2020 were 9.6 percent lower than in the previous year, totaling 5.3 billion Swiss francs (around 5.9 billion U.S. dollars). The operating profit decreased by 7 percent to 728 million Swiss francs due to the COVID-19 pandemic. "It's true, 2020 was a challenging year especially in the first half. Only a few markets were able to show growth, among them China. But now things are getting better, construction is recovering," Loos said. "The biggest challenge that we see at the moment is the shortage of supply globally which many industries experience. From, you know, steel to chemicals, all the way to electronic components," he said. In the first four months of 2021, the Hilti Group increased sales by 14.7 percent to 1,925 million Swiss francs. The CEO also reiterated the target for CO2-neutrality planned for 2023 with a focus on circularity and the conversion of the worldwide vehicle fleet to more environmentally friendly drive systems. "We have always acted responsibly, but we felt that this is no longer good enough and therefore we've developed a new significant ambition for us. And that includes this commitment to being neutral by 2023 on the carbon footprint," Loos said. "We've converted to 100 percent green energy across the world, and we are in the process of converting our 14,000 vehicle fleet to electric and hybrid and natural gas, and the remaining 50 percent we will compensate with own projects that we are developing at the moment in India and in Africa," he added. (1 Swiss franc = 1.113 U.S. dollars). ^ top ^

Swiss Re Sells Entire Stake in New China Life for $257.5 Million (Caixin)
2021-05-28
Global reinsurance giant Swiss Re Ltd. has sold its stake in New China Life Insurance Co. Ltd. (NCI) for about HK$2 billion ($257.5 million), after racking up $878 million in its own losses last year amid the economic fallout of the Covid-19 pandemic. The Switzerland-listed giant sold 77.9 million NCI shares at HK$ 29.2 each, raising a total HK$2.3 billion, records on the Hong Kong Stock Exchange showed earlier this week. Swiss Re will hold no shares in NCI after the deal. The company did not issue a statement explaining the reasons behind the move. A company representative told Caixin that the sale was consistent with Swiss Re's equity investment strategy. Swiss Re is the world's second-largest reinsurance company by gross premiums after Germany-based Munich Re. It reported $878 million net losses last year after receiving large claims amid the pandemic, compared to a net profit of $727 million in 2019. A reinsurer provides insurance products to insurance companies. Founded in 1996, Beijing-based NCI is one of China's biggest insurance companies in a field dominated by large state-run enterprises. It provides life insurance and wealth management services. Last month, Fitch Ratings revised its outlook on NCI's insurer financial strength (IFS) rating to stable from negative and affirmed the IFS rating at "A," or strong, saying the company would "sustain its favorable operating results and sound solvency buffer in the near term in light of its asset-management strategy and product mix." The move by Swiss Re comes even after saying previously it expects China will become the world's largest insurance market by mid-2030s and deepening its footprint in the market in recent years. Last June, the Swiss company acquired 28.9 million global depositary receipts (GDRs) issued by China Pacific Insurance (Group) Co. Ltd. via the Shanghai-London Stock Connect. The company agreed to hold the GDRs for a three-year lock up period. In August last year, Swiss Re invested in Chinese online insurer Waterdrop Inc. in the latter's series D fundraising round. Waterdrop, which is backed by internet giant Tencent Holdings Ltd., went public in New York earlier this month. The divestment of the NCI stock comes seven years after Swiss Re bought 153 million of the company's Hong Kong-listed shares from Zurich Insurance Co. Ltd. for HK$3.8 billion in 2013. The shares were equal to 4.9% of NCI's total share capital. Later, Swiss Re in November 2017 sold 75 million NCI shares for HK$3.5 billion when the share price rose to a peak. Swiss Re recovered most of its 2013 investment costs from the 2017 sale. By the end of March, Shanghai- and Hong Kong-listed NCL had total assets of 998.9 billion yuan ($156.6 billion). It collected 63.4 billion yuan in insurance premiums in the first quarter, up 8.8% year-on-year. ^ top ^

 

Foreign Policy

Communist Party's little-known department gives China 'extra hand' in foreign relations (SCMP)
2021-06-04
For most countries, the foreign ministry can be assumed to be the most important government body for building relations with other countries. But for China, this may not always be the case. Aside from the foreign ministry, the ruling Communist Party has an extra "hand" reaching out to the world – the International Department (ID) of the party's Central Committee, whose role in China's foreign relations has been largely overlooked. Earlier this year, ID representatives met their counterparts from the Communist Party USA to talk about "international solidarity" and celebrate the two parties' history and friendship. They also held a video conference with the Communist Party of Britain, in which the localisation of Marxism theory was discussed. The meetings were typical of the ID's engagement with other communist parties around the world. […] In theory, the ID and foreign ministry operate under completely different systems – the former is part of the party, whereas the latter is part of the government, similar to the US State Department. But in China the line between party and state is often blurred, as only Communist Party members can serve in key leadership positions. The current head of the ID is Song Tao, a seasoned diplomat who has served as Chinese ambassador to Guyana and the Philippines, and as the disciplinary chief of the foreign ministry. Unlike many other countries where political affiliation is less of a factor for civil servants, it was not unusual for Song to switch between working at the foreign ministry to the party's own diplomatic branch. The foreign ministry handles interstate relations, and represents the country's interests. For example, it would be the government body in charge of state visits by foreign leaders. According to the ID's website, its function is to serve China's policy of reform and opening-up as well as to support state diplomacy through party-to-party exchanges and cooperation. It also aims to consolidate the party's position in office and contribute to the building of "socialism with Chinese characteristics ", enhancing the party's legitimacy and control over the country. Peng said the ID was an important part of China's foreign relations due to the country's unique political system. […] The ID organises visits abroad for its own director and for ministers of other departments of the Central Committee, and for members of the Politburo Standing Committee who are responsible for foreign affairs. It also sends staff to Chinese embassies to collect information such as political developments for foreign parties and to maintain contact with partner parties. This is where the ID and China's foreign ministry overlap and support each other. Although the party has its own intelligence branch – the research office – the ID also gives advice to the Secretariat of the Central Committee and the Politburo Standing Committee. In addition, the ID receives party delegations in China and trains third-country party officials interested in learning from China's experience. Some material help is also provided as part of its engagement with foreign parties, such as support for training or party schools. The ID reaches out to foreign parties both in power and in the opposition. In Brunei for example, the ID maintains ties with representatives of the royal house. In some other countries, the ID also contacts research institutions and business actors. When Xi Jinping took office in 2012, he opened a new phase in China's global rise, in which Beijing proactively began aiming to shape global norms and institutions in a way that was commensurate with the country's economic and military strength. In 2017, Xi hosted a conference for nearly 300 overseas political groups in Beijing. He told the gathering the party would step up communications with overseas political groups and enable 15,000 of their members to visit China for inter-party exchanges in the coming five years. This announcement underlined the prominent role assigned to the ID, according to Hackenesch and Bader's report. Since Xi took office, "the party channel increasingly serves as an instrument to advance China's ideas for reforming the international system and as a tool of authoritarian learning and diffusion", they said. However, in his 2017 speech Xi said the party wanted to engage other political parties to take a more active role in tackling world problems, and not to export the "China model". "[China] will proactively push forward the construction of a global network of partners and will proactively push for political solutions for international hot issues and difficult problems," he said. "We will not require other countries to copy what we do." ^ top ^

PLA aircraft training in S.China Sea abide by intl law without entering others' airspace (Global Times)
2021-06-03
Chinese Air Force planes did not violate the airspace of other countries when the People's Liberation Army (PLA) reportedly dispatched 16 aircraft comprising strategic transport planes to the South China Sea for routine flight training on Monday. Malaysia's claim of the Chinese aircraft being a "serious threat to national sovereignty and flight safety" does not stand, and neither would China do such a thing, as China is looking to jointly maintain regional peace and stability with the friendly neighbor, Chinese experts said on Wednesday. China's strategic airlifters can play important roles in disaster and humanitarian relief in the region, as they did with delivering COVID-19 vaccines and medical supplies, observers said. Malaysia's air force said on Tuesday that it detected 16 Chinese Air Force planes flying within 60 nautical miles off Sarawak state in Malaysian Borneo on Monday, calling it a "suspicious" activity over the South China Sea and a "serious threat to national sovereignty and flight safety," Reuters reported on Wednesday. The aircraft, comprising Ilyushin il-76 and Xian Y-20 strategic transporters, had traveled in an "in-trail" tactical formation at an altitude of between 7,000 and 8,230 meters, Reuters said. In response to the incident, Wang Wenbin, spokesperson of Chinese Ministry of Foreign Affairs, confirmed at a regular press conference on Wednesday that the Chinese Air Force held a routine training operation in southern Nansha in the South China Sea. It did not target any country, and the Chinese Air Force strictly abided by international law without entering the airspace of other countries, Wang said, noting that China has communicated with Malaysia over the matter. Song Zhongping, a Chinese military expert and TV commentator, told the Global Times on Wednesday that the PLA's strategic transport aircraft are no homebodies, and need to make long-distance flights to carry out their duties. The South China Sea is a region where strategic transport aircraft need to cover both military airlift and humanitarian aid tasks, so it is totally normal for them to hold routine exercises there, Song said. Beijing-based military expert Wei Dongxu told the Global Times on Wednesday that if natural disasters or other humanitarian crises occur in the South China Sea, China's strategic transport aircraft will play an important role and send relief personnel and supplies. China's strategic cargo planes have been playing a key role in fighting the COVID-19 pandemic, and the PLA's Y-20 airlifters were dispatched to deliver COVID-19 vaccines and other medical supplies to several countries, including those in the South China Sea region. Reuters reported that the foreign ministry of Malaysia on Tuesday said it would summon China's envoy to explain the "intrusion." Song said that since China's aircraft did not enter another country's airspace, accusations of sovereignty violation do not stand. As the PLA develops, training operations may become more frequent, but China will not pose a threat to other countries, analysts stressed. Instead of being a threat, the development of China's military capabilities is a stabilizing and constructive factor for the region, Wei said. "China and Malaysia are friendly neighbors, and China is willing to continue bilateral friendly consultations with Malaysia to jointly maintain regional peace and stability," Reuters quoted a Chinese Embassy spokesperson as saying over the matter. ^ top ^

Improve intl communication, Xi says (China Daily)
2021-06-02
Xi Jinping, general secretary of the Communist Party of China Central Committee, has underlined the significance of bolstering the nation's capacity in engaging in international communication to foster an image of China that is trustworthy, lovable and respectable. In remarks made at a group study session of the Political Bureau of the CPC Central Committee on Monday, Xi underscored that telling China's stories well, making the nation's voices heard and presenting a true, multidimensional, and panoramic view of China is a key task in strengthening the nation's capacity in international communication. He urged a keener understanding on the importance and necessity of improving China's work in international communication in order to build an international discourse power that can match the nation's comprehensive national strength and global status. Xi noted that the Party has always attached importance to international communication, and China's international discourse power and influence have seen remarkable growth since the Party's 18th National Congress in 2012. Under new circumstances and faced with new tasks, Xi said it is important to enhance top-level design, establish a strategic communication system with distinctive Chinese characteristics and improve the influence of international communication, the attraction of Chinese culture, affinity with China's image, the persuasiveness of Chinese discourse and the ability to guide international public opinion. He called for quicker steps to form a system of Chinese discourse and Chinese narrative, using Chinese theories to explain China's practice and employing Chinese practice to elevate Chinese theories. New concepts, domains and expressions should be created to better tell China's stories and show the power of the thinking and the spirit behind the stories, Xi said. It is important to step up efforts to publicize and expound on the CPC, helping the global audience understand that the CPC truly fights for the happiness of the Chinese people and learn about why the CPC is capable, Marxism really works and socialism with Chinese characteristics excels, he said. To enable Chinese culture to go global more effectively, Xi stressed the need to interpret and present it in a way that embodies the nation's spirit and wisdom. Xi said a tone that displayed openness, confidence and conveyed modesty and humility must be maintained. With China approaching the center stage of the world and being capable and responsible in playing a greater role in global affairs, Xi called for steps to make Chinese proposals, wisdom and approaches better known. The general secretary required across-the-board elaboration on China's philosophy on development, civilization, security, human rights, ecology, international order and global governance, saying that the nation must hold high the banner of a community with a shared future for mankind. He reiterated the need to advocate multilateralism, oppose unilateralism and hegemony and to guide the international community to jointly work toward a new international order that is more fair and reasonable. It is important to make good use of various touching cases to explain that China's own development is the nation's greatest contribution to the world and, in doing so, the country has contributed wisdom to the solution of human issues, Xi said. The nation must continue to host events in various forms that promote people-to-people exchanges to scale up exchanges and mutual understanding between people from China and different countries, he said. In a bid to comprehensively elevate the efficiency of international communication, China must strengthen a special team of talents that can meet the requirements for work in this regard in the new era, he added. Xi called for the use of targeted communication strategies that can cater to the demand of different regions, countries and groups of audiences to spread Chinese stories and voices globally, and with an approach that is tailored to particular regions and audiences. He also urged unremitting efforts to expand the circle of friends that understand China and befriend China in international public opinion, saying that the nation must improve its capacity to make its voice heard on major issues. ^ top ^

China renews anti-pandemic support for India via BRICS (Global Times)
2021-06-02
By emphasizing unity of jointly weathering COVID-19 pandemic, and boosting economic recovery and cooperation on international and regional issues, the BRICS Foreign Ministers virtual meeting on Tuesday was seen by observers as sending a strong signal of bloc members' desire to uphold multilateralism, and deterrence to countries like the US that tried to fragment the organization and sow discord among the BRICS members. At the invitation of Indian External Affairs Minister S. Jaishankar, Chinese State Councilor and Foreign Minister Wang Yi attended the meeting via video link. During the meeting, Wang stressed that Beijing stands with New Delhi amid the COVID-19 crisis, and that all BRICS member countries including China will provide support and assistance to India as it fights against the second wave of the pandemic. The meeting was also attended by Brazilian Minister of Foreign Affairs Carlos Alberto Franco Franca, Russian Foreign Minister Sergey Lavrov, and South African Foreign Minister Grace Naledi Mandisa Pandor. The ministers noted at the meeting that the COVID-19 crisis has posed many challenges for economic and financial stability. They emphasized the importance of BRICS in responding to the COVID-19 crisis through policy support and enhancing intra-BRICS and international coordination, according to a statement on Chinese Foreign Ministry's website. […] Chinese vaccine developer Sinovac is leading the initiative to develop the Chinese branch of the BRICS vaccine research and development center, a joint vaccine cooperation effort by the five BRICS countries. It will promote joint research, development and clinical trials of vaccines, as well as the construction of factories, production licensing and mutual recognition of standards among the BRICS countries through online and offline approaches. Wang Wenbin, spokesperson of China's Ministry of Foreign Affairs, said on Tuesday that the conference is of special significance to promote the post COVID-19 pandemic world economic recovery. […] The meeting was held days before a G7 summit, and will balance the world in both politics and global supply chain as it is telling the world that the world order and global supply chain is not dominated by the US and its cliques. Yet experts warned that the new US tactic of forming cliques to contain other countries, especially China and Russia, puts an obstacle for the bloc members' cooperation and even sows discord among the BRICS members. The BRICS Foreign Ministers' meeting sends a strong signal to countries like the US which tried to fragment the organization by luring its members. During Jaishankar's visit to the US, he strongly defended "Quad," a coalition forged by India, Australia, Japan and the US to counter China in the Indo-Pacific region. Moscow over the past few months also repeatedly conveyed to New Delhi its displeasure over the "Quad," with Lavrov in December 2020 calling the four-nation coalition a "divisive" and "exclusivist" tool being used by the US to implement its "devious policy" of engaging New Delhi in games against China as well as to undermine Russia's partnership with India. Qian Feng, director of the research department at the National Strategy Institute at Tsinghua University, said that although India has been reluctant to turn Quad into an anti-China alliance, its leaning closer to the US will undermine BRICS unity. Yet after seeing the US turning its back amid the pandemic, India, which sees great potential in cooperating with BRICS members to save itself from a post-pandemic economic swoon, may be very cautious in leaning too close to the US or acting as an instability factor in the BRICS, Qian said. ^ top ^

China advances global human rights progress, official says (China Daily)
2021-06-01
China has enriched the global discourse on human rights affairs by upholding multilateralism and opposing egotism and bullying, a Foreign Ministry official said on Monday. The effort has been hailed by many countries, especially developing nations, said Li Xiaomei, the ministry's special representative for human rights affairs. China respects the universal principles set out by the United Nations Charter and the Universal Declaration of Human Rights, and encourages other countries to localize human rights principles based on their respective development, she said. The Chinese government supports equal, just and win-win cooperation on human rights governance, she said, adding that the range of views on human rights is exactly why China advocates dialogue. China-one of the very few nations that have been elected five times as a member of the United Nations Human Rights Council-respects sovereign countries' choice of their own paths and defends democratic and law-based international relations, Li said. Li said the country opposes the politicization of human rights issues-one of the three pillars of the UN system, together with peace and development-or adopting double standards. Some countries have adopted an expedient attitude toward multilateralist human rights groups, "and attempted to tweak international rules for their own interests", she said at a news conference in Beijing. "That is typical unilateralism." While a member of the council, the Chinese government has made a flurry of proposals to protect human rights, including a 2016 initiative to bolster public health capacity building to combat the Ebola virus, and an effort to include the "community with a shared future for mankind "concept in a number of the council's proposals and resolutions. It has reiterated the role of development in human rights situations, and introduced this concept into the UN system. The news conference was organized by the State Council Information Office to introduce the implementation of China's third working plan on human rights, which was released in 2016. The National Human Rights Action Plan of China (2016-20) rolled out a set of goals on human rights development over the past five years, ranging from economic rights to civil and political rights. Chang Jian, director of the Human Rights Research Center of Nankai University in Tianjin, said at the news conference that a global shared view of human rights is a recent occurrence. Cultural elements as varied as Buddhism and Confucianism have given rise to a spate of differing concepts of human rights, and economic globalization has brought these views closer together in the wake of World War II, he said. "The destruction caused by fascism led nations to reach a consensus on human rights protection, as is enshrined in the Universal Declaration of Human Rights and other international treaties," he said, adding that China was a drafter of the declaration and 26 other treaties. "China is a supporter, defender and promoter of the consensus." Different countries have different systems and development levels, which leads to differences in interpreting and protecting human rights, he said. Chang cited China's response to the COVID-19 pandemic as an example, saying that it has prioritized the rights to life and health, while other countries prioritized ballots, the economy and individual rights. He said people's sense of happiness, gain and security should be used to determine the human rights situation of a given nation. ^ top ^

China's Wang Yi calls on EU to be calm and rational as he meets Irish foreign minister (SCMP)
2021-06-01
Chinese Foreign Minister Wang Yi has called on the European Union to handle its dealings with China more calmly, and on Ireland to be a stabilising influence in the deteriorating relationship. Wang made the remarks in a meeting on Sunday with his Irish counterpart Simon Coveney in China's southern province of Guizhou, where Wang has also since Saturday met foreign ministers from Poland, Serbia and Hungary. The meetings represented the first face-to-face engagements with China for each of the European nations' ministers since the European Parliament voted overwhelmingly to freeze ratification of the EU-China Comprehensive Agreement on Investment (CAI). During the talks with Coveney, Wang said China and the EU were comprehensive strategic partners rather than rivals, according to a Chinese foreign ministry statement on Monday. Wang hit out at the "so-called rules" formulated by Western nations, saying that they did not represent true multilateralism. "We should not be afraid of differences," Wang said. "It is possible to enhance understanding … and distinguish right from wrong through equal dialogue. "More importantly, the European side should have an objective and comprehensive understanding of China's development stage, evaluate China's development and progress realistically, and handle its relations with China more calmly and rationally." Sun Keqin, a European specialist at the China Institutes of Contemporary International Relations, said the meeting with Coveney was expected to help improve the atmosphere, with China-EU relations at a low point. Referring to Ireland as a "stable" force in the EU, Wang said China believed that Dublin would continue to play an active role in the healthy and stable development of China-EU relations. Wang also outlined Beijing's position about its actions and policies in Hong Kong and Xinjiang, the Chinese foreign ministry statement said. Asked in an interview in January about China's treatment of Uygurs and other mostly Muslim minority groups, Coveney said that "genocide is a very strong word" but that the EU was having "serious discussions" about how to navigate its relationship with China – a position that did not cause a strong reaction from Beijing. China is Ireland's fifth-largest trade partner and its biggest in Asia. The two countries agreed at the meeting to enhance economic and social ties in fields such as technological innovation, high-quality agriculture, higher education and cultural industries. Ireland is one of the few EU member states to have maintained a trade surplus with China, having done so continuously for more than a decade. China has become the second-biggest market for Irish meat and dairy products, Wang said. Sun said that China was hoping to win over more nations in the EU. "Economic considerations are more important than ideological confrontations for small countries such as Ireland," he said. ^ top ^

CPC establishes ties with over 600 political parties, organizations worldwide (China Daily)
2021-05-31
The Communist Party of China has established relations in various forms with more than 600 political parties and organizations in over 160 countries and regions, according to a seminar held in Shanghai. The seminar was co-held by the International Department of the CPC Central Committee, the Shanghai Institutes for International Studies and the Shanghai Federation of Social Science Associations on Saturday. Nearly 30 guest speakers from universities and research institutions in Beijing, Shanghai, Tianjin and Guangdong delivered speeches to the seminar, which drew more than 150 experts and scholars. The seminar stressed that more than 330 political parties and organizations in nearly 140 countries had expressed their support to the CPC and to China's fight against COVID-19 since last year. Over 240 political parties and international organizations of political parties in more than 110 countries stood with the CPC to oppose the politicization of public health issues, according to the seminar. ^ top ^

 

Domestic Policy

Xi calls on SCO to expand people-to-people exchange (People's Daily)
2021-06-04
President Xi Jinping has called on all parties of the Shanghai Cooperation Organization to uphold the Shanghai Spirit, stay committed to their original aspirations, help each other in the same boat and deepen their cooperation. Xi made the remark in a congratulatory letter that he sent on Thursday to the SCO Forum on People-to-People Friendship, which is being held in Wuhan, Hubei province. In November, Xi received a warm response and support from all other member states of the SCO when he put forward the initiative of launching the forum. In his letter, Xi said he believes that the forum will become an important platform for all parties to enhance mutual understanding, deepen friendship and strengthen cooperation. Xi emphasized the need to give full play to the advantages of nongovernmental diplomacy, broaden the channels of communication among peoples of different countries, and make contributions to the development of the SCO. The theme of the forum, which continues on Friday, is "Promoting People-to-People Friendship and Carrying Forward the Shanghai Spirit". The SCO comprises eight member states-India, Kazakhstan, China, Kyrgyzstan, Pakistan, Russia, Tajikistan and Uzbekistan. Featuring mutual trust, mutual benefit, equality, consultation, respect for diversity of civilizations and pursuit of common development, the Shanghai Spirit has been hailed by leaders and officials as the source of the SCO's strong vitality and momentum of cooperation. The forum is co-hosted by the Chinese People's Association for Friendship with Foreign Countries, the Hubei provincial government, and the good-neighborly friendship and cooperation committee of the SCO. ^ top ^

Chinese vice premier stresses groundwater protection in northern China (Xinhua)
2021-06-04
Chinese Vice Premier Hu Chunhua on Thursday called for efforts to control the over-exploitation of groundwater in northern China to improve the aquatic ecology in the region. Hu, also a member of the Political Bureau of the Communist Party of China Central Committee, made the remarks at a meeting on the issue. Marked progress has been achieved in controlling the over-exploitation of groundwater in the region as the overall level of shallow-lying underground water rose 0.23 meters in 2020, ending years of decline, Hu said. Continuous efforts are needed to achieve the goals set in an action plan on tackling the issue, according to Hu. In the next step, China should continue to replenish the region's water resources, strengthen the protection of rivers and lakes, enhance water-saving efforts and strictly curb the development of high water-consumption industries, he said. ^ top ^

China's sport's governing body suspends high-risk events after ultramarathon tragedy (China Daily)
2021-06-03
A series of high-risk sports events, including long distance cross-country running, have been suspended by China's leading sports authority as it vowed to strengthen sports events' safety supervision after an ultramarathon tragedy that took 21 lives. "To safeguard the safety and health of people, from today, newly emerging high-risk sports events including mountain cross-country running events, desert crossing events, wingsuit flying events and ultramarathon events, which have insufficient management, non-comprehensive rules and unclear safety standards, are all suspended," read an announcement from the General Administration of Sport of China on Wednesday. "The GASC will have comprehensive review on these sports events, refine the management system, make safety standards and strengthen the supervision on the safety management of all sports events. "All local sports bureaus and event organizers should be aware of the risks and shoulder responsibilities to preventing them. Risk checks regarding the organizational work, logistics, safety management, emergency response, epidemic prevention, geological and weather conditions should be conducted. All events with safety risks should be suspended." Late last month, a total of 21 competitors died during an ultramarathon race in Baiyin, Gansu province. Some of China's elite runners were among the dead, as the annual mountain ultramarathon was hit by severe weather. Another eight were hospitalized for injuries. The tragedy came after hail, freezing rain and high winds caught the 172 lightly dressed marathon runners off-guard as they were racing along winding mountain paths in the central part of the province. The GASC hosted an emergency meeting right after the tragedy, calling for better risk management and more comprehensive contingency plans. "Everyone should be aware of the seriousness and complexity of the safety and risk management work involved in sports events, and we should know there are still many problems to be solved," GASC director Gou Zhongwen said during the meeting, according to China Sports Daily. "Sports events have always been a focus of our people and many communities in society. Sports events are intricately connected with people's daily lives. … Any management mistakes could cause safety incidents and huge losses. "All levels of sports administration have been working actively on safety procedures for sports events, and they have created a stable environment for the development of sports. However, with further reform and development of the sports industry, there are new requirements for supervisory work." ^ top ^

Grass-root Party members honored for first time on CPC centennial (Global Times)
2021-06-02
The Communist Party of China (CPC) Central Committee will for the first time honor July 1 Medals to Party members whose names may be not that well known but have made outstanding contributions and created valuable spiritual wealth, as the CPC marks the 100th anniversary of its founding. Candidates are from different eras, ethnic groups, and walks of lives, but they all represent 91 million CPC members, and their life stories mirrored how the CPC came into existence from ordinary Chinese and kept a vigorous cause of uniting Chinese people and leading China to "stand up, get abundant and get stronger" in the past 100 years. The list of 29 candidates includes war heroes, maritime militia, scientists, community workers, artists, diplomats, and pioneers in national unity, educators and police. The list will be put on display and public opinions will be solicited until June 4 before the final decision is made, the People's Daily reported on Monday. Eight candidates are ethnic minorities. Besides three candidates who had passed away, including martyr Chen Hongjun of the China-India standoff in 2020, the average age of the other candidates is 82. The two oldest, both 101 years old, are a veteran of the War of Resistance against Japanese Aggression (1931-45) and a major contributor to China's "Two Bombs and One Satellite" project. The youngest candidate still alive is 60, a female shepherd from Southwest China's Tibet Autonomous Region, who has made contributions to China's border safety through a decades-long grazing patrol. Among the young candidates, one also has something to do with border security. Born in 1987, Chen Hongjun, a border defense hero who held his post in the plateau for 10 years and died in safeguarding China's territorial integrity against Indian provocation in the Galwan Valley in June 2020. Analysts said that the July 1 Medals honor the importance of the cohesion of the Party and the people, the inheritance of the precious spirit and unity. The list of grass-root candidates is also regarded as a response to some Western politicians who have attempted to split Chinese people from CPC. Prism of virtue It is the first time July 1 Medals will be conferred, and many internet users are wondering what the standard was to select the 29 candidates from more than 91 million Party members, and they became more curious after finding no "big names" among the list. Su Wei, a professor at the Party School of the CPC Chongqing Municipal Committee, told the Global Times on Monday the candidates can be divided into three groups, each of which represents an era of China in the past 100 years. And the standard may have come from that. […] Response to the West The announcement of July 1 Medals also comes as the world is experiencing "profound changes unseen in a century," when the Western world led by the US piles up pressure to suppress China's rise, the great rejuvenation of the Chinese nation. Some Western politicians are constantly attacking the CPC, trying to separate the Chinese people from the Party under the banner of values and human rights. Experts said the West's prejudice toward the CPC is based on its own narrow political philosophy. "They [Some Western politicians] do not understand that the CPC is a party of the masses, while the Western party belongs to the limited elite," Su said. China has over 91 million Party members, but most of them are ordinary people in various fields who play a vanguard and exemplary role, said Su. "They are not Western political bureaucrats, but members of the working people. This is why the CPC is so close to the Chinese people." Among the candidates, six fought to safeguard China's territorial integrity and sovereignty from the Chinese People's War of Liberation and the War to Resist US Aggression and Aid Korea, to the Sino-Vietnamese War and today's China-India border standoff. The CPC granting the July 1 Medals to them showed that the CPC has led the Chinese military to various successes in the past 100 years, and the leadership of the CPC is the fundamental reason for the PLA's historical achievements. Issuing the medals will also consolidate Chinese PLA soldiers' firm confidence in the CPC's leadership and inspire the soldiers to contribute more for a peaceful country and world, said Qian Feng, director of the research department at the National Strategy Institute at Tsinghua University. "Conferring July 1 Medals sends a strong signal to those anti-China forces that the Chinese PLA is capable of defeating invasions of all enemies and will follow CPC's leadership to resolutely safeguard sovereignty and China's development interests. What the anti-China forces try to incite is doomed to fail," he said. ^ top ^

China to support couples having third child (Xinhua)
2021-06-01
China will support couples who wish to have a third child, according to a meeting of the Political Bureau of the Communist Party of China (CPC) Central Committee held on Monday. Implementing the policy and its relevant supporting measures will help improve China's population structure, actively respond to the aging population, and preserve the country's human resource advantages, the meeting said. Xi Jinping, general secretary of the CPC Central Committee, chaired the meeting to hear reports on major policy measures to actively address the aging of the population during the 14th Five-Year Plan period (2021-2025). The meeting reviewed a decision on improving birth policies to promote long-term balanced population growth. China has a large population, and the aging of its population has been increasing in extent in recent years, the meeting said. According to the latest census data, Chinese people aged 60 or above accounted for 18.7 percent of the country's total population in 2020, 5.44 percentage points higher than that in 2010. China's increasing elderly population will reduce supply in the labor force while increasing the burden on families' elderly care and the pressure on the supply of basic public services, said Ning Jizhe, head of the National Bureau of Statistics. Chen Yuwen's phone kept ringing on Monday afternoon, as friends bombarded her with tons of messages about the third-child policy. "People knew that I wanted to have a third child, so they all came to tell me the good news," said Chen, 36, a mother of two in Shanghai. Her elder son is eight years old and her younger son is almost four. Chen used to be a project manager in a Fortune 500 company. After having her kids and putting time and passion into raising them, she started posting on the microblog Sina Weibo. She is now an influential figure on mother-child content with 2.4 million followers. Chen currently writes maternal and child-related content on Weibo. She once wrote on Weibo why she wants another baby. "Raising my second child gave me confidence," she said. "These two kids interact and bond with each other every day, which is precious." Chen said that when she and her husband grow old, the children can take care of each other. "The process of raising kids is not easy, but it is also a special, emotional and irreplaceable experience," she said. Chen Youhua, a sociology professor at Nanjing University, said the third-child policy is a swift move aimed at raising China's fertility rate. An increasingly elderly population will increase the cost of labor and the pressure on the social security net, therefore hurting the vitality of the economy and the momentum of economic growth, said the professor. "The new policy meets the needs of building a birth-friendly society. It will help make parents more willing and less concerned about having more children, and enable them to raise children well," he added. Monday's meeting also acknowledged the progress of major birth policies adopted by the Party's central authorities since the 18th CPC National Congress in 2012. China in 2013 allowed couples to have a second child if either parent was an only child, and in 2016 allowed married couples to have two children, phasing out the one-child policy. The meeting demanded efforts to implement a third-child policy in accordance with the law and to advance birth policies' alignment with relevant economic and social policies. Education and guidance should be provided to promote marriage and family values among marriage-age young people, the meeting said. Efforts are needed to improve prenatal and postnatal care services, develop a universal childcare services system, promote fairness in education, increase the supply of quality educational resources, and reduce family spending on education. China should also continue to implement its current reward and assistance system as well as preferential policies for families with one child and rural families with only two daughters who were born before the implementation of the two-child policy. The meeting urged efforts to deepen the national medium and long-term population development strategy and regional population development planning to promote long-term and balanced population development. ^ top ^

Southern China Faces Power Shortages and Factory Cutbacks (Caixin)
2021-05-30
Factories in South China's Guangdong province, a major manufacturing hub, were told by power suppliers to cut their electricity use by suspending operations as rising power consumption amid hot weather strained the region's power system. Since mid-May, 17 cities including Guangzhou, Zhuhai and Dongguan have imposed limits on power usage. A subdistrict office in Dongguan, home to thousands of factories manufacturing products from diapers to clothing to cell phone parts, said off-peak power consumption measures will last till the end of this year. Factories in some regions in Guangdong have to open four days and shut down three days every week. Power consumption surges have been caused by hot weather and a recovery in industrial activities after the Covid-19 pandemic. The electricity supply interruptions and resulting production cuts will put new pressure on the economic recovery. Neighboring Guangxi and Yunnan provinces also face power shortages. Between May 25 and 30, Guangxi province is expected to have maximum power demand of 27 million kilowatts, 11% more than supply capacity, according to a power supply plan issued by the industrial department. Yunnan, a big supplier of hydroelectricity, imposed limits on power supply since May 10, according to the energy bureau. Some electrolytic aluminum factories have faced production declines, Caixin learned. A circuit board manufacturer in Huizhou, Guangdong province, said it received notice from electricity supplier Monday that the power will be cut off during certain times three days this week, which will affect some order delivery. The company said it leased generators to continue operating. Guangdong is expected to have maximum power demand of 133 million kilowatts in May, as much as 11 million kilowatts more than supply capacity, Caixin learned. A severe shortage of water during the dry season in April and May also strains the production of hydro power. Water flow in the Lancang and Jinsha rivers, where there are major hydro power plants, is 20%–30% less than in the same period last year. Daily power production at the hydro plants is 20 million kilowatts less than expected capacity. Recent surging coal prices have also raised the cost of generating electricity at coal-fired power plants and limited their production. The price of Chinese 5,500 Kcal thermal coal rose nearly 60% to almost 1,000 yuan ($157) per ton in the past two months. At that price, plus other operating costs, coal-fired power plants can hardly make a profit, which has reduced their willingness to replenish coal stock, said Shi Dongsheng, market analyst at a coal-fired power plant in Guangdong. ^ top ^

Local officials face quandary after wild elephants make 400km 'exodus' in Yunnan (Global Times)
2021-05-30
Local authorities are tracking a herd of 15 wild Asian elephants in Southwest China's Yunnan Province as the animals migrate northward to urban areas. The elephants have travelled more than 400 kilometers, which is said to be a record journey, and local authorities have vowed all efforts to persuade these animals to return home. Starting from Yunnan's southernmost prefecture, their original habitat Xishuangbanna National Nature Reserve, the elephants wandered through the county of Eshan and entered the city of Yuxi, less than 50 kilometers from the provincial capital of Kunming, the Yunnan provincial forestry and grassland administration said on Saturday. Monitoring images showed that the herd includes six female adults, three male adults, three sub-adults, and three cubs. The herd's journey started on April 16. During the 40-day journey, the elephants damaged 842 mu (56 hectares) of crops and caused severe inconvenience for local people. No injuries or casualties were caused to local residents. The provincial forestry and grassland administration said on Friday that it would take a variety of measures to prevent the animals from moving north and gradually return them to their original habitats, which will be safer. Although Asian elephants rarely interact with human beings, in this case, people may be able to prevent the herd from entering the city and causing casualties. It would also be better for the elephants, Zhang Li, a field wildlife biologist and professor on mammal conservation at Beijing Normal University, told the Global Times on Sunday. "Elephants should be blocked from densely populated areas, for example with vehicles," Zhang said. "Sugar cane and salt can be used as bait to seduce the herd to take a U-turn." However, as the herd is far from its original habitat, it is uncertain that it will return along the same way, Sun Quanhui, a scientist from the World Animal Protection organization, told the Global Times. As for why the herd made its journey, the reduction of suitable habitat inside the former reserve is believed to be the root cause, ecologists noted. The number of Asian elephants in China has increased from about 170 in 1980 to today's 300, but the habitat area has decreased from 2,084 square kilometers in 1976 to less than 500 square kilometers in recent years. Unable to get enough food in the rainforest, the Asian elephants have to move to the edge of the forest and come to inhabited villages and farmlands in search of food, experts said. "Large-scale human engineering developments have exacerbated the 'islanding' of elephant habitats," Zhang said. "The traditional buffer zones between humans and elephants are gradually disappearing, and the chances of elephants' encountering humans naturally increase greatly." The expert said the recovery of the environment of the habitat is key to preventing any future elephant "exodus." ^ top ^

Xi stresses sci-tech self-strengthening at higher levels (People's Daily)
2021-05-29
President Xi Jinping on Friday called for accelerated efforts in building China into a leader in science and technology and achieving sci-tech self-reliance and self-strengthening at higher levels. Xi, also general secretary of the Communist Party of China (CPC) Central Committee and chairman of the Central Military Commission, made the remarks while addressing a meeting conflating the general assemblies of the members of the Chinese Academy of Sciences and the Chinese Academy of Engineering (CAE), and the national congress of the China Association for Science and Technology (CAST). Sci-tech self-reliance and self-strengthening should always be considered a strategic support for national development, he said. Xi said scientific and technological development must target the global sci-tech frontiers, serve the main economic battlefields, strive to fulfill the significant needs of the country and benefit people's lives and health. Scientists and engineers must closely follow current trends, take the initiative, confront problems head-on, and overcome difficulties, he added. Xi said the meeting is an important occasion to discuss the country's plans for promoting sci-tech innovation and development, as China is on a new journey to fully build a modern socialist country. On behalf of the CPC Central Committee, he extended congratulations to the meeting, and greetings to professionals serving at various sci-tech posts. […] Xi urged China's sci-tech professionals to assume the responsibilities of the times and strive for sci-tech self-reliance and self-strengthening at higher levels. Xi called for resolute efforts to achieve breakthroughs in core technologies in key fields. Sci-tech breakthroughs should tackle the most pressing issues with a focus on meeting the country's needs, both urgent and long-term, he said. Xi also called for enhancing the overall efficacy of the national innovation system, calling on national laboratories, national scientific research institutions, high-caliber research-oriented universities and leading sci-tech enterprises to shoulder their responsibilities in the drive. Xi stressed the need to advance the reform of the sci-tech system to form a basic system of supporting innovation in all aspects. The new system concentrating nationwide effort and resources on key national sci-tech undertakings should be improved in the context of the socialist market economy, while more autonomy should be given to research institutions, he said, adding that scientists must be further empowered to decide their technical routes and how to use research funds. Xi called for more participation in global sci-tech governance with a focus on issues such as climate change and human health, as well as more joint research and development with scientific researchers from other countries. China's science and technology should make greater contributions to building a community with a shared future for humanity, he said. In building a global center of talent, the country should strive to cultivate top sci-tech talent with global influence and more high-caliber technical and skilled professionals, he said. Highlighting the role of the two academies, Xi called on them to solve major original scientific problems and overcome challenges in core technologies in key fields that hinder China's development. Xi highlighted the duty of the CAST to rally sci-tech workers closely around the Party, urging the association to carry forward the spirit of scientists, and promote openness, trust, and cooperation with the international sci-tech community. "Members of the two academies are the treasure of the country, the source of pride of the people, and the glory of the nation," Xi noted, calling on them to respond to the Party's call, pursue excellence, and hold fast to academic morality and research ethics. Friday's event, attended by about 3,000 sci-tech professionals and officials, was presided over by Premier Li Keqiang, a member of the Standing Committee of the Political Bureau of the CPC Central Committee. Li Zhanshu, Wang Yang, Wang Huning, Zhao Leji and Han Zheng -- all being members of the Standing Committee of the Political Bureau of the CPC Central Committee -- also attended the meeting. Li Keqiang said Xi's speech made clear the major tasks in accelerating the building of China's sci-tech strength. The spirit of the speech must be thoroughly implemented. Chinese scientists were encouraged by Xi's speech. Liu Zhongmin, an academician of the CAE, said he expects a boom of innovation with more supporting policies rolled out. "Through self-reliance and self-strengthening, and by following the leadership of the Party, our country will make tremendous development achievements," said Wang Guodong, a professor at Northeastern University and also an academician of the CAE. "As a major country, China will contribute to humanity's wellbeing with its science and technology," Wang said. ^ top ^

 

Beijing

Beijing accelerates development of service trade, FTZ (Xinhua)
2021-06-02
Beijing municipal authorities are accelerating the development of the city's "two zones," introducing a slew of business-friendly policies and continuing the city's opening up to the outside world. The "two zones" refer to the pilot free trade zone and the national comprehensive demonstration zone for expanding opening-up in the service sector. In 2015, Beijing became the only pilot city in the country to open the service industry wider, and in 2020, the central government offered support for Beijing to become a national comprehensive demonstration zone of service industry opening-up. The China (Beijing) Pilot Free Trade Zone was officially unveiled in September 2020. Against this background, many policies have been formulated to encourage innovation and entrepreneurship, advocate opening-up in finance, and introduce talent, among others. Among the 251 policies for developing the "two zones," 140 policies had been implemented by the end of March 2021, including 12 pilot policies. Among the local enterprises benefiting from such policies is the Aircraft Maintenance and Engineering Corporation (AMECO) based in Beijing Capital International Airport, which makes good use of the city's new facility for one-day customs clearance in comprehensive bonded zones. Some airline companies outsource their engine maintenance, but maintenance enterprises on the Chinese mainland have to export engines to Hong Kong and then import them back again to claim for tax exemption, offset or refund, which is time-consuming and involves risks during transportation. To tackle this issue, the tax department and relevant local government coordinated to put forward a customs-clearance policy for tax exemption, offset or refund in comprehensive bonded zones, and it has already been implemented in the Tianzhu comprehensive bonded zone in Beijing's Shunyi District. Han Keping, deputy general manager of the finance department at AMECO, said, "Since the policy was launched, AMECO has saved about 8 million yuan (about 1.24 million U.S. dollars) in engine maintenance freight, and the maintenance cycle has been shortened by over 400 days. Our corporation also plans to further explore the tax-refund service concerning other air-materials." Favorable policies have taken shape in many other areas. In the financial sector, an RMB international investment-and-loan fund has been approved in Beijing. In the medical sector, the first eight pilot hospitals in Beijing providing medical services for foreigners are advancing real-time settlement with international insurance companies. Di Xia, a staff member at Beijing's first one-stop platform for services catering to international talent, said that the platform has enabled foreign workers to apply for Chinese work visas without bothering with trips to different offices like they used to. The policies for developing the "two zones" have helped improve their work efficiency, said Di. Set up in July 2020, the Chaoyang District-based one-stop platform was one of the landmark features of the "two zones" policies, integrating 120 service items of 19 functional departments, with applications for foreigners' work and residence permits handled in one place. Zhuang Rui, a professor at the University of International Business and Economics, said, "Beijing plays quite an important role in the opening-up of the service industry, and its pilot free trade zone is a great platform for exploration and innovation. The experience gained could be shared with the whole country." The policies have drawn many multinational companies to Beijing, including UBS Securities, the first foreign-funded securities institution in China, and a wholly-owned subsidiary of Fitch Ratings of the United States, as well as a wholly-owned entertainment agency of Avex Group, Japan's largest record company. According to the Beijing Municipal Commerce Bureau, the city got off to a flying start in utilizing foreign capital in the first quarter of this year. A total of 379 new foreign-funded enterprises were established, representing a year-on-year growth of 36.3 percent. The contracted foreign investment reached 9.63 billion U.S. dollars, up 1.3 times year on year. The actual utilization of foreign capital was 4.94 billion U.S. dollars, up 32.7 percent year on year. As an important platform for Beijing's opening-up, the 2020 China International Fair for Trade in Services continues its influence. Yan Ligang, director of the Beijing Municipal Commerce Bureau, said that trade exhibitions, forums and relevant events are held every month via the fair's online digital platform. The implementation of signed projects has been going well, and the organizing committee has continued to receive additional projects, involving 10 million U.S. dollars, according to Yan. The 2021 China International Fair for Trade in Services will be held in September in Beijing, local authorities said. The epidemic situation has not hindered the pace of China's opening-up to the outside world. Beijing has focused on the development of the "two zones" and is committed to opening up at a higher level and providing a more favorable environment for foreign enterprises to settle down in Beijing, according to municipal officials. ^ top ^

 

Shanghai

Shanghai doctor accused of malpractice hit with fine and suspension (Caixin)
2021-05-29
A Shanghai-based doctor who was previously accused of malpractice in cancer treatment has been punished by local health authorities with a six-month suspension and 30,000 yuan ($4,708) fine. Lu Wei, a deputy chief physician at the Xinhua Hospital Affiliated to Shanghai Jiao Tong University School of Medicine, failed to fill in medical records in accordance with regulations, according to a statement issued by the Shanghai health commission Monday. He also failed to fulfill his obligation to inform patients while providing medical and health services, the statement said. The statement comes after China's top health body launched an investigation of Lu after online whistleblower Zhang Yu, who identified himself as an oncologist at Peking University Third Hospital in Beijing, in an online post in April accused Lu of deceiving a patient with advanced gastric cancer into receiving an unapproved NK (natural killer) cell-based cancer immunotherapy. Zhang also claimed Lu used the "wrong treatment plan," which accelerated the patient's death and charged the family more than 10 times the price of standard treatments. The Xinhua hospital has been warned and fined 40,000 yuan by the Shanghai health authority due to inadequate medical quality management, according to a statement issued Tuesday. At the same time, authorities have confiscated illegal income worth 150,000 yuan from Shanghai Jiakang Bioengineering Co. Ltd., which illegally administered the NK therapy to Lu's cancer patient and is believed to have business links to Lu, and handed the company a fine of 1.5 million yuan for "practicing without a medical license," said a statement published by the Changning district government. Caixin previously learned Lu was once a shareholder of Shanghai Bokang Biotechnology Co. Ltd., whose legal representative Xu Yibing also represents Jiakang. According to the statement, Xu's beauty clinic in Shanghai was fined 3,000 yuan and its medical practice license was also revoked. On April 27, the National Health Commission announced the initial results of the ongoing investigation into Lu, saying the treatment process was "basically compliant" with the law and regulations. However, it remains unclear if there was any improper exchange of benefits in Lu's case. The commission has not yet disclosed further results. ^ top ^

 

Guangdong

Guangzhou races against mutant strains from India (People's Daily)
2021-05-31
Guangzhou, capital of South China's Guangdong Province, which records 90 percent of Chinese mainland's inbound international arrivals every day, is in a race against mutated virus strains from India, which have been found in 26 COVID-19 patients. Experts said that the appearance of the strains, which are more contagious and spread faster, to China's southern gate doesn't invalidate China's anti-epidemic policies, but reminds local authorities to act faster and devote more efforts to tracing real sources of infection and plugging loopholes. Starting from 10 pm on Monday, passengers leaving Guangzhou must present a negative nucleic acid test result taken within 72 hours, according to a latest notice issued by Guangzhou's COVID-19 epidemic prevention and control office on Sunday. The province previously weathered six rounds of locally transmitted outbreaks triggered by imported cases. These all had very short transmission chains and one generation of COVID-19 patients - thus, they were contained within a week. However, this wave of resurgence in the province, propelled by the mutated virus from India, has a much longer transmission chain and five generations of individual cases. "The rapid spread of the disease and the short intergenerational transmission time is signaling great threats posed by the mutated virus from India to Guangdong, which had been regarded as an exemplary place in handling the epidemic," Zhang Yuexin, a medical expert specializing in anti-epidemic prevention and control, told the Global Times on Sunday. This resurgence, which has spread beyond Guangzhou to the neighboring cities of Foshan and Maoming, had involved five local confirmed cases and 21 asymptomatic patients as of Sunday. It started on May 21. Guangzhou completed its first round of nucleic acid testing for 2.25 million residents on Saturday, with 20 people found to be infected with COVID-19 as of 2 pm on Sunday, said Chen Bin, a deputy director of Guangzhou Health Commission at a press conference on Sunday. The results of the detected gene sequencing in all of the infected patients in the latest outbreak were highly homologous, all from variants detected in India, Chen said. A 75-year-old female patient, surnamed Guo, living in Guangzhou's Liwan district was the first patient to be detected, but it didn't make her the original source of infection, as local health officials had said she may have become infected due to accidental exposure. Liwan issued a stay-at-home order for residents of the five most affected streets. The residents have been asked to stop all activities that are not necessary for daily life. The latest outbreak in Guangzhou has more prominent characteristics compared with previous ones - the variant is very infectious and its transmission rate is very high, according to Guangzhou local authorities. […] Escalating China's current anti-epidemic policies just to prevent mutated virus strains is not wise and could pose obstacles for normal economic communications when the real source of infections in this wave has not yet been identified, experts said. Liwan's two neighboring districts Yuexiu and Zhuhai, with populations of 1.2 million and 1.7 million respectively, both started mass nucleic acid testing on Sunday. The testing will last until Tuesday, according to official announcements. ^ top ^

 

Tibet

Tibet remains one of world's best regions in environment (Xinhua)
2021-06-03
Southwest China's Tibet Autonomous Region continues to be one of the best places in the world in terms of environment, maintaining a stable environmental quality last year, according to a report released Thursday. The water quality of major rivers and lakes remained good while the air quality of the region continued to be excellent in 2020, noted the report compiled by the region's ecology and environment department. By the end of 2020, Tibet had built 47 nature reserves measuring a total area of 412,200 square km, which accounts for more than one-third of the region's total. A total of 214 species of rare and endangered wild plants in the region are listed in the appendix of the Convention on International Trade in Endangered Species of Wild Fauna and Flora, the report noted, adding that the majority of the protected animal species has seen a significant recovery in their population. ^ top ^

 

Xinjiang

Accusation of forced labor in Xinjiang rejected as nonsense (China Daily)
2021-06-04
Industrial association leaders, scholars, and workers from Northwest China's Xinjiang Uygur autonomous region on Thursday denounced the accusation of forced labor in Xinjiang, saying the blame is groundless. It is absurd to put the "forced labor" label on the photovoltaic industry in the region, as the polysilicon production is technology- and capital-intensive instead of labor-intensive, Pan Cunxiang, secretary-general of the regional nonferrous metals association, told a press conference in Beijing. Arkin Shamshaq, vice dean of Xinjiang University's Law School, said that no country, organization, or person can subjectively assume whether the "forced labor" exists or not. "According to the definition from international conventions, legal provisions in China and the facts on the ground, there is no forced labor in Xinjiang. It is impossible for it to exist here," he said. Liu Qingjiang, vice president of an association of textile industries of Xinjiang, said advanced equipment and automatic devices have been widely adopted in textile companies in Xinjiang. "The newly-built intelligent manufacturing workshops in Xinjiang represent the highest level of the development of the industry in China. There is no so-called forced labor in Xinjiang," said Liu. Akbar Turahun, an employee of a textile company in Xinjiang's Aksu prefecture, said he was given a raise and also promoted to team leader in the company after working for two years. Akbar Turahun used to be a shepherd from a poor family. Now he and his wife, also an employee of the textile company, earn more than 8,000 yuan (about $1,520) a month. "We feel very happy now. We are determined to keep working hard in the company and plan to buy an apartment nearby," he said. ^ top ^

 

Hongkong

Organiser of Hong Kong's Tiananmen vigil arrested on June 4 anniversary on suspicion of promoting unauthorised assembly(SCMP)
2021-06-04
Police have arrested the vice-chairwoman of the Hong Kong Alliance in Support of Patriotic Democratic Movements of China, Chow Hang-tung, on suspicion of promoting the banned annual candlelight vigil marking the 1989 Tiananmen crackdown, according to a law enforcement source. Chow, who is in her 30s, was detained by officers from the New Territories South regional crime unit at about 7.45am on Friday in Lambeth Walk, Central. The source said the operation was ongoing and further arrests were expected. Chow, a barrister, is understood to have been detained under the Public Order Ordinance on suspicion of advertising or publicising a prohibited public assembly. The source said another man, a netizen in his 20s, was arrested in Sha Tin over the same offence. The Post has contacted the force for comment. The alliance earlier lost its bid to overturn a police ban on the June 4 event in Victoria Park, which was imposed for the second consecutive year citing Covid-19 restrictions. Chow wrote an opinion piece published on Friday in the Chinese-language Ming Pao newspaper that she "hopes to see your candlelight at 8pm tonight". Last Saturday she posted on social media that she would be at an unidentified location on June 4 to commemorate the Tiananmen crackdown. "In my personal capacity, at 8 o'clock on June 4, I will keep this promise that I've been keeping for 32 years and light a candle at a place where everyone can see," she wrote on Facebook. Following the ban, the alliance urged people not to gather at Causeway Bay's Victoria Park and also called off an online memorial for fear of breaching the Beijing-imposed national security law which came into effect last June. Alliance secretary Richard Tsoi Yiu-cheong said some of Chow's recent remarks "do not represent the alliance" but said they were finding ways to provide her with legal support. Tsoi told a Friday radio programme he planned to "light a candle tonight" at an undisclosed location to mark the 32nd anniversary of the crackdown. [more to follow] ^ top ^

 

Taiwan

Japan likely to defend Taiwan if Beijing makes moves, former US national security official Matt Pottinger says (SCMP)
2021-06-03
Tokyo would step up militarily to defend Taiwan if Beijing moved to reunify the island with mainland China by force, former deputy national security adviser Matt Pottinger said in a panel discussion on Tuesday with other top Trump administration officials. Pottinger, considered one of the key architects of the Trump administration's hardline China policies, said Japan first suggested a quadrilateral alliance with the US, India and Australia – now known as the "Quad" – as a defence strategy against China. He also pushed back on assertions that the former administration strained ties with Japan and other allies in the region. "Some of the key pillars of our strategy in the Indo-Pacific region were ideas that we borrowed and adapted and shared and collaborated on with Japan," Pottinger said in a panel discussion featuring former secretary of state Mike Pompeo and former national security adviser Robert O'Brien, called a "Seminar on Conservative Realism and National Security on US-Japan Relations". "So the whole idea of a quadrilateral format is an idea that [former Japanese prime minister Shinzo Abe] came up with during his first stint as prime minister" in 2006 and 2007, Pottinger said. "The idea of a free and open Indo-Pacific, that concept that, that catchphrase, we consciously adopted it and adapted it from the minds of our closest allies in Japan." Japan likely to defend Taiwan if Beijing makes moves, says ex-US national security official Japan likely to defend Taiwan if Beijing makes moves, says ex-US national security official "There's a saying in the Japanese military: 'Taiwan's defence is Japan's defence.' And, and I think that Japan will act accordingly," Pottinger added. His comments in the discussion organised by the Nixon Foundation in California came amid a series of incursions by Chinese warplanes into Taiwan's southwest air defence identification zone, and follows the inaugural meeting in March of the heads of state from each of the Quad countries. In that virtual meeting, US President Joe Biden, Japanese Prime Minister Yoshihide Suga, Indian Prime Minister Narendra Modi and Australian Prime Minister Scott Morrison discussed "aggression" and "coercion" against members of the group by China and issued a statement calling for the region to be "anchored by democratic values", and for freedom of navigation and overflight as key objectives. Reflecting the overall continuity between administrations on China policy – as well as broad bipartisan consensus in the US about the country – Pompeo and O'Brien offered somewhat supportive comments about the way Biden has taken negotiations with the Quad forward. Leaders of the Quad countries "were looking at the United States very clearly and could see that there was a time limit to an administration, and I think they wanted to see that this was going to be an enduring set of policies that wouldn't change as administrations changed", Pompeo said. "I hope the next administration – they've said good things about this, they've applauded regularly, one of the few things they've given the Trump administration some credit for – I hope they'll seriously work to go build this out," he added. O'Brien, meanwhile, called Biden's approach to the alliance "positive". "The initial soundings from … the Biden administration are very positive when it comes to the Quad and strengthening those relationships," O'Brien said. "I hope they follow through, and I wish them luck on that front and Godspeed in that endeavour because it's a very powerful group." In his defence of the Trump administration's foreign policy, Pottinger criticised unspecified media for perpetuating a "myth … that somehow the Trump administration had badly strained our alliances in the Indo-Pacific region", pointing out that Pompeo led the first cabinet-level Quad meeting in October 2020. US delegation visits Taiwan as Beijing warns of military action against the island "I've never seen an empirical fact produced to suggest that our alliances did anything other than strengthen over the course of the Trump administration," he said. "Vietnamese officials told me regularly that the relationship had never been better. Officials in Taiwan told me the same thing, career officers in Australia, and most of all in Japan." However, Trump frequently tied Washington's continued defence arrangements with Japan and South Korea to increased outlays by the two governments for US troops stationed in those countries. In 2019, Trump insisted that South Korea and Japan quadruple their payments for US military deployments in their countries to roughly US$5 billion and US$8 billion, respectively. Fallout from the demands became apparent when a US delegation to Seoul cut short talks over how to share the costs after the South Korean government balked at accepting Trump's unexpected demands. Kyodo news agency reported at the time that Japanese officials told then-national security adviser John Bolton that the increase was "unrealistic". ^ top ^

 

Economy

China Calls 8 More Sharing-Economy Companies on the Carpet (Caixin)
2021-06-04
China's market regulator called eight more sharing-economy companies on the carpet Thursday, warned them against unclear pricing and ordered them to enhance compliance awareness and standardize pricing and competitive practices. The companies include three bike-sharing platforms — Alibaba-backed HelloBike, car-hailing giant Didi Chuxing's bike-sharing arm Qingju and Meituan — and five companies that rent power banks, or portable electrical charging devices for cell phones. The companies were told to make rectifications according to pricing and anti-monopoly laws and submit a report within 30 days, the State Administration for Market Regulation (SAMR) said. It was the second such order for sharing-economy companies in less than a month. On May 14, the SAMR and the transport ministry summoned executives of Didi Chuxing, Meituan and eight other leaders in on-demand transport and ordered them to halt practices ranging from arbitrary price hikes to unfair treatment of drivers. After aggressively expanding market coverage through low prices, bike-sharing platforms and power bank rental companies are under pressure to make profits. Complaints about price increases and unclear pricing have emerged this year. Some power bank rental companies charge different fees at different times during the day and prices at different locations of a city also vary. China's sharing economy is expected to grow 10%–15% in 2021 from 3.38 trillion yuan ($527.7 billion) in 2020, according to a report on by the State Information Center. ^ top ^

China digital currency: Hong Kong, Shenzhen proposed as 'expressway' for cross-border financial innovation (SCMP)
2021-06-02
A senior central bank official has proposed establishing a controlled environment known as a "regulatory sandbox" to test China's digital yuan and push greater capital account convertibility between Shenzhen and Hong Kong. The proposal from Xing Yujing, president of the People's Bank of China's Shenzhen branch, comes as Beijing accelerates promotion of its sovereign digital currency, the so-called Digital Currency Electronic Payment (DCEP), and takes careful steps to allow freer capital flows into and out of the country. "We can explore allowing market entities with strong cross-border financial demand and risk control capability to use digital renminbi in a convertibility pilot," she said last week in an interview with Outlook Weekly, a publication under the official Xinhua News Agency. Chinese authorities exercise tight control of capital flows and only allow mainlanders to buy securities in Hong Kong through the connect programmes. But the establishment of a regulatory sandbox, in which financial institutions and fintech companies can experiment with innovative products in a supervised environment, could create an "expressway of cross-border financial innovation" between the two cities, Xing said. The convenience of the digital currency will help promote yuan convertibility and greater use internationally, Xing added. Its ability to support "smart contracts", which are recorded on a digital ledger, and real-time monitoring will also help prevent risks. Shenzhen, a technology hub just over the border from Hong Kong, has long been viewed as a strong candidate to pilot freer cross-border flows. The city, which is home to tech giants such as Tencent and Huawei Technologies Co., has been at the forefront of testing for the digital currency, which is being trialled in 11 pilot areas and cities, as well as venues at next February's Beijing Winter Olympics. Local authorities have distributed 60 million yuan (US$9.4 million) via "red packets" – gift envelopes traditionally given out during holidays and special occasions – to 750,000 residents. Hong Kong, meanwhile, is a major offshore yuan trading centre and financing hub for the Belt and Road Initiative. It is a key part of the Greater Bay Area development blueprint in which Shenzhen is earmarked to be a fintech centre. In April, China's central bank said it had begun technical testing with the Hong Kong Monetary Authority for cross-border use of the digital yuan and transactions can begin to be settled "when conditions are ripe and market demand calls". Hong Kong residents can already use their phone number or identity card to open a digital yuan wallet for use in the mainland. Despite its potential to boost international use of the yuan, the DCEP was not designed to replace the US dollar in international payments, but rather modernise domestic payment systems, according to former PBOC governor Zhou Xiaochuan. "It will certainly help cross-border yuan usage, but not significantly," he told a forum in Beijing last week. "Yuan internationalisation will depend more on policy choices and the progress of China's reform and opening-up, not just technical factors." He Ping, chair of the finance department at Beijing's Tsinghua University, said authorities must have a clear plan for application of the digital yuan, including in international payments. "It can't be pushed forward blindly," he told a panel discussion at the International Finance Forum in Beijing on Sunday. In terms of global payments, the yuan still has a long way to go to catch up with other major international currencies. It was the sixth most used by value in April, accounting for 1.95 per cent of transactions worldwide, compared to 39.77 per cent for the US dollar and 3.45 per cent for Japanese yen, according to the Belgium-based SWIFT financial messaging service. ^ top ^

Rapid appreciation of RMB unsustainable: senior researcher (Xinhua)
2021-05-31
The rapid appreciation of the RMB is unsustainable, and also not in line with the domestic and international economic and financial situation, a senior Chinese researcher and former central bank official told Xinhua on Sunday. The current rapid appreciation of the Chinese yuan against the U.S. dollar may have overshot, said Sheng Songcheng, professor of economics and finance with China Europe International Business School and former director of the surveys and statistics department at the People's Bank of China (PBOC). The U.S. dollar index has fallen by 2.2 percent in the past month and a half, while the euro has strengthened against the greenback by 2.3 percent and the Japanese yen has weakened by 0.4 percent, but the RMB has appreciated by 2.9 percent, said Sheng. The U.S. dollar index is less likely to decline further, and the exchange rate of the RMB against the U.S. dollar should also be relatively stable according to market rules. But the RMB exchange rate has hit record highs recently, jumping above 6.4 to the greenback, which indicates that there is an overshoot in the market, Sheng said. Sheng predicts that the rapid appreciation of the RMB is unsustainable, as the U.S. economy is expected to rebound in the second half of the year, and the U.S. dollar may strengthen accordingly, while the narrowing interest spread between China and the United States may weaken the momentum of hot money influx. Meanwhile, the strengthened RMB cannot offset price hikes for bulk commodities, and it cannot be used as a tool, said Sheng, noting that the RMB exchange rate overshoot is only short-term speculation. China encourages long-term capital investment, but it should prevent a large inflow of short-term capital, which will push up the RMB exchange rate, weaken the competitiveness of export enterprises and disrupt the independent implementation of China's financial market and monetary policy, said Sheng. China has sufficient policy tools to use, Sheng said. Since October last year, the PBOC has adopted policies and reforms on the basis of supply and demand in the foreign exchange market to guide the basic stability of the RMB exchange rate at a reasonable and balanced level. The foreign exchange risk reserve ratio for forward foreign exchange trading has been lowered from 20 percent to zero since Oct. 12 last year, while some banks have phased out the use of the "counter-cyclical" factor in the pricing mechanism of the yuan's central parity rate against the greenback since Oct. 27 last year. Besides these moves, the central bank can take other macro-prudential adjustment measures to maintain the two-way balanced flow of cross-border funds, he said. The central bank has improved a managed floating exchange rate regime based on market supply and demand and with reference to a currency basket, and this regime is suitable for China's national conditions at present and for a long time to come, he noted. The central bank has reiterated efforts to be firm with the floating exchange rate regime, appropriately guide market expectations, give full play to the role of the exchange rate as an automatic stabilizer in adjusting macro economy and international payments, and keep the RMB exchange rate basically stable, he said. Sheng said he believes the central bank will focus on the guidance of market expectations, while the trend of the RMB exchange rate will continue to depend on market supply and demand, as well as changes in the global financial market. ^ top ^

 

DPRK

China, DPRK vow to enhance traditional friendship (Xinhua)
2021-05-28
China and the Democratic People's Republic of Korea (DPRK) will enhance traditional friendship and promote bilateral ties, said officials from the two sides. The remarks were made as Chinese State Councilor and Foreign Minister Wang Yi met with DPRK's new ambassador to China Ri Ryong Nam Thursday in Beijing. Wang welcomes the ambassador to take up his new post in China, adding that China is willing to work with the DPRK to implement the important consensus of the leaders of the two countries, better benefit the two peoples, and make positive contributions to regional peace and stability. China stands ready to maintain high-level strategic communication with the DPRK, actively promote pragmatic cooperation in various fields, and jointly hold events to celebrate the 60th anniversary of the signing of the Treaty of Friendship, Cooperation and Mutual Assistance Between China and the DPRK, Wang said. He said China firmly supports the DPRK in developing its economy and improving people's livelihood, and is willing to continue to provide the DPRK with assistance within its capacity. Hailing the great achievements of China's socialist cause, Ri Ryong Nam said the DPRK is willing to work with China to boost mutually beneficial cooperation and solidarity in the process of jointly advancing the cause of socialism. The two sides also exchanged views on the situation on the Korean Peninsula and agreed to strengthen coordination and cooperation in this regard. ^ top ^

 

Mongolia

Export credit agreement signed (Montsame)
2021-06-03
Ms. Battungalag Gankhuurai, Ambassador of Mongolia to the Republic of Austria and Ms.Mary-Ann Hayes, Head of Structures Trade and Export Finance, UniCredit Bank as well as Ms.Doris Pignitter, Director for Organized Trade and Export Finance, UniCredit Bank, signed the Export Credit Agreement for the 'Upgrading of Medical Equipment and Capacity at the Central Military Hospital' project with a value of 8 million euros on June 2, 2021 in Vienna. The project will be implemented within the framework of the Financial Cooperation Agreement signed between the Government of Mongolia and the Government of the Republic of Austria in 2019. AME International, Austrian company, will provide services for renovation of operating rooms, upgrading equipment for surgical operation, sterilization, intravenous therapy and human resource capacity building of the Central Military Hospital. Moreover, more than 40 types of medical equipment and surgical instruments will be supplied within the framework of the project. ^ top ^

Minister of Foreign Affairs B.Battsetseg begins her working visit to Russia (Montsame)
2021-05-31
Starting from May 30, Minister of Foreign Affairs B.Battsetseg is currently on a working visit to the Russian Federation at the invitation of Russian Minister of Foreign Affairs S.V.Lavrov. Upon entering the country's border through the Altanbulag-Khiagt border checkpoint, the delegation led by Minister of Foreign Affairs B.Battsetseg was received by Minister of Culture of the Republic of Buryatia of the Russian Federation S.B.Dagaeva and Minister in charge of cooperation with Mongolia D.Sh.Chiripov. After getting acquainted with the renovation works being carried out at the Khiagt border checkpoint, the Minister also became acquainted with the 'Mongolia-Russia Friendship Museum' and the Damdin Sukhbaatar House Museum, paying respect by laying flower wraiths at his statue. First Deputy Chairman of the Government of the Republic of Buryatia V.V.Mukhin received the delegation led by Minister of Foreign Affairs B.Battsetseg in the city of Ulan-Ude, discussing bilateral cooperation. In the framework of the visit, the Foreign Minister will hold talks with her Russian counterpart S.V. Lavrov and exchange views on a wide range of issues of bilateral cooperation. Furthermore, she will participate in some events to be organized in Moscow and Saint Petersburg on the occasion of the 100th anniversary of the establishment of diplomatic relations between Mongolia and Russia. Following the visit, Minister B.Battsetseg will also take part in the St. Petersburg International Economic Forum, where she will have several meetings with Russian officials. ^ top ^

 

Embassy of Switzerland
 

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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