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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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  4-8.6.2018, No. 721  
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Foreign Policy

Xi urges enhanced Kazakh ties (China Daily)
2018-06-08
China and Kazakhstan should enhance the connection of their development strategies and boost cooperation in such areas as the economy, trade, energy and finance, President Xi Jinping said on Thursday. Xi made the remark while meeting with Kazakh President Nursultan Nazarbayev at the Great Hall of the People in Beijing. Nazarbayev will attend the Shanghai Cooperation Organization Summit to be held in Qingdao on Saturday and Sunday. Witnessed by the two leaders, China and Kazakhstan signed a number of cooperation documents covering areas such as finance, e-commerce, customs and production capacity. Xi told his Kazakh counterpart that since he put forward the proposal of building the Silk Road Economic Belt during his state visit to Kazakhstan five years ago, the Belt and Road Initiative has yielded fruitful outcomes. The initiative, which has met the related countries' practical needs for economic development, has become an important approach to building a community of a shared future for mankind, Xi said. Belt and Road cooperation between China and Kazakhstan has entered a new stage of deep integration, and the two nations should enhance policy coordination and implement cooperation plans, Xi added. During the talk, Xi mentioned his state visit to Kazakhstan last year, saying that the important consensuses reached by the two sides have been implemented. Since the establishment of diplomatic ties, China-Kazakhstan relations have progressed at a high speed, with frequent high-level exchanges and enhanced political trust, Xi said. The two nations have achieved fruitful outcomes in jointly building the Belt and Road, enhanced their close coordination on global affairs, and supported each other on issues related to core national interests, Xi said. Noting that he is confident of the future of China-Kazakhstan relations, Xi said that it's the common wish of both sides to deepen cooperation in all areas. Xi mentioned his proposal of building a community of shared future for mankind, saying that the proposal has been enshrined in the documents of the United Nations and accepted by more and more countries. China would like to take further steps together with Kazakhstan to jointly build a community of shared future for the mankind and contribute wisdom and strength to the future of the mankind, Xi said. Hailing Kazakhstan as an important neighbor of China as well as a major country with regional influence, Xi said that China-Kazakhstan relations have set a model for friendship among neighboring countries. Nazarbayev spoke highly of Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era, saying that it is fundamental for China's development. Kazakhstan firmly upholds the one-China policy, and the nation will resolutely fight the "three evil forces" of terrorism, extremism and separatism, Nazarbayev said. Mentioning that China has respected the sovereignty and territorial integrity of Kazakhstan, Nazarbayev said that the people of Kazakhstan will never forget China's support for his country. China is a major trade partner of Kazakhstan, and bilateral trade increased by more than 30 percent last year, Nazarbayev said. ^ top ^

Xi, Putin to headline SCO (Global Times)
2018-06-06
The summit between Chinese President Xi Jinping and Russian President Vladimir Putin will inject new impetus into bilateral relations, and substantially push forward projects of the Silk Road Economic Belt and the Eurasian Economic Union (EAEU), Chinese observers said on Wednesday. Putin is scheduled to pay a state visit to China from Friday to Sunday and to attend the 18th Shanghai Cooperation Organization (SCO) Summit, Chinese Foreign Ministry spokesperson Hua Chunying said at a press conference on Tuesday. It will be Putin's first visit to China since winning a fourth term as president and the first meeting with Chinese President Xi Jinping this year, Hua said. Xi and Putin have maintained very "active contacts" over recent years, Russian news agency TASS reported on Monday, citing Kremlin aide Yuri Ushakov who said the two leaders met five times in 2017 and have met 25 times over the years. Chinese observers hailed the direct contact between the two leaders, saying that as the top architects in their respective countries they fully exercise their "strategic guidance" role during the frequent summits they have attended. "Head-of-state diplomacy is the most advanced form of diplomacy, and close personal relations between Xi and Putin are a sign of an extremely high level of mutual trust between the two countries," Li Xing, director of the Eurasian Studies Center at Beijing Normal University, told the Global Times on Wednesday. Jiang Yi, deputy director of Russian studies at the Chinese Academy of Social Sciences, said the frequent meetings between the leaders "constantly inject impetus into the development of bilateral relations between China and Russia." Xi and Putin are scheduled to meet privately, participate in the SCO summit, hold a joint press conference and attend signing ceremonies and cultural activities. They will exchange views on bilateral relations, key areas of cooperation and other international and regional issues of common concern, said Hua. The two sides are expected to issue important political documents and sign a series of cooperation agreements in various fields, said Hua. According to TASS, China is Russia's top foreign trade partner, accounting for 15 percent of Russia's total foreign trade, with bilateral trade growing by 31.5 percent in 2017 to $87 billion. The Xinhua News Agency reports trade continued to expand rapidly in the first quarter of 2018 with a year-on-year increase of nearly 30 percent. China-Russia trade is likely to exceed $100 billion this year, said the Ministry of Commerce in April, according to a Xinhua report. "Clearly, both leaders are working on transforming the political mutual trust into higher level cooperation on trade," Li said. An agreement on trade and economic cooperation was signed between the EAEU and China in Astana on May 17, marking an important step in linking the Eurasian Union and the Silk Road Economic Belt, which is part of the China-proposed Belt and Road initiative, TASS reported. Li described the prospect of economic and trade cooperation between the two countries as "promising," saying that "besides traditional sectors of energy and outer space, more state-level projects will emerge to include new transportation infrastructure projects." The 18th SCO summit will be held in the eastern coastal city of Qingdao on Saturday and Sunday. It will be the first for India and Pakistan as full members, after their status was elevated at the Astana summit in Kazakhstan last year. The eight full members of the SCO are China, India, Kazakhstan, Kyrgyzstan, Pakistan, Russia, Tajikistan, and Uzbekistan. "Against the backdrop of US Donald Trump administration's 'anti-globalization' tendency and UK's Brexit in Europe, the SCO has become more influential on the world stage with its value and principle, known as the Shanghai Spirit, increasingly acknowledged and appreciated by Eurasian countries in the region," Li said. The Shanghai Spirit features mutual trust, mutual benefit, equality, consultation, respect for cultural diversity and the pursuit of common development. China and Russia are the main engines of the SCO, and their cooperation will benefit regional and world stability and prosperity, Jiang said. ^ top ^

Vietnamese see special economic zones as assault from China (SCMP)
2018-06-07
The Vietnamese government is confronting a rising tide of public anger as its parliament debates a controversial bill to create three new special economic zones (SEZs), raising fears of Chinese encroachment on Vietnamese soil. Although Vietnam already has 18 SEZs, the new concerns largely stem from a provision that would allow 99-year leases in some cases within the three new zones in Quang Ninh and Khanh Hoa provinces, as well as on Phu Quoc Island. The bill does not explicitly mention any particular country but it is widely presumed China, Vietnam's largest trading partner, would dominate investments in the SEZs. Attempting to allay concerns, Prime Minister Nguyen Xhan Phuc announced on Thursday the government would adjust the 99-year time frame but did not elaborate. "In recent days, we have listened to a lot of intellectuals, the people, members of the National Assembly, senior citizens and overseas Vietnamese," Phuc said. Nguyen Chi Tuyen, a Hanoi-based dissident blogger with 42,500 Facebook followers, said he rarely saw such public interest in the National Assembly, a legislature that usually acts as a rubber stamp for the Communist Party's Central Committee. "This time they've got a lot of attention from the people, not just activists or dissidents but the normal people," he said, adding that anti-China sentiment has fuelled anger. He was unimpressed by Phuc's pledge to adjust the 99-year lease provision. "It's not how long, but this is one kind of selling our land to foreigners under the so-called SEZs," Tuyen said. With popular Vietnamese anger towards China simmering over Beijing's maritime claims in the South China Sea, Le Dang Doanh, a retired senior economic adviser to the government and member of the Communist Party, said he fears an explosive response from the public should the bill pass. That the proposed SEZ in Quang Ninh province is not far from China's Guangxi autonomous region is of particular concern, he added. "If now the Chinese occupy the three special economic zones, especially the one in Quang Ninh, it will trigger a very strong reaction from the Vietnamese people," said Doanh, adding that he had signed a petition asking to postpone passage of the law. Tuyen said the South China Sea dispute, along with memories of the 1979 border war, run deep in the national psyche, making SEZs viscerally unpopular. "We have a long history with the Chinese people, they always want to invade our country, so it is dangerous to allow them to use these SEZs to control our country," he said. In recent years, the maritime dispute has prompted rare public protests in the one-party communist state. Demonstrations turned violent in 2014 following China's deployment of the Hai Yang Shi You 981 oil rig in the South China Sea, with at least 21 killed and 100 injured in clashes targeting Chinese-owned factories, although many were owned by firms from other countries. The government has since cracked down on anti-China protests, but it remains publicly opposed to the nine-dash line and China's presence in the Paracels and Spratlys. At the most recent Ministry of Foreign Affairs press conference on May 31, spokeswoman Le Thi Thu Hang referred to Chinese military drills on the Paracel Islands as "a serious violation of Vietnamese sovereignty". Nguyen Quang A, a retired banker and prominent pro-democracy activist, said the government must guard against suspicions it has become too cosy with fellow communists to the north. "There are a few issues which are very dangerous for the legitimacy of the Communist Party in Vietnam, and that is one," said Quang A, himself a former party member. ^ top ^

Sri Lanka pushes forward plans for Chinese investment zone in controversial port (SCMP)
2018-06-07
Sri Lanka's cabinet has approved a proposal for Singapore-based urban planning consultancy Surbana Jurong, owned by state investor Temasek Holdings, to draw up a plan for a Chinese investment zone in the country's southern port city of Hambantota, a government spokesman said on Wednesday. The move comes after a delay of more than 18 months in starting the Chinese investment zone around Hambantota port, which is on a long-term lease to a Chinese state company. China has invested billions of dollars building ports, roads and power stations in the island nation just off the southern toe of India as part of its Belt and Road Initiative to increase its trade and other connections across Asia and beyond. But concerns have grown that such investments could drive the country of 21 million people deeper into debt and undermine its sovereignty, prompting greater scrutiny of deals with China. Residents clashed with police who used tear gas and water cannon to disperse hundreds of stone-throwing demonstrators protesting against the planned investment zone around Hambantota when it was launched in January 2017. The government later said it would look for land in adjoining districts for the 15,000 acre (60.7 square km) zone originally planned, but the deal was delayed by local protests. Cabinet spokesman Gayantha Karunatileka said a "Sri Lanka-China supplies and industries zone" will be established in three stages in Hambantota and the adjoining district of Monaragala. An official document showed the government had reduced the size of the zone, managed by the China Harbour Engineering Corporation, to 12,500 acres. It also showed the Chinese firm had already appointed Surbana Jurong to draw up the plans for the first two phases of the zone which will include social infrastructure such as housing and schools. Surbana Jurong has already completed two master plans for Sri Lankan government. Chinese debt-financed infrastructure interest in Sri Lanka has made some countries, including India and the United States, concerned due to Sri Lanka's proximity to shipping lanes through which much of the world's trade passes en route to China and Japan. The countries also have raised concerns over the possible presence of Chinese military in Sri Lanka. The Chinese embassy in Colombo has rejected the claims of a military presence on the island. Sri Lanka's foreign debt rose nearly 17 per cent to 4.72 trillion rupees (US$30 billion) last year, a fifth of that coming from loans from China to finance the construction programme. ^ top ^

Premier Li congratulates Italy's new prime minister (China Daily)
2018-06-07
Premier Li Keqiang extended his congratulations to Giuseppe Conte for assuming office as the new Italian prime minister on Thursday. In his congratulatory message to Conte, Li said China and Italy have made productive outcomes in exchanges and cooperation in trade, investment, technological innovation, culture and education, with good momentum for the development of bilateral ties and increasing political trust in recent years. Those have benefited people from both sides, he said. Li said China attaches great importance to the relations with Italy and is willing to work with the European Union country's new government to further consolidate traditional friendship, further align the Belt and Road Initiative with Italy's development strategy, enhance policy coordination, strengthen practical cooperation and promote the comprehensive strategic partnership to a higher level. ^ top ^

China 'removes missile systems' from disputed South China Sea island – but sends warning to US (SCMP)
2018-06-07
Beijing seems to have removed missile systems from a disputed island in the South China Sea, although US defence officials and experts said the disappearance was likely to be only a temporary arrangement, amid rising tensions between the two countries. Satellite imagery and new analysis from Israeli intelligence firm ImageSat International (ISI), dated June 3, suggested the Chinese surface-to-air missile systems on Woody Island, in the Paracel Islands, may have been removed or relocated. Beijing-based naval expert Li Jie said it would not be the first time that Beijing had removed its HQ-9 missiles. The last removal took place in July 2016, just two days before the Permanent Court of Arbitration in The Hague rejected Beijing's claims over the South China Sea. But he said removals had also be made for maintenance purpose. "Because of the humid weather, plus a recent typhoon in the region, it is likely that those systems needed to be temporarily removed for repair or to have some of the parts replaced," said Li. The development came after Beijing criticised the United States for sending two nuclear-capable B-52 bombers to fly over the disputed Spratly Islands. Satellite imagery and new analysis from Israeli intelligence firm ImageSat International (ISI), dated June 3, suggested the Chinese surface-to-air missile systems on Woody Island, in the Paracel Islands, may have been removed or relocated. Beijing-based naval expert Li Jie said it would not be the first time that Beijing had removed its HQ-9 missiles. The last removal took place in July 2016, just two days before the Permanent Court of Arbitration in The Hague rejected Beijing's claims over the South China Sea. But he said removals had also be made for maintenance purpose. "Because of the humid weather, plus a recent typhoon in the region, it is likely that those systems needed to be temporarily removed for repair or to have some of the parts replaced," said Li. The development came after Beijing criticised the United States for sending two nuclear-capable B-52 bombers to fly over the disputed Spratly Islands. Meanwhile, two US defence officials were quoted by CNN as saying that it was very unlikely China had totally removed the missile system. Instead, the US has assessed that the Chinese have probably concealed them inside buildings. The report also quoted the intelligence firm as saying that the removal was likely to be temporary. "On the other hand, it may be a regular practice," ISI said. "If so, within the next few days we may observe a redeployment in the same area." Other analysts agreed, saying it could be because the missiles were not suited to deployment where they might be vulnerable to salt water damage, and therefore required replacement or repair, said the report. Li said that the extent of the maintenance work they needed would also be a factor in how long the missiles were removed for. "[A redeployment] would happen much faster if it's just to change some small parts," he said, "But if the whole system needs to be replaced, then it would take much longer because it needed to be shipped back to places like Hainan for replacement." Ni Lexiong, a naval expert with Shanghai University of Political Science and Law, agreed that the arrangement was likely to be temporary. "With the increasingly tense relations between the two countries, it's understandable that we make a little gesture of compromise," said Ni. "It's not wise for China to directly confront the US. We shall decide later [on possible redeployment] after the tensions go down. "It's better that we make three steps forward and two steps back, because both sides are still restrained and neither side wants to go to war." ^ top ^

Ministry gets no word from US on consulate illness (China Daily)
2018-06-08
The Foreign Ministry confirmed on Thursday that Washington "has not made official contact" with Beijing over US officials' claims that more US citizens have fallen ill and were taken home after hearing strange noises in Guangzhou. Last month, China said it found no evidence connected to what officials from the United States described as abnormal sound and pressure reported by an unnamed US citizen assigned to the US consulate in Guangzhou. On Wednesday, The New York Times quoted officials as saying that the State Department has evacuated at least two more US citizens working at the consulate in Guangzhou who fell ill after hearing strange noises. In response to the US media report, Foreign Ministry spokeswoman Hua Chunying said Washington has not officially contacted Beijing and has not made any related requests over the latest development. Hua said she learned about the latest development through media reports and did not have details. China will conduct necessary investigations in a responsible and earnest manner if the US directly contacts China through official channels, Hua said at a news conference in Beijing. Hua said China has investigated in a very responsible way the previous case, reported last month about the US consulate employee, and has provided feedback to the US. So far, China has not found any causes or clues to the situation described by the US, Hua said. ^ top ^

105 Chinese deported by Indonesia for telecom fraud (Global Times)
2018-06-07
Some 105 suspects involved in 10 million yuan ($1.5 million) of telephone scams, texting tricks and online fraud flew into Tianjin airport after being deported from Indonesia, municipal police said Thursday. The two planes, carrying suspects linked to over 200 criminal cases in provinces and cities across China, arrived at Tianjin Binhai International Airport on Wednesday night, according to an official Sina Weibo microblog statement published by Tianjin's public security bureau. In May, the Ministry of Public Security sent a Tianjin police team to Indonesia to work with Indonesian police in targeting and breaking three dens of telephone scam artists situated on Bali Island. Southeast Asian countries including Myanmar and Cambodia are popular destinations for Chinese scamsters. In 2017, the ministry assigned 17 squads to more than 20 foreign nations to bust about 1,000 telecom and online fraud suspects, the Xinhau News Agency reported. A total of 128 telecom fraud dens were cracked. Domestically, more than 780,000 telecom and online fraud cases were busted in 2017 involving more than 47,000 criminals, up 55.2 percent compared with the previous year, Xinhua said. Losses of 300 million yuan ($47.3 million) were retrieved and given back to victims in 2017, according to the report. Cross-border fraud groups are strictly organized and concealed. Moving their operations overseas increases the challenge for China's law enforcement authorities. ^ top ^

CIS leader expects further cooperation with SCO (Global Times)
2018-06-07
The Commonwealth of Independent States (CIS) is ready to strengthen partnership with the Shanghai Cooperation Organization (SCO), said Chairman of the CIS Executive Committee Sergei Lebedev. Lebedev made the remarks in an interview with Xinhua before traveling to Qingdao, China's eastern Shandong Province, to participate in an SCO summit scheduled for June 9 and 10. In his view, the coming SCO summit will "undoubtedly" become one of the most important political events not only for Eurasia but also for the whole world. "I think that this event is intended again to emphasize the role of the SCO as one of the main pillars of the emerging multipolar world," Lebedev said. Cooperation between the CIS and the SCO is based on the memorandum of understanding signed on April 12, 2005 between the SCO Secretariat and the CIS Executive Committee, he said. "In my opinion, there are great opportunities for further building up practical ties between the two organizations. The most relevant area is security, countering modern challenges and threats," he said. Lebedev said it is also important to ensure coordination of the SCO and CIS activities in the implementation of mutually beneficial projects and the development of trade ties. "In the last few years, a great potential for cooperation has been found in the rapidly developing areas, such as e-commerce and trade in services. There are big opportunities in the humanitarian sphere as well," he said. The CIS-SCO cooperation should be carried out on the basis of bright and clear principles: mutual trust and equality, open discussion of any problems, and consideration of each other's interests, he said. "The overall strategic goal is to ensure stability and security, promote sustainable social and economic development while preserving the national and cultural identity of each of the participating countries," he said. The CIS was founded in 1991 as a regional association of former Soviet republics. Its members comprise of Armenia, Azerbaijan, Belarus, Kazakhstan, Kyrgyzstan, Moldova, Russia, Tajikistan and Uzbekistan. Established in 2001, the SCO has eight full members, namely China, Kazakhstan, Kyrgyzstan, Russia, Tajikistan, Uzbekistan, India and Pakistan. "An important achievement of the SCO is the extension of cooperation from the security sphere, which was at the first stage, to politics and diplomacy, trade, transport, cultural and humanitarian sphere," Lebedev said. He praised China's contribution, saying that its growing influence in the global arena has a positive impact on the world economy and politics. ^ top ^

More Americans flee US consulate in China as mysterious sonic sickness linked to Cuba illness spreads (SCMP)
2018-06-07
More US citizens have been evacuated from a US consulate in Guangzhou, China, after suffering what appears to be the same strange, sound-related illness that befell Cuba consulate workers in 2016, it emerged on Wednesday. Consulate worker Mark Lenzi and his wife heard strange noises over the course of several months before falling ill with what they described as neurological symptoms, The New York Times reported. On Wednesday night they were flown to the US with their children, including a three-year-old boy who was also affected. Speaking to The Washington Post that same day, Lenzi described the sound as being like "marbles bouncing and hitting a floor then rolling on an incline with a static sound". They asked their neighbour if he was responsible, but he denied it. Months later, the couple began to develop excruciating headaches and suffer sleep deprivation – as did their son. Consulate doctors prescribed painkillers and sleeping tablets, they said. Then, last month, he found out that their neighbour had been evacuated from the consulate, having suffered similar symptoms. Those included "subtle and vague, but abnormal, sensations of sound and pressure", the State Department said at the time. He was checked and diagnosed with a "mild traumatic brain injury", the State Department said. That statement also said the government did not know of any other cases - which was a lie, Lenzi told The Washington Post; he said he'd filed reports with both the consulate and the State Department. He also said that the State Department froze out his security clearances after he spoke up, making it impossible for him to work at the consulate, and that he is now calling for the resignation of the US ambassador to China, who is based in Beijing. "Mark is a very capable guy," Lenzi's friend, political consultant Michael Getto, told the Post. "If he says something is wrong or amiss, then it is." A State Department medical team has flown in to Guangzhou and is performing tests on other employees and their family members, the Times reported. There are around 170 workers at the site, plus family members. The Guangzhou illnesses follow identical cases that occurred at the US embassy in Havana, Cuba, in 2016, when 24 people - all embassy workers and their families there - suffered the same symptoms. Those symptoms included dizziness, headaches, tinnitus, fatigue, cognitive issues, visual problems, ear complaints and hearing loss, and difficulty sleeping, the State Department said at the time. Tests concluded that they had suffered injuries consistent with concussion or minor brain injury. In the wake of the initial illnesses, speculation on the cause included the possibility of targeted sonic attacks that might cause such disruption. The US, blaming Havana, expelled Cuban dignitaries following the incident. The Associated Press later obtained a recording of what it said were the sounds heard by the sufferers before they fell ill. Other theories in the matter include bacterial poisoning, a toxic attack, surveillance devices that have emitted disabling sounds and mass hysteria. On Tuesday, Secretary of State Mike Pompeo announced the launch of The Health Incidents Response Task Force, which had been created to respond to the unexplained ailments, including testing workers and families at the Guangzhou consulate. The task force's role includes "identification and treatment of affected personnel and family members, investigation and risk mitigation, messaging, and diplomatic outreach". In the same announcement, he said that "24 US government personnel and family members who served in Cuba have been medically-confirmed as having symptoms and clinical findings similar to those noted following concussion or minor traumatic brain injury", as well as the initial China consulate victim. "The precise nature of the injuries suffered by the affected personnel, and whether a common cause exists for all cases, has not yet been established," he added. On May 24, Chinese foreign ministry spokesman Lu Kang said in a regular press briefing that China had investigated the initial May 16 case, but had not found a reason for the illness. "China has conducted a very careful investigation and has given preliminary findings to the US, and we haven't found the reason or clues that led to the situation mentioned by the US," he said. "China has always followed the Vienna Convention on diplomatic relations and consular relations to protect the US diplomatic staff and staff from other countries." ^ top ^

US warships unwelcome in Taiwan Straits (Global Times)
2018-06-07
According to Western media, the US is considering sending a warship through the Taiwan Straits. If true, that means Washington is ready to pile more pressure on China. On the same day the news came out, two US B-52 bombers reportedly took off from Guam and flew to the vicinity of China's Nansha Islands. Later, a spokesperson for the US Pacific Air Forces denied it. The US military has not formally confirmed that it would send a warship through the Taiwan Straits. Yet these messages, real or not, constitute psychological warfare against China. Putting pressure on China from all directions has lately become the general US attitude toward Beijing. Some people from Washington believe that it is easy for the US to make trouble for China: They think the cost is very low or even nothing. They imagine they can gain Chinese cooperation and obedience to US interests this way. Beijing is indeed unwilling to see a dispute with Washington. Instead it wants to maintain collaboration with the US in as many areas as possible. However, the Chinese people are well aware that making concessions in the face of unreasonable pressure will only lead to passivity. Hence countering provocation is our basic rationale and principle. The Taiwan Straits is an international waterway. But US warships going through that water has special geopolitical implications with regard the Taiwan question. The Straits is close to the Chinese mainland and also a landmark region for China's core interests. Beijing nowadays has more resources and leverage to engage in a game with Washington. The US has never frightened any small country so far. How could it possibly scare a major power like China? Be it the Taiwan Straits or the South China Sea, the actual effect of provocation by the US will only be to boost Beijing vigilance. When there is vigilance, there will be actions. The discomfort those actions bring to the US will generally equal the discomfort Washington brings to Beijing. From time to time, elites from Washington threaten to be tougher on China. The Chinese side has responded with a low-key attitude and avoided proactively escalating friction between the two. But if the US takes practical actions, it will be another story. Beijing will not yield to Washington's real provocations. The US military better not get too close to the Taiwan Straits or stir up trouble there. Military confrontation has not yet formed in the Taiwan Straits and it is hoped that day will never come. But once the worst case scenario occurs, China is prepared to safeguard its national sovereignty and dignity at any cost. By then, China will be difficult to deal with and the US will find that military confrontation against Beijing in the Taiwan Straits is too heavy a burden to bear. If Washington's real intention is to create tension in Sino-US ties and it is willing to pay any price for it, there will be another story between China and the US as well as in the Asia-Pacific region. ^ top ^

China and India vow to strengthen cooperation for common development (Global Times)
2018-06-05
China and India working together will accelerate the common development of the two countries, benefit the entire world, and contribute to the progress of human civilization, Chinese State Councilor and Foreign Minister Wang Yi said Monday. Wang made the remarks during a meeting with Indian External Affairs Minister Sushma Swaraj on the sidelines of the Formal Meeting of the BRICS Ministers of Foreign Affairs in Petoria. China and India have extensive common interests, and they have far more consensus than differences, Wang said. The two sides should take bilateral relations and people's fundamental interests as a starting point at all times, properly handle problems and differences, and prevent the interests of one party from affecting the overall interest, Wang said. The two sides should earnestly safeguard peace and tranquility in the border areas in accordance with the consensus reached by their leaders and avoid taking actions that might complicate and aggravate the situation, Wang said. China and India should strengthen coordination and play a constructive role in promoting the development of BRICS cooperation, Shanghai Cooperation Organization and other multilateral mechanisms, he said. ^ top ^

SCO military drill seeks trust, stability (China Daily)
2018-06-05
Member states of the Shanghai Cooperation Organization will participate in the upcoming joint military drill dubbed Peace Mission 2018 to promote mutual trust, cooperation and coordination against terrorist threats and to maintain regional peace and stability, Chinese experts said. The drill's command post exercise will take place at the Chebarkulsky training ground in the Ural Mountains region in August, the Russian Federation's ministry of defense said in an online statement on May 29. Chiefs of general staff of the SCO nations will also hold a meeting during the joint military drills, it said. The exercise will follow the 18th SCO Summit, scheduled for June 9 and 10 in Qingdao, Shandong province. The exercises are biannual, multinational drills with the goal of enhancing counterterrorism coordination and cooperation among the eight member countries, which include China, Russia, Pakistan, India, Kazakhstan, Kyrgyzstan, Tajikistan and Uzbekistan. The drill does not target any third party. The last exercise was held in Kyrgyzstan in September 2016. The 2018 exercise will be the first for India and Pakistan since becoming full members of the SCO in 2017. It also will be the first time India and Pakistan take part in a military exercise together since their independence, though their militaries have previously worked on United Nations peacekeeping missions. Senior Colonel Ren Guoqiang, spokesman for the Ministry of National Defense, said at a news conference on Thursday that defense and security cooperation under the SCO has been smooth and effective in recent years. China is willing to continue with exchanges and cooperation in defense and security with SCO member countries based on mutual trust and benefit and to improve the capacity to jointly cope with new challenges, Ren said. Founded in 2001 in Shanghai, the SCO upholds the "Shanghai Spirit", which features mutual trust, mutual benefit, equality, consultation, respect for cultural diversity and pursuit of common development. The SCO member states now account for about 40 percent of the world's population, one-third of the world's GDP and about 80 percent of Eurasia's land mass, making it the biggest regional organization promoting effective cooperation in politics, security, economy, culture and other areas, according to the Ministry of Foreign Affairs. Li Xing, a professor of international relations at Beijing Normal University, said adding India and Pakistan to the joint exercise represents a new height in security cooperation through the SCO. "India and Pakistan have had many conflicts, but the SCO exercise can facilitate positive interactions between the two militaries and help ease tensions between the two countries," Li said. Li Li, a researcher of South Asian countries at China Institutes of Contemporary International Relations, said many exchange mechanisms between Pakistan and India have been halted due to constant border tensions. "It is very rare for the Indian and Pakistani militaries to interact with each other," she said. "The SCO is a great platform for member nations to build mutual trust, improve their ability to tackle terrorist threats and maintain regional peace and security." ^ top ^

France, Britain to sail warships in contested South China Sea to challenge Beijing (SCMP)
2018-06-04
France and Britain will sail warships through the South China Sea to challenge Beijing's expanding military presence in the disputed waters, their defence ministers said on Sunday. The two countries, both permanent members of the United Nations Security Council, made the remarks at the Shangri-La Dialogue in Singapore, echoing the latest US plan to ramp up its freedom of navigation operations to counter Beijing's militarisation in the region and its stance that territorial disputes should be a matter between China and its Asian neighbours. A French maritime task group, together with British helicopters and ships, will visit Singapore next week and then sail "into certain areas" of the South China Sea, French armed forces minister Florence Parly told the annual defence forum. Without naming China, she suggested the warships will cross into "territorial waters" claimed by Beijing and envisioned a potential encounter with its military. "At some point a stern voice intrudes into the transponder and tells us to sail away from supposedly 'territorial waters'," she said. "But our commander then calmly replies that he will sail forth, because these, under international law, are indeed international waters." Parly said although France was not a claimant in the South China Sea disputes, by conducting such exercises "on a regular basis with allies and friends" it was contributing to a rule-based order. "By exercising our freedom of navigation, we also place ourselves in the position of a persistent objector to the creation of any claim to de facto sovereignty on the islands," she said. Instead of accepting the situation as a fait accompli, Parly said France should question it, otherwise it will be established as a right. "I believe we should broaden this effort even further," said Parly, adding that Europe was mobilising more widely to support this endeavour and there were also German observers on board. Beijing's claims to more than 90 per cent of the South China Sea overlap with several of its neighbours' and in recent months it has expanded militarisation of its man-made islands in the resource-rich waterway. British Secretary of State for Defence Gavin Williamson also told the summit that three warships would be sent to the region this year to counter malign influence and preserve the rule-based order for the long-term. "We have to make it clear that nations need to play by the rules, and there are consequences for not doing so," Williamson said. US Secretary of Defence Jim Mattis on Saturday warned that Beijing's militarisation of the South China Sea would face "much larger consequences", without elaborating. The Pentagon is reportedly considering a more assertive approach in the region which, compared to their previous freedom of navigation operations, could involve longer patrols, more ships and closer surveillance of Chinese facilities such as electronic jamming equipment and advanced military radars. US officials are also reportedly pushing international allies and partners to increase their naval deployments in the vital trade route as China builds up its military presence on the disputed Paracel and Spratly islands, even if they stop short of a direct challenge. At the forum, Beijing's representatives responded to the French and British plans by saying the South China Sea is free and open for all to travel through, and there would be no restrictions on normal freedom of navigation. "But violation of China's sovereignty will not be allowed," said Lieutenant General He Lei, vice-president of the Academy of Military Science and head of China's delegation. Senior Colonel Zhou Bo, director of the Centre for Security Cooperation under the defence ministry, said the question was whether France and Britain intended to sail within 12 nautical miles of Chinese-controlled islands and reefs. "The Chinese features are not on the usual international shipping route, so if they deliberately enter those waters within 12 nautical miles, it will be seen by China as an intentional provocation," Zhou said. Last week, two US warships came within 12 nautical miles of the Paracel Islands – which are claimed by China, Vietnam and Taiwan – and carried out manoeuvring operations. The Pentagon also cancelled the PLA's invitation to join an upcoming international maritime exercise off Hawaii, citing "China's continued militarisation of the South China Sea". ^ top ^

 

Domestic Policy

College denies Islamic culture course taught by Pakistani student spread religious beliefs (Global Times)
2018-06-06
A Chinese university denied that an Islamic culture course taught by a Pakistani student had spread religious beliefs to students, amid online criticism that the university failed to separate education from religion. Nanjing Agricultural University in East China's Jiangsu Province said on Tuesday that the course "Islamic culture," which was opened to undergraduates in the College of Engineering, was suspended half a year ago. "It was suspended after the school discovered in late 2017 that the course instructor, a Pakistani student who is seeking a PhD degree in our university, was unqualified to teach in Chinese universities," a university employee surnamed Huang told the Global Times. The university said in a separate online statement that it has begun investigating the incident, and will hold relevant people accountable. The course was meant to introduce students to Islamic culture, history and festivals, and also to introduce Muslim conventions. The university said it did not find any evidence that the instructor had guided students to engage in religious practices during and outside the class. The university responded after Xi Wuyi, an expert on Marxism at the Chinese Academy of Social Sciences, wrote on her Sina Weibo on May 30 that the university, in a clear violation of law, spread religious beliefs in class. China's Education Law stipulates that education should be separated from religion. Xi's post sparked heated discussions online. "We did not practice religion in the course and were not asked to memorize any religious texts," an anonymous student who attended the course, told the Global Times. She said that many people chose this course because it's easy to pass, and the "teacher" conducts lectures in English, "so many students believe the course can improve their English skills." "Universities are allowed to offer courses on religion. However, actions such as building religious sites, religious practices and advocating religious dogma in schools are strictly forbidden," Shen Guiping, a religious expert at the Central Institute of Socialism in Beijing, told the Global Times. China's newly revised regulation on religious affairs, which took effect in February, bans religious practices and activities in schools and other educational institutions, except at religious schools. However, Shen noted that a fine line exists between introducing religions to students and guiding them to practice religions. The university said it sticks to the ethnic equality principle and encourages cross-cultural exchanges. It also vowed to strengthen scrutiny over its courses and prevent religion from infiltrating the campus. In May, Northwest Minzu University in Northwest China's Gansu Province stressed a ban on religious activities on campus during the Muslim holy month of Ramadan, amid a clamor to regulate religious practices and make sure they do not "disturb public order." ^ top ^

China releases information on overseas fugitives (Global Times)
2018-06-07
China on Wednesday released information on 50 fugitives suspected of duty-related or economic crimes, including their names, photos, and possible current whereabouts. The information also includes the gender, ID and passport numbers, former positions, date of fleeing China, and suspected crimes of the fugitives, according to a statement by an office in charge of fugitive repatriation and asset recovery under the central anti-corruption coordination group. The statement shows that 23 fugitives may have fled to the United States, and that Canada and New Zealand are also among the main countries where the fugitives could possibly be hiding. It also exposed the communities or streets where some of the fugitives may be currently living. The majority of the fugitives are suspected of corruption, bribery or embezzlement. Among the 50, 21 have been on the run for more than 10 years. The office, which expects assistance from the public, also released a website that accepts information on the fugitives and said it would ensure the security of informants. This is the second time that the office has released such information in a statement since it was established. It released information on 22 fugitives, all listed on an Interpol red notice of 100 suspects, in April last year, and has since received a number of reports on the fugitives from both domestic and overseas informants. Six fugitives have surrendered to the police so far. China's "Sky Net" operation had captured 4,141 fugitives from over 90 countries and regions, and recovered nearly 10 billion yuan (1.56 billion US dollars) as the end of April. Among them, 825 were state functionaries and 52 were on the Interpol red notice, said the statement. ^ top ^

Top Chinese Communist Party cadre criticises Cultural Revolution for damage to tradition (SCMP)
2018-06-07
The Communist Party's top political adviser has openly derided the Cultural Revolution for damaging traditional Chinese culture, in a rare reference by a senior Chinese official to the dark chapter in the party's history. "The Cultural Revolution eliminated a large part of both the essence and the dregs of traditional culture on the mainland," said Wang Yang, chairman of the Chinese People's Political Consultative Conference, China's top political advisory body. "But Taiwan preserved it well." Wang made the assessment on Wednesday in a meeting with a group of about a dozen Taiwanese working in Fujian province, across the strait from Taiwan, according to the Taipei-based Central News Agency. Beijing has suppressed public discussion on the Cultural Revolution, a decade of political and social turmoil set off in 1966 by then supreme leader Mao Zedong, over fears of a backlash against the party's rule. Such suppression has intensified in recent years under President Xi Jinping's push to stem "historical nihilism", or any challenges to Beijing's official narrative of the past. In the meeting in Xiamen on Wednesday, Wang highlighted Taiwan's retention of the traditional Chinese system of "borough chiefs", a form of administration that disappeared in mainland China after the communists took power. Taiwan's borough chiefs are elected village-level officials and the system dates back to around 700BC. The meeting was also attended by Liu Jieyi, Beijing's top official overseeing cross-strait relations, and Fujian party boss Yu Weiguo. Responding to comments from the Taiwanese attendees, Wang acknowledged there was work to be done to improve overall conditions in mainland China but did not elaborate. Wang also underlined Beijing's strategy of courting Beijing-friendly camps in Taiwan and attacking opponents. "Soft policies will be softer, but hard ones will be harder against pro-independence sentiment. We will walk a fine line," Wang said. As part of that approach, Beijing introduced a raft of measures in March that it says are designed to give Taiwanese companies and individuals freer access to opportunities and benefits in mainland China. Among other things, the new measures will allow Taiwanese companies doing business in mainland China to tap into the "Made in China 2025" programme, the central government's blueprint for upgrading the country's manufacturing sector. The Taiwanese companies will also be able to bid for infrastructure projects, and claim various tax breaks. At the same time, the People's Liberation Army has stepped up air force and naval drills that many observers see as intimidation of pro-independence groups in Taiwan. ^ top ^

China speeds up effort in building a social credit system (Xinhua)
2018-06-06
China will roll out vigorous efforts to build a more comprehensive and rigorous social credit system to improve its business environment and boost development, the State Council decided at an executive meeting chaired by Premier Li Keqiang on Wednesday. Key priorities for improving the social credit system were identified at the meeting. These measures include building a social credit-centered regulatory mechanism and enhancing social credit building in key areas concerning people's livelihood. Premier Li Keqiang said that a social credit system comprising solid credit records of all market entities, is of fundamental importance. Recent years have seen China make visible progress in developing a national social credit system. A unified social credit code has been introduced nationwide. A total of 33.99 million credit codes have been issued to newly registered businesses. And 71 central government departments and provincial governments have been connected to the national credit information sharing platform. The cross-sectoral, inter-agency mechanism of incentives and disincentives for acts of good or bad faith made initial impacts. Big data has been applied in credit investigation and helped businesses meet real needs. For example, companies with good credit records had received 632,000 loans from financial institutions in the banking sector by the end of 2017. "Breakthroughs have been made in developing the social credit system. Going forward, the system needs to be improved in key areas in response to specific needs," Li said at the Wednesday meeting. "The priority now is to improve our business environment with stronger measures against cheating in marketplace, such as counterfeiting, and infringements of intellectual property rights." Steps in the following five aspects were decided at the meeting to enhance the building of a social credit system with application of the system and legislation on prioritized. A credit-centered regulatory system will be set up to improve the business environment. Blacklist mechanism will be introduced. Law violations including infringement, counterfeiting and cheating in marketplace and fraudulent advertising will be resolutely tackled and made public. Information safety need to be safeguarded, and trade secrets and individual privacy should be well protected. Also, a social credit system in key livelihood areas will be enhanced. Non-public sector will be guided in building the social credit system, and credit information services provided by third parties will be developed. Government departments will be required to bolster credibility, and problems of new officials disavowing obligations undertaken by predecessors will be tackled under the law. It was also decided at the meeting that government requirements on certification will be overhauled to make it easier for the general public and enterprises to get things done. The practice of inspections by randomly selected inspectors against randomly selected entities and prompt release of inspection results will be fully implemented to make market regulation fairer and more efficient. These above measures will all contribute to the building of the social credit system. "A market economy is based on credit," Premier Li said. "A fine credit system provides market entities with the information they need for business operations. A blacklist should be established. Access to and sharing of information, which can serve to incentivize or discipline, helps reduce transaction costs and improve the business environment." Premier Li also emphasized the importance of safeguarding information security with tiered authorization. He called for early establishment of a secure and reliable social credit system and introduction of capable third parties in the financial sector. ^ top ^

Nation to bolster intellectual property protections (China Daily)
2018-06-06
China will strengthen its protection and management of intellectual property, accelerate the commercialization process, and help improve global IP protection practices and standards, officials said on Tuesday. Tuesday marks the 10th anniversary of the Outline of the National Intellectual Property Strategy issued by the State Council, China's Cabinet. The outline is the bedrock regulatory document for China's intellectual property protection. The anniversary came after the European Union lodged an intellectual property rights complaint against China at the World Trade Organization on Friday, just as Beijing is embroiled in a similar dispute with the United States. Yan Junqi, president of the Central Institute of Socialism, said China has paid more attention to intellectual property protection in the past five years, and IP related industries are seeing unprecedented opportunities for growth. In the past decade, the number of patents from the Chinese mainland grew from 96,000 in 2007 to 1.3 million in 2017, ranking it third in the world behind just the US and Japan, according to the State Intellectual Property Office. Shen Changyu, director of the office, said China's intellectual property protection mechanisms have seen overall improvement and greater transparency. In the last five years, China has investigated and dealt with more than 190,000 cases of patent infringement and 170,000 cases of trademark infringement. China also established specific courts to deal with intellectual property rights. As more Chinese patents and companies compete on the world stage, China's intellectual property protection will become stricter, more comprehensive and responsive, as well as better-coordinated across different agencies, Shen said. China will devote more resources to producing high-value and influential brands and patents, and participating in the global governance of intellectual property to help it become more inclusive, balanced and efficient, he said. Wang Yong, an IP rights lawyer at the Jincheng Tongda and Neal law firm in Beijing, said China needs to educate the public about the importance of IP protection and their role in fueling national and social development. At the same time, Chinese industries should be more innovative and create original work. "If China can produce more valuable and influential IP, companies will inevitably want to protect it more vigorously." ^ top ^

Chinese vice premier stresses reform of construction project approval (Xinhua)
2018-06-05
Chinese Vice Premier Han Zheng has stressed the need for a wide-ranging reform of the construction project approval system. Han, a member of the Standing Committee of the Political Bureau of the Communist Party of China Central Committee, made the remarks at a symposium on pilot reform for construction project approval held in Xiamen, east China's Fujian Province, on Monday. Han said the construction project approval system needed to be thoroughly reformed, with success measured by the experience of market entities and the public. "The pilot program for approval system reform should focus on key links, outstanding problems, and the procedures, information-sharing, mechanism and regulation methods for construction project approval should be unified," the vice premier said. He ordered all government departments to jointly support and push forward the reform so it would be completed on time. Han made a trip to Xiamen June 3-4 to inspect local administrative services and the business environment. He visited the city's administrative service center, an aircraft engineering company and a harbor in Xiamen Area of China (Fujian) Pilot Free Trade Zone. ^ top ^

State Council clarifies functional adjustment amid institutional reshuffle (Xinhua)
2018-06-05
The State Council released a document Tuesday to clarify the adjustment of administrative organ functions stipulated by administrative laws and regulations that have been affected by a large-scale institutional reform. The document, signed by Premier Li Keqiang, specified the division of responsibilities among departments or entities at central and local levels during the transitional period when revisions have not yet aligned related laws and regulations with the reform. It demanded timely efforts to ensure adjustment of administrative functions, and revision or abolishing of administrative laws and regulations involved. According to the reform plan adopted in March, the State Council will consist of 26 ministries and commissions in addition to the General Office of the State Council after merging, restructuring, creation and dissolution. Among the new entities are ministries for natural resources, veteran affairs and emergency management. ^ top ^

¥64.89 transactions banned on Tiananmen June 4 anniversary, as US demands death toll (HKFP)
2018-06-05
China's information blackout about the crackdown on the 1989 Tiananmen protests took a new turn on Monday: users of a popular social media app could not send each other money transfers alluding to the anniversary date. Open discussion of the brutal crackdown is forbidden in China, where hundreds — by some estimates more than a thousand — died when the Communist Party sent tanks on June 4, 1989 to crush a student-led demonstration calling for democratic reforms. The United States called on China on Monday to disclose how many were killed, drawing a rebuke from Beijing, which brands the protest as a "counter-revolutionary rebellion". Foreign news broadcasts on commemoration events are usually blocked while survivors and the families of those killed are put under surveillance or forced to travel out of Beijing as the anniversary approaches. Security prevented an AFP photographer from approaching the square on Monday. Social media is also heavily controlled, and on Monday users of the ubiquitous WeChat application were unable to exchange "red envelopes", or money packets, valued at 89.64 yuan or 64.89 yuan, indicating the date of the anniversary. A "system busy. Try again later" message appeared every time AFP journalists tried to complete a transaction involving the sum, but the service functioned smoothly if the amount was changed, suggesting deliberate censorship. People in China use clever tactics to circumvent censorship. When dissident Nobel laureate Liu Xiaobo died of cancer while in custody last year, people posted candle emojis as a discreet tribute. Those wanting to allude to the #MeToo movement have used emojis and the Chinese characters for rice and bunny, which are "mi" and "tu". Chinese search engine Baidu did not yield any results for the term "29th anniversary of Tiananmen massacre" during the past week and posts on any commemoration events were missing from China's Twitter-like microblogging platform Weibo. The Chinese government has "spent enormous amounts of resources" to enforce a "thorough and all-encompassing" erasure of information linked to the incident, William Nee, a Chinaresearcher at Amnesty International Hong Kong, told AFP. "This year, it might be incrementally more effective, since the government has increased self-censorship on WeChat groups and has become better at using artificial intelligence to proactively ban what it deems to be problematic photos." Tencent Holdings, which operates WeChat, could not be reached for comment. Several prominent bloggers and activists were forced to go on "vacation" under police escort ahead of the sensitive date. Dissident democracy activist He Depu told AFP that two policemen drove him to a hotel in the Yellow Mountains, a popular tourist resort in central China, on May 31, and he will only be allowed to "checkout" on Tuesday afternoon. Activist Hu Jia said two national guards drove him from Beijing to a hotel in the centre of Qinhuangdao, a beach resort about 300 kilometres (180 miles) east of the capital on June 1. "This is already my 14th year of being forced to take a vacation on June 4. But, wherever I am, I fast the whole day and light candles to commemorate the struggle," he said. "After all, I feel lucky… to be a survivor. On this day 29 years ago, the bullets flew over my head. I also feel saddened… because so many people died, but China is still stuck in 1984 in terms of (political) progress." Families of pro-democracy protesters killed in the 1989 bloodbath have recently written an open letter urging President Xi Jinping to acknowledge their suffering and "re-evaluate the June Fourth massacre". The semi-autonomous territory of Hong Kong is the only place on Chinese soil where the anniversary is openly marked with a famous annual vigil that took place again on Monday. US Secretary of State Mike Pompeo issued a statement urging China to "make a full public accounting of those killed, detained or missing" in the massacre. Pompeo quoted Liu Xiaobo as saying: "The ghosts of June 4th have not yet been laid to rest." China lodged a formal diplomatic protest over Pompeo's remarks. "The Chinese government has already come to a clear conclusion regarding the political disturbances that occurred in the late 1980s," Chinese foreign ministry spokeswoman Hua Chunying said. Pompeo's statement is "groundlessly accusing the Chinese government and interfering in China's internal affairs. The Chinese side is strongly dissatisfied and resolutely opposes this," Hua added. ^ top ^

Chinese authorities raid underground church and detain pastor ahead of Tiananmen service (SCMP)
2018-06-04
A prominent underground church in southwestern China was raided by police on Monday afternoon, hours before a planned evening service to commemorate the Tiananmen Square anniversary. The bloody 1989 crackdown on pro-democracy protesters is a taboo for the ruling Communist Party and any discussion of the issue is strictly censored in Mainland China. Attempts at a public commemoration are often punished by the mainland authorities with harassment, detention or imprisonment and Hong Kong remains the only place in China where large-scale events are allowed. The Early Rain Covenant Church in Chengdu, the capital of Sichuan province, had planned a two-hour prayer session at 7.30pm to mourn those killed in Beijing 29 years ago. But soon after 3pm dozens of uniformed and plain-clothes police officers stormed the church, taking away its pastor Wang Yi, along with his wife and more than a dozen preachers and worshippers, members of the church told the South China Morning Post. Neither Wang nor his wife could be contacted. Since 2009, the Church has designated the period between May 12 and June 4 its "prayer month" to remember the natural and man-made disasters that have hit China on those two dates. May 12 was the anniversary of the devastating earthquake that struck Sichuan in 2008 while June 4 was the anniversary of the Tiananmen crackdown. Previously the church has only been able to hold a June 4 service when the date fell on a Sunday, and in other years members have gathered in small groups for prayers. However, one church member said this was the first time the church had been raided on the day of the anniversary. Wang, who like other politically sensitive figures is closely watched by police on June 4, has always been prevented from leading services on that date and was usually confined to his home. The church remained shut on Monday evening, with large numbers of police officers – both uniformed and plain-clothed – still outside keeping watch at 8pm. The reason given by the police was that the church was not approved or registered, and thus has no right to organise religious activities. Members of the congregation said the officers in question were from a local station in the Qingyang district. The police declined to be interviewed, saying their investigations were not open to the media. A notice issued by the Qingyang ethnic and religious affairs office was put up on the church gate, saying it had violated the newly revised Regulations on Religious Affairs. Officially, only state-approved religious organisations are allowed to operate in China, but the growing Christian community ensures that numerous "house churches" thrive, despite close monitoring and periodic harassment from the authorities. The Early Rain Covenant Church, founded in 2005 by Wang – an outspoken former civil rights lawyer – is one of the most prominent house churches in China. It was also raided last month, the night before a planned service to mark the 10th anniversary of the Sichuan earthquake – the deadliest in China for three decades. On that occasion Wang was taken away by the police and released on Saturday night after about 24 hours in detention. Speaking after Monday's raid, one member of the church, who declined to be named, said: "It is not that we want to discuss politics. It is because of our faith that we cannot allow ourselves to dodge such a huge crime." ^ top ^

Website punished for tasteless parody of national martyrs (China Daily)
2018-06-01
China's cultural affairs watchdog announced on Thursday that it had punished an online video channel for violating China's law against maligning revolutionary martyrs. Rage Comic, an online cartoon series turned video channel, uploaded a one-minute clip on Toutiao, a Beijing-based streaming media provider, on May 8. In the clip, the host made fun of Dong Cunrui, a PLA soldier during the War of Liberation (1946-49) who blew himself up in order to guard an approach to a bridge and destroy a Kuomintang bunker. Dong is hailed as a war hero in today's China, but the host parodied the story by replacing bunker with "burger" -which rhymes in Chinese -and turning Dong into a starving diner. The same clip also includes a vulgar parody of a poem written by Ye Ting, a widely-respected Communist general, when he was in a Kuomintang prison. The parody included adding an advertisement for "painless abortion". This clip infuriated the public and was removed. According to a statement by the Ministry of Culture and Tourism, it has guided the local cultural department in Shaanxi province, where Rage Comic is based, to mete out executive punishment as soon as possible. It also said Toutiao will be investigated for failing to shoulder its responsibility to supervise the content of its broadcasts. The ministry revealed that it recently began a large-scale move to vet online video clips, according to the nation's Law of Protection of Heroes and Martyrs, which took effect in April, and other rules regulating cyberspace. More than 60,000 clips have been removed during the campaign, and 8,030 accounts have been punished. "Supervision of the online cultural market will be strengthened," the statement said. "The ministry will keep a close eye on actions to distort, deface, profane and deny the merits and spirits of heroes and martyrs." It also vows to establish a "blacklist" of severe violators in the industry. The Rage Comic website is now locked due to "maintenance", and it has not responded to the statement. ^ top ^

 

Tibet

Populations of endangered species increase in Tibet (China Daily)
2018-06-08
Tibet's Ali prefecture has seen its population of protected animals increase because of 20 years of conservation work, local forestry authorities claimed Thursday. The Forestry Bureau of Ali Prefecture said Class-I protected animals were doing well, including the Tibetan antelope with a population that has grown from around 20,000 to 60,000. The Tibetan wild ass population is close to three times what it was 20 years ago. The number of snow leopard doubled during the period. At an average altitude of more than 4,500 meters, Ali prefecture in western Tibet, covers more than 300,000 square kilometers. There are 14 nature reserves and three national forest and wetland parks. The prefecture is home to seven Class-I and 12 Class-II protected animals. Increased investment, more staff, better management and appropriate law enforcement, have led to increased wetlands and greater biodiversity, according to the forestry bureau. ^ top ^

Buddhist representatives in Tibet undergo training, urged to be politically reliable (Global Times)
2018-06-04
Buddhist monks and nuns in the Tibet Autonomous Region tasked with spreading government policies completed a three-day training last week to strengthen their political beliefs. These Buddhist facilitators are asked to be reliable in politics and take a clear-cut and firm stance, which is one of four standards they are required to follow, according to a training workshop held in Lhasa from May 31 to June 2, Tibet.cn reported Monday. Aside from the political requirements, the "four standards" also asks them to be profound in religious knowledge, be convincing in morality and play an active role at critical moments. Holding educational activities should be their major political mission now and in the future, the report said. The report did not say how many monks participated in the training. "Buddhist temples play a key role in Tibet's stability. The facilitators spread the latest religious and political policies and spirit from the central government to monks and nuns, leading them to advocate socialist development with Chinese characteristics," Xiong Kunxin, a professor at Beijing's Minzu University of China, told the Global Times on Monday. Having the Buddhist facilitators preach policies to monks and nuns is more effective than through a third-party lecture or directly from the central government, Xiong said. As religious personnel, Buddhist facilitators have a better understanding of the thoughts and habits of their own group, Xiong added. After the 19th National Congress of the Communist Party of China in 2017, more than 20,000 Party cadres in Tibet were sent to local villages, 7,000 to temples to preach the spirit of the 19th CPC National Congress among Buddhist monks, nuns, students and farmers, Tibet Daily reported. "Tibet is the key to national security and the frontline of the anti-secession struggle. The report of the 19th National Congress calls for the acceleration of border area development and to ensure its security," the Tibet Daily report said. The facilitators were chosen based on the firmness of their political stance and competence. They were selected from Party cadres, grassroots farmers or herders, teachers, temple officials and patriotic religious personnel, Tibet Daily reported in 2017. Facilitators are usually active or young monks and nuns in temples willing to learn and share with others, Zhu Xiaoming, former Party chief of the China Tibetology Research Center, told the Global Times. The Tibet facilitators receive regular training to better spread knowledge and policy to the public. More than 260 representatives of facilitators in Tibet were gathered in April 2017 to learn how to better promote the idea when launching a "patriotism-themed" education activity. To better spread the spirit of the 19th National Congress, more than 100 leading facilitators also received intense training, the Tibet Daily reported. ^ top ^

 

Xinjiang

Over 200,000 Xinjiang students register for gaokao (China Daily)
2018-06-07
More than 207,000 students in Northwest China's Xinjiang Uygur autonomous region have registered for the national college entrance exam, or the gaokao, this year. The figure in 2015 was 161,000, 166,000 in 2016 and increased to 184,000 last year. The acceptance rates for college places have also risen steadily, the provincial education department said. Xinjiang has policies for poor families and students living in poor, remote and rural areas this year, providing more quality resource. The annual national college entrance examination takes place on Thursday and Friday. About 9.75 million students have registered this year, the most in eight years. ^ top ^

 

Hongkong

Ten sentenced to up to 51 months in prison in Hong Kong riot (China Daily)
2018-06-01
Ten violent activists were sentenced to up to 51 months in prison on Thursday for their role in the 2016 Mong Kok riot, in which 130 people were injured, including 90 police officers. Nine of the defendants received prison sentences of 28 to 51 months, and a teenager who was 17 years old at the time will be sent to a training center. The cases of dozens of others arrested in connection with the riot have been handled separately. At the West Kowloon Magistrates' Courts, Magistrate Kwok Wai-kin emphasized that "unlawful violence is unacceptable in any society that exercises rule of law". Punishment sufficiently harsh to be a deterrent that will protect the public and prevent similar cases was the primary consideration in sentencing the 10, Kwok said. He said that the sentences were decided on in response not only to the individual acts but also to the serious social impact the defendants had made as a group. The magistrate said the court would not participate in political debate, meaning that the background of the riot and the political beliefs of the defendants would not be taken into consideration in determining the sentencing. Mo Jia-tao, 19, who had hurled bricks at police officers more than 11 times, got the longest sentence of 51 months in prison. Kwok said Mo's actions involved "very serious" violence and such law-defying acts would send "wrong messages" to Hong Kong's young people, who might think they could do anything without restrictions. Mo was convicted of two counts of rioting and one count of criminal damage to a police car. In the early morning of Feb 9, 2016, all the defendants participated in an unlawful assembly in Mong Kok, breaching the peace by hurling bricks pried from the pavement and setting fires in garbage bins, Kwok said. Up to 47 police officers were injured in the specific incident, in which the 10 activists participated, and a police car was also damaged, causing a loss of HK$26,000($3,300) to the special administrative region's government. All 10 defendants were remanded to Lai Chi Kok Reception Centre after being sentenced on charges that included rioting, criminal damage and assaulting police. The trial has taken almost a year. The case also involves an 11th person identified as acting along with the other 10, but whom police were unable to detain. The Mong Kok riot-the first such violent disturbance since Hong Kong's return in 1997-involved hundreds of masked participants. Among the dozens arrested, the person receiving the harshest punishment was a computer technician who was sentenced to 57 months in prison in a separate case. ^ top ^

 

Taiwan

Mainland to speed up policy implementation for Taiwan compatriots (China Daily)
2018-06-07
Wang Yang, top political advisor and senior Party official, has urged the expediting of the implementation of preferential policies for Taiwan compatriots to further communication and cooperation across the Straits. Wang, a member of the Standing Committee of the Political Bureau of the Communist Party of China Central Committee and chairman of the National Committee of the Chinese People's Political Consultative Conference, made the remarks during his visit to the 10th Straits Forum in Xiamen in East China's Fujian province. Calling for upholding the notion that "both sides belong to one family," he said that Taiwan compatriots who study, work, or live on the Chinese mainland will step by step gain equal rights with mainland citizens. Noting that economic and cultural communication and cooperation should be continuously strengthened, Wang stressed enhancing the relationship and improving the well-being of people across the Taiwan Straits. Every Taiwanese who studies, works, or lives on the mainland tells a story of the notion "both sides belong to one family" with their unique experiences, said Wang, calling them the contributors and practitioners of the peaceful development across the Straits. He required Party and government officials at all levels to listen to and respond to the opinions and concerns of Taiwan compatriots, and create a more convenient and better environment for their development on the mainland. Wang visited several Taiwanese enterprises and communities in Xiamen, as well as the Graduate Institute for Taiwan Studies at Xiamen University, and held a symposium with Taiwan representatives on Wednesday and Thursday. ^ top ^

US bill calls for Pentagon to send troops to take part in Taiwan military drills (SCMP)
2018-06-07
The US Senate Armed Services Committee has passed a draft bill calling for American troops to take part in Taiwan's Han Kuang exercise – the island's most important annual war games – in another move that is expected to provoke Beijing. The US defence secretary should promote Washington's policies concerning exchanges that enhance Taiwan's security, "including US participation in appropriate Taiwan exercises such as the annual Han Kuang" drill and vice versa, according to the 2019 National Defence Authorisation Act. The bill was passed on May 24 but revealed in a report by the Senate on Tuesday. It comes as the self-ruled island began the second stage of this year's Han Kuang live-fire military drills on Monday and at a time of heightened cross-strait tensions. Although the Pentagon has been quietly involved in such exercises for years, analysts said it was the first time the US Senate had proposed in writing that it get directly involved in Taiwanese war games. The bill also calls on the Pentagon to consider "supporting a visit by an American hospital ship to Taiwan as part of the annual Pacific Partnership mission" to improve disaster response planning and preparedness. Analysts said the bill takes military links between the US and Taiwan to a higher level, going from advice and training to active participation in drills, and it provides for arms deals to be negotiated on a case-by-case basis rather than as a bundle. "The US used to consider Taiwan a quasi ally – something close to Nato – and it has been careful to avoid them becoming a military ally out of concern over how Beijing would react," said Philip Yang, president of the Taiwan Association of International Relations. Under US President Donald Trump, Congress had become highly vocal in its support of Taiwan and was trying to strengthen military cooperation with the island, he said. But it was unclear whether the Trump administration would fully comply with the bill, even after it was approved by the entire floor, Yang said. "I believe if the bill is approved, the Pentagon will take part in some way in Taiwan's drills, but it remains to be seen how far it will go – whether it will be full participation like in Japan or South Korea, or just a token effort like sending advisers to observe exercises," he said. Former Taiwanese defence minister Andrew Yang, who is now secretary general of the Taipei-based Chinese Council of Advanced Policy Studies, said Taiwan was expecting the US to provide more weapons and have more security exchanges. "This support is not just lip service, but should involve taking action," Andrew Yang was quoted as saying on Thursday by Taiwan's semi-official Central News Agency. Taiwan's presidential office and the defence ministry on Thursday expressed appreciation for the US Senate's support for the island's efforts to safeguard its security. A military source meanwhile told the South China Morning Post that the US had long sent senior officers to observe Taiwan's drills, including the Han Kuang exercise. "It is an open secret that the US sends officers to observe our drills, especially our computer-simulated war games – including the recent one held in the earlier stage of Han Kuang in April," the source said. In the past year or so, the US Congress has passed a number of pro-Taiwan laws to show support for the island, including the Taiwan Travel Act and the 2018 National Authorisation Act calling for high-level official and military exchanges. These actions have angered Beijing, which sees Taiwan as a wayward province subject to eventual unification, by force if necessary. Beijing has warned other countries against supporting Taiwan militarily and suspended official exchanges with the island after Tsai Ing-wen of the independence-leaning Democratic Progressive Party became president in 2016 and refused to accept the "one-China" principle. Tsai on Thursday visited the Ching Chuan Kang airbase in central Taichung to inspect a drill involving the air force, navy and ground forces repelling a simulated airborne assault by mainland Chinese troops. The president also expressed condolences over the death of an F-16 pilot who was killed when his jet crashed into mountains in northern Taiwan on the first day of the drills. The five-day exercise finishes on Friday. ^ top ^

Straits Forum looks for solutions (China Daily)
2018-06-07
Wang Yang, China's top political adviser, emphasized on Wednesday the mainland's commitment to expanding economic and cultural exchanges and cooperation across the Taiwan Straits despite obstacles put in place during the past two years. "The peaceful development of cross-Straits relations has met with great obstacles since 2016," Wang, chairman of the National Committee of the Chinese People's Political Consultative Conference, said at the 10th Straits Forum held in Xiamen, Fujian province, on Wednesday. However, he added that with deeper cross-Straits exchanges, a community of shared future on both sides of the Straits has increasingly become a vivid reality. He said that the Chinese mainland and Taiwan share close economic ties, and the strong driving force for peaceful development is to deepen economic cooperation and integration. "This year marks the 40th year of reform and opening-up, and we will make greater efforts to promote reform and opening-up," said Wang, adding that the mainland is willing to share development opportunities with its Taiwan compatriots first. In February, the central government rolled out 31 measures aimed at ensuring that people from Taiwan enjoy the same treatment as mainland people when they pursue studies, start businesses, seek jobs or live on the mainland. The mainland and Taiwan have achieved peaceful and sound development of their relationship since 2008 based on sticking to the 1992 Consensus that embodies the one-China principle and opposes "Taiwan independence". But the relationship changed since May 20, 2016, when the Democratic Progressive Party rejected the 1992 Consensus. Wang reiterated that recognizing the 1992 Consensus and that both sides of the Straits belong to one China is the political foundation for cross-Straits dialogue. "Recognizing it, no political party or group in Taiwan will have any difficulty conducting exchanges with the mainland," he said. "The separatist activity is certain to meet with the resolute opposition of the Chinese people. We have the resolve, the confidence and the ability to defeat separatist attempts for 'Taiwan independence' in any form," he said. Hau Lung-bin, vice-chairman of the Kuomintang party, said that although the current situation across the Straits is turbulent, exchanges between the two sides should be expanded. […] ^ top ^

Australia says China pressured airline Qantas into website change on Taiwan (SCMP)
2018-06-05
Australian Foreign Minister Julie Bishop on Tuesday criticised China for pressuring national flag carrier Qantas Airways to change its website to refer to Taiwan as a Chinese territory, ramping up tensions between the two countries. Qantas said on Monday it had decided to comply with a request from Beijing to remove references on its websites and in other material that suggest Taiwan, Hong Kong and Macau are part of countries independent from China. Australia's government already adheres to the one-China policy, which means it does not recognise Taiwan as a country. However, Bishop said in an emailed statement that private companies should be able to conduct business operations free from political pressure from governments. "The decision of how Qantas structures its website is a matter for the company," she said. Self-ruled Taiwan is claimed by Beijing as a Chinese territory and has become one of the country's most sensitive issues and a potential military flashpoint. Hong Kong and Macau are former European colonies that are now part of China but run largely autonomously. Speaking in Beijing, Chinese foreign ministry spokeswoman Hua Chunying said she had noted Bishop's comments but was not sure what the minister was trying to say. "Because there is only one China in the world. Hong Kong, Taiwan and Macau have always been part of China this is an objective fact and a matter of international consensus," she said at a daily news briefing. "When it comes to a matter like this it is not a procedural or technical issue but a major political issue." Sino-Australian relations have soured in recent months, just two years into a free-trade pact after Canberra accused Beijing of interfering in its domestic affairs. Australian Prime Minister Malcolm Turnbull referenced "disturbing reports of Chinese meddling" when he announced plans late last year to introduce tough new legislation to limit foreign influence, including a ban on offshore political donations. China denied the allegations and lodged a formal diplomatic protest in response. Beijing has in recent months renewed its push to force Western companies to comply with its naming standards – which Washington has labelled "Orwellian nonsense" – or risk losing access to China's huge market. Clothing supplier Gap and hotel chain Marriott have also come under pressure to amend websites or products that were perceived as slights to its national sovereignty. Qantas chief executive Alan Joyce said at an annual meeting of global airlines in Sydney that "our intention is to meet the requirements", but there were some technical delays. Qantas International chief Alison Webster said: "We have some complexity to work through. This is not just a Qantas airline, it's a Qantas Group piece that needs to be adjusted." The carrier had been given an extension to make the changes, she said. ^ top ^

 

Economy

ZTE will reopen under US oversight in US$1.4 billion deal - unless US lawmakers spoil Donald Trump's triumph (SCMP)
2018-06-07
US Commerce Secretary Wilbur Ross announced an end to sanctions against Chinese telecom equipment maker ZTE on Thursday, intensifying a confrontation with lawmakers in his own party, who intend to pass legislation that would block the move. The deal Ross announced includes a US$1 billion penalty against ZTE and the installation of a US-selected compliance team at the company to prevent further violations of the sort that initially prompted the Commerce Department to cut ZTE off from its US suppliers, according to a statement released by the department. The settlement also requires ZTE to put US$400 million in escrow to cover any future violations and to change its board of directors and executive team within a month. That brings total penalties imposed by the US against ZTE to US$2.3 billion, according to Thursday's announcement. In April, the Commerce Department banned ZTE, based in Shenzhen, from importing American-made components critical to its operations for seven years. Removing the ZTE sanctions would resolve a problem that has increased tensions between Washington and Beijing in the lead-up to a showdown on trade issues. However, Republican Senators Marco Rubio and Tom Cotton have teamed up with Democrats Chuck Schumer, the Senate Minority Leader, and Chris Van Hollen, to sponsor legislation to restore the penalties. ZTE and Huawei, another Chinese telecommunications equipment maker, "pose a serious threat to America's national security", the four senators said in a joint statement released hours after the Commerce Department's announcement on Thursday. The legislation will take the form of an amendment to the National Defense Authorization Act "to respond to the national-security threat posed by Chinese telecom companies like Huawei and ZTE", the release said. ZTE and Huawei "have direct links to the Chinese government and Communist Party", Rubio said in the announcement. "Their products and services are used for espionage and intellectual property theft, and they have been putting the American people and economy at risk without consequence for far too long." The amendment is co-sponsored by Senators Richard Blumenthal and Bill Nelson, both Democrats, as well as Susan Collins, a Republican. In its announcement on the ZTE deal, the Commerce Department said that ZTE would only reopen if it allowed US inspectors into its offices to keep an eye on its dealings. "Special compliance coordinators selected by and answerable to [the Commerce Department's Bureau of Industry and Security will be in place] for a period of 10 years," the department said. "Their function will be to monitor on a real-time basis ZTE's compliance with US export control laws. This is the first time BIS has achieved such stringent compliance measures in any case." "This is a pretty strict settlement," Ross added, calling it "the strictest and largest settlement fine that has ever been brought by the Commerce Department against any violator of export controls". ZTE has figured into a larger web of bilateral tensions that have the potential to break out into an all-out trade war. US President Donald Trump started to come under bipartisan attack last month when he announced that he would reverse the ban, with some lawmakers warning that payments do not address security concerns over Chinese telecommunications equipment. Schumer led the criticism, accusing Trump of ignoring US intelligence community warnings by dangling a ZTE reprieve as a way to convince Beijing to offer concessions that would allow the president to call off punitive tariffs on Chinese imports set to take effect next week. ZTE has been flagged as a potential security risk in several government reports. For example, a report commissioned by the US-China Economic and Security Review Commission in April calls out ZTE for state-sponsored corporate espionage. "In the case of Chinese national champions, [government support] appears to include officially sanctioned or officially conducted corporate espionage designed to improve the competitiveness of Chinese firms while potentially advancing other government interests," the report said. "Huawei, [ZTE], and Lenovo are three Chinese ICT companies that exhibit some of these characteristics." Sanctions against ZTE were first imposed by the US in early 2017, after the Commerce Department discovered that the company had done business with Iran, in violation of existing US restrictions. Those sales of "hundreds of millions of [US] dollars'" worth of routers, microprocessors and servers to Iranian entities violated the US's Export Administration Act of 1979, according to the original complaint against ZTE. Later communications also charged that the company had sold products to North Korea, again breaking US restrictions. A settlement with Washington keeping the ban from going into effect was put in place on March 2017, after ZTE agreed to punish those responsible for covering up its sales to Iran and pay about two-thirds of a US$1.2 billion penalty. But on April 16 of this year, Ross's department re-activated sanctions against ZTE, claiming that the company had lied when it said it had taken measures against the employees who ran the Iran unit. Later communications also charged that the company had sold products to North Korea. The sanctions have prevented ZTE from receiving semiconductors and other components from suppliers including Qualcomm, Intel and Micron Technology, optical component suppliers Maynard, Acacia, Oclaro and Lumentum, as well as software suppliers Microsoft and Oracle, among others. "ZTE made false statements to the US government when they were originally caught and put on the entity list, made false statements during the reprieve it was given, and made false statements again during its probation," Ross said in April, when his department reactivated the sanctions. "The provision of false statements to the US government, despite repeated protestations from the company that it has engaged in a sustained effort to turn the page on past misdeeds, is indicative of a company incapable of being, or unwilling to be, a reliable and trustworthy recipient of US-origin goods," the commerce department said. Trump announced last month that he and his Chinese counterpart, Xi Jinping, were working on a plan to release ZTE from US sanctions, but backed away from the remarks days later, following criticism from Schumer and other lawmakers. At the time Trump said a resolution of the ZTE case was needed because it was "reflective of the larger trade deal we are negotiating with China and my personal relationship with President Xi". ^ top ^

China hopes U.S. will meet it half way (Xinhua)
2018-06-07
China hopes the United States will meet it half way and promote balanced and coordinated development of economic and trade cooperation between both countries, the Ministry of Commerce (MOC) said Thursday. Speaking about a statement issued by the Chinese economic and trade consultation team, MOC spokesperson Gao Feng said that the attitude of the Chinese side remains consistent and clear, that is, China does not want trade disputes between it and the United States to be escalated. To implement the consensus reached in Washington, Chinese and U.S. economic and trade teams held candid and in-depth consultations in Beijing from June 2-3 and made positive and concrete progress in many areas. According to the statement issued by the Chinese side, the economic and trade outcomes reached in the talks will not take effect if the United States imposes any trade sanctions including raising tariffs. During the consultations last weekend, both parties held in-depth and concrete discussions on some specific trade cooperation areas, particularly agriculture and energy, Gao told a press briefing. "China is willing to increase imports from the United States on the assumption that two parties meet each other half way," said Gao. Reform and opening-up as well as expanding imports are China's established strategies. It is willing to increase imports from other countries, including the United States, to meet the people's ever-growing needs for a better life and the requirements of high-quality economic development, said Gao. The Chinese market is growing and the China International Import Expo will be held this November, said the spokesperson, who also welcomed competitive products around the world to enter the Chinese market. Gao said China will create an international business environment, provide more convenient, transparent, and predictable terms of trade to benefit world enterprises, including those from the United States. Details of the consultations are yet to be confirmed by both sides, said Gao, noting that economic and trade cooperation between the two countries is always moving forward to achieve mutual benefits and win-win outcomes despite some twists and turns. China is willing to expand cooperation and properly resolve differences through dialogue and consultations. It hopes the United States will make joint efforts with China to maintain the stable and healthy development of economic and trade ties between both countries, said Gao. ^ top ^

China 'offered to buy US$70 billion in American products to remove tariffs' (SCMP)
2018-06-06
China has offered to buy almost US$70 billion of US products in exchange for the removal of tariffs placed by the Trump administration against Chinese products, it was reported on Tuesday. Chinese vice-premier and lead negotiator Liu He told his Washington counterpart in the discussions, Commerce Secretary Wilbur Ross, that Beijing would buy American agricultural and energy products including soybeans, corn, natural gas, crude oil and coal, The Wall Street Journal said. But Liu told US negotiators that offer would be rescinded if the Trump administration imposed US$50 billion in long-threatened tariffs, people briefed on the latest negotiations told the newspaper. The US is demanding that China reduce an existing US$375 billion trade deficit by US$200 million, cease state funding to Chinese companies that compete internationally, and stop Chinese companies from taking intellectual property from US companies as a prerequisite for doing business. It has promised to impose the tariffs by July 15 if no deal can be brokered. The package targets products produced in states that are key to Republican political power, including the US farm belts that supported Trump in the 2016 presidential election. Increased purchases of coal and natural gas from the US would also pump money into states such as Pennsylvania and West Virginia that will be Republican targets in November's midterm elections, the sources said. Ross informed Trump of China's proposed package on Monday and will continue trade talks on Tuesday, the insiders said. They added that Chinese officials had asked for confirmation that Trump would move ahead with his planned reprieve for Chinese telecom firm ZTE, which had sanctions placed on it for failing to follow through on reforms after it was found to be dealing with Iran. Those sanctions - including banning it from dealing with US companies for seven years - effectively caused it to shut down, impacting Beijing's planned "Made in China 2025" programme for superiority in AI, robotics and other technological fields. ^ top ^

 

DPRK

China may send fighter jet escort for Kim Jong-un when he flies to Singapore to meet Trump (SCMP)
2018-06-07
China could send fighter jets to escort Kim Jong-un when North Korea's Air Force One travels through its airspace for a meeting in Singapore with US President Donald Trump, a South Korean military source said, as Beijing tries to boost its influence over the regime ahead of the summit. "Escorting [a head of a state] with jets is one of the highest security protocols that the air force can provide," a source with the South Korean Air Force told the South China Morning Post. "If China does provide the escort, it may be a message directed at the US-ROK alliance that China is strongly backing up the Kim regime," the source said, referring to South Korea's official name, the Republic of Korea. Kim is known for being paranoid about his personal security, and details of the route he will take to reach the Southeast Asian city state – which is more than 4,000km from Pyongyang – for Tuesday's meeting are not known. But people familiar with Kim family security matters said Pyongyang would take "extra care" to ensure the safety of the North Korean leader, who is believed to be about 34. "The number of guards and Kim's travel routes will be North Korea's biggest security concern in Singapore," said Lee Yun-keol, who worked in a North Korean Supreme Guard Command unit – the personal bodyguard force tasked with protecting the Kim family – before defecting to South Korea in 2005. "Kim is also likely to fly to Singapore through China's airspace to ensure his security, so that he gets China's protection on his way to Singapore," Lee said. Preparations are continuing for the summit, with Singapore's Foreign Minister Vivian Balakrishnan travelling to Pyongyang on Thursday for a two-day visit as part of the diplomatic flurry. Balakrishnan will meet his North Korean counterpart Ri Yong-ho and Kim Yong-nam, president of the Supreme People's Assembly and the country's ceremonial head of state, according to a Singaporean government statement. Specific security arrangements are likely to be discussed and finalised during Balakrishnan's visit. The flight path to be taken by a state leader on an overseas trip is always carefully planned and not revealed, and it is not unusual for such flights to be escorted by air force fighter jets when they visit a country, according to Hong Kong-based military analyst Song Zhongping. But it was not common for jets to be sent to escort a foreign leader's plane when they were en route to a third country, Song said. "Usually, a leader's plane will have a close escort by air force fighter jets before they arrive at the border, and usually the host country will send fighters to wait for them at the border – it's like a relay in the air," Song said. "So theoretically it will be the duty of the Singaporean government to escort Kim's plane when it enters Singaporean airspace," Song said. While it is unlikely Chinese fighter jets will escort Kim's plane all the way into Singapore because of territorial airspace rules, they will be able to travel close to the city state's border due to Beijing's claims to most of the South China Sea, said Yue Gang, a retired People's Liberation Army colonel and Beijing-based military analyst. "The fighter jets will be flying in China's airspace and they won't have any offensive capabilities so it will be unlikely to cause any disputes," Yue said. On what was believed to be his first overseas trip by plane as leader, Kim travelled to Chinese coastal city Dalian – just 360km from Pyongyang – in early May on the Chammae-1, referred to as North Korea's Air Force One. With a range of about 10,000km, the four-engine, modified Soviet jet Ilyushin Il-62M will be able to make a non-stop journey from North Korea to Singapore. Making the surprise trip to Dalian by plane instead of by train, the Kim family's usual preference, prompted speculation that the North Korean leader could be preparing to meet Trump further afield before the location for the on-again, off-again meeting was announced. ^ top ^

Donald Trump says he 'doesn't have to prepare very much' for Kim Jong-un meeting because 'it's about attitude' (SCMP)
2018-06-08
US President Donald Trump said on Thursday that he is not worried about preparing for next week's meeting with Kim Jong-un in Singapore. "I think I'm very well prepared," he said, "I don't think I have to prepare very much. It's about attitude. It's about willingness to get things done." He added: "I think I've been prepared for this summit for a long time, as has the other side. I think they've been preparing for a long time also. So this isn't a question of preparation, it's a question of whether or not people want it to happen." "They have to denuke," Trump said of North Korea. "We cannot take sanctions off." Asked how many days the summit would last, Trump responded, "One, two, three, depending on what happens." Trump, who was hosting Japanese Prime Minister Shinzo Abe in the Oval Office for consultations before the Singapore summit, described the Kim meeting as "much more than a photo-op". Abe had requested Thursday's meeting with Trump to elevate his country's concerns about the summit. The US president predicted that he'll know very quickly whether Kim is serious about dealing with US demands. As for the summit sidelines, Trump said that he won't be playing golf with Kim and that, despite press reports, former NBA star - and friend of Kim - Dennis Rodman isn't on his guest list. "I like him," Trump said of Rodman. "He's a nice guy. No, he was not invited." Abe is pushing Trump to raise the issue of Japanese abductees held in North Korea and is seeking to ensure that Trump's efforts to negotiate an agreement with Kim don't harm Japan's interests. US allies in the region have expressed concern that Trump's push to denuclearise the Korean peninsula could ignore the North's sophisticated ballistic missile and chemical weapons programs. ^ top ^

Donald Trump says he might invite Kim Jong-un to White House after 'warm' letter from dictator (SCMP)
2018-06-08
US President Donald Trump said on Thursday that he was considering inviting North Korean leader Kim Jong-un to visit the White House following a "warm" letter given to him by the dictator. "It was a warm letter and nice and I appreciated it very much," Trump told a joint press conference at the White House with visiting Japanese Prime Minister Shinzo Abe, adding that he hoped to normalise ties with North Korea "when everything is complete". When asked if Kim would be invited to Washington or his Mar-a-Lago estate in Florida, Trump said: "Maybe we'll start with the White House, what do you think?" Trump and Abe held the joint press conference at the White House following discussions on the June 12 meeting between Trump and Kim in Singapore. They were then to head to Canada for what promises to be a tense Group of Seven summit clouded by the US leader's aggressive trade policies. With five days to go before the meeting, Trump assured reporters that the unprecedented summit was "all ready to go", and that "It's going to be much more than a photo op." At the start of the meeting with Abe, Trump said he also would raise the US trade deficit with Japan, a key American ally that was among countries hit by the metal tariffs Trump imposed this spring. "Obviously, we buy a lot of things from Japan – in particular, automobiles. We'll have to talk about that," Trump told reporters, adding that Japan also buys a lot of military equipment from the United States. Since the first inkling that a Trump-Kim summit could be on the cards, Japan has repeatedly insisted that Washington be mindful not to let its guard down with the nuclear-armed regime in Pyongyang. And by coming to Washington to see Trump for the second time in less than two months, Abe wants to be sure to get his point across to the US president, amid the intense diplomatic flurry over the future of the Korean peninsula. Before leaving Tokyo, the Japanese leader emphasised that during his lightning visit to Washington, he hoped to "closely coordinate and agree" with Trump on an approach to the North Korea issue. […] On Thursday, it could again be put to the test – beyond North Korea, they are also meant to discuss the controversial issue of tariffs, which Washington says were put in place to protect American workers. "I will stress that measures to restrict trade would not serve the interests of any country," Abe said before heading to Washington. ^ top ^

White House confirms leaders will meet on resort island of Sentosa (SCMP)
2018-06-05
The landmark summit between US President Donald Trump and North Korean leader Kim Jong-un will be held at Singapore's Capella Hotel on the island resort of Sentosa, off the city state's southern tip, the White House has confirmed. Trump's press secretary Sarah Sanders confirmed the venue on Twitter on Tuesday, writing: "The venue for the Singapore summit between @POTUS and Leader Kim Jong Un will be the Capella Hotel on Sentosa Island. We thank our great Singaporean hosts for their hospitality." The five-star hotel, owned by Singapore property firm Pontiac Land Group, was not an obvious choice among observers to host the June 12 event because, unlike the more central Shangri-La Hotel, high-key political meetings have not previously been held there. Sentosa island has just one land link with mainland Singapore – a 710-metre causeway. It is also connected with the mainland via cable car. The island has some two kilometres of sheltered beaches, two golf courses and is also the home of Universal Studios Singapore. It was once a pirate hang-out known as Pulau Belakang Mati, or "Island of Death from Behind". Today, Sentosa – which means peace and tranquillity in Malay – is one of Singapore's most prestigious addresses, with "good class" bungalows there costing up to S$50 million (US$37.4 million). "The location of Capella hotel which is separated from [the] mainland may serve as a virtual wall to keep out security threats from approaching the summit," Singaporean national security researcher Muhamamad Faizal Abdul Rahman told This Week in Asia. The White House announcement on Wednesday came hours after the Singapore government published a notice on its official gazette declaring the entire Sentosa island a "special event area" from June 10 to June 14 – giving police additional powers to stop and search people. Earlier this week, it issued a similar gazette order for the diplomatic district around Shangri-La Hotel, which is located next to the popular Orchard Road shopping district. […] The hotel also hosted the landmark meeting in 2015 between Chinese President Xi Jinping and the then Taiwan leader Ma Ying-jeou. Diplomatic sources on Monday told This Week in Asia that Pyongyang was insistent that the historic meeting could not be held in an American- or European-owned venue. ^ top ^

 

Mongolia

President of Russian Federation Vladimir Putin conveys message (Montsame)
2018-06-07
Today, Mr. Igor Yevgeniyevich Levitin, the Aide to the President of the Russian Federation, read out the message by the Russian President Vladimir Vladimirovich Putin dedicated to the participants of the Mongolia-Russia Economic Forum, being organized in the State Palace, in frames of the Mongolian-Russian Initiative – 2018. In his message, the Russian President said, "Dear friends, I would like to extend my heartfelt greetings to You on the occasion of the commencement of events in frames of the Russian-Mongolian Initiative – 2018. Russia highly values its relations with Mongolia, having maintained long-standing tradition of friendship, good-neighbor ties and mutual respect. Development of bilateral ties in all spheres under the comprehensive strategic partnership, is one of the priorities of our foreign policy toward Eurasia. Particular importance in this regard is attached to the expansion of the constructive political dialogue at all levels, as well as the realization of projects in such areas as transport, infrastructure, energy and agriculture. Events taking place in the scope of the Russian-Mongolian Initiative – 2018 provides great opportunities for cooperation with representatives of central and local authorities, businesses and social organizations of our countries. I believe that the encounters and meetings will facilitate a chance to extensively discuss various aspects of trade and economic, investment and industrial cooperation of Mongolia, and inspire commencement of new mutually-beneficial agreements, as well as exchange of professional practices and new advancements of science and technology." ^ top ^

World Bank to support Ulaanbaatar City on Municipal Transport Asset Management (Montsame)
2018-06-05
On June 5, a Memorandum of Understanding between the World Bank and Ulaanbaatar city was signed to facilitate cooperation on the management and planning of municipal transport assets, as part of the city's efforts to make its transport infrastructure more resilient to the impact of climate change. The agreement, signed by World Bank Country Manager for Mongolia James Anderson and Ulaanbaatar city Vice Mayor Bayarkhuu, marks the beginning of technical assistance supported by a grant from the Global Facility for Disaster Reduction and Recovery. Poor asset management and lack of long-term planning of urban transport infrastructure – roads, intersections, and bridges – have long constrained the quality of service delivery in UB city, which has a limited budget for road maintenance and repairs. Climate-related disasters such as flash floods, storms, and extensive icing on the road during winter add to the city's challenges and increase the need to boost capital investments in transport infrastructure. "The urban transport infrastructure provides the veins and arteries for the city, so ensuring their good management and long-term development is crucial to Ulaanbaatar's health," said World Bank Country Manager James Anderson. "The World Bank is committed to supporting public service delivery in Mongolia, including strengthening the capacity of national and local agencies to plan and manage public transport services." "In recent years, the Municipality of Ulaanbaatar has initiated and implemented a number of road and transport infrastructure investment projects," said Vice Mayor for Infrastructure and Redevelopment Mr. Bayarkhuu. "With harsh climatic conditions and increasing climate-related disasters, the existing infrastructure is vulnerable to rapid degradation. This support from the World Bank is timely and will benefit both public officials managing the city's transport facilities and residents who rely daily on the roads." As part of the collaboration, the World Bank will help the city to set up an inventory system for transport assets, which will include classifications and basic information for all urban transport assets. The initiative will also help develop the first phase of Ulaanbaatar's long-term plan to manage its transport infrastructure assets while ensuring the necessary maintenance and repairs to make the assets more climate resilient. Officials responsible for planning and maintenance of transport infrastructure – at the national and city level – will also be trained to carry out asset surveys and develop plans for asset management. ^ top ^

Russia and Mongolia discuss military-technical cooperation (Gogo)
2018-06-07
According to TASS News Agency, Minister of Defense N. Enkhbold and Minister of Defense of the Russian Federation Sergei Shoigu discussed military-technical cooperation issues in Kyzyl, Republic of Tuva. Minister N. Enkhbold is in Kyzyl as an honorary guest for the Commonwealth of Independent States (CIS) Defense Ministers' Council meeting. Minister Shoigu stated, "We are ready to provide support in developing military cooperation." He added that by participating in the council meeting, Mongolia can closely review activities that CIS countries have been undertaking to strengthen military cooperation. ^ top ^

Mongolian foreign exchange market proposed by the BoM (Gogo)
2018-06-07
Bank of Mongolia is preparing to submit proposed amendments to the Law on Currency Settlements to Parliament. The proposed amendments include establishing and developing a Mongolian foreign exchange market and improved monitoring of domestic currency market data. The Mongolian Bankers Association provided a proposal for the amendments that included removing state involvement from the inbound and outbound flow of currency, however, the government would be obligated to take measures to maintain the stability of currency exchange rates. The Mongolian Economic Analysis and Research Center believes that this proposed provision could help Cabinet maintain a proper level of government debt, thereby impacting currency stabilization. ^ top ^

By-elections and re-elections for Citizens' Representative Khurals to be conducted in 11 provinces (Gogo)
2018-06-04
The General Election Commission of Mongolia reported that by-elections and re-elections in some provinces and soums for Citizens' Representative Khurals will be conducted on June 24, 2018. According to the Law on Elections, by-elections are set to take place nationwide on the last Sunday of June. A total of 23,477 voters have been registered and polling stations have been set up in 29 soums of 11 provinces, including Bayan-Ulgii, Bulgan, Dundgobi, Zavkhan, Selenge, Umnugobi, Tuv, Uvs, Khovd, Khuvsgul, and Khentii. A total of 83 candidates will compete in the elections. General Secretary of the General Election Commission Ts. Boldsaikhan stated, "The automated election process will take place. Preparations are being undertaken at the moment. The by-elections will be conducted for 32 seats and the re-elections will be organized in 3 electoral rounds. ^ top ^

 

Selina Morell
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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