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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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  21-25.10.2019, No. 790  
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Switzerland

Chinese FM calls for deepening ties with Switzerland (Xinhua)
2019-10-23
Chinese State Councilor and Foreign Minister Wang Yi said here Tuesday that China and Switzerland should keep pace with the times and deepen their innovative strategic partnership. Speaking at a joint press conference with his Swiss counterpart Ignazio Cassis, Wang said there are several experiences worth sharing given that next year marks the 70th anniversary of diplomatic relations between the two countries. To deepen their innovative strategic partnership, the two countries should strengthen financial cooperation, said Wang, adding that Switzerland is a financial power and China is also speeding up the opening up of its financial sector, including banking, securities and insurance. The first foreign-owned joint venture securities company approved by China was a Swiss financial enterprise, and the two countries have broad opportunities for cooperation in the financial field. China is the largest manufacturing country in the world, and Switzerland has advantages in advanced manufacturing, said Wang, adding that the two countries can work together. Switzerland has unique technologies, and China has a good scientific and technological foundation and a huge market space, according to Wang. Swiss technology would benefit from the massive Chinese market. He added that China will strictly protect intellectual property rights and carry out technical cooperation in accordance with market rules. Wang noted that in order to realize the prospects for these three aspects of cooperation, an important prerequisite is to continuously consolidate the foundation of mutual trust between the two sides. "This is based on mutual respect, mutual understanding and mutual support for each other's core interests," he said. Wang said bilateral relations should be based on three principles. First, it is important that countries treat each other equally, which is a strong Chinese diplomatic principle. Countries, big or small, are equal members of the international community. Second is mutual respect, he said. Although the two countries have different historical, cultural and social systems, both countries respect the development path chosen by each other and should respect each other's differences. The third one is win-win cooperation. According to the minister, the two countries can complement each other's advantages to bolster growth. "China and Switzerland have become a model of win-win cooperation between different social systems, different stages of development, and countries of different sizes," he said. "These valuable experience are worth continuing to inherit." ^ top ^

UN should become main platform to practice multilateralism: Chinese FM (Xinhua)
2019-10-23
Texte Chinese State Councilor and Foreign Minister Wang Yi said here on Tuesday that the United Nations (UN) should become the main platform to practice multilateralism. Answering a question during a joint press conference with Swiss Minister of Foreign Affairs Ignazio Cassis in Bern, Wang said that Oct. 24 (United Nations Day) is the annual day to mark the founding anniversary of the United Nations, adding that Switzerland is an important venue of multilateral institutions such as the United Nations and the World Trade Organization (WTO). He said that it is of special significance to be here to recall the original intention of the establishment of the United Nations, as well as the original ideals and aspirations related to that institution, and to adhere to peace. The United Nations was founded after the painful lessons of World War II, and has played an indispensable role in safeguarding world security and stability, Wang said. Noting that unilateralism and power politics are on the rise in the world, Wang said the authority and status of the United Nations are being challenged as never before. United Nations Day offers an opportunity to review the purposes and principles of the UN Charter, Wang said, while urging countries to abide by the basic norms of international relations, unite against unilateralism and bullying, and safeguard the status and authority of the United Nations. The United Nations should become the main platform to practice multilateralism, Wang said. "We shall work together to meet various challenges. The United Nations should become the main channel for the peaceful settlement of hot issues, and settle disputes through dialogue and consultation. The United Nations should be the main driving force for the development of human society and actively promote the implementation of the (UN) 2030 Sustainable Development Agenda," Wang added. He said that the United Nations should keep pace with the times and constantly reform and improve itself. Considering that most of the member countries that joined the United Nations after World War II are developing countries, the United Nations should respect the stances of developing countries and safeguard their legitimate rights and interests. He added that China was among the first countries to sign the UN Charter. As a permanent member of the UN Security Council, China will do its part to fulfill its international obligations and work with other countries to safeguard the international system with the United Nations at the core, maintain the basic norms of international relations based on the UN Charter, and support the authority of the United Nations and its central role in international affairs. ^ top ^

Sunrise and Huawei establish first 5G joint innovation center in Europe (Global Times)
2019-10-17
Coordinating with Huawei, its strategic partner, Sunrise pioneered the introduction of the 5G network in Europe. By operating the initial 5G project in Europe, the two companies are strongly committed to providing 5G applications for both private and public sectors. The joint innovation center aims to assist Switzerland forging its 5G ecosystem. Meanwhile, in Opfikon (Switzerland), the headquarters of Sunrise, both the companies will enable the 5G application scenarios which have been previously launched or are about to be commercially applied. "Along with the opening of the first 5G joint innovation center in Europe, we are proving ourselves as a world-leading 5G provider who has stepped forward in this particular area. I feel extremely proud of us, being the first provider worldwide of the 5G cloud gaming service which is based on 4K resolution," said Olaf Swantee, CEO of Sunrise. At the same time, Huawei is also operating an OpenLab within the joint innovation center, equipped with the advanced technologies. The OpenLab enables developers of 5G applications to examine the applications and solutions in real scenarios before they are commercially applied. "The purpose of the establishment of the joint innovation center is to foster creativity, enhance the experience, and provide the 5G services," said Ding Yun, CEO and Executive Director of the Huawei Carrier BG. "The Center is significantly important to both Huawei and Switzerland. It is established for presenting the real application scenarios of the 5G network to its business customers and consumers. Meanwhile, it allows third-party companies to conduct further research and analysis upon ongoing 5G applications," said Wang Haitao, CEO of Huawei Switzerland. At Agroscope, an agricultural research center in Thurgau, Switzerland, researchers are using the updated 5G network to test the latest technologies in order to help the herdsmen to improve their cows' milk production and track cows' feeding processes. By ensuring the best health conditions of the livestock, this system is designed to achieve the highest milk production eventually. In terms of farming, farmers can track real-time data via field antennas. Antennas are particularly used for measuring the nitrogen content of the plants. And based on the data, farmers can conduct precision fertilization with a more effective and environmentally friendly approach. The international industrial company GF Machining Solutions focuses on highly precious manufacturing technologies. The 5G network has been fully deployed in the factory at Biel, Switzerland. The download speeds and transfer rates within the factory floor exceeded 1.1 Gbit/s, which is 10 times faster than it was before, which is preparing the factory with every single compulsory application for a seamless future production. In the coming November, Sunrise and Gamestream will jointly release their 5G Game Cloud application. For the very first time, users can indulge themselves in 4K gaming experience via any 5G supported device. The 5G network of Sunrise is characterized by stable connection, wide bandwidth, and low or zero-latency services. Following the official announcement last summer by St. Jakob-Park station, 5G has now been fully adapted. The new LAN and Wi-Fi infrastructure upgraded network speed above 10Gbit/s. After the completion of the infrastructural installations, ultra-HD cameras, monitors and sensors, real-time playback, virtual pitch tour,and multi-angles playback are widely available to the audience. In November 2019, Sunrise will launch the globally initial5G project at Glarus Alps (2,252 meters), Grisons, tailoring the first standardized 5G network for the ski resort. This project will provide diverse services to the whole ski resort, such as mobile internet with ultra-high-speed bandwidth and 4K live streaming. So far, Sunrise 5G network has already covered 262 towns (regarding the places with more than 80% percent coverage). Continuous expansion of 5G coverage is expected in big cities like Zurich, which will soon welcome the arrival of 5G. ^ top ^

 

Foreign Policy

Human trafficking feared behind 39 deaths: expert (Global Times)
2019-10-25
Chinese internet users expressed devastation upon hearing Thursday that police had confirmed the 39 people found dead in a refrigerated truck trailer in Essex, the UK were all Chinese nationals. The news garnered more than 610 million views and 149,000 comments as of press time on China's Twitter-like Sina Weibo. Net users expressed condolences for the victims and called for a comprehensive investigation. Many wondered where the victims were from and why they were on the truck. The Chinese Embassy in London said that it was in close contact with the British police to seek clarification and confirmation of the case in Essex. The embassy said in an earlier statement on Thursday that it had read "with heavy heart" reports. A Chinese Foreign Ministry spokesperson said in an online statement that it was in the process of verifying the reports. As of press time, the ministry said nothing more could be released. The bodies were found Wednesday in the back of a refrigerated truck trailer in an industrial estate near London, ITV News reported Thursday. Essex Police confirmed 31 of the victims were men, eight women and all were adults. Earlier reports incorrectly stated one of the victims was a teenager. The Essex Police said in a statement Thursday that they were working on piecing together the case, which was "the largest murder investigation in our force's history." The statement said they were undertaking extensive and thorough inquiries, meaning they "might not have all the answers straight away." The UK National Crime Agency told the Global Times on Thursday that they were working with partners, including Essex Police and Immigration Enforcement to provide specialist support to urgently identify and take action against any organised crime groups deaths." Detectives said the trailer containing the victims arrived at Purfleet from Zeebrugge of Belgium at around 12:30 am on Wednesday, while the front section came from Northern Ireland, ITV News reported. Driver Mo Robinson, 25, from Northern Ireland has been arrested on suspicion of murder, reports said. The trailer temperature could be as low as -25 C inside, according to the Mirror, implying that the 39 victims may have frozen to death. "I am horrified and deeply saddened by the discovery of 39 bodies in a lorry in the UK," Secretary-General of the UN António Guterres wrote on Twitter on Wednesday. "Those responsible must be swiftly brought to justice." The case echoed previous human trafficking cases involving Chinese nationals. In 2000, the bodies of 58 Chinese illegal immigrants were found in a truck in Dover. That truck was also driven from Zeebrugge to the UK and later confirmed to be a part of a Chinese gang smuggling route. According to Liu Guofu, an immigration law expert at the Beijing Institute of Technology, going abroad has become more convenient for Chinese nationals, providing opportunities for those who seek to illegally emigrate. "The illegal immigrants usually work in construction, restaurants or sweat factories. Some women may be forced to be sex workers abroad," Liu told the Global Times on Thursday. Illegal immigration from China to other countries has been declining in general in recent years, Liu said. "However, still quite a number of people are smuggling themselves into the UK and this case in Essex might reveal the tip of an iceberg of issues." Wang Yiwei, director of the institute of international affairs at Renmin University in Beijing, said, "Some forces think they could have opportunities to enter the UK in the chaotic situation of Brexit." Behind the illegal immigrants was "a complete chain of people smuggling," Wang told the Global Times on Thursday. In October, more than 10 Chinese being smuggled from East China's Fujian Province died in a shipwreck in the Caribbean. An article by Chinese Weekly in 2016 quoted an illegal immigrant in Portsmouth saying it cost 290,000 yuan (US$41,003) to be smuggled to the UK in 2008. Many Chinese immigrants leave via Fujian and their destinations are usually the US, the UK, Western European countries or Japan. ^ top ^

US Senate bill calls for ending sale of crowd-control munitions to Hong Kong (SCMP)
2019-10-25
US senators announced legislation on Thursday calling for a ban on sales of crowd-control munitions to Hong Kong law enforcement services, as unrest in the city entered its fifth month. Introduced by Senator Jeff Merkley, Democrat of Oregon, the bill would prohibit US companies from exporting so-called non-lethal crowd-control items – including tear gas, pepper spray, batons and rubber bullets – to Hong Kong, where local police have been battling protesters pushing the city's government to implement electoral reforms. The act mirrors bipartisan legislation in the House of Representatives, called the PROTECT Hong Kong Act, which passed on a voice vote last week. The Senate bill already has the bipartisan backing of a dozen other senators, including Republicans Marsha Blackburn of Tennessee and Rick Scott of Florida and New York Democrat Kirsten Gillibrand, who dropped out of the 2020 presidential race in August. An investigation by Amnesty International USA in July found that Hong Kong police were sourcing much of their munitions from American manufacturers. Citing incidents in which the police have allegedly flaunted the usage guidelines for such equipment, activists in the city have called on the US government to implement an export ban for months, while lawmakers have appealed directly to members of the Trump administration to review export controls. "It is unacceptable that US equipment is being used by Hong Kong police in the violent suppression of free speech," Blackburn said in a statement issued jointly by the bill's backers on Thursday. "Our belief in freedom of expression is paramount to who we are as a nation," she said. "As we express our solidarity with the people of Hong Kong in their pro-democracy protests, we must extend that sentiment to reach our commercial sector." Merkley said the US "should never be complicit in police violence against pro-democracy protests". The bill would require the administration to prohibit the issuance of export licenses for munition sales to Hong Kong within 30 days of the legislation's passage. It would become law with the signature of US President Donald Trump. He could veto the legislation, a move that Congress could overturn with a two-thirds majority vote. Violent clashes involving police, protesters and counterprotesters have hospitalised hundreds of people and temporarily shut down Hong Kong's subway system since demonstrations began in June over a proposed extradition bill that would have allowed criminal suspects to be sent to the mainland. Even after the government announced it would officially withdraw the bill, protesters have rallied around four other demands, including universal suffrage and an independent inquiry into the use of police force – a call that city leaders continue to reject. Thursday's bill is separate from the Hong Kong Human Rights and Democracy Act, which would place economic sanctions on individuals deemed to have violated the terms of Hong Kong's autonomy from mainland China. The House version of that bill passed last week along with the PROTECT Hong Kong Act. The Senate is expected to vote on the Human Rights and Democracy Act before the current legislative session ends on December 12. ^ top ^

Chinese premier meets top EU diplomat (Xinhua)
2019-10-24
Chinese Premier Li Keqiang met here Thursday with visiting European Union (EU) High Representative for Foreign Affairs and Security Policy and Vice President of the European Commission Federica Mogherini. China and Europe share broad common interests, Li said, adding that China has always supported the process of European integration and hopes to see a prosperous EU with unity. Noting that the new EU leadership is about to take office, Li expressed hope that both sides will continue to jointly uphold multilateralism and free trade, treat each other with respect and as equals, promote an early completion of the negotiations on an agreement of geographical indications and complete the China-Europe investment agreement negotiations next year as scheduled. Li added the two sides should enhance communication and coordination on major international and regional issues, and promote China-Europe relations and cooperation to achieve new progress. Mogherini said the new EU institutions will maintain the continuity of their China policies and continue to prioritize the relations with China in the EU's foreign policy. She added the EU is willing to work with China to deepen all-round pragmatic cooperation and strengthen cooperation on global and regional issues so as to contribute more to world peace and development. ^ top ^

Bolsonaro's China visit seeks to boost ties (Global Times)
2019-10-24
Brazilian President Jair Bolsonaro's first state visit to China aims to seek pragmatic cooperation to boost diplomatic and economic relations, a move that Chinese analysts said marks a stark reversal of his earlier tough stance toward Beijing and underscores the shared interests of the two emerging giants. During the three-day trip starting from Thursday, Bolsonaro will meet President Xi Jinping and other Chinese officials and witness the signing of business agreements covering agricultural, infrastructure, technology and other sectors, according to officials. Following meetings in Beijing, Xi and Bolsonaro will also meet early November in Brazil during the BRICS summit. Other items on the agenda for the Brazilian president's visit include discussions about the cooperation between the five-country BRICS bloc and the China-proposed Belt and Road Initiative (BRI), according to media reports. Bolsonaro's visit comes as the Brazilian economy, which is expected to grow by less than 1 percent in 2019, struggles to recover from a recession and as the US continues to pressure countries around the world, including Brazil, to adopt its hostile approach toward Beijing. "In wake of tremendous global uncertainty, everyone must be pragmatic and Bolsonaro has realized that he needs to take a balanced position between China and the US," Wu Baiyi, an expert on Latin America at the Chinese Academy of Social Sciences in Beijing, told the Global Times Thursday. During his election campaign, Bolsonaro criticized Chinese investments in Brazil and openly expressed admiration for US President Donald Trump, leading some to fear that Bolsonaro could adopt Washington's hostile approach to China. But since he took office earlier this year, the Brazilian president has toned down his rhetoric. "Despite his earlier tough talk, he knows that China cannot be replaced, not even by the US, in terms of trade and investment in Brazil," said Zhou Zhiwei, executive director of the Brazil research center at the Chinese Academy of Social Sciences in Beijing. China is Brazil's largest trading partner and the largest source of investment, Zhou noted. In 2018, bilateral trade between China and Brazil reached a record $100 billion and Chinese investment in Brazil totaled nearly $80 billion, according to official data. Cooperation in the agricultural sector has become a highlight of the bilateral trade ties between the two countries and the two sides should sign an action plan for further cooperation in the area, Chinese Minister of Agriculture and Rural Affairs Han Changbin told his Brazilian counterpart during a meeting on Thursday, according to the ministry. Han proposed to hold a meeting for agricultural next year in China and continue to promote Chinese crop seeds in Brazil, the ministry said in a statement. Brazil has also emerged as a beneficiary in the China-US trade war, as China has increased imports of agricultural goods, particularly soybeans, from Brazil, which became an ideal alternative source of agricultural goods for China as it diversifies its import channels to reduce reliance on US farm goods. Even as China resumed imports of US soybeans as trade talks made progress, it continues to buy Brazilian soybeans, which are generally cheaper than those from the US. In the week after the latest round of trade talks, China purchased $173 million worth of Brazilian soybeans, Reuters reported on Tuesday. Apart from further expanding its commodity trade, Brazil is also seeking to participate in the BRI's massive infrastructure and trade programs, said Wang Youming, director of the institute of developing countries at the China Institute of International Studies in Beijing, who follows developments in Brazil closely. "Many Brazilian scholars describe the BRI as the largest opening of the Chinese economy since China's accession to the WTO and [Bolsonaro's] advisors are advocating Brazil participate in the BRI," Wang told the Global Times on Thursday. ^ top ^

US Navy secretary says countering China will require 'all of government' response (SCMP)
2019-10-24
The secretary of the US Navy said on Wednesday that for the US to meet the challenge of countering the threat of China, it would need to take a page from China's playbook and employ an "all of government" approach. Additionally, Richard Spencer said, that approach required a larger reliance on US allies in the Indo-Pacific region. "We have a competitor now that has no differentiation between military and civilian," Spencer said in an address at the Washington-based Brookings Institution, referring to China's unified approach across its public and private sectors when it comes to competing with the US. "It is an all-of-government approach." "I continually underscore that this is an all-of-government [effort] that we must do," Spencer, who also briefly served as acting defence secretary, said. By that, he said, he meant the Pentagon needed to coordinate efforts with other governmental agencies, including the Commerce, Treasury and Agriculture departments. As it battles China on trade, technological and diplomatic fronts, the US government has taken several steps toward that end. In just one example, last year Congress and US President Donald Trump expanded the review authority of the Committee on Foreign Investment in the United States (CFIUS) to include a wider variety of deals. The inter-agency body, which coordinates with Defence and other departments on its assessments, was given greater powers to halt pending transactions and unwind those already completed. While specific countries were not named in the legislation, the change was prompted by escalating warnings from several federal agencies that Chinese companies buying American assets could pose national security threats by transferring "dual-use" technologies to Beijing. In June the Pentagon created a new office with the sole purpose of monitoring China affairs, the latest effort by the Defence Department to counter Beijing's expanding influence. Spencer said it was essential for the military services to work in tandem – and with regional US allies in Asia. "We are greater when we integrate more closely with the Marine Corps, the joint forces, [and also] our allies and our partners. Washington seeks to maintain its military engagement in the region amid escalating tensions between Beijing and some Southeast Asian nations – Brunei, Malaysia, Vietnam and the Philippines among them – over territorial claims in the South China Sea. Southeast Asian countries have disputed the "nine-dash line" Beijing has drawn around what it says are its historic claims in the region. China has also built artificial islands, reclaimed land and installed airstrips and military equipment in the waters. Washington is not a claimant in the waters, but it has pushed its Indo-Pacific strategy to contain China's military expansion in the Pacific and Indian oceans. In August, the US sent the USS Ronald Reagan aircraft carrier and its strike group – about 7,500 personnel, two guided-missile cruisers, a squadron of at least two destroyers or frigates, and a carrier complement of 65 to 70 aircraft – to the Philippines for a show of military might. "We're encompassing all the Pacific. I look at New Zealand, and I look at Australia … I look at what we're doing with South Korea, [and] our traditional manoeuvres with Japan," Spencer said. "[These nations are] lead countries, playing their integral part. We have to do this together. The US is not going to land there with big boots, big ships and big guns and go 'follow me'." ^ top ^

'Preposterous': China's protests over new US diplomatic rules fall on deaf ears (SCMP)
2019-10-24
Chinese officials howled last week when the Trump administration – protesting alleged restrictions American envoys face in China – announced new rules to track the official activities of Chinese diplomats on US soil. The Chinese embassy in Washington contended that the move was a violation of the Vienna Convention, the United Nations' 1961 treaty governing diplomatic relations. And claims that US diplomats' movements in China were restricted were "simply not true", the foreign ministry in Beijing asserted the next day, calling on Washington to withdraw its new rules. Yet Beijing's protests have fallen on deaf ears – not only among those in the current US administration, but also among former US diplomats who have spent years on the ground in China. The new rules require Chinese diplomats to notify the US State Department in advance of meetings with state and local officials and visits to research and educational institutions. In a previously undisclosed detail, a State Department official said on Tuesday that, "notwithstanding emergency situations", the Chinese foreign mission must submit such notifications five days prior to travel. The change, officials said last week, was intended to dump a "paperwork burden" on the Chinese mission to the US – and thus force Beijing to relax its own restrictions on American diplomats in China that had stymied their ability to do their job for "many, many years". Beijing's assertion that US emissaries are free to meet with whomever they please was "preposterous", said James Green, a former State Department and trade official who in 2018 ended five years as Washington's top trade representative at the US embassy in China. Interaction with educational institutions, government agencies and even some private companies in China frequently require the involvement of the body's foreign affairs office, which will relay requests to the foreign ministry, he said. "There's just a number of times in which a senior person like an ambassador would set something up and then the Chinese will call back and they'd say 'bu fangbian' – it's 'not convenient' for that meeting to happen," said Green, now a senior adviser on Chinese matters at McLarty Associates. A US Senate subcommittee report released earlier this year cited more than 80 instances in recent years in which, the report found, the Chinese government had interfered in public diplomacy projects. Citing internal State Department records, the report noted numerous occasions in which US officials were prevented from visiting cultural centres – including those wholly or partly funded by the US government itself. Some events that were to be hosted by or involving the US embassy were also cancelled. In one instance dating from March 2018, a State Department official was refused a visit to a US cultural centre on grounds that the centre was "no longer in existence". The official subsequently received confirmation from the centre's American director that it was still open and active, the report found. In many instances, Chinese government officials gave no reason for the obstruction, according to the report. Late last year, the US ambassador to China, Terry Branstad, was himself denied a visit to a State Department-funded cultural centre at a university in Henan, The New York Times reported. "The truth is that we have a very open system and they have a very closed system," he was reported as saying by Associated Press on Monday, after Beijing protested the new US requirements. Moreover, the restrictive environment for US diplomats in China was not always the result of direct government intervention, according to Green, who said that Chinese researchers often showed a reluctance to speak candidly with US officials, particularly on matters deemed "sensitive". "There is a pervasiveness of fear in Chinese civil society [about] talking to American diplomats," he said, adding that the foreign ministry "doesn't do anything" to dissuade those concerns. The Chinese government said last week it had lodged a formal complaint with the US government over the new requirements facing its envoys. The State Department official said on Tuesday that the government expected Chinese officials to adhere to the new regulations, but would not say what – if any – punitive measures would be taken in cases of non-compliance. "Any failure to comply will be reviewed on a case-by-case basis," the official said. Central to Beijing's protests is the claim that the new requirements violate Article 25 of the Vienna Convention on Diplomatic Law, which stipulates that the receiving state "shall accord full facilities for the performance of the functions of the mission". As Ronald Neumann, a former US official who served as Washington's top envoy to Algeria, Bahrain and Afghanistan, noted, "Lawyers can have a field day on what is required for the performance of one's mission". Regardless, he said, Beijing had no leg to stand on in such matters. "If there is any violation, the Chinese have been violating it for years," said Neumann, now president of the American Academy of Diplomacy. "They demand permission – actual affirmative permission – rather than notification." John Quigley, an expert in diplomatic and consular law, acknowledged the requirement of notification five days in advance was a "serious impediment" to the function of China's mission to the US. "It still doesn't prohibit meetings but it means it has to be something that's organised well in advance," said Quigley, professor emeritus of law at Ohio State University. In its protests against the policy, noted Quigley, the Chinese government has not invoked stipulations within the Vienna Convention – named in Article 47 – that prohibit host states from discriminating between countries in their treatment of foreign diplomats. But given that Article 47 does allow for discrimination when the receiving state's own diplomats are subject to the same restrictions within the borders of the sending state – in this case, China – Quigley said it was possible that China was reluctant to highlight the clause for fear of increasing scrutiny of its own treatment of US diplomats. In a bid to demonstrate its openness to foreign diplomats, the Chinese embassy said last week that the US enjoyed a surplus in personnel when it came to the two countries' respective diplomatic corps, though it offered no figures to support the claim. But when access is limited, body count alone is hardly a panacea, said Green, the former diplomat. "You put an extra five people or 20 people or 25 people in the consulate in Guangzhou, you're not getting 25 times more reporting," he said. "You're not getting 25 times more access to Chinese people in southern China." The Chinese embassy in Washington did not respond to repeated inquiries about whether it intended to elevate its protest against the State Department's new rules beyond its complaints. But Beijing's options to do so would be limited, said Quigley, given that claims pertaining to the Vienna Convention can only be settled at the International Court of Justice – and that depends on both parties being members of the convention's optional protocol. China has never been a member, and the US withdrew last year after Palestinians filed a complaint over Washington's decision to move its embassy from Tel Aviv to Jerusalem. "Effectively," said Quigley, "there isn't really any way [China] can get a ruling." ^ top ^

China blocks 23 per cent of 215 accredited foreign news sites, watchdog says (SCMP)
2019-10-22
China's "Great Firewall" system of online censorship blocks domestic access to nearly a quarter of the foreign news organisations accredited to report in the country, a press watchdog said on Tuesday. Beijing bars its citizens from accessing the publicly available websites of 23 per cent of 215 international news organisations that have journalists based in China, the Foreign Correspondents' Club of China (FCCC) said in a statement. Thirty-one per cent of news organisations that publish primarily in English, the most widely spoken foreign language in China, are blocked, it said. The statement did not give absolute numbers but said the percentages were determined via an analysis by the press club and GreatFire.org, which tracks Chinese online censorship. It was released on the final day of the sixth annual World Internet Conference in the east China city of Wuzhen, which the ruling Communist Party uses to further its argument that governments should be able to police their own online turf. "China's internet controls have been used to block a growing list of global news sources," the FCCC said. "Those digital blocks run counter to the ethos of internet openness, and prevent Chinese access to valuable sources of independent reporting on international matters, as well as China's own domestic affairs." The blocked sites include the BBC, Bloomberg, The Guardian, The New York Times, The Wall Street Journal, Washington Post, Japan's Yomiuri newspaper and many others, it said. According to the government, 536 foreign journalists have accreditation to report in China, the statement said. The so-called Great Firewall is considered the world's biggest and most sophisticated censorship apparatus. It blocks a slew of foreign sites including Facebook and Twitter, and Google shut down its search engine in China in 2010, refusing Beijing's requirement to censor search results. ^ top ^

French president meets Chinese FM on ties (Xinhua)
2019-10-22
French President Emmanuel Macron met Chinese State Councilor and Foreign Minister Wang Yi at the Elysee Palace here on Monday. Macron asked Wang to convey his cordial greetings and best wishes to Chinese President Xi Jinping. Macron said Xi paid a successful state visit to France in March and reached important consensus with him on further developing France-China relations. The French president said he made a phone call with Xi last week and exchanged views in a comprehensive and in-depth manner on bilateral ties and practical cooperation. Macron said he is looking forward to his upcoming state visit to China, during which he will attend the second China International Import Expo (CIIE), in a bid to lift France-China comprehensive strategic partnership to a new stage and make new strides in cooperation in areas including trade, agriculture, finance, civil nuclear power, and people-to-people exchanges. France is actively committed to promoting the development of Europe-China relations and is willing to enhance coordination and cooperation with China in multilateral and global affairs to jointly address such global challenges as the fight against climate change and the protection of biological diversity, he said. For his part, Wang conveyed President Xi's cordial greetings to the French president. Noting that China warmly welcome Macron for his upcoming visit, Wang said the visit will be another important strategic communication between the two world's major countries as well as two permanent members of the UN Security Council and two civilizations representing the East and the West. At present, unilateralism and protectionism are prevailing, and it is necessary for China and France to join hands in maintaining multilateralism and upholding the authority of the United Nations and basic norms governing international relations, said Wang, adding that these are the global responsibilities that both countries should shoulder. Wang noted that China is working with France to make careful preparations for Macron's visit and accumulate more achievements to ensure the success of the visit and to send out a positive signal of enhancing China-France cooperation to the international community. He said that China will further open up to countries including France, and China welcomes President Macron to attend the second CIIE to bring more quality French-style products. Also on Monday, Wang met with French Foreign Minister Jean-Yves Le Drian and co-chaired the fifth meeting of the China-France High-level Mechanism for Dialogue on People-to-People Exchanges. Wang also met with Emmanuel Bonne, diplomatic counselor to Macron. ^ top ^

 

Domestic Policy

Communist Party elite to meet from Monday to set China's agenda (SCMP)
2019-10-24
The elite of China's ruling Communist Party will meet for their long-awaited fourth plenum from Monday, according to state media. More than 300 full and alternate members of the party's powerful Central Committee will gather behind closed doors for four days in Beijing to discuss how to improve the country's socialist system and governance, according to state news agency Xinhua. The gathering was announced on Thursday at a Politburo meeting chaired by President Xi Jinping, who is the party's general secretary. It is the first full meeting of the Central Committee in nearly 20 months, the longest interval between two plenums – as they are officially called – in recent decades. The wait – seen by some China-watchers as a delay – has fuelled much speculation about discord within the party, as it grapples with headwinds from a trade war with the United States, slowing economic growth and – since this summer – a political crisis in Hong Kong. But others argue that given the previous plenum was convened ahead of schedule, the meeting this time does not amount to a delay. In spring last year, an additional plenum was squeezed in before the annual legislative meeting for leaders to approve a reorganisation of party and state agencies. Next week's gathering will be the committee's first policy-setting meeting to map the country's way forward. The main agenda is to "discuss important issues concerning how to uphold and improve the socialist system with Chinese characteristics and how to make progress in modernising the country's governance system and capacity" – a mouthful even by the party's standards. But analysts say it ultimately translates into the party's determination to further strengthen its rule at all levels and in all aspects of governance, in the face of challenges at home and abroad. "The point of this plenum is to institutionalise the party's effort to strengthen its absolute and comprehensive leadership of the country and society since the 19th party congress," political analyst Chen Daoyin said, referring to a key party meeting in October 2017 that marked the start of Xi's second term in power. As part of its effort to "modernise" governance, the party rolled out sweeping institutional reforms in spring last year, merging a number of state institutions and bringing them under the direct control of the party. The move was widely seen by observers as a further attempt by Xi to blur the line between the party and the state – a stark departure from efforts to delineate the two since the 1980s. The statement from Thursday's Politburo meeting said the modernisation of state governance should serve to improve the institutions and systems that support "socialism with Chinese characteristics". It also again laid out the milestones from now on to 2049 to achieve the goal. A draft communique on the party's modernisation course for China will be presented to the Central Committee for endorsement. The plenum is also expected to reveal changes to the Central Committee's membership, with two alternate members poised to fill vacancies. Disgraced former top securities regulator Liu Shiyu, and Zheng Xiaosong, the central government's former top official in Macau who fell to his death last year, are expected to be replaced by Ma Zhengwu, chairman of state-owned investment conglomerate Chengtong Group, and top naval engineer Rear Admiral Ma Weiming. ^ top ^

China's new law aimed at equal market treatment draws scepticism from observers (SCMP)
2019-10-24
A new law aimed at addressing concerns that China treats foreign firms unfairly will be hard to put in practice because of the country's centralised political system and opaque judiciary, analysts and businessmen said. Beijing on Wednesday passed legislation aimed at levelling the playing field for overseas companies operating in China by promising to promote a market-driven system that provided a "stable, fair, transparent and predictable environment" for business. The legislation, which will come into effect on January 1 next year, is China's latest effort to demonstrate it is committed to opening up market access and is taking United States complaints about unfair trade practices seriously. The law includes 72 parts, ranging from equal protection of rights and market access to punishments for intellectual property violations. But some observers have already raised questions about its implementation. "Because there is a strong government and a centralised system in China, [the government] controls key resources for production and allocation," said professor Li Jianwei from the Civil, Commercial and Economic Law School at the China University of Political Science and Law. In reality it was not possible for there to be fair play among state-owned, foreign and private companies in China, he said at a forum on state sector reform in Beijing on Wednesday. "If private businesses want to flourish, they will always have to depend on political will." Sun Dawu, chairman of private company Hebei Dawu Agriculture Group, who also spoke at the forum, said even after the law is implemented non-public companies would not receive equal protection. "Unfair allocation of resources is not the most important thing - the most important is the fairness of judicial system. China's entrepreneurs are all walking the road towards prison," said Sun, who was imprisoned in 2003 for illegally taking public funds. The new law promises to maintain "a fair and competitive market", cut taxes and fees, and streamline the business environment, including financing and business withdrawal, the government statement said in a statement. A section on "service reform" promised to minimise "the direct allocation of government resources to the market" and shrink direct government intervention in "market activities". It also said it would strengthen supervision and improve local government services. The Chinese government will set up a system to punish and compensate instances of intellectual property infringement, and improve settlement disputes. China banned forced technology transfer as part of a foreign investment law set to come into effect on January 1, 2020. The new rules appear to address a number of concerns raised by China's biggest trading partners, the US and European Union, both of which have long complained about China's preferential treatment of local companies and heavy-handed government interference in the world's second largest economy. "The new regulations that will be implemented at the beginning of 2020 seem like another move in the right direction, but we still have a lot more work to do to ensure or members are treated equally to Chinese companies," said Joerg Wuttke, the president of the European Chamber of Commerce in China. The law does not mention state firms or state subsidies, among the most contentious issues for US negotiators in trade talks. Washington has demanded China limit and be more transparent with state subsidies that have fuelled industrial overcapacity and market distortion in industries like steel. Beijing insists that all state companies are "independent market players" and are self-financed and self-sustained. Ning Jizhe, a key member of China's delegation, said the new law was warmly received when it was shared with US trade negotiators in Washington earlier this month. China and the US have been locked in a tit-for-tat trade war for the past 15 months, but the two sides reached an interim agreement on what US President Donald Trump called a "substantial phase one deal" earlier this month. Trade negotiators are working on a text that the US president and President Xi Jinping could sign in mid-November when they meet at the Asia-Pacific Economic Cooperation summit in Chile. ^ top ^

Overloaded trucks officially blamed for collapse in Wuxi (China Daily)
2019-10-24
The collapse of an overpass in Wuxi, Jiangsu province, which killed three and injured two, was caused by heavily-overloaded vehicles, according to the country's transport authority on Thursday. The collapse of the upper span bridge, which is 82 meters long and 9.5 m wide, happened on Oct 10 at the section of National Highway 312 in Wuxi after two excessively overloaded trucks carrying piles of steel coils used the overpass in succession. A woman and her 5-year-old daughter were crushed to death in their car. A man in another car was also killed, and two other people were injured. Zhou Rongfeng, deputy head of the Ministry of Transport's road network management department, said at a news conference that the two trucks, each carrying more than 100 metric tons of steel, caused the accident. Zhou stressed that the overpass itself was structurally sound. "The bridge was constructed in 2005 and passed the acceptance check in 2007. "The main body of the bridge is complete without any breakage or transverse cracks, and its design meets relevant standards," Zhou said. A preliminary investigation suggests that an overweight semitrailer passing over the bridge caused the overpass to tip to one side, he said. The investigation of the accident is ongoing. The ministry will step up efforts to strengthen the quality and management of highway and waterway projects in a bid to better protect people's safety, according to Wu Chungeng, spokesman for the ministry. The ministry has launched a three-year safety inspection to rectify potential hazards in construction projects on highways and waterways, boost safety awareness, and punish violations of laws and regulations, he said. More than 2.29 trillion yuan ($327 billion) was spent on transport infrastructure in the first three quarters of the year, with more than 1.67 trillion yuan going to roads and waterways, Wu added. ^ top ^

China Focus: Various provisions in place to fortify legal protection of minors (Xinhua)
2019-10-24
As the bimonthly session of the National People's Congress Standing Committee goes on, the protection of minors has become an instant hot topic among both Chinese lawmakers and the public. Draft revisions to the Law on the Protection of Minors and the Law on the Prevention of Juvenile Delinquency have been submitted and reviewed by the lawmakers, putting in place a number of new and modified provisions to strengthen the legal protection of the country's juveniles. As the minors protection law was last revised in 2006 and the juvenile delinquency prevention law enacted in 1999, both laws were found to have difficulties helping solve certain contemporary problems, which made the potential revisions necessary. New stipulations on cyberspace protection were highlighted in the draft revision to the Law on the Protection of Minors, covering issues such as the management of cyberspace, the protection of personal information and anti-addiction measures in a bid to give well-rounded protection to minors both online and offline. For instance, the provisions stipulate that venues that provide internet service for minors such as schools and libraries should install protection software concerning minors' online activities on their systems. Moreover, the provisions stress the management of minors' time spent on online games and ask online game suppliers to categorize their products, set reminders and take technical measures to keep minors away from games that are not suitable for them. According to a report released by the China Internet Network Information Center (CNNIC) in June, the number of internet users in China reached 854 million, with over 20 percent under 19. The Internet has become an unavoidable part of reality for the current generation of juveniles, and a lot of parents' concerns about minors' usage of the internet as well as some schools' rules against students taking cell phones to school showed the urgency to improve relevant laws, according to Zhang Jie, a researcher at the Communication University of China. "The draft revision has timely responded to society's demands with such provisions," said Zhang. As bullying among minors becomes a bigger social concern in the country, both draft revisions have underscored the action against it and specified the dos and don'ts on the issue. A report of the CNNIC has shown that as of July 31, 2018, 15.6 percent of the 169 million minor netizens said they had suffered from cyber-violence. According to the draft revision to the Law on the Prevention of Juvenile Delinquency, schools should further strengthen their daily safety management, set up prevention and control systems against bullying among students and handle hidden factors that might cause bullying. Schools should play the major role in dealing with bullying incidents and let in the police to handle incidents that cause severe damage to the bullied students' bodies and minds, the provisions stipulate. The draft revision to the minors protection law also eyes online bullying, as it stipulates that any organization or individual should not insult, slander or threaten minors by any means. The draft revision to the juvenile delinquency prevention law proposed more support from social sectors given the significance of a fine social environment to minors. Youth, women and student organizations, as well as trade unions, should assist governments and law enforcement agencies at various levels in the initiative, so as to provide and cultivate social support, according to the draft. The government shall encourage and guide social organizations to take part in work related to the prevention of juvenile delinquency, introduce favorable policies and strengthen the management, says the draft. The other draft revision has made the chapter social protection more specific, adding stipulations including that employers in businesses that require close contact with minors must inquire the police when recruiting whether an applicant has an illegal record of seriously harming minors, which may refer to acts including sexual assault against minors. Organizations in these businesses should also examine their personnel on a regular basis on whether they have negative records concerning minors, and dismiss anyone who does have such a record. ^ top ^

Chinese marine research vessel returns after deep-sea exploration (Xinhua)
2019-10-24
Chinese marine research vessel Haiyang 6 (Ocean 6) has completed its deep-sea exploration mission in the Western Pacific ocean after 122 days and 35,000 km at sea. The vessel, which is under the Guangzhou Marine Geological Survey (GMGS), Ministry of Natural Resources, returned to Guangzhou on Wednesday. According to the GMGS, the mission has carried out a comprehensive geological and geophysical survey in some areas of the Northwest Pacific Ocean and obtained sediment samples rich in rare earth elements, laying a foundation for the scientific research on deep-sea ecosystems and evaluation of new resources. Meanwhile, the expedition team also carried out the annual investigation in the contract area of cobalt-rich crusts. China signed a cobalt-rich crust mining contract with the International Seabed Authority in April 2014. The crust is located in the seamount area of the Northwest Pacific Ocean, covering some 3,000 square km. China is entitled to survey the area and conduct experiments in mining and smelting for 15 years, is obliged to hand over two-thirds of the area within 10 years and provide training to technicians from other developing nations. He Gaowen, a GMGS engineer, said that during the mission, the researchers optimized the performance of the acoustic sensor system of in-situ thickness measurement, which enables precise detection of the cobalt-rich crusts and improves the stability and efficiency of deep sea shallow drilling. The Haiyang 6 is the first modern comprehensive geophysical survey ship designed and built independently in China, whose basic design inspired many marine scientific survey vessels in China. Since 2009, the vessel has carried out 55 missions to the South China Sea, the Pacific Ocean and the Antarctic waters. ^ top ^

China unveils major policies to improve biz climate (Global Times)
2019-10-23
China on Wednesday unveiled sweeping administrative rules aimed at improving the business climate in the country, officially throwing legal and institutional support behind the country's long-stated goals to create more stable, transparent and fairer market for all types of businesses. Coming at a time when the world's second-largest economy is under intense downward pressure from both external trade tensions and internal economic transition, the new rules, released by the State Council, will help allay concerns in the business community and pave the way for deepening reforms and opening up, analysts noted. Premier Li Keqiang signed a decree for the release of the regulation on improving the business environment, set to take effect on January 1, 2020, the Xinhua News Agency reported on Wednesday. The new regulation clearly stipulates that the government will equally protect "all types" of businesses, ensure they use factors of production and take advantage of policy support legally and fairly, Xinhua reported. China will also push for the establishment of a national platform for market entities to streamline administrative applications and the approval process, and standardize intermediary services, Xinhua said. The State Council also stipulated equal market access and maintaining a fair market order, the report said. To continually improve the business climate, "it was necessary to form special administrative regulations to provide guarantee and support for optimizing business environment on the institutional level," Xinhua said. While Chinese policymakers have long been vowing and have made efforts to improve the business environment for foreign and private companies, it is the first time the country has issued an administrative regulation on the matter with legally binding force, said Cong Yi, a professor at the Tianjin University of Finance and Economics. The move showed the official resolve for implementation of the regulation as officials "must carry out their responsibilities stipulated by the law and avoid behaviors unauthorized by law," Cong told the Global Times. As trade tensions persisted between China and the US and as economic growth continued to slow, the release of the regulation offered some uplifting news for companies during a difficult time, analysts said. "[This] is a correction to the tight liquidity faced by businesses earlier," Cao Heping, a professor at the school of economics at Peking University in Beijing, told the Global Times on Wednesday. Certain policies must be implemented as soon as possible to help companies, Cao said. The regulation also stipulates that the government will help companies overcome difficulties in fundraising and will implement earlier measures to reduce taxes and administrative fees to ease their burden, according to Xinhua. The move also sought to reassure foreign investors, who have long complained about business conditions in the Chinese market. The regulation offers protection for all types of businesses, including foreign, analysts said. Such complaints are also at the heart of the trade dispute between China and the US. Cao said that while China has been continually carrying out market reforms and further opening up its market, others, particularly the US, have been doing the opposite to limit market access. "China treats foreign companies way better than certain foreign countries treat Chinese companies," he said, pointing to the US crackdown on Chinese telecom giant Huawei. Chinese officials also firmly pushed back on what they call unfounded criticism and smearing of the Chinese economy. On Wednesday, the Foreign Ministry harshly criticized US official's claim that the Chinese economy was in its worst pace of growth and favors the US in trade negotiations. "Smearing others will not resolve their own problems and will not be conducive in addressing differences through consultations," Hua Chunying, a spokesperson for the Foreign Ministry, said. Growth in the Chinese economy further slowed in the third quarter of the year to 6 percent from 6.2 percent in the second quarter. But the figure is still within the targeted range of between 6 percent and 6.5 percent set by policymakers earlier this year. ^ top ^

Xi says country willing to jointly tackle problems (China Daily)
2019-10-22
China is willing to work together with countries in the Asia-Pacific region to tackle security challenges, but it is resolute in safeguarding its sovereignty, security and development interests, senior military officials said on Monday. In his congratulatory letter to the opening of the ongoing ninth Beijing Xiangshan Forum, President Xi Jinping called for Asia-Pacific countries to jointly address security challenges, safeguard international order and facilitate the long-term peace of the region via dialogue and cooperation. Maintaining lasting peace and prosperity in the Asia-Pacific is in the common interest of all countries and regions in the area, and it will require different countries to contribute their wisdom and ability, said Xi, also general secretary of the Communist Party of China Central Committee and chairman of the Central Military Commission. While facing complex security threats, nations should unite and uphold the global order with the United Nations as its core, continue to optimize security partnerships, and create security mechanisms that are suitable to the region's development and situation, he said. Launched in 2006, the forum is China's premier multilateral platform to discuss Asia-Pacific security and defense issues. It is sponsored by the China Association for Military Science and the China Institute for International Strategic Studies. This year's forum has drawn more than 600 military personnel and representatives, including 23 defense ministers. Seventy-six delegations from various countries and international organizations, including the United Nations, the United States, Russia, Egypt, Vietnam and Brazil, are attending the forum, which makes the event the largest of its kind. In the keynote speech delivered at the forum on Monday, General Wei Fenghe, state councilor and minister of national defense, made clear the Chinese military's resolution in safeguarding national interests. He said China will not accept or be intimidated by "big stick diplomacy" or "long-arm jurisdiction", which he said are ineffective in solving problems. Calling China the only major country that is still striving for national reunification, Wei said that the momentum of China's reunification cannot be stopped by any individuals or forces. "We will not relinquish a single inch of territory passed down from our forefathers." Wei warned that the Chinese military will not allow Taiwan secessionists to keep making reckless and desperate moves, nor will it allow foreign forces to interfere in the Taiwan question. "National reunification is the only rightful path, and pursuing secession is a dead end," he said. When discussing China's military-to-military relations, Wei said it is normal for countries to have their differences, but "China hopes countries around the world will treat each other with fairness and respect, not bullying the weak or acting condescendingly". He added that China will never attach any political strings, force nations to take sides, interfere in other countries' domestic affairs or push its agenda onto others. Wei said that China-US military-to-military relations, while seeing their fair share of issues, are still generally stable, but both countries should enhance cooperation in properly managing risks and tackling common challenges. Wei also called for a new type of security partnership based on equality, mutual trust and win-win cooperation, given current risks and challenges. When tackling global security issues ranging from terrorism to cybersecurity, "no country can insulate itself and be disconnected from the world. Only through dialogue and joint effort and mutually beneficial actions can we find a way to let all people from the world live a better life," he said. Russian Defense Minister General Sergei Shoigu said at the forum that growing Russia-China military relations provide a shining example of a security partnership based on equality, mutual trust and practical cooperation, which has also contributed positively to overall bilateral ties as well as peace and security in the region. Egypt's Minister of Defense and Military Production General Mohamed Zaki said the forum has allowed militaries to share their experiences, build consensus and jointly enhance cooperation and capability to jointly tackle security issues. ^ top ^

 

Beijing

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Shanghai

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Guangdong

Spotlight: China's Greater Bay Area, model of development, driver for world (Xinhua)
2019-10-24
The Guangdong-Hong Kong-Macao Greater Bay Area of China is developing into a model of regional synergy, a driver of the country's new round of opening-up, and a source of fresh opportunities to be shared by the world. Officials, scholars and business representatives assembled here at a forum on Thursday to discuss the development of the Greater Bay Area, one of the most dynamic region across the world. "The development of the Greater Bay Area is a natural progression of the collaboration of Guangdong, Hong Kong and Macao," said Leung Chun-ying, vice chairman of the National Committee of the Chinese People's Political Consultative Conference. Cities in the Greater Bay Area will be able to give full play to synergy and achieve joint development, Leung said. Given various external and domestic headwinds in Hong Kong, Chief Executive of China's Hong Kong Special Administrative Region (HKSAR) Carrie Lam stressed that the Greater Bay Area provides new impetus to Hong Kong's economy and creates development opportunities for local people, especially youth. Hong Kong should take a more proactive role in the Greater Bay Area with its strengths in financial and professional services, aviation, and innovation and technology, Lam said. Hong Kong and Macao have a major role to play in the Greater Bay Area, said Xie Feng, the commissioner of the Ministry of Foreign Affairs of China in the HKSAR. The two SARs will be able to expand space for economic development, open up new possibilities, and improve people's livelihood such as employment, education and healthcare through enhanced cooperation with the mainland and better integration into national development, thus fully tapping the potential of "one country, two systems", Xie said. Analysts agreed that cities in the Greater Bay Area will reap benefits and Hong Kong in particular will get a boost to overcome the current economic hardships. David Gosset, a French expert and founder of the Europe-China Forum, said the Greater Bay Area offers the opportunity for Hong Kong to renew itself and resolve social and economic problems. With traditional strengths in banking, finance, services and trade, Hong Kong, connected with the Greater Bay Area's eco-system, could evolve into one of the world's leading smart cities, Gosset said. "Hong Kong's future cannot be separated from the Greater Bay Area and the rejuvenation of China." Victor Fung, chairman of Hong Kong-based consumer goods export trading giant Fung Group, said the Greater Bay Area, by providing a cross-border, upward social mobility, will be a tremendous catalyst for Hong Kong to re-invent itself and building a better future. "It is really a lifetime opportunity for Hong Kong and especially for young people," Fung said. The Greater Bay Area has attracted global attention as international attendees of the forum expect it to help expand win-win cooperation in the region. The area has a population of 66 million people, 56,000 square km of coverage and a total GDP equivalent of 1.3 trillion U.S. dollars. "I was amazed by the Greater Bay Area project in which Hong Kong plays a critical role," Joan McEntee, former Under Secretary of Commerce of the United States, said. McEntee noted that the world will be paying great attention as the Greater Bay Area can serve as a model of openness and reform in China and of a true open market for all global firms. The Greater Bay Area, along with the Belt and Road Initiative, is bringing mutual benefits to participating countries and regions, Thai Deputy Prime Minister Somkid Jatusripitak, said, calling it a global leader in science and innovation and a international hub in logistics and finance. Thailand, also actively promoting sub-regional cooperation, hopes to strengthen cooperation between its Eastern Economic Corridor and the Greater Bay Area to push forward Thailand's 4.0 policy, Somkid said. ^ top ^

 

Tibet

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Xinjiang

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Hongkong

Central govt reaffirms support for HK Chief Executive Carrie Lam (Global Times)
2019-10-25
A Chinese Foreign Ministry official on Thursday backed the Hong Kong chief executive at an international forum, refuting international media speculation that the central government was planning to replace Carrie Lam Cheng Yuet-ngor. "Under the leadership of Lam, I believe that Hong Kong compatriots will be able to work together to stop violence as soon as possible," Xie Feng, commissioner of the Ministry of Foreign Affairs of China in the Hong Kong Special Administrative Region (HKSAR), said during his speech at the opening ceremony of an international forum on the Guangdong-Hong Kong-Macao Greater Bay Area on Thursday. "The Pearl of the Orient will surely dispel the temporary shadow and get back to the right track of developing economy and improving people's livelihood," Xie said. The Financial Times reported Wednesday that Beijing was drawing up plans to replace Lam with an "interim" chief executive. The report was dismissed by Chinese Foreign Ministry spokesperson Hua Chunying, who described the report as "a political rumor with ulterior motives" at a routine press briefing on Wednesday. "By releasing such reports, Western media deliberately want to create disputes between the central government and the HKSAR government," said Liang Haiming, dean of the Belt and Road institute at Hainan University. Liang said that such reports incorrectly infer that violence can force a government to replace officials. "Besides, the report's description of replacing Lam with an 'interim' chief executive is not in accordance with the Basic Law," he said. Lam has served as chief executive of Hong Kong since 2017. The central government has expressed its firm support for Lam for many times since the outbreak of Hong Kong's political unrest in June. Xu Luying, spokesperson for the Hong Kong and Macao Affairs Office of China's State Council, said at a press conference in July that Lam's contribution to economic development, people's livelihoods and promoting Hong Kong's integration into China's overall development was well recognized. In his speech, Xie also condemned Hong Kong's violent protests and US interference in China's internal affairs. ^ top ^

China detains reporter who covered Hong Kong protests – sources (HKFP)
2019-10-25
A Chinese journalist who covered democracy protests in Hong Kong has been detained after returning to the mainland, sources with direct knowledge of the situation told AFP on Thursday. Huang Xueqin, who became known for her support of the #MeToo movement against sexual harassment in China last year, had travelled to Hong Kong this summer. She had written at least two reports about the protests that have plunged the semi-autonomous city into crisis for nearly five months. When Huang returned to the mainland, authorities in the southeastern city of Guangzhou summoned her to a meeting and confiscated her travel documents, the sources said. Then, Huang was told she could go and collect her documents on October 17. Instead, the sources said she was arrested under the charge of "making trouble and picking quarrels" – a vague accusation often levelled against critics of the mainland government. The detention centre in Guangzhou referred questions to city police, who did not immediately respond to a request for comment. Huang's lawyer and friend, Wan Miaoyan, declined to comment on the case. Huang had intended to start a law graduate programme at Hong Kong University in September, but was unable to do so without her documents, according to the sources. In one of the essays by Huang about the protests, she wrote about "resisting tyranny" and said "tyranny may win power over the population, but cannot win power over human hearts". China has run Hong Kong under a special "one country, two systems" model, which allows the city liberties not seen on the mainland, since the financial hub's handover from the British in 1997. But public anger has been building for years over fears that Beijing has begun eroding those freedoms, especially since President Xi Jinping came to power in 2012. Huang, who published her essays on Matters, a Hong Kong-based online platform similar to Medium, said in a comment on another piece that police had harassed her family in the mainland on June 11. Yaqiu Wang, a researcher at Human Rights Watch who knows Huang personally, also said on Thursday that Huang had been detained, without specifying how she had obtained the information. Wang worried the independent journalist would face harsh punishment. She told AFP the mainland authorities had stepped up their harassment and detention of people who expressed support for Hong Kong's ongoing protests. The protests were initially sparked by opposition to a now-scrapped proposal to allow extraditions of criminal suspects to mainland China. They quickly snowballed into a wider anti-government movement after Beijing and local leaders in Hong Kong took a hard line. In a report published by Human Rights Watch on October 3, Wang documented six arrests since protests broke out in June. She said she has heard of more cases since the report was published. "The Chinese authorities are afraid that protests in Hong Kong could inspire challenges to the government in the mainland," Wang said. Huang was among a small group of academics and journalists who popularised China's version of the #MeToo movement in 2018. She wrote on social media about her experience of workplace sexual harassment as a young journalist at a Chinese news agency. Huang also created an online poll asking other female journalists about their experiences of harassment, the Washington Post reported. ^ top ^

Hong Kong 'lives at risk' from delays caused by protesters' arson and obstruction of firefighters, emergency officials say (SCMP)
2019-10-24
Hong Kong fire officials have warned the city's protesters that arson and obstructing firefighters puts lives at risk, noting that as many as half of the fire calls on protest days were not reached within the target time of six minutes. The Hong Kong Fire Services Department on Thursday appealed for an end to setting fires, disrupting services, blocking roads and intercepting fire trucks. On some days of mass protests, officials said, the average delay in response time had reached 20 minutes. In Kowloon over the first 23 days of October, the number of times ambulances failed to reach a scene within 12 minutes increased by more than 60 per cent compared to the same period last year, from 1,009 to 1,657. "We do not want to see even one call where the patient loses out on treatment time due to delays," said Deputy Chief Ambulance Officer Tsang Man-ha. "This is someone's life at stake. We never know how serious the condition of the patient could be." Fires have increasingly been set at MTR stations and mainland-linked shops in the continuing anti-government protest crisis. From June 9 to October 22, there have been 718 cases of arson and 1,030 emergency calls relating to the protests, according to officials. "Protesters setting fires to facilities is a complete disregard for the safety of others," Derek Armstrong Chan, the deputy chief fire officer, said at Thursday's news conference. "If it results in a big fire, and if fire trucks cannot arrive on time due to roads being blocked, the consequences would be unimaginable." The fire services website pledged that firefighters would arrive at the scene of fire calls within six minutes in at least 92.5 per cent of cases. But on recent days of protest, response times have been severely hampered. On October 4 – when protests erupted over an anti-mask law – only half of the fire calls were responded to within six minutes, according to the department. On October 1, the National Day protest, only 72 per cent of calls were reached within six minutes and on Sunday, when an estimated 350,000 people marched in Kowloon, only 62 per cent hit the response-time target. The department said there were 109 fire calls in Kowloon on Sunday, 77 of which were related to the protests. Firefighters on that day were not able to reach 56 calls within the target time and the average delay was around 20 minutes. Cheung Kwong-yuen, the acting divisional commander for Kowloon South, described a case that day in which a fire services command vehicle responding to a call in Mong Kok was intercepted by protesters on Canton Road who demanded to check the tool compartments. It took more than 10 minutes before protesters allowed the vehicle to pass. "This severely delayed us in carrying out our duties," he said. Protesters started to inspect or block fire trucks and emergency vehicles after posts appeared online accusing the department of assisting police in arresting protesters or carrying out undercover work. Tsang said it was reasonable for police officers to ride in emergency vehicles, such as when officers were injured or needed to investigate crimes or accompany suspects to hospitals. ^ top ^

Hong Kong officially withdraws controversial extradition bill from legislature (HKFP)
2019-10-23
Hong Kong's government has officially withdrawn the controversial extradition bill which sparked over 20 weeks of protest and civil unrest. The move came a week late due to protests at the Legislative Council during the Chief Executive's policy address. The second reading for the bill resumed on Wednesday afternoon. Secretary for Security John Lee then announced the bill was withdrawn. In response, Democratic Party lawmaker Ted Hui asked if he will resign. Lee said he had nothing to add. "John Lee! Step down! Teresa Cheng! Step down!" democrats chanted. LegCo President Andrew Leung ordered Civic Party lawmaker Kwok Ka-ki to leave. Kwok refused, prompting Leung to suspend the meeting. The proposed legal amendment, which would have allowed fugitive transfers to mainland China, led to a large-scale protest march on June 9 which – according to the organiser – was attended by one million people. The government refused to axe the bill, citing the need to close a legal loophole. Protesters and police then clashed outside the legislature on June 12, resulting in the first use of tear gas by police since the 2014 Umbrella Movement. Demonstrations have continued every weekend since. Chief Executive Carrie Lam announced the suspension of the bill on June 15, though the move failed to allay public anger. Two million people marched in protest the next day, according to organiser estimates. On July 9, Lam declared the bill "dead" but stopped short of announcing a full withdrawal. Responding to one of the core demands made by protesters, Lam finally said on September 4 that the bill would be formally withdrawn at the legislature. Kwok Ka-ki told reporters on Wednesday that Lee should explain why the government refused to withdraw the bill until now, adding that lawmakers should seek responsibility from the government: "If even Lee can escape our questions today, [Justice Secretary] Teresa Cheng and Carrie Lam must bear responsibility and step down," he said. Despite the scrapping of the bill, protesters' demands have evolved into calls for an independent commission of inquiry into police's handling of the unrest, retraction of the use of the word "riots" to characterise the protests, amnesty for all arrested protesters, as well as universal suffrage. Many have also called for disbanding of the police force. ^ top ^

 

Macau

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Taiwan

Diplomatic tug-of-war: Hong Kong security chief says Taiwan 'wholly responsible' if murder suspect cannot face justice (HKFP)
2019-10-24
Secretary for Security John Lee has criticised Taiwan for "disrespecting Hong Kong's jurisdiction" over a controversial murder case, and said the responsibility would lie with Taipei if the suspect was not brought to justice. Lee on Wednesday accused the self-ruled island of playing politics over Chan Tong-kai, whose case sparked a months-long political crisis in Hong Kong. A fresh diplomatic row broke out between Hong Kong and Taiwan over Chan's uncertain fate after prison, with neither side eager to take charge of Chan after his release earlier that day. "In what was originally a straightforward surrender [by a wanted criminal], Taiwan has created many roadblocks out of political considerations. The intent is plainly to shift the responsibility to the Hong Kong government," Lee told reporters. "Taiwan keeps changing its position… if justice cannot be done in this case, the responsibility lies wholly with Taiwan." Earlier, Taiwanese President Tsai ing-wen said that Chan could only be arrested, but could not surrender himself. Tsai floated the idea of sending law enforcement officials to Hong Kong to bring Chan to Taiwan, but on Wednesday Lee said he was unaware of any such officials in Hong Kong. Lee denounced Tsai's idea as "completely unacceptable" and disrespectful of Hong Kong's jurisdiction, saying that only Hong Kong law enforcement have legal authority to operate in the city. 20-year-old Chan admitted to killing his girlfriend in Taiwan last February, before fleeing back to Hong Kong where he is a permanent resident. Chan could not be charged with murder in Hong Kong courts, and could not be extradited to Taiwan as there was no legal agreement between the two jurisdictions. His case triggered months of protest and unrest after Chief Executive Carrie Lam's administration attempted to enact an extradition law that would have also have allowed for fugitive transfers to China. Chan was released from jail on Wednesday after serving time on a related money laundering charge, and said that he was willing to surrender to Taiwan authorities. Anglican Reverend Peter Koon, who persuaded Chan to turn himself in, told the media that Chan will stay in Hong Kong for at least the next couple of days. Lee said that the Hong Kong government could not take any coercive measures against Chan, since he had become a "free man" after his release. "[Chan] can pick whoever he wants to accompany him to Taiwan for his surrender… and I hope that Taiwan will allow him to do so," he added. Meanwhile, Secretary for Justice Teresa Cheng tried to rebut the notion that Hong Kong was giving up its jurisdiction over the murder. "We made a professional and impartial decision over whether to prosecute," Cheng said on Wednesday, adding that Hong Kong follows a legal principle that restricts its courts to only handling cases that took place within Hong Kong territory. Cheng also pledged to offer legal assistance to the Taiwanese side in terms of evidence. "In this case, the suspect said he was willing to face his legal responsibility in Taiwan, so he has autonomy to decide what evidence to provide to the Taiwanese authorities," she added. ^ top ^

Tsai wants to capitalize on it for next year's election: expert (Global Times)
2019-10-23
Taiwan wants to maximize the political value of Chan Tong-kai's homicide case, as the island's Democratic Progressive Party (DPP) authorities held inconsistent and self-contradictory stances over how to proceed Chan's case, experts said. Chan was released in Hong Kong after serving his sentence on Wednesday for money laundering. Chan's case prompted Hong Kong Special Administrative Region (HKSAR) government to propose an extradition bill to facilitate transfer of fugitives, which later triggered months-long turmoil in Hong Kong. China's HKSAR government on Wednesday rejected Taiwan's offer to send officers to escort Chan to the island upon his prison release, saying it is "totally unacceptable" because such cross-jurisdiction law enforcement disrespects Hong Kong's jurisdictional power, the Xinhua News Agency reported. The rejection came after Taiwan authorities released a statement requesting to send police officers and prosecutors to Hong Kong to bring back Chan, a Hong Kong resident wanted by Taiwan authorities for murdering his pregnant girlfriend last year in Taiwan. As Hong Kong has been struggling with month-long violent protests, Taiwan's DPP secessionist authorities started to use and hype the Hong Kong turmoil to demonize the "one country, two systems" principle and rally support for DPP's radical political line and secessionist stance, with experts saying that the DPP's main goal is to politicize the incident for its election campaign next year. Before Chan was released, Taiwan regional leader Tsai Ing-wen and other senior DPP figures said on Monday and Tuesday that Taiwan won't accept him in Taiwan and blamed the HKSAR for not handling Chan's case in Hong Kong. The statements were heavily criticized on the island, including from former island leader Ma Ying-jeou. He said the DPP is ridiculous and cold blooded as it totally ignores the rights and feelings of the victim's family. Peter Koon Ho-ming, Provincial Secretary General of the Hong Kong Sheng Kung Hui, the Anglican Church in Hong Kong and Macao, who is also a top Anglican priest who had been visiting Chan in jail and planned to accompany Chan to Taiwan to surrender, told the Global Times that Chan always wants to atone for what he did and surrender to Taiwan. But he is worried because Taiwan has been changing its stance. To be honest, this should be a very simple case, Koon said. "If Chan could get a fair trial, he and I will definitely go to Taiwan, but since Taiwan authorities are inconsistent and capricious, we need time to consider what to do next." Kennedy Wong Ying-ho, solicitor of Hong Kong's Supreme Court, told the Global Times that because of the involvement of many political elements, it has become complicated. "The DPP doesn't want the case to proceed easily, and wants to maximize its value for the election in the next year." The DPP refused to accept Chan's surrender before he was released because the party believes this could damage Taiwan's "judicial sovereignty," which contradicts its secessionist position and will affect next year's election, experts said. They added that it changed stance later because it realized that its previous stance against basic rights and law made itself embarrassing. The HKSAR government released a statement after midnight on Wednesday. "We do not agree with Taiwan's claim that we can handle Chan's case in Hong Kong," the HKSAR government said, reiterating the Hong Kong Department of Justice's thorough and comprehensive consideration of the police investigation and the evidence collected, and confirmed that there was only enough evidence to prosecute Chan for money laundering, and not other offenses, including attempted murder or the so-called "willful plan to commit homicide." "Making arbitrary demands to a prosecutorial institution to commence trial without sufficient evidential and legal bases is neither responsible nor does it accord with the principle of the administration of justice. The HKSAR government's stance is clear, and has been consistent," it said. "The incident took place in Taiwan. The body of the deceased, key witnesses, exhibits and relevant evidence are in Taiwan. Taiwan has jurisdiction over this offense. Now that Chan is willing to surrender, Taiwan should receive him, and initiate interrogations, evidence gathering and prosecution," the HKSAR government said in the statement. Chan is wanted in Taiwan and his decision to surrender was voluntary, the statement said, adding that since he will be released from jail, the HKSAR government has no authority to restrict his movements. The day Chan was released, the HKSAR government officially announced the withdrawal of the extradition bill. Wong, who has always supported the extradition bill, told the Global Times, "This is ironic. The current situation involving Taiwan and Hong Kong regarding a wanted man in Taiwan proves that a legal loophole exists, and needs to be fixed. We need to establish a legal basis for judicial assistance between Hong Kong and other regions." Unfortunately, due to political implications in and out of Hong Kong, the extradition bill that was intended to fix such problems has now been officially withdrawn, and even caused months-long unrest in the city, which is still ongoing, Wong said. ^ top ^

 

Economy

China moves up in business climate rank (China Daily)
2019-10-25
China's business environment showed one of the strongest improvements worldwide in the 12 months ending May 1 thanks to its robust reform agenda, the World Bank Group said on Thursday. China's ranking in the World Bank Group's Doing Business 2020 study climbed to 31st place in terms of ease of doing business, up from 46th a year earlier and 78th in 2017, the bank said. It was the second year that China joined the group of the world's top 10 most improved economies, mainly due to several business reforms, the report said. "China has undertaken substantial efforts to improve the domestic business climate for small and medium-sized enterprises, maintaining an active pace of reforms," said Martin Raiser, World Bank country director for China. "Laudable progress has been achieved on a number of Doing Business indicators, particularly in the area of construction permitting," Raiser said. The report credited China with improving protections for investors, strengthening procedures for enforcing contracts and making trade easier with changes to customs administration and port infrastructure. "Removing barriers facing entrepreneurs generates better jobs, more tax revenue and higher incomes, all of which are necessary to reduce poverty and raise living standards," World Bank Group President David Malpass said in a statement. The World Bank highlighted some key reforms in the report including implementing a preferential corporate income tax rate for small enterprises, reducing the value-added tax rate for certain industries and enhancing the electronic filing and payment system. Other key reforms included simplifying import and export procedures by implementing advanced cargo declarations, upgrading port infrastructure, optimizing customs administration and publishing fee schedules. China has made strenuous efforts in recent years to improve its business environment. The Ministry of Finance, for example, has jointly worked with other government departments, as well as the Beijing and Shanghai municipal governments, to clarify specific reform targets and policies to improve the business environment in recent years. More than 130 reform measures have been taken so far, such as the protection of investors and improvements in processing construction permits, the ministry said. China unveiled a regulation on Wednesday to further improve its business environment and further open up its economy. The regulation will offer market guarantees for companies investing or expanding their business in China. Equal treatment will be given to all market entities, whether foreign or domestic, by establishing basic institutional norms in the business environment, according to the new regulation. China will continue to roll out new measures to elevate its economic opening-up to a higher level, Foreign Ministry spokeswoman Hua Chunying said at a daily news briefing in answer to a reporter's question about the World Bank study on Thursday. She said the report is a vote of confidence in China's reform and opening-up as well as its promising economic prospects, adding that it welcomes more foreign businesses to invest and operate in China and share in the country's opportunities. Yuan Dongming, a senior researcher at the State Council's Development Research Center, said the World Bank's improved ranking of China is recognition of the country's efforts in improving its business environment, and is also affirmation of the achievements of the country's reform and opening-up measures. Wu Jianfeng, a management professor at the University of International Business and Economics in Beijing, said that it is getting easier to do business in China, and more reform measures are expected in the future. "The government is advised to hear more suggestions from companies to enhance the reforms," Wu said. ^ top ^

US farm sales to China could hit pre-trade war level by 2020 election (SCMP)
2019-10-25
US farmers may return to pre-trade war levels of sales to China in time for the presidential election year, relieving economic pressure on one of President Donald Trump's key political constituencies as he campaigns for a second term and fights an impeachment inquiry. But the bonanza of US$40 billion to US$50 billion in annual agricultural sales to China Trump promoted when he announced a tentative partial trade deal on October 11 will almost certainly have to wait until after the presidential vote, if it ever comes. And China's added purchases also come with strings attached. China aims to buy at least US$20 billion of agricultural products in a year if it signs a partial trade deal with the US, and would consider boosting purchases further in future rounds of talks, people familiar with the matter said. That would take China's imports of US farm goods back to around 2017 levels, before Trump began a tit-for-tat tariff feud with Beijing. In the second year of a potential final deal, purchases could rise to US$40 billion to US$50 billion. But that would depend on Trump removing remaining punitive tariffs, said the people, who asked not to be named because the talks are private. The market reaction to China's pledge was relatively muted, with Chicago soybean futures climbing less than 0.5 per cent but staying below highs from earlier this week. Corn, wheat and hog futures were either little changed or down. Trump already has raised expectations that he and Chinese President Xi Jinping will sign a phase-one deal when they meet in Chile next month. Chinese officials also have said talks are progressing. The signal from China on first-year purchases provides a clearer picture of the deal taking shape. When trade talks wrapped up in Washington on October 11, Trump said China would lift agriculture purchases to between US$40 billion and US$50 billion. The people did not say when the first year would start or when China would begin counting imports toward the US$20 billion. The two nations are working on details of a limited agreement, after talks in Washington earlier this month at which the US agreed not to hike tariffs in October, and said China agreed to increase purchases and other concessions. US Trade Representative Robert Lighthizer, Treasury Secretary Steven Mnuchin and Chinese Vice-Premier Liu He are expected to speak by phone on Friday as they try to get a deal down on paper. US Commerce Secretary Wilbur Ross said any agreement on contentious structural issues will wait for two additional phases. China's Ministry of Commerce did not immediately respond to a fax seeking comment on agricultural purchases. While in 2017 China's US$20 billion agricultural purchases was heavily weighted toward soybeans, the nation's need for pork is now greater because an outbreak of African swine fever has devastated its hog herd and sent pork prices soaring. INTL FCStone said in a note that the coming purchases are likely to be skewed more toward pork. "The bottom line is that China's history tells us that it will buy what it needs to buy – to meet domestic needs or political needs – and no more or no less, regardless of the commitments that it makes," FCStone said in the note. US agricultural groups maintained a cautious stance toward the potential partial deal. "We are still in the same position we were in a couple of weeks ago when news of the partial agreement was first announced, where we need confirmed details to adequately respond," said Wendy Brannen, a spokeswoman for the American Soybean Association. "China is struggling with food price inflation and needs reliable sources of pork," said Jim Monroe, a spokesman for the National Pork Producers Council. "We know US pork exports to China can grow significantly and that this alone could put a big dent in the trade deficit with them. We continue to seek the permanent removal of punitive tariffs on US pork so we can address this important need in China." China has already started ramping up purchases to lay the groundwork for the signing of a phase-one deal. Beijing issued waivers for 10 million tonnes of soybean purchases this week. It is considering approving an additional 4 million to 5 million tonnes of grains, including wheat, corn and sorghum, according to people familiar with the matter. Data out of the US Department of Agriculture was a mixed bag. Sales of both US soybeans and pork to China slumped in the week ended October 17. However, the USDA separately announced a daily sale of 264,000 tonnes of US soybeans to China for delivery in the 2019/20 marketing year. That marked the first US government confirmation of a soybean sale to the top buyer of the oilseed since talks concluded in Washington on October 11. ^ top ^

 

DPRK

China unlikely to trade with North Korea for rare mine: insider (Global Times)
2019-10-24
A reported deal under which China could tap a North Korea rare-earth mine in exchange for solar investment appears unlikely, as the deal is not "an optimal one" for China in terms of business aspects, industry insiders told the Global Times on Thursday. Insiders also pointed out that even if the deal materialized, it would not mean that China has violated UN sanctions on North Korea, and an industry insider stressed that China will invest and trade with North Korea within the scope of UN regulations. North Korea is planning to grant China access to a rare-earth mine, in exchange for investment in solar energy that could ease its chronic power shortages, according to a Reuters report on Thursday, citing a post published on the Association of China Rare Earth Industry. "Putting the cost of a 2.5 million kilowatts per day solar plant in North Korea at around $2.5 billion, China's reward for investing would be mining rights to a rare-earth mine in North Pyongan province on its borders," said the Reuters report. An insider close to the Association of China Rare Earth Industry told the Global Times on Thursday that the post was forwarded from other sources, and he could not confirm the credibility of the story. China's Foreign Ministry said on Thursday that "it is not aware of the deal." China's Ministry of Commerce did not reply to an interview request by the Global Times on Thursday. From a business perspective, the deal is not likely to occur because North Korea is rich in light rare-earth reserves, which are not that strategically important compared with heavy rare earths, Wu Chenhui, an independent industry analyst, told the Global Times on Thursday. China has abundant reserves of light rare earth in Baotou, North China's Inner Mongolia Autonomous Region. "The domestic market is kind of oversupplied in light rare earths," he added. In terms of heavy rare earth, Chinese companies have established long-term trading relations with suppliers in Myanmar. "The only edge North Korea has is a low cost, but the transportation facilities are also much more convenient in Myanmar... so I don't see the need for China to source the mines from North Korea," Wu noted. North Korea doesn't have technologies related to rare-earth mining and extraction. So for the deal to be carried out, China would have to send technicians to help the local industry's development, an industry insider told the Global Times on condition of anonymity. "Several years ago, China has sent technical personnel there to investigate rare-earth mines," the insider said. The deal has also been questioned in terms of whether it would comply with UN sanctions, adopted shortly after North Korea's fourth nuclear test in 2016, which prohibit North Korea from supplying, directly or indirectly, rare-earth minerals. Wu pointed out that even if the deal is reached, it does not mean that China has violated the UN sanctions on North Korea. "The sanctions do not ban individual countries from shipping other rare-earth products such as rare-earth oxides," Wu explained. Lü Chao, a research fellow on North Korea at the Liaoning Academy of Social Sciences, did not exclude the possibility that the two could reach a deal within UN regulations, also he considered the deal "unlikely." "As UN sanctions on North Korea have not been lifted yet, Chinese companies would still hold a cautious attitude about investing in the country," Lü told the Global Times on Thursday. Rare earths are widely deemed as China's leverage that could inflict massive damage to various US industries, including the defense sector, during a protracted trade war between the world's two largest economies. China also dominates the global rare-earth industrial chain and accounts for 80 percent of US imports of rare earths, according to US Geological Survey data. So far, these minerals have also been excluded from the list of Chinese products on which the US has threatened to impose tariffs. The US government has been rushing to secure rare-earth supplies from other countries including Canada, Australia and Mongolia. ^ top ^

North Korea's Kim Jong-un and Trump still have 'special' relationship, state media claims, despite recent breakdown of talks (SCMP)
2019-10-24
North Korean leader Kim Jong-un and US President Donald Trump continue to have close relations and trust, with Kim calling the relationship "special," North Korea's state news agency KCNA said on Thursday. The statement comes after North Korea earlier this month broke off working-level talks with the United States in Sweden, pushing denuclearisation negotiations back into limbo after what had been months of stalemate. North Korea had cast the blame on the US, saying the other side's negotiators would not "give up their old viewpoint and attitude." Kim Jong-un "said that the relationship between him and President Trump is special" a few days ago, according to the KCNA statement. "I sincerely hope that a motive force to overcome all the obstacles between the DPRK and the US and to advance the bilateral relations in the better direction will be provided on the basis of the close relationship," the KCNA statement, under the name of Foreign Ministry adviser Kim Kye Gwan, said. Democratic People's Republic of Korea (DPRK) is North Korea's official name. However, contrary to Trump, "Washington political circles and DPRK policymakers of the US administration are hostile to the DPRK for no reason, preoccupied with the cold war mentality and ideological prejudice." the statement said. The statement said North Korea will see "how wisely the US will pass the end of the year". North Korea's Kim Jong-un had earlier set an end-of-the-year deadline for denuclearisation talks with Washington. ^ top ^

AFC moves cup final from Pyongyang to Shanghai after North Korea's 'uncooperative' World Cup 2022 qualifier against South Korea (SCMP)
2019-10-23
The AFC Cup final between North Korea's April 25 Soccer Club and Lebanon's Al Ahed on November 2 will be played in Shanghai rather than Pyongyang, the Asian Football Confederation has announced. Asian football's governing body said they were "compelled" to make the decision following the fallout from North Korea's recent hosting of South Korea in the World Cup qualifiers. "The AFC, after careful consideration of the challenges affecting the commercial, broadcasting, media, accessibility and logistical arrangements, is compelled to assign the final match to be played in a neutral venue," it said. "Due to the existing sanctions in place affecting DPR Korea, the AFC has been advised by its commercial rights partners of the challenges in enabling among other matters, the production and broadcast delivery of the final match," it said, referring to international economic sanctions. The World Cup 2022 qualifying game was played in front of an empty stadium and was not broadcast in South Korea despite requests from media and government to secure a live feed from Pyongyang's Kim Il-sung Stadium. The move to Shanghai ensures the game will be broadcast throughout the region. It is not the first time the Chinese city has stepped in to host North Korean football. Last week's meeting between the Koreas was the first time the men's teams had met in 30 years, with their previous World Cup 2010 qualifying meeting in 2008 held at Shanghai's Hongkou Stadium after the North refused to raise the South Korean flag or play their anthem. The AFC said the Chinese FA had expressed its willingness to host the match, with the game expected to be played at either Shanghai Stadium or the football-specific Hongkou Stadium. China is also expected to host the enlarged version of Fifa's Club World Cup in 2021, according to reports. The lockout in Pyongyang, which was watched in person by Fifa president Gianni Infantino, brought criticism for the AFC and Fifa. ^ top ^

 

Mongolia

Policy on sustainable investment to keep economic growth stable (Montsame)
2019-10-24
The importance of a clear, consistent policy on investment was highlighted at the international conference held under the theme, 'Investment Climate: Stability', on October 22. The conference was co-organized by the Bank of Mongolia, International Finance Corporation, and the National Development Agency. While foreign investment in Mongolia was USD 1.5 billion in 2016, it reached USD 2.7 billion, with an increase of 80 percent in 2018. Furthermore, entities with foreign investment made up 23 percent of the total tax revenue in 2018. However, as there is a potential risk of economic difficulties due to the fluctuating rate of export commodities, officials highlighted the possibility to overcome the difficulties with direct foreign investment and increase in exports. Head of the Cabinet Secretariat L.Oyun-Erdene said, "Foreign-invested entities making 23 percent of our country's total tax revenue shows the impact of foreign investment in the economy. Specific goals and objectives on regaining investors' confidence and attracting investment have been reflected in the Government's plan for 2016-2020. In order to implement these goals, we are currently working on creating a favorable environment for new investors, protecting their rights, and introducing the best international practices." Governor of the Bank of Mongolia N.Bayartsaikhan said, "The macroeconomy of Mongolia has stabilized since 2017. As of the first half of 2019, GDP grew by 7.3 percent. Despite this, the fluctuating rate of raw commodities and foreign debt risks continue to be problematic. Thus, to attract investment and find additional sources for programs on increasing the competitiveness of export products, and diversifying the economy, creation of a favorable investment environment is currently the most important issue." Head of the National Development Agency of Mongolia B.Bayarsaikhan said, "In partnership with the International Financial Corporation of the World Bank, the National Development Agency has developed a report on the investment reform of Mongolia. The policy paper on attracting investment is currently being developed based on the report. It is highly important to define the vision for the sectors that will serve as a pillar of development, foreign investment, and human resource and personnel 20-30 years into the future. In this framework, the National Development Agency has begun to work on defining the vision for up to 2051." IFC's Resident Representative in Mongolia Rufat Alimardanov said, "Alongside foreign investment and localization of know-how, it will be crucial to have a policy on investing in increasing domestic business opportunities. Our research showed that Mongolia is able to benefit the most from investments in sectors, such as mining, tourism, services, and agriculture. We are eager to give support in creating opportunities in the sectors, and realizing possible opportunities." ^ top ^

Central bank and Financial regulatory commission blamed for fail in duties (Montsame)
2019-10-24
Last week, Financial Action Task Force (FATF), intergovernmental organization on combating money laundering and tourist financing worldwide, identified Mongolia as a jurisdiction with Anti-Money Laundering/Combating the Financing of Terrorism (AML/CFT) deficiencies for which they have developed an action plan with the FATF, or included Mongolia in so-called 'Grey List'. According to the FATF, Mongolia made a high-level political commitment to work with the FATF and its Asia/Pacific Group on Money Laundering (APG) to strengthen the effectiveness of its AML/CFT regime and will now work to implement its action plan, including (1) improving sectoral ML/TF risk understanding by Designated Non-Financial Businesses and Professions (DNFBP) supervisors, (2) demonstrating increased investigations and prosecutions of different types of ML activity in line with identified risks; (3) demonstrating further seizure and confiscation of falsely/non-declared currency and applying effective, proportionate and dissuasive sanctions; (4) demonstrating cooperation and coordination between authorities to prevent sanctions evasion. Concerning the FATF review, Parliament Speaker G.Zandanshatar met with Financial Regulatory Commission (FRC) Chairman S.Davaasuren to notify that corresponding officials of the FRC and Bank of Mongolia should be held responsible. "Shortfalls of Mongolia's commitment on AML/CFT are connected with some organizations and individuals' failure to comply with relevant rules and fulfill their responsibilities attached to the posts" said Parliament Speaker. "In spite of some progress in the implementation of the recommendations provided by the FATF as well as stabilization of country's economy and recovery of financial environment, no satisfactory results have been shown in creation of reliable trustworthy environment as the FRC have failed to execute its duties to maintain stable market economy and take control on law enforcement" he added. According to Parliament Speaker, there's no doubt that Mongolia is not seriously threatened by money laundering and terrorism financing and the deficiencies stated by the FATF hinged on some factors, including country's implementation of its economic transparency law and increase of the shared capital of non-bank financial institutions. ^ top ^

Cabinet meeting news in brief (Montsame)
2019-10-23
At its regular meeting on October 23, the Cabinet made the following decisions. Minister B.Enkh-Amgalan was authorized to sign Intergovernmental Agreement between Mongolia and the Kyrgyz Republic on Cooperation in Health and Pharmaceutical Sector. An Intergovernmental Commission Meeting on Trade, Economic, Scientific, Technical and Cultural Cooperation will take place in Bishkek city of the Kyrgyz Republic on October 29-31. The meeting aims to expand mutually trusted friendly ties, intensify cooperation in trade, economy and other sectors as well as to promote mutually beneficial cooperation. The Cabinet resolved to submit a draft law to the Parliament on amendments to the Law on Trademarks and Geographical Indications and a revised bill on the Patent Law and other related bills. The Cabinet will submit a revised bill on the Law on Copyright and Related Rights. There is a necessity to upgrade coordination of copyrights and related rights, make legal coordination clear on contents in online and other communications networks, broadcast, multi-channel transmitter, music, audio and video contents and define special condition that does not require copyright permission. The Cabinet considered it proper to submit a draft law to the Parliament on ratifying an agreement between Mongolia and the Socialist Republic Vietnam on Mutual Transfer of Criminals. Mongolia has established agreements related to Mutual Transfer of Criminals with 18 countries. The Cabinet made a decision to submit a draft law on ratifying an agreement between Mongolia and the Macao Special Administrative Region of the People's Republic of China on Mutually Rendering Legal Assistance on Criminal Cases. As of 2019, 12 Mongolian citizens are being sentenced in Macao. In 2018, 127 citizens of Macao and 175 Mongolian citizens mutually traveled. Over 96 percent of complaints, petitions and requests made by citizens addressing to the Prime Minister, Deputy PM, Chief of the Cabinet Secretariat, state central administrative organizations, local state administrative organizations and officials were resolved punctually in the 3rd quarter of 2019. A total of 6014 people expressed their complaints and petitions, of which 5776 have been resolved. Ministers, heads of agencies, governors of the capital city and provinces were assigned to give response to petitions and requests punctually and provide state services promptly. ^ top ^

 

Jennia Jin
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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