“Victory will ultimately belong to the heroic Chinese people!”; CEWC; Consumption plan; YMTC; 县委大院
Summary of the Essential Eight:
Reopening - The government will stop reporting asymptomatic cases but still report the meaningless official symptomatic case data, Covid czar Sun Chunlan inspected Beijing, the government announced a second booster for vulnerable groups, and while there are still no reports of significant numbers of deaths we are hearing more about medical staff getting sick and hospitals becoming strained. There is no turning back, and I am hearing the the quarantine policy for foreigners will officially shift to 0+3 in the second week of January.
“Victory will ultimately belong to the heroic Chinese people!” - Very long piece by "Ren Zhong Ping" aka People's Daily Important Commentary at the bottom 1/3 of page 1 of the Thursday People's Daily and most of page 2 that is a glowing review of the efforts, under the leadership of "People' Leader” Xi Jinping, in the fight against Covid over the last three years. There is one mention of "dynamic zero-Covid". And it is a reminder that there can be no questioning of the policies to fight Covid, that “practice has fully proved that the Communist Party of China has an incomparably strong leadership and is the most reliable backbone of the Chinese people when storms strike” and they will “constantly move from victory to new victory 不断从胜利走向新的胜利”.
Central Economic Work Conference - Bloomberg revised its report from yesterday, now says the CEWC will meet Thursday and Friday. Reuters separately reports that it has also confirmed the meeting is happening. I am very curious if all the normal attendees will be there; hearing that lots of government offices in Beijing have 1/3 or fewer staff on site right now.
Long-term plan to increase consumption - The document issued by the Communist Party of China Central Committee and the State Council has 38 items in 11 sections. The timing of the public release, on the eve of the CEWC, is not likely to be a coincidence. There are six mentions of 共同富裕 Common Prosperity, including more taxation of high-earners, and a call for “persisting in housing is for living, not for speculation 坚持“房子是用来住的、不是用来炒的”定位”. There was a speculative report last week that the CEWC may downplay the policy of “housing is for living, not for speculation”, this may be a sign that is not the case. The plan says that consumption has been contributing to over 50% of total GDP for the past 11 years. Boosting domestic consumption, it said, is also part of a broader effort to tap into the massive domestic market, which is still growing. But the document also acknowledged the obstacles including labour, land, the environment. It said such a strategy is also a result of a “severe, complex external environment,” citing mounting uncertainty facing the world economy, the rise of protectionism, “bullying” and unilateralism.’
More US tech controls - The moves over the last few days do not seem to be conducive to “creating the conditions” for improving the US-China relationship. There are reports that YMTC is going on the “entity list”.
Manchester consulate diplomats leave the UK - Both sides issued stern statements after the 6 left the UK, but this looks like some sort of a negotiated deal to resolve this and move on.
This week’s Sharp China podcast - On this week's show Andrew and Bill begin with the landscape in China one week after the widespread elimination of covid restrictions. Topics include: Early reports from Beijing and other major cities, best and worst case scenarios for case numbers, what Westerners can and can’t know, and how this process (and the protests) might change perceptions of the CCP inside and outside of China. From there: "The Twitter Files" don't say anything about China, so Bill highlights a number of different areas and incidents he'd like to learn more about during Twitter's celebration of truth and transparency. At the end: The Chinese look to the WTO for chip ban relief, a murky outlook for firms like Alibaba and leaders like Jack Ma, and a question about comedy clubs in Beijing.
县委大院 “Bright Future” TV series - This is an interesting new drama that fits with many of the priorities for local officials and development under Xi.
For the person in your life interested in China, a Holiday subscription to Sinocism is definitely a gift that keeps giving throughout the year.
Thanks for reading.
The Essential Eight
1. Reopening
The government will stop reporting asymptomatic cases but still report the meaningless official symptomatic case data, Covid czar Sun Chunlan inspected Beijing, the government announced a second booster for vulnerable groups, and while there are still no reports of significant numbers of deaths we are hearing more about medical staff getting sick and hospitals becoming strained. There is no turning back, and I am hearing the quarantine policy for foreigners will officially shift to 0+3 in the second week of January.
China steps up protecting vulnerable groups amid COVID-19 response optimization-Xinhua
On Tuesday, during an investigation tour in Beijing, Chinese Vice Premier Sun Chunlan called for better protection of the elderly, children, patients with underlying diseases, pregnant women, hemodialysis patients, and other vulnerable groups.
The vice premier also said the pressing task at the moment is supporting the city in ensuring its residents' access to medical services and medication, adding that medical institutions must treat patients whether they are COVID-19 patients or not...
As of Tuesday, 91 percent of people aged 60 and above have been vaccinated in China, and 86.6 percent were fully vaccinated, and the current rate of full inoculation among people aged 80 and older is 66.4 percent.
On Wednesday, the government announced that it would offer a second booster dose of the COVID-19 vaccine to vulnerable groups who had received their first booster shot more than six months ago
China won't report asymptomatic COVID cases in further shift | AP News
The only numbers the commission is reporting are confirmed cases detected in public testing facilities where symptoms are displayed. Many people also test at home, and any positive results there would also not be captured.
China stops counting asymptomatic cases as Covid crisis deepens | Financial Times $$
Health system experts also warned that the lack of accurate data on both cases and deaths in China meant it would be difficult to assess the rate at which the disease was spreading through the world’s second-biggest economy.
Official case numbers had become the target of public ridicule after plunging from a high of nearly 40,000 in late November to about 7,500 on Tuesday. This was despite clear evidence that the outbreak was sweeping through cities.
How Will China Fare With Covid? ‘Meaningless’ Data Clouds the Picture. - The New York Times
The downturn in the number of reported infections belies anecdotal evidence of a surging number of positive cases and crowded hospitals with people waiting to be treated. With the change in testing policy, many cities and counties across the country are spreading the mantra of “don’t get tested unless necessary” on official social media. “The statistics are meaningless,” said Jörg Wuttke, president of the European Union Chamber of Commerce in China.
A notice posted in the pharmacy window at Haidian Hospital in western Beijing said “all pharmacists on duty are sick – please bear with us”, a situation repeated in other departments, according to an administrator at the hospital.
“A lot of doctors are sick with Covid-19 as well but have to report for duty because otherwise the hospital cannot open, which is not an option,” the administrator said, declining to be identified because she was not authorised to speak to the media. “We must keep the hospital open and running.”
Another administrator at a second-tier hospital in Dongcheng district said so many doctors were ill in the paediatric department that she had to limit each shift to one doctor so at least there was someone qualified to prescribe drugs.
Medical staff in China's hospitals say COVID-19 ripping through their ranks | Reuters
A nurse at another hospital in Chengdu said: "I was swamped with nearly 200 patients with COVID symptoms last night."
Ben Cowling, an epidemiologist at Hong Kong University, said insufficient medical resources to cope with an overload of COVID cases contributed to a surge in deaths in Hong Kong when infections peaked there earlier this year, and he warned that the same was going to happen in China.
"One of the reasons we had such a high mortality rate (in Hong Kong) is because we simply didn’t have enough hospital resources to cope in the surge. And unfortunately, that is what is going to happen in about one to two months time in the mainland," Cowling said.
China’s Covid-19 Surge Puts Strain on Medical Workers - WSJ
The death of a Chinese medical student who had been doing hospital work shook healthcare workers across the country and stirred fears of inundated hospitals as the scrapping of Beijing’s strict Covid-19 restrictions has triggered a surge in infections.
The West China School of Medicine in the southwestern city of Chengdu said that the first-year medical student, whom it referred to by his surname, Chen, collapsed on Tuesday after completing his clinical work. It said he died of cardiac arrest a little after 10 p.m. Wednesday.
Covid Cases Surge Disrupts Life in Beijing as Key Government Events Canceled - Bloomberg
Data from China’s popular search engine Baidu shows searches for the word “fever” surged 823% in Beijing since the beginning of December, compared with a 303% rise in Shanghai and 437% in Guangzhou. Nationwide, the increase was 679% during the period.
Beijing residents are avoiding going out as infections spike. The number of subway trips made in the capital city over the past few weeks has slumped at a faster pace than in other major cities such as Shanghai and Guangzhou. Mobility is near the trough reached in May when the city was partially locked down to contain an outbreak at the time.
Beijing, Chongqing in the southwest and Zhengzhou in central China have the most empty roads among major cities in the country, according to Baidu’s data
Omicron BQ.1 detected on mainland - China Daily
The mainland has reported 49 cases of BQ.1 or its sublineages in nine provincial-level regions. However, no widespread transmission has been reported and no infected patients have been found to suffer more severe symptoms compared with patients who've contracted other variants.
"Currently, the dominant strains in circulation in China remain BA.5.2 and BF.7, and both are sublineages of BA.5," the Chinese Center for Disease Control and Prevention said on Tuesday.
The center made the statement in response to online rumors that BQ.1 and its offshoots were wreaking havoc in Japan with their high transmissibility and high death rates.
Question: How can they bo sure there are so few cases of this subvariant when testing efforts have nearly collapsed?
Chinese Economist Uses Baidu Search Data to Forecast Future COVID Cases - Pandaily
A popular economist on Chinese Q&A platform Zhihu released a report on December 11 regarding the initial round of expected mass COVID-19 infections since the government lifted tight restrictions in recent weeks. The forecast, published by a verified account called “chenqin,” is based on Baidu search data for “fever,” showing that many cities in China may reach their peak before the Spring Festival in late January...
He listed all the cities that can reach the infection peak before the Spring Festival and the proportion of people who have been infected before the peak in these cities. For example, in Beijing, as of December 13, the peak of the first wave of group infection has been completed by 47%, and the peak of the first wave of infections is on December 16, and the ending date is January 4 next year. In Guangzhou, the three indicators are 10%, December 24 and January 20 next year.
Yicai - JD.Com Sends 1,000 Couriers to Beijing to Help Deliver Parcels; More to Follow
The State Post Bureau yesterday called on domestic express delivery firms to send couriers from other parts of the country to Beijing to support the city amid wintry conditions and a coronavirus flareup. It also called on local residents to be tolerant and understanding of late parcel arrivals given the pressure couriers are facing.
U.S. ready to help China on COVID-19 surge if Beijing asks - White House | Reuters
China's COVID spike not due to lifting of restrictions, WHO director Ryan says | Reuters
COVID-19 infections were exploding in China well before the government's decision to abandon its strict "zero-COVID" policy, a World Health Organization director said on Wednesday, quashing suggestions that the sudden reversal caused a spike in cases...
"The disease was spreading intensively because I believe the control measures in themselves were not stopping the disease. And I believe China decided strategically that was not the best option anymore."
Guangzhou Closes Most of Its Makeshift Covid Hospitals - Caixin
A local hospital staff member told Caixin that the remaining Fangcang hospitals will be turned into “sub-designated” hospitals, used primarily for treating two types of Covid patients — those with moderate symptoms and seniors with no or mild symptoms who also have underlying conditions such as heart disease or tumors but are in stable condition.
In COVID U-turn, China's message to the people shifts from war to self-care | Reuters
So far, China's official COVID death toll remains unchanged at 5,235 since the domestic epidemic curbs were removed.
"The tone now will be how China is not going to see mass deaths, there will be few severe cases, and how the country managed to deal with a surge of cases without incurring lots of deaths - I think that will be the main narrative in the coming months," said Yanzhong Huang, a global health specialist at the Council on Foreign Relations (CFR), a U.S. think tank.
Global investors fly blind into China's messy post-COVID transition | Reuters
"It's chaos now," said Joanna Shen, emerging markets and Asia Pacific equities investment specialist at J.P. Morgan Asset Management.
"Let's give one month to see how things will be. Everything is so fast."
Comment: I am hearing some talk that Beijing cases have already peaked, but that seems a bit fast? And if lots of people are not going out to avoid catching Covid, wouldn't that extend the time it takes for most people to get it?
China COVID: Bejing hospitals in chaos as cases rise - Sydney Morning Herald
A nurse at one of Beijing’s oldest and largest hospitals said doctors and nurses who thought they were infected but had yet to get a test result had been asked to go back to work because of the staff shortages.
“Too many patients who indeed need treatment have flooded in,” they said.
The nurse said the hospital’s plans were thrown out the window by the abrupt end to restrictions following a week of anti-government protests.
China Travelogue #2 | Scott Kennedy - Center for Strategic and International Studies
The unique endurance of Zero-Covid is why my visit to China this Fall was so unusual in the first place. Moreover, the policy affected every element of the trip, from quarantining to testing, from arranging meetings to scheduling travel from one region to another. You could say that Chinese had found a way to live with zero-Covid, but based on what I observed, for many it had become a dismal existence. That explains why protests broke out and why the government is in the middle of a 180-degree about-face.
2. “Victory will ultimately belong to the heroic Chinese people!”
Very long piece by "Ren Zhong Ping" aka People's Daily Important Commentary at the bottom 1/3 of page 1 of the Thursday People's Daily and most of page 2 that is a glowing review of the efforts, under the leadership of "People' Leader” Xi Jinping, in the fight against Covid over the last three years. There is one mention of "dynamic zero-Covid". And it is a reminder that there can be no questioning of the policies to fight Covid, that “practice has fully proved that the Communist Party of China has an incomparably strong leadership and is the most reliable backbone of the Chinese people when storms strike” and they will “constantly move from victory to new victory 不断从胜利走向新的胜利”
Some excerpts:
At this critical juncture in history, the judgment, decision-making and action of the Party Central Committee are decisive. He gave instructions at the first time "to put people's life safety and health first" and "take practical and effective measures to resolutely curb the spread of the epidemic"; On the first day of the first lunar month, he presided over the Politburo Standing Committee (PSC) conference was held to study, deploy and mobilize the epidemic prevention and control work; at the critical moment of epidemic prevention and control, he flew to the decisive place of Wuhan and issued the general attack order of "resolutely winning Hubei and Wuhan defense wars"; he accurately grasped the changes of epidemic situation, and made timely major decisions on overall epidemic prevention and control and economic and social development; He studied and deployed measures to further optimize the prevention and control work according to the situation and scientific decision-making.... General Secretary Xi Jinping's far-sighted judgment and scientific and decisive decision-making demonstrated the responsibility of the People's Leader, pointed the way forward and provided important guidelines for winning the people's war, the overall war, and the obstruction war of epidemic prevention and control...
重大历史关头，党中央的判断力、决策力、行动力具有决定性作用。第一时间作出指示“要把人民群众生命安全和身体健康放在第一位”“采取切实有效措施，坚决遏制疫情蔓延势头”；农历正月初一主持召开中央政治局常委会会议，对疫情防控工作进行再研究、再部署、再动员；疫情防控关键时刻飞赴武汉决胜之地，发出“坚决打赢湖北保卫战、武汉保卫战”的总攻号令；准确把握疫情形势变化，及时作出统筹疫情防控和经济社会发展的重大决策；因时因势、科学决策，研究部署进一步优化防控工作的措施……习近平总书记高瞻远瞩的判断、科学果断的决策，彰显着人民领袖的责任担当，为打赢疫情防控的人民战争、总体战、阻击战指明前进方向、提供重要遵循.Practice has fully proved that the Communist Party of China has an incomparably strong leadership and is the most reliable backbone of the Chinese people when storms strike. As long as we unswervingly uphold and strengthen the party's comprehensive leadership, and continuously enhance the party's political leadership, ideological leadership, mass organization and social appeal, we will certainly be able to form a strong joint force and constantly move from victory to new victory…
实践充分证明，中国共产党具有无比坚强的领导力，是风雨来袭时中国人民最可靠的主心骨。只要我们毫不动摇坚持和加强党的全面领导，不断增强党的政治领导力、思想引领力、群众组织力、社会号召力，就一定能够形成强大合力，不断从胜利走向新的胜利…
The right strategy provides the fundamental basis for responding to the epidemic. After normalizing the epidemic prevention and control, China has always adhered to the principle of people first and life first, taking "external prevention and internal rebound" as the general strategy and "dynamic zero-Covid" as the general policy, improving the normalized prevention and control mechanism of timely detection, rapid disposal, precise control and effective treatment, and guarding the bottom line of no large-scale rebound of the epidemic. In 2021, the Delta variant outbreak occurred in multiple points in a short period of time, once affecting more than 20 provinces, and we fully activated the emergency command system to quickly extinguish more than 30 local clusters; Since March this year, the Omicron variant has spread rapidly and infected a large number of people, and we have raced against the virus, quickly and effectively handled the cluster epidemic in Jilin, Tianjin, Shaanxi and other places, and won the battle to defend Shanghai; With the weakening of the pathogenicity of Omicron virus, the popularization of vaccination, and the accumulation of experience in prevention and control, we have formulated 20 optimization measures and 10 new optimization measures in a timely manner to minimize the impact of the epidemic on economic and social development. Practice has fully proved that our anti-epidemic strategy is an effective measure that conforms to China's national conditions and has been tested in practice, and is the anti-epidemic plan with the lowest comprehensive social cost...
正确的战略策略，为应对疫情提供了根本遵循。常态化疫情防控后，我国始终坚持人民至上、生命至上，以“外防输入、内防反弹”为总策略，以“动态清零”为总方针，健全及时发现、快速处置、精准管控、有效救治的常态化防控机制，守住了不出现疫情规模性反弹的底线。2021年，德尔塔变异株疫情短时间内多点发生，一度波及20余个省份，我们全面激活应急指挥系统，迅速扑灭30余起本土聚集性疫情；今年3月份以来，奥密克戎变异株传播速度快、感染人数多，我们与病毒赛跑，快速有效处置了吉林、天津、陕西等地的聚集性疫情，打赢了大上海保卫战；随着奥密克戎病毒致病性的减弱、疫苗接种的普及、防控经验的积累，我们先后及时制定了二十条优化措施和新十条优化措施，最大限度减少疫情对经济社会发展的影响。实践充分证明，我们的抗疫战略策略是符合我国国情、经过实践检验的有效举措，是综合社会成本最低的抗疫方案。
Concludes with:
The 20th National Congress of the Communist Party of China formulated the major policies of the Party and the country at present and for some time to come, and drew a grand blueprint for comprehensively promoting the great rejuvenation of the Chinese nation with Chinese-style modernization. Let us unite more closely around the Party Central Committee with Comrade Xi Jinping as the core, deeply understand the decisive significance of the "two establishments", strengthen the "four consciousness", strengthen the "four self-confidence", achieve "two safeguards", put the people's life safety and physical health first, scientifically and accurately do a good job in epidemic prevention and control, make every effort to sweep away the haze of the coronavirus pandemic, make every effort to promote economic and social recovery and development, and create a new historical great cause on the new journey of building a modern socialist country in an all-round way.
党的二十大制定了当前和今后一个时期党和国家的大政方针，描绘了以中国式现代化全面推进中华民族伟大复兴的宏伟蓝图。让我们更加紧密团结在以习近平同志为核心的党中央周围，深刻领悟“两个确立”的决定性意义，增强“四个意识”、坚定“四个自信”、做到“两个维护”，把人民群众生命安全和身体健康放在第一位，科学精准做好疫情防控各项工作，全力扫除新冠疫情阴霾，全力促进经济社会恢复发展，在全面建设社会主义现代化国家的新征程上创造新的历史伟业——
Victory will ultimately belong to the heroic Chinese people!
胜利终将属于英雄的中国人民！
3. Central Economic Work Conference
Bloomberg revised its report from yesterday, now says the CEWC will meet Thursday and Friday. Reuters separately reports that it has also confirmed the meeting is happening. I am very curious if all the normal attendees will be there; hearing that lots of government offices in Beijing have 1/3 or fewer staff on site right now.
Xi and top Chinese leadership to hold key economic meeting as COVID spikes | Reuters
The closed-door annual Central Economic Work Conference will run from Thursday to Friday, according to three sources with direct knowledge of the matter.
China to Hold Meeting on Economic Policy, Targets Despite Covid - Bloomberg
Chinese leaders are planning to proceed with a closely watched economic policy meeting in Beijing this week, opting not to postpone the gathering as Covid infections surge across the capital, according to people familiar with the matter.
Long Xinhua piece today - "Unswervingly take the road of high-quality development——A commentary on the Party Central Committee with Comrade Xi Jinping as the core leading China's economic development steadily and far-reaching"
Long People's Daily articles Tuesday and Wednesday on the strength of the PRC economy, its strong prospects. The newsletter has summarized the Tuesday one
Tuesday Ren Ping article
Wednesday "Ren Ping" article on China's strong economic prospects
4. Long-term plan to increase consumption
The document issued by the Communist Party of China Central Committee and the State Council has 38 items in 11 sections. The timing of the public release, on the eve of the CEWC, is not likely to be a coincidence. There are six mentions of 共同富裕 Common Prosperity, including more taxation of high-earners, and a call for “persisting in housing is for living, not for speculation 坚持“房子是用来住的、不是用来炒的”定位”. There was a speculative report last week that the CEWC may downplay the policy of “housing is for living, not for speculation”, this may be a sign that is not the case. The plan says that consumption has been contributing to over 50% of total GDP for the past 11 years. Boosting domestic consumption, it said, is also part of a broader effort to tap into the massive domestic market, which is still growing. But the document also acknowledged the obstacles including labour, land, the environment. It said such a strategy is also a result of a “severe, complex external environment,” citing mounting uncertainty facing the world economy, the rise of protectionism, “bullying” and unilateralism.’
China issues guideline on expanding domestic demand-Xinhua
The long-term goals extending to 2035 include seeing the scale of consumption and investment hit new levels and fully establishing a sound domestic demand system, said the guideline, jointly issued by the Communist Party of China Central Committee and the State Council.
Looking to 2035, new industrialization, informatization, urbanization and agricultural modernization will be basically achieved, people's livelihoods will be improved, the underpinning role of reform in propelling the development of domestic demand will be boosted and China's advantages in terms of engaging in global economic cooperation and competition will be enhanced, according to the guideline.
To accomplish the long-term goals, the country aims to boost investment in consumption, optimize the distribution pattern, bolster the quality of supply, improve the market system and smoothen economic circulation during the 14th Five-Year Plan period (2021-2025).
China on Wednesday revealed a guideline aimed at further expanding domestic demand with the goal to raise the scale of consumption and investment to a new level by 2035, as the country accelerates the building of a “dual circulation” development paradigm to ensure long-term high-quality growth.
Experts noted that the guideline comes as a timely policy anchor to put emphasis on domestic consumption and investment in a bid to fend off external risks and challenges marked by rising unilateralism and protectionism. Still, foreign businesses will continue to play an increasing role in the Chinese market thanks to continued opening-up, experts added. ..
It also covered China’s closely watched property market, reiterating the stance that houses are for living in, not for speculation. The guideline said that efforts should be made to strengthen expectations in the real estate market, guide and support people's reasonable demand for housing, and curb speculations.
Li Changan, a professor at the Academy of China Open Economy Studies of the University of International Business and Economics, told the Global Times on Wednesday that the guideline comes as a timely policy anchor to put emphasis on consumption and investment and is in line with the “dual circulation” development paradigm.
“It shows a determination of not being overly reliant on exports, which are facing sagging global demand and protectionist headwinds,” Li said.
中共中央 国务院印发《扩大内需战略规划纲要（2022－2035年）》_新华网
Section 9 is on Common Prosperity
5. More US tech controls
The moves over the last few days do not seem to be conducive to “creating the conditions” for improving the US-China relationship. There are reports that YMTC is going on the “entity list”.
US to add Chinese chipmaker to trade blacklist | Financial Times
The US commerce department will place YMTC and other Chinese companies on its “entity list” as early as this week, according to three people familiar with the plan. US groups are barred from selling technology to companies on the list unless they have a hard-to-obtain export licence...
In addition to concerns that YMTC violated US law, the Biden administration is also worried that the company will sell memory chips below cost and put pressure on US rivals such as Micron as well as companies in allied countries.
In October, the FT reported that YMTC had been stockpiling foreign chipmaking equipment for months in anticipation that the Biden administration was preparing to take action that would hurt the company.
US to Add More Than 30 Chinese Companies to Trade Blacklist - Bloomberg
The Biden administration plans to put Yangtze Memory Technologies and more than 30 other Chinese companies on a trade blacklist that would prevent them from buying certain American components, deepening tensions between the world’s two economic superpowers.
The US Department of Commerce will add China’s leading maker of memory chips and the others to the so-called Entity List as early as this week, according to a person familiar with deliberations who asked not to be named discussing a sensitive matter.
Export controls hit China’s access to Arm’s leading-edge chip designs | Financial Times $$
The British company concluded that the US and UK would not approve the sale of its latest Neoverse V series because the performance was too high, according to people with knowledge of the sales process. The move impacts Alibaba’s T-Head chip unit and other Chinese groups.
It is the first known time that Arm, owned by Japanese tech investor SoftBank, has decided it could not export its most cutting-edge designs to China...
“We feel that the western world sees us as second-class people,” said one engineer from Alibaba’s T-Head. “They won’t sell good products to us even if we have money.”
The engineer said US sanctions were creating a two-tier system, and pointed out that Neoverse V, which was released last year, was already being used by Amazon Web Services in the US for its state of the art cloud computing chip.
Question: So the stolen Arm China does not have access to the latest designs?
Dutch chip equipment maker ASML's CEO questions U.S. export rules on China -newspaper | Reuters
"Maybe they think we should come across the table, but ASML has already sacrificed," CEO Peter Wennink said in an interview with newspaper NRC Handelsblad.
He said that following U.S. pressure, the Dutch government has already restricted ASML from exporting its most advanced lithography machines to China since 2019, something he said has benefited U.S. companies selling alternative technology.
Foreign Ministry Spokesperson Wang Wenbin’s Regular Press Conference on December 14, 2022
Bloomberg: The Biden administration plans to put Yangtze Memory Technologies and more than 30 other Chinese firms on a trade blacklist that would prevent them from buying certain US components. Companies on the Entity List are blocked from buying technology from US suppliers until they get a special export license from the US government. Does the ministry have a response to this?
Wang Wenbin: The US has been stretching the concept of national security,abusing export control measures, engaging in discriminatory and unfair treatment against enterprises of other countries, and politicizing and weaponizing economic and sci-tech issues. This is blatant economic coercion and bullying in the field of technology. What the US has been doing gravely undermines the normal business activities between Chinese and American companies. It is detrimental to market rules and the international trade order, and gravely threatens the stability of the global industrial and supply chains. It is not in the interests of China, the US or the whole world.
China will resolutely safeguard the lawful rights and interests of Chinese companies and institutions.
The Biden administration plans to remove some Chinese entities from a red flag trade list, a U.S. official told Reuters on Wednesday amid closer cooperation with Beijing.
The plan to remove them soon from the so-called "unverified" list is thanks to greater willingness from the Chinese government to permit U.S. site visits, the person said...
The Biden administration is also expected to add Chinese memory chipmaker YMTC to a tougher export control list as soon as this week, according to another person familiar with the matter.
Senate Bill Would Bar China’s Huawei From US Finance System - Bloomberg
The Senate bill, whose sponsors include Senate Majority Leader Chuck Schumer, a New York Democrat, would ban US companies from participating in significant transactions with foreign firms that produce 5G technology and engage in industrial espionage. If Huawei were so designated, it would effectively halt its access to US banks.
Senator Tom Cotton (R-Arkansas) introduced a bill with Sens. Chris Van Hollen (D-Maryland), Chuck Schumer (D-New York) and Rick Scott (R-Florida) to severely sanction Chinese technology company Huawei and other untrustworthy Chinese 5G producers who engage in economic espionage against the United States. This bill would add these entities to the Treasury Department's Specially Designated Nationals (SDN) List, which would effectively freeze them from accessing the U.S. financial system. Congressman Mike Gallagher (WI-08) introduced companion legislation in the U.S. House of Representatives.
A Bombshell For U.S.-China Tech Relations - Noema
Now that a centrist Democrat president has committed himself to a high level of intense competition, the Overton window on U.S.-China tech policy has definitively shifted, closing the potential for a more conciliatory approach for a long time to come. A GOP House in 2023 and possible Republican president two years later would almost certainly ramp up restrictions on U.S.-China tech interaction.
6. Manchester consulate diplomats leave the UK
Both sides issued stern statements after the 6 left the UK, but this looks like some sort of a negotiated deal to resolve this and move on.
Six Chinese diplomats leave UK after alleged assault – POLITICO
Six Chinese diplomats based in Manchester, including Consul-General Zheng Xiyuan, are returning to China in the wake of an incident in which a protester was dragged into the consulate grounds and attacked, according to three people familiar with the matter.
The police told the government last week that they wanted to interview these six Chinese diplomats and as a matter of protocol, the British government requested that Beijing waive diplomatic immunity to allow officers to proceed, the people said.
The British side gave the Chinese a deadline of today to respond and allow the police investigation to continue, but instead the six are now on their way back to China.
7. This week’s Sharp China podcast
8. 县委大院 “Bright Future” TV series
This is an interesting new drama that fits with many of the priorities for local officials and development under Xi.
"Bright Future" 县委大院 Episode 01 - YouTube
The episodes are on Youtube, free, but not subtitled into English
【胡歌 Hu Ge】2022.12.07 电视剧《县委大院》全阵容官宣开播预告片 - YouTube
The trailer:
All the episodes so far - 正午阳光官方频道--《县委大院》全球独播中 - YouTube
《县委大院》是正午阳光出品，由孔笙执导，王小枪编剧，胡歌、吴越、张新成领衔主演，黄磊、李光洁、刘涛、包贝尔特别出演，王骁、任程伟、尤勇智、宁文彤、房子斌主演的当代剧 [3] 。
该剧作为党的二十大献礼剧，讲述了县委书记梅晓歌与同僚团结民众共建光明县的故事
Business, Economy and Trade
Leading 100 Chinese internet companies form labor unions - Global Times All of the top 100 Chinese internet companies, including Meituan, JD.com and NetEase, have formed labor unions, a move aimed at protecting the legitimate rights and interests of internet industry workers and promoting the high-quality development of the industry, according to the All-China Federation of Trade Unions (ACFTU). The ACFTU has demanded that internet companies build the labor unions into the "homes of employees" that focus on protecting the most direct and realistic interests of the employees of internet enterprises.
Bridgewater to raise 1 billion yuan for its new investment fund in China - PingWest Bridgewater recently launched a new round of financing for its investment fund in China, raising more than 1 billion yuan ($143.99 million), according to China Fund News. The fund, which targets institutional investors and high-net-worth individuals, is being distributed by major banks in China, with subscriptions starting at 2 million yuan. Last November, the world's largest hedge fund raised 8 billion yuan for its third investment fund in China.
房企加速推进股权融资 已有17家公司发布定增计划—证券日报 According to a tally by the Securities Daily, at least 17 Chinese property developers announced plans to issue shares through private placement as a way to ease their liquidity crunch. Many have indicated that the capital raised will be used to ensure installed projects get to the finishing line.
Longfor Gets $101 Million of Offshore Loans From Bank of China - Caixin Bank of China, one of China’s four largest state-owned banks, offered 700 million yuan ($100.8 million) of offshore loans to Longfor. The funds were drawn down Dec. 9 to meet the developer’s liquidity needs, the lender said. Bank of China said the loans are an important measure to implement the directions of the central bank and the China Banking and Insurance Regulatory Commission, carry out a strategic cooperation agreement with Longfor, and support the stable and healthy development of the real estate market.
银保监会要求确保基础金融服务不断档、有质量：强化重点领域金融支持—21经济网 In a notice published on Dec 14, China’s securities watchdog urged banks to keep businesses open, including branch services. “Regions that are not high-risk must not stop operation or set the cap of the number of employees who must show up.” 非高风险区营业网点不得无故停业，不得设置到岗率上限。Meanwhile, a number of local securities regulators are asking financial institutions to increase lending toward sectors like manufacturing and small businesses. In Beijing, the banking regulator has warned against “blindly limiting, withdrawing or stopping loans.”
“新十条”后经济恢复冷暖不均，人流物流复苏更明显—界面新闻 Following the new Covid control measures from the State Council, sectors including logistics and aviation have shown signs of recovery. So have movie showings, though box office revenue hasn’t bounced back. Yet the “production side” of the economy is still weak, including heavy industry like steel and chemicals.
Cutting Through the Fog: FDI in China Since COVID-19 | Rhodium Group The resilience of foreign direct investment (FDI) in China has been the subject of intense debates in recent years. China’s official figures show record FDI inflows since the COVID-19 outbreak in 2020 but a rapid decline in the second half of 2022. Alternative data points suggest a more prolonged slowdown in new investment that began in 2020. In this note, we examine available data sources to assess China’s FDI performance since 2020 and discuss the outlook. Our key findings are:
China restricts export of industrial data as Beijing seeks to enhance data security | South China Morning Post “Important” and “core” industrial data collected and generated in mainland China should be kept within the country, while data that needs to be exported should undergo a security assessment, according to new regulations published by China’s Ministry of Industry and Information Technology (MIIT) on Tuesday. The new rules cover data produced in areas including industry, telecoms and radio waves as they fall under the purview of the MIIT. China’s Data Security Law, which came into effect in September last year, requires each government body to supervise data security in their own realms.
The End of Zero-COVID and the Start of China’s Economic Recovery Andy Rothman explains the three reasons why he’s now bullish on China after being cautiously optimistic.
Chinese Stocks Have Further Upside After Big Rally, Amundi Says - Bloomberg “Real money has been put to work,” but Chinese equities are still under-owned, said Nicholas McConway, Amundi SA’s London-based head of Asia ex-Japan equities. “We see more upside to this market from this point into second quarter next year.”
China's GDP unlikely to surpass U.S. in next few decades: JCER - Nikkei Asia China's nominal gross domestic product is unlikely to surpass that of the U.S. in the next few decades, the Japan Center for Economic Research said in an estimate, dropping a forecast last year that the world's two largest economies would switch places in 2033. The Chinese economy will slow as a result of its stringent zero-COVID policy and stronger U.S. restrictions on exports to China, the Nikkei-affiliated think tank said Wednesday. Over the long term, labor shortages stemming from the country's dwindling population will act as a drag on its economic growth, it added.
China calls US 'destroyer' of global trading system at WTO | Reuters China's ambassador to the WTO Li Chenggang said in a speech that he was disappointed in the U.S. trading record, saying it had not lived up to President Joe Biden's inaugural pledge to lead "by the power of our example". "The United States puts 'America First' by prevailing its domestic laws over international rules and (the) laws of others, disregarding WTO rules and concerns of other members," he told a closed-door U.S. trade policy review at the Geneva-based WTO. "Clearly, the United States is a destroyer to the multilateral trading system," he added, according to the text of his speech which was released in English by China's WTO delegation.
Delayed Guangzhou Auto Show to Go On, Despite Exhibitor Pullouts - Caixin The Guangzhou International Automobile Exhibition, also known as Auto Guangzhou, is now set to go ahead from Dec. 30 to Jan. 8, its organizer said on Tuesday, following five weeks of delays caused by the city government’s tightened requirements to curb a flare-up in Covid-19 cases. The event had originally been scheduled to take place from Nov. 18 to Nov. 27.
Chinese agribusiness giant Fufeng gets US federal clearance for controversial North Dakota land sale | South China Morning Post Inter-agency body says it will not block company’s US$700 million corn milling plant in city of Grand Forks Residents who object to the project say it is too close to air force base and could be a ‘smokescreen’ for espionage
E.U. to pressure China on climate with tax on polluting steel, cement - The Washington Post European Union policymakers struck a deal on Tuesday to impose a border tax on highly polluting products such as steel and aluminum — an unparalleled move to safeguard Europe’s own climate ambitions while pushing China and others to be greener.
China Dominates the Rare Earths Market. This U.S. Mine Is Trying to Change That. - POLITICO MP Materials wants to be the solution to America’s rare earths challenge. MP’s goal is to restore the full supply chain to the United States, becoming the world’s sole “vertically integrated” rare earth magnetics producer that performs all stages of the process. In November, MP announced that it had begun commissioning assets for the second stage of production, which is currently done primarily in China: separation and purification. The company has also begun building a new manufacturing facility in Fort Worth, Texas, that will convert the refined minerals from Mountain Pass into metals, alloys and magnets.
Politics and Law
人事观察｜半年两度履新 林锐任中央统战部副部长_政经频道_财新网 Lin Rui is now a vice minister of the United Front Work Department, he spent a long time in the Fujian Public Security system under Wang Xiaohong, became a vice minister of public security, speculation now is that his portfolio at the United Front Work Department will cover Xinjiang
Police detain 4 in Guangzhou after COVID protests | AP News While many who attended protests in cities across China last month were released after being held for 24 hours — the legal limit on detention before police must file charges — the four Guangzhou residents as of Wednesday have been held for a week and a half.
China Protesters Face Possible Criminal Charges - WSJ The Chinese government and official media have barely mentioned the demonstrations and have said nothing about detentions of protesters. Rights activists have been scrambling to figure out how many people who participated in the protests are now in detention; they say such information has been hard to come by. Over the weekend, friends of Yang Zijing, an LGBT activist in the southern Chinese metropolis of Guangzhou, circulated a digital poster online saying she was detained by police the previous Sunday.
Former Chinese lawmaker Yu Zhigang dies in detention while awaiting corruption verdict | South China Morning Post Yu Zhigang, 49, a former member of China’s top legislature and a former vice-chancellor of the China University of Political Science and Law, the country’s top legal university, died in May while awaiting a verdict on corruption charges against him, according to the announcement...On May 2, Yu suffered a cerebral haemorrhage while in custody at a detention centre in Liaoning and died on May 3 despite emergency rescue efforts. Caixin, a mainland-based media outlet, reported that Yu was held at the detention centre of the Liaoning provincial public security department. On the day of his sudden illness, he woke up at 6am and played chess with his fellow detainees.
Netherlands honors detained Chinese feminist, labor activist with rights award — Radio Free Asia Born in 1991, Li Qiaochu has been committed to a wide range of human rights issues, including women’s rights and labor rights, the Dutch Embassy in Beijing said in a statement in awarding her the 2022 Embassy Tulip award. "Besides helping and speaking out for others, she has also been vocal in describing her own experiences of being harassed, questioned and detained," it said. Li has been held in Shandong's Linyi city since her initial detention on Feb. 6, 2021, on suspicion of "subverting state power."
Interview: Jeremy Wallace on the Chinese State's "Limited, Quantified Vision" Jeremy Wallace, associate professor of Government at Cornell University, joined CDT to discuss his new book, Seeking Truth and Hiding Facts: Information, Ideology, and Authoritarianism in China. In a wide-ranging conversation, Wallace traced the rise and fall of what he terms the Chinese state’s “limited, quantified vision.” Wallace explains how the state’s desire to increase productive forces after the death of Mao evolved into an obsession with a small subset of numbers, chief among them Gross Domestic Product (GDP), that came to dominate Chinese politics—until, suddenly, they didn’t (although rumors of their demise may be premature.) Other important examples over the years include family planning statistics, coal mine accident rates, air quality readings, and COVID case numbers. The book began as a project on the manipulation of data in China: who manipulates which statistics, and when and why they do so
How can studies of a particularly interesting phenomenon in China’s political economy contribute to broader discussions of state–society relations, regime durability, and state-led development without losing respectable country expertise? Three recent books, representing the most current scholarship on China’s political economy, have emerged to take on these challenges..
Changdong Zhang’s Governing and Ruling proposes one of the most ambitious theories to explain how the Chinese state uses taxation to govern businesses and maintain authoritarian rule...
Yuen Yuen Ang’s China’s Gilded Age also seeks to unravel state–business relations behind China’s growth and explains another seemingly contradictory phenomenon: how China was able to experience both rapid economic growth and vast corruption...
Yeling Tan’s Disaggregating China takes seriously the complexity of the domestic political economy, like Zhang’s and Ang’s books, but places her argument against the international background. She examines domestic responses to the pressure of liberalization from China’s entry into the World Trade Organization (WTO)
“Sweep Away Darkness, Eliminate Evil”: A Belated Overview of China’s First Organized Crime Law In December 2021, the NPC Standing Committee adopted the Anti–Organized Crime Law (AOCL or Law) [反有组织犯罪法], China’s first statute dedicated to combatting organized crime. The Law has taken effect on May 1, 2022. It came at a time when the Communist Party’s three-year campaign to “clear out the underworld” (or saohei, short for “扫黑除恶,” literally “sweep away darkness and eliminate evil”) that began in 2018 was wrapping up and when central authorities were calling for the “normalization” of the saohei campaign.
Discourse Power: A Xinderella Story - by Tuvia Gering
the role of intellectuals goes beyond that of mere mouthpieces. Xi delegated to them the task of assisting him in the creation of the story by expediting the development of a "disciplinary system, academic system, and discourse system of philosophy and social sciences with Chinese characteristics."
This special directive, also referred to as the Three Great Systems 三大体系, was first stated by General Secretary Xi in a speech at the Symposium on the Work of Philosophy and Social Science in May 2016...
it now seems that the Storyteller in Chief wants to have his own Yongle Encyclopedia to establish the canonical status of the Chinese Dream of the great rejuvenation of the Chinese nation.
In late November following the 20th Party Congress, Party-state publishers, media, and propagandists gathered in Chengdu to celebrate the launch of the first three parts of Xi’s leishu, the Library of National Rejuvenation 复兴文库.
“For thousands of years,” Xi wrote in the preface to the Rejuvenation Library, “the Chinese nation has the tradition to document historical records and compile classic works, so as to draw on the lessons of history and civilize the people through cultural development.”
Foreign and Defense Affairs
Xi to address opening ceremony of high-level segment of COP15 part 2 Chinese President Xi Jinping will on Thursday address the opening ceremony of the high-level segment of the second part of the 15th meeting of the Conference of the Parties to the Convention on Biological Diversity (COP15) via videolink, Foreign Ministry Spokesperson Hua Chunying announced Wednesday.
Xi delivers written remarks at 15th China-Latin America Entrepreneurs Summit-Xinhua Xi pointed out that China will adhere to the basic national policy of opening up, firmly pursue a win-win strategy of opening-up, keep to the right direction of economic globalization, continue to provide new opportunities for the world with China's new development, promote the building of an open world economy, and deliver more benefits to the people of all countries including Latin American and Caribbean countries (LAC).
Ecuador's trade agreement with China is 'practically closed,' says Lasso | Reuters "A highly efficient negotiation has been carried out in less than 10 months and I can confirm that the agreement is practically closed," Lasso said during a meeting of businessmen from China and Latin America in the city of Guayaquil.
Japan ruling bloc split over China 'threat' in defense policy review - Nikkei Asia The smaller party in Japan's ruling coalition has pulled the government's defense policy debate in a more dovish direction, toning down the language used to describe the risk posed by China. Three upcoming policy documents will lay out Tokyo's view of its security environment and will provide the grounds for the government's plans to sharply ramp up defense spending.
China-Iran high-level meeting highlights comprehensive cooperation, ‘dispels rumor of rift in bilateral ties’ - Global Times China views its ties with Iran from a strategic perspective and will not waver in its determination to develop their comprehensive strategic partnership, said Chinese Vice Premier Hu Chunhua when meeting with Iranian President Ebrahim Raisi in Iran's capital Tehran on Tuesday. Given that the meeting highlighted the consensus on deepening bilateral relations and comprehensive cooperation, Chinese observers said it could effectively help dispel some noises that are trying to drive a wedge between the two countries.
Iran summons China envoy over islands dispute statement with UAE | News | Al Jazeera The issue that prompted the rare summoning of the Chinese envoy was ownership of Greater Tunb, Lesser Tunb and Abu Musa – three islands in the Strait of Hormuz that have been governed by Iran since 1971 and are claimed by the United Arab Emirates (UAE) as part of its territory...In signing the statement that called for “bilateral negotiations in accordance with the rules of international law, and to resolve this issue in accordance with international legitimacy”, China effectively undermined Tehran’s stance that it would not entertain any talks on the islands.
Can China Continue to Balance Between Saudi Arabia and Iran? – The Diplomat Saudi Arabia and the broader GCC may be a near-term geopolitical priority for Chinese officials due to the immediate benefits of deepened ties with Saudi Arabia and Iran’s present domestic challenges. China increasingly prefers predictable, stable, and high-return investments. Beijing’s economic ties, investment, and energy ties with Riyadh have produced significant gains with limited risks in the past two years. Iran, meanwhile, has not yielded such gains for Chinese investors in the short term. Chinese businesses in Iran remain bogged down with concerns over the risk of triggering U.S. sanctions.
Beijing hosts conference on civilization diversity, human rights governance-Xinhua The International Conference on Diversity of Civilizations and Global Human Rights Governance was held in Beijing on Tuesday. The event drew online and offline participation by nearly 50 experts from countries including China, Cuba, the United Kingdom, Russia and France...Zuo Feng, Vice Chairman and Secretary General of the China Foundation for Human Rights Development, called for action to combat clashes of civilizations and deter discrimination and prejudice toward certain civilizations, so as to create a healthy environment for advancing human rights around the world.
Vietnam's Major Spratly Expansion | Asia Maritime Transparency Initiative Vietnam has accelerated and expanded dredging and landfill work at several of its outposts in the Spratly Islands in the second half of 2022, creating roughly 420 acres of new land this year and bringing its total in the last ten years to 540 acres. The work includes expanded landfill work at four features identified by AMTI earlier this year and new dredging at five additional features. The scale of the landfill work, while still falling far short of the more than 3,200 acres of land created by China from 2013 to 2016, is significantly larger than previous efforts from Vietnam and represents a major move toward reinforcing its position in the Spratlys.
刘建超同委内瑞拉统一社会主义党第一副主席卡韦略举行视频通报会——上海热线新闻频道 On December 13th, Liu Jianchao, Minister of the International Liaison Department of the CPC Central Committee, held a video briefing with Cabello, First Vice-President of Venezuela's United Socialist Party. The two sides informed each other about the 20th CPC Congress and the 5th CPC Congress, saying that they would implement the consensus of the two heads of state, strengthen inter-party exchanges and cooperation, and promote the in-depth development of China-Venezuela comprehensive strategic partnership.
Secret 2020 Privy Council Office memo found ‘active foreign interference network’ in 2019 election - National | Globalnews.ca A February 2020 Privy Council Office national security memo documented China’s alleged “subtle but effective foreign interference networks” that targeted the 2019 federal contest, said MP Michael Cooper. In the Procedure and House Affairs Committee hearing Tuesday, the Conservative member from Edmonton quoted from a redacted document, saying: “Investigations into activities linked to the Canadian federal election in 2019, reveal an active foreign interference network,” and added that it referenced the Chinese Communist Party.
千米高空 飞鲨之吻：有效提高航母编队滞空作战连续打击能力_新闻频道_央视网(cctv.com) video of air refueling training for PLAN carrier jets 近日，海军航空大学某基地多名飞行教官驾驶某型舰载战斗机听令起飞，组成战术编队奔赴某空域开展空中“伙伴加油”训练，部队任教能力和实战化训练水平得到实际检验和有效提升。
How to Stop Chinese Coercion: The Case for Collective Resilience - Victor Cha Dealing with China’s weaponization of trade will be necessary if the Biden administration wants to successfully compete with Beijing. And although a U.S.-led collective-resilience bloc may strike proponents of globalization as mercantilist, they should understand that it is in fact essential to their project. China will continue to abuse its economic position and distort markets until it is forced to stop. Collective deterrence, then, may be the best way to keep the global economy free and open.
Xi Jinping Doubles Down on His Putin Bet. ‘I Have a Similar Personality to Yours.’ - WSJ
China’s leader Xi Jinping has in recent months tried to put public distance between Beijing and Moscow as Russia has suffered defeats in its war on Ukraine.
Behind the diplomatic appearances, however, Mr. Xi is deepening his long-term bet on Russia.
In recent weeks, he has instructed his government to forge stronger economic ties with Russia, according to policy advisers to Beijing, building on a trade relationship that has strengthened this year and become a lifeline to Moscow in the face of Western pressure.
The plan includes increasing Chinese imports of Russian oil, gas and farm goods, more joint energy partnerships in the Arctic and increased Chinese investment in Russian infrastructure, such as railways and ports, the advisers say...
In recent months, Mr. Xi has sought to temper relations with Russia publicly to avoid provoking a collective Western backlash, say foreign-affairs analysts and government advisers in Beijing. Most notably, the Chinese leader recently told other world leaders that he opposes the use of nuclear weapons in Ukraine—after Mr. Putin threatened to do so.
Interesting if accurate, sourcing seems thin - China Bans Exports Of Loongson Military Grade Processors To Russia Beijing has banned the export of Loongson military grade processors to the Russian Federation, the Moscow-based Kommersant daily said on December 13. According to the report, the Russian military industry has been testing Loongson processors for some time and planned to use them instead of Intel and AMD processors amid Western sanctions imposed on Moscow over its invasion of Ukraine. Kommersant cited a source close to the Russian government as saying that Beijing banned Loongson processor exports, citing their strategic importance for China’s military.
A Professor Who Challenges the Washington Consensus on China | The New Yorker Ian Johnson profiles Jessica Chen Weiss // Specifically, Weiss thinks that the Administration should take steps to de-escalate the tensions. It should oppose efforts under way in Congress to raise Taiwan’s diplomatic status, and discourage visits to Taiwan by senior officials, such as the recent trip by the outgoing Speaker of the House, Nancy Pelosi. More broadly, the United States should be willing to offer rewards for better Chinese behavior, rather than solely a series of punishments, and set up more regular contact between Washington and Beijing. While acknowledging China’s actions, Weiss says the risks of a catastrophic conflict are too high not to make a full-court diplomatic press. “Those who take that fatalistic approach have to ask themselves what kind of world they see,” she said. “I think it’s too catastrophic not to test the proposition that there is an alternative.”
Are the US and China in an Ideological Competition? | Center for Strategic and International Studies This event from 3 years ago still relevant today // panelists Toshi Yoshihara, Senior Fellow at the Center for Strategic and Budgetary Assessments; Jessica Chen Weiss, Associate Professor of Government at Cornell University; Dan Tobin, China Studies Faculty at the National Intelligence University; and Andrew Mertha, George and Sadie Hyman Professor and Director of China Studies at Johns Hopkins University School of Advanced International Studies
Hong Kong and Macao
Chinese Mainlanders Rush to Macao for mRNA Vaccinations - Caixin Chinese mainland residents are rushing to Macao to get BioNTech’s messenger RNA-based Covid-19 vaccines as infections surge amid the government’s easing of pandemic controls.
Ex-organiser of Hong Kong Tiananmen vigil Chow Hang-tung wins appeal against conviction and sentencing - Hong Kong Free Press HKFP Chow Hang-tung, ex-vice-chairperson of the Hong Kong Alliance in Support of Patriotic Democratic Movements of China, was convicted of inciting others to take part in an unauthorised assembly and sentenced to 15 months in jail in January. Wearing black and standing before judge Judianna Barnes at the High Court on Wednesday, Chow appeared surprised and joyful when the results of the appeal were handed down. As court was dismissed, people in the public gallery let out cheers before being told by security guards to quieten down.
Macau to sign licensing agreements with the 6 winning casino operators on Friday, source says | South China Morning Post The city’s six incumbent casino operators were awarded licences that run from January 1, 2023 to December 31, 2033 The six operators are likely to invest a total of HK$100 billion (US$12.8 billion) over the next 10 years on non-gaming elements, according to a Credit Suisse note
Taiwan
Senior CPC official calls for unswervingly advancing national reunification-Xinhua Wang Huning, a member of the Standing Committee of the Political Bureau of the CPC Central Committee, made the remarks at the 11th national congress of Taiwan compatriots that opened in Beijing on Tuesday...The two-day congress will deliberate a work report of the 10th council of the All-China Federation of Taiwan Compatriots (ACFTC), review an amendment to the ACFTC Constitution, elect the 11th council of the ACFTC and its leadership, and award model groups and individuals of the ACFTC
The Global Economic Disruptions from a Taiwan Conflict | Rhodium Group Over the course of 2022, as the war in Ukraine shone a spotlight on geopolitical risks, Rhodium Group examined the potential global economic disruptions resulting from a hypothetical conflict between China and Taiwan. Our work builds on research dating back to 2004 that examined Taiwan’s global economic relationships.[1] Unsurprisingly, we find that the scale of economic activity at risk of disruption from a conflict in the Taiwan Strait is immense: well over two trillion dollars in a blockade scenario, even before factoring in international responses or second-order effects. The disruptions would be felt immediately and would be difficult to reverse. They would impact trade and investment on a global scale, leaving few countries untouched. Such disruptions could occur even if the conflict does not become kinetic
Taiwan semiconductor talents relocate to US, sparking brain drain fears | The Straits Times
worries that TSMC’s continued expansion beyond Taiwan’s shores will weaken what many call its “silicon shield” amid increased aggression from Beijing, which views the island as a breakaway province to be reunified...
“If other countries no longer rely on Taiwan for advanced chips, isn’t it worrying that our ‘protection’ will disappear?” said opposition lawmaker Chiu Chen-yuan in a legislature meeting last week.
But experts and officials have repeatedly said there should be no cause for concern.
Taiwan’s Economic Affairs Minister Wang Mei-hua noted how the company has a “complete supply chain in Taiwan” that is not easily replicated. Its most advanced technology will also remain on the island, she said.
The west should not walk into Beijing’s Taiwan trap on chips | Financial Times OpEd by president of the US-Taiwan Business Council // The Kuomintang (KMT), Taiwan’s main opposition party, just won a sweeping island-wide series of local elections. It is seeking to maintain the momentum by hammering away on the issue of economic vulnerability caused by external semiconductor migration. This preys on Taiwan’s sense of isolation and creates heightened anxiety about the long-term viability of the island’s “silicon shield” — the notion that its centrality in the semiconductor sector affords it economic and political weight in global affairs. China’s state-controlled media has already picked up on this issue and has entered the fray. KMT’s strategy fits perfectly with Beijing’s coercive economic strategy.
Ex-CSIST boss tells behind-the-scenes story of missile development projects - Taipei Times Former Chungshan Institute of Science and Technology (CSIST) president Kung Chia-cheng (龔家政) made known some behind-the-scenes details of the nation’s missile development in a memoir published by Academia Sinica’s Institute of Modern History last month. Speaking about the supersonic cruise missile developed by the Yun Feng (雲峰, Cloud Peak) project, Kung said the missile could exceed Mach 3 and had excellent penetration, as it comes down on its target vertically...The American Institute in Taiwan met with Chen soon after the trial launch of the missile, he said, adding that the institute issued a memorandum of understanding stating that we “were not allowed to have carried out the trial launch.”
Tech and Media
Wang Wen x Omnipotent Youth Society + China's answer to Tiny Desk Concerts There’s a big post-rock album to digest, two intriguing electronic releases, an epic ambient piece and… Señor Coconut.
The Top 100 Mandopop Singles of 2022 - by Michael Hong the best Mandopop of the year from dream pop break ups to pop-punk reconciliations and everything else in between
Society, Arts, Sports, Culture and History
Two Star Athletes Have Chosen to Represent China. Netizens Are Furious. - SixthTone In early November, short-track speed skating stars Liu Shaolin Sandor and Liu Shaoang lit up Chinese social media with a bombshell announcement: They planned to switch allegiances from their native Hungary to China...Posts about the Lius on social media app WeChat and microblogging platform Weibo by Beijing Youth Daily Sports, 163 Sports, and other media outlets have been flooded with comments from angry netizens. Many are short and to the point: “You are not welcome.” “Don’t come to China.” “Don’t take Chinese nationality.”
How to live-tweet the Cultural Revolution, 50 years later | MIT Technology Review ecently talked to Jacob Saxton, the 30-year-old logistics analyst in Southampton, UK, who is behind a pretty niche Twitter account: Cultural Revolution OTD 1972 (@GPCR50). The account pretends to live-tweet what happened during the devastating political movement from 1966 to 1976 in China—except, of course, it’s 50 years late.
Me and Beijing grocery stores - by siyuan - Siming Shan A neighbor upstairs suddenly added me on WeChat from the compound group chat — “Hi neighbor, I have dropped four cans of peaches and pears at your door. I saw you help us send appeals to community workers during the temporary lockdown a few weeks ago, and recently you have also offered dog walking help (note: because someone was not able to walk their dog after getting Covid). I admire your personality and I would to share these canned peaches with you as gifts.”
Energy, Environment, Science and Health
Chinese scientists make ‘impossible’ AI breakthrough in drug research | South China Morning Post Chinese scientists say they have achieved “the impossible”: developing an AI that can predict the structural changes of proteins, a task so complex it is thought by many biologists – including China’s “goddess scientist” Yan Ning – to be beyond the capabilities of machine learning. The breakthrough could speed up the preclinical drug development process, according to the researchers, led by Professor Li Ziqing with Westlake University’s school of engineering. Part of their work was published by peer-reviewed journal Advanced Science in October.
Education
China Is Cracking Down on ‘Hidden’ Tutoring Schools - SixthTone Twelve government departments, led by the Ministry of Education, published a new guideline Tuesday, targeting underground tutoring activities and pledging to stamp out the trend by June 2024. The plan aims to set up a “basic mechanism to prevent, locate, and punish” offenders in the next six months. “The various forms that hidden tutoring comes in, compounded by the unsound tackling mechanism and lack of collective efforts, have to some extent undermined the ‘double reduction’ reform,” the guideline said.
教育部办公厅等十二部门关于进一步加强 学科类隐形变异培训防范治理工作的意见 - 中华人民共和国教育部政府门户网站
Rural and Agricultural Issues
China outlines central, local government roles in rural revitalization drive The move seeks to forge synergy and achieve solid progress in policy implementation and task fulfillment, according to an official guideline. Related ministries and departments are mainly responsible for the formulation and implementation of strategic plans, major policies, and projects for rural revitalization, among others. Local governments have to take responsibility for 14 tasks, including ensuring the supply of grain and important farming produce, planning for the development of rural industries, and introducing more talents to join the campaign. The guideline also introduces evaluation and supervision measures to urge central and local governments to live up to their responsibilities.
The plan - 中共中央办公厅 国务院办公厅印发《乡村振兴责任制实施办法》 - 中国军网
中央农办负责人就《乡村振兴责任制实施办法》答记者问 - 中国军网 Official Q&A on the plan
Is Xi and/or the CCP going to tell the Chinese people to go to the mall in spite of COVID like Bush 2 did to the American people after 9/11??
Our Beloved Leader, not to be outdone by Mao, is ushering in his Viral Revolution. Will it last 10 years? That unctuous and fulsome article, is the writer intending to embarrass Xi?