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A China Built High-voltage Power Transmission Project in Mongolia

The completion ceremony for the China built 330 kV power transmission project connecting Mongolia’s capital city of Ulaanbaatar to Mandalgovi, the capital of Dundgovi Province in Mongolia, was recently held in Mandalgovi. The power transmission project is the first cross-region high-voltage transmission line in Mongolia, aiming at improving the local power supply, enhancing grid security and stability, and reducing electricity costs. The website of the Dundgovi provincial government claimed that the project achieved the interconnection of the Mongolian central power system and the southern power system, ensuring the safe and reliable operation of the southern power grid in the country.

Mongolia’s Minister of Energy stated that the project will solve the problem of the local power shortage. In recent years, China has launched projects to help the livelihood of those in Mongolia, greatly promoting the economic and social development of Mongolia.

The Chinese ambassador to Mongolia said that China has been providing aid and preferential loans to Mongolia to support the country’s infrastructure and major livelihood projects. It plays an important role in pairing China’s “Belt and Road Initiative” with Mongolia’s “Development Path” strategy and promoting Mongolia’s economic and social development.

Source: People’s Daily, October 31, 2019
http://paper.people.com.cn/rmrb/html/2019-10/31/nw.D110000renmrb_20191031_4-16.htm

Briefings | | |   Geo-Strategic Trend

China Times: TSMC Responded to the Plan to Manufacture Chips in the U.S.

Major Taiwanese newspaper, China Times, recently reported that the Taiwanese chip maker TSMC officially responded to the question of whether it has a plan to invest in new manufacturing capabilities in the U.S. TSMC is the world’s top chip maker with 7 nano-meter manufacturing technology. It receives orders from leading companies such as Apple and Huawei and holds a massive global market share. TSMC also makes chips which the U.S. military uses in high volume. The news triggered a number of reports that TSMC is under heavy pressure from the U.S. Department of Defense to make chips in the United States, citing national security concerns. TSMC clarified that it has no immediate plan to open new factories in the States, but the company is continuously looking into this option. TSMC did admit that it is producing military chips. The primary challenge for manufacturing in the U.S. is cost. The company hinted that it would need a substantial subsidy. However, the new announcement also indicated that, to solve the national security issues that some customers have, the company is devoted to developing traceable chips.

Source: China Times, October 31, 2019
https://www.chinatimes.com/realtimenews/20191031004013-260410?chdtv

Briefings | | |   Information/Technology US-China Relations

Xinhua: China’s October Manufacturing PMI Dropped to 49.3 Percent

Xinhua recently reported that the Chinese National Bureau of Statistics just released its official October manufacturing PMI (Purchasing Managers Index) number. The latest index number has suffered a month-over-month 0.5 percent decline since September, to 49.3 percent. This is now an eight-month low. According to the new report, in October, large scale companies manufacturing PMI declined 0.9 percent, to 49.9 percent. Mid-scale companies declined to 49.0 percent, which is a 0.4 percent increase from last month, and the manufacturing PMI small-scale companies dropped down to 47.9 percent, representing a 0.9 percent decline. Among all subcategories, the new orders index reached 49.6 percent (a 0.9 percent decline), the raw material inventory index reached 47.4 percent (a 0.2 percent decline), and the employment index reached 47.3 percent (a 0.3 percent increase). These are the three subcategories that kept the overall manufacturing PMI below 50 percent. PMI is an indicator of financial activity reflecting purchasing managers’ acquisition of goods and services. A PMI number below 50 typically reflects a decline.

Source: Xinhua, October 31, 2019
http://www.xinhuanet.com/fortune/2019-10/31/c_1210334911.htm

Briefings | | |   Economy/Resources

RFA: China Shows Signs of Further Suppression of Religious Freedom

Radio Free Asia, (RFA)recently reported that China’s Zhejiang Province started implementing a new regulation on November 1. It requires that all domestic religious groups must “Sinicize.” This means that no foreign power can influence any religious locations or activities. Critics said the Chinese government frequently suppresses religious activities under the name of “collusion with anti-China forces.” This new regulation is only making things worse. The official Zhejiang provincial version of the regulation requires all religions to practice the Socialist Core Values. No individual or organization can intervene in the government’s legal, executive, or educational functions in the name of religion. The new regulation also requires the government to improve information systems that administer religious activities. No churches or priests in Zhejiang have accepted RFA’s requests for an interview.

Source: RFA, November 1, 2019
https://www.rfa.org/cantonese/news/religion-11012019093329.html?encoding=simplified

Briefings | | |   Government/Politics

A Chinese Dissident Founded an Anti-CCP Federation

Epoch Times held an interview of a Chinese political dissident, Mr. Wang Zhongyi (whose original name was Wang Rui). Mr. Wang founded a non-governmental organization called the World Youth Freedom Federation (世界青年自由联盟), with the goal of overthrowing the Chinese Communist Party (CCP).

Mr. Wang applied for political asylum in Taiwan when he visited there in 2014. He came to the U.S. in 2018 and registered the federation in April 2019. The organization has over 60 members.

Mr. Wang found that nobody, either inside or outside mainland China truly likes the CCP, but most of them are afraid of the party. “If you want to take on the CCP, the CCP will take you on. It can kill you even if you are outside China.”

To him, this is a twisted situation. It should be that the CCP in the U.S. itself feels scared. How is it that the anti-CCP people have the fear? To change the CCP, Mr. Wang called for the young to join his organization, which does not appeal to or recommend anything to the CCP. Instead it just wants to “overthrow the CCP.”

The organization has two major tasks: “Assistance” and “Protection.”

Many Chinese political dissidents face difficulties when they come to the U.S. as they don’t understand the U.S. system. The federation integrates the resources from its members to provide assistance to the newcomers in a number of areas including job search, school, immigration status, apartment rental, transportation, and even obtaining a driver’s license.

This will enable people to feel the benefits and warmth of the U.S. system. “Only then will they know to pass the warmth on to others and will they have time and energy to promote universal values.”

On the protection side, Mr. Wang thinks that the CCP’s propaganda has misled many dissidents, making them think that the CCP is very powerful. His organization will protect those anti-CCP people. Many young members of the federation have a license as an armed guard, so people don’t have to fear the CCP spies’ threats.

“Being anti-CCP is the responsibility (of our generation). Let’s not pass down the suffering to the next generation.”

Mr. Wang was grateful for the U.S.’ saving many Chinese, but he understood that the U.S. cannot bring all Chinese over. His responsibility is to make China the same as the U.S. He feels that more and more young Chinese who escaped to the U.S. share the same view. He wants his federation to become the key resource to stop the CCP’s overseas expansion and gradually contain the CCP’s influence within China; in the end he and his coworkers will go to China to fulfill their mission.

“We only want to overthrow the CCP. Then we will dissolve our organization.” Mr. Wang does not care who becomes the President after the CCP, because there can never be any regime worse than the CCP. The federation is to build up the power of the people but not to make the choice for the people.

Source: Epoch Times, October 1, 2019
http://www.epochtimes.com/gb/19/10/1/n11559203.htm

Briefings | | |   Government/Politics

National Post: Host on Chinese-language Station in Toronto Fired for Criticizing the CCP

According to the Canadian news media, the National Post, a talk-show host on a major Chinese-language radio station in Ontario says he was fired because, while on the radio, he questioned a pro-Beijing community leader .

Mr. Kenneth Yau was an unpaid guest host on the Fairchild Radio’s AM1430 station. He interviewed Simon Zhong, head of the Toronto Community and Culture Centre on September 30. Zhong is considered a China ally. Mr. Yau pressed Zhong to explain how he could both be “100 percent Canadian” and also respect the Chinese Communist Party (CCP).

After the show, many pro-China listeners complained to the Toronto station. A few days later, the station let Mr. Yao go, using the reason that his on-air style was “too loud.”

Mr. Yau said he has also challenged Beijing’s stance on the Hong Kong protests, prompting threats from listeners to kill his family and rape his daughter. He also defended Canada’s arrest of a Huawei Technologies executive.

Mr. Yau thought that the station felt pressure both from advertisers who had connections with China and relatively recent immigrants who grew up on the mainland under Communist rule and were more loyal to the regime than those who came earlier from places such as Hong Kong.

The incident underscores what many Chinese Canadians see as a troubling reality: most of the media catering to their community are loath to say anything critical of Beijing.

That includes self-censoring topics that the Chinese government considers taboo, such as discrimination against the Falun Gong and human rights in Tibet.

Another host, Anita Lee, on Fairchild’s AM1740 station was let go after expressing support for protesters in Hong Kong. She played Glory to Hong Kong, the rousing anthem that the demonstrators have adopted, an ode to freedom, democracy, and human rights. After a barrage of complaints, Ms. Lee returned to work. Fairchild said she had simply left to spend more time with her children.

Source: National Host, October 8, 2019
Host on Chinese-language station in Toronto says he was fired for criticizing Beijing

Briefings | | |   Geo-Strategic Trend Government/Politics

Non-productive Activities Add to the Burden of China’s Private Sector

In addition to a lack of corporate confidence, China’s private enterprises are often called upon to participate in “political studies.” They are forced to invest in non-productive activities, negatively impacting their operational efficiency.

One private enterprise employee told the Central News Agency that, because she was the only Communist Party member in the group and because she is honest and reliable, the entire company relied on her to handled different political activities such as taking photos, compiling reports, and organizing training. Although most of the events are for show, they still require a considerable amount of time.

An economist who did not want to be named told the reporter that China is facing the pressure of economic growth, but the current practices only make the situation worse. Under the banner of “the Party managing everything,” companies frequently hold political studies. Private enterprises also have Communist Party branches and are mandated to organize Party activities. All these practices increase spending and reduce production.

Xiang Songzuo, a professor at the Renmin University School of Finance, mentioned in an article in October that security inspections and non-productive activities are now everywhere. They are all fiscal expenditures. The fiscal revenue growth in the first three quarters of this year was only 3.3 percent, while the expenditure growth reached 9.4 percent. “On one hand, there is a serious shortage of economic vitality; on the other hand, non-productive fiscal expenditures are growing rapidly.”

Source: Central News Agency, November 3, 2019
https://www.cna.com.tw/news/acn/201911030013.aspx

Briefings | | |   Economy/Resources

Epoch Times: CCP Uses Economic Incentives to Lure Taiwan Youth to the Mainland

Epoch Times reported that, in recent years, the CCP in mainland China has strengthened its effort to lure Taiwan college students as part of its united front work. Instead of issuing dinner invitations as they did in the past, they have started to use scholarships or easy admission to colleges in the mainland in order to allow Taiwan college students to adapt to the way of life in the mainland and gradually gain their recognition (and acceptance) of the CCP’s political system. They use three different approaches. One is short-term such as summer camps or tourist visits. The second is done through exchange programs or summer work-study programs. The third is a long term plan which allows the Taiwan college students to study or work in the mainland. Tianjing University is the organizer in one example. It organizes the “Youth Leadership Forum on Both Sides of the Taiwan Strait.” Each year since 2008, it has been inviting Taiwan college students to the mainland for exchange programs with program subsides amounting to tens and thousands of yuan for each student. Another example is that the mainland issued 31 preferential policies to Taiwan in 2017 to lure talent and investment from Taiwan.

The number of Taiwanese students going to the mainland has increased slowly every year. According to statistics, the biggest reason for Taiwanese students to go to the mainland is that it provides a number of scholarships and reduces the economic pressure on students. The ranking of Chinese universities is generally higher than those in Taiwan. In recent years, the mainland has also continuously lowered the threshold for going to the mainland to attend school. However, the enrollment situation in 2019 showed a downward trend. The reason was the effect of the US-China trade war. The Chinese economy has declined, so students are not as optimistic about China’s future prospects.

Source: Epoch Times, November 3, 2019
http://www.epochtimes.com/gb/19/11/3/n11630283.htm

Briefings | | |   Geo-Strategic Trend