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Briefings - 80. page

Telegram to Collaborate with Tencent

In September, the instant messaging app Telegram and its partner, the TON Foundation, announced a collaboration with Chinese company Tencent (owner of the popular Chinese social media app WeChat). It will transform Telegram into a “super app ecosystem” similar to WeChat. Telegram boasts 800 million active users, including many from China who use it to circumvent the Chinese Communist Party’s (CCP’s) Internet censorship. Industry experts caution that this partnership may pose risks to user privacy and financial information. A commentator stated that Telegram, previously a platform independent of the CCP’s authority, is now controlled by Tencent, indicating that the CCP is working to eliminate the information platform as a threat to its rule.

During Hong Kong’s anti-extradition protest, many protesters used the Telegram app to discuss strategy and communicate information about gatherings.

Source: Radio Free Asia, September 29, 2023
https://www.rfa.org/mandarin/Xinwen/4-09292023113707.html

Briefings | | |   Government/Politics Information/Technology

First International Order for China’s C919 Airplane Comes From a Chinese Company

Chinese media reported that Brunei’s Gallop Air has signed a letter of intent to purchase 30 aircraft. The purchase wil l include fifteen C919 models and fifteen ARJ-21 models from the China Commercial Aircraft Co. This marks the first C919 order and the second ARJ-21 order from an overseas airline. The deal was valued at US$2 billion.

The C919 is China’s first domestically-developed jetliner, seating 158 to 192 passengers and having a range of 4,075 to 5,555 kilometers. The ARJ-21 is a Chinese-produced regional airplane seating 78 passengers.

It turns out that this international order actually originates from a Chinese company.

Chinese media reported that the Gallop Air (骐骥航空), though operated in Brunei, is a private company based in China. The company was established in August 2021, registered with 10 million Yuan capital. Its full name is “Qi Ji Aviation Industry Development (Shaanxi) Co.” (骐骥航空产业发展（陕西）有限公司).

The first international sales of the Chinese ARJ-21 model, sold to Indonesia’s TransNusa, was also backed by China’s state-owned funds.

Source:
1. Lianhe Zaobao, September 25, 2023
https://www.zaobao.com.sg/realtime/china/story20230925-1436527
2. NetEase, September 26, 2023
https://www.163.com/dy/article/IFJLG81D0552PFYH.html

Briefings | | |   Economy/Resources Geo-Strategic Trend

State Security Ministry Reveals Recruitment Techniques Used by Foreign Spy Organizations

Beijing continues its anti-spy propaganda campaign targeting the Chinese people. On its WeChat account, the Chinese Ministry of State Security discussed five internet-based techniques that it says are used by foreign intelligence agencies to appeal to Chinese people, attempting to recruit them as potential spies or luring them to provide secret information. People’s Daily republished the article. The five points are:

  • Online personal loans
  • Online dating
  • Online jobs (potentially part-time)
  • Online research and paper authoring
  • Online hobby groups

Source: People’s Daily, September 25, 2023
https://wap.peopleapp.com/article/7211990/7055012

Briefings | | |   Government/Politics

Chinese Continue Fishing in Sea of Japan Despite Beijing’s High-Profile Protest of Japan’s Nuclear Wastewater

Beijing has made a big deal of criticizing Japan for discharging treated and diluted wastewater from the Fukushima nuclear power plant. China has also announced a comprehensive ban on importing Japanese seafood.

However, Japanese media The Asahi Shimbun reported that Chinese fishing vessels continue to operate near Japanese waters and that there has been no significant drop in the total count of such boats. The report said that on September 19, 162 Chinese fishing vessels were observed operating approximately 1,000 kilometers east of Nemuro City in Hokkaido, Japan. From early August to September 19, there were 146 to 167 Chinese fishing vessels each day, fishing for saury, mackerel, and sardines in the North Pacific waters off Hokkaido, alongside Japanese fishing vessels.

Source: Radio Free Asia, September 26, 2023
https://www.rfa.org/cantonese/news/jp-fish-09262023014559.html

Briefings | | |   @CS Geo-Strategic Trend

UDN: Vietnam to Restart Rare Earth Mine, Will be Largest in the World

Vietnam will restart its largest rare earth mine next year according to a recent report by United Daily News (UDN), one of the primary Taiwanese news groups. Two companies participating in the bid told Reuters that this Western-backed mining project will be the largest rare earth mine in the world. According to estimates from the U.S. Geological Survey, Vietnam ranks second in the world in rare earth reserves. A large part of these reserves remain untapped.

U.S. President Biden recently visited Hanoi with the aim of deepening relations between the United States and Vietnam. He signed an agreement enhancing Vietnam’s ability to attract U.S. investors for the purpose of developing rare earth mines.

Analysts and foreign officials say the purpose of the U.S. investing in Vietnam’s rare earth mines is to lighten dependence on China and reduce supply chain risks. Given China’s near-monopoly position as the world’s biggest rare earth metal producer, China has been able to set low prices so as to discourage other countries’ willingness to invest in their own rare earth mining operations. Refining rare earths metals is a very complex process, and China has mastered many related processing technologies.

Source: UDN, September 25, 2023
https://money.udn.com/money/story/5599/7463726

Briefings | | |   Economy/Resources Geo-Strategic Trend

Lianhe Zaobao: U.S. Companies Pessimistic About Business Prospects in China

Singapore’s primary Chinese language newspaper Lianhe Zaobao recently reported that, according to a survey of its member companies by the U.S.-China Business Council, rising bilateral tensions are affecting every aspect of U.S. companies’ operations in China. This includes hurt sales, lower profits, and canceled or delayed investments.

In this latest annual survey, the proportion of companies expressing pessimism about the prospects of their business in China over the next five years rose to 28 percent from 21 percent last year, setting a new record high. The share of companies with an optimistic outlook dropped to a record low of 49 percent. More than one-third of the companies surveyed said they had reduced or suspended investment plans in China during the past year, also a record high and well above the 22 percent in last year’s survey. This means the businesses’ commercial presence in China will likely see further decline.

These businesses’ decisions are driven by the increased costs and uncertainty of doing business in China, as well as by increased restrictions on selling products into the Chinese market. Particularly unsettling for U.S. companies are China’s far-reaching rules on data handling, personal information, and cybersecurity. Some 97 percent of the companies surveyed expressed concern over these issues.

The U.S.-China Business Council said that most of the companies involved in the survey are large U.S. multinationals that have been operating in China for decades.

Source: Lianhe Zaobao, September 27, 2023
https://www.zaobao.com.sg/realtime/china/story20230927-1437188

Briefings | | |   US-China Relations

CNA: India Suspends Travel Visas Issuance to Hong Kong Passport Holders

Primary Taiwanese news agency Central News Agency (CNA) recently reported that India has suspended the issuance of tourist visas to holders of Chinese and Hong Kong SAR passports. In the past, Hong Kong passport holders could apply for an Indian e-Visa online or submit their application in person at the Indian Consulate General office in Hong Kong. Business visas are not affected, and British National (Overseas) (BNO) passport holders are still eligible to apply for visas.

This move may be related to the tense relations between China and India. Regarding visa eligibility of Hong Kong BNO passport holders, India is probably drawing a distinction between Hong Kong SAR passport holders (regarding them as Chinese citizens) and BNO passport holders, who are British nationals.

The Indian online visa platform shows a list of countries and regions whose residents can apply for Indian visas. Mainland China, Hong Kong and Macau are excluded from the list, but Taiwan residents are included.

The Consulate General of India in Hong Kong did not respond to CNA’s inquiries on this matter.

Source: CNA, September 30, 2023
https://www.cna.com.tw/news/acn/202309300053.aspx

Briefings | | |   Geo-Strategic Trend

Xi Jinping: Six Points on “Promoting Chinese-Style Modernization”

On the eve of China’s National Day, Xi Jinping published an article outlining six directives for promoting “Chinese-style modernization”:

  • First: top-level design and self-reliance are preconditions for China’s being able to open up to the outside world. Xi said that promoting Chinese-style modernization requires comprehensive planning and systematic implementation. It involves both top-level design to meet development goals and bold exploration.
  • Second: adhere to strategies long-term rather than changing course arbitrarily.
  • Third: defend previous accomplishments while innovating to uphold Chinese characteristics and principles.
  • Fourth: balance efficiency and fairness, creating higher efficiency than capitalism while safeguarding social justice.
  • Fifth: achieve a dynamic balance between vigor and order, stimulating creativity while preventing undesirable values.
  • Sixth: prioritize self-reliance and strengthen national scientific capabilities, looking to [the country’s] strategic needs as the guide for original research and winning key technology battles.

Source: Central News Agency (Taiwan), September 30, 2023
https://www.cna.com.tw/news/acn/202309300186.aspx

Briefings | | |   Government/Politics