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Government/Politics - 11. page

Xinhua: Foreign Politicians, Scholars, and Media Talking Trash About China’s Economy

China’s Xinhua news agency has published an article countering the numerous reports and predictions by foreign media regarding China’s economic downslide. The article blames Western politicians, scholars, and media for wearing “colored glasses” (having a biased perspective), “doomsaying” China’s economy. The article states that such “doomsaying” has existed for several decades and has always been incorrect. The article does not provide concrete evidence in defense of China’s current economic situation.

Some of the sentiments expressed in the article include:

  • “Gordon Chang, a ‘China collapse theory expert,’ has become a laughing stock.”
  • “During the 2008 international financial crisis, some U.S. politicians and scholars blamed the U.S. real estate bubble and global economic imbalances on ‘the high savings rates of China and other emerging market countries.'”
  • “In 2015, Western media revived the ‘Chinese economic collapse theory'”
  • “The West has substituted China as a scapegoat, blaming it for economic crises and socioeconomic problems.”
  • The West has “a stubborn Cold War mentality and ideological bias, aiming to undermine the outside world’s confidence in China’s economy.”

Source: Xinhua, February 22, 2024
http://www.news.cn/mrdx/2024-02/22/c_1310764956.htm

People’s Armed Forces Departments Expanding Within Chinese State Owned Enterprises

Several Chinese State-Owned Enterprises (SOEs) have established People’s Armed Forces departments (人民武装部) within their organizations. Examples include the Shanghai Municipal Investment Group (Shanghai’s government financing company), the Mengniu Group in Inner Mongolia, as well as 10 SOEs in Wuhan City, Hubei Province and several SOEs in Huizhou City, Zhejinang Province.

Senior Colonel Wu Qian, the spokesperson of China’s Ministry of National Defense, stated at a press conference on October 26, 2023 that “Our national defense is the defense of the whole people. The People’s Armed Forces departments of state-owned enterprises are part of the national defense system and are the armed work departments of the Party within state-owned enterprises.”

Political observers suggest a few possible explanations for why Beijing is establishing these new People’s Armed Forces departments within state-owned enterprises. Integration between SOEs and the People’s Liberation Army (PLA) could help to quell potential domestic unrest resulting from China’s economic downturn. It could also help to save resources for the PLA and could potentially enhance the military’s ability to mobilize in preparation for an invasion of Taiwan.

Source: Deutsche Welle, February 23, 2024
https://www.dw.com/zh/中企纷纷设立人民武装部为哪般/a-68353845

Beijing Demands Banks Lend Financial Support to Real Estate Projects

To help the Chinese real estate sector, which is facing a daunting crisis as companies run out of capital to complete construction projects, Beijing recently ordered its banks to provide financial support to a massive list of real estate projects. This is another case of the Chinese Communist Party attempting to control markets via state power.

On January 5th, 2024, China’s Ministry of Housing and Urban-Rural Development and its National Administration of Financial Regulation jointly issued a “Notice on Establishment of Coordination Mechanisms for Urban Real Estate Financing.” According to the notice, cities at the prefecture level and above are required to establish “coordination mechanisms” for urban real estate financing “with the team leader being the responsible comrade of the city government who is in charge of housing and urban-rural development.” These coordination mechanisms will present financial institutions with lists of real estate projects eligible for financing support within each given administrative region. Financial institutions are to assess the lists and will fast-track credit/financing approval for projects that are in good shape. For projects facing “temporary difficulties” but whose long-term financial outlooks are balanced, financial institutions are instructed to “provide support through extension of existing loans, adjustment of repayment arrangements, and issuing new loans” rather than “blindly withdrawing, suspending, or pressuring existing loans.”

The Xinhua state news agency published an article on February 18 stating that the National Administration of Financial Regulation “held two special meetings to deploy and implement work related to the urban real estate financing coordination mechanism” following initial release of the notice. “By now, most cities have established the coordination mechanism. They have proposed ‘white lists’ of real estate projects and forwarded them to banks.”

According to Xinhua, preliminary data collected by Financial Times (China) showed that 15 commercial banks, including the six major state-owned banks and several joint-stock commercial banks, have engaged financial support for nearly 13,000 projects. The Industrial and Commercial Bank of China (ICBC) has worked on over 2,000 projects, Agricultural Bank of China on over 2,700 projects, and China Construction Bank on over 2,000 projects.

Source:
1. China’s Government Website (Gov.cn), January 5, 2024
https://www.gov.cn/zhengce/zhengceku/202401/content_6925683.htm
2. Xinhua, February 18, 2024
http://www.xinhuanet.com/money/20240218/0688b047bcf246c18b117a962c4a217c/c.html

Beijing Says Restrictions on Sales of Stocks Do Not Count as Market Intervention

To force an upward trend in stock market prices, Beijing is taking measures to restrict major institutional investors from conducting net sales of stocks during the opening and closing phases of stock market trading in China. Additionally, Beijing has prohibited institutions from shorting A-share stocks via stock index futures.

On February 22, the China Securities Regulatory Commission (CSRC) responded to reports on the restrictions published by foreign media. The CSRC stated that the regulatory authorities “do not intervene in normal market transactions.” They said that their actions are a measure to “fulfill regulatory responsibilities on trading, and they do not represent a restriction on selling [stocks].” Rather the restrictions are to “crack down on illegal activities such as market manipulation and insider trading.”

Sources:
1. Radio Free Asia, February 22, 2024
https://www.rfa.org/mandarin/Xinwen/10-02222024151556.html
2. Xinhua, February 23, 2024
http://www.xinhuanet.com/money/20240223/d1c45ad547734c3ab892fac1aab2d3cd/c.html

CCP Unveils World Federation of Daoism in Beijing

Following the teachings of Marxism-Leninism, the Chinese Communist Party’s (CCP’s) official position on organized religion is atheistic, and party doctrine prohibits CCP members from practicing or believing in religions. That being said, the CCP does allow for small numbers of Daoist, Buddhist, and Christians to worship in China provided that they are willing to practice their faiths on the CCP’s terms. This enables the CCP to showcase the “religious freedom” in China. Meanwhile, the CCP enacts continuous “revolutionizing” of those religions and demands that such religious groups bow to the CCP’s leadership.

Recently, the CCP established the World Federation of Daoism (WFD) in Beijing. According to The People’s Political Consultative Conference website, the WFD “is an international, voluntary organization formed by Taoist groups, Taoist temples, Taoist-related institutions and celebrities who believe in Taoism or love Taoist culture in various countries (regions). It is a professional, non-profit social organization with 52 founding members and is located in Beijing, China.”

On January 30, the CCP held an unveiling ceremony at the new WFD headquarters in Beijing. Li Guangfu, Chairman of the WFD, stated that the WFD “has established a new platform for Daoists at home and abroad to unite, collaborate, and explore the contemporary value of Daoist culture.”

Source: People’s Political Consultative Conference website, February 2, 2024
https://www.rmzxb.com.cn/c/2024-02-02/3488359.shtml

Two Chinese Fishermen Drown in Taiwanese Waters, Beijing and Taiwan Respond

There have been many instances of mainland-Chinese fishermen entering Taiwanese waters using “three-no” vessels (i.e. boats without a name, without a vessel certificate, and without a registered port). On February 14, a “three-no” vessel went fishing in Taiwanese waters near Beiding Island, Kinmen (Taiwan). As the Taiwanese coast guard approached the boat, the Chinese boat capsized while attempting to flee. Two of the four Chinese nationals died by drowning, and the other two were arrested by Taiwanese authorities.

On February 17th, China’s Taiwan Affairs Office issued a press release stating that there was no such thing as “prohibited or restricted waters” in the strait between Kinmen and Xiamen (mainland). On February 18, Zhu Fenglian, a spokesperson for the Taiwan Affairs Office, alleged that the Taiwanese coast guard had “violently driven away” the mainland-Chinese fishing boats, resulting in the deaths of the two fishermen. “It was a callous act and caused strong indignation among people from all walks of life in mainland China, seriously harming the feelings of compatriots on both sides of the Taiwan Strait and seriously damaging cross-strait relations. The Taiwan Affairs Office firmly supports the decision of the mainland China’s maritime police department on conducting routine law enforcement patrols, to maintain the normal order of the relevant waters and ensure the safety of mainland fishermen’s lives and property.” (Editor’s notes: Beijing’s patrol boats are much larger than Taiwan’s. China has been using large maritime patrol boats to intimidate smaller Philippine patrol vessels in the ongoing Spratly Islands dispute in the South China Sea).

On February 18, Taiwan’s United Daily News reported on a press release by Taiwan’s Mainland Affairs Council responding to the comments from Beijing. According to the article, the press release stated that “the two sides of the Taiwan Strait are not affiliated with each other. According to the regulations of Taiwan’s Cross-Strait Act, mainland vessels are not allowed to enter restricted or prohibited waters of Taiwan without permission. Our competent authority will continue to enforce the law by expelling or detaining trespassing vessels to safeguard the rights and interests of fishermen. This has been the case in the past, is the case now, and will continue to be the case in the future.”

Sources:
1. People’s Daily, February 18, 2024
http://tw.people.com.cn/n1/2024/0218/c14657-40178728.html
2. United Daily News (Taiwan), February 18, 2024
https://money.udn.com/money/story/5603/7775972

Guangming Daily Editorial: “The Economic Landscape in China Is Most Uniquely Beautiful”

Xi Jinping delivered a Lunar New Year address on February 8, comparing China’s economy last year to a beautiful landscape: “the [economic] scenery here [in China] is uniquely beautiful” (“风景这边独好”).

On February 10, Guangming Daily published an editorial propaganda piece titled “Living Better Days!” aiming to substantiate the idea that China’s economic “scenery” in the best in the world. Here is a key paragraph from the piece:

“You see, we decisively implemented a transition from the COVID-19 epidemic prevention and control  phase [to an open society]. The bustling streets and the prosperity of markets tell us that we have come through that difficult period. Agricultural production has again reached new highs: the rumbling of machinery and the reaping of silver sickles proclaim that we have achieved twenty consecutive years of abundant harvests. The vitality of strategic emerging industries can be seen in [the country’s] continuous breakthroughs in technological innovation, in the rapid formation of new productive forces, and in the total export of the “three new industries” (electric vehicles, lithium batteries, and solar cells) having surpassing one trillion yuan (US$ 140 billion). Despite the continued global economic downturn, we have still sent out 17,000 China-Europe freight trains and generated 126 trillion yuan in total economic output. ‘The economic scenery on China’s side is uniquely the best’ – this is the declaration that we have sent out to the world.”

Source: Guangming Daily, February 10, 2024
https://news.gmw.cn/2024-02/10/content_37142995.htm

Chinese Netizens Mock CCP’s Staged Picture

China News Service, one of the Chinese Communist Party’s (CCP) mouthpieces, released a short video on the X delivering a propaganda message about “soldiers guarding the border despite being covered in frost.” Sharp-eyed netizens discovered discrepancies in the picture and concluded that it must have  been staged. The posting was circulated widely on social media, attracting numerous onlookers and much ridicule.

Here are some comments that were posted in response to the China News Service tweet:

  • “With so much snow, why is there not a single snowflake on the railing? And the clothes and guns are also clean. Besides staging scenes to stir up people’s emotion, does the CCP’s Propaganda Department have any other specialties? 😂”
  • “Why is there only frost on the face and hat, while the rest of the body and the gun have none?”
  • “Would anyone be stupid enough to let frost accumulate on their face like this? 🤣🤣🤣🤣🤣 Sigh… (the media) loves to act…”
  • “The eyes are covered, why not clean them? How can they detect enemy movements?”
  • “It’s fake, staged! The necks of these two individuals are exposed. In temperatures of minus ten degrees, if we go by the amount of frost on the masks, their necks would have frozen to death already.”

Source: Aboluo, February 11, 2024
https://www.aboluowang.com/2024/0211/2016719.html