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Xi Jinping Inspects “Chips” Industry: “In the Past, by Tightening Our Belts, We Built Two Bombs and One Satellite!”

On April 26, while visiting the Wuhan Fiber Home Technologies Group, Xi Jinping said, “The optical communications industry is very important. To build a nation that is an Internet power, we need to accelerate the pace and quickly occupy some commanding heights.”

“In the past, by tightening our belts and gritting our teeth, we built ‘two bombs and one satellite!’” Xi said, (referring to a Mao-era weapons development program), “This was because we made the best use of the socialist system — we concentrated our efforts to get great things done. The next step is to do the same with science and technology. We must abandon fantasy and rely on ourselves.”

On the morning of the April 26, Xi Jinping went to the Wuhan Xinxin Integrated Circuit Manufacturing Co., Ltd. to look at the integrated circuit production line. Xi said, “in order to realize the ‘bicentennial goal (by 2050),’ we must overcome difficulties on our own so as to have some major core technologies. We have unprecedented opportunities and are facing unprecedented challenges.”

Source: Xinhua, April 26, 2018
http://www.xinhuanet.com/2018-04/26/c_1122749077.htm

Chinese Academician of Engineering Ni Guangnan Discusses the Lesson China Has Learned from the China-U.S. Trade Dispute

Will the United States launch a cold war of science and technology against China? Recently, in China, due to trade disputes between China and the United States, in many circles, independent innovation in the area of science and technology has become a topic of intense discussion. Why must China have the core technology of the information industry? Where is the road for China’s semiconductor chips? On April 30, a reporter from the Global Times conducted an exclusive interview of Ni Guangnan, an academician from the Chinese Academy of Engineering. Ni stated that China should learn this lesson: Do not expect the U.S. to sell its core technologies. The interview follows:

Global Times: The topic of Chinese chips has sparked an upsurge. The speed of the financing and launching of the project has accelerated significantly. How do you see this phenomenon? Any suggestions?

Ni: This is definitely a very good phenomenon. It shows that, from the government to the enterprises, they have all determined to break through.

In the international chip industry, the monopoly of oligarchs has long been formed and it is very difficult for small businesses to survive. In the end, ones developed chips might become useless. When it is necessary to break the monopoly, China cannot rely entirely on market laws; otherwise we cannot enter. Our country has always had the advantage of concentrating its efforts on doing big things. This advantage should be used well. After all, our investment is still too small compared to the international oligarchs in the chip industry.

Global Times: Why do we have to make our own chips and operating system? Many countries in the world do not have these core technologies.

Ni: It depends on what the goal of our country is. If it feels that it is enough to be a big country on the Internet, then we do not need to pursue any core technology. However, our goal is to become an Internet powerhouse. If we do not develop our own core technology, other countries will not let us catch up.

In short, about some things, if we feel they are inevitable, then early determination is better than late determination. Using the Beidou system as an example, we decided to develop it more than a decade ago. Now the Beidou system is very useful. If we had determined to engage in chip manufacturing more than a decade ago, we might already have our own chips and we wouldn’t be stuck with their sanctions.

Source: Globalview.cn, May 2, 2018
http://www.globalview.cn/html/societies/info_24322.html

Chinese Government Orders Expansion of Soybean Cultivation as a Political Task

In recent days, many provinces and cities in the northeastern region have issued emergency notices requesting the expansion of soybean planting areas. “(We should) treat the expansion of soybean planting area as the primary political task for current agricultural production.” At present, relevant documents in Heilongjiang Province and Changchun City of Jilin Province have been deleted from the official website.

According to the documents obtained by the Economic Observer Online reporter, on April 29, the Agricultural Committee of Heilongjiang issued an “Emergency Notice to Expand the Soybean Planting Area of the Province.” It stated that “the central government issued a directive asking our province to increase the soybean planting area by 5 million acres this year.” The task was assigned to a total of 15 cities, regions and agricultural forestry departments in the province.

Another document on April 28 from the Agricultural Committee of Changchun City, Jilin Province was the “Notice on Releasing the Soybean Planting Area of the Province in 2018.” The document requires the task of planting soybeans in the province be assigned to the city. It is to be fully completed and the project is to be effectively implemented.

The notice in Changchun City stated that “the relevant counties (cities) must take the initiative, actively shoulder the responsibility, and take the expansion of the soybean planting area as the primary political task for current agricultural production.”

Source: Economic Observer Online, May 3, 2018
http://www.eeo.com.cn/2018/0503/327737.shtml

RFA: China Youth Daily’s Online Coverage of Beijing University Sexual Harassment Case Was Deleted Leaving Blank Open Page on Its Website

RFA reported that Beijing University was allegedly covering up a sexual harassment case involving a professor and a female student from 20 years earlier. A currently enrolled Beijing University student asked the University to release the investigation report to the public but the University authorities suppressed her request. On April 29, China Youth Daily circulated a full page article about the incident. Its online version was then deleted, leaving a blank open page on its website. In its deleted article, China Youth Daily reported that Beijing University lagged behind in following the requirement of the Ministry of Education to disclose university information to the public voluntarily. Its ranking dropped below the top 50 in the “2016 China Higher Education Transparency Index Report.” Some faculty members and students acknowledged that, as soon as they requested that the university release the sexual harassment investigation information to the public, they also faced pressure from the university authorities. Some came to the conclusion that there is an underlying understanding that the university has shared all they are able to share with the public and that anything beyond that would impact the interests of the university. A twitter posting stated that the head of Ministry of Education reacted with outrage over the China Youth Daily article.

Source: Radio Free Asia, April 29, 2018
https://www.rfa.org/mandarin/Xinwen/6-04292018164149.html

Supreme People’s Court and the Ministry of Justice Issued New Guidelines on Lawyers’ Conduct during Trial

Xinhua reported that the Supreme People’s Court and the Ministry of Justice issued a joint notice titled, “Protecting the Lawyer’s Rights of Law and Standardizing Lawyers’ Participation in Trial Activities.” The notice was said to “promote mutual respect, support, and supervision between the court and lawyers while, at the same time, defining the requirement to protect lawyer’s rights during trial and the lawyer’s code of practice.” One of the requirements stated that, “the lawyers are not allowed to interfere with a trial on the grounds of rights protection and are not allowed to use the Internet to publish statements, open letters, petition letters, etc. in their own names or through other people or the media. … Lawyers attending trials may not record, videotape, photograph, or use mobile communication tools to conduct court trial activities, and may not conduct other activities in violation of court rules and disobedience to court orders.”

Source: Xinhua, April 24, 2018
http://www.xinhuanet.com/legal/2018-04/24/c_1122734688.htm

LTN: Communist Party Branches Ask for Management Role in Foreign-Owned Companies

Major Taiwanese news network Liberty Times Network (LTN) recently reported that foreign companies in China are now facing a new challenge. More and more Communist Party branches have been established and are growing. In some cases, with the pressure from the Chinese government, these Communist Party branches are interfering with management activities. For example, when a U.S. engine manufacturer Cummins, headquartered in Indiana, decided to assign a manager for a project in China, the  Communists disagreed. Small Communist Party groups have existed in Chinese branches of foreign companies for many years. However, they never got involved actively in management activities. In the past several months, many of the Chinese partners of these joint ventures have asked for a “consulting role” for the Communist Party group before the board makes any decision. James Zimmerman, a lawyer operating in Beijing serves many U.S. international firms. Zimmerman said that quite a large number of his clients have received clear requests from the Communists. Most of the companies declined to comment on this matter to the reporters.

Source: LTN, April 17, 2018
http://news.ltn.com.tw/news/world/breakingnews/2398300

Sina Commentary: We can Never Win if we are just working as the delivery person

On April 16, The U.S. Commerce Department’s Bureau of Industry and Security, or BIS launched a 7-year tech ban that prevents U.S. companies from selling components and technology to ZTE. It cited “ZTE not only for violating export controls meant keep sensitive American technology out of the hands of hostile regimes like Iran’s; ZTE also lied to federal investigators and even deceived their own counsel and internal investigators about their illegal acts.” On April 19, Sina published a commentary article which is titled “Inspiration from the ZTE Incident: We can Never Win if we are just working as the delivery person.” The article provided the timeline and background of the ban and made the following statement: To such an extent, there is nothing ZTE can do… They have themselves to blame… We should understand that winning the war in the modern era will not simply rely on airplanes or naval vessels. The rise of big powers cannot rely on the exaggeration of the slogans from CCTV or other patriotic propaganda. But rather it involves the accumulation of “lonesome” time and effort in investment in core technology development. According to an article Aboluowang published on April 22, Xi’s recent speech at the National internet security and information work conference held on April 20 and 21 in Beijing could be interpreted as the first news report on Xi’s reaction to the ZTE ban. In his speech, Xi stressed that “core technology is an important weapon for a country and (we) must be determined and persistentent in speeding up the breakthrough in core technology.” Xi also mentioned that “China needs to formulate a fair market environment, strengthen intellectual property protection, and oppose monopolies and unfair competition.” The Aboluowang article commented that, given China’s existing business environment and political system, it is not optimistic as to how much of Xi’s wish can be realized.

Sources:
1. Sina, April 19, 2018
http://tech.sina.com.cn/it/2018-04-19/doc-ifzihnep7718716.shtml
2. Aboluowang, April 22, 2018
http://www.aboluowang.com/2018/0422/1103289.html
3. Xinhua, April 21, 2018
http://www.xinhuanet.com/politics/2018-04/21/c_1122719810.htm

RFI: Publicity Department issued a notice not to air Documentary Movie “Amazing China”

Radio France Internationale reported that, according to a news report from Apple Daily, the Publicity Department has issued a notice to online video sites including Tencent, Youku and Iqiyi as well as movie theaters nationwide, to call off airing the documentary “Amazing China.” Some have speculated that the notice resulted from the recent trade war between China and the U.S. and the U.S. tech ban on ZTE, which could force ZTE out of business. According to Asia Times, The Shenzhen-based telecom and communications giant is among a slew of Chinese startups, innovators and private and state-owned conglomerates that was featured in the film. An internet posting asked, “Are we scared of the U.S. imperial sanctions?” According to Xinhua, “Amazing China” introduces a series of major developments the country has made since the 18th National Congress of the Communist Party of China in 2012, including the world’s largest radio telescope, FAST; the world’s largest maritime drilling rig, Blue Whale 2; and the development of 5G mobile technology.

Sources:
1. Radio France Internationale, April 20, 2018
http://cn.rfi.fr/%E4%B8%AD%E5%9B%BD/20180420-%E4%B8%AD%E5%9B%BD%E4%B8%8D%E5%86%8D%E5%8E%89%E5%AE%B3%E4%BA%86%E5%8E%89%E5%AE%B3%E4%BA%86%EF%BC%8C%E6%88%91%E7%9A%84%E5%9B%BD%E8%A2%AB%E4%B8%8B%E4%BB%A4%E5%81%9C%E6%92%AD

2. Xinhua, March 9, 2018
http://www.xinhuanet.com/english/2018-03/09/c_137027801.htm

3.Asia Times, April 23, 2018,
http://www.atimes.com/article/propaganda-film-quietly-pulled-beijing-zte-ban/