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Li Qiang Announced China’s Leadership Training Programs for ASEAN Countries

Chinese Premier Li Qiang, speaking at the annual summit of the Association of Southeast Asian Nations (ASEAN) and China, unveiled China’s initiatives to train future leaders for ASEAN nations.

Li stated, “Fourthly, we will work together to expand humanistic exchanges. China is willing to work with ASEAN to continue to build a solid foundation of public opinion in our relations, implement the Global Civilization Initiative, and take next year’s co-hosting of the China-ASEAN Year of Humanistic Exchanges as an opportunity to further strengthen exchanges in the areas of culture, tourism, training, and youth, so as to continue to deepen the blending of civilizations and people-to-people exchanges. In the next three years, China will build 10 “China-ASEAN Modern Craftsman Institute” in ASEAN countries, continue to carry out the “Bridge of the Future” China-ASEAN Youth Leaders Training Program, and launch the “Ten Thousand People Training and Seminar Program,” to train 10,000 talents for ASEAN countries in the fields of governance, anti-corruption, and green development.”

Source: China’s Foreign Ministry website, September 7, 2023
https://www.fmprc.gov.cn/chn/gxh/tyb/gdxw/202309/t20230907_11139468.html

Foreign Ministry Spokesperson Explains China’s Foreign State Immunities Act

China recently passed the Foreign State Immunities Act, and the Chinese Embassy in the United States provided an explanation from the Foreign Ministry’s spokesperson regarding this legislation.

Question: The Standing Committee of the National People’s Congress of China has recently considered and adopted the Law on Immunity of Foreign States. The Law adjusts China’s previous position of “absolute immunity” to authorize Chinese courts to accept cases in which a foreign State is the defendant. May I ask why China has made this adjustment?

Answer: …

The Law on the Immunity of China and provides exceptions to it, making it clear that Chinese courts may exercise jurisdiction over lawsuits arising from the non-sovereign acts of foreign States, such as lawsuits involving disputes over commercial activities, related personal injuries and property damages, and may, under strictly limited conditions, take coercive measures against property of a foreign State in connection with its commercial activities. This is fully consistent with international law and the practice of States.

As a responsible Power, China firmly upholds the principle of the sovereign equality of States, will protect the legitimate rights and interests of Chinese citizens and legal persons, and will respect the immunities that foreign States are entitled to under international law.

Source: Chinese Embassy at the U.S. website, September 5, 2023
http://us.china-embassy.gov.cn/lcbt/wjbfyrbt/202309/t20230905_11138002.htm

Chinese Think Tanker: Traditional Economic Stimulus Ineffective in China’s New Normal

Cai Fang (蔡昉), Chief Expert of Chinese Academy of Social Sciences’ National High-end Think Tank, delivered a speech on September 3, highlighting that China’s economy has transitioned into a new normal, rendering traditional stimulus approaches obsolete.

Cai identified three key characteristics of China’s new economic landscape from both macro and micro perspectives:

  1. A rapidly declining population and a significant decrease in its labor force.
  2. Weak consumer demand, exacerbated by demographic aging.
  3. Mounting pressures in labor market, including labor shortages and the need to align the workforce’s skills with evolving industry demands.

Cai proposed three strategic policy directions:

  1. Promote a Competitive Environment: Encourage the removal of less competitive companies to stimulate innovation and enhance productivity.
  2. Rethink Traditional Macroeconomic Stimulus: Recognize that traditional stimulus measures no longer align with today’s economic landscape. For example, previous approaches emphasized infrastructure spending, which does not address the job-seeking preferences of today’s youth, who seek opportunities in the service sector rather than construction.
  3. Advance structural Reforms: Prioritize reforms such as the overhaul of the Hukou (household registration) system to incentivize urban-bound rural residents to increase their spending in urban areas.

Source: 21st Century Business Herald,  September 3, 2023
https://www.21jingji.com/article/20230903/herald/0c1fef010ce245062614214b69e74d02.html

China’s First Province-Level Anti-Espionage Regulations

On September 1, 2023, the Chongqing municipal government implemented a set of detailed regulations called the “Chongqing Anti- Espionage Work Regulations.” It is the first local government in China to implement such rules following publication of the central government’s revised “Counter-Espionage Law” in July.

Chongqing’s regulations contain 29 articles. The first three articles echoed the central government’s Counter-Espionage Law. Starting from the fourth article, Chongqing’s regulations emphasize the supervisory role of the municipality’s state security agency. They call for close cooperation of various governmental departments in carrying out counter-espionage work, including the department of cyberspace administration, Taiwan affairs, national defense and science and technology, development and reform, education, science and technology, ethnic and religious affairs, public security, civil affairs, natural resources planning, urban and rural construction, commerce, veterans’ affairs, foreign affairs, postal management, and culture and tourism.

Civil services and public institutions will include counter-espionage propaganda in their training programs, and the education system will include such material in its teaching content.

For individuals involved in foreign exchange or collaboration, the regulations mandate a pre-departure anti-espionage education, a program of “overseas management” while the individual is abroad, and a post-return meeting. They also require that institutions stationed overseas or institutions who send people overseas develop espionage-prevention plans.

Many foreign organizations and individuals have been cautious about engaging with China since the Chinese Communist Party (CCP) pushed out the state-level “Counter-Espionage Law.” This has led to a significant reduction in foreign investment and travel to the country.

Source: Epoch Times, September 2, 2023
https://www.epochtimes.com/gb/23/9/2/n14065721.htm

700,000 Chinese Villages Owe 900 Billion Yuan in Debt

China Newsweek Magazine published an article stating that “small villages with big debts” have become a problem that cannot be ignored. A survey by China’s Ministry of Agriculture and Rural Affairs Development found that, as of the first half of 2019, China’s 700,000 administrative villages have accumulated a total of 900 billion yuan (US$123 billion) in debt. Average debt has reached 1.3 million yuan per village.

Source: China Newsweekly, September 8, 2023
http://www.heb.chinanews.com.cn/zgxwzk/20230908438999.shtml

Chinese Scholar: China Is Facing The Worst External Environment in 40 Years

Wang Wen, Executive Director of Chongyang Institute for Financial Studies, Renmin University of China, published an article stating that China is facing the worst external environment in 40 years.

Wang listed three points regarding the international environment:

  1. China’s annual and quarterly economic growth rate became lower than that of the United States, which has not been seen for more than four decades.
  2. There are signs that production and supply chains are moving out of China, also not seen for more than four decades.
  3. The United States has coordinated a political consensus and comprehensive action among Western countries regarding the “China threat,” also not seen for more than four decades.

Wang gave a few strategic prescriptions for easing China’s situation (a nice way of implying that the authorities have made strategically poor decisions):

  1. Reflect on the long-term, difficult, and complex nature of the rise (of China) as a great power. {Editor’s Notes: The author is suggesting that China has not reached the great power that it wants to achieve; it still needs time to continue building up its power.}
  2. Objectively face the basic fact that the U.S., though it will decline, has not yet declined too much.
  3. Objectively face the basic fact that China, though it will surpass the U.S., has not yet surpassed it.
  4. Chinese society needs to mentally prepare for the worst and most dire scenarios to occur.

Source: Sohu, August 27, 2023
https://www.sohu.com/a/715303788_120094090

China’s Plan to Criminalize ‘Hurting National Sentiment’ Draws Widespread Criticism Online

There has been overwhelming criticism online regarding China’s proposed revisions to its Public Security Administration Punishments Law. The revisions would penalize acts that “damage the spirit of the Chinese nation and hurt the feelings of the Chinese people.”

The draft revisions, introduced in late August, add several new punishable acts. They do not precisely define what constitutes “damaging the spirit of the Chinese nation.” The proposed revisions prescribe detention of 5-10 days or fines of 1000-3000 yuan for wearing, forcing others to wear, producing, or spreading items or remarks that have such a damaging effect to the national spirit. Harsher penalties apply in severe cases.

After China’s state media reported on the draft law, Chinese social media erupted with skepticism. Opinion leaders called on netizens to lobby the National People’s Congress opposing the legislation.

Shanghai Fudan University professor Qu Weiguo said there is currently no legal definition of “the spirit of the Chinese nation.” He worried that hastily writing such a law without clear boundaries could lead to confusion in enforcement, abuse of related charges, and vulgarization of the “spirit.” Qu questioned how the law could determine whether the “feelings of the Chinese nation” were hurt, since the subject is the entire nation rather than individual citizens. He said authorities should be prudent about codifying such crimes, which require solid evidence. Vague definitions could enable rampant abuse, with serious judicial consequences.

Source: Central News Agency (Taiwan), September 5, 2023
https://www.cna.com.tw/news/acn/202309050404.aspx