Information/Technology - 28. page

The sudden resignation of a number of top executives of Chinese pharmaceutical companies suggested that the efficacy of the domestic developed COVID 19 vaccines could have been exaggerated.

On January 13, Zhong Shanshan, CEO of Chinese Wantai Biosciences and the richest man in China and Asia, abruptly resigned citing “personal reasons.” Before Zhong’s resignation, Wantai was collaborating with Xiamen University and the University of Hong Kong to develop a nasal spray COVID vaccine. On January 6, Wantai released a statement stating that the company is uncertain as to the trial results from phase one through phase three and is unable to project when the product will be available for sale.

On January 12, Li Zhiming, chairman of the board and Li Hui, board member of pharmaceutical company Sinopharm Holdings also resigned for “personal reasons.” Sinopharm Group is a state-owned pharmaceutical company in China. On December 31, 2020, it just received the official approval to have a limited launch of its COVID vaccine, but a recent news report suggested that among the SOE expatriates deployed to countries including Serbia and Angola, about three hundred of them still contracted COVID 19 even after they received Sinopharm vaccine.

Meanwhile, according to the data the Brazilian Research Institute released on January 12, the China developed Sinovac vaccine efficacy in clinical trial phase three was 50.4 percent, down from 78 percent that the Brazil’s Butantan Institute reported one week ago. Last December, China’s official media refused to disclose the COVID vaccine trial results in Brazil. It published the results from Turkey instead and claimed that it was 91.25 effective. However, the data from Indonesia showed the number was only 65.3 percent.

Source:
1. Epoch Times, January 14, 2021
https://www.epochtimes.com/gb/21/1/14/n12688272.htm
2. Radio Free Asia, January 13, 2021
https://www.rfa.org/cantonese/news/vaccine-01132021064840.html

As COVID 19 spread from Wuhan to the world, countries around the world were in fierce competition to develop a vaccine. In June, China made high profile claims that it had made significant progress in vaccine deployment, but so far, there is still a lack of confidence in the vaccines that China has pushed forward due to the lack of data transparency and effectiveness.

Recently after China Kexing Biosciences abruptly delayed the release of the COVID 19 vaccine test results, Watson Bio announced that it will start producing 120-200 million doses of mRNA vaccine in 2021, even though the vaccine is still in the clinical trial I stage. A former official of China Red Cross criticized the premature release of the vaccine. He said that after Pfizer and Mederna successfully launched the COVID vaccine, China has been under pressure to introduce its own version. He accused China of disregarding the potential risk and of using the general public for human trials instead.
Another report that Caixin published showed that there are a number of other pharmaceutical companies involved in vaccine manufacturing. A couple of them were close to finishing the clinical trial stage III but had to delay the release of trial data due to a deficiency in trial results. For the vaccines that have been approved, there are restrictions imposed on who can receive the vaccine. According to an official notice issued by Qingyan City of Gansu province, the age group of the vaccine recipients is limited to 18-59 and to those with no chronicle illness. The same restriction was applied to the vaccines sold in the United Arab Emirates.

Source: Radio Free Asia, December 28, 2020
https://www.rfa.org/cantonese/news/vaccine-12282020054255.html

In the past 30 years, China had a tough time overcoming core technical difficulties in the domestic auto industry using the traditional internal combustion engines technology. However, with the rise of new energy led by electric vehicles, it might enable China to realize its dream to lead new energy vehicle manufacturing and the supply chain in the world.

China has become the world’s largest market for car sales. According to statistics from data service agency Statista, China registered 21.05 million new motor vehicles in 2019, followed by the United States, with 16.97 million new vehicles sold in 2019.

According to statistics from the China Association of Automobile Manufacturers and the International Energy Agency, China’s new energy vehicle sales in 2019 were 1.206 million, accounting for 55 percent of the total global sales of 2.21 million. By the end of 2019, China’s cumulative sales of electric passenger vehicles reached 3.66 million, accounting for 48 percent of the global total. In 2019, the number of electric vehicles in China was 2.58 million, compared with 970,000 in Europe and 880,000 in the United States.

In October of this year, the State Council issued a new energy vehicle industry development plan for 2021-2035, setting the new energy vehicle sales target for 2025 at 20 percent of total vehicle sales. The Plan also included a “full value chain” proposition in the battery industry while encouraging companies to gain access to key mineral resources such as lithium, nickel, cobalt, and platinum. Currently China has 80 percent of the market share in the cobalt refining industry. Among the top six global cobalt refining companies, five of those are Chinese companies. Of the 14 largest cobalt mines in the Congo, eight are owned by Chinese companies.

To reach the new energy vehicle development plan, the Chinese government has given hundreds of billions in subsidies to the electric vehicle industry.

According to CSIS (the Center for Strategic and International Studies) statistics, in the past 10 years, the Chinese government has subsidized the new energy vehicle industry in various forms equivalent to 676 billion yuan (approximately US$100.9 billion). Although government subsidies were reduced in 2019, 30.7 percent of China’s new energy vehicle sales revenue still comes from government subsidies. In 2019, there were 119 active new energy vehicle manufacturers in China.

China’s electric vehicle industry is also alleged to have engaged in technology theft. In February 2020, William Evanina, director of the National Counterintelligence and Security Center, singled out two fields where China is putting a priority on technology theft: electric vehicles and aircraft. Evanina was one of many American officials speaking at a conference on “Chinese economic espionage” hosted by Washington’s Center for Strategic and International Studies. In a lawsuit Tesla filed in California in 2019, it claimed that a former engineer who worked at the company copied more than 300,000 files related to the source code of the autopilot before joining Xiaopeng Motors.

Facing the rise of China’s electric vehicle industry, improving the competitiveness of the United States in this field is a national security concern. In a recently published report, the organization “Protect the Future of America” recommended that the U.S. government restore subsidies for consumers to purchase electric vehicles, develop a mineral supply chain that does not rely on China, and encourage U.S. auto companies to cooperate with each other to resist China. Experts, however, also warn that since the United States has a solid foundation in the traditional automobile manufacturing industry and employs a large number of workers, the US automobile industry cannot rush to transition to new energy vehicles too quickly.

Source: Voice of America, December 28, 2020
https://www.voachinese.com/a/us-china-electric-vehicles-20201228/5715947.html