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RFI: The Yuyuan Shoe Factory Strike Continues

Radio France International reported on April 18 that more workers from the Yuyuan Shoe Factory have joined the strike that started a few days ago. The factory is located in Dongguan, Guangdong Province, which is very close to Hong Kong. The factory is owned by a Taiwanese company that is an important supplier of Nike and Adidas. The Yuyuan Shoe Factory is the largest shoe manufacturer in the world. The strike started a few days back when around 30,000 workers called for the company to make larger social security payments [some media reported that worker’s wanted the company’s social security contributions to be made in accordance with Chinese law]. The number of workers on strike quickly doubled within four days, to over 60,000 in total. This strike is becoming the largest labor strike in the history of China under communist rule. The communist labor union and the local police are siding with the company management by forcing the workers to go back to work. As of the time Chinascope published this briefing, the situation was still developing.

Source: RFI, April 18, 2014
http://www.chinese.rfi.fr/%E4%B8%AD%E5%9B%BD

BBC Chinese: Chinese Christians Protest against Church Demolition

BBC Chinese recently reported that Christians in Zhejiang Province in Eastern China have been protesting against the authorities for the decision to demolish their churches. More than ten churches have been threatened with demolition. The precise reason for the government’s move is still unclear. Some cited as an excuse the fact that the crosses on some roofs were “too eye-catching.” Most people expressed the belief that the communists in that Province had conducted an intentional attack. Zhejiang Province is considered the region with the most active population of Christians. Local government officials in the region have been very uncomfortable with the rapid growth of the influential power of the Christian churches. Local religious leaders criticized the local officials for their serious intervention in religious freedom and asked the government of the Province to stop the demolition activities. As of the time Chinascope published this briefing, almost all copies of the online reports of this story in China had been removed.
Source: BBC Chinese, April 9, 2014
http://www.bbc.co.uk/zhongwen/simp/press_review/2014/04/140409_press_capital_account.shtml

Study Times on Handling Internet Crises

Study Times recently published an article on how to improve the handling of crises that spread over the Internet. The article recommended that China should develop an Internet security and information control mechanism, strengthen its monitoring and emergency response capability for such crisis, develop new technologies, improve communication between the government and the people, and educate the media and the people about how to be cautious. The article suggested that the government initiate efforts in the following areas:

1. Strategy and institutional structure: The government should include Internet crisis management as part of its national security strategy and develop a proper institutional structure and laws on Internet information management. Also the government should clarify the structural relationship between the National Security Commission, the Central Internet Security and Information Leading Group, and local governments.

2. Early detection of and emergency response to Internet crises: The government can establish Internet information collection teams to monitor news discussion groups, forums, and search engines’ search results; it can also collect information on the hot issues and events as well as on people’s opinions on these issues and events.

3. Internet technology: The government should put the R&D of Internet technology in a core position and strive for China’s own innovations of core Internet technology.

4. Crisis management: The easiest way is for the government to tell the truth, so as to gain people’s trust and weaken the impact of negative opinions.

5. Education: The government should educate media professionals on professional ethics and professional “discipline.” It also needs to educate the general public about Internet crisis – to train citizens on how to tell, criticize, and evaluate information on the Internet. It can do this through the use of television, newspapers, the Internet, school, and special education programs.

Source: Study Times, March 24, 2014
http://www.studytimes.cn/shtml/xxsb/20140324/4272.shtml

BBC Chinese: Chinese Authorities Ordered National Investigation of Nursery Schools

BBC Chinese recently reported that the Chinese government has started a nationwide investigation into incidents caused by nursery schools illegally feeding children unnecessary medication. The investigation was directly triggered when two nurseries in Hubei Province were found to be feeding all children antibiotics without permission and without any prescription. Parents said they were never told anything about these activities. Not long ago, it was discovered that nurseries in Xi’an, Shanxi Province had been illegally feeding children similar drugs for over three years involving 54,600 pills. Some nurseries in Jilin Province were reportedly found doing the same to all children in attendance regardless of whether they were sick or not. Media reports have been widely criticizing the government’s lack of monitoring and action on this issue.
Source: BBC Chinese, March 21, 2014
http://www.bbc.co.uk/zhongwen/simp/china/2014/03/140321_china_kindergarten_drugs.shtml

Xinhua: Naked Officials and Their Fake Passports

Xinhua published an article on China’s so-called "naked officials" who have moved their spouses, children and assets overseas while they remain at home in China. 

Based on an analysis of recent cases of the "naked officials" who have fled China, there appears to be a clear path: transferring assets overseas, family members leaving China, preparing passports, make a quick fortune using their official position, resignation or disappearance, hiding in seclusion overseas, and obtaining residence in the foreign country. 
According to the article, within this chain of actions, the preparation of passports is critical. Of those "naked officials" who have been arrested on corruption charges, many owned multiple passports. Some of them used personal passports that they were not required to return to the authorities. More have used fake identification cards to obtain another passport. Because these passports are not within the scope of required approval and return, their work units cannot detect them. 
Source: Xinhua, March 12, 2014 
http://zgws.xinhuanet.com/info.aspx?id=45122&typeid=117

High Ranking Official: Breaking Internet Firewall Caused More Terrorism

China.com recently reported that Zhang Chunxian, who is the Secretary of the Communist Party in Xinjiang Province, declared that technologies like breaking the Chinese Internet Firewall (also known as the Great Firewall) contribute to an increase in the number of violent terrorist attacks. Zhang, whose rank is higher than the Governor of the Province, is the chief ruler of this troubled Province that has had serious conflicts among its ethnic groups. He was making these comments in response to a question from the press asking for his opinion on the recent violent killing of 29 residents of the City of Kunming, Yunnan Province. Zhang’s comments triggered a large wave of criticism on the Chinese Internet, where millions of netizens use various tools to bypass the “Great Firewall” in order to reach international websites that the Chinese government blocks. His opinion was widely viewed as a typical evil position against freedom of speech. Per government orders, most of the websites that reported Zhang’s comments subsequently removed this news.
Source: China.com, March 6, 2014
http://news.china.com/zh_cn/focus/km31/11152138/20140306/18379374.html
http://politics.caijing.com.cn/2014-03-07/113986657.html

Sina Finance: Chaori Solar Corporate Bond Defaulted

The well-known Chinese financial news website Sina Finance recently reported that Shanghai Chaori Solar Technology Corporation officially defaulted on a payment on its corporate bonds. The Chaori board of directors announced on March 4 that the company is not able to make the interest payment on its 2011 Phase II corporate bond. This is the first official default on a Chinese corporate bond. The market is very much worried that this may cause a chain reaction because Chaori is a typical case that represents the situation that many other Chinese corporate bonds share. Chaori is a large privately owned company focused on solar-based products mainly exported to the U.S. market and Europe. The company suffered a loss of over RMB 1 billion (around US$163 million) in 2013. It can only come up with RMB 4 million for the above mentioned corporate bond interest totaling nearly RMB 90 million yuan. The company stock will be delisted from the Shanghai Stock Exchange in a few months.
Source: Sina Finance, March 4, 2014
http://finance.sina.com.cn/money/bond/20140304/231518403596.shtml

Report: The Top Ten Percent Owns Sixty-Four Percent of the Wealth

Yixin Wealth (Credit Ease) and the Lianban Finance Institute recently released a report on the distribution of wealth in China. According to the report, the top 10 percent of the population owns 63.9 percent of the wealth in China.

From 2011 to 2013, the assets of Chinese families increased by 19.6 percent; of those, housing assets grew by 26.8 percent. 

The top five percent of families each has a net worth of at least 2.62 million yuan, while the top one percent of families each has at least 7.39 million yuan in net worth. The annual income of the top five percent is at least 452,100 yuan per family and the top one percent averages 1.15 million yuan in annual income per family. 

Over 56 percent of the top one percent of families are entrepreneurs while 37 percent the top five percent of families are entrepreneurs. About 78 percent of the top five percent of families live in eastern China. 
Source: Beijing Times reprinted by Xinhua, February 27, 2014 
http://news.xinhuanet.com/fortune/2014-02/27/c_126196401.htm