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China’s Reaction to Trump’s Election Win

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Xinhua Commentary Series: Spotlight on the U.S. Presidential Election

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Wu Guoguang: Xi Jinping’s Reversal of the Course, Will China’s Transition be Peaceful or Marked with Bloodshed?

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Cheng Xiaonong: U.S.-China Strategic Relations Have Crystallized

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Beijing Rebuts Deterioration of the Investment Environment in China

Beijing has made high profile efforts to defuse concerns about the deterioration of the investment environment in China. In July, when meeting with German Chancellor Merkel in Xi’an, Premier Wen Jiaobao said, “There is a view that China’s investment environment has been worse. I think this is not true.” On July 26, Commerce Minister Chen Deming wrote in an opinion piece in Financial Times that “In fact, China will open wider in the future.”
A report issued by the World Bank in July, "Investing Across Borders 2010," states that China is one of the regions that has the most constraint on foreign direct investment. As many as 18 procedures and a time span of 99 days are needed in order to launch a foreign business in Shanghai, slower than both the regional average for East Asia and the Pacific and the global average.
Sources:
World Bank, 
http://iab.worldbank.org/Data/Explore%20Economies/China#/Starting-a-foreign-business
China News Service, September 5, 2010
http://www.chinanews.com.cn/cj/2010/09-05/2512860.shtml
Financial Times
http://www.ft.com/cms/s/0/18dae5d2-981c-11df-b218-00144feab49a.html
Briefings | | |   Economy/Resources

CCP’s Organization Department Trains Officials Again

A third training session was launched by the Chinese Communist Party Central Committee’s
Organization Department, the party’s function of appointing cadres, in Jinggangshan on September 5. [1] The trainees are 112 Party or government officials at the bureau level (equivalent to assistant secretary in the U.S.) from across the country.
According to an official at the Central Party School, this session is part of the Organization Department’s large scale trainings for nationwide communist Party officials. The focus is “party spirit” and the “relationship between the Party and the people.”
Source: Beijing News, September 6, 2010
http://epaper.bjnews.com.cn/html/2010-09/06/content_144657.htm?div=-1
[1] Jinggangshan, a mountain located in Jiangxi Province, is known as the birthplace of the Chinese Red Army (the People’s Liberation Army of China) and the "cradle of the Chinese revolution." After the Kuomintang (KMT) turned against the Communist Party in 1927, the Communists either went underground or fled to the countryside. Following the unsuccessful Autumn Harvest Uprising in Changsha, Mao Zedong led his 1000 remaining men to Jinggangshan, where he set up his first peasant soviet.
Briefings | | |   Government/Politics

Study Times: China Cannot Afford 5% to 6% Inflation

Inflation in China has been driven by constant food price adjustments and a 10%+ food price increase, which puts excessive pressure on low-income residents, resulting in major social upheaval, said a Study Times article.  

The article disagrees with some Chinese economists who advocate a moderate annual inflation of 5% to 6%. While the Consumer Price Index (CPI) may remain low, food prices have increased significantly, pushing the CPI upward.  

The populace can’t adjust to the 5% to 6% CPI increase because of the veiled food price increases. In 2004, 2007 and 2008, the CPI increased 3.9%, 4.8% and 5.9% respectively. “These are the three years when the populace was most unhappy about existing price controls."  

Should food prices increase by more than 3%, "major social problems will ensue," said the article. 

Source: Study Times, September 6, 2010
http://www.studytimes.com.cn:9999/epaper/xxsb/html/2010/09/06/12/12_43.htm

Briefings | | |   Economy/Resources

Regulations on Radio Control Issued

China is implementing a nationwide, cross-province, cross-autonomous-region, and cross-municipality control of radio transmissions.  

The State Council and the Central Military Commission jointly published the "Regulations for Radio Control," which will become effective on November 1, 2010.  

According to the regulations, which consist of 13 articles, during the period of radio control, organizations and individuals having, using, or managing radio stations, radio transmission equipment, and non-radio-equipment radiating radio waves must follow the orders and directives.  

The military electromagnetic frequency spectrum control authority is responsible for implementation of the regulations. Various government entities are required to assist with the implementation.  

Penalties for any violation of the regulations range from shutdown to revocation of license, forfeiture of equipment, and criminal penalties.

Source: Xinhua, September 6, 2010
http://news.xinhuanet.com/2010-09/06/c_13481181.htm

Briefings | | |   Government/Politics

Changing the Public Image of the Chinese Military — Show a Soft Side

The Chinese military should improve its image in the international community "to attract and convince a global audience [of its peaceful intent]," says a Study Times article. The key is to adopt a soft approach when disseminating information about the military. 
 

The suggestions are: 1) Focus on civilian readers and progress from “readable” to “pleasantly readable,” rather than preaching. 2) The content should include soft peripheral stories appealing to the public, along with hard, main messages, so as not to trigger resistance. 3) Narrate stories gently and charmingly – be up close and personal when explaining military actions. Through the soft approach, “the pleasant image will gently sneak into the mind of the audience. It is beneficial to narrow the communication gap, bring the audience into the military’s fold, and help them understand the real intent behind the communications."

Source: Study Times, September 6, 2010
http://www.studytimes.com.cn:9999/epaper/xxsb/html/2010/09/06/12/12_47.htm

Briefings | | |   Defense/Military

Government Scholar on Cross-Strait Mutual Military and Security Trust

[Editor’s Note: Research fellow Zheng Jian, the Secretary General of the Chinese government’s think tank on Taiwan affairs, the Association for Development and Promotion of Chinese Culture, published a special article in the August issue of China Review magazine. The title of the article was "Achieving Mutual Military Trust across the Strait through the Use of Strategic Cooperation." He stressed that "to establish cross-strait mutual military trust, the primary condition and the most difficult issue come from the words ‘mutual trust.’" "Mutual trust has at least three meanings: The first is that we must insist on the principle of ‘one China’; the second is that we must be firmly against ‘Taiwan independence’; and the third is that we have to be firm in walking toward the general direction of unification." The author said, “What we can do right now to establish strategic cooperation involves military means, to jointly safeguard the common strategic interests of the Chinese people across the strait. This includes jointly safeguarding the Diaoyu Islands (which Japan calls the Senkaku Islands), the East China Sea, and the territorial and maritime sovereignty of the Nansha Islands (which some other countries call the Spratly Islands) in the South China Sea, and jointly maintaining airspace security, livelihood interests, overseas interests, and so on." With the article there was also a picture of retired generals from China and Taiwan playing golf together. The following is a translation to selected parts of the article.] [1]

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Reports | | |   Report

Hu Jintao Mentioned Political Reform

At the 30th anniversary of the Shenzhen Special Economic Zone on September 6, Hu Jintao discussed persisting in reform. Hu stressed that, amid the complicated international environment and challenging internal missions about reform, development, and stability, the country must persist on the socialist path with Chinese characteristics, persist in the socialism theory with Chinese characteristics, and persist in reform. Hu stated (the necessity of) resolutely deepening reforms and advancing reforms in the economic system, political system, cultural system, and social system.

[Ed: Wen Jiabao stressed political reform in Shenzhen on August 21 (http://chinascope.org/main/content/view/2849/81/). Hu’s speech was widely awaited to see if it would echo Wen’s appeal. In Hu’s speech, political reform was only touched lightly and set in the context of being under the CCP’s leadership. How much Hu is going to do remains to be seen.]

Source: China Review News, September 7, 2010
http://gb.chinareviewnews.com/doc/1014/3/8/8/101438816.html?coluid=1&kindid=0&docid=101438816&mdate=0907092338

Briefings | | |   Government/Politics

China’s Scholar: Major Issues in Income Disparity

China Review News republished a People’s Daily article by Yang Yiyong, Director of the Social Development Institute, National Development and Reform Commission (NDRC). In the article, Yang listed the major issues of income disparity in China:
– Disparity between urban income and farmland income;
– Disparity in farmland income between developed regions and under-developed regions;
– Disparity among different industries.

The gap in the initial income distribution is widening because state-owned enterprises’ monopoly power enables them to seek high profit and thus high income, and lower income and inadequate social protection to laborers who have a lower social status. The government also lacks an effective mechanism to achieve a balance in income distribution. That’s due to the lack of a well-established personal income tax system and social security system and the disparity in social welfare among different groups of people.

Source: China Review News, September 7, 2010
http://gb.chinareviewnews.com/doc/1014/3/8/6/101438691.html?coluid=53&kindid=0&docid=101438691&mdate=0907080330

Briefings | | |   Economy/Resources