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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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Xinhua Commentaries: “Exposing the Three Major Political Deficits of the U.S.”

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The CCP’s Performing Arts Troupes in the U.S.

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Bank of China Issued First RMB Debit Card in Zambia

With the approval of the Central Bank of Zambia, on June 14, Bank of China issued the first RMB debit card in all of Africa. The debit card is branded under UnionPay, which is the dominant credit card issuer in China. The theory behind this move is that typical international traveler’s checks only support seven western currencies, which are not accepted by most Chinese businesses. UnionPay is widely accepted in China. Thus the new debit card benefits the African customers visiting China. Bank of China in Zambia was approved to offer full RMB based services in 2009. Its RMB services include RMB accounts and RMB cash. Since the services were made available to the public this past March, the Bank has received total deposits of RMB 50 Million.

Source: Xinhua, June 15, 2010
http://news.xinhuanet.com/fortune/2010-06/15/c_12224377.htm

Briefings | | |   Economy/Resources

Xinhua: Internet War Has Threats beyond Virtual Reality

Xinhua recently published an article by a teacher of National Defense University on internet war. The article pointed out that, following the United States, France, Germany, Japan, India and South Korea all strengthened their research and established internet war theories as well as development plans. The author believed that internet war by itself created a new and independent warfare. The strategic war competition of Information Age is primarily internet war. The analysis of the form of internet war in the article is solely aiming the US, with all the data and discussions around US military infrastructure and activities. The author concluded that the development of internet war is determined by 3 factors: (1) militarization of the internet; (2) militarization of physical infrastructure network; (3) wireless interconnectivity. The military threats brought forward by internet war are beyond cyberspace.

Source: Xinhua, June 17, 2010
http://news.xinhuanet.com/mil/2010-06/17/content_13684781.htm

Briefings | | |   Defense/Military

China Review News: Foxconn’s Pay Raise and the End of the China Model

A Foxconn spokesman confirmed that all lower-level laborers’ wages have been raised 30% starting from June 1, according to China Review News on June 7, 2010. It is understood that Foxconn’s pay raise decision is related to the recent employee suicides. The pay raise means that the labor costs will increase 2.281 billion yuan (334.130 million U.S. dollars) each year. For an OEM business model company whose profits are very limited, this cost increase is substantial. Upon publication of the news, Foxconn’s share price immediately plunged on the Hong Kong stock market.

“Labor-intensive enterprises have smaller profit margins. In order to grab the largest profits, the employers purposely lower employees’ wages, which has seriously hindered the harmonious development of society. More and more incidents demonstrate that the “China Model,” which sacrifices the well-being of ordinary people for economic development, has come to an end.”

Source: China Review News, June 07, 2010
http://gb.chinareviewnews.com/doc/1013/4/5/6/101345679.html?coluid=53&kindid=0&docid=101345679&mdate=0607074411

Briefings | | |   Social Stability

Beautiful GDP Figures — Useless Without a Decent Living Standard

On May 12, 2010, the website http://finance.sina.com/ published an article by Feng Haining that contrasted the low wages of Chinese laborers with China’s high GDP. In Feng’s opinion, no matter how high the GDP is, the real worth of the GDP is not high if it is not reflected in the the people’s living standard.

The International Labor Organization (ILO) pointed out that in 2007, China’s per capita output increased 63.4% between 2000 and 2005, but high labor productivity is not reflected in wage growth. Ordinary workers have no voice in the distribution of revenue. What makes the public especially unhappy is that public policy always favors those with capital. From 1978 to 2005, capital return increased by 20 percent of the total GDP, while labor remuneration declined substantially.

Source: finance.sina.com, May 12, 2010
http://finance.sina.com/bg/chinamkt/sinacn/20100512/122953787.html

Briefings | | |   Social Stability

China’s New Rich Class and Intellectual Elites Emigrate Overseas

Xinhua reprinted an article from www.qlwb.com.cn on June 4, 2010 on the emigration of China’s new rich class and intellectual elites to the United States, Canada, Australia, Hong Kong, Singapore and some small countries in Central America. 

“In 2009, a total of 25,000 Chinese emigrated to Canada and 65,000 Chinese emigrated to the U.S.; in 2008, about 16,000 Chinese emigrated to Australia.”

“What attract the Chinese immigrants to go abroad are the quality education, clean environment, safe food, standardized laws and the symbol of a status.”

Source: Xinhua, June 04, 2010
http://news.xinhuanet.com/society/2010-06/04/c_12182275.htm

Briefings | | |   Social Stability

New Dynamics of Overseas Communist Parties after the Onset of the Financial Crisis

[Editor’s Note: For communist parties members in China and worldwide, the global economic meltdown triggered by the U.S. subprime mortgage crisis in October 2007 kindled their hope for the resurgence of the world socialist/communist movement. They view the crisis as proof of the Marxist theory that capitalism is doomed to fail and be replaced by socialism. An article published in Qiushi Journal on February 26, 2010, detailed the strategies and practices that communist or left wing parties in countries outside of China have used in recent years. Following are excerpts from the article titled, “New Dynamics of Overseas Communist Parties after the Outbreak of the Financial Crisis”]

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Reports | | |   Report

Beijing’s New Cultural Revolution, Ideological Guidance and Strategic Discussions

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It is worth noting Beijing’s recent intense work on developing culture related businesses domestically and exporting culture products internationally. This article and the next one, Beijing’s New Cultural Revolution, and Industrial Policies and Global Practices, attempt to sum up the Chinese Communist regime’s efforts in strategizing, planning, and implementation in the arena of Chinese culture. The Chinese Communist Party’s (CCP’s) purpose is to solidify its governance, assure the ideological guidance of socialism/Marxism in society, and expand its global influence. This article focuses on the CCP’s ideological guidance and on debates among government officials and scholars. The second article will appear in a subsequent issue.

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Analyses | | |   Opinion

Party Publication Highlights Internet Control

In an article published on Qiushi, the flagship publication of the Central Committee of the Chinese Communist Party, Wang Cheng, Director of the State Council Information Office and deputy chief of the CCCCP’s Department of Propaganda, wrote about “deepened understanding of the importance and urgency of developing Internet culture with Chinese characteristics.”
Wang emphasizes the guiding ideology on the Internet as being Marxism and socialism. The development of Internet culture will “strengthen China’s cultural soft power and create a good international public opinion environment” for the regime. The article also said that “efforts to develop an Internet culture with Chinese characteristics are urgently needed for safeguarding social stability and national cultural information security. At present, China is in a period of prominent social conflicts. Amplified by the Internet, aided by the infiltration and sabotage of forces that do not want to see a stronger China, individual biased remarks are easily expanded to irrational social sentiment, … turning general issues into political issues, affecting social harmony and stability, and endangering national security.”
Source: Qiushi Journal, June 17, 2010
http://www.qstheory.cn/wh/whtzggyfz/201006/t20100617_33299.htm
Briefings | | |   Information/Technology