Skip to content

Public Opinion: Shanghai Entrepreneurs’ Open Letter: Lying Flat and Not Producing Anything

Lately, multiple media have reported that Shanghai entrepreneurs published an open letter in response to the government’s order to resume production. They announced that they will “lie flat.” They will resume work but will not produce anything. They were frustrated with the government’s lockdown of the city for two months. People’s living condition have deteriorated significantly, the government’s credibility has been swept away, the manufacturing orders have been reduced, foreign capital has been leaving China, and exporting goods has become much more difficult.

However, there were questions on the authenticity of this letter since big entrepreneurs have their own channels to share their opinions with high-ranking officials and will not challenge the authorities so openly.

In any case, the letter, regardless of whether it was true, expressed the public opinion that people are dissatisfied with the Chinese Communist Party’s (CCP’s) policies. The following is an excerpt from the open letter.

Compatriots from Shanghai and across China:

During the two-month-long city lockdown, we were repeatedly threatened by the subdistrict administrative offices (街道办事处), residential Committees (居民委员会), police stations, and unidentified people, for quarantine and door-to-door sterilization, which made us completely sober and even woke us up. We, several business owners and investors living in adjacent areas of Shanghai had to suspend our work, study the situation and reach some initial consensus — to lie flat and clear, resume our work but not do any production!

In response to the impending economic crisis, we would like to announce to society that we have made the following collective decisions:

  • To abolish redundant departments and streamline operations.
  • To sell off non-performing assets and prepare for a cold winter of our economy.
  • To not plan or be unable to hire college graduates in the next few years.
  • To encourage existing employees to voluntarily reduce their salaries and work together to overcome the difficulties of the times.
  • To expand overseas markets for rebuilding the domestic economy in the future.

We hope that the CCP’s 20th National Congress will bring us the following:

  • It is urgent to reform the political system and release the political shackles on economic development.
  • To punish severely all levels of government and grass-roots officials who violated the law and disregarded public opinion during the COVID prevention and control period, so as to restore the government’s image and rebuild the government’s credit.
  • To redress wronged cases such as the case against Ren Zhiqiang and Sun Dawu and recover the losses of the wronged entrepreneurs.
  • To release and redress prisoners of conscience, ideological prisoners, and political prisoners who are the backbone and treasure of the nation.
  • To release and redress those citizens who were politically and judicially persecuted for speaking out for the people or defending their rights and interests during the pandemic; to clean up the law enforcement team and restore the hearts of the people.
  • To establish the sanctity of private property and, especially to establish the private residences as freehold (the last refuge of the family).
  • To return the power to the people, reformulating the Constitution, removing the ban on parties and newspapers, eliminating the privileged class, and abolishing feudal systems such as household registration, political trials, and all other unreasonable systems that violate human morality and conscience.

We are eagerly waiting for entrepreneurs and investors from all over the country, scholars from colleges and universities across the country, elites from all walks of life and industrial and commercial people to express your opinions and support our initiatives and propositions.

Some entrepreneurs and investors in Shanghai

May 30, 2022

Related postings on Chinascope:

Source:  Ipkmedia (光传媒), May 31, 2022.

上海企业家公开信:躺平清零!复工不复产!喜迎二十大!

 

Government: Shanghai Authorities – It Is All the Residential Committee’s Fault

During Shanghai’s COVID Control and Prevention news press conference on May 29, authorities said the city has never announced a “lockdown” and therefore does not need to “remove the lockdown and (reopen)” the city.

They also blamed the residential committees (居委会) for locking down the residential buildings and forcing people to stay at home. They said the two months of the Shanghai lockdown was not a government action but rather the result of the residents’ self-management .

The authorities then pointed out:

  1. The residential committee is a self-management organization for the city residents and the residential committee’s actions are based on the residents self-management, not the government’s orders.
  2. Any official order and regulation must be published by the municipal party committee or the municipal government. The residential committee’s announcement only represents the view and action of that residential committee and residents of the neighborhood. The government is not responsible for these actions.
  3. If any residential committee mentions “according to the authorities’ requirements,” if it is not based on an officially issued document with a government seal on it, it is a verbal order and the government does not recognize the claim.

People ridiculed the Shanghai authorities. According to the authorities’ logic, the government didn’t lock down Shanghai, but Shanghai residents voluntarily locked themselves down, stopped their own economy and created all their humanitarian problems for themselves.

Source: China Digital Times, June 1, 2022

民国地平线|蔡慎坤:谁把上海人当傻瓜?

USCC: China’s Interest in the U.S. Agriculture Industry

The U.S.-China Economic and Security Review Commission (USCC) published a report that China is investing in the U.S. Agriculture industry in order to mitigate its own food shortage. These investments reduce Beijing’s reliance on imports and help China to obtain modern agricultural technologies. The report examines the main areas of Chinese investment in the United States, including land, livestock, grain, and relevant infrastructure, such as agricultural equipment and technology. It also presents considerations for lawmakers regarding further Chinese integration in the U.S. agriculture sector.

Source: USCC, May 26, 2022
https://www.uscc.gov/research/chinas-interests-us-agriculture-augmenting-food-security-through-investment-abroad

A Chinese City’s Penalty Is a 10-Day Detention for Skipping Multiple PCR Tests

On May 31, the city government of Siping in China’s northeastern Jilin Province announced it would launch massive Covid-19 PCR testing for residents starting on June 2. The testing requires that “no one is left behind.” The authorities vowed to inflict punishment on anyone who did not participate in the drive. Punitive measures would include restricting access to neighborhoods and public places, paying for the cost of make-up tests, and being admonished by local police. For those who failed to take the required tests on more than two occasions, the penalty would include 10-days of administratively detention, a fine of 500 yuan (US$ 75), being blacklisted in China’s social credit system, and public naming and shaming.

The announcement sparked criticism from Chinese netizens. Some said, “The Siping municipal government is openly breaking the law.” Others questioned, “Which law is the basis for such a detention rule? This is serious damage to the rule of law in China!”

Draconian measures to combat the epidemic adopted by Chinese authorities have triggered public discontent. For example, in Jiangsu, medical staff would throw away all the food in the refrigerator that belonged to the Covid patient. In Shanghai a netizen complained saying that the disinfection personnel entered his residence without his consent.

Source: Central News Agency (Taiwan), May 31, 2022
https://www.cna.com.tw/news/acn/202205310229.aspx

Chinese Property Developer Fantasia Owes US$149 million In debt and May Face Liquidation

Fantasia Holdings Group, the Chinese developer founded by the niece of a former Chinese vice-president Zeng Qinghong, might face liquidation after it received a wind-up petition from creditors for failing to repay an outstanding loan of US$149 million.

A winding-up petition is the legal mechanism by which a business creditor can apply to the court to wind-up a company for non payment of debts. It can result in compulsory liquidation.

On May 26, Shenzhen-based Fantasia received a wind-up petition that Flower SPV 4 Limited had filed. The filing had been submitted to the Hong Kong stock exchange on Monday. The petition was filed by the creditor on May 24 in the Grand Court of the Cayman Islands, where Fantasia is registered.

Trading in shares was suspended on April 1 following Fantasia’s previous financial difficulties. The company said that its stock trading will remain suspended until further notice.

Zeng Qinghong was the right-hand man of China’s former president Jiang Zemin. The story of Fantasia’s financial difficulties was widely reported by mainland Chinese media.

Source: Central News Agency (Taiwan), May 30, 2022
https://www.cna.com.tw/news/acn/202205300094.aspx

China’s Coldest Labor Market: College Graduates Break 10 million for the First Time

2022 will see 10.76 million college graduates in China, an increase of 1.67 million over last year. This will be the first time in history for the number to break the 10 million mark. This record number, however, is facing a difficult economic situation due to the epidemic.

In 2020, China’s economy was hit hard by the first wave of the epidemic. In the first quarter, China’s GDP fell 6.8 percent year-over-year.  This was not only the lowest since China began publishing quarterly GDP data in 1992. It was also the first time that quarterly growth was negative.

Two years ago, the city of Wuhan was locked down for 76 days. This year. however, Shanghai has been put on a pause for more than 60 days. In terms of economic importance, the two cities are not on the same scale. Shanghai is not only China’s center for manufacturing and foreign trade. It is also the country’s financial hub. The economic devastation brought by the two-month lockdown will be far greater than it was in Wuhan.

Data released by China’s National Bureau of Statistics on May 16 showed that the national urban unemployment rate rose 0.3 percentage points to 6.1 percent in April, a new high since March 2020. Most notably, the unemployment rate for the 16-24 year old population was recorded at 18.2 percent, the highest since that data became available.

Source: BBC Chinese, May 31, 2022
https://www.bbc.com/zhongwen/simp/chinese-news-61632336

LTN: Pompeo Said Blinken’s Speech Underestimated the China Threat: the CCP is Evil

Major Taiwanese news network Liberty Times Network (LTN) recently reported that U.S. Secretary of State Antony Blinken delivered a policy speech on China on May 26 in which he criticized China for its increasing threats to Taiwan, emphasizing that the U.S. policy toward Taiwan will remain unchanged. In addition, he also said that the United States avoids seeking conflict or creating a new Cold War situation. Former U.S. Secretary of State Mike Pompeo said bluntly that Blinken’s speech was like diplomatic rhetoric and underestimated the threat of the Chinese Communist Party (CCP). Pompeo said in an interview that the Chinese Communist Party intends to cause damage to the United States, ranging from the Chinese military, cyber-attacks and economic plunder. He did not feel that Blinken’s speech made the core point, which is that the CCP is evil. If it is only seen as related to the international order, then Chinese leader Xi Jinping will recognize the U.S. signal as a green light. Some observers have expressed the belief that a cold war is real and that China wants it to get worse. America needs to wake up from the fog of peace and confront the looming threat from China.

Source: LTN, May 28, 2022
https://news.ltn.com.tw/news/world/breakingnews/3941821

Airbnb Shutting Down Its China Domestic Business

Well-known Chinese news site Sina (NASDAQ: SINA) recently reported that Airbnb will officially close its domestic business in China. Nearly 150,000 listings and experienced businesses in China will be taken offline completely. Only the outbound international business will be retained. This is expected to be completed this summer. Airbnb’s future presence in China will be composed mainly of engineers involved in the research and development of global products and technology projects, as well as the business and customer service teams responsible for Airbnb’s Chinese users’ outbound international travel. The total staffing level will be around several hundred people. In recent years, China’s domestic listings and experience service business has accounted for less than one percent of Airbnb’s global revenue. Airbnb set up a small-scale team in China in 2014. It officially launched its business in the Chinese market in 2015. The Covid pandemic did disruptive damage to the entire travel industry, including online short-term rentals. Airbnb is essentially the last large-scale U.S. Internet business that will have left China.

Source: Sina, May 24, 2022
http://finance.sina.com.cn/tech/csj/2022-05-24/doc-imizirau4437577.shtml