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China’s Campaigns against “Illegal Religions”

China’s official Xinhua News Agency reported on February 21 that a document that the Central Committee of the Chinese Communist Party (CCP) and the State Council issued on January 4 stated that the authorities would “step up the crackdown on illegal religions and overseas infiltration activities in rural areas.” The Xinhua report showed that there was an official instruction behind the campaign against “illegal religion” in a number of areas of China over the past two months.

The so-called “illegal religions” refers to Christian house churches, Catholic underground churches, or some Buddhist, Taoist, Islamic or other religious organizations that do not participate in official religious activities.

On February 8, a meeting of the CCP’s branch of the United Front Work Department in Shantou City, Guangdong Province asked that “all towns (neighborhoods) must … keep a close eye on religious and folk festivals” and “focus on investigations of and cracking down on illegal religious activities.”

On February 9, government officials in Duyun City, Guizhou Province carried out activities against “pornography and illegality” and “illegal religions.” Officials visited local communities to “prevent, in a timely manner, obscene and pornographic publications, illegal religious publications, and other cultural rubbish from appearing in the community .” In addition, authorities in Guiyang City, Guizhou Province, published an article on its official WeChat account on February 19, stating that a local neighborhood had organized staff and volunteers to “investigate illegal religions … and to find any illegal teaching of religious knowledge or any organization of religious activities.”

On February 20, a CCP official in Yunnan Province told local government officials to “resolutely combat the spread of illegal religious activities.”

On February 23, the branch of the CCP’s United Front Work Department in Nanchang City, Jiangxi Province established a task force to conduct a “special inspection” of local religious venues, to “focus on inspections for the existence of illegal religious publications,” and to “acquire detailed knowledge about the purchase or donation of religious publications in all venues.”

On February 23, a Christian venue in Liaoyang City, Liaoning Province received a “Notice of Banning Illegal Religious Activity Sites.” The local authorities had issued it and the venue was fined 200,000 yuan (US$ 30,870). Equipment and supplies related to religious activities were confiscated.

On February 24, in Fuyang City, Anhui Province, the police closed down two local religious assembly sites, including one Christian house church venue, in the name of “carrying out an illegal religious private assembly.”

Source: Radio Free Asia, February, 25, 2021
https://www.rfa.org/mandarin/yataibaodao/shehui/sc-02252021074232.html

U.S.-China Relations: CCP’s Advice to the Biden Administration (Chinese Media’s Editorial on the Biden-Xi Talk)

After Joe Biden called Xi Jinping on Chinese New Year’s Eve (February 11, 2021), and they spoke for 2 hours, several of the Chinese Communist Party’s (CCP’s) primary media published commentaries discussing the CCP’s advice to the Biden administration.

1. Xinhua:

The talk showed three positive signals. The first positive signal was the Chinese New Year’s greeting to each other.

The second positive signal was the willingness to communicate. China and the United States should re-establish a number of dialogue mechanisms to understand each other’s policy intentions accurately and to avoid misunderstandings and miscalculations.

The third positive signal was the identification with the spirit of cooperation.

The Xinhua article also stated, “The Sino-U.S. relationship is at a critical juncture at this moment. The diplomacy by the head of state will have an irreplaceable guiding role (on this issue).”

2. People’s Daily:

(We) must point out, China wants to develop a cooperative relationship with the U.S. but this cooperation must be a cooperation based on principles. Taiwan, Hong Kong, and Xinjiang related issues are China’s internal affair. They are related to China’s sovereignty and territorial integrity. The U.S. should respect China’s core interests and act with caution.

How to deal with differences is a subject that both China and the U.S. must answer well. … China and the U.S. should re-establish all kinds of dialogue mechanisms to understand each other’s policy intentions accurately and to avoid misunderstandings and miscalculations.

3. Huanqiu (Global Times):

The U.S. briefing also said that Biden started with his New Year wishes to the Chinese people, which was widely seen as Biden’s gesture to show respect to President Xi Jinping and China. He seemed to use that goodwill to balance some tough messages the new U.S. administration has been sending to China and how the public opinion has been interpreting them lately.

Choosing the conversation time at the Chinese New Year’s Eve and starting with a Chinese New Year’s greeting between the two heads of state reaffirmed Biden’s basic attitude of wanting to compete with China with the bottom line of not to turn competition into conflicts.

The Sino-U.S. relation has become more and more complex. The U.S. Department of Defense (DOD) announced on February 10 that it would establish a China Working Group to coordinate each of the DOD’s components of China policy and actions. This is an unprecedented mechanism arrangement. It should impact the overall U.S. – China policy. There is a trend of more conflict between China and the U.S. Some U.S. elites have the attitude of “the tougher toward China the better,” but if that keeps developing, the U.S. will face inevitable strategic risk. Therefore, controlling Sino-U.S. differences is a key issue that the Biden administration has no choice but to discuss seriously with China.

1. Excerpt in Chinese:

积极信号之一是互致新春祝福。

积极信号之二是保持沟通意愿。中美双方应该重新建立各种对话机制,准确了解彼此的政策意图,避免误解误判。

积极信号之三是认同合作精神。

当前,中美关系正处于重要关口,元首外交具有不可替代的引领作用。

Source: Xinhua, February 11, 2021
http://www.xinhuanet.com/world/2021-02/11/c_1127094070.htm

2. Excerpt in Chinese:

需要指出的是,中方致力于同美方发展合作关系,但这种合作,必然是有原则的合作。台湾、涉港、涉疆等问题是中国内政,事关中国主权和领土完整,美方应该尊重中国的核心利益,慎重行事。

如何处理分歧,是中美双方必须回答好的一个课题。为了维护两国民众福祉与世界和平稳定,双方都有必要在有不同看法的问题上,做到相互尊重、平等相待,以建设性方式妥善管控和处理。中美双方应该重新建立各种对话机制,准确了解彼此的政策意图,避免误解误判。在这方面,双方曾经积累了大量经验。美国前财长雅克布·卢近日在公开活动中回忆了亲身参与中美战略与经济对话的经历,强调双方要通过对话协商,在有共同目标的领域找到合作方式,在有意见分歧的领域找到改变和进步的路径。此次中美两国元首通话中,拜登总统也表示,美方愿同中方本着相互尊重的精神,开展坦诚和建设性对话,增进相互理解,避免误解误判。应该说,这样的思路如果能够落到实处,将有助于中美关系尽快回归正轨。

事实早已证明,正确的政治决断,是保证中美关系不脱离正确航向的基本前提。多考虑合作,不蓄意对抗,才是两国之福。

Source: People’s Daily, February 14, 2021
http://cpc.people.com.cn/n1/2021/0214/c64387-32029422.html

3. Excerpt in Chinese:

美方的通报也说,拜登一上来就向中国人民表达了他的新年祝福,这被广泛看成拜登向习近平主席和中国表达尊重的姿态。他似乎想用这一善意平衡美国新政府近来传递出的一些对华强硬信息以及舆论对那些信息的解读。

这次两国领导人的通话选在除夕,以两位元首相互拜年开始,再次验证了拜登希望同中国竞争、但给竞争设下不演变成冲突的底线这一基本态度。

中美关系复杂化的趋势越来越明显。美国国防部10日宣告成立中国工作组,要协调国防部各部门的对华政策和行动,这是美国军方前所未有的机制性安排,应该也会对美国的整体对华政策制定产生影响。中美摩擦点呈增多趋势,美国部分精英中存在“对华越强硬越好”的情绪,而那样发展下去显然意味着美国难以承受的战略风险,因而管控中美分歧将是拜登政府不得不认真与中方共同探讨的关键事项。

Source: Huanqiu, February 11, 2021
https://m.huanqiu.com/article/41t9jigLliO

 

Lou Jiwei: China Faces Serious Fiscal Challenges

Lou Jiwei, a prominent politician, and currently the director of the 13th CPPCC Foreign Affairs Committee, warned that China’s fiscal situation is facing serious danger and challenges. Lou Jiwei made a speech on December 22, 2020, on the topic at the Fifth Forum on Finance and National Governance (2020) and the 40th Anniversary Seminar of “Financial Research.” The full text was published in “Financial Research” 2021 (Issue No. 1).
 
Lou said, “We (China) are facing major changes unseen in a century. The major changes in the internal and external environment, whether it is changes in the domestic economic and social situation, the global economic downturn, high government debt, and global trade frictions, will make our country’s fiscal sustainability face huge uncertainties and severe challenges.”

“The contradiction between fiscal revenue and expenditures is extremely acute, and fiscal pressure is increasing. Since April 2020, the national fiscal expenditure growth rate has continued to accelerate and has greatly exceeded the growth rate of fiscal revenue. Local fiscal pressure has continued to increase. The fiscal deficits of different regions have maintained an expansion trend. In the medium and long term, due to the impact of the (covid-19) epidemic, the decline in the potential economic growth rate, and the global economic downturn, total national fiscal revenue is expected to remain at a low level over the next five years, while the pressure on fiscal expenditures will remain relatively high. Although the optimization of the fiscal expenditure structure can release part of the financial resources, the expansion of fiscal expenditures has not changed. There is little room for the government to reduce general expenditures. It can be said that financial difficulties are not only near-term and short-term issues, but also very difficult in the medium term.”

“From the perspective of debt, the problem of government debt has increasingly become an important factor affecting future fiscal stability and economic security. From 2009 to 2020, the proactive fiscal policy has been implemented for 11 years, the fiscal deficit has continued to expand, and the debt scale has expanded accordingly. The proportion of debt interest payments in the general public budget expenditures continues to rise. The growth rate far exceeds the growth rate of total expenditures. 2017, 2018 and 2019 exceeded the total expenditure growth rate of the year by 16, 10 and 4.5 percent respectively. From January to November 2020, debt interest payments increased by 16.1 percent over the same period in the previous year, which exceeded the growth rate of total expenditure by 15.4 percent. In 2019, the central government debt interest payment accounted for 13 percent of the central government’s expenditures. It is expected to have risen to about 15 percent for 2020. The problem of local debt is even more prominent, and the accrued local government debt has been increasing rapidly. Although increasing debt in the short term can alleviate the pressure of fiscal shortages, it poses greater challenges to the sustainability of local finances in the future. During the “14th Five-Year Plan” period, the debt sustainability of most provinces and municipalities is worrisome. About a quarter of the provincial fiscal revenues will be used for debt service and interest payments. The local government debt problem not only affects the local government’s public service supply capacity, but also accumulates fiscal and financial risks.”

“Aging will also bring severe challenges to the sustainability of our country’s finances. Statistics show that in 2019, (China) had a population of 253.88 million people aged 60 and above, accounting for 18.1percent of the total population, of which 170.03 million were 65 years old and above, accounting for 12.6 percent of the total population. The aging society is accelerating.”

“At the same time, affected by the global economic downturn and global risks, the external uncertainty of fiscal reform and development has increased. … At present, affected by the impact of the epidemic and the spillovers of major countries’ macroeconomic policies, emerging market countries are facing a double blow from the economy and finance. Economic risks are transformed into fiscal risks and financial risks. The risk of falling into a debt crisis is increasing.”

Source: NETEASE, February, 24, 2021
https://www.163.com/dy/article/G3KU1S9Q0531SRGP.html

Japan Can Shoot at Foreign Official Vessels Landing on Senkaku Islands

At a Liberal Democratic Party’s (LDP’s) defense and security panel on February 25, Japan’s government officials said, amid rising concerns about the escalation of the Sino-Japanese rivalry surrounding the Senkaku Islands, that if a foreign official ship were to forcibly land on the Senkaku Islands (called the Diaoyu Islands in China), the Japanese coast guard might consider this as a vicious crime and might use weapons to suppress the opponent’s resistance. Analysts believe that this is a reaction and measure to strengthen deterrence against Chinese coast guard vessels entering Japanese territorial waters.

According to the LDP members at the meeting, this is the first time government officials have referred to the coast guard’s possible firing on foreign official vessels aiming to land on Japanese territory.

The interpretation (of the LDP’s response) is partly based on applying the use of the police power under a police law to the coast guard. Earlier Japan’s coast guard was only allowed to fire weapons directly at foreign vessels in cases of self-defense and emergency escape.

In addition, the government also stated that, when a foreign government ship takes away any Japanese citizens, the Japanese coast guard can board the opponent’s ship and retake the hostages. For small drones flying around territorial waters, the self-defense forces can regard it as a violation of airspace and respond with actions that including shooting them down.

Source: Kyodo News, February 25, 2021
https://china.kyodonews.net/news/2021/02/a1946ad0ab43.html

Miles Yu: The World Must Awaken to China’s Genocide and Bullying Behavior

Both Wang Yi, the State councilor of the People’s Republic of China and Cui Tiankai, China’s Ambassador to the U.S. have called on the Biden administration to respect China’s interests and its red lines. In speaking with Radio Free Asia and American Thought Leader, Miles Yu, former adviser to Secretary of State Mike Pompeo, said that China has no red lines and it is just like what the Chinese are saying, “thief calling to catch a thief (賊喊捉賊).”

Yu said that Wang Yi’s remarks sound illogical. What China is facing is not simply that “the U.S. can’t stand China” but rather that “China can’t stand the world.” However, China has always been faulting the U.S for everything. It is irrational. China does not have red lines when it comes to Hong Kong, Xinjiang and Taiwan. But it has set up red lines for the international community, which means that nobody is allowed to criticize China. Anyone who does so is not showing respect. He is crossing a red line. The Chinese red line is the Chinese Communist Party’s red line. It’s not a red line based upon international law or international conventions. In fact, this is a bullying behavior. The world needs to wake up to it and the U.S. shouldn’t acknowledge China’s red lines. The International community has long established that rule; it has been in effect since the 1940s. China has signed on to it, but China never follows it. China cannot kill people and commit genocide in the name of sovereignty. If China wants respect from others, it must first follow international law. China calls for “mutual respect” only to ask the international community to turn a blind eye to its violations of international law, which is unacceptable. Those tones are outdated. The U.S. government cannot walk back its China policy.

Sources:
1. Central News Agency, February 23, 2021
https://www.cna.com.tw/news/firstnews/202102230230.aspx
2. American Thought Leader, February 2021
https://www.theepochtimes.com/how-the-trump-administration-permanently-transformed-u-s-china-policy-former-pompeo-adviser-miles-yu_3695945.html

Huawei Smartphone Sales May Drop by 60 Percent in 2021

According to reports, Huawei expects that its smartphone shipments this year will drop by more than 60 percent to about 70 million units. Huawei’s smartphone shipments in the fourth quarter of 2020 fell by 40 percent. With the U.S. sanction in 2020, Huawei has faced unprecedented challenges in chip supply. Huawei’s suppliers had been notified to cut production.

 

According to Huawei’s report, Huawei’s revenue comes from operators’ businesses, companies’ businesses, and consumer’ businesses. The Consumer businesses that are represented by smartphones are an important part of Huawei’s revenue. According to Huawei’s 2020 semi-annual report, the 255.8 billion yuan sales from the consumer business accounted for half of the total sales revenue of 454 billion yuan in the first half of 2020. 

 

Recently, Huawei senior executive Duan Anguo stated that Huawei has launched a smart pig farming program. He believes that the breeding industry is moving toward digitization, intelligence, and unmanned operations. Huawei plans to apply machine vision and artificial intelligence technologies to pig farming.

 

Source: Finance and Economics, February 21, 2021

https://finance.sina.com.cn/tech/2021-02-21/doc-ikftpnny8822241.shtml

China’s Fertility Rate Continues to Fall

On February 8, 2021, China’s Ministry of Public Security released the 2020 annual report based on household registration information. The report stated that, as of December 31, 2020, there were 10.035 million newborns in 2020 registered with the public security departments. The number fell by 14.89 percent year-on-year, compared to the 2019 annual report. There were a total of 11.79 million newborns in 2019 registered with the public security departments.

The decline is also seen in the numbers released by the National Bureau of Statistics. The number of newborns in 2016 was 17.86 million, 17.23 million in 2017, and 15.23 million in 2018. On January 17, 2020, the National Bureau of Statistics announced that the total number of newborns in 2019 was 14.65 million.

In his article entitled, “The Implementation of the National Strategy for Active Response to the Population’s Aging,” China’s Minister of Civil Affairs, Li Jiheng expressed his concern about the substantial decline in the population base.

In his article, Li Jiheng said that under the influence of a number of factors, Chinese people are less willing to have children. The total fertility rate has fallen below the warning line and the population’s development has entered a critical transition period.

Source: Guancha, February 8, 2021
https://www.guancha.cn/politics/2021_02_08_580809.shtml

Beijing’s Infiltration in Action: Purchase of British Private Schools

The British newspaper the Daily Mail reported on February 21 that “Hundreds of independent schools left in dire financial straits by the coronavirus pandemic are being targeted by Chinese investors.” “Nine of the 17 schools under Chinese control are owned by firms whose founders or bosses are among China’s most senior Communist Party members.”

“One firm admitted its acquisition of British schools is aimed at supporting China’s controversial Belt and Road strategy, which aims to expand Beijing’s global influence.”

As companies controlled by the Chinese Communist Party (CCP) are seeking to expand their influence on the British education system, the public is concerned that Beijing’s tentacles are reaching British classrooms.

“Schools are using educational tools for teaching children a ‘whitewashed’ view of China.”

Ma Jian, a Chinese-born British writer, told Radio Free Asia that the CCP is pursuing Xi Jinping’s “Chinese Dream” and its next target is the young generation of democratic nations. “Britain has basically turned itself into a trading branch of China. Not only has it coupled with China in business, economy, and trade, but also in cultural affairs. You will find that universities, research institutes, middle schools, and elementary schools have got a lot of money from China. Companies are implementing of Xi Jinping’s ‘Belt and Road Initiative’ and ‘Chinese Dream’ by means of the acquisition of these private schools. The education deals are aiming at the next generation.”

Wang Jianhong, a scholar who has been concerned about the human rights situation in China, also believes that these Chinese companies are controlled by Beijing. Taking advantages of the rule that democratic countries cannot interfere much in market transactions, the Chinese government has been promoting its global expansion. After years of infiltration into the British academic community, the academia has seen the trend of self-censorship and even whitewashing for the CCP. “The CCP has been stepping up its investment in Britain’s private schools and education system. How could an ordinary Chinese company buy British private schools? They definitely have government background. As the basic education in the UK is directly owned by companies controlled by the CCP, we are worried about the ideological infiltration into the curriculum. Even if you have got rid of the Confucius Institute, the CCP has all kinds of methods, including the acquisition of private schools.”

Some British politicians expressed a sense of concern. Conservative MP Tom Tugendhat, chairman of the Foreign Affairs Committee, said: “China’s strategic understanding and reach means that they have an advantage in seeking to influence others and using established brands, including some of our own, to achieve that position. … We need to decide what it is we are prepared to defend, but before that we would need to understand what it is we want.”

Reported by the Daily Mail, “A key player in the market is Bright Scholar, which bought a number of schools and colleges in 2018 and 2019, including Bournemouth Collegiate School, St Michael’s School in Llanelli, Carmarthanshire – where Justice Secretary Robert Buckland and singer Cerys Matthews were once pupils – and Bosworth Independent College in Northampton. … Bright Scholar is owned by Yang Huiyan, who is reportedly worth £20 billion, making her Asia’s richest woman, and was founded by her father Yang Guoqiang, a member of the Communist Party’s highest- ranking advisory council.”

“The Wanda Group, which invests in technology, real estate, hotels and the media, bought the schools in 2017 through City of London based asset manager London & Oxford Group. … It was founded by Wang Jianlin, a former People’s Liberation Army soldier who is worth an estimated £10 billion and is a member of China’s senior Communist Party advisory council.

“Two more schools – Kingsley School in Bideford, Devon, and Heathfield Knoll School in Worcestershire – are owned by China First Capital Group, which has senior Communist Party members on its board.”

“Riddlesworth was bought by the Confucius International Education Group in 2015 and its website lauds its links with the late Princess. … The firm’s owner, Kong Lingtao, who claims to be a direct descendant of the Chinese philosopher Confucius, also boasts of his visit to Buckingham Palace in 2014, when he met Prince Philip.”

Another company, the Ray Education Group, bought Adcote School for Girls near Shrewsbury, Shropshire, and Myddelton College in Denbigh, Wales, in 2018.

“On its website, Ray Education details plans to use its British schools to help expand to other countries as part of Chinese President Xi Jinping’s Belt and Road strategy to boost China’s global economic and political influence.”

Source: Radio Free Asia, February 22, 2021
https://www.rfa.org/cantonese/news/uk-school-02222021112954.html
Daily Mail, February 20, 2021
https://www.dailymail.co.uk/news/article-9282617/British-private-institutions-bought-Chinese-firms.html