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China’s New Regulation Restricts Online Self-publishers

On January 31, 2021, the Cyberspace Administration of China (CAC) announced that online self-publishers (also called We Media) must first obtain a “permit” before posting news information. The CAC will implement “review before publishing” management for live streaming and interactive content. It will focus on disruptions of the order on social media platforms that involve self-publishers.

Zhuang Rongwen, Deputy Minister of the CCP Central Propaganda Department and CAC Director pointed out that regardless of the nature of the platform, regardless of the form of communication, they must place a top priority on adherence to the correct political direction.

Earlier, on January 22, 2021, the CAC issued a new regulation to restrict China’s tens of millions of self-publishers on social media platforms even further. The regulation will be effective February 22, 2021. According to the new regulation, public accounts that “provide online news service to the public shall obtain the Internet News Information Permit and other relevant media accreditation.”

Sources:
People.cn, February 1, 2021
http://politics.people.com.cn/BIG5/n1/2021/0201/c1001-32018101.html
Cyberspace Administration of China, January 22, 2021
http://www.cac.gov.cn/2021-01/22/c_1612887880656609.htm

Pandemic: Fake Vaccine in China

China reported a case involving fake COVID-19 vaccine. The public security authorities recently cracked a case involving counterfeit vaccine. The authorities arrested more than 80 suspects and seized more than 3,000 sticks of fake vaccine which were filled with physiological saline.

The case involved police from Beijing, Jiangsu Province, and Shandong Province. The suspect has been selling the fake vaccine since September 2020.

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Military: China’s Airplanes Practiced Missile Attack on U.S. Carrier

According to intelligence from the U.S. and its allies, Chinese bombers and fighter jets carried out a simulated missile attack on the aircraft carrier USS Theodore Roosevelt in the South China Sea.

They conducted the exercise in Taiwan’s air defense airspace on January 23, after China sent 13 warplanes into Taiwan’s southwestern air defense zone and the U.S. Indo-Pacific Command dispatched the USS Theodore Roosevelt battle group into the South China Sea.

A U.S. official, who asked not to be named, said the Chinese aircraft did not come within 250 nautical miles of U.S. Navy ships.

Another person familiar with the matter said the Chinese planes had been staying about 250 nautical miles from the USS Roosevelt battle group. Dialogue between the pilots of the Chinese H-6 bombers showed that the planes were conducting a mock locking down and releasing anti-ship missile against the U.S. aircraft carrier.

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Experts Warn of Coming Collapse of China’s Population Growth

At a press conference on January 18, China’s National Bureau of Statistics postponed the release of 2020 birth data.

In an article on Caixin.com, Liang Jianzhang, the founder of the Trip.com Group and a professor at Peking University, quoted data from local governments and media. The number of births in Wenzhou city in 2020 was 19.01 percent lower than in 2019. Hefei city’s new births in 2020 dropped by 23 percent compared to 2019. The same measure in Taizhou City in 2020 saw a decrease of 32.6 percent. Liang suggested that the fertility rate can be fundamentally reversed only by implementing changes in family planning policies, reducing housing costs, and cutting taxes.

Yi Fuxian, a senior scientist at the University of Wisconsin-Madison and author of Big Country with an Empty Nest, recently tweeted that “today’s Northeast region is China’s tomorrow.”

Yi pointed out that the size of the economy in the northeast region as a percentage of the whole country shrank from 13.1 percent in 1980 to 9.1 percent in 2010 and 5.0 percent in 2020. A key contributor is the aging population.

Yi told Radio Free Asia, “(The central government) predicts that the economy will double by 2035 and that the annual growth rate will average 4.7 percent between 2021 and 2035. From the perspective of population, I think this possibility is very low. China’s economy may be able to maintain a growth rate of 4 percent or 5 percent by 2025, after which the growth rate will continuously decline.”

Data from the National Bureau of Statistics shows that the birth rate in the three northeastern provinces in 2019 was only 0.61 percent, even lower than the 0.68 percent birth rate in Japan, the world’s oldest country. The reasons for the decline in the fertility rate in Northeast China, according to Yi, include the high level of urbanization, a high proportion of the population working in the state sector, high compliance with the government’s family planning policy, a low marriage rate and a high divorce rate.

Source: Radio Free Asia, February 2, 2021
http://https://www.rfa.org/mandarin/yataibaodao/shehui/cm-02022021114604.html

Ukraine Issues Sanctions against Chinese Companies

According to the Ukraine’s official website, on January 29, Ukraine President Volodymyr Zelensky approved the decision of the National Security and Defense Council of the Ukraine (NSDC) to sanction the Chinese legal persons and individuals that invested in the Ukrainian aerospace company Motor Sich. The sanctions will take effect immediately.

Four Chinese companies — Skyrizon Aircraft Holdings Co., Ltd, Hong Kong Skyrizon Holdings Co., Ltd, Beijing Skyrizon Aviation Industry Investment Co., Ltd, Beijing Xinwei Technology Group Co., Ltd. — along with a Chinese citizen, Wang Jing, born on December 24, 1972, had restrictive measures imposed on them for a period of three years.

The sanctions on Wang also include freezing his assets and temporarily restricting the use, trade and disposal of his property. The order partially or completely suspended his assets from being transported across Ukrainian territory. Wang’s visa status is revoked, and there is a ban on his entering Ukrainian territory.

Skyrizon Aircraft is the company (legal person) that invested in Motor Sich.

At the end of last year, the U.S. Department of Commerce’s Bureau of Industry and Security (BIS) added China’s Skyrizon Aircraft to a Military End-User (MEU) List over its ability to develop military products including aircraft engines. The list includes 58 Chinese and 45 Russian companies.

Source: Sputnik News, January 29, 2021
http://big5.sputniknews.cn/china/202101291032991427/

Lianhe Zaobao: China’s Hong Kong Liaison Office Gets Massive Reorganization

Singapore’s primary Chinese language newspaper Lianhe Zaobao recently reported that news is breaking on an up-coming major reorganization of The Liaison Office of the Central People’s Government in the Hong Kong Special Administrative Region (LOCPG). The LOCPG was established in 2000 as the replacement of the Xinhua News Agency (HK office). It was widely recognized as the unofficial representative of the Mainland government in Hong Kong. Anonymous insiders said this new reorganization does not intend to reduce the headcount. Instead, the plan is to overhaul the “ways of doing things” completely. The future LOCPG will no longer “just do PR work and cut the ribbons for grand openings.” Instead, more resources will be devoted to Hong Kong’s day-to-day operations like how to improve the local economy. The large-scale reorganization is expected to replace half of the current 480 LOCPG staff with new people, most of whom “barely understand the local dialect (Cantonese).”

Source: Lianhe Zaobao, January 28, 2021
https://www.zaobao.com.sg/realtime/china/story20210128-1119964

Global Times: India Permanently Banned 59 Chinese Apps

Global Times recently reported, based on Reuters and several Indian media reports, that the Ministry of Electronics and Information Technology in India officially announced the permanent ban of 59 Chinese apps, including massively popular apps like TikTok, Baidu, WeChat and UC Browser. The Indian authorities expressed dissatisfaction after they received the compliance plans from Chinese app vendors, especially in the areas of data collection and consumer privacy protection. This dissatisfaction is what triggered the permanent ban. Since June of last year, the Indian government has taken “unprecedented” actions on 267 Chinese apps over several rounds, citing national security concerns. The Chinese Ministry of Foreign Affairs issued a statement on the latest development expressing “serious concern.” China also accused India of violating market economy principles and WTO rules. The Chinese Embassy in India also showed a strong position against India’s action taken in the name of national security. After the news broke, some Chinese vendors like TikTok announced their Indian lay-off plans.

Source: Global Times, January 26, 2021
https://world.huanqiu.com/article/41faKzHUmX6

IBM China Research Laboratory Closed

Well-known Chinese news site Sina (NASDQ: SINA) recently reported that IBM quietly closed its China Research Laboratory (CRL). The IBM CRL was the top one of the 12 IBM global research institutes and was the most influential. CRL was founded in 1995 and hatched numerous famous products like the leading artificial intelligence system Watson. This recent closure sent a shockwave throughout the Chinese technology communities, bringing an end to an era. The CRL was IBM’s first research center in developing countries, headquartered in Beijing. It created a branch in Shanghai in 2008. In the past quarter century, thousands of researchers have worked at IBM CRL. Most of them had doctors or master’s degrees from China’s or the world’s top universities. The CRL focused on research areas of networking, distributed computing and systems management, as well as next generation services. IBM CRL is just the latest exit of the large international high-tech firms. In 2015, Yahoo closed its Beijing Research Center. Amazon closed its centers in 2019, and Oracle closed its Chinese Research Center in the same year. The IBM CRL closure further confirmed the de-linking between China and the United States.

Source: Sina, January 24, 2021
https://finance.sina.com.cn/chanjing/gsnews/2021-01-24/doc-ikftpnny1265832.shtml