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Duowei News: Australian Parliament Passed New Laws Aimed at Preventing Foreign Interference

Duowei News quoted a news article that the BBC had published. On June 28, the Australian Parliament passed new laws aimed at preventing foreign interference in Australia. According to the BBC report, the laws were first passed in the Senate on the 28th. They target espionage, as well as foreign interference in politics and other domestic affairs. The laws specified that industrial espionage for a foreign country will be categorized as a criminal offense. They also require that lobbyists for foreign governments must register their identity. In December 2017, Malcolm Turnbull, Prime Minister of Australia, first announced his plan to introduce a new foreign espionage law while he criticized China for interfering in Australia’s politics. The Duowei article stated that, even though Turnbull denied that the new laws target China, the timing of the laws has intensified the foreign relations between the two. An ABC report suggested that the laws are the explanation for the development of the recent diplomatic conflict between Australia and China.

Sources:

1. Duowei News, June 28, 2018
http://news.dwnews.com/global/news/2018-06-28/60067420.html
2. BBC, June 28, 2018
https://www.bbc.com/news/world-australia-44624270

Taiwan CNA: Official Think Tank Report Warns of Possible Financial Panic in China

Taiwan Central News Agency reported that the National Institute for Finance Development, a senior think tank in China, recently published an internal report on China’s economy. The report was circulating on the Internet on June 24, and was carried by online websites, including Sohu. The report stated that China’s defaulting on bonds, tightening liquidity, and the fall in the exchange rates and stock markets have occurred one after another this year. Meanwhile the increase in the interest rate in the U.S. and the threat of a US-China trade conflict all suggest that the Chinese people are very likely to experience a financial panic very soon. The report concluded that, in the next several years, “preventing the occurrence and spread of financial panic” is the most important task for financial institutions to undertake. The report relied on the official May economic data which showed that the economy is getting weaker: industry added value came in below expectations, capital investment was the lowest since 2000, consumer spending continued to decline, and the increase in the total Retail Sales of Consumer Goods was only at 8.5 percent, the lowest since July 2003. The report also mentioned that the financial environment is alarming with a lack of growth in credit, tightened financing for companies, increases in credit defaults, and increased risks in the financial stock market. It further suggested that the Central Administration should come up with a crisis management plan to deal with the panic. All financial institutions and the Public Security Bureau should have plans so they do not repeat the same mistake when many institutions did not take action during the stock market turbulence in China in 2015 and the financial crisis in the U.S. in 2008. At the same time, the report recommended that China should take measures to minimize the impact of any foreign currency like the U.S. dollar. The report also indicated that financial panic is different from a financial crisis, but it will lead to a financial crisis if the investors feel lost and start to panic. According to the report, China must not ignore the fact that, in 2008, the financial crisis in the U.S. turned out to be a financial crisis globally.

Source: Central News Agency, June 27, 2018
http://www.cna.com.tw/news/acn/201806270203-1.aspx

CCP Membership Approaches 90 Million

According to the Chinese Communist Party’s (CCP) Organization Department, at the end of 2017, CCP membership reached 89.5 million, 117,000 more than the year before. The number of the Party’s grassroots organizations increased to 4.6 million, 53,000 higher than the year 2016.

It is said that the CCP has been exerting quantity control so that the annual growth rate of the membership fell by 1.5 percent. In 2017, about 2 million people became new CCP members. Among them, about 1 million or 50.8 percent are working “at the front line of production and work,” 860,000 or 43.4 percent hold a college degree or above, and 1.6 million or 81.4 percent are under 35 years old.

Among the existing 89.5 million CCP members, 43.3 million or 48.3 percent hold a college degree or above, 23.9 million or 26.7 percent are female, and 6.5 million or 7.3 percent are from ethnic minorities.

The grassroots CCP organizations continue to expand across every corner of the country. 99.7 percent of government organizations have CCP organizations installed in them and the proportion among non-governmental institutions is 95.2 percent. About 92.8 percent of the state-owned enterprises and 73.1 percent of the non-public enterprises are covered by CCP branches.

Source: Xinhua News Agency, June 30, 2018
http://www.xinhuanet.com/politics/2018-06/30/c_1123059502.htm

Chinese Scholar: China Should Reflect on Its Overall Strategic Direction

{Editor’s Note: The United Morning Post, a Singapore news media, published an article that Yu Zhi authored. Yu is a Professor of Economics at the, Shanghai University of Finance and Economics. Yu argued that the series of economic actions that the U.S. recently took against China are a result of China’s competing for the world’s leadership. Continue reading

CRN: Competition for Chinese and American AI Talent Intensifies

China Review News (CRN), a Beijing sponsored media based in Hong Kong, reported on how the world-wide competition for artificial intelligence (AI) experts has intensified. The areas involved include driverless cars, consumer data analysis, voice recognition, and facial recognition systems.

The “universal language” at the artificial intelligence conference held in New Orleans, Louisiana, in February of this year appeared to be Chinese. Chinese Internet companies such as the Alibaba Group and Tencent actively recruited talent.

According to the White Paper on Global Artificial Intelligence that Tencent’s research department published, companies around the world need about one million people who are experts in the area of artificial intelligence, but there are only 300,000 professionals who are actually active in this field. About 370 educational institutions around the world have the relevant research capabilities. Each year, they can produce around 20,000 experts. To fill such a serious talent gap, companies have gone abroad to search around the world for talent.

China and the United States are engaged in a fierce competition in the field of artificial intelligence. China’s state-issued plan for the “Next-Generation Artificial Intelligence Development Strategy,” released in 2017, pointed out that by 2020, the overall technology and application of artificial intelligence will be synchronized to the world’s advanced level. By 2030, the artificial intelligence theory, technology, and applications will reach the world’s leading level.

By 2025, the amount of data that the world generates will reach 10 times that of 2016. How to utilize this huge data will involve the work of how to get those who are talented in artificial intelligence and who have mastered high-level mathematics, statistics, and information processing knowledge.

Source: China Review News (CRN), June 26, 2018
http://hk.crntt.com/doc/1051/1/4/4/105114402.html?coluid=58&kindid=1212&docid=105114402

Hong Kong Oriental Daily News Commentary: Beijing Assisted Pyongyang to Resist Peaceful Transformation

On June 25, Hong Kong Oriental Daily News published a commentary report that was titled, “Beijing Assisted Pyongyang to Resist the Peaceful Transformation.” Below is a translation of the commentary.

Following the Trump-Kim summit in Singapore, Kim Jong Un made his third visit to China in less than 100 days. During his meeting with Kim Jong Un, Xi Jinping delivered the following three commitments: No matter how the international and regional situations change, the firm position of the Chinese government and the Party to engage in the development of China-DPRK relations will not change; the Chinese people’s friendship with the Korean people will not change; and China’s support for socialist North Korea will not change. Among the three “no change” commitments, the first two are relatively vague but the last one, “China’s support for socialist North Korea will not change,” carries more substance. It means that, on the issue of the reunification of South Korea and North Korea that may take place in the future, Beijing will be on the side of socialist North Korea. This is in response to the fact that, when the U.S. and South Korea have tried to denuclearize in the Korean Peninsula and achieve permanent peace on the Korean Peninsula, some people have always wanted to use force or “peaceful transformation” to get rid of the Pyongyang regime. The U.S. and South Korea have always wanted Pyongyang to repeat how West Germany reunited with East Germany.

This is the biggest concern for the Kim family. For more than 20 years, Pyongyang has been desperately trying to develop nuclear weapons with the purpose of just protecting the regime’s lifeblood. For this reason, they will not hesitate to fight a nuclear war. Now that Pyongyang has nuclear weapons, it uses its military power to protect its regime while warning Uncle Sam not to act irrationally. Going forward, Pyongyang should be particularly on guard against the “sugar cannonballs” that the U.S. and South Korea have launched when dealing with peace issues. In this regard, the former Soviet Union and the European Socialist camp suffered painful lessons. China, on the other hand, has had very rich political, economic, military, cultural, and diplomatic experiences and opposing methods. Therefore Kim Jong-un should seriously learn and consult with China.

As for Beijing, it ought to understand Kim Jong-un’s concerns fully and should try to dispel his worries. Only in this way can Pyongyang “put aside burdens and move forward with lightness.” Then it can deal with the U.S., Japan, and South Korea to denuclearize the Korean Peninsula and secure a peaceful environment for a long time to come.

This kind of situation is in line with China’s strategic interests and will help China win more time and space for peaceful development before it can come back to counter the U.S..

Source: Oriental Daily News, June 25, 2018
http://hk.on.cc/hk/bkn/cnt/commentary/20180625/bkn-20180625000424038-0625_00832_001_cn.html

China to Speed up “Sharp Eyes Surveillance Project” in Rural Regions

RFA reported that, on June 21, the Central Political and Legal Affairs Commission held a national video conference on the “Sharp Eyes Surveillance Project.” The Commission made it clear that the goal was to have the Sharp Eyes Surveillance Project completed in rural regions by 2020 in order to achieve “full coverage, network sharing, real time availability, and full control.” Similar to the Skynet Project, which is a surveillance system covering the urban region, the Sharp Eyes Surveillance Project is the version for the rural region. Developed by Guangdong AEBELL Technology Group, the Sharp Eyes Project has the capability of monitoring activities of individuals living in rural areas with its control centers stationed in nearby villages, towns and counties. It uses an application installed on television sets or mobile phones and can mobilize the general public to watch the surveillance recordings to ensure full security coverage. In February 2008, the Sharp Eyes Surveillance Project was first incorporated into the top document that the Central Committee of the Party issued. Since then, it has been highly valued at the top level. According to an article that Legal Daily published in February, in Pingyi County in Lin Yi city of Shandong Province where the Sharp Eyes project was first launched, by the end of February, 360,000 surveillance cameras had been installed. In Shandong Province, 2.93 million surveillance cameras and 2,491 surveillance centers have been set up across the entire province. In Sichuan Province, by the end of December 2017, the Sharp Eyes Surveillance Project was completed in 14,087 villages with 41,695 cameras installed.

Source: Radio Free Asia, June 22, 2018
https://www.rfa.org/mandarin/yataibaodao/shehui/wy-06222018105535.html

Xi Jinping Sets New Direction for Foreign Diplomatic Work

Xinhua reported that the Central Foreign Affairs Working Conference was held in Beijing on June 22 and 23. It established the guiding position of “Xi Jinping’s diplomatic thoughts on Socialism with Chinese Characteristics in a New Era,” which provided a new direction for diplomatic work. During his speech, Xi summarized China’s achievements in foreign diplomatic relations over the past five years and proposed ten diplomatic thoughts. They included “safeguarding the authority of the Central Administration and strengthening the Party’s uniform leadership in diplomatic work” and “China should actively participate in leading the reform of the global governance system and create a more comprehensive global partnership network.” According to Xinhua, the participants included seven members of the Party Standing Committee, Vice Chairmen Wang Qishan, the members of the entire Politburo, the Secretariat of the party, and the highest ranking leaders of the following: the National People’s Congress, the State Councilor, the Central Publicity Department, the Central Foreign Liaison Department, the Ministry of Foreign Affairs, and the National Development Committee, the leaders of the reform commission, the Ministry of Commerce, and the Joint Chiefs of the Central Military Commission.

The Duowei News article quoted reports from The Nikkei, a Japanese newspaper, which reported that the participants at the conference were not allowed to take notes and the discussions were not fully disclosed. According to Nikkei, Xi told the participants that “we shouldn’t feel lost in the chaotic international climate” and that “China needs to understand our position and role in the changing world and scientifically set foreign policy guidelines.”

An Epoch Times report commented that the conference was held just as the U.S. is changing its China policy, a possible Trade War will take place between China and the U.S. and the Western world has started to guard against China’s infiltration. It is unusual for Beijing to hold such a high level conference on Foreign Diplomacy work. The intent of this meeting was to set the direction for foreign diplomatic work, which must be consistent with the Central Administration and ensure a unified coordination of action among the different departments.

Source:
1. Xinhua, June 24, 2018
http://www.xinhuanet.com/politics/2018-06/24/c_1123026158.htm
2. Duowei, June 25, 2018
http://news.dwnews.com/global/news/2018-06-25/60066517.html
3. Epoch Times, June 24, 2018
http://www.epochtimes.com/gb/18/6/24/n10509002.htm