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People’s Daily: The Overall Framework of the China-U.S. Relationship Remains

People’s Daily published a commentary after Donald Trump won the U.S. Presidential Election. The commentary started with the observation that the load on Trump’s shoulder is “not light,” especially when the U.S. and the world are undertaking “profound changes.” The author brought up and examined Trump’s “most concrete plan thus far,” which is the plan he outlined in his Gettysburg speech. However, the article pointed out that the new U.S. administration will still have to face challenges such as income gaps, a lack of social fairness, racial conflicts, and illegal immigration – just like before. The commentary expressed the belief that the overall relationship between China and the United States won’t change significantly, since it is in both sides’ “tangible interest” to maintain a “healthy relationship” between the world’s two largest economies. The author felt comfortable saying that there is already an “effective” framework for the two countries to work with each other and there is no reason to believe this “mature” model needs a major change.

Source: People’s Daily, November 10, 2016
http://world.people.com.cn/n1/2016/1110/c1002-28849007.html

People’s Daily: Will the United States Be Tougher on China?

Following the U.S. presidential election, People’s Daily interviewed several Chinese experts to discuss the prospect of China-U.S. relations under the Trump administration. Below is an excerpt from the report:

Yuan Zheng, director of the Foreign Affairs Department of the U.S. Institute at the Chinese Academy of Social Sciences, said, “This election exposed the United States’ anti-globalization and protectionist tendencies and made trade a more likely area of friction between China and the U.S.” “The new president may make tough gestures in some areas of trade, such as requiring China to abide by international rules and resorting more to WTO arbitrations.”

Liu Xuesheng, executive vice president of the Center for China-U.S. Relations at the China Institute of International Studies said, “Of course, this does not mean that the U.S. policy toward China will be ‘overly aggressive.'” “Trump is a businessman. He will deal with foreign affairs with the mentality and philosophy of a businessman, as he repeatedly said as the campaign progressed. He believes that the United States has been in a position of disadvantage in the process of dealing with China, so there will be a series of negotiation mechanisms between China and the U.S.”

“Trump may have his own powerful personal style, but the main theme of China-U.S. relations will not be easy to change.”

Yuan Zheng said, “Trade is more prone to friction, but it is also easy to control.” “There is more than US$500 billion in trade between China and the United States each year. Such economic relations not only benefit the two sides; they are also good for the global economy. Using the words of many U.S. experts, since 2008, the two sides have not had much of a choice: only cooperation to ensure a ‘win-win situation.’”

Yuan Zheng continued, “The U.S. policy toward China depends on China’s position in the international system and the U.S.’s reliance on China.” “After all, if China is becoming more influential, then the United States will need to be cautious about what it wants [from China].”

Source: People’s Daily, November 10, 2016
http://world.people.com.cn/n1/2016/1110/c1002-28849010.html

BBC Chinese: Over 40 International Trade Groups Wrote a Letter Objecting to China’s New Internet Security Law

BBC Chinese recently reported that more than 40 international trade associations and groups wrote a letter to the Chinese authority objecting to China’s newly passed Internet Security Act, which will take effect next June 1. These groups represent hundreds of global companies and technology organizations. The new Internet law prohibits anyone from posting content on China’s Internet that may “undermine national unity, disrupt the economic order or attempt to overthrow the socialist system.” The law also requires “key information infrastructure” service providers to store personal information and critical business data inside China. The providers are mandated to provide “technical support” to national security agencies and to pass national security reviews. The letter indicated that the new law will increase the cost of services and will damage the international companies’ partnership with China. Chinese officials said the law “won’t interfere with foreign commercial interests.” The letter, however, has the signatures of representatives of many key organizations, such as the Information Technology Industry Association, The Internet Society, the American Chamber of Commerce, the Australian Industry Group, and Business Europe.

Source: BBC Chinese, November 11, 2016
http://www.bbc.com/zhongwen/simp/world/2016/11/161111_china_cyber_law_reactions

VOA Chinese: Xi Congratulates Trump on Becoming U.S. President-elect

The Chinese edition of Voice of America (VOA) reported on Wednesday morning that Chinese President Xi Jinping congratulated Donald Trump on becoming the U.S. President-elect.

Xi said in his congratulatory message that China, the world’s largest developing country, and the U.S., the largest developed country, as the world’s top two economies, bear the special responsibility of maintaining world peace and stability, boosting global development and prosperity, and sharing extensive interests, .

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China Prohibits Live Broadcasting of U.S. Presidential Election

China Digital Times reported that China’s State Administration of Radio, Film and Television (SARFT) issued telephone instructions regarding the reports on the U.S. presidential election. The instruction included the following:

1. The Beijing and Guangdong Internet Information Offices have stopped Tencent, Sohu, and NetEase from any live broadcasting of [the U.S. presidential election]. [SARFT] seriously criticized their live broadcasting and announced that it would issue punishment as appropriate.

2. They must follow the instructions to disable live streaming or information synchronization.

3. If someone finds any other site broadcasting [the election live], he should report it to SARFT immediately. SARFT will resolutely crack down.

Source: China Digital Times, November 9, 2016
https:// chinadigitaltimes.net/chinese/2016/11/【真理部】关于美国大选报道/

Wei Jianing: China’s Economic Statistics Have Significant Holes

Wei Jianing, the well-known economist and the Macroeconomic Inspector for the State Council Development Research Center, recently delivered an important speech at the Chinese Finance 40 Forum. Wei mentioned two key challenges that he observed when analyzing the economy. The first was the difficulty in obtaining accurate and correct information. A large number of local statistics have resulted from “discussions” among local Party and government leaders and the local Bureau of Statistics. Their reports to the central government then “matched” the discussed numbers thereby looking official. Wei called for reform to establish an independent system of statistics. The second challenge mentioned in the speech was the transparency of decision making – at least for the currency policies. Currently it is very difficult to find out who is making policy decisions. Wei called for an independent central bank, at least for documenting the decisions and the names of the decision makers. He recommended that the official records be released to the public periodically. The United States Federal Reserve releases these records every five years.

Source: Sohu, November 1, 2016
http://business.sohu.com/20161101/n472057932.shtml

The Korean Economy Is in Critical Condition

Well-known Chinese news site Sina recently reported that, coupled with President Park Geun-hye’s scandal crisis, Korea’s key supporting industries are suffering a landslide that has put the Korean economy into a deeply troublesome condition. Korea’s shipbuilding industry is critical to the lifeline of the economy, yet, since June, the three major shipbuilders have added a headcount of 25,000 to the nation’s unemployment total. So far the shipbuilding industry has suffered a 13 percent decline year-over-year. Another major collapse was in the electronics industry, brought on by the explosions of the Samsung Galaxy Note 7 cellphones. Samsung alone provides 20 percent of Korea’s GDP and tax income. Korea’s electronic industry has a 20 percent share of the nation’s total exports. Some experts have expressed the belief that Korea’s GDP growth will drop to 2.2 percent, which is close to the low point of the 1998 Asian Financial Crisis.

Source: Sina, November 2, 2016
http://finance.sina.com.cn/stock/usstock/c/2016-11-02/doc-ifxxneua3926096.shtml

Xi Jinping: The People May Overturn the Government If the Taiwan Independence Issue Is Not Handled

United Daily News (UDN), one of the primary Taiwanese news groups, recently reported that Chinese President Xi Jinping delivered several unscripted messages during the summit with the visiting Taiwanese Kuomintang (KMT) Chairman Hung Shiu-chu in Beijing. When Xi expressed his determination to counter the idea of an independent Taiwan, he advised that “the Chinese people would overturn the government” if the Communist Party did not handle this independence issue. Xi mentioned that both the Mainland and Taiwan share the same traditional Chinese culture and he had high confidence in this shared cultural background. He also said China is very proud of its economic growth in the recent decades and is willing to share the fruits of this growth with Taiwan. Xi mentioned the goal of eliminating poverty in the Mainland by 2020 and that the improvements in the people’s living conditions should be at the “Nobel Prize winning level.”

Source: United Daily News, November 2, 2016
http://udn.com/news/story/10482/2062897