Chinascope – Page 610

Caixin: April Manufacturing PMI Showed Further Slowdown

Well-known Chinese financial site Caixin recently released its official Chinese Manufacturing PMI index number for April, which at 49.4 is lower than March (49.7). Caixin PMI was formerly known as HSBC PMI, which was a well-respected economic indicator monitored globally by financial institutions. All sub-indexes of April manufacturing PMI declined. The index showed that operating conditions across China’s manufacturing sector continued to deteriorate in April, albeit marginally. Total new orders stagnated and new export work fell for the fifth month in a row. Weak market conditions and muted client demand contributed to a further solid decline in employee headcount. Manufacturing product prices indicated that inflationary pressures intensified across the sector in April, with material costs rising at the quickest pace since January 2013, which in turn underpinned the quickest rise in sales charges since October 2011. PMI (Purchasing Managers Index) is an indicator of financial activity reflecting purchasing managers’ acquisition of goods and services. A PMI number below 50 typically reflects a decline.

Source: Caixin, May 3, 2016

http://pmi.caixin.com/2016-05-03/100938959.html

Briefings | | May 10, 2016 | Economy/Resources

Central Military Commission Launched Trial Sites to Cease PLA and Armed Forces’ Paid Services

Guangming Daily reported that, on May 7, a conference was held in Beijing to carry out the directives to cease the PLA and the Armed Forces’ paid service work. Xi Jinping and the Central Military Commission had initially initiated the work at the end of March. The conference listed 17 paid service groups for the first round of trial units. The list included vacant land leasing agencies, military hospitals, news publishers, and hotels. The goal is to use these trial sites to gain the experience to come up with policies which can be used to close all paid service work.

According to the article, the Central Military Commission published a notice at the end of March which requires all PLA and Armed Forces to cease all paid service contract work. The notice stated that, effective immediately, no new projects will be launched, no existing projects will be renewed, and any projects that can be stopped through negotiation must end. The notice also included rules and guidelines to implement these directions. It said that the Commission plans to spend the next three years implementing the plan.

Source: Guangming Daily, May 8, 2016
http://politics.gmw.cn/2016-05/08/content_19996662.htm

Briefings | | May 9, 2016 | Defense/Military

China to Further Control Land Use for Urbanization

On May 9, 2016, officials from the Ministry of Land and Resources explanained its thirteenth five-year plan, which was recently released. The plan covered the period from 2016 to 2020.

Although the second national land survey showed that farmland has increased overall, some areas may not be used for farming and will be degraded into forests. Other problems include a serious shortage of reserve resources and mounting pressure on farmland due to disasters and construction. China must ensure it has no less than 18.65 million mu of arable land for steady farming.

In regulating land use, consistent with the capacity reduction requirement, the supply of land for the production of iron and steel, coal and other industries with excess capacity and "zombie companies" will be strictly controlled. Policies will be developed to encourage and support exit, conversion, and mergers and acquisitions.

For cities with a higher real estate inventory, the supply of land for housing will be reduced and ultimately eliminated. Where any construction has not yet started, the use of the land will be allowed to change to the construction of resettlement housing and apartments for rent.

Source: People’s Daily, May 9, 2016

http://politics.people.com.cn/n1/2016/0508/c1001-28332853.html

Briefings | | May 9, 2016 | Economy/Resources

Guangming Daily: China to Regulate Personal Information Collection and Safety Management

Guangming Daily carried an article that pointed out that the personal information safety violations of Chinese online users are very serious. The China National Information Technology Standardization Committee recently held a conference in which it disclosed that the committee plans to issue guidelines to standardize the personal information collection process. In particular, proper guidelines will be provided for businesses to collect customer information as well as for information management. According to a 2015 Investigation of Online Users Personal Information Safety Report, 63.4 percent of the telephone communication and online purchase information as well as 78.2 percent of the personal identification information including name, home address, personal ID number and employer information of the online users has previously been leaked.

Source: Guangming Daily, May 8, 2016

http://politics.gmw.cn/2016-05/08/content_19996534.htm

Briefings | | May 9, 2016 | Information/Technology

Xi Jinping: Anti-Corruption Campaign Improves China’s Image

On May 3, 2016, People’s Daily published the full text of the speech Xi Jinping’s gave on January 12, 2016, at the Sixth Plenary Session of the CCP Central Discipline Inspection Commission. The speech was 12, 000 Chinese characters in length. During the speech, Xi discussed how the anti-corruption campaign has helped China’s relationship with other countries.

“Because we firmly oppose corruption, we have taken over the international moral high ground. In the past, the United States and other Western countries always created difficulties for us on the anti-corruption issue and constantly raised the so-called anti-corruption issues at the United Nations, the Group of Twenty, APEC, and on other occasions. Now, in one swoop, we have obtained strategic advantages in the international arena. We have strengthened international multilateral and bilateral cooperation against corruption. We have started the ‘heaven’s vengeance action’ to intensify the efforts to track down stolen goods and to bring to justice criminals who fled the country years ago. We have offered a series of initiatives on international cooperation to counter corruption including the initiative to build a new international anti-corruption order. In particular, we have increased pressure on the United States and other Western countries in terms of anti-corruption cooperation, asking them not to become a ‘safe paradise’ where corrupt elements can evade being held accountable. Criminal suspects that these countries initially think are cards in their hands to play against us have now become hot potatoes in their hands. Various countries admire our resolve to show our swords against corruption. Our anti-corruption actions have won the respect of the international community.”

“In 2015, a National Bureau of Statistics survey showed that 91.5 percent of the people expressed satisfaction with the effectiveness of the clean government and anti-corruption work. A Chinese Academy of Social Sciences survey showed that 93.7 percent of the leading cadres, 92.8 percent of ordinary cadres, 87.9 percent of corporate officers, and 86.9 percent of urban and rural residents in China expressed confidence in the anti-corruption campaign.”

Source: People’s Daily, May 3, 2016

http://paper.people.com.cn/rmrb/html/2016-05/03/nw.D110000renmrb_20160503_1-02.htm

Briefings | | May 6, 2016 | Government/Politics

People’s Daily: China Needs to Develop Strategic Bombers

Recently, People’s Daily reported on the fact that the Chinese Air Force has officially started to develop strategic bombers. The article reported that, in an interview on CCTV’s “Today’s Focus” program, military expert Li Li expressed that it is essential for China to develop a new generation of strategic bombers.

The report mentioned that China’s current long-range bomber model is relatively simple. Compared to the U.S. and to Russia’s strategic bombers, there is a gap in the overall performance. The bomber-6K has not reached the level of the U.S. and Russian strategic bombers B-52 or the Tu-95’s range and payload capacity. Experts believe that the Chinese army urgently needs long-range, large payload, strong damage effect bombers in order for China to get to a new level in strategic air offensive capability.

Li Li said that if China’s Air Force positions itself as a strategic Air Force, then bomber development must be considered. There are two signs that a strategic air force must meet: One is that it has large transport aircraft, mainly long-range strategic transport aircraft. The second is that it has high-end strategic bombers.

Li Li said that China’s current H-6 bomber that is in service has some potential for improvement, but it is difficult for it to meet the standard for next-generation bombers. Looking into the future global competition landscape, it is now necessary for China to start a new generation strategic bomber development program.

Source: People’s Daily, May 4, 2016

http://military.people.com.cn/n1/2016/0504/c1011-28323869.html

Briefings | | May 6, 2016 | Defense/Military

Xinhua Commentary Series: Spotlight on the U.S. Presidential Election

Wu Guoguang: Xi Jinping’s Reversal of the Course, Will China’s Transition be Peaceful or Marked with Bloodshed?

Cheng Xiaonong: U.S.-China Strategic Relations Have Crystallized

Xinhua Commentaries: “Exposing the Three Major Political Deficits of the U.S.”