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

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

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

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The CCP’s Performing Arts Troupes in the U.S.

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China Urges North Korea to Return to the Negotiating Table

Xinhua recently published an article in which it made an express commentary on North Korea’s test of the hydrogen bomb, stating that Beijing authorities strongly oppose the North Korean test. The article commented, “The North Korean bomb test runs counter to the goal of denuclearization.”   

The commentary further stated, “[N]o one will benefit from chaos in the peninsula. Any thoughts or actions that disrupt the peace and stability of northeast Asia are neither appropriate nor wise.” It urged that “interested parties should abandon this confrontation mentality and return to resolving the dispute through dialogue.” 
Caixin, which is pro-Xi Jinping, expressed in its commentary that “[T]he six-party talks to resolve the nuclear issue continue to be shelved. North Korea’s nuclear test is reckless. Condemnation and sanctions are not good medicine for the North Korean nuclear issue. When will North Korea stop this practice of never listening to others?” 

Sources: 
Xinhua, January 6, 2016 
http://news.xinhuanet.com/world/2016-01/06/c_1117686698.htm 
Caixin.com, January 6, 2016 
http://international.caixin.com/2016-01-06/100896794.html

Briefings | | |   Geo-Strategic Trend

Personnel in the Largest State-owned Enterprises under Corruption Probe

On January 4, 2016, the website of the Commission for Discipline Inspection (CDI), the Chinese Communist Party branch in charge of the ongoing anti-corruption sweep, released a summary of its probes into the largest state-owned enterprise (SOE’s), the top 100 some SOE’s directly under the Central Government.
The Chairman of the Board, the General Manger (CEO), or the top Chinese Communist Party official of SOE’s directly under the Central Government, who are usually referred to as chiefs, are ministerial or deputy ministerial positions directly appointed by the State Council.
According to the article, in the past two years, CDI has covered 55 SOE’s directly under the Central Government, removing 64 personnel from their leadership positions at various levels for corruption investigation. Most of the problems came from the energy, communications, and machinery manufacturing sectors. Among the sacked officials, 36 or 56 percent are the chiefs – top executives or political leaders.
In 2015, six of the nine personnel under investigation were from PetroChina, CNOOC, Sinopec, Wuhan Iron and Steel Co, and China Telecom. Most of these companies are listed on the U.S. stock market.
Source: Commission for Discipline Inspection, Central Committee of Chinese Communist Party, January 4, 2016
http://www.ccdi.gov.cn/xwtt/201512/t20151231_71867.html
Briefings | | |   Government/Politics

The U.S. Warned EU Not to Grant China Market Economy Status

Well-known Chinese news site Sina recently reported that the government of the United States warned the European Union not to grant Market Economy Status to China. The U.S. cautioned that conferring this Status could damage the effort to prevent China from dumping underpriced goods into the EU and the U.S. markets. Obtaining the Market Economy Status via the World Trade Organization (WTO) is one of China’s core strategic goals. In addition to other ways in which the Chinese side would benefit, it would be much harder for the EU and the U.S. to collect high tariffs on Chinese goods. Among EU members, Germany and Britain are supporters of granting China this Status. However, the majority of the rest of the EU countries, headed by Italy, are strongly against the idea. More and more labor unions and traditional industries such as Iron & steel, ceramics, and textiles support these countries. China argued that China should automatically be granted the Status based on its WTO sign-on agreement. However, many lawyers have observed that the government exercises significant control of the Chinese economy. The EU seems to be leaning towards granting the Status but no final decision has been made.
Source: Sina, December 28, 2105
http://finance.sina.com/gb/economy/sinacn/20151228/08011392247.html
Briefings | | |   Economy/Resources

China Launched Satellite with Highest Resolution

Well-known Chinese news site Sina recently reported that China just successfully launched its first high resolution remote sensing satellite named “High-Res 4.” It is currently the geosynchronous orbit satellite with the world’s highest resolution, which covers one third of the surface of the earth. The mission of the satellite is to supply data for applications supporting work in areas of atmosphere, oceans, land, environmental protection, agriculture and forestry. China also plans to provide services to regions and countries covered under the “One Belt, One Road” strategy. The High-Res 4 weighs five tons and has an expected life-span of eight years. It is located over the equator. The satellite is equipped with a camera that has 50-meter resolution for the visible spectrum and 400-meter MWIR spectral resolution. The launch of the High-Res 4 was China’s latest and the 19th satellite launch mission in 2015. All of the 2015 launches were successful. 
Source: Sina, December 29, 2015
http://dailynews.sina.com/bg/news/int/sinchewdaily/20151229/01397105290.html
Briefings | | |   Information/Technology

People’s Daily: Grass-Root Communist Party Branches are Showing Weakness

People’s Daily recently reported that, when the newspaper’s reporters visited village-level Communist Party branches, many demonstrated shocking weakness and laxity. One example was that a village-level Party leader was delighted to have “earned” the title of “Weak and Lax Village Party Branch,” which entitled that branch to some funding to refresh its office hardware. The report suggested that this type of grass-root Party branches would only shake the base for the legitimacy on which the Communist Party remains in power. It also implied that the “Chinese people” are “losing confidence” in the ruling Party. The author of the report called for disciplinary action against the “weak and lax” party branches and members and also called for a stop to the practice of throwing money at those branch leaders without requiring that they correct their way of thinking. 
Source: People’s Daily, December 28, 2015
http://fanfu.people.com.cn/n1/2015/1228/c64371-27984203.html
Briefings | | |   Government/Politics

DW Chinese: Microsoft Will Notify Email Victims of Government-Linked Hacking

The Chinese edition of Deutsche Welle, Germany’s international broadcaster, reported that Microsoft announced, on December 30, 2015, that it will start notifying users when there is sufficient evidence that government-linked hackers have targeted their email accounts. Microsoft had failed to do so previously when Chinese authorities allegedly compromised over 1,000 Hotmail accounts. 

Microsoft’s announcement came after Reuters put in a series of inquiries to Microsoft asking why it had not previously taken the initiative to alert its email users. 
Frank Shaw, the Microsoft spokesperson, maintained that Microsoft could not be certain about the source of the breaches. According to two former Microsoft employees, who would not reveal their names, the hacking by elements linked to Chinese authorities started in July 2009 and lasted over three years. The targets included the emails of high-ranking Uighur and Tibetan leaders in multiple countries, Japanese and African diplomats, human rights lawyers, and others in sensitive positions inside China. 
Lu Keng, the spokesperson for China’s Foreign Affairs Ministry, stated, at China’s December 31 routine press conference, that such rumors were groundless and that channels exist for relevant parties with concrete evidence to communicate constructively with the Chinese side using mutually beneficial cooperation. 
Source: Deutsche Welle Chinese, January 1, 2016. 
http://www.dw.com/zh/ 国黑客入侵海外电邮-北京否认/a-18954083
Briefings | | |   US-China Relations

VOA Chinese: Global Magnitsky Act Holds Rights Abusers Accountable

On December 17, 2015, the U.S. Senate passed the Global Magnitsky Human Rights Accountability Act. The Act directs the U.S. president to sanction human rights abusers in foreign countries, including banning their entrance to the United States and freezing any of their assets that are held in American financial institutions or on American soil. 

VOA interviewed two guest speakers for a satellite TV program, who Joined VOA in discussiong the Global Magnitsky Act’s implications and its potential effect on China’s human rights situation. They were Zhou Fengsuo, former 1989 Tiananmen student leader and founder of Humanitarian China and Cao Yaxue, co-founder of chinachange.org, a website devoted to news and commentary related to civil society, the rule of law, and human rights activities in China. 
Ms. Cao explained that the Global Magnitsky Act is a worldwide extension of the 2012 Sergei Magnitsky Rule of Law Accountability Act, inspired by the death of Sergei Magnitsky, a Russian tax lawyer who represented American businessman Bill Browder’s firm, [Heritage Capital Management, a firm which often supplied the media with information on corporate and government corruption] in Russia. Magnitsky blew the whistle on the largest known tax fraud in Russian history. He was arrested, tortured, and denied access to medical care until he died in 2009.
The VOA host raised the question whether the Act, if it passes the House and is signed into law, would apply to top officials like Jiang Zemin, who faces lawsuits in several countries. Ms. Cao replied that she had raised the same question to Bill Browder, who had pushed for the passage of the Act. Browder’s answer was that the Act would apply to human rights abusers as high as the deputy minister level. She gave specific names of Chinese officials who were at that level or below who had been involved in torturing prominent human rights activists such as attorney Gao Zhisheng. 
Mr. Zhou revealed that a Chinese version of the act could be in the offing, while this global act already sends a warning to Chinese rights abusers, many of whom have families in the United States.
Source: Deutsche Welle Chinese, January 1, 2016. 
http://www.dw.com/zh/ 国黑客入侵海外电邮-北京否认/a-18954083
Briefings | | |   US-China Relations

Xi Jinping Speaks on Party Corruption and Discipline

Xinhua reported that the Communist Party Politburo held a special meeting on December 28 and 29, 2015. The discussion at the meeting centered on the “profound lessons [to be learned] from the abuse of power cases of former senior Party officials Zhou Yongkang, Bo Xilai, Xu Caihou, Guo Boxiong, Ling Jihua and others.” Those who attended participated in “criticism and self-criticism” that centered on the Party’s disciplinary regulations and policies. The participants were asked to watch their families closely. 

Xi Jinping presided over the meeting and delivered a speech. Xi urged adherence to the "three stricts and three earnests." The phrase referred to being strict about morals, power, and discipline, as well as being earnest about decisions, business, and behavior. 
The meeting emphasized that what Zhou, Bo, Xu, Guo, and Ling did illustrates that the seniority of a Party official does not necessarily mean the Party official has a high Party spirit. In fact, without constant self-improvement, the official may totally lose his Party spirit. Xi emphasized that, “By conducting investigations and severe disciplinary actions against them, [we] are being responsible to the Party, to our country, and to the people, as well as to history.” 
 Source: Xinhua, December 29, 2015 
http://news.xinhuanet.com/politics/2015-12/29/c_1117617951.htm

Briefings | | |   Government/Politics