Chinascope – Page 748

Provisional Regulations on Real Estate Registration Released

The well-known Chinese news site Sina recently published a series of reports on the newly released Provisional Regulations on Real Estate Registration. The State Council Legislative Affairs Office is currently seeking public comments on the Provisional Regulations, which created a massive social discussion across China. Experts expressed the belief that the new Regulations will have four significant consequences. First, they will set the stage for a new property tax. Second, they will empower anti-corruption operations. Third, they will trigger a significant housing price drop as government officials engage in panic-selling. Fourth, they will result in an insistence on better government financial transparency. Most of the nationwide discussions have focused on the possibility of immediate panic-selling in the second-hand real-estate market. However the new Regulations in their current form only allow the government and real-estate owners (and “stakeholders”) to search the Registration database and the search results cannot be revealed to the public.

Source: Sina, August 15, 2014

http://finance.sina.com.cn/focus/bdcdj/

Briefings | | August 19, 2014 | Government/Politics

Central Bank: Significant Issues Related to July’s Loans and Nonperforming Loans

People’s Daily recently reported on some key financial data newly released by China’s central bank. In the month of July, RMB loans totaled 385.2 billion yuan (around US$62.7 billion), which represents a year-over-year decline of 45 percent, or month-over-month decline of 64 percent. This was the lowest level of RMB loans since 2010. Experts cited the lack of demand as the key cause of the sharp decline in loans. In the meantime, the balance of the nonperforming loans in all commercial banks reached RMB 694.4 billion yuan (around US$113 billion), which accounted for an increase of RMB 102.4 billion yuan (around US$16.7 billion) since the beginning of the year. This number has been on the rise for the past eleven consecutive quarters. Most of the nonperforming loans were seen in the eastern coastal region. Such industries as wholesaling, retailing, manufacturing, and credit cards suffered most.

Source: People’s Daily, August 13, 2014

http://finance.people.com.cn/money/n/2014/0813/c218900-25460474.html

Briefings | | August 19, 2014 | Economy/Resources

World Gold Council: Second Quarter Gold Consumption in China Down 52 Percent

People’s Daily recently published an article on gold consumption. The World Gold Council released its gold consumption and demand report, indicating that gold consumption in China, including gold jewelry, gold bars, and coins, for the second quarter of 2014 was 192.5 tons. This represented a 52 percent decrease from the same period in 2013. Second quarter gold jewelry consumption was 144 tons, down 45 percent from the same period in 2013. The Council adjusted the second half of the gold demand in China downward by 10 percent. The article reported that in 2013, international gold prices had dropped 28 percent, the largest drop since 1981. China’s gold consumption soared in 2013. The article said that China had surpassed India and become the largest gold consumption country in the world.

Source: People’s Daily, August 15, 2014
http://finance.people.com.cn/money/n/2014/0815/c218900-25470245.html

Briefings | | August 18, 2014 | Economy/Resources

Guangming Daily: The General Public Is Losing Trust in the Current System

Guangming Daily published an article written by a scholar from the Chinese Academy of Social Sciences. The article stated that the general public is losing trust in the current system and many people may resort to political action or violence when there is conflict. This is having a serious impact on the stability of today’s society. According to the article, some Party officials have become detached and have stepped over to the opposite side of the people; they seek political gain, while depriving the people of the right to speak up and defend their own interests. The article concluded that in order for the government to operate in a healthy manner, it should make a priority of regaining the people’s trust. The article also quoted a survey result which showed that over 40 percent of the public does not trust the work that local governments perform. The top three areas with which people are most dissatisfied include clean government and the anti-corruption effort; the subsidized housing policy for middle to low income groups, and the transparency of government information and work.

Source: Guangming Daily, August 15, 2014
http://theory.gmw.cn/2014-08/15/content_12557030.htm

Briefings | | August 18, 2014 | Government/Politics

Beijing Times: Many Positions for Deputy Provincial Level Officials Yet to Be Filled

China News Service carried an article that Beijing Times had originally published. According to the article, since the 18th National Congress was held in November 2012, over 40 deputy provincial level officials were removed from their posts due to corruption charges. Even though 17 of those positions have since been filled, many still remain vacant. The article said that media reports with announcements about the candidates who filled the positions are also lacking. A scholar told Beijing Times that the central administration is extremely cautious when selecting candidates. The article also suggested that the fact that these positions have not been filled does not appear to have had a major impact on the daily workload as the officials at the next level have picked up some of the work. The article said that the Central Administration would rather leave the positions empty than fill them with someone who is not appropriate. It can thus minimize any additional negative consequences.

Source: China News Service, August 18, 2014
http://www.chinanews.com/gn/2014/08-18/6500839.shtml

Briefings | | August 18, 2014 | Government/Politics

Record Drought Worsens in Northeast China

Xinhua reported that, this year, the major grain producing areas in Liaoning Province and Jilin Province in northeast China have suffered the rarest drought in over half a century. Crops have withered away and rivers have dried up. Even drinking water is in short supply.

On August 14, Vice Minister of Agriculture Yu Xinrong said that since August, the amount of precipitation in northeast China has significantly declined. In some areas the reduction is as much as 79 percent compared to last year. In Inner Mongolia, Jilin and Liaoning provinces, more than 34 million mu have been hit by drought, with more than 15 million suffering from severe drought. “The drought situation is very grim,” Yu said.

Based on meteorological records, since July, Liaoning Province’s rainfall has been the lowest since 1951. Also starting in July, the drought-hit area has been growing by about 1 million mu per day.

In Jilin Province, the average rainfall since late July has been 65 percent lower than the same period last year, the second driest in history. The drought-hit area is growing rapidly. In some heavily hit drought areas, the relative humidity in the soil is below 40 percent. Even in non-drought areas, it is declining daily by one to two percentage points.

Precipitation in some areas of the Inner Mongolia Region has also hit the lowest on record since the same period in 1961.

Source: Xinhua, August 14, 2014

http://news.xinhuanet.com/local/2014-08/14/c_1112083359.htm

Briefings | | August 15, 2014 | Economy/Resources

Military Expert: Stationing American Troops in Australia Is More Symbolic than to Contain China

In an interview with China News Agency reporter, Zhang Junshe, a senior investigator at the People’s Liberation Army Naval Military Studies Research Institute, discussed the United States and Australia signing of a 25-year agreement to increase military presence in Australia. Zhang pointed out that the agreement is, in fact, part of the U.S. Pacific rebalancing strategy. Zhang said, "The United States believes that, in recent years, Australia has been developing stronger economic ties with China and Sino-Australian trade development has been growing more rapidly. Americans are worried that the close Sino-Australia relationship will undermine its strategy to contain China. The United States wants to contain China in the Asia-Pacific region and to maintain its hegemonic position. Since America’s economic and military strength has declined, maintaining its relationship with Australia is particularly necessary."

Zhang suggested that Darwin Harbor may become another American "super base" in the Asia-Pacific region. The real significance of Americans working on the base in Darwin is that, once something happens in the South China Sea, American military ships, submarines, and aircraft will be able to be stationed, in large quantities, at different bases in Australia. This is where [we] really need to be vigilant.

Zhang stressed that the U.S. military in Australia is more about its symbolic significance. Signing the agreement is also to display the further strengthening of the U.S.-Australian military defense strategy.

Source: China News Agency, August 14, 2014

http://www.chinanews.com/mil/2014/08-14/6490537.shtml

http://military.people.com.cn/n/2014/0814/c1011-25461886.html

Briefings | | August 15, 2014 | US-China Relations

More Corrupt Officials Fall and They Fall Fast

On August 13, 2014, the Central Commission for Discipline Inspection of the Communist Party, in an unprecedented move, published a total of 10 announcements at its website, each about a high-ranking corrupt official that was disciplined. The first two announcements were posted at 09:44 am Beijing Time on August 13 on its official website. They stated that two Hubei Province officials were removed from their posts due to “serious disciplinary violations” and were being handled according to the law. One minute later at 09:45, a similar announcement was posted on the website for another Hubei official, followed by the fourth announcement posted at 11:00 (Guizhou Province). Additional announcements were posted at 16:30 (Anhui Province), 16:43 (Shanxi Province), 16:45 (Guizhou Province), 16:46 (Shanxi Province), and 16:48 (Shaanxi Province), with the last announcement posted at 17:49 (Hebei Province). The previous record was made on August 11 when an announcement was made about a total of nine corrupt officials. It was observed that one announcement about a official being disciplined may not be a big deal, but ten in one day shows that the situation is very serious.

Source: The Central Commission for Discipline Inspection of the Communist Party of China, Case Reports, August 13, 2014

http://www.ccdi.gov.cn/ajcc/index_1.html

Briefings | | August 15, 2014 | Government/Politics

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.”