Chinascope – Page 790

More Securitization of State-Owned Enterprises to Come

China Securities reported that local governments may securitize state-owned enterprises in amounts up to 20.7 trillion yuan in their efforts to raise funds for local expenditures. In the past, local governments resorted to borrowing and the sale of government land in order to raise funds. The central government has recently made the local government’s debts a focus of attention.

According to a statement that China’s Ministry of Finance made last week, in 2013, the proceeds from government land sales reached 4.1 trillion yuan, a 44 percent increase over 2012. Statistics released by the National Audit Office last month showed that, in 11 provinces, 316 cities, and 1,396 counties, the debts guaranteed by the sale of government land accounted for 37 percent of outstanding local government debts.

The stated goal of some local governments is to securitize 40 percent of the enterprises that they own by the end of 2015. More provinces, particularly those with a large number of state-owned enterprises, are expected to push beyond 40 percent. Based on a 40 percent securitization rate and a 10 percent asset increase of state-owned enterprises, it is estimated that such securitization of state-owned enterprises will reach 20.7 trillion yuan by the end of 2015.

Source: China Securities reprinted by Xinhua, January 30, 2014

http://news.xinhuanet.com/fortune/2014-01/30/c_126081679.htm

Briefings | | January 31, 2014 | Economy/Resources

People’s Daily: China Made Major Breakthrough in Aircraft Carrier “Electromagnetic Slingshot”

In the past few years, the statement, "China is developing an electromagnetic catapult," has been circulating in the rumor mill on the Internet.

Recently, a U.S. satellite photo published on a website exposed the appearance of a high-speed magnetic rail traction device at an unknown location in China. Around the same time as the photo’s publication, Major General Ma Weiming, who is an Academician at the Chinese Academy of Engineering and a Professor at the Naval University of Engineering, received the National Science and Technology Progress Award. On receipt of the award, Ma delivered a speech in which he is believed to have disclosed that China has successfully developed electromagnetic catapult technology.

At present, the United States, Britain, the former Soviet Union, and China are the only countries that are conducting research into the electromagnetic catapult. Building a 1:1 full size large ground test facilities for an electromagnetic catapult is only taking place in the U.S. and China.

Li Xiaojian, chief editor of the military website Super Camp, stated that being able to build such a large scale experimental facility demonstrates that China has fully mastered the key technology of the electromagnetic catapult, such as large linear induction motors, a high-strength forced energy storage device, and a high-performance pulse generator.

Source: January 29, 2014

http://military.people.com.cn/n/2014/0129/c1011-24258587.html

Briefings | | January 31, 2014 | Defense/Military

Qiushi: Three Major Risks Affecting China’s Political Stability

Qiushi, a theoretical journal for the Chinese Communist Party, published an article listing the three major risk factors that can potentially change the political landscape of China:

1) The decentralization of power. The article argues that democratic political reform carries the risk of polarizing the power of the central government. The article cited Vietnam as an example.

2) Fluctuations in the economy. Sustainable economic development and maintaining social mobility are fundamental guarantees of social stability in countries going through industrialization and modernization. Over the next 10 to 20 years, maintaining sustainable economic development and social mobility will be vital for China’s social stability.

3) The risk of losing control of the media. Guiding social ideology, controlling public opinion, and managing social emotions are an important part of national governance and important ideological conditions for maintaining social stability. From the experience of other countries and the new situations China has encountered in recent years, the challenges and risks from the impact of social media and from the management of society’s emotional impact are increasing.

The article stated that it is foreseeable that social ideological guidance, the regulation of public opinion, and social emotional management will occupy a more important place in Chinese society in future governance and will play a greater role in maintaining social stability in the future.

Source: Qiushi, January 28, 2014

http://www.qstheory.cn/zz/wwtj/201401/t20140128_317210.htm

Briefings | | January 30, 2014 | Government/Politics

Huanqiu Editorial: Western Countries’ Support Provides Spiritual Inspiration to Chinese dissidents

On January 28， 2014, Huanqiu, the Chinese edition of Global Times, published an editorial titled, “Supporting the Dissidents in China; the ‘Open Conspiracy’ of Western Countries.” According to the editorial, Chinese dissidents have become well-known because of the support they receive from the Western media and governments. Without the Western media’s substantial reports and Western governments open support, Chinese dissidents would be nothing but “fleeting meteors.” It is the Western governments’ “open conspiracy” to stand side by side with Chinese dissidents as they share the same values. Western countries’ support has inspired Chinese dissidents spiritually.

Recently, Xu Zhiyong, an activist who organized a grass-roots New Citizen Movement to express public discontent over government officials’ corruption, was sentenced to four years in prison for “gathering a crowd to disturb the public order.” The U.S. government’s “deep disappointment” and the Western mainstream media’s strong support have increased Xu’s influence among Chinese dissidents.

Source: Huanqiu, January 28, 2014
http://opinion.huanqiu.com/editorial/2014-01/4797284.html

Briefings | | January 29, 2014 | Government/Politics

New Leadership Groups Have More Authority to Crack Down on Special Interest Groups

On January 26, 2014, Qiushi Theory, the Chinese Communist Party Central Party School and the CCP Central Committee’s political theory periodical, reprinted an article from “Consensus Network.” The article analyzed the new power relations of the Chinese Communist Party and the Chinese government that have developed since the establishment of the Central Leading Team for Comprehensively Deepening Reform and the new National Security Committee. As the Chinese Communist Party oversees the Chinese government, it is hard to distinguish whether the power is in the Party’s hands or in the government’s hands, but the two new leadership groups have a higher authority to crack down on special interest groups that were formed in the past.

The new National Security Committee is responsible directly to the Politburo. It is chaired by the General Secretary and Vice Chairmen, representing the Party, the government and the National Congress. Its power is much greater than the U.S. National Security Council. Therefore, the new power structure in China is a strengthened combination of the Party and the Government.

Source: Consensus Network, January 26, 2014
http://www.21ccom.net/articles/zgyj/ggcx/article_2014012699727.html
http://www.qstheory.cn/zz/wwtj/201401/t20140128_317204.htm

Briefings | | January 29, 2014 | Government/Politics

Xinhua: Around Ten Thousand Students Took the SAT in Hong Kong

Xinhua recently reported that, on January 25, around ten thousand students from mainland China participated in the Scholastic Assessment Test (SAT) offered by the U.S. College Board and hosted by the Hong Kong AsiaWorld-Expo. The U.S. SAT is widely recognized in China as the equivalent of the Chinese National College Entry Exam. Over the past several years, more and more Chinese students have decided to go to the United States for their undergraduate college education. It has become a “hot trend.” The SAT currently has no designated testing location in mainland China. Therefore, Hong Kong became the nearest and the top location choice to take the test. Hong Kong AsiaWorld-Expo is the largest location and it is the only location that can house ten thousand test-takers.

Source: Xinhua, January 27, 2014

http://news.xinhuanet.com/gangao/2014-01/27/c_126067287.htm

Briefings | | January 28, 2014 | US-China Relations

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.”

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