Chinascope – Page 805

People’s Daily: China’s First Commodity Exchange Opened Its Doors

People’s Daily recently reported that the Bohai Commodity Exchange (BOCE) officially started its first business day in Tianjin on December 18. BOCE is a trading platform for large scale commodity exchanges, following international trading standards. Initial commodity categories focus on crude oil, coal, nonferrous metals and agricultural and forestry products. The Exchange is planning to provide comprehensive services including trade, settlement, logistics, and finance. The goal of BOCE is to become a commodity trading center and pricing center with significant power to influence the market. By the end of 2013, over 60 brands and commodities had been listed on BOCE.

Source: People’s Daily, December 19, 2013

http://www.022net.com/2009/12-19/426241293324347.html

Briefings | | December 24, 2013 | Economy/Resources

NDRC: International Investments below US$1 Billion No Longer Require Approval

Southern Metropolis Daily recently reported that the Chinese National Development and Reform Commission (NDRC) announced a new policy governing Chinese overseas investments. The new policy allows Chinese investors not to seek Chinese government approval for investments below US$1 billion outside of China. Instead, the investors are asked to fill out a for-record-only form. The new policy replaces the old requirement to get approval from NDRC, the Ministry of Commerce, and the State Administration of Foreign Exchange (SAFE), which typically took four months. Both state-owned companies and privately owned companies enjoy the same rights under this new rule. However, the new policy does not apply to investments involving “sensitive regions or sensitive industries.”

Source: Southern Metropolis Daily, December 16, 2013

http://news.nandu.com/html/201312/16/600970.html

Briefings | | December 24, 2013 | Economy/Resources

CRN: “610 Office” Chief Li Dongsheng Investigated

China Review News (CRN) recently reported that Li Dongsheng, Chief of the Central Leading Group of Cult Prevention and Handling (also known as the "610 Office"), and Deputy Minister of Public Safety, is currently under investigation for “severe violation of Party discipline and the law.” Li has been a long-term senior political news reporter. He served as Deputy Director of Chinese Central Television (CCTV) and Deputy Director of the Publicity Department of the Chinese Communist Party Central Committee. Li is the second “Minister-Level” official to have been investigated in the last few months. It is widely believed that this is a clear signal of a deepened anti-corruption investigation into the Party’s Politics and Legislative Affairs Committee. [Editor’s note: The 610 Office is a nationally organized governmental structure that violates human rights. It is considered the primary operational system that persecutes religious movements such as underground Christian Churches, Tibetan Buddhists, and Falun Gong. The "610 Office" has been mentioned in multiple reports published by the U.S. Congressional-Executive Commission on China (CECC), as well as by the United Nations. The name derived from the fact that it was formed on June 10, 1999, for the specific purpose of eliminating Falun Gong. In 2003, its mission expanded to include other religious groups.]

Source: China Review News, December 21, 2013.

http://hk.crntt.com/doc/1029/3/6/7/102936729.html?coluid=151&kindid=0&docid=102936729&mdate=1221112036

Briefings | | December 24, 2013 | Government/Politics

SOE’s Debt for November Year to Date Increased 14.5 Percent

On December 20, People’s Daily published an article about the financial status of State Owned Enterprises (SOEs). The financial reports from SOEs showed that November year to date sales and profits were up 11.3 and 8.2 percent respectively compared to the same period last year. However their total debt was close to 60 trillion yuan (US$9.8 trillion), up 14.5 percent. The industries that saw growth in their profits include power, electronics, building construction, auto, and transportation. The industries that saw a decline in their profits include non-ferrous metals, coal, chemicals, and light industries.

Source: People’s Daily, December 20, 2013
http://ccnews.people.com.cn/n/2013/1220/c141677-23895718.html

Briefings | | December 23, 2013 | Economy/Resources

Guangming Daily: No Mistakes Allowed on Fundamental Issue: the Chinese Communist Party Rules China

Guangming Daily published a commentary stating that no mistakes are allowed on the understanding of the fundamental issue that the Chinese Communist Party is the ruling party in China. Therefore, China must be persistent in following the Communist Party’s leadership and its fundamental guidelines. The article reiterated a similar statement that Xi Jinping made on a number of occasions that the people should have an unshakeable belief and determination on such “fundamental issues.” The article also cited a few phenomena that could change or even subvert these fundamental issues. They include the political value system from the West, domestic social conflicts, and the tendency to alter China’s path of socialism with Chinese characteristics and instead follow a Neoliberalism ideology.

Source: Guangming Daily, December 20, 2013
http://theory.gmw.cn/2013-12/20/content_9874351.htm

Briefings | | December 23, 2013 | Government/Politics

Xinhua Commentary: The U.S. China Relationship is Delicate and Sensitive

Xinhua published a commentary which stated that the U.S. China relationship has entered into a time frame that is both delicate and sensitive. On the one hand, the U.S. China economic relationship remains strong, but, on the other hand, the U.S. is still on guard and distrusts China. At the same time, occasional military conflicts have taken place between the two countries from time to time. The article cited three reasons for the complexity of the relationship between the U.S. and China. The first reason is that the base for the U.S. China relationship developed out of the confrontational relationship during the cold war and thus is weak. Secondly, the relationship between the two has involved broader aspects. The third reason is that the power between the two shows that the U.S. is getting weaker while China is getting stronger. The article ended by pointing out that, if both countries can handle the relationship well, it will mean not only that the U.S. China relationship is growing stable and mature, but also that it has a significant impact on the international situation and the world’s security environment.

Source: Xinhua, December 20, 2013
http://news.xinhuanet.com/comments/2013-12/20/c_118642127.htm

Briefings | | December 23, 2013 | US-China Relations

U.S. Secretary of State Targets China by Throwing Money to Vietnam

Xinhua published a report from Beijing Youth Daily about U.S. Secretary of State John Kerry’s visit to Vietnam. On December 16, Kerry announced a pledge of US$18 million in aid to Vietnam to strengthen Vietnam’s coastal patrol. Kerry said this assistance had nothing to do with the South China Sea issue.

The report said that Kerry gave a pretty name, “maritime security assistance,” to the aid but the U.S.’s intentions were quite clear. The report, citing Associated Press, said that the United States is directly targeting China by aiding Vietnam. It said that Kerry also spared no effort to meddle in the East China Sea issue. He mentioned Japan-China relations at a news conference, urging both sides to "strengthen dialogue and diplomatic efforts" to resolve their East China Sea-related differences.

Source: Xinhua, December 18, 2013

http://news.xinhuanet.com/world/2013-12/18/c_125875820.htm

Briefings | | December 20, 2013 | US-China Relations

Control of Local Government Debts to Be a Top Priority in 2014

According to the China Central Economic Work Conference, China’s highest-level economic conference, held from Dec 10 to 13, one of the top six priorities for next year will be the control of local government debts.

The third item of the six reads, “Third, focus on prevention and control of debt risk. As an important task of economic work, take control and resolve local government debt risk. Combine short-term response and long-term institution building and defuse local government debt risk. Strengthen the standardization of the source of risk, categorize local government debts, put them under budget management, and tighten up government borrowing programs. Assign responsibilities and hold officials accountable. Governments at provincial, district and city levels should be responsible for their respective local debts, for strengthening education, and for tests, so as, ideologically, to rectify incorrect performance-driven behavior.”

Source: People’s Daily, December 13, 2013

http://politics.people.com.cn/n/2013/1214/c1001-23839592.html

Briefings | | December 20, 2013 | Economy/Resources

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.”