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CRN: Japan Arranged a Maritime Countries Conference

China Review News (CRN) recently reported that Japan organized a conference officially called, “Supporting Emerging Maritime Countries in Building Capacity.” The Japanese Ministry of Foreign Affairs arranged and headed the conference. Thirteen countries attended, including key Southeast Asian countries like the Philippines, Vietnam, Indonesia and Malaysia. CRN also published a commentary suggesting that Japan is apparently establishing a strategy against China to encircle it. Ever since Abe became the Japanese Prime Minister, Japan has been actively developing this strategy. First Japan wholeheartedly supported the U.S. strategy of its “Return to Asia.” Then the Japanese special envoy visited South Korea to repair their relationship. After that, Japan implemented a number of pro-Taiwan policies to further divide the Mainland and Taiwan. A number of strategic moves have also been implemented recently to engage ASEAN (Association of Southeast Asian Nations) as well as Australia and India. Significant new military spending has been added to Japan’s 2014 budget. The commentary calls Japan a “trouble-maker.”
Source: China Review News, October 20, 2013
http://www.zhgpl.com/doc/1027/7/3/9/102773950.html?coluid=1&kindid=0&docid=102773950&mdate=1020000050

Xinhua: European Council Authorized Investment Agreement Negotiations

Xinhua recently reported that, on October 18, the European Council officially authorized the EU Commission to start negotiations with China on an Investment Agreement. The EU Commission announced later that the negotiations are expected to start at the China-EU Leadership Summit next month. The plan is to complete the negotiations in two and a half years. The Investment Agreement focuses on the mutual protection of market access and investments. The EU Commission announcement also mentioned that the trade volume between China and the EU is substantial. The daily business volume in goods and services has reached at least 1 billion Euros (US$1.37 billion). However the bilateral investment level is still very low. The EU direct investments in China are holding at only 2.1 percent of the EU’s total international investments. Chinese investments in EU shares are less than 1 percent of the total of all foreign investments that the EU has received. Those investments received from the United States are holding at 21 percent. 
Source: Xinhua, October 18, 2013
http://news.xinhuanet.com/world/2013-10/18/c_117782393.htm

China News: Xi Jinping Pushes China-Australia Free Trade Agreement

China News recently reported that, on October 17 in Beijing, Chinese President Xi Jinping met with Australian Governor-General Quentin Bryce. Xi suggested that more and more room for cooperation is developing in the China-Australia strategic partnership. Xi called for a breakthrough in the negotiations for a bilateral free trade agreement. In addition to that, Xi also suggested active cooperation in such areas as energy resources, infrastructure development, financial services, environmental protection, and the biomedical field. At the same time, Xi indicated that he expects deeper coordination and alignment with Australia in international organizations like the United Nations, the G20, and APEC (Asia Pacific Economic Cooperation). Bryce expressed the belief that Australia is a reliable energy resource provider for China and that Australia and China share considerable mutual interests. She suggested that Australia is willing to work with China to reach an agreement in the free trade negotiations sooner rather than later.
Source: China News, October 17, 2013
http://www.chinanews.com/gn/2013/10-17/5393969.shtml

A Clash of Values, Part V

The U.S.-Sino Relationship

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Differences Between the Governing Principles of the United States and the Chinese Communist Party (CCP) 

Previously, this series focused on the differences between the United States and China as to their foundations and theoretical underpinnings. While America’s Founding Principles grew out of a revolutionary war fought for freedom and the rights of the governed, the Communist Party fought a revolutionary war to establish its authoritarian rule. While the U.S. based its legitimacy on the consent of the governed, Mao Zedong proclaimed in Chapter Five of The Little Red Book, “Every Communist must grasp the truth: Political power grows out of the barrel of a gun.” While the U.S. adopted a Constitution designed to limit governmental power and guarantee specific individual rights, the Communist Party designed the Chinese government to assure its supremacy over China and ensure that it was firmly ensconced in power.”

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Beijing Municipal Party Committee Passed Emergency Air Pollution Plan

The Beijing Municipal Party Committee recently passed an emergency air pollution plan. It assigned blue, yellow, orange, and red colors to measure different pollution levels in the air. If it is a “red” level, schools will be closed and if it is a red and orange level, manufacturing plants will be shut down, no firecrackers can be lit and no outdoor BBQ and burning of garbage, leaves, or stalks will be allowed. City law enforcement organs are instructed to carry out the emergency plan.

Source: Xinhua, October 18, 2013
http://news.xinhuanet.com/edu/2013-10/18/c_117766414.htm

Supreme People’s Procuratorate Published Anti-Corruption Results

According to statistics released by the Supreme People’s Procuratorate covering the period from January through August, the procuratorate offices filed over 22,617 corruption cases involving 30,938 people, up 3.6 percent from same period last year. Of those, 7,080 cases resulted from tips that came from the public, while 18,283 cases or 80.8 percent were categorized in what is called the “tigers” category. These involved sizable sums of money and officials with a high rank. The number is up by 5.7 percent from the same period last year. In addition, the statistics also showed that a total of 18,616 smaller cases, or what is called the “flies” category, were being investigated, involving a total of 3.1 trillion (US$510 billion) in embezzled money.

Back in January of 2013, Xi Jinping vowed to launch a campaign to crack down on corruption against "tigers" and "flies" at the same time. Xi insisted that there would be “no exception made when it comes to Party discipline and the law.”

Source:
China News, October 18, 2013 http://news.china.com.cn/2013-10/18/content_30329761.htm
China Network TV, January 22, 2013 http://news.cntv.cn/2013/01/22/ARTI1358835841806906.shtml

2014 Application Process for Public Servants was Launched

On October 16, 2013, the application process for public servants was launched. The total number of open positions in 2014 is 19,538, which is 1,301 lower than 2013. As of October 17, 80,000 applications had been received and had passed the employers’ verification process. Among the departments with open positions, the Administration of Taxation and Custom had the most applicants. However the most competitive position was with the State Ethnic Affairs Commission where there are 2,033 applicants applying for just two openings. The ratio is 1,017:1.

Source: People’s Daily
October 16, 2013 http://edu.people.com.cn/n/2013/1016/c1053-23219517.html
October 18, 2013 http://edu.people.com.cn/n/2013/1018/c1053-23247273.html

China Youth Daily: U.S. Debt Crisis Alarms China

China Youth Daily published an article, which was later republished, listing a number of warnings about the effect the U.S. debt crisis has on China: 

First, the U.S. debt ceiling dispute once again warns China not to put its debt investments in one basket or excessively concentrate on one financial product. 
Second, China’s local government debt crisis is far more worrisome than the U.S. national debt crisis. An audit notice in June [2013] showed that 36 local governments had a total debt balance that neared 3.85 trillion yuan; 16 regions had a ratio of debt to GDP that exceeded 100 percent. The highest debt ratio was as high as 219 percent. The region with the highest debt ratio was concentrated in the Yangtze River Delta region (Shanghai municipality and Jiangsu and Zhejiang Provinces). Their overall debt ratio was over 200 percent, without even including the local government’s debt from its implicit guarantee. 
Although the risk of a U.S. Treasury default is worrisome, it at least lets people know where the danger is. However, the debts of China’s local governments are a big mess. If the U.S. Treasury were a person forced to the edge of a cliff, at least he could see clearly that if he walked forward any further, he would fall down. Thus he could stop himself on time. Chinese local governments with debt are facing away from the cliff. They cannot see how far away the cliff is. This is much more frightening. 
Third, the governments’ budgets must be open and transparent and they must accept being monitored by the National People’s Congress. 

Source: China Youth Daily, October 16, 2013 
http://news.youth.cn/gj/201310/t20131016_4031468.htm