Chinascope – Page 813

BBC Chinese: U.S. Investors Are Losing Confidence in China

BBC Chinese recently reported that, based on survey results that the Chinese American Chamber of Commerce released, less than 30 percent of the members of the Chamber thought that the environment for investors is improving in China. Over the past few months, the Chinese government and the state-run media have criticized many foreign companies in a number of industries, such as medicine, infant formula, smart phones, and coffee products. The same survey conducted last year showed that 43 percent of the people questioned expressed the belief that the investment environment in China was improving. The Chamber suggested that the loss in confidence was partially related to the new regulations on foreign investments that the government implemented at the end of 2011. At that time, the government introduced many new limitations and a lack of transparency in government licensing processes. The Chinese American Chamber of Commerce is a non-profit organization that represents over 1,000 U.S. companies and over 3,500 individuals who have invested in China.

Source: BBC Chinese, October 24, 2013

http://www.bbc.co.uk/zhongwen/simp/china/2013/10/131024_china_us_investment.shtml

Briefings | | October 29, 2013 | US-China Relations

Xinhua: The U.S. Owes the World an Apology

Xinhua recently published a commentary calling for the U.S. to apologize for the newly reported U.S. wiretapping on German Chancellor Angela Merkel. The commentary pointed out that no one knows how many more important foreign government officials the U.S. intelligence organizations spied upon. The commentary also mentioned that the issue caused a huge trust problem among the U.S. allies in Europe. The author described the U.S. calling for “human rights” and “allies’ interests” as flat out lies after so many of its secret spying activities were exposed. The United States seems to have no intention of admitting any wrong-doing, even today. The commentator called it “ironic” that the U.S. is expressing its unhappiness over the victims because of their complaints. It concluded that the United States owes China an apology, owes Germany an apology, and, in fact, owes the world an apology.

Source: Xinhua, October 26, 2013

http://news.xinhuanet.com/comments/2013-10/26/c_117881373.htm

Briefings | | October 29, 2013 | Government/Politics

Wine Industry Sales Down 50 Percent; Some Inventories up 30 Percent

China Radio International republished an article, originally from Beijing Business Today, about China’s domestic wine market. The article reported that sales for China’s domestic wines were down 50 percent while the wine makers carried inventories that were as much as 30 percent higher than the previous year. Changyu Wine Company in Yantai, Shandong Province, one of the top wineries in China, had third quarter financial results showing that the company’s net profit had declined by 46.94 percent, the lowest in five years. The government, because of its use of public funding, maintains a hard grip on food and entertainment, which is one of the reasons that the domestic wine industry has suffered from low demand. Other factors include a pricing adjustment that imported wines made in order to stay competitive. In addition, consumers favor imported wines over domestic brands.

Source: China Radio International, October 25, 2013
http://gb.cri.cn/44571/2013/10/25/3005s4297565.htm

Briefings | | October 28, 2013 | Economy/Resources

People’s Daily Commentary: Chinese Party Officials Lose Faith in Marxism

People’s Daily carried an opinion piece criticizing some Party officials because they believe in superstitions such as lucky numbers and Fengshui, an indication that they are losing faith in Marxism. The article said that those Party officials have forgotten who they are and who they can rely on. It called on the Party to intensify ideology education and to “knock down Fengshui and superstition from the altar.”

Source: People’s Daily, October 27, 2013
http://opinion.people.com.cn/n/2013/1027/c1003-23337869.html

Briefings | | October 28, 2013 | Government/Politics

China’s Weapons Exports Go Global

On October 25, Huanqiu (Global Times) published an article about China’s military exports. From 2008 to 2012, China’s arms exports increased by 162 percent. Its market share surpassed Britain and ranked fifth in the world.

An insider in the Chinese military exports industry informed the Global Times reporter that China’s arms exports in the past consisted mostly of light weapons and army weapons. As technology has improved, the proportion of exports of such weapons has dropped below 50 percent. At the same time, aviation and aerospace products, such as fighter planes and long-range tactical missiles, have increased dramatically. The product mix has evolved from a unitary product to a more complete set of products. In the past, [China] exported only bullets or artillery. Now it can export an entire set of equipment such as equipment for a camp including a variety of tanks, radar, communications equipment, and so on. Chinese military enterprises did a lot of research on NATO weapons systems and can integrate Chinese products into these weapons systems. This is particularly attractive for some countries, so that they do not need to worry about the changing relationships between states or being controlled by others.

Source: Huanqiu (Global Times), October 25, 2013

http://mil.huanqiu.com/paper/2013-10/4488462.html

Briefings | | October 25, 2013 | Defense/Military

Qiushi: There Is No Such Thing as Universal Values

Qiushi published an article proposing that there is no such thing as the "universal values" that the West advocates.

Qiushi stated that the international community has never reached a common understanding as to a set of values. “There are so many countries in the world with such diverse cultures and value systems. Which of them has values that could be called "universal"? Which of their systems could not become “universal values”? There has to be an acceptable screening procedure that would allow all countries to express their views. If only a few Western countries have the final say on such an important matter, where in this world is there justice and fairness?”

“Some Western countries prefer to use abstract concepts to bluff, while, behind the scenes, they engage in deliberations over their selfish strategic interests. Today, we ought to transform this abstract concept into something specific. Then we can ask a few whys so we will not be fooled by this Western discourse. The West spreads the concept everywhere that democracy is a ‘universal value.’ We can clearly respond: democracy can be a value most people agree to, but the Western democratic system was not, is not, and never will be a ‘universal value.’”

Source: Qiushi, October 16, 2013

http://www.qstheory.cn/zxdk/2013/201320/201310/t20131012_278157.htm

Briefings | | October 25, 2013 | Government/Politics

State Think Tank on Strategies for China’s Foreign Exchange Reserves

Zhang Ming, an official from China’s Academy of Social Sciences, suggested that China, as the largest creditor of the U.S. debt may be the key to stabilize the U.S. dollar’s exchange rate.

Zhang said that, in the long term, the U.S. exchange rate rather than the U.S. Treasury yield is the determinant for China’s purchase of the U.S. Treasury debt, thus stabilizing the U.S. dollar’s exchange rate in the foreign exchange market. When the U.S. dollar’s exchange rate is under pressure to appreciate, China will buy additional U.S. Treasury bills to help depreciate the U.S. dollars.

Zhang recommended that China should diversify its foreign reserves within its U.S. dollar assets, rather than changing into other currencies. Also China should buy credit default swaps or S&P Volatility Index (VIX) calls to hedge against the risk that the U.S. Government may default. China should also take action to reduce the growth of its foreign exchange reserves.

Source: Financial Times (Chinese Edition), October 23, 2013

http://www.ftchinese.com/story/001053040

Briefings | | October 25, 2013 | 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.