Chinascope – Page 855

China Prevents MasterCard from Handling RMB Transactions

Xinhua recently reported on a dispute between MasterCard and the Chinese authorities on the right to handle RMB transactions. The report is based on British media reports of a document that the Chinese central bank issued asking online payment platform EPayLinks to stop cooperating with MasterCard in conducting RMB business. About a year ago, the World Trade Organization (WTO) ruled that the Chinese government’s protection of the monopoly power of UnionPay, China’s bankcard association, in RMB credit card transactions broke the WTO agreement. Since that ruling, the Chinese central bank has not made any changes. It seems the Chinese authorities will continue to maintain a tough position on this matter. China is one of the fastest growing credit card markets in the world. China issued 46 million credit cards in 2012. According to MasterCard’s estimate, China will surpass the United States in 2020 to be the largest credit card market in the world. The Chinese RMB-based credit card monopoly, UnionPay, doubled its business volume over the past four years. EPayLinks argued in this new case that its business with MasterCard did not break any Chinese law since all operations are handled by the Hong Kong branch.

Source: Xinhua, June 3, 2013

http://finance.cankaoxiaoxi.com/2013/0603/219334.shtml

Briefings | | June 11, 2013 | Economy/Resources

Beijing News: China Started Trade Investigation of EU Wines

Beijing News recently reported that the Chinese Ministry of Commerce held a press conference on June 5, at which it announced the beginning of an anti-dumping and countervailing investigation of wines imported from the European Union (EU). The EU made a decision on June 4 to charge anti-dumping duties for photovoltaic solar products imported from China. The EU decision had a major impact on a trade volume of over US$20 billion. Several EU member countries voted against the EU decision but could not change the final outcome. The China-EU wine trade volume is relatively low (around US$1.04 billion). However this sector has enjoyed a rapid growth in the past several years. The wine industry in the EU has a long supply chain across the entire Union. Its export profit margin is much higher than that of the photovoltaic solar products. The Chinese investigation is especially damaging to wines from France, Spain, Italy, and Germany. There is still room for negotiation. The Chinese Fair Import/Export Trade Bureau insisted that the Chinese investigation has nothing to do with the EU decision on photovoltaic products. It is based solely on the requests that the the Chinese wine industry filed.

Source: Beijing News, June 6, 2013

http://epaper.bjnews.com.cn/html/2013-06/06/content_437684.htm?div=-1

Briefings | | June 11, 2013 | Economy/Resources

Global Times: Chinese Delegation Assesses Su-35 Fighter Jet

On June 6, Global Times reported that a Chinese delegation recently visited Moscow for a discussion with Russian arms export officials on negotiating the purchase of the latest Su-35 (Russian: Су-35, NATO: Flanker-E) fighter jet. The Russians agreed to present a demonstration to the Chinese delegation on June 5. The primary mission of the visit was to determine and assess the technical capabilities of the new multifunctional fighter jet. Business discussions were also planned. The two sides refused to reveal the number of jets included in the deal, but one Russian official hinted that it would be a “very sizable” number. Rumors are that the deal included at least 24 fighter jets. Russian government officials also confirmed that this will be a supply contract, not a manufacturing license. According to Russian media reports, the Chinese delegation gave high praise to the new jet model. “The political decision has already been made.” The deal is at the stage of negotiating payment schedules.

Source: Global Times, June 6, 2013

http://mil.huanqiu.com/paper/2013-06/4005371.html

Briefings | | June 11, 2013 | Defense/Military

Liu Yunshan: Cultural System Reform Urgently Needed

On June 8, Liu Yunshan, first Secretary of the Central Secretariat of the Party, visited several cultural renovation bases in Beijing, including the Design Resource Cooperative, which hosts over 30 cultural entities, Zhongguancun Science Park, and the Beijing Gehua CATV Network Company. Liu praised the cultural renovation work that the the municipality of Beijing had accomplished and stressed that a new mission and requirements have been laid out for cultural entities. He also stated that the reform of the cultural system is urgently needed in order to accomplish the goal of the “China Dream” ideology that Xi Jinping raised.

Source: People’s Daily, June 9, 2013
http://politics.people.com.cn/n/2013/0609/c1024-21796196.html

Briefings | | June 10, 2013 | Government/Politics

Qiushi Theory Commentary: MultiûParty System Will Not Fix Corruption Issues

Qiushi Theory recently published a commentary intended to counter the opinions that “China’s one party rule is the root cause of the corruption problem” and that “Only a multi-party system can make clean governance a possibility.” The commentary stated that these opinions lack the support of historical evidence and theory. It listed a number of arguments and examples to support this claim. One was that the role of the party system represents the interests of various political groups and the system itself does not contain the ability to curb corruption. A multi-party system will not prevent corruption and the corruption in that system could be worse at times. Corruption exists in countries that have a multi-party system, while, at the same time, a country with one party rule can also bring clean governance. the commentary held that China’s system of one party rule offers the best advantage to solve the corruption issues.

Source: Qiushi Theory, June 8, 2013
http://www.qstheory.cn/dj/ffcl/201306/t20130608_238501.htm

Briefings | | June 10, 2013 | Government/Politics

The Outcome When Britain, France, and Germany Anger China

[Editor’s Note: The People’s Republic of China (PRC) often chooses economic retribution as a means to control other country’s actions. An article written for a blog published on the website of People’s Daily demonstrates the essence of the Chinese regime’s attitude and tactics. It reveals the PRC’s hard reality more openly than in its mainstream publications. A translation of the article follows.] [1]

Continue reading →

Reports | | June 9, 2013 | Report

Ghana Detains over a Hundred Chinese Citizens for Illegal Gold Mining Operation

Recently, the Government of Ghana carried out a large-scale action against illegal gold mining. As of June 5, Ghana had arrested 124 Chinese citizens suspected of illegal gold mining. Officials from Shanglin County of the Guangxi Autonomous Region said that the vast majority of the 124 people detained in Ghana are from Shanglin.

The people of Shanglin have a history of mining gold. Since 2006, many people from Shanglin have steadily gone to Ghana to engage in gold mining activities. According to incomplete official statistics, so far, the number of people who have gone to Ghana for gold mining is estimated at 12,000. [1]

Why did the Police in Ghana implement such a large scale arrest? Guangxi Shanglin County Propaganda Department chief Li Daoyong said that some clashes among the gold miners in Ghana could have been the trigger. In particular, since April of this year, there have been incidents in which Guangxi gold miners in Ghana killed fellow miners and shot and killed locals, causing discontent among the masses and problems with local security issues.[2]

Sources: China Security Times and People’s Daily, June 6, 2013

[1] http://kuaixun.stcn.com/2013/0606/10526531.shtml

[2] http://world.people.com.cn/n/2013/0606/c157278-21754499.html

Briefings | | June 7, 2013 | Geo-Strategic Trend

China’s Reaction to Trump’s Election Win

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