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China’s Reaction to Trump’s Election Win

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Xinhua Commentary Series: Spotlight on the U.S. Presidential Election

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Wu Guoguang: Xi Jinping’s Reversal of the Course, Will China’s Transition be Peaceful or Marked with Bloodshed?

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Cheng Xiaonong: U.S.-China Strategic Relations Have Crystallized

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2012 Internet Roundtable for Emerging Countries

China’s state-run Xinhua News Agency reported on some remarks that Wang Chen, head of the State Internet Information Office, made in a keynote speech at the 2012 Internet Roundtable for Emerging Countries in Beijing.
Wang said, "Emerging countries have a lot of common understanding, similar conduct, and appeals regarding the development of the Internet, as well as common interests and a sound basis for cooperation." 
The roundtable, attended by government officials, Internet experts, and corporate representatives from China, Russia, Brazil, and South Africa was intended as a platform for emerging countries to conduct exchanges and share experiences regarding the development of the Internet, he said.
The annual Internet Roundtable aims to increase Internet-related cooperation between China and other emerging nations to cope with increasingly severe challenges in Internet security.
Source: Xinhua, September 18, 2012
http://news.xinhuanet.com/politics/2012-09/18/c_113123769.htm
Briefings | | |   Geo-Strategic Trend

RFA: The Ratio of Chinese Residents’ Income to GDP Has Been Declining

Radio Free Asia published an article on September 18, 2012, titled “The Ratio of Chinese Residents’ Income to GDP Has Been Declining." The Labor and Wage Institute under the Ministry of Human Resources and Social Security of the People’s Republic of China recently published the “2011 China Wages Report.” According to the report, Chinese residents’ income increased 14.1 percent last year. However, the actual growth was only 8.4 percent, 0.8 percent lower than last years’ GDP, after deducting price factors.

In 2011, the Chinese government’s fiscal revenue grew 24.8 percent and corporate income grew by 20 percent, all of which were much higher than the growth of Chinese residents’ income at 14.1 percent. The low increase in the growth of residents’ income resulted directly in the downturn in domestic consumption, leading to unbalanced and unsustainable economic development in China.

Source: Radio Free Asia, September 18, 2012
http://www.rfa.org/mandarin/yataibaodao/gdp-09182012165542.html

Briefings | | |   Economy/Resources

People’s Daily: (If) China Pulls the Trigger on Japan’s Economy, Japan Will Fall Back 20 Years

On September 17, 2012, People’s Daily overseas edition published an article expressing China’s attitude toward the Japanese government’s purchase of the Diaoyu (Senkaku) Islands titled “(If) China Pulls the Trigger on Japan’s Economy, Japan Will Fall Back 20 Years.” The article asserted that Japan’s economy is not immune from the economic means that China might use. Once China is forced to pull the trigger on Japan’s economy, China will target Japan’s weakest points, such as Japan’s manufacturing sector, financial sector, certain products that are exported to-China, and investment enterprises.

“When fighting an economic war, both China and Japan will get hurt. However, China has the determination and endurance to ‘kill 1000 enemies even at the price of 800 (Chinese) people’s deaths.’”  

Source: People’s Daily, September 17, 2012
http://paper.people.com.cn/rmrbhwb/html/2012-09/17/content_1113598.htm

Briefings | | |   Geo-Strategic Trend

People’s Daily: 260 Chinese Performers Publish Statement Joining Diaoyu Islands Protest

On September 18, 2012, People’s Daily reported that the China’s Actor Committee published a statement opposing Japan’s Purchase of the Diaoyu (Senkaku) Islands. Tang Guoqiang is the chair of the Actor’s Committee, which is under the Association of Broadcasters and has 259 actor members. Many well-known actors and actresses signed their names to the statement.

The statement said, “Chinese actors resolutely uphold and support any of the Chinese government’s necessary and righteous actions to safeguard China’s territorial integrity.”

Source: People’s Daily, September 18, 2012
http://hn.people.com.cn/n/2012/0918/c338398-17493695.html

Briefings | | |   Geo-Strategic Trend

Xinhua: Beidou System will be Globally Competitive by 2020

Xinhua recently reported that key infrastructure facilities have started construction work on the Beidou System, which is the Chinese global positioning system. Shanghai Comprehensive Positioning Services Platform as well as Shanghai Guidance and Positioning Test Center are the two main projects in the plan. The goal is to establish a service platform which offers the Beidou System as a core service while providing compatibility to the U.S. GPS system. The platform is also designed to integrate with mobile communications networks, digital text messaging systems, and Internet connections. Based on the plan, Shanghai will have an established satellite services industry with a large business market volume by 2015. By 2020, Chinese global positioning services should be able to compete globally.
Source: Xinhua, September 11, 2012
http://news.xinhuanet.com/fortune/2012-09/11/c_113042788.htm
Briefings | | |   Information/Technology

Li Keqiang: China’s Strategic Growth Point is Domestic Demand

China Review News (CRN) recently reported that Li Keqiang, China’s Deputy Premier, delivered a speech at the Third China-Arab States Economic and Trade Forum about the strategic direction in which China is heading. Li is widely expected to be the next Chinese Premier. Li suggested that, facing the challenge of the global downturn, China has made a strategic decision to expand domestic demand. The strategy emphasizes three focal points: industrialization, urbanization, and agricultural modernization. Li also made a strong point that opening up to West China and countries neighboring West China is a very important step in the overall openness strategy. He also called for better cooperation among emerging markets, especially with the Arab world. China welcomes investments from Arab countries, and China encourages capable Chinese companies to participate in the development of manufacturing and industries in the Arab world that do infrastructure construction . 
Source: China Review News, September 13, 2012
http://www.zhgpl.com/doc/1022/3/2/6/102232668.html?coluid=151&kindid=0&docid=102232668&mdate=0913092030
Briefings | | |   Economy/Resources

Qiushi: Improve How Mainstream Media Guide Public Opinion

The September 11 issue of Qiushi Journal, a bi-weekly magazine published by the Central Committee of the Chinese Communist Party, included an article that discussed how state-controlled mainstream media can enhance their ability to manipulate public opinion. The background of the discussion is that unexpected social emergency situations are popping up more frequently across the country. The author offered his ideas on three areas for improvement: (1) The media need to improve their ability to predict upcoming potential problems. (2) The media need to improve coordination among news agencies and coordination with the involved government branches. (3) In an emergency, the media should not only communicate the government’s opinion to the general public; whenever the people express opinions that can help ease the situation, they should reflect those opinions as well. The author expressed the belief that state-owned mainstream media should play a better role in guiding public opinion.
Source: Qiushi Journal, September 11, 2012
http://www.qstheory.cn/wz/cmyl/201209/t20120911_180742.htm
Briefings | | |   Social Stability

China’s Gini Coefficient Reached 0.438 in 2010

Last Friday, September 14, 2012, the International Institute for Urban Development released the “Blue Book on China’s Social Management.” According to the Blue Book, the income disparity between the rich and poor in China continues to widen. China’s Gini coefficient hit 0.438, which is above the 0.4 United Nations warning level. (The UN usually draws the line for alarm at 0.4. Above that number indicates a high potential for social instability.) The figure went from 0.275 in the 1980s to 0.438 at the end of 2010 and will likely rise further.

The Blue Book cited statistics showing that urban residents’ income is three times that of rural residents. Within the same industry, the highest salary is 15 times that of the lowest salary. The income of senior management at companies whose stock is listed on stock exchanges is 18 times that of frontline employees. The salary of senior management at state-owned enterprises is 128 times that of the average salary of people in society. In 2007, the top 10 percent of the population received incomes that were 23 times those of the lowest 10 percent, an increase from the 7.3 times that was reported in 1988.

(Editor’s note: Radio Free Asia reported in January 2012 that the National Bureau of Statistics stated China’s Gini Coefficient for the year 2010 was “a little higher than it was for the year 2000.”)

Sources: Beijing News reprinted at sina.com, September 15, 2012
http://news.sina.com.cn/c/2012-09-15/021925177383.shtml
RFA, January 9, 2012
http://chinascope.org/main/content/view/4218/109/

Briefings | | |   Social Stability