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Xinhua: Wen Jiabao Emphasized the Continuation of Price Control for Housing

Xinhua recently reported that Chinese Premier Wen Jiabao spoke about the housing market during his visit to Jiangsu Province. Wen stated that the government initiated housing market adjustment has reached a key stage and that “the task remains difficult.” He emphasized that it is a long term government policy to suppress speculative investments in the housing market. He also suggested that information regarding the housing market is a bit out of control right now and the general public is still worried about a potential rebound in prices. Wen asked the local governments not to implement new policies that would move the market in a different direction. He also asked the suppliers to adjust product strategies to offer more regular lower-priced commercial real estate in the general market. During his visit, Wen also mentioned the planned reform of the real estate tax system, which is considered part of the control system for the future housing market.
Source: Xinhua, July 7, 2012
http://news.xinhuanet.com/politics/2012-07/07/c_112383129.htm

SecuTimes: HSBC June PMI Number Reached a 7 Months Low

SecuTimes recently reported that the HSBC released the final June PMI (Purchasing Managers Index) number for the Chinese manufacturing sector, showing it to be 48.2, the lowest in the past seven months. Experts suggested that the number indicates that there has been a continuous decline in the Chinese economy. Some also suggested that this could be part of the process of bottoming out and there might be a small rebound in the third quarter. The National Bureau of Statistics released a similar PMI number, showing it to be 50.2, which was also a 7 month low. PMI is an indicator of financial activity reflecting purchasing managers’ acquisition of goods and services. A PMI number below 50 typically reflects a decline.
Source: SecuTimes, July 3, 2012
http://kuaixun.stcn.com/content/2012-07/03/content_6119446.htm

CRN: Nearly 70% of the People Cannot Afford Housing

China Review News (CRN) recently reported on a research survey on the housing market. The nationwide survey covered 23 provinces and 4 municipalities that are directly under the central government. The results were that 66% of the people surveyed said that, given the current market prices, they still could not afford housing. Near 60% said they believed that this year is not the right time to buy real estate. The report also showed that the percentages were highly consistent across different regions. However, there was still a high demand nationwide for commercially available real estate. It seemed, however, that this high demand has not turned into actual purchases. After two years of strict government price control of the housing market, 35% of the people surveyed believe that housing prices are “stabilizing.” Meanwhile 29% of those surveyed still believe that prices are “going up.”
Source: China Review News, July 6, 2012
http://www.zhgpl.com/doc/1021/6/0/9/102160963.html?coluid=10&kindid=258&docid=102160963&mdate=0706173845

Red Cultural Education Programs Held in Shaoshan, Hunan Province

On July 1, 2012, in memory of the 91st anniversary of the founding of the Chinese Communist Party, the U.S. based Hontoot Company and over one hundred Chinese media co-hosted the “Red Cultural Education” activities in Shaoshan, Hunan Province, the birth place of Ma Zedong. The programs included an oath swearing ceremony for new party members; a tour of Mao’s birth place; watching a patriotic dance and music show; a visit to the Memorial Hall of Liu Shaoqi, the formal President of China (from 1959 to 1968); wearing a red army uniform, singing red army songs, eating red army meals; and forums on how the red culture can impact socialistic core values.

According to Mr. Shen, President of U.S. based Hontoot Company, the Hontoot Company is a business entity devoted to the promotion of Chinese Red Tourism; it also specializes in the electronics field. The company’s mission is to promote China through red culture and red resources. The company’s founder believes that “in order for the world to know China, it should start with red culture and revisit and experience the journey of the Long March taken by the Red Army.” Mr. Shen told the media, "Through these red cultural programs, the volunteers can learn the red cultural spirit and receive a patriotic education."

Source: Guangming Daily, July 2, 2012
http://culture.gmw.cn/2012-07/02/content_4462321.htm

China and the Vatican Criticize Each Other over China’s Appointment of Catholic Bishops

Despite the fact that the Vatican objected to China’s appointment of two Catholic bishops, the Chinese Catholic Church held two Catholic bishop appointment ceremonies: on July 6, 2012, for Bishop Qiu Fusheng in Heilongjiang Province and on July 7, 2012, for Bishop Ma Daqing in Shanghai.

The Vatican stated that the appointments were illegal because the Pope did not approve of either of the two bishops. The spokesperson from the Chinese State Administration of Religious Affairs asserted that the Chinese Catholic Association should be treated equally with other churches and that all of their activities are legitimate and effective. Therefore the church organization (the Vatican) should respect them.

The Vatican approved a few bishop appointments in the past; more recently the Vatican has expressed dissatisfaction with the bishops that China has appointed. In July 2011, the Vatican excommunicated Chinese bishop Joseph Huang Bingzhang, who Beijing had appointed without Vatican approval.

According to China’s official statistics, there are 5.7 million Catholic Church believers in China. However, an independent source suggested that the number exceeds 12 million.

Source: BBC Chinese Edition, July 4, 2012
http://www.bbc.co.uk/zhongwen/simp/chinese_news/2012/07/120702_china_vatican.shtml

Taiwan Mainland Affairs Council Issues Report on Mainland-Hong Kong Relationship

On the 15 year anniversary of Hong Kong’s reverting back to the mainland, the Taiwan Mainland Affairs Council issued its annual report on the overall developments in Hong Kong as well as the current relationship between Hong Kong, Taiwan, and the mainland.

The report expressed increased concern over the independence of Hong Kong’s media. According to the report, Hong Kong University recently conducted a public survey which found that the number of those surveyed who agreed that Hong Kong media lack independence and are unlikely to criticize Beijing was the highest since the 1997 date of reversion. The report also suggested that China has increased its involvement in the recent official elections in Hong Kong.

According to the report, the economic and manpower exchange between Hong Kong and the mainland has resulted in conflicts in the allocation of Hong Kong’s education and medical resources as well as in cultural differences. The examples included the increased number of mainland students studying in Hong Kong and the large number of pregnant women who come from the mainland to Hong Kong to give birth (a birth in Hong Kong results in Hong Kong residency for the child).

The report believes that the Hong Kong government will continue to face difficult challenges in the future.

Source: BBC Chinese Edition, July 1, 2012
http://www.bbc.co.uk/zhongwen/simp/chinese_news/2012/07/120701_taiwan_hk_china.shtml

Huanqiu: Shifang Protest is Not a Revolution

Huanqiu issued a commentary on the recent social unrest in Shifang City, Sichuan Province. The commentary said that, when defying a police order, high school students led a massive protest in tens of thousands against the opening of a molybdenum copper smelter. It further stated that students achieved the money driven goal of adults without serious casualties and that such student actions should not be encouraged, particularly regarding social unrest and political conflict.

Huanqiu pointed out that similar clashes between residents and the government on environmental issues are common in democratic countries. “It is certainly not a revolution.” Huanqiu criticized the interpretation of the government’s decision to shut-down the smelter as a victory for the common people. “Such a stretched interpretation is merely the wishful thinking of some people and not a reality in Shifang.” The Huanqiu commentary warned local and higher governments that they should not be fooled by such political fantasies and should not divert their focus from a proper aftermath of reflection and remedial action to vigilance for this “revolutionary” trend.

[Ed. According to the New York Times, security officers roughed up the crowd and "there were arrests, tear gas, stun grenades, riot police, guns, batons, blood." Some hyperlinks in the Times article showed bloodied victims and a woman in front of a riot squad, "evoking comparisons to Tank Man." A microblogger was quoted as saying, "America achieved independence and 236 years later, the Shifang people are fighting for their own rights and confronting the government.”]

Sources:
Huanqiu, July 6, 2012
http://opinion.huanqiu.com/1152/2012-07/2888065.html
New York Times, July 4, 2012
http://rendezvous.blogs.nytimes.com/2012/07/04/a-violent-new-tremor-in-chinas-heartland/

The Communist Party Trains Religious Groups in Charity Work and Social Management

In 2012, the Communist Party Committee in Shenzhen plans to provide training for over 800 people from religious groups, exceeding the total for the past few years. The first class held its opening ceremony at Shenzhen City’s Institute of Socialism. Zhang Siping, a Shenzhen Party official, spoke at the ceremony. “Religions have the tradition and advantage of performing charity work for the public.” Zhang expressed that religions in Shenzhen should actively participate in social development and promote innovations in social management. Zhang further stated that religions should learn from the practice of Hong Kong, Macao, and Taiwan to explore and expand social charities effectively.

Source: People’s Daily, July 4, 2012
http://politics.people.com.cn/n/2012/0704/c70731-18444742.html