• China vows to break down barriers to aid economic recovery, but call continues for stronger stimulus
• Chinese money ‘willing to ride it out’ in pursuit of Canadian critical mining deals, despite Ottawa’s scrutiny
• Mainland China’s coastguard ships no threat if they stay clear of land forces, Taiwan military says
• Why isn’t China letting Russia take out yuan loans in their ‘no-limits’ partnership?
• US, allies set out 6G principles as tech rivalry with China heats up
• China’s Middle East balancing act need not tip over into support for Hamas attacks
• Advanced satellites, space station and historic moon mission: China’s rocket launches will increase 50% this year
• State TV airs China’s first AI-developed cartoon series, as Sora sets off frenzy for text-to-video generation tech
• Restructuring specialists boost Hong Kong staff as China property crisis stokes demand
• Can you believe this Chinese man is 70 years old? Punishing daily exercise regime spanning 45 years sustains looks, attitude of a 20-something
• Israel says China’s support for Palestinian ‘right to self-defence’ may be seen as support for October 7 attack
• ‘Shining on international stage’: Chinese developers of OpenAI’s text-to-video generator Sora receive acclaim at home
• China’s top court launches new database of verdicts amid fears over declining transparency
• Former Chinese defence minister Li Shangfu removed from Central Military Commission as downfall gathers pace
• To forge a ‘one-China market’, Beijing must overcome local resistance
• Senior Chinese, Russian diplomats talk security, Ukraine as war enters third year
• China plans C919 test flights in Southeast Asia en route to possible sales
• Singapore Airshow: Chinese tourists barred from viewing Airbus’ German air force plane due to ‘military restrictions’
• China’s former foreign minister Qin Gang resigns from deputy membership after long absence from public view
• Online anger as China father demands half of children’s US$36,000 Lunar New Year lucky money during divorce, court denies claim
• Miss Manners: Guest makes rude comment about my china tea set
• HiPP, world“s No. 1 organic baby food brand, expands market presence in Hong Kong, sets sights on Greater China
• China’s ‘Two Sessions’ 2024: what to expect
• Vogue China’s Margaret Zhang, youngest person appointed as an editor at magazine group, to step down
• China makeup artist recreates youth, takes years off actor, 57, transforms ordinary women into cover girls, princesses
• China jobs: returning migrant workers battling low salaries, lack of openings as economic realities hit home
• China narrowly ahead of US in global diplomatic presence – but this may not translate into greater influence
• More China trips, less diplomacy: what does Li Qiang’s schedule reveal about how the changing role of premier?
• Renewal of US-China science pact likely to be delayed again as sticking points remain

China vows to break down barriers to aid economic recovery, but call continues for stronger stimulus

https://www.scmp.com/economy/china-economy/article/3253387/china-vows-break-down-barriers-aid-economic-recovery-call-continues-stronger-stimulus?utm_source=rss_feed

China’s leadership has placed economic recovery as a higher priority on the work agenda for 2024, rallying all-around efforts to break down barriers in consumption, foster a better business environment and push for a unified market, while analysts have suggested even stronger stimulus.

Officials have discussed a wide range of economic issues at seven high-profile meetings this month, including the State Council and the Central Financial and Economics Affairs Commission, according to public records.

The latest push was heralded by Premier Li Qiang, who pledged on Monday to tackle barriers to forming a vast market at a study session with his cabinet.

“It involves smoothing domestic trade, establishing a more favourable business environment, and stimulating market vigour, all while bolstering our global competitiveness through technological innovation and industrial advancement,” he said.

Hints suggest private-sector confidence high on China’s 2024 agenda

His appeal followed recent trips to Hubei, Shanxi and Shaanxi provinces, along with five separate State Council meetings this year, where he mostly addressed thorny issues including technology, demographics, local debt and attracting overseas investors.

China’s 5.2 per cent gross domestic product growth (GDP) last year has not yet revived consumer and investor confidence, while it still faces huge challenges in the property market, local debt, subdued consumption and lingering external risks.

China is widely expected to again set an “around 5 per cent” growth target during the “two sessions” annual parliamentary meetings, which will start next week.

During Monday’s State Council meeting, Li said China needed to speed up removing trade barriers set up by local governments, which have long been issues for foreign companies.

Beijing also needs continued efforts to build a market that protects the intellectual property rights of companies with fair market entry barriers and competitive conditions, he added.

China is aiming to construct a unified market, to ensure a seamless exchange of production factors nationwide, including labour, commodities, capital and data.

“China’s local protectionism is dragging both foreign and domestic investment. If Beijing still insists on its criteria for evaluating local government – purely GDP figures – protectionism will prevail under the competing pressure,” said Peng Peng, executive chairman of the Guangdong Society of Reform.

According to Peng, frequent meetings and trips by Li suggest that China continues to face immense pressures, including challenges to its supply chain from Washington’s decoupling, continued weak consumer spending and an exodus of foreign investment.

“China’s pull for investment has reached its limit, the market has yet to recover from the scars of the last three years of Beijing’s crackdown on the internet, off-campus education, real estate and strict pandemic policies,” Peng added.

“If Beijing can announce even stronger market stimulus policies in the upcoming two sessions, we may see a significant recovery in China’s economy in the second or third quarter.”

Chinese money ‘willing to ride it out’ in pursuit of Canadian critical mining deals, despite Ottawa’s scrutiny

https://www.scmp.com/news/world/russia-central-asia/article/3253412/chinese-money-willing-ride-it-out-pursuit-canadian-critical-mining-deals-despite-ottawas-scrutiny?utm_source=rss_feed

A year after Canada tightened foreign investment rules for the critical minerals sector, Chinese money has continued to pour into Toronto-listed miners, according to proprietary research conducted by the University of Alberta.

The inbound flow is raising hopes among some junior miners that it will be easier to find Chinese funding.

Canada had forced three Chinese investors to sell their stakes in Canadian critical mineral companies in 2022. Some of these companies did not have their mines in Canada.

In October 2022, the government added an extra layer of scrutiny for inbound deals in critical minerals.

The changes did not specify which country’s investments would be scrutinised, but the government says it wants to secure the critical minerals sector, which is strategic to Canada’s national security.

Still, Canada’s critical miners received at least a dozen investments worth C$2.2 billion (US$1.6 billion) in 2023 from new and existing investors in mainland China and Hong Kong, a huge increase over C$62 million in 2022, data compiled by the University of Alberta’s The China Institute shows.

“What you are seeing is the reality, that there is no blockade of Chinese investments in Canada … it is a perception issue,” said Dean McPherson, Head of Mining at TMX Group Ltd.

“Chinese investors are not shy to risk, they are willing to stick in and ride it out [n Canada],” McPherson added.

Daniel Lincoln, a researcher with The China Institute, told Reuters Canada may find it difficult to regulate all Chinese mining acquisitions notwithstanding the provisions in the Investment Canada Act, especially when both buyer and seller are keen for the transaction.

China doesn’t want to see ‘difficult situation’ with Canada continue, Wang says

In the latest test of Canada’s new rules, China’s state-owned Zijin Mining Group last month offered to buy a 15 per cent stake in Solaris Resources Inc for C$130 million.

While Canada lists copper as a critical mineral, the deal is likely to be approved since the funds will be used to develop Solaris’ copper-gold project in Ecuador, two sources familiar with the deal told Reuters.

Solaris and Zijin did not respond to an email query by Reuters.

A spokesperson for the Ministry for Innovation, Science and Industry declined to comment on the Zijin deal, but said the government must examine each investment on its merit to ensure Canada remains open to necessary foreign direct investment.

Chinese investors have been among the most active in Canada’s mining industry, ploughing C$21 billion between 1993 and 2023, according to data from The China Institute.

Last year, copper companies were the most targeted by Chinese investors. MMG Africa Ventures, a unit of state-backed China Minmetals Corp, bought a copper mine from Vancouver-based Cuprous Capital Ltd for C$1.7 billion, and Hong Kong-based Greenwater invested C$13 million in Gowest Gold, the data shows.

Jiangxi Copper Co Ltd increased its stake in First Quantum Minerals Ltd to 18.5 per cent from 18.3 per cent and the Chinese company also bought C$20 million worth of senior notes in the Canadian company last year, regulatory filings show.

Some smaller miners and explorers have been lobbying the Canadian government to allow more Chinese investments, citing difficulty in raising capital.

China takes aim at Canada’s move to block Chinese, Russian, Iranian research links

On Sunday, Chinese miner Yintai Gold agreed to buy Vancouver-based Osino Resources for C$368 million. Osino and Yintai did not respond to a Reuters query about if they are seeking Canadian government approval for the deal. Gold is not considered a critical metal by Canada.

Michelle DeCecco, chief operating officer of Lithium Chile, one of the three companies that Canada ordered to get rid of its Chinese investor, told Reuters there was no softening in Ottawa’s stance because of which companies are finding alternative ways to secure Chinese funding.

Soon after SRG Mining Inc received a C$16.9 million investment proposal from C-ONE, backed by Chinese entrepreneur Yue Min, the Montreal-based graphite miner announced plans to change the country where it is incorporated. On Monday, it said it would incorporate in Abu Dhabi Global Markets while maintaining its Canadian stock market listing.

SRG Mining did not respond to an email query by Reuters.

“Unfortunately, it is often to take their companies out of Canada; away from Five Eyes,” DeCecco said, referring to the intelligence sharing network comprising the United States, Britain, Canada, Australia and New Zealand.

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Mainland China’s coastguard ships no threat if they stay clear of land forces, Taiwan military says

https://www.scmp.com/news/china/politics/article/3253405/mainland-chinas-coastguard-ships-no-threat-if-they-stay-clear-land-forces-taiwan-military-says?utm_source=rss_feed

Taiwan’s military will not consider the presence of mainland Chinese coastguard vessels in its restricted waters a threat, the island’s defence minister said on Tuesday, as he sought to ease rising cross-strait tensions that could escalate into a potential conflict.

“As long as the [mainland coastguard vessels] do not come close to our land forces, we do not see them as a threat,” Chiu Kuo-cheng told reporters ahead of a legislature meeting in Taipei.

Chiu was addressing concerns about recent dispatches of mainland vessels to patrol waters around the Taiwan-controlled defence outpost of Quemoy, also known as Kinmen.

The vessels were detected after two mainland fishermen died in waters off Quemoy. The four crew members on board a fishing speedboat fell overboard as they were pursued by a coastguard vessel on February 14. Two of the men were pulled from the water alive.

Beijing sends coastguard ships from Diaoyus to patrol near Quemoy

Chiu said the island’s coastguard had already explained its standard operating procedures on how to deal with such cases. “They would handle the matter accordingly and there is no need for us to make an additional explanation,” he said.

Last week, Chiu told reporters the military would not “directly intervene” as the island’s coastguard was doing its job. His ministry also said it had no plans to bolster its forces on the islands near the mainland, which include the Matsu archipelago up the coast from Quemoy.

Kuan Bi-ling, head of Taiwan’s Ocean Affairs Council, confirmed on Tuesday that five mainland coastguard vessels had entered the prohibited or restricted waters around Quemoy the previous day. But they stayed there briefly, she said, “after they were warned off” by the island’s coastguard.

The fleet was sent by the coastguard stationed in Fujian province and carried out tasks that included vessel checks, fishing boat protection and issuing warnings, according to a statement by the mainland’s coastguard.

The move – in what local observers saw as yet another Beijing manoeuvre to blur the boundaries of Taiwanese waters – has ratcheted up tensions across the Taiwan Strait.

Last week, the mainland Chinese coastguard sent six officers to board a Taiwanese tourist boat to check its route plan, certificate and crew licences, after Beijing said days earlier there was no such thing as prohibited or restricted waters around Quemoy and other Taiwan-held islets.

Beijing accused the self-ruled island’s coastguard of using “violent and dangerous methods” that had caused the death of two fishermen. Taiwanese authorities said the mainland Chinese fishing boat was not licensed, illegally entered its “prohibited or restricted waters”, and capsized as it tried to flee from an inspection by Taiwan’s coastguard.

On Tuesday, Chiu called for “smooth handling of the case to keep it from escalating”.

KMT deputy chief Andrew Hsia starts mainland China trip with call for dialogue

Meanwhile, a local-level mainland delegation, including officials and relatives of the dead fishermen, were in Quemoy to seek compensation and an apology from the island’s coastguard to the bereaved families.

No agreements had been reached since the two sides began talks began on February 20, according to Taiwanese media.

Beijing – which views Taiwan as part of its territory, to be reunited by force if necessary – suspended official talks and exchanges with the island in 2016 when Tsai Ing-wen, of the independence-leaning DPP, was elected president and refused to accept the one-China principle.

Most countries, including the United States – Taiwan’s informal ally and largest arms supplier – do not recognise the island as an independent state, but Washington is opposed to any unilateral change of the status quo by force.

Why isn’t China letting Russia take out yuan loans in their ‘no-limits’ partnership?

https://www.scmp.com/economy/china-economy/article/3253383/why-isnt-china-letting-russia-take-out-yuan-loans-their-no-limits-partnership?utm_source=rss_feed

In long-running discussions with China over whether Russia will be allowed to take out loans in the yuan, the lack of any formal decision could boil down to Beijing adopting a measured approach amid international scrutiny over its relationship with Moscow against the backdrop of the two-year-old Ukraine war, according to analysts.

In recent days, more Chinese firms were sanctioned by the Western world amid accusations that they have aided Russia in its war, through business connections.

Restricted from Western financial networks and the US dollar, Russia has turned to its southern neighbour with whom it boasts a “no-limits” partnership, and has thereby embraced greater use of the Chinese yuan as their financial cooperation has intensified.

In an interview with the state-run RIA Novosti news agency on Monday, Russian finance minister Anton Siluanov said that his nation’s budget laws would allow for it to issue loans in yuan, and that “negotiations with Chinese partners have been ongoing for quite some time” but no decisions had been made.

EU blacklists Chinese firms for first time in latest Russian sanctions package

Dong Jinyue, a senior economist at BBVA Research, said that while enhanced ties on the financial front between the two countries could help internationalise China’s currency, Beijing also tends to play it safe when upholding its “neutral stance” regarding the Ukraine war.

“Chinese commercial banks should also consider the safety and returns of yuan loans to Russia, beyond political considerations,” she added. “For instance, what is the risk premium, given the ongoing Russia-Ukraine war, and how would they hedge the currency risks given the large volatility of the Russian rouble?”

Dong noted that the relatively weak financial market in Russia, coupled with an underdeveloped financial infrastructure – including for cross-border yuan settlements and products – are other challenges for both sides to work out in terms of allowing Russia to take out yuan loans.

And Li Lifan, a Russia and Central Asia specialist with the Shanghai Academy of Social Sciences, said that while Russians are willing to widely spend yuan domestically, “there is a need to think deeply about whether their consumption power can persist.”

The transaction rate between the rouble and yuan is high, with the Chinese currency accounting for one-fourth of Russia’s exchange reserves, Li noted, while Russia can also use the yuan to exchange for US dollars.

However, “the creditor is always the party that has more concerns than the debtors in any loan business”, he said.

A total of 17 companies from mainland China and Hong Kong were among more than 500 targets of fresh sanctions imposed on Friday by the United States, which accused them of shipping equipment to Russia or otherwise providing it with support in its war effort.

In response, China’s Ministry of Commerce said that the US was launching “unilateral sanctions through economic coercion”.

“The Chinese side strongly opposes such behaviours,” commerce authorities said in their official statement. “[The US] has violated international order and disrupted the stability of the global supply chain.”

EU sanctions on Chinese firms ‘will have little impact on Russia’s war in Ukraine’

The Ministry of Foreign Affairs also said that Beijing would carry out “necessary measures” to defend Chinese companies.

“Russia and China are engaged in normal bilateral trade and economic cooperation,” foreign ministry spokeswoman Mao Ning said at a regular press conference on Monday. “[We] don’t target third parties and won’t be disturbed by any other third parties.”

Beijing and the Kremlin saw their bilateral trade, mainly in oil and gas, hit a record high of US$240 billion last year, and Chinese companies entered the Russian market where Western companies pulled out.

On the financial front, both signed audit and supervision deals to facilitate bilateral capital flows and bond issuance in December.

US, allies set out 6G principles as tech rivalry with China heats up

https://www.scmp.com/news/china/science/article/3253414/us-allies-set-out-6g-principles-tech-rivalry-china-heats?utm_source=rss_feed

The United States and nine other nations have backed a set of principles to advance 6G technology, as the race heats up with China to develop the next-generation wireless networks.

In a joint statement on Monday, the nations set out their principles for 6G communication systems, including that they are developed with “trusted technology that is protective of national security”.

The statement was released by the US, Australia, Canada, the Czech Republic, Finland, France, Japan, South Korea, Sweden and the United Kingdom.

It also emphasised the creation of secure, resilient and privacy-protecting technologies that adhere to global standards.

It called for open innovation, underpinned by international collaboration, to ensure 6G is affordable, sustainable and accessible worldwide, including in developing nations.

The statement also stressed the importance of efficient spectrum use and secure supply chains to support a competitive and innovative 6G ecosystem.

Sixth-generation wireless technology, or 6G, promises to revolutionise communication with data transmission speeds up to 50 times faster than 5G.

Latency – the delay in sending and receiving information – is expected to be reduced to one-tenth of its predecessor.

And 6G is also expected to outperform 5G in peak data rates, the number of connections, mobility, spectrum efficiency and positioning capabilities.

Some experts believe 6G could bring disruptive innovations in communication, and the competition to dominate the technology is being seen among governments and tech giants worldwide, with every aspect – from setting standards to manufacturing devices – under scrutiny.

It is not yet clear when 6G will be available to the public, but most estimates point to around 2030.

Chinese scientists move step closer to satellite internet, 6G network

Monday’s statement emphasised the goal of creating a secure, inclusive and sustainable 6G ecosystem, saying “collaboration and unity are essential in addressing the significant challenges we face in the development of 6G technology”.

The partners include nations that are home to telecoms powerhouses such as AT&T in the US, Nokia in Finland, Ericsson in Sweden and Samsung in South Korea. But the list notably excludes China.

A Beijing-based analyst with market research company IDC saw the move as an effort to contain China’s development of 6G, but said it may not be effective.

The analyst, speaking on condition of anonymity, noted that 6G was still at the research stage worldwide and said its trajectory would depend on how commercial practices and technological principles evolved.

Chinese scientists look to 6G to hunt submarines

A researcher from a Chinese university, who also declined to be identified, said the size of markets where the technology is being developed was also a factor. He said China had a unique advantage given its vast user base compared to countries with smaller populations like Australia.

China has made significant progress in wireless communications, quietly moving to the forefront during the 5G era. The country leads the world in the number of base stations, connected devices and owned patents, marking a big leap from its position during the 3G era and aligning its development pace with global standards by the 4G era.

The researcher said the latest move was unlikely to hinder China’s progress on developing 6G wireless communication systems, noting that tech giants such as Huawei Technologies would have independent strategies for 6G.

China’s Middle East balancing act need not tip over into support for Hamas attacks

https://www.scmp.com/news/china/diplomacy/article/3253420/chinas-middle-east-balancing-act-need-not-tip-over-support-hamas-attacks?utm_source=rss_feed

For years, China has been one of the few countries to maintain cosy relations with Iran, the Arab states and Israel.

Although Beijing has never been a big player in Middle East politics, its position has reaped many economic benefits, from fuel imports from Iran and Saudi Arabia to imports of advanced technology from Israel in the 1990s.

Although Israel eventually stopped these sales due to pressure from the United States, it continued to have good economic relations with China.

That was why during the early days after the Hamas attack on Israel on October 7, Beijing was careful in its response, although it has not condemned the group’s actions.

Since then it has positioned itself as a champion of the global south against meddling in the region by the United States, but there is no sign it has any fundamental hostility towards Israel.

However, it has prioritised its relations with global south partners as well as putting its relationship with the likes of Iran, which is an important source of cheap energy, over that with Israel.

It has also been quick to condemn the US as the main obstacle to peace in Gaza, condemning Washington for vetoing resolutions calling for a ceasefire at the United Nations.

Palestinians want China to mediate in the Israel-Gaza war. What’s stopping it?

This week also saw Beijing’s representative criticising Israel during a hearing by the International Court of Justice about the legality of its occupation of the Palestinian territories.

This move was widely expected given China’s long-standing policy that there should be an independent Palestinian state based on the 1967 border, but the presentation to the ICJ by foreign ministry legal adviser Ma Xinmin was both surprising and confusing.

Ma spoke at length about the legitimacy of armed struggles by Palestinian people against foreign oppression, and how they were not terrorist acts as long as they were carried out in occupied territory.

“In pursuit of the right to self-determination, the Palestinian people’s use of force to resist foreign oppression and complete the establishment of an independent state is an inalienable right, well-founded in international law … Armed struggle in this context is distinguished from acts of terrorism.”

It is not clear if Ma was referring to the October 7 attack by Hamas because he also added that such armed struggles should not violate the international laws on terrorism.

While there is no universal agreement on the definition of terrorism, a 1937 convention defined it as criminal acts intended to instil fear against a state, a group of people or individuals.

It is also not clear if Ma was simply repeating China’s long-standing position in support of the Palestinian cause because the wording was similar to some of Beijing’s past statements in support of the Palestine Liberation Organisation.

However, it quickly drew complaints from Israel and praise from Hamas.

While calling for a ceasefire based on enormous casualties in Gaza is totally understandable, legitimising the gruesome acts of October 7 will only encourage more attacks by jihad groups, and risk escalating tensions in the region.

Hamas also has fundamental differences with the PLO. Although the latter has a history of armed struggle, it is a fundamentally a nationalist group that eventually recognised the state of Israel as part of the 1990s Oslo peace process.

Pressure mounts on Israel for Gaza ceasefire as China warns of ‘disaster’

By contrast, the jihadist nature of Hamas means it would be difficult for the organisation to change its goal of eliminating Israel in turn making it harder to reach a lasting peace settlement with the Jewish state.

Actions should be taken to protect lives of civilians in Gaza and the humanitarian crisis in the strip is appalling, but that does not mean the October 7 attack should be legitimised.

Let us hope Ma’s comments in support of armed resistance were not referring to the Hamas attack.

Advanced satellites, space station and historic moon mission: China’s rocket launches will increase 50% this year

https://www.scmp.com/news/china/science/article/3253346/advanced-satellites-space-station-and-historic-moon-mission-chinas-rocket-launches-will-increase-50?utm_source=rss_feed

China is planning 100 launches to send more than 300 spacecraft into orbit in 2024 – a new national record and a sharp rise from last year.

Among them, about 70 launches will be conducted by the China Aerospace Science and Technology Corporation (CASC), the country’s main space contractor revealed in its annual blue book on Monday. The others will be commercial launches.

It represents a 50 per cent increase from last year’s 67 launches in total. The ratio of government versus private launch attempts remains the same, however, despite China’s rapidly expanding commercial space sector.

Major missions this year will include two crewed and two cargo flights to the Tiangong space station in low-Earth orbit, according to the blue book.

CASC will also launch the Queqiao-2 relay satellite and the Chang’e-6 lunar far-side sample return mission, and help China push ahead with its moon ambitions.

Other missions include the Chinese-French multi-band astronomical Space Variable Objects Monitor, the China Seismo-Electromagnetic Satellite with Italy and the retrievable Shijian-19 space science satellite, among others.

Jonathan McDowell, a Harvard astronomer who tracks rocket launches and space activities, said he was most interested in the Chang’e-6 mission, which is slated to lift off in May.

He said no country – not even the US – had returned rocks from the far side of the moon, and it was much more difficult to touch down on the far side than the near side. “Chang’e-6 is definitely the most challenging thing China is planning in space in 2024,” he told the South China Morning Post by email on Monday.

Chinese start-up Galactic Energy plans reusable rocket debut this year

A major difference between China and the US was that government rockets still played a very large role in Chinese launches, but it was no longer the case in the US, McDowell said.

In 2024, the Texas-based company SpaceX alone is aiming for 144 orbital missions, further ramping up its launch cadence from around one launch every four days to one in less than three days.

Another difference is rocket reusability, especially the multiple use of the first stages of SpaceX’s Falcon 9 rocket, “which is not something China does yet”, McDowell said.

Falcon 9’s first stage has been used as many as 19 times to fundamentally reduce launch costs. In China, only a handful of start-ups have conducted so-called hop tests to raise and land prototype reusable rockets a few hundred metres into the air.

In 2024, CASC will carry out the maiden flight of two new rocket models, namely March 6C and Long March 12, neither of which can be reused, the blue book said.

China’s pocket Jielong 3 rocket launches busy year of commercial missions

Private launch companies such as LandSpace, Galactic Energy and Orienspace are eyeing a debut flight in 2025 for their reusable rockets.

There is a lot of incentive for private companies to compete for orders from central and local governments to help assemble large constellations – including the near 13,000-satellite Guo Wang often seen as a rival to SpaceX’s Starlink, a space-based internet service with both civilian and military applications.

State TV airs China’s first AI-developed cartoon series, as Sora sets off frenzy for text-to-video generation tech

https://www.scmp.com/tech/policy/article/3253390/state-tv-airs-chinas-first-ai-developed-cartoon-series-sora-sets-frenzy-text-video-generation-tech?utm_source=rss_feed

State broadcaster China Media Group aired the country’s first cartoon series made with the help of generative artificial intelligence (GenAI) services, including text-to-video tools similar to OpenAI’s Sora, as the government calls on state-owned firms to pilot the use of AI in their businesses.

The 26-episode series, which debuted on Monday, features some of the most fabled classical Chinese poetry and their backstories, with each instalment lasting around 7 minutes, according to a statement published on the WeChat account of the Shanghai Artificial Intelligence Laboratory (SAIL).

GenAI – including China Media’s CMG Media GPT, a model trained using the broadcaster’s vast trove of video and audio materials and SAIL’s AI technology – was used in every stage of the production process, from art design to video generation and post-production, SAIL said.

CMG Media GPT was trained by feeding it with a large amount of data, enabling it to generate artwork and animated scenes that embody the style of traditional Chinese ink-wash paintings and conform with the architecture design and appearance of people from ancient times.

“The CMG Media GPT provides animation producers with a low-cost and efficient concept-design tool for character and scene designs,” SAIL said in the statement.

The cartoon show came after the state broadcaster pledged to fully adopt the new technology.

“We will delve deeper into technological innovation, embrace the internet and AI … [and] build a ‘powerful engine’ and ‘driving force’ for a new type of international mainstream media,” Shen Haixiong, head of China Media, said at the group’s working conference last week, according to a company WeChat post.

Shen’s pledge echoed calls from China’s state asset manager to make AI an integral part of their development plans and accelerate their push into the AI sector.

The State-owned Assets Supervision and Administration Commission (SASAC) held a seminar last week to promote the development and use of AI across central state-owned enterprises (SOEs). These are firms managed directly by the State Council, China’s cabinet, or its authorised agencies, such as the Finance Ministry.

The SASAC urged SOEs to embrace the “profound changes” brought upon by the new technology trend, and to give AI development higher priority while putting resources into the most needed and advantageous areas.

While state-owned CMG Group is not a central SOE, it has jumped on the AI bandwagon along with other Chinese companies, including Big Tech firms.

Central SOEs have total assets of 86.6 trillion yuan (US$12 trillion) at the end of 2023.

By comparison, the market value of China-listed internet firms, which are at the forefront of domestic efforts to build Chinese equivalents of ChatGPT, totalled 11.1 trillion yuan by the end of first quarter of 2023, according to the latest figures from the state-affiliated China Academy of Information and Communications Technology.

The SASAC has asked SOEs to play a bigger role in the nation’s AI development and seize the opportunity to boost high-quality growth.

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Restructuring specialists boost Hong Kong staff as China property crisis stokes demand

https://www.scmp.com/business/banking-finance/article/3253325/restructuring-specialists-boost-hong-kong-staff-china-property-crisis-stokes-demand?utm_source=rss_feed

Global restructuring specialists Alvarez & Marsal and Houlihan Lokey have boosted headcount in Hong Kong as China’s property crisis results in a surge in debt restructuring deals – making them a rare bright spot in hiring for the city’s financial sector.

China’s property industry, a key pillar of the world’s second-largest economy, has lurched from one crisis to another since 2021 after a regulatory crackdown on debt-fuelled construction triggered a liquidity squeeze.

According to a Reuters tally, around 20 Hong Kong-listed Chinese real estate developers have defaulted on dollar bonds which would require them to enter into restructuring talks with creditors or face liquidation.

Alvarez & Marsal, which saw two of its managing directors appointed last month by a Hong Kong court to liquidate property giant China Evergrande Group, said its China business had about 260 staff as of end-January, up from about 200 a year ago.

It declined to provide a breakdown of its hiring but industry sources with direct knowledge of the matter said the New York-based firm had been building up its restructuring and corporate performance units. The sources were not authorised to speak to media and declined to be identified.

Houlihan has advised Evergrande as well as Sunac China – the first Chinese developer to complete an offshore debt revamp in the wake of the crisis. It said its team in Hong Kong and China has expanded over the past two-and-a-half years.

China Aoyuan wins Hong Kong court sanction for plan to cure defaulted debts

“Over this period, the team has grown by more than 50 per cent. We believe there is opportunity for continued growth in China and we are actively recruiting for four additional team members at the moment,” a spokesperson said without giving a specific number.

Demand for debt restructuring professionals has seen a significant uptick since the beginning of 2023 and the trend is expected to continue this year, said Chris Corcoran, financial services senior manager at headhunter Robert Walters.

“It feels like a week doesn’t go by where there isn’t another story about a large company considering some form of restructuring,” he said, adding that this was occurring across various sectors.

Additionally, US law firm Sidley Austin said it now has seven lawyers in Asia in its restructuring practice which was created in the past couple of years. The team works alongside its four capital market partners in Asia, it added.

The hiring by restructuring specialist firms contrasts with the numerous investment banking jobs being cut in Hong Kong and on the Chinese mainland – cuts that are expected to gather pace this year due to deepening economic and market gloom in China.

That gloom has contributed to a sharp plunge in Hong Kong and mainland stock market and deal activity, weighing on the city’s prospects as a regional financial hub.

Winning a restructuring deal usually means handsome fees.

Advisers employed by restructuring companies and bondholder groups are paid monthly retainers, milestone payments when specific stages are achieved, and success payments when the deal is completed.

In the case of property developer China Aoyuan, whose US$6 billion offshore debt restructuring deal went into effect last month, fees for its nine legal advisers and counsel including Linklaters came to a total of US$16 million, according to filings.

Fees for its financial advisers – KPMG, Deloitte and Admiralty Harbour – were US$11.7 million, the documents showed.

Due to the uncertainty and complexity involved in these deals, however, so-called success payments may not eventuate.

After close to two years of negotiations, Evergrande and its bondholder group’s advisers are not able to receive these payments because the company was ordered into liquidation.

Can you believe this Chinese man is 70 years old? Punishing daily exercise regime spanning 45 years sustains looks, attitude of a 20-something

https://www.scmp.com/news/people-culture/china-personalities/article/3252849/can-you-believe-chinese-man-70-years-old-punishing-daily-exercise-regime-spanning-45-years-sustains?utm_source=rss_feed

A 70-year-old grandfather in China is so enthusiastic about fitness and mountain climbing that he has the physique – and the athletic abilities – of a man half his age.

Zou Heping, from Chongqing city in southwest China, uses the nearby Gele Mountain as his natural, outdoor gymnasium.

Standing at 678 metres (2,224 ft) above sea level, the mountain is a gathering place for sports and fitness enthusiasts. It is also equipped with fitness equipment, parks, and hiking trails.

Zou’s daily fitness routine includes weighted pull-ups, rope or pole climbing, handstands, and the most significant activity of all, scaling the mountain.

With more than 2,500 steps from the foot to the summit, it takes him an hour to ascend and 50 minutes to descend.

Zou has devised unique climbing techniques which include frog-jumping uphill and an alligator-style crawling on the way down.

“Crawling doesn’t hurt the knees, it trains limb coordination,” he said.

Even young people cannot match the septuagenarian. Some have tried, but had to give up, he said.

Zou’s fitness journey began in 1979 when he realised the importance of running while reading a magazine.

He then started running uphill, a routine he has maintained for 45 years.

In the early days, Zou would wake up at 5:30 am every day and carry a 20kg (44lbs) load of water on his run before going to work at 8am.

Now, he runs every day, rain or shine, often topless and barefoot.

Despite his age Zou has black hair and six-pack abs.

Revealing the secret to maintaining his youthful physique, Zou said: “Life lies in running, and the most important thing is to exercise, preserve your fitness and develop a good lifestyle.”

He has abstained from alcohol or cigarettes for four decades and always gets to bed early.

His story has inspired many on mainland social media.

“Grandpa Zou is amazing, his core strength is incredible, at 70, his physical status is like a 17-year-old,” said one online observer.

“Age is never a limit. Indeed, life lies in exercise. Only a healthy lifestyle can keep us forever young,” said another.

“I am not even 30 years old yet, but I feel like this grandfather would knock me down with just one punch,” added a third.

Israel says China’s support for Palestinian ‘right to self-defence’ may be seen as support for October 7 attack

https://www.scmp.com/news/china/diplomacy/article/3253398/israel-says-chinas-support-palestinian-right-self-defence-may-be-seen-support-october-7-attack?utm_source=rss_feed

Israel’s foreign ministry has said China’s recent statements of support for Palestinian self-determination could be interpreted as support for Hamas’ attack on Israel on October 7.

The Israeli government responded on Monday to China’s comments at an International Court of Justice (ICJ) hearing on Israel’s occupation of the Palestinian territories.

At the hearing, China’s representative Ma Xinmin cited the United Nations Charter and previous UN resolutions in a statement in support of the Palestinian right to self-determination, saying that “numerous [UN General Assembly] resolutions recognise the legitimacy of struggling by all available means, including armed struggle”.

“The Palestinian-Israeli conflict stems from Israel’s prolonged occupation of Palestinian territory and Israel’s long-standing oppression of the Palestinian people,” Ma said.

“The Palestinian people fight against Israeli oppression, and their struggle for completing the establishment of an independent State on the occupied territories are, essentially, just actions for restoring their legitimate rights. The right to self-determination serves as the precise legal foundation for their struggle.”

Ma said struggles for self-determination “should not be considered terror acts,” but that during armed struggle “all parties are obliged to comply with international humanitarian law and, in particular, to refrain from committing acts of terrorism in violation of international humanitarian law”.

Hamas on Friday responded to China’s statement in a Telegram channel, saying, “We also appreciate the position expressed by the People’s Republic of China, and its emphasis on the legality of the occupied peoples’ pursuit of self-determination, by various means, including armed resistance, and the necessity not to confuse terrorism with the armed struggle practised by the Palestinian people against the Zionist occupation”, according to The Jerusalem Post.

Biden hopes for Gaza ceasefire in days as Israelis, Hamas take part in talks

On Monday, Israel’s foreign ministry spokesman Lior Haiat condemned China’s statement, saying it “could be interpreted as support for the murderous terrorist attack committed by Hamas on October 7”.

“The laws of war do not permit the systematic and deliberate attack of civilians or the use of civilians as human shields, two war crimes that Hamas commits in the name of ‘armed struggle’,” Haiat said.

“China should ask itself why the Hamas terrorist organisation was so quick to praise the words of the Chinese legal adviser at the ICJ.”

Hamas’ October 7 attack killed about 1,200 Israelis, many of them civilians, while Israel’s retaliatory war in Gaza has killed more than 29,000 people, including more than 12,000 children.

Since the beginning of Israel’s current war against Hamas in Gaza, China has called on “all parties” to end the fighting and advocated for negotiations towards a two-state solution to resume. China has not specifically named Hamas in its statements or labelled its actions terrorism, in contrast to many Western countries.

Although China has repeatedly expressed a desire to play a direct role in realising peace in Israel and Palestine, it has been passive on issues such as the Houthi strikes on ships in the Red Sea as it attempts to grow its influence in the Middle East.

Hongda Fan, a professor at the Middle East Studies Institute at Shanghai International Studies University, said China’s recent International Court of Justice statements did not represent a change in its stance on the conflict, but did reveal an escalation in its support and concern for Palestinians to the dissatisfaction of Israelis.

Palestinian Territories’ prime minister Shtayyeh quits

“Since the establishment of formal diplomatic relations with Israel in 1992, China has always emphasised the peaceful resolution of the Palestinian-Israeli conflict through political means, and indeed rarely emphasised the Palestinian people’s right to use force to resist Israel,” Fan said.

“Although China’s statement complies with international law, it does further highlight China’s position on the Palestinian-Israeli conflict to a certain extent.”

‘Shining on international stage’: Chinese developers of OpenAI’s text-to-video generator Sora receive acclaim at home

https://www.scmp.com/tech/tech-trends/article/3253371/shining-international-stage-chinese-developers-openais-text-video-generator-sora-receive-acclaim?utm_source=rss_feed

At least two Chinese developers involved in building Sora, the newly released text-to-video generator from ChatGPT creator OpenAI, have received acclaim on the mainland for their efforts, showing how the advanced generative artificial intelligence (AI) technology has ignited interest across the country where the Microsoft-backed start-up’s services are not officially available.

Unveiled by OpenAI on February 16, Sora can generate videos up to a minute long, while maintaining visual quality and adherence to a user’s prompt. It is able to generate complex scenes with multiple characters, specific types of motion, and accurate details of the subject and background based on what a user has asked for.

Two of the 13 members of the Sora development team, Jing Li and Ricky Wang Yu, were recently singled out on the mainland for their efforts.

Jing joined San Francisco-based Open AI in October 2022, while Wang has only been with the company for about two months, according to their respective LinkedIn profiles.

Jing was praised by alma mater Wuhan No 2 High School in central Hubei province for “shining on the international stage”, according to a post on Monday in the school’s official WeChat account.

Wang graduated in 2013 from NSFZ, the high school affiliated with Nanjing Normal University in eastern Jiangsu province, according to separate reports last week by Modern Express and Yangtze Evening Post, newspapers which are both backed by the provincial government.

“The innovation from Wang and his team has become a hot topic that continues to attract the attention of teenagers, including NSFZ students”, the Modern Express article said.

The spotlight received by Jing and Wang reflects how mainland China’s business and technology communities have expressed excitement over how Sora further advances AI applications, even though concerns remain that US sanctions could prevent the mainland from keeping up with this progress.

OpenAI’s Sora pours ‘cold water’ on China’s AI dreams

China-educated talent is considered as one of the major resources to advance next-generation technologies in the United States, according to MacroPolo, an in-house think tank of the Paulson Institute in Chicago. It found that 27 per cent of AI researchers at American institutions are from China, making up the second-largest geographical group after the US, with 31 per cent.

Jing – one of the principal developers behind Dall-E 3, OpenAI’s most powerful image-generation model – was lauded by his alma mater for being included in Forbes magazine’s 2019 “30 Under 30” list in China and winning the gold medal in the 2010 International Physics Olympiad, according to the Wuhan No 2 High School’s WeChat post.

Before he joined OpenAI, Jing worked for more than two years at Facebook owner Meta Platforms, according to his LinkedIn profile. He co-founded optical computing start-up Lightelligence a year after obtaining his Doctorate of Philosophy in physics from the Massachusetts Institute of Technology in 2019. He graduated from China’s Peking University in 2014 with a bachelor’s degree in physics.

Wang, meanwhile, started his professional career at Meta and its subsidiary Instagram, according to his LinkedIn profile. Wang received his undergraduate education at University of California, Berkeley, right after completing high school.

Chinese entrepreneurs express awe and fear of OpenAI’s Sora video tool

Another Chinese developer could be involved in Sora’s development. But there is little information about Guo Yufei, who is also in the primary product team of Dall-E 3.

Xie Saining, an assistant professor of computer science at Courant Institute of Mathematical Sciences at New York University, has denied his involvement in Sora’s development.

In a widely reported social media post, Xie raised the question of whether China is ready for Sora. He said the country should first make sure that the technology “won’t be abused to serve as a profiteering and manipulation tool by some people or groups”.

Sora, however, is not the first of its kind. Google, Meta and start-up Runway are among the other US companies to have demonstrated similar technology.

But the high quality of videos created by Sora, which is not yet available to the public, astounded many observers when the AI tool initially displayed its capabilities online on February 16.

On its website, OpenAI said the current version has weaknesses. “It may struggle with accurately simulating the physics of a complex scene, and may not understand specific instances of cause and effect,” the company said. “For example, a person might take a bite out of a cookie, but afterward, the cookie may not have a bite mark.”

China’s top court launches new database of verdicts amid fears over declining transparency

https://www.scmp.com/news/china/politics/article/3253399/chinas-top-court-launches-new-database-verdicts-amid-fears-over-declining-transparency?utm_source=rss_feed

China’s top court has launched a new database of verdicts after a controversial move to roll back access to rulings stoked fears about a decline in transparency.

A Supreme People’s Court spokesman told reporters in Beijing on Tuesday that the public could now access the new database of court verdicts from its website.

The database – with more than 3,700 rulings currently archived – was introduced to help make verdicts “more standardised, timely, systematic and consistent” and to make it easier to search for cases, the spokesman said.

It will be a supplement to the existing China Judgments Online, or CJO, another website run by the Supreme People’s Court.

CJO – an important resource for lawyers, academics and the public – was thrown into the spotlight in December when the Supreme People’s Court admitted that Chinese courts were uploading fewer verdicts to the website, citing security and privacy reasons.

China’s top court pledges more transparency after sharp drop in uploaded rulings

It said there were 19.2 million court rulings uploaded to CJO in 2020, but that had dropped to 10.4 million in 2022, and just 5.1 million in 2023.

The top court pledged to set up a new website for judges and court staff to access verdicts, as well as the new database for the public.

But many academics have raised concerns over a deterioration in transparency, saying the move is a retreat from efforts to improve the disclosure of court rulings since the CJO website was launched in 2013.

“We attach great importance to judicial openness,” the Supreme People’s Court spokesman said. “We will not close the China Judgments Online website. We will continue to operate and optimise the website, while providing the verdict database service to address demands from legal industry insiders and the public.”

The spokesman did not say whether CJO would be scaled down further, or give any update on the new website for judges and court staff.

He said that in the public database, civil cases accounted for about 44 per cent of the rulings, criminal cases 39 per cent, administrative cases 11 per cent and the rest were state compensation and enforcement cases.

A search by the South China Morning Post did not find any cases involving state secrets or national security.

How is China changing its state secrets law and who will be affected?

The spokesman said the database aimed to provide a resource for litigation and rulings and it could offer “authoritative guidance to judges” and help improve the consistency of rulings.

He said it could also be used by the public to study the law, improve awareness and self-protection, and to reduce the number of “unnecessary lawsuits” after seeing how similar cases were handled.

Cases in the database include crimes concerning theft, swindling, drug trafficking, intentional injury and assisting in cybercrimes.

There are also cases ranging from the protection of private company assets and the rights and interests of entrepreneurs to internet violence, telecoms scams and food safety.

The court spokesman said this was aimed at helping achieve “economic and social development” and to “serve the people”.

“The number of cases is currently limited. However, they can already basically satisfy the demand from legal practices,” he said. “We’ll expand and update the database in a timely manner.”

Former Chinese defence minister Li Shangfu removed from Central Military Commission as downfall gathers pace

https://www.scmp.com/news/china/politics/article/3253388/former-chinese-defence-minister-li-shangfu-removed-central-military-commission-downfall-gathers-pace?utm_source=rss_feed

China’s former defence minister Li Shangfu has been removed from a key military command body, according to the defence ministry’s website.

The website still listed Li as a member of the Communist Party’s Central Military Commission late last week, but it was not there on Tuesday.

It is not clear when exactly his name was removed, and Beijing has not made any public announcements about his removal or explained when the decision was taken.

Li, who had not been seen in public since late August, was removed as defence minister and state councillor without explanation at a meeting of the National People’s Congress Standing Committee in October last year. He had only been in the post for months.

China’s top legislative body to discuss ‘appointments and dismissals’

The Central Military Commission is a parallel system for the party and the state, with the same membership. Li had already been removed from the state CMC in October.

Li is still a member of the party’s Central Committee and retains his seat in the legislature.

Last year also saw a number of senior generals being removed from their commands, prompting speculation that President Xi Jinping’s anti-corruption drive is deepening in the military.

Those affected include the leadership of the People’s Liberation Army Rocket Force who were responsible for the country’s nuclear arsenal.

Nine of those commanders were also stripped of their seats in the legislature in December.

The NPC this month said the nine were suspected of “violations of discipline and the law”, usually a euphemism for corruption.

Questions have also been raised about the fate of Li’s predecessor Wei Fenghe, after he did not appear on a list of senior officials who received Lunar New Year greetings from the leadership – a common courtesy. Wei has not been seen in public since then.

Removal of China’s defence minister ends Li Shangfu’s stratospheric career

New Defence Minister Dong Jun, a former head of the navy, has not yet been given the rank of state councillor or a seat on the CMC, something all previous defence ministers have received.

The NPC Standing Committee met on Tuesday ahead of next week’s meeting of the full legislature –both events that might provide a window of opportunity to confirm those appointments.

Additional reporting by Amber Wang

To forge a ‘one-China market’, Beijing must overcome local resistance

https://www.scmp.com/comment/opinion/asia/article/3253060/forge-one-china-market-beijing-must-overcome-local-resistance?utm_source=rss_feed

With tensions growing at home and abroad ahead of China’s third plenum, a key economic planning session, the government faces the dual challenge of managing its relations with the local authorities and, more critically, of fostering cooperation between the local governments in the national pursuit for greater economic integration.

The challenge is that the local authorities have a strong tendency to prioritise local economic development. They do collaborate, notably in the Yangtze River Delta between Jiangsu, Zhejiang and Shanghai, as well as in economic clusters such as the Greater Bay Area. But cooperation rarely goes beyond relatively small areas.

In 2021, China released its 14th five-year plan, vowing to “accelerate the development of a unified domestic market” and “optimise the market environment according to internationally advanced rules and best practices”. Since then, the central government has ramped up its focus on the domestic economy under its “dual circulation” strategy.

Last December, the State Council unveiled a host of measures to accelerate the integrated development of domestic and international trade. In pushing for a dual circulation economy, the central authorities have introduced pilot programmes across nine regions to integrate local and foreign trade, encouraging enterprises, industry clusters and brands to support the effort.

Implementation, however, is proving more challenging than conceptualisation. A critical question is whether economic unification is feasible in a country as diverse as China. Also, to what extent are incentives necessary for the local authorities to embrace the concept of a “one-China market”?

Despite the difficulties, some progress has been made, most prominently in the cooperation between the cities of Shanghai and Chongqing.

As part of a vision to establish a financial centre in western China by next year, Chongqing has ambitions to develop into a financial centre in the footsteps of Shanghai. Agreements have been signed to support this endeavour, with the Shanghai Stock Exchange and major brokerage Guotai Junan Securities pledging support. Including Shanghai, Chongqing’s partners have promised investment, financial help and commerce.

But the cooperation between two top-tier cities directly governed by the State Council is not representative of the situation across the country.

For instance, the provinces of Guangdong and Heilongjiang have an extensive cooperation pact, including helping each other in pushing economic reforms. In particular, the cities of Shenzhen and Harbin have agreed to combine Shenzhen’s economic, technological and management superiority with Harbin’s strengths in natural resources, property and space to develop their economies to greater advantage.

In practice, however, cooperation between the two regions has been less than ideal. The cultural difference between the south’s business-oriented mentality and north’s more conservative approach has been seen as an obstacle to more effective cooperation.

Even for the Greater Bay Area, with its focus on building internationally competitive advantages, in line with China’s strategy to build economic strengths in global markets, the strategy is primarily focused on Guangdong, reinforcing its position as an exceptional economic region on the mainland.

In addressing the complexities of economic integration, the leaders in Beijing must get local players to buy in.

There is the carrot-and-stick approach. Local leaders who fail to cooperate properly could find their political careers limited even as incentives can be offered, such as special funding for interprovincial projects. The previous focus on provincial-level economic achievements and moves such as money transfers to local authorities have only strengthened the protectionism mentality, narrowing the space for cooperation.

The increasing centralisation of power under the central government in recent years may be a factor in boosting local cooperation, especially as local governments rack up huge debts in pursuing development. Estimates of the debt level varies; the finance ministry said it exceeded 40 trillion yuan (US$5 trillion) last October, a record high.

Can China’s Communist Party be everything everywhere all at once?

Economic centralisation, however, raises questions about the traditional divisions of responsibility. Under Deng Xiaoping’s reforms, China enjoyed a high level of economic decentralisation and growth as it embraced globalisation and developed as an export-led economy.

Now, as the country moves towards a more domestic-oriented economy, the government faces challenges in bringing together local players to cooperate, rather than compete, with one another as it tries to shape a one-China market.

With economic and technological development still uneven across geographical lines, Beijing’s dream of achieving a unified Chinese market looks set to be dominated by fierce local competition for domestic and international investments and resources.

Senior Chinese, Russian diplomats talk security, Ukraine as war enters third year

https://www.scmp.com/news/china/diplomacy/article/3253354/senior-chinese-russian-diplomats-talk-security-ukraine-war-enters-third-year?utm_source=rss_feed

Senior diplomats from China and Russia have met in Moscow and discussed the war in Ukraine, according to Russia’s foreign ministry, as the invasion enters its third year.

Sun Weidong, China’s foreign vice-minister, was hosted by Russian Foreign Minister Sergey Lavrov in Russia’s capital city on Monday, as they “discussed a range of pressing topics, including the Ukrainian crisis and the situation on the Korean peninsula”, according to a Russian statement.

They also agreed to improve coordination in key international organisations, including the Brics countries, a bloc of major emerging economies.

China’s support for Russia ‘very troubling’, says US ambassador

Russia assumed the presidency of the association at the beginning of this year, and President Vladimir Putin has said that his country would hold a leaders’ summit in Kazan in October.

“A confidential discussion was held on ensuring security in the Eurasian space, as well as in the Asia-Pacific region, given the active attempts by the West to create small-bloc military-political associations in the region,” the readout said, using the term that usually refers to the post-Soviet areas, in particular Russia and Central Asia.

Monday’s meeting came just days after the anniversary of the start of Russia’s invasion of Ukraine two years ago.

On Sunday, Ukrainian President Volodymyr Zelensky told CNN that Russia was preparing a new offensive against Ukraine, which could begin in early summer.

EU blacklists Chinese firms for first time in latest Russian sanctions package

The war, which has left hundreds of thousands of dead, has also deepened the political split between Western democracies such as the United States and its major allies in Europe, and Russia and China. Beijing has not condemned Putin and has steadily expanded its “no-limits” strategic partnership with Moscow.

Senior officials of the two countries meet from time to time to discuss bilateral cooperation from trade to military, while Putin and Chinese President Xi Jinping met twice – in person – last year alone. The Russian leader is expected to visit China this year, China’s ambassador to Russia Zhang Hanhui said in an interview last month.

Sun, who is in charge of Asian affairs in the Chinese foreign ministry, was in Moscow for a working visit. Last month, Ma Zhaoxu, China’s executive vice-foreign minister, also held talks with Lavrov in Russia and co-chaired consultations between the two foreign ministries.

Facing growing isolation from the West, Russia has also been stepping up engagement with North Korea, which has significantly ramped up its weapons tests in recent months despite years of economic and military sanctions by the United Nations.

Putin, who hosted North Korean leader Kim Jong-un in Russia’s Far East in September, accepted an invitation from Kim during the trip, and last month the Kremlin said a visit by Putin to North Korea would take place “in the foreseeable future”.

Russia’s success in dealing with Western curbs ‘offers China important lessons’

The White House said in January it had evidence that North Korea had provided ballistic missiles to Russia, and that North Korea was seeking military hardware in return, a claim that Pyongyang and Moscow both denied.

To force Putin to end the war, the European Union last week announced a new round of sanctions, which would blacklist North Korea’s defence minister and, for the first time, ban exports to three mainland Chinese firms, which have been accused of supplying sensitive military technology to Russia.

China plans C919 test flights in Southeast Asia en route to possible sales

https://www.scmp.com/economy/global-economy/article/3253368/china-plans-c919-test-flights-southeast-asia-en-route-possible-sales?utm_source=rss_feed

The developer of China’s first home-grown narrowbody passenger jet – seen as a potential competitor to the Airbus A320 and Boeing 737 – said on Tuesday it planned to conduct test flights in Southeast Asia in the next two weeks, with an eye toward sales in the region.

The Shanghai-based Commercial Aircraft Corporation of China (Comac) said on its WeChat channel that it would carry out “demonstration flights” of its C919 jets in Cambodia, Indonesia, Laos, Malaysia and Vietnam.

Comac would also demonstrate the smaller ARJ21 narrowbody regional jet alongside the C919 to test their viability along routes and at airports in Southeast Asia, the statement added.

The demonstrations should “lay the foundation for subsequent market development in Southeast Asia,” the statement said.

The C919 and ARJ21 landed in Vietnam on Monday, according to Vietnamese media reports, following an appearance at the Singapore Airshow last week.

Comac’s aircraft are designed for regional flights of just a few hours – which are common in the Southeast Asian region.

But dogged by scepticism in the West about the safety of the C919, Comac has yet to disclose any orders outside mainland China.

Its first-ever appearance at this month’s Singapore Airshow put the jet in the international spotlight for the first time.

Comac’s promotion of its aircraft overseas comes as Airbus deliveries face delays and Boeing grapples with safety issues of its 737 Max.

Airlines in Cambodia, a staunch political ally of China, are likely to give the C919 a chance, while budget airlines in Malaysia may consider their own orders, according to Southeast Asian analysts.

“I think customers in these parts, they’re used to airlines that fly Western-made aircraft, and this would be something new,” said Ibrahim Suffian, programme director with the Merdeka Centre polling group in Kuala Lumpur. “It would take time to win over customers.”

But Malaysian budget airlines, he said, might consider ordering Comac aircraft if they were cheap and safety-tested.

Vietnamese airlines and passengers, meanwhile, “don’t know about the quality [of the C919], no matter how cheap it is”, said Nguyen Thanh Trung, director of the Saigon Centre for International Studies in Ho Chi Minh City.

China wants its home-grown jet to go abroad, seeks European approval of C919

“I’m not sure the Vietnamese airlines would be interested in buying China’s aircraft,” Nguyen said.

Airlines in Cambodia would, though, be “less picky”, he said.

But none of the five Southeast Asian countries have certified the C919, making near-term orders “unlikely”, said Brendan Sobie, founder of the Singapore-based aviation consultancy Sobie Aviation.

The C919 is designed to carry between 140 and 210 passengers, while the ARJ21 is built for between 78 and 97.

The C919 is certified only in China, with four aircraft having entered commercial service since May.

The ARJ21 has flown commercially since 2016, with 127 deliveries to airlines including Indonesian budget airline TransNusa.

Comac expects aircraft demand in the Asia-Pacific to grow from 3,314 to 9,701 in the next 20 years.

“Facing this huge market demand, Comac is dedicated to … offering a reliable new choice to civilian international airports for the purpose of making a positive contribution to the Asia-Pacific region’s civil aviation development,” the statement on Tuesday added.

For Southeast Asian aircraft customers, Comac said it would set up a special representative office, an aviation materials warehouse in the southern Chinese city Guangzhou and a regional training base.

Singapore Airshow: Chinese tourists barred from viewing Airbus’ German air force plane due to ‘military restrictions’

https://www.scmp.com/news/asia/southeast-asia/article/3253376/singapore-airshow-chinese-tourists-barred-viewing-airbus-german-air-force-plane-due-military?utm_source=rss_feed

Airbus has apologised after some Chinese visitors claimed they were stopped from viewing a German military plane during the Singapore Airshow over the weekend, when the event was open to the public.

In posts that have since gone viral on Chinese social media, some visitors complained on Weibo that they were turned away from an Airbus A400M transport aircraft belonging to the German air force.

They also claimed that Russian visitors were also denied access.

According to Airbus, the A400M is its “most advanced, proven and certified airlifter available”. The aircraft has both tactical airlift – transport of personnel and goods into theatres of operation – and strategic airlift – transport of assets like outsize and heavy vehicles or equipment – capabilities.

The European Commission said last month it had put forward several proposals to bolster the European Union’s economic security, including understanding how “advanced technologies can be used to enhance military capacities of actors who may use these against the EU”.

Singapore Airshow’s record numbers, China’s C919, raise hopes of post Covid boom

One Weibo user wrote on Saturday that he was turned away after queuing up to view the aircraft, with staff checking the nationalities of visitors who looked Chinese.

Chinese visitors were allegedly singled out, with staff apparently saying “Chinese go out” to those in the queue, he added.

In a video making its rounds on Weibo, a person wearing an Airbus lanyard can be heard asking a Chinese blogger for his nationality as he is visiting a “German aircraft”.

After the blogger said he was from China, the staff said that “it is not possible” for him to enter the plane due to “military restrictions”.

Airbus said on its official Weibo account on Sunday that it rectified the visit process once the matter was brought to its attention.

“We noticed that during the public opening day of the Singapore Airshow, some visitors had questions about the visit of an A400M military transport aircraft,” the European aircraft manufacturer said.

“After learning about this situation, we immediately communicated and coordinated with relevant parties, promptly improved the visit process, and ensured that the aircraft was open to all visitors. We deeply regret the inconvenience caused by previous on-site work, and thank everyone for your continued attention and feedback.”

Airbus also stressed that it is “committed to becoming a trustworthy, long-term partner of the Chinese aviation industry”.

Chinese visitors were able to visit the A400M aircraft “freely” from Saturday afternoon, reported Chinese daily The Global Times.

The Singapore Airshow drew more than 30,000 visitors on Saturday, with China’s first airliner C919 making its global debut at the event. China’s Tibet Airlines finalised an order for 40 C919 jets and 10 ARJ21 regional jets last Tuesday.

CNA has contacted the airshow’s organisers for more information on certain visitors allegedly being prevented from viewing the A400M aircraft.

This story was first published on

China’s former foreign minister Qin Gang resigns from deputy membership after long absence from public view

https://www.scmp.com/news/china/diplomacy/article/3253384/chinas-former-foreign-minister-qin-gang-resigns-deputy-membership-after-long-absence-public-view?utm_source=rss_feed

China’s former foreign minister Qin Gang, who has been missing from public view since June last year, has resigned as deputy of China’s top legislature ahead of a key national meeting.

According to a statement from the Standing Committee meeting of the National People’s Congress, Qin was not dismissed or expelled from the NPC, China’s top legislature.

His resignation as a deputy has been accepted by the Tianjin People’s Congress.

Deputies of the congress are set to convene in Beijing on March 5.

Online anger as China father demands half of children’s US$36,000 Lunar New Year lucky money during divorce, court denies claim

https://www.scmp.com/news/people-culture/trending-china/article/3252927/online-anger-china-father-demands-half-childrens-us36000-lunar-new-year-lucky-money-during-divorce?utm_source=rss_feed

A father who demanded his children’s 260,000 yuan (US$36,000) Lunar New Year lucky money be split during divorce so he could keep half, has provoked anger on mainland social media.

A court in southwestern China’s Chongqing city granted the man and his wife, who use the aliases of Cai and Wang, a divorce.

However, the court refused to support Cai’s demand that the money gifted to their two sons be divided up, Jiupai News reported.

Lucky money, called ya sui qian in Mandarin, is a traditional Lunar New Year gift in which cash is placed in a red envelope and given to children by married couples for good fortune. It is customary for parents to look after their children’s lucky money.

Cai and Wang married in 2007 and had a son in 2012, then another son in 2014.

The couple had a serious quarrel at the beginning of 2020, and Wang left the family home to stay with her parents taking the children with her.

Since then, the three have been living with her parents. Divorce papers were filed in 2020, but were rejected by the court.

Cai recently refiled for divorce after more than 400 days of living apart from his wife. In the settlement, he asked for half the jointly owned property and half the children’s lucky money.

Unlike with the previous petition, the court granted a divorce after deciding their marriage had failed.

While the court ordered a division of the property between the couple, it rejected Cai’s request to split the lucky money because it was not considered part of the joint property.

At the time of writing, the video had attracted 6.13 million views and 3,305 comments, with the majority of which expressed anger over the man’s behaviour.

“This man is horrible,” one said.

“Will this man pay child maintenance? I doubt it,” said another.

Stories about parents pocketing their children’s lucky money regularly trigger criticism in China.

In January 2023, 13-year-old twins in eastern China sued their father for the return of 16,800 yuan (US$2,300) lucky money he had taken from them after divorcing their mother, winning praise on mainland social media.

In February 2019, a 10-year-old boy in southeastern China also filed a lawsuit against his father to return 3,000 yuan of lucky money.

Miss Manners: Guest makes rude comment about my china tea set

https://www.washingtonpost.com/advice/2024/02/27/miss-manners-guest-china-set/2024-02-20T17:35:54.707Z

Dear Miss Manners: A boy I knew in college, but was not close friends with, recently moved to my city, and we decided to meet to reconnect. He brought pastries and I served tea on my patio.

When I brought out my blue tea set, he made some off-putting remark about the situation not requiring me to “break out my best china.” The tone of it was rude, and I was made to feel small about making the casual event a little nicer. I’m sure he did this defensively to indicate that we were not on a date. And also he’s kind of a jerk. But I could only respond with a baffled “Huh?” because I hadn’t “broken out” my best china.

I’m aware that most people do not have one, let alone two, sets of china, but I do, and I was using my less-nice set — the, shall we say, ugly china that I didn’t care if he cracked. He was trying to shame me for doing something “extra,” when in fact I had not. So how should I have responded? There is no polite way to tell someone that you did NOT break out your nice china for them.

There is when he sets you up like that. “Oh, don’t worry,” you might have said. “I know. This is not my good china.”

Dear Miss Manners: We are having a religious wedding ceremony followed by a reception at a private venue in which no alcohol is allowed. Though we are teetotalers, we recognize we do not have the right to impose our beliefs on others. Even so, we could not in good conscience provide alcohol for anyone. We want to invite lots of friends who do drink alcohol, but I fear they may be disappointed (or not want to attend at all) if they discover that no alcohol will be served. I will be sending out the wedding invitations soon. What would Miss Manners advise: Should I mention in the invitations that alcohol will not be served?

In what sense is it imposing your beliefs on others not to buy them alcohol? If Miss Manners fails to serve ice cream to those who love it, would she be interfering with their beliefs? For that matter, is drinking a belief? But she has a more relevant question: Why would you invite people to your wedding who would not care to attend unless they were drinking?

Dear Miss Manners: When is it okay to pick up the bone from a rack of lamb to get at that last delicate morsel of meat?

At picnics, at intimate family dinners, and in the kitchen after the guests have left.

New Miss Manners columns are posted Monday through Saturday on washingtonpost.com/advice. You can send questions to Miss Manners at her website, missmanners.com. You can also follow her @RealMissManners.

© 2024 Judith Martin

HiPP, world“s No. 1 organic baby food brand, expands market presence in Hong Kong, sets sights on Greater China

https://www.scmp.com/news/hong-kong/health-environment/article/3252675/hipp-worlds-no-1-organic-baby-food-brand-expands-market-presence-hong-kong-sets-sights-greater-china?utm_source=rss_feed

Globally, the popularity of organic milk formula is on the rise as health-conscious parents choose it for its clear advantages. With optimum nutrition and being free from toxins such as rBST/hormones and genetically modified organisms (GMOs), it offers a safe and beneficial choice for babies without compromising their endocrine system. 

HiPP, Europe’s leading organic formula milk brand and Germany’s No. 1 baby food brand, is seeing a rise in market share in Hong Kong and Greater China. Local parents are increasingly appreciating the advantages of organic baby food, which can help reduce allergy risks and promote a stronger immune system. By avoiding harmful chemicals like herbicides, pesticides, GMOs, and preservatives, HiPP offers babies a safe and healthy option. 

Under the leadership of its owner and CEO, Mr Stefan Hipp, HiPP maintains its legacy of sustainable farming and unwavering dedication to organic farming and production. This ensures that HiPP’s products provide pure and natural nutrition, free from chemicals and artificial additives.

An organic agriculturist by profession, Mr Hipp emphasises the importance of healthy soil and pure ingredients for natural nutrition.

“Only 1.5 per cent of the world’s farmland is suitable for organic farming,” he explains. “When cows are injected with hormones, they are unable to produce organic milk for a certain period of time. As a result, finding uncontaminated sources of organic milk becomes exceedingly rare and valuable.”

HiPP’s formula milk is made from organic sources known for their premium quality and rich macro and micronutrients. Its products adhere to the nutritional standards set by the EU, the WHO, and local authorities.

“For 125 years, our family business has consistently prioritised sustainable development. We support the well-being of our planet through organic farming practices,” he says. “Organic means natural, which is an indisputable advantage of our brand.”

In the 1950s, Mr George Hipp, the grandson of Mr Joseph Hipp and the grandfather of Stefan, started cultivating fruits and vegetables without using chemicals. This was remarkable, considering that chemical farming was at its peak then. 

“He was deeply committed to maintaining an organic approach, which has remained a core value for the company to this day,” says the fourth-generation owner of HiPP.

In practice, HiPP cultivates all organic raw materials entirely naturally, without chemical or synthetic pesticides, insecticides, or fertilisers.

Contract farmers maintain crop and soil health by employing green manure and intelligent crop rotation practices. They also rely on birds and beneficial insects to assist with pest control. This approach leads to smaller yet more sustainable harvests, which have positive effects on the climate, groundwater, and overall ingredient quality.

HiPP formula undergoes up to 500 quality controls before it is canned, ensuring the highest quality and safety standards. The labs in Germany have the remarkable ability to detect over 1,200 residues with incredible precision, akin to finding a grain of salt in a 50m swimming pool.

In Europe, organic food is considered a top priority for safety, health, and quality. Parents choose organic food for their children due to its premium quality. Consumers appreciate the safety, health benefits, and enhanced taste of organic food.

In Hong Kong, HiPP has also earned a special place in the hearts of consumers and healthcare professionals as the leading brand for organic infant formula.

With a market share of 59 per cent, HiPP has consistently held its position as the leading choice for organic formula in Hong Kong for years. This figure puts HiPP significantly ahead of other organic brands, with five times as much market share.  

Meanwhile, in Germany, HiPP Group commanded a 43 per cent market share and a 35 per cent market share in Europe for organic infant milk formula (IMF) and organic infant milk formula, respectively, in 2023.

Note a    : Based on the market share of MNC brands, source: Euromonitor Europe Organic Dairy Products and Alternatives Top 10 (West & East). Note b    : Based on total brand calculation under company, source: NielsenIQ RMS data, Value Sales in Euro for baby nutrition in 2022 for Germany, Total Grocery + Drugstores + e-commerce (Copyright ©2023, NielsenIQ). Note c    : Based on organic formula brands in HK, source: Euromonitor Hong Kong organic dairy product Retail Value RSP 2022, excluding non-dairy brands.

 

HiPP is not only a market leader in the local retail market but is also the only organic infant milk formula brand in Hong Kong that major private hospitals, obstetrics, and gynaecology clinics approve.

In 2021, the Chinese government relaxed the country’s family planning policy, allowing families to have up to three children. In the same year, the National Health Commission updated infant formula standards to better meet the nutritional needs of infants and young children.

HiPP is taking strategic advantage of these policy changes to progress in registering new infant formula milk powder in mainland China. Building on the success in Hong Kong, the company sees it as a stepping stone for the Greater China region. 

Like Hong Kong, HiPP has already developed formulas tailored to the specific needs of local Chinese babies based on scientific research and age-specific considerations.

Since entering the Chinese market in 2011, HiPP has won over Chinese consumers by consistently delivering exceptional quality organic baby and infant food products, including formula milk, rice cereal, fruit puree, vegetable puree, fruit juice, and complete meals.

On November 22, 2023, Chancellor Olaf Scholz of Germany led a delegation of 12 prominent German companies during his visit to China to meet with President Xi Jinping. Among the delegation was HiPP, the sole representative of the food industry, which is indicative of HiPP’s sterling reputation in Germany and Europe. 

“Asia, particularly Greater China, is a significant market for HiPP. We are fully dedicated to meeting the requirements and regulations of the Greater China region, ensuring that our organic products meet the most stringent standards,” says Mr Hipp.

“Our vision for Greater China is to be the leading brand in organic baby food, offering parents the safest, and the most nutritious, high-quality and reliable products.”

China’s ‘Two Sessions’ 2024: what to expect

https://www.scmp.com/news/china/politics/series/3253317/chinas-two-sessions-2024-what-expect?utm_source=rss_feed

Vogue China’s Margaret Zhang, youngest person appointed as an editor at magazine group, to step down

https://www.theguardian.com/world/2024/feb/27/vogue-china-margaret-zhang-editor-in-chief-exit-leaving-why

Three years after becoming the youngest person to hold an editor title at Vogue, Margaret Zhang is leaving her position as editorial director of Vogue China.

The Australian-Chinese creative director announced her exit on Instagram today, writing: “As we kick off a transformative Year of the Dragon, I’m excited to announce that I have decided to wrap up with Vogue and jump into the next chapter of my career.”

Zhang rose to prominence as a teenage fashion blogger in Sydney. By her early 20s, she had amassed over 1m followers on Instagram, and was working in New York as a creative director and brand consultant.

Her 2021 appointment as editorial director of Vogue China was controversial at the time, due to her age, Australian upbringing and digital media background.

These issues resurfaced throughout her tenure at Vogue, with two Chinese media executives publicly accusing her of being too Western, in 2022 and 2023.

But, in an exit letter posted to Instagram and X, Zhang listed an international eye as one of her proudest achievements at Vogue China. “Never before have we seen so much Chinese creativity showcased across the global network of Vogue editions,” she wrote.

On Instagram, Zhang received support from prominent media figures. Former US Instyle editor in chief, Laura Brown, also Australian, wrote: “Onwards!” followed by a fist and heart emoji. On X, users expressed sadness at her departure and praised the creativity of magazine covers under her tenure.

Guardian Australia contacted Zhang for comment.

In a statement to staff, reported by WWD, Conde Nast chief content officer Anna Wintour said it was her “top priority to find a visionary new leader without delay”.

The editorial director’s exit comes amidst broader reshuffles at Vogue and publisher Conde Nast. In the UK, Edward Enniful’s final issue as British Vogue’s editor in chief was released earlier this month. His successor Chioma Nnadi, is working under the title head of editorial content, rather than editor in chief.

In the US, the publisher announced the closure of music title Pitchfork in January. Later that month more than 400 unionised Conde Nast staff undertook a 24-hour walk out strike, protesting management’s handling of labour negotiations.

China makeup artist recreates youth, takes years off actor, 57, transforms ordinary women into cover girls, princesses

https://www.scmp.com/news/people-culture/trending-china/article/3252854/china-makeup-artist-recreates-youth-takes-years-actor-57-transforms-ordinary-women-cover-girls?utm_source=rss_feed

A makeup artist in China who uses her exceptional skills to dramatically improve the appearance of her clients – in some cases make them appear many years younger – has become a major hit on mainland social media.

With 5.5 million followers on Douyin, the 20-something cosmetics expert known as Tuzi, or Rabbit in English, boasts an impressive list of clients.

It includes celebrities such as famous comedian Tang Jianjun, also known in China as Xie Guangkun, actress Jin Jing, actor Yang Di, famous male host Zhang Dada and KOL Grandma Tian.

Tuzi is based in Yunnan province in southwestern China, where she runs the Starlight Rabbit Portrait Studio, which offers makeover services.

Many customers of the studio have been drawn to Tuzi thanks to her “Extreme Makeover 100 People Challenge” videos on Douyin, while many others seek to learn her makeup techniques.

She has taken on dozens of apprentices, whose makeup skills, after training, are almost on a par with those of Tuzi.

They live-stream makeup tutorials on Douyin every day at 8:30 pm and attract an average daily audience of 1 million.

Tuzi’s style embodies one of China’s most popular makeup aesthetics.

This is characterised by a radiant, translucent complexion, shimmering eyelids, vibrant pink or mauve blush, and frequently bold, glossy, or semi-matte gradient lips.

One of her most popular videos, which saw Tuzi transform the 72-year-old internet celebrity, Grandma Tian, attracted nearly 800,000 likes.

The elderly online personality was turned into a blond-haired, blue-eyed European-style princess, prompting comments like “Tuzi helped Grandma regain her youth.”

In another video, which received 1.1 million likes, Tuzi made over 57-year-old classic comedy actor, Tang Jianjun, whose wife was so stunned by the change that she exclaimed: “I don’t recognise you!”

She also transformed Du Bo, the 46-year-old director of the Bureau of Culture and Tourism in Heilongjiang province in northeast China into a “Dark Queen”.

Tuzi does, however, have her critics.

One unhappy client said her makeup did not cover facial flaws and made her look older while another said Tuzi’s apprentices tend to stick to rigid templates, rather than adhere to a client’s specific preferences.

Tuzi’s main studio is in the autonomous prefecture of Xishuangbanna in China’s southwestern Yunnan province and she has 17 branches in renowned tourist destinations across the country.

Each studio offers makeup styles that incorporate local characteristics, such as ethnic minority styles, ice queen aesthetics, Hanfu-inspired looks, and more.

Prices for a photoshoot package range from 699 to 2,888 yuan (US$97 to US$402), a makeup-only service costs 399 yuan.

Opinions on Tuzi’s makeup skills vary on mainland social media.

One person wrote: “I travelled almost halfway across China to have Tuzi do my makeup because she can make me look like I never dared to imagine, and make me a better version of myself.”

Others said that Tuzi’s “assembly-line style” makeup style makes “everyone looks the same”.

One customer, who spent 1,599 yuan (US$222), even accused her studio staff of having an “extremely poor service attitude”.

However, one of her apprentices said: “Teacher Tuzi really loves makeup, and I can feel her passion.”

There are over 20 million makeup industry practitioners in China, with an average age of between 20 and 25, according to Chinanews.

The average monthly income for Chinese makeup artists is 6,300 yuan (US$875) but others can earn more than 20,000 yuan a month, according to a survey by Ruishang Chuangmei Makeup Training Company.

China jobs: returning migrant workers battling low salaries, lack of openings as economic realities hit home

https://www.scmp.com/economy/china-economy/article/3253240/china-jobs-returning-migrant-workers-battling-low-salaries-lack-openings-economic-realities-hit-home?utm_source=rss_feed

Although there were still four days remaining until the end of the Lunar New Year holiday earlier this month, Baiyun Railway Station in Guangzhou was already packed with migrant workers who had left their hinterland hometowns early to take up jobs in the southern manufacturing hub of Guangdong.

Jobseekers of all ages, with accents from all over China, were lingering briefly at the station’s square, dragging suitcases and carrying backpacks, taking a moment to rest, before flocking to the neighbouring cities.

Like many newcomers, twenty-something Li Xiao was hoping for a higher salary than his previous night shift factory job in the central province of Jiangxi.

“I can accept a waiter job of about 4,500 yuan (US$650) or 5,000 yuan since production line workers are expected to earn about the same this year,” he said.

Thirty-something Xu Chao was also hoping to find a job in a car parts factory in Jiangsu.

“I’ve been in Guangdong for a few days. The wages are not as good as I thought. There are more electric car companies in the Yangtze River Delta, the opportunities and salaries there may be better” Xu said.

Most returning workers have low expectations for a pay rise this year, as the number of jobs in the service or manufacturing sectors is not as high as last year.

Dongguan, an export hub in Guangdong which is often the top choice for rural migrant workers, anticipated 163,000 job vacancies after the Lunar New Year, the state-backed China Youth Daily reported earlier this month, citing the local labour and social security bureau.

The figure was 176,500 last year and between 250,000 to 300,000 in 2022.

“With fewer export orders, there have been more workers than positions in local companies. Factories are not struggling to recruit workers this year, as lots of migrant workers from Guizhou and Henan have already come back,” said Justin Xu, a manufacturer of lighting products for exports in the eastern province of Zhejiang.

The influx of migrant workers is occurring as there are less opportunities in hinterland provinces, with jobseekers in Henan – China’s third most populous province and a key source of migrant workers – crowding a recent job fair.

“Our company has a labour gap of about 20 people, but more than 60 people have expressed interest in applying,” a human resource manager said, according to the state-run Henan Daily.

The arrival of migrant workers has already reduced the hourly wage for temporary workers in China’s export hubs of Shenzhen and Dongguan by around a third from three years ago to between 18 yuan (US$2.5) to 19 yuan after the Lunar New Year holiday, according to an employee surnamed Li at a recruitment agency in Guangzhou.

The period following the Lunar New Year is traditionally the most understaffed and high-paying time of the year as lots of workers remain at home.

Li partly attributed the weak demand to factories relocating overseas and corporate endeavours to reduce costs.

“Factory owners, if they have any surplus money, are considering investing in plants abroad, which is the only area where they’re still willing to expand,” said Peng Biao, a textile and clothing supply chain specialist.

However, overall expectations from factory profits to orders could be even lower this year, Peng added.

China’s economy has endured a challenging exit from its zero-Covid policy, with its 5.2 per cent growth in gross domestic product last year not being felt by consumers or the job market.

Demand for workers in the new energy infrastructure sector is set to be stronger than last year, but employers are not worried about a shortage even at tough construction sites.

Wang Rongshuo, founder of the Guangzhou-based Yangshuo Green Construction, said the photovoltaics infrastructure integrator already has a waiting list for the 3,000 construction workers it plans to recruit this year.

“We have a lot of projects across the country. The workers will need to move throughout the year to different construction sites.” Wang said.

“Most of our workers are aged between 30 and early 40s. They can earn about 8,000 yuan a month.”

The labour surplus is also being seen in some regions in Zhejiang.

“Some factory owners have not yet started production so far this year, mainly due to insufficient export orders and operational difficulties,” according to Zhou Libin, manager of Tianshu Mechanical Technology.

In the past, many cities or counties in Zhejiang chartered cars and planes to lure workers from central and western parts of China back at this time of the year, however, this was not the case this year, according to Zhou.

“Perhaps the government is aware of the limited orders and insufficient production,” he added.

Economic uncertainty in the manufacturing sector has also affected the small and micro service sector.

“Last year I hired a helper, but I don’t plan to hire anyone this year. My husband and I will work harder. Utility bills are increasing, but we dare not raise prices. We’re doing migrant workers’ business, and their income this year may be worse than last year.” said Li Jie, who runs a breakfast room in Jiangxi.

China narrowly ahead of US in global diplomatic presence – but this may not translate into greater influence

https://www.scmp.com/news/china/diplomacy/article/3253262/china-narrowly-ahead-us-global-diplomatic-presence-may-not-translate-greater-influence?utm_source=rss_feed

China has the largest diplomatic corps in the world, narrowly beating the United States, according to a new study – but observers say this does not necessarily translate into having the greatest influence.

The Global Diplomacy Index published by the Lowy Institute, an Australian think tank, found that China had 274 diplomatic missions around the world, compared with 271 for the United States.

“Great power rivalry is as prevalent in diplomacy as in other fields, with the United States and China dominating the rankings,” the report said. “Geopolitical competition has propelled the Pacific and Asia into focus.”

It said China overtook the US in the number of diplomatic missions in 2019 and Washington had not caught up despite opening more missions since then.

Diplomatic observers cautioned that this would not necessarily translate into greater power and influence for Beijing.

“The number of diplomatic posts just means better representation on the ground. That may but does not have to translate into better relations or greater effectiveness in getting what a state wants,” said Chong Ja Ian, an associate professor of political science at the National University of Singapore.

Josef Gregory Mahoney, a professor of politics and international relations at Shanghai’s East China Normal University, agreed, saying Beijing did not view it as a “zero-sum game”.

How China merges funding and diplomacy in push to lead the Global South

“I don’t think that we can simply say that more posts or more representation means that China is winning a diplomacy battle,” he said.

The study found that China has a larger diplomatic presence in Africa, East Asia, the Pacific Islands and Central Asia, while the US has more diplomats based in Europe, North and Central America and South Asia.

Chong said this highlighted the traditional areas of interest for both countries.

“Beijing in particular is seeking to build ties in Africa and the Pacific. They’ve always had a strong presence in East Asia, their home region, while Washington is bolstering their international representation to be sure, but there is no evidence from the survey that they are all a direct response to Beijing,” he said.

The report also highlighted the “rising competition for influence” across the South Pacific, where both countries have stepped up their presence, with Australia and several European countries also getting more deeply involved.

Last year saw China and the US opening embassies in the Solomon Islands, which signed a security pact with Beijing in 2022 after switching diplomatic recognition from Taipei in 2019. The US also opened its first embassy in Tonga last year, while China is reported to have sent police officers to Kiribati to work with local law enforcement.

Mahoney warned against reading too much into which areas had a higher diplomatic presence, saying: “There could be different reasons why we have one level of representation versus another. But that doesn’t necessarily suggest that one country is valuing one area more – or less – than another.”

Beijing’s greater diplomatic outreach has partly come at the expense of Taiwan, with 10 countries switching diplomatic recognition from Taipei to Beijing since 2016, the most recent being Nauru.

Beijing says Taiwan is part of China and insists that countries must adhere to the one-China policy as a condition for establishing diplomatic relations, something the vast majority of states have agreed to do.

Pandas coming back to US as China’s ‘envoys for friendship’

However, the Lowy Institute report, which looked at the diplomatic presence of 66 countries and territories, said Taipei operated 110 overseas missions, but most of these were unofficial trade and cultural offices.

The report put Turkey in third place with 252 missions around the world, with Japan in fourth place with 251 postings.

More China trips, less diplomacy: what does Li Qiang’s schedule reveal about how the changing role of premier?

https://www.scmp.com/news/china/politics/article/3253226/more-china-trips-less-diplomacy-what-does-li-qiangs-schedule-reveal-about-how-changing-role-premier?utm_source=rss_feed

China’s political elite and lawmakers will gather next week for the country’s annual legislative sessions which will set budgets and lay down Beijing’s plans for the country’s economy, diplomacy, trade and military. In the first part of the series, Vanessa Cai looks at the role of premier and how it has changed under Li Qiang.

When Li Qiang was named China’s premier in March last year, the world’s second-biggest economy was just reopening its borders after three years of draconian Covid-19 lockdowns.

Bespectacled and diminutive, Li, the former Communist Party chief of Shanghai, sought to put the city’s chaotic Covid lockdowns of 2022 behind him as he took on the new role of top enforcer of President Xi Jinping’s economic vision.

Li, 64, spent his first year as premier amid repeated stern warnings from Beijing about the unprecedentedly complex environment of the time. In May, Xi urged officials to prepare for the “worst and most extreme situations” so they could deal with “high winds and waves and even dangerous storms”.

Compared with his predecessor, Li Keqiang, Premier Li Qiang has put more focus on domestic issues during his first year in office, scaling back on foreign affairs, according to a tally by the South China Morning Post.

The Post compared their itineraries for domestic meetings, time spent on inspection trips inside China and overseas trips and the number of diplomatic events held.

Official information from mid-March last year, when Li Qiang was sworn in as the premier, until Monday, shows that on domestic affairs he has spent more time on inspection tours across the country to gather first-hand information on the ground and held more meetings with local officials compared with the first year of both terms of his predecessor.

But Li Qiang has made significantly fewer appearances at international meetings and spent less time abroad during the same period of the premiership.

Analysts say the pattern reflects a narrowing in the role’s power and range, and shows that work priorities have changed as he tackles a difficult domestic economy amid a more complex external environment than his predecessor had.

“Back in 2013, China still had a more sympathetic, or a more patient international audience, the relationships with America were still not as difficult as they are now … and China’s domestic economy was less problematic than it is today,” said Kerry Brown, professor of Chinese studies and director of the Lau China Institute at King’s College London.

The premier must really focus on the domestic issues because they are the most consequential and important at the moment, according to Brown.

The premiership of Li Keqiang, who died in October, is remembered by many for his more frequent and visible presence and highly personalised style at diplomatic events.

Between 2013 and 2023, state media detailed Li Keqiang’s interactions with his counterparts from major economies.

One such moment was a small dinner hosted by former German chancellor Angela Merkel in her villa in May 2017, where the two, holding their glasses against the sunset in a Berlin suburban garden, discussed unfinished business left over from their official talks during the day.

“It was a sunny day yesterday, and so it will be tomorrow and the day after,” Li Keqiang said at a press conference with Merkel during the same trip.

As Li Qiang looks set to mark the first anniversary of his job and deliver his maiden government work report next week, there have been few such details observed in his diplomatic dealings.

During the past year, as China’s diplomacy was returning to pre-pandemic norms, Li has attended fewer diplomatic events, spent fewer days abroad and hosted fewer events during his foreign visits compared to the first years of Li Keqiang’s two terms, according to official information.

In the year since he was sworn in, Li Qiang attended 140 events where he met foreign guests, either at home and abroad.

That is fewer than the 163 gatherings Li Keqiang attended in the same period five years ago, and the 219 a decade ago during his first year as premier starting in March 2013.

Among Li Qiang’s meetings with foreign guests, 48 of them – or about one-third – took place outside China. Li Keqiang held around half his meetings with foreign guests outside China in the first year of both his terms.

The incumbent premier has made four overseas trips during the year, with his first trip to Germany and France. He attended 48 events during these trips – fewer than the 93 events Li Keqiang made during his four trips five years ago, and 96 events a decade ago.

‘A step in the right direction’: China makes largest cut to key mortgage rate

Li Qiang’s international trips are also shorter and less diverse than his predecessor’s whose schedule included more joint press conferences with foreign officials following their meetings and more arranged visits of local companies and projects.

However, Li Qiang has had a greater presence at some other diplomatic events. He represented Xi at the G20 meeting in New Delhi in September, making him the first Chinese premier to attend the summit. There, he held brief talks with foreign leaders, including US President Joe Biden, on the sidelines of the event.

Li Qiang has also spent more time on the road on inspection tours in China. He has spent 34 days on 18 inspection tours since March, visiting 19 provinces and municipalities, including Shanghai and Chongqing.

That is well above the 17 days Li Keqiang spent on 10 inspection trips five years ago, and the 23 days on 11 trips during the first year of his tenure as premier.

Li Qiang’s first stop as a premier was in March in central China’s Hunan province to tour factories that make electric vehicles, high-speed locomotives and construction machinery. He has travelled to the country’s northeastern rust belt, highlighting domestic innovation and emphasising the importance of state enterprises.

During his trip to Shanghai in July, Li Qiang held a meeting with eight provincial leaders during his two-day inspection of the city’s free-trade zone. And his most recent trip was to the central province of Shanxi this month to visit hi-tech manufacturing companies.

This pattern of spending more time on inspection tours follows a nationwide fact-finding drive launched in March, which echoed a pledge Li Qiang made at his first press conference as premier. At the time, he said he would direct government officials to carry out more field research and solicit public feedback instead of “sitting in the office”.

Shan Wei, a senior research fellow at the National University of Singapore’s East Asian Institute, said Li Qiang had generally been given “a higher degree of mandate” and “more room for autonomous decisions” on economic and social matters.

But he had less authority on other matters, including those related to foreign affairs. “The range of his power has been narrowed,” Shan said.

Rana Mitter, a professor at the Harvard Kennedy School, said revitalising the domestic economy was a top priority for the party.

“Traditionally, the premier has had the economy as his portfolio, and Li Qiang’s Shanghai background gives him a particular reputation as business friendly. That may be why he is seemingly so active in areas that involve economic revitalisation. Although international travel is important, the domestic economy may well be considered a greater priority for now,” he said.

Brown said the different domestic and international environments facing Li Qiang and his predecessor were reflected in their policy priorities.

But he also noted it was difficult for now to determine what Li Qiang’s leadership vision was, compared with that of his predecessor.

“I think that they have a different political persona. Li Qiang has only been in the position for a year. It’s still early days so we can’t draw any huge conclusions,” Brown said.

“But I would say that the outside world had a much stronger idea of who Li Keqiang was, what he represented, in ways which are still not entirely clear for Li Qiang.”

A mainland-based political analyst who spoke on condition of anonymity said Li Qiang’s scaled-down presence in foreign affairs coincided with China hosting fewer diplomatic events amid the pandemic’s lasting impact and a decline in mutual trust under boosted counter-espionage efforts.

China’s Xinjiang invites overseas media to political meetings for first time

The analyst said Li Keqiang continued his own predecessors’ style of diplomacy during his first term while using greater transparency to hold frequent press conferences and arrange more local visits and meetings.

James Zimmerman, a partner in the Beijing office of Perkins Coie law firm and a former chairman of the American Chamber of Commerce in China, said he understood Li Qiang’s loyalty to Xi was “his key qualification” and that the premier helped develop Xi’s present policies.

But he acknowledged that constraints on Li Qiang’s role were “a systemic issue”.

“There is little hope that Li Qiang will bring any fresh ideas to the table to help China overcome its economic weakening or help reduce the geopolitical tensions over Beijing’s support of Russia and bullying of its Asian neighbours,” Zimmerman said.

“There is little hope that anything Li says will encourage foreign investors to up their game and increase their investments. Sure, he can claim that China is open to foreign investment but actions speak louder than words.”

One foreign businessperson based in China who requested anonymity, spoke of an impression of Li Qiang as “open minded and pro-business”, but also noted that “maybe he has not been travelling as much as we have hoped”.

The businessperson said it was hoped Li Qiang would “engage more externally with Europe … having discussions about things that are problematic in the relationship” to ensure workable ties in future.

And on trade and economic prospects the businessperson said, “one thing that maybe worries us a little bit is that … the security agenda is more important than the trade agenda, the economics agenda”.

“During his first years as party secretary in Shanghai, he was very much welcomed by the business community and he was seen as a business-friendly leader. We hope some of that will also be reflected at the national level,” the foreign businessperson said.

“But again, our concern is that maybe what we hope as natural instincts towards being pro-business are now being hampered by the security agenda.”

Li Qiang seems to have hosted fewer domestic meetings than Li Keqiang. He presided over 58 meetings over the past year, fewer than the 72 his predecessor chaired during his first year as the premier a decade ago.

Premier urges China’s manufacturing firms to ‘spare extra money’ for R&D

Li Qiang chaired fewer cabinet meetings, overseeing 25 State Council executive meetings compared with Li Keqiang chairing 39 such meetings during the first year of both his two terms.

The drop in the number of meetings chaired may be a result of changes in March to the State Council’s working rules, including a revision that reduces the frequency of State Council executive meetings to two to three times a month instead of every week.

The amendment was approved at the first plenary meeting of the cabinet, three days after Li Qiang’s appointment as premier, during which he said the government’s mission was to focus on implementing the party’s decisions.

A procedural change was also observed in his meetings with Hong Kong and Macau leaders during their annual duty visits to Beijing. In December, Xi and Li Qiang together met each chief executive, marking a contrast to previous duty visits when the premier would meet the officials in separate meetings.

Previously, Li Qiang had already marked a new approach when he took a chartered flight for his first overseas trip, instead of a special plane that his predecessors would use, a move that observers say meant to show deference to Xi and cut down on bureaucracy.

Renewal of US-China science pact likely to be delayed again as sticking points remain

https://www.scmp.com/news/china/science/article/3253306/renewal-us-china-science-pact-likely-be-delayed-again-sticking-points-remain?utm_source=rss_feed

The renewal of a key science and technology treaty between Beijing and Washington is likely to be delayed again when its six-month extension expires on Tuesday while negotiations on its new terms and conditions continue.

“On behalf of the US government, the Department of State is negotiating to amend, extend and strengthen protections” within the US-China Science and Technology Agreement”, a department spokesperson said in a statement to the South China Morning Post on Monday.

The spokesperson said that specific information on negotiating positions or “whether the agreement will be extended past its current expiration date” could not be provided, but added that there was “no higher priority” than “the safety and security” of American citizens overseas.

Asked for a comment, the Chinese embassy in Washington said it had “nothing to offer at this time”.

The US-China Science and Technology Agreement was signed as the first bilateral deal between the two countries in 1979. Since then, the symbolically significant pact has been renewed every five years – the last time under then-president Donald Trump in 2018.

But last August, the administration of US President Joe Biden decided against full renewal and approved continuation only until Tuesday to allow for renegotiations.

The decision followed Washington’s concerns that Beijing could gain military advantage if cooperation in scientific research was not curbed.

A report last year by the Australian Strategic Policy Institute placed Chinese researchers ahead of Americans in 37 of 44 sectors including defence, space, robotics, energy, environment, biotechnology and quantum technology.

In the past six months, two rounds of discussions have taken place in Beijing. The latest meeting was held with a visiting Chinese delegation earlier this month in Washington.

China science deal must address US national security concerns: State Department

According to Denis Simon, a distinguished fellow at the Institute for China-America Studies, another extension is likely. “I don’t think it will happen by the 27th but soon thereafter,” he said.

The tensions between the two global powers have created new hurdles, with the personal safety of US scientists who travel to China to collaborate on research projects a major issue in light of China’s new national security regulations.

The US wants to “make sure that they will not be detained, or harassed or anything of that sort, and that those who come can be assured that they can return home as they need to”, said Simon, a former executive vice chancellor of Duke Kunshan University in China who is familiar with the talks.

The State Department travel advisory for China asks American citizens to reconsider their travel due to “the risk of arbitrary enforcement of local laws”, including “in relation to exit bans and wrongful detentions”.

Amid national security concerns over the use of joint research for military purposes, issues related to the scope of cooperation have been part of the negotiations.

“The United States would like to have a much more narrow-focused agenda – on climate change, health issues, food security, and maybe including clean energy,” said Simon, a former executive vice chancellor of Duke Kunshan University in China who is familiar with the talks.

The Chinese, he said, “would like to see a broader set of fields discussed”.

The US-China scientific collaboration has proved to be productive over the years.

According to an analysis by Caroline Wagner, a professor of public policy at Ohio State University, China became the US’s top partner in science and technology around 2015-2016, supplanting Britain.

Time to open its doors wider, or will China fall into a middle-technology trap?

In 2022, roughly 60,000 joint articles by participants from the US and China were published on Web of Science, a database of peer-reviewed scholarly papers. The number was about 2,600 in 2000.

China has also grown into a research hub. The country has published more scientific papers than any other country since 2017.

“It would be foolish to curtail the S&T relationship just at a time when China is able to be a serious, substantial contributor,” Simon said, adding that the US “cannot let election-year politics kill the agreement”.

Other sticking points include data: its security, its sharing, its ownership, its access. This includes reciprocity, transparency and equal access for scientists from both sides while visiting the other country.

Simon described data as the most “challenging and cumbersome issue” since it involves many players across the Chinese government bureaucracy. Even so, he said, Beijing could not “afford to allow the agreement to lapse because of the important role that S&T cooperation has played in Chinese innovation progress”.