Archive for ‘Beijing’s’

31/05/2020

Is Beijing preparing to decouple from the US?

  • China’s leadership has made it clear to its people that the world will become more dangerous and they must be prepared for hard times
  • Beijing’s relatively small stimulus response to Covid-19 suggests it wants to save its economic policy ammunition for a bigger battle China opted not to set a GDP target for 2020. Photo: Xinhua
China opted not to set a GDP target for 2020. Photo: Xinhua
Beijing’s decision not to set an annual GDP target for 2020 – for the first time since 2002 – is a sign it is putting stability ahead of growth as part of its preparations for an escalating conflict with the United States.
Economic development has always been the central theme for Beijing since it established diplomatic relations with the US in 1979. But this year it has given priority to job creation and tackling poverty. The coronavirus outbreak might appear to have been the reason for the shift, but the underlying factor is the tension with the US.
Covid-19 offered a preview of what a decoupling of China and US might look like: aircraft grounded, cargo flows disrupted, value chains broken, goodwill and cooperation lost, blame games started.
Both countries have suffered heavy human and economic losses from the coronavirus, yet that did not inspire them to work together. Instead, hostility and rivalry has thrived, and neither wants to blink first.

The Chinese leadership has made it clear to its people that the world will become more dangerous and they must be prepared for hard times. As such, the government is saving its economic policy ammunition.

While the stimulus plans introduced in the US, Germany, Japan and France exceed 10 per cent of their national GDP and interest rates have been cut to the bone, Beijing stopped at just 1 trillion yuan (US$140 billion) worth of special treasury bonds and 1.6 trillion yuan of additional local government bonds. In total, about 2.6 per cent of GDP.

Interest rates in China – 2.7 per cent on 10-year bonds – are some of the highest among major economies.

China’s 6.6 per cent defence spending boost lowest in three decades

23 May 2020

China’s budget fiscal deficit has increased to 3.6 per cent of GDP for 2020, but the larger deficit is mainly from tax and fee cuts instead of increased fiscal expenses, except for an increased military spending.

Beijing is calling on provincial and local authorities to tighten their belts, which is unusual for a government that has huge assets and can increase spending at any time through quantitative easing.

So why is the government, which is known for intervening in the economy, being so restrained?

It is bracing itself for a perceived period of turbulence and hardship as its relationship with the US turns sour. It is putting jobs and social stability on top of its agenda, instead of growth.

Beijing is refraining from excessive spending, eliminating sources of potential instability, making appeals to the most vulnerable social groups, and saving its power for a bigger test.

Against that backdrop, the National People’s Congress passed the national security legislation on Hong Kong. Beijing knew the bill would anger the US, but did it anyway.

Hong Kong is known as China’s gateway to the international capital market and the largest offshore yuan market, but Beijing is ready to trade losses on the financial and economic front for potential gain on a fortified national security fence.

All this points to the suggestion that Beijing is preparing for the possibility of decoupling from the US, even if it doesn’t necessarily want to.

The threat of a new Cold War is clouding the world. The theme of life for one or two generations of people on both sides of the Pacific may shift from growth and prosperity to struggle and confrontation.

China and the US have yet to collide totally, but that moment is drawing near.

Source: SCMP

29/05/2020

Under shadow of Beijing’s security law, Taiwan president thanks Hong Kong bookseller for supporting democracy

  • Tsai Ing-wen visited exiled Hong Kong bookseller a day after NPC voted in favour of legislation
  • Lam Wing-kee said fleeing Hongkongers saw Taiwan as a step towards applying for asylum in the West
President Tsai Ing-wen (centre) shows her support for Hong Kong bookseller Lam Wing-kee (right) with Lin Fei-fan, deputy secretary general of the ruling Democratic Progressive Party. Photo: Taiwan presidential office/AFP
President Tsai Ing-wen (centre) shows her support for Hong Kong bookseller Lam Wing-kee (right) with Lin Fei-fan, deputy secretary general of the ruling Democratic Progressive Party. Photo: Taiwan presidential office/AFP
Taiwan’s President Tsai Ing-wen visited exiled Hong Kong bookseller Lam Wing-kee
on Friday in a show of support for Hongkongers amid Beijing’s plan to introduce a controversial national security law.
Her visit came a day after China’s legislature, the National People’s Congress, voted in favour of a resolution to initiate the legal process for a national security law to be imposed on Hong Kong, despite concerns from the United States, the European Union and elsewhere that the move would erode human rights, freedom and autonomy in the city.
“We want to thank the bookstore boss Lam Wing-kee for his persistent support of human rights, freedom and democracy in Hong Kong from the past to the present stage,” Tsai told Lam, who recently reopened the now-defunct Hong Kong Causeway Bay Books in Taipei.

Tsai said on behalf of all Taiwanese people, she welcomed Lam to stay in Taiwan where he could bolster the island’s efforts to further freedom and democracy.

Hongkongers who want to flee to Taiwan ‘will go through strict screening’

28 May 2020

Lam, one of the five shareholders and staff at Hong Kong’s Causeway Bay Books, fled to Taiwan in April last year after he was detained by Chinese agents for eight months in 2015 for selling books critical of the Chinese leadership.

All five went missing

between October and December that year and it emerged they had been detained on the Chinese mainland.

President Tsai Ing-wen looks at a book while visiting Lam Wing-kee on Friday. Photo: Taiwan presidential office/AFP
President Tsai Ing-wen looks at a book while visiting Lam Wing-kee on Friday. Photo: Taiwan presidential office/AFP
Lam later said he had been detained and blindfolded by police after crossing the border into mainland China from Hong Kong in October 2015.

The case triggered a huge controversy and raised fears of growing Chinese control in the city.

Seeing Lam as a representative of Hongkongers fleeing to Taiwan to avoid political persecution, Tsai said she wanted to understand what challenges these exiles faced and what help they needed during their stay on the self-ruled island.

“I want to tell Boss Lam [Wing-kee] and our Hong Kong friends that the government here has set up an ad hoc committee to offer help to them very soon,” she said.

On Wednesday, Tsai called for the government to set up an ad hoc committee to work out a “humanitarian help action plan” for Hong Kong people seeking to live in Taiwan or immigrate to the island. It was borne out of concern they would be arrested or prosecuted for taking part in months of anti-government protests triggered last year by the now-shelved extradition bill.

Chen Ming-tong, head of the Mainland Affairs Council, the island’s top mainland policy planner, said on Thursday his council would draft the measures for cabinet’s approval in a week.

Under the plan, the Mainland Affairs Council would issue special measures and coordinate with the island’s authorities on how to help Hongkongers relocate to Taiwan and take care of them.

Bookseller Lam told Tsai what Hongkongers needed most was to have their stay in Taiwan extended.

Lam said that currently, because of the absence of a political asylum law, Hongkongers could only apply to live in Taiwan through study, work, investment, their professional skills or close relatives.

He said fleeing Hongkongers usually came to Taiwan on tourist permits, which at most allowed them to stay for up to six months, giving them not enough time to apply for long-term residence in Taiwan.

“It would be better if they can stay for nine months and preferably one year,” he said.

Lam said some fleeing Hongkongers saw Taiwan as an intermediary base as they hoped to apply for asylum in the West, but it took a long time for Western countries to screen and approve their asylum requests.

Meanwhile, Premier Su Tseng-chang said Article 18 of the Laws and Regulations Regarding Hong Kong and Macau Affairs was good enough to deal with the current crisis in the absence of a political asylum law in Taiwan.

That article states that “necessary help shall be provided to Hong Kong or Macau residents whose safety and liberty are immediately threatened for political reasons”.

Source: SCMP

20/05/2020

US semiconductor giant shuts China factory hailed as ‘a miracle’, in blow to Beijing’s chip plans

  • US chip giant GlobalFoundries confirms it has ceased operations at its only Chinese facility, with industry experts saying the poorly-planned project was doomed to fail
  • Closure deals blow to China’s plans to move up semiconductor value chain, amid increasingly hostile tech rivalry with the United States
Beijing boasted that the final total investment in the GlobalFoundries plant could be US$10 billion. The plant was intended to produce 300mm wafers, a key material in making chips, but production never started at the 65,000 square metre facility, which was completed mid-2018. Photo: Weibo
Beijing boasted that the final total investment in the GlobalFoundries plant could be US$10 billion. The plant was intended to produce 300mm wafers, a key material in making chips, but production never started at the 65,000 square metre facility, which was completed mid-2018. Photo: Weibo

US chip giant GlobalFoundries has halted operations at a joint venture factory in China, the company has confirmed, dealing a potential blow to China’s bid to own a bigger slice of the global semiconductor market.

The closure of the firm’s only China facility comes just three years after it announced plans to make chips in the mainland, and comes amid an escalating tech war with the United States.

The winding down, however, has little to do with the fierce superpower rivalry. It comes after two years of speculation as to what was actually happening at the US$100 million facility, which was hailed as “a miracle” by local media when announced to fanfare in 2017, but which never got off the ground.

Nonetheless, the symbolism is rich.

China is struggling in its efforts to boost its domestic chip research and production in a bid to counter US efforts to block it from American technology.

Last week, the US Department of Commerce upped the ante by banning the sale
of Huawei-designed chips produced outside America if they are made using the US software and technology, adding further pressure to the Chinese telecom giant’s global supply chain.
The GlobalFoundries factory, in a hi-tech park in the southwestern city of Chengdu, was one of China’s major foreign-invested semiconductor projects, for which the local government rolled out the red carpet three years ago.

At the time, Chengdu boasted that the final total investment in the plant could be US$10 billion. The plant was intended to produce 300mm wafers, a key material in making chips, but production never started at the 65,000 square metre facility, which was completed mid-2018.

A spokesperson for California-based GlobalFoundries confirmed that the Chengdu plant had stopped operations and that it had offered staff an “employee optimisation plan”, a commonly-used euphemism for lay-offs.

“The plan is being carried out on the basis of open and transparent communications with the employees and they have been offered various options to choose from based on their personal situations,” a company statement read.

A 2018 annual report from the joint venture, in which GlobalFoundries had a stake of 51 per cent with the rest controlled by an investment vehicle of the Chengdu government, showed that the plant had 320 employees.

A company notice sent to employees dated May 14 and seen by the Post said that after mid-June, the company would only pay 70 per cent of Chengdu’s minimum monthly wage, about 1,246 yuan (US$175.38), while negotiating severance packages with staff.

For some industry analysts who have followed the Chengdu project from its inception, its demise has less to do with the trade war, more to do with poor planning.

There was little detailed research and planning before the project was launched. As far as the Chengdu government is concerned, it lacks a sufficient understanding of GlobalFoundriesGu Wenjun, analyst

“There was little detailed research and planning before the project was launched. As far as the Chengdu government is concerned, it lacks a sufficient understanding of GlobalFoundries, its decision-making mechanism and economic strengths, and it did not get strong support from the central government,” said Gu Wenjun, chief analyst at Shanghai-based semiconductor research firm ICwise.
The idea of establishing a joint venture was first pitched to Chongqing municipality, a neighbouring city of Chengdu, in 2016. Chongqing signed a memorandum of understanding with GlobalFoundries to set up a plant to manufacture 300mm silicon wafers – components for making integrated circuits – using technology from GlobalFoundries’ Singapore factory.
After the deal to open a Chongqing plant fell through for unclear reasons, Chengdu moved in to cut a deal with GlobalFoundries in late-2016. A 2017 blueprint stated that 3,500 employees could be working at the site, according to Wallace Pai, then GlobalFoundries’ general manager for China.
But production never started. Initially the project was supposed to have two phases: using mainstream technologies to manufacture 300mm wafers from 2018, then transferring to more advanced technologies in late-2019.
However, in October 2018, the two partners decided to “bypass” the phase one manufacturing stage, partly because of China’s increasing demand for more advanced products and GlobalFoundries’ own financial stress. The project has since stalled.

Comparing official announcements from the Chengdu government and GlobalFroundries back in 2017, Gu from ICwise said the two had different focuses, which might explain the plant’s derailment. The government clearly wanted to bring in mainstream, lower-risk technologies to boost the city’s brand, while the company aimed for Chinese capital and government support to invest in more advanced technology, Gu said.

The joint venture will continue after the factory’s demise, with GlobalFoundries still expecting to expand sales in the Chinese market, the company said in its statement. It now has five factories, three in the US and one each in Singapore and Germany.

When The Post contacted the office of the joint venture partner within the Chengdu government, the person answering the phone said they did not know anything about the closure nor future plans, before hanging up without giving their name.

“Our focus in China is on developing and growing our partner ecosystem including creating local technology infrastructure and bringing more intellectual property vendors and electronic design automation partners to better serve the local market,” the company said.

According to the China Semiconductor Industry Association, China’s integrated circuits sales rose 15.8 per cent in 2019 from a year earlier to 756.2 billion yuan (US$106.44 billion), while sales in the global semiconductor market dropped by 12 per cent to US$412 billion.

Last week, Dutch company ASML Holding, a key supplier of chip-making equipment, set up a plant in Wuxi, in Jiangsu province, in a boost to China’s efforts to attract foreign semiconductor investment.

Source: SCMP

09/05/2020

Coronavirus spares China’s armed forces but disrupts PLA modernisation plans

  • People’s Liberation Army has officially recorded no infections but disease fears have delayed recruitment, training and operations
  • Analysts say Sars experience guided military’s prompt response, but combat effectiveness has been affected
Chinese military medical personnel arriving in Wuhan in February to assist with the response to the coronavirus outbreak. Photo: Reuters
Chinese military medical personnel arriving in Wuhan in February to assist with the coronavirus outbreak response to the February. Photo: Reuters
China’s military may have been spared any coronavirus infections, but the global health crisis has slowed the progress of Chinese President Xi Jinping’s plan to transform the People’s Liberation Army into a modern fighting force capable of long-range power-projecting operations, experts say.
According to China’s defence ministry, the world’s largest armed force – with about 2.3 million personnel – has had zero confirmed cases of Covid-19. In contrast, the US and Russian militaries, ranked second- and third-largest in the world, have reported more than 4,000 and 1,000 respectively.
But the PLA has been affected in other ways by the disease, which was first reported in Wuhan in December before going on to infect 3.9 million people around the world to date.
Safety concerns delayed its annual spring recruitment programme – it has been rescheduled for August – while the PLA Navy was forced to change its training arrangements, switching to classroom study of military theory and tactics, according to Xinhua.
“The PLA is still a conscription army and, given its large turnover of soldiers every year and the late recruitment and training plan this year, the coronavirus pandemic has already affected combat effectiveness,” said Adam Ni, director of the China Policy Centre, an independent, non-profit research organisation based in Canberra, Australia.
China’s military budget will still rise despite coronavirus, experts predict
3 May 2020

The navy’s operations, in particular, would have been affected, according to Charlie Lyons Jones, a researcher from the Australian Strategic Policy Institute’s defence and strategy programme.

“The Chinese navy, short of highly effective disease control measures, is unlikely to avoid similar outbreaks of the novel coronavirus on board its warships,” he said.

“Therefore, even if the PLA Navy currently has zero personnel infected by the novel coronavirus, its position as a navy that can operate effectively in a period of higher-than-normal tension remains precarious at best,” Jones said. He also questioned Beijing’s claims that the military was virus-free.

“The PLA played an important role in China’s response to the coronavirus outbreak in Wuhan … The idea that none of these personnel working on the front lines in Wuhan became infected by the novel coronavirus would be inconsistent with the experiences of countries from around the world,” he said.

More than 4,000 military medical workers were sent to Wuhan as part of China’s effort to contain the outbreak at ground zero – which included the rapid-built emergency field facility, the Huoshenshan hospital – and their efforts were highlighted in a documentary screened recently by state broadcaster CCTV.

China opens coronavirus hospital built in 10 days
At the time, rumours were rampant that the Chinese military had been affected by the coronavirus, fuelled by a report on February 17 by the official PLA Daily that some soldiers had been placed in quarantine and Yu Qiusong, captain of the Changzhou type 054A frigate, was isolating in a guest house. The news report did not mention why the personnel were in quarantine.

But analysts said that whether the official numbers were accurate, the PLA’s closed management, fast response and past experience with severe acute respiratory syndrome (Sars) gave China’s military an advantage in keeping the coronavirus at bay.

Zhou Chenming, a Beijing-based military observer, said a key reason for the less serious hit to the PLA compared to other forces was its speed in recognising the severity of the situation.

“What’s more, the PLA has its own logistic support system that can help minimise its contact with the outside world, thus reducing the possibility of contracting the virus,” he said.

China’s long-range stealth bomber could make its debut this year

4 May 2020

According to Xinhua, the PLA’s Centre for Disease Control and Prevention drew up an emergency response plan and mobilisation arrangements on January 20, the same day Xi issued an instruction to the public that the virus must be “resolutely contained”.

Timothy Heath, a senior international defence research analyst with the Rand Corporation, a US think tank, said China’s military had benefited from its less international role, compared to US forces.

“The US is a globally distributed force while the Chinese military largely operates on the mainland. The US thus faces challenges in containing the disease that the Chinese military does not have to face … and the US military has a large range of missions and tasks it carries out to counter threats to its allies and partners, as well as to US security. This complicates efforts by the US military to carry out disease control measures,” he said.

Source: SCMP

28/04/2020

Coronavirus: China’s capital city struggles to get back to normal amid continued outbreak worries

  • Beijing’s Chaoyang district remains the last high-risk area in China, with virus preventive measures continuing to impact on travel and shopping plans
  • China faces the dilemma of preventing a re-emerge of the pandemic, while also pushing to get its economy back to normal
China’s continued pandemic prevention measures, coupled with still hesitant consumer demand, will inevitably lead to persistent limitations on the nation’s economic recovery, analysts said. Photo: Bloomberg
China’s continued pandemic prevention measures, coupled with still hesitant consumer demand, will inevitably lead to persistent limitations on the nation’s economic recovery, analysts said. Photo: Bloomberg

After nearly three months of being quarantined by herself in Beijing, Mary Zhao was looking forward to the upcoming long weekend at the start of May to be able to finally reunite with her parents.

But Zhao was forced to abandon her plan for the Labour Day holidays as Beijing’s upmarket Chaoyang district, where she lives, remains the only high-risk zone for coronavirus in the entire country.

If she travelled the five hours by car, or two hours via bullet train, to the neighbouring Hebei province, she would first have to undergo a 14-day quarantine before seeing her parents. Her parents would also have the same two week quarantine to look forward to once they returned home if they came to visit their daughter in Beijing.

These strict controls to prevent a re-emergence of the coronavirus outbreak are making a return to normal life impossible for many, and mean the final economic and social cost

 from China’s draconian preventive measures could be much larger than expected.
Wuhan declares ‘victory’ as central Chinese city’s last Covid-19 patients leave hospital
It underscores the dilemma facing China’s leaders on how to balance the need to

restart the economy

and to avoid a fresh outbreak. On the surface, China may be able to declare victory as even Wuhan, the city where the virus was first detected, announced that the last Covid-19 patient had left hospital on Sunday. But fears of a renewed outbreak have kept the country’s cinemas and most schools closed, with travel between provinces discouraged.

China’s national borders also remain largely closed, with flights being cut to a minimum, and a mandatory 14-day quarantine for every arrival. In the number of places where new cases have been reported, quarantine requirements have been tightened, including Harbin and a few other cities near the border with Russia.
Chaoyang, the home to one of Beijing’s main business districts and most foreign embassies, changed its risk rating to high from low in the middle of April after three new cases were reported, dealing a fresh blow to the district’s

struggling businesses,

and forcing many of the 3.5 million residents to cancel their travel plans.

On the outskirts of Beijing, near Beijing Capital International Airport, returning migrant workers to Picun village were ordered to stop at entrance and could only be escorted inside by their landlord, with many villages and residential compounds remaining closed to outsiders.

In the high-end shopping district of Guomao, some shops also remain closed as there are few potential customers, while over in the popular Sanlitun area, metal barriers restrict access and temperature checkpoints are still required.

The landmark Apple Store in the popular Taikoo shopping centre is open, but with limited customers allowed inside, there are long queues outside. Customers are required to scan a QR code to check their movements over the last few days before entering.

Coronavirus: More schools reopen in China for students preparing for university entrance exams
“Why do I have to spend 20 minutes just to get into the Apple Store? The sun has almost melted me down,” one visitor complained to the security guards at the front of the shop.

China’s continued pandemic prevention measures, coupled with still hesitant consumer demand, will inevitably lead to persistent limitations on the nation’s economic recovery, analysts said.

Ernai Cui, an economist at research firm Gavekal Dragonomics, said on Monday that China’s cautious approach to lifting restrictions “points to a weak second quarter for consumer services”, adding additional pressure to the economic recovery.Mao Zhenhua, a researcher at the China Institute of Economics at Renmin University, said China’s preventive measures will inevitably be a drag on production, employment and exports.

Source: SCMP

19/04/2020

Asian countries more receptive to China’s coronavirus ‘face mask diplomacy’

  • Faced with a backlash from the West over its handling of the early stages of the pandemic, Beijing has been quietly gaining ground in Asia
  • Teams of experts and donations of medical supplies have been largely welcomed by China’s neighbours
Despite facing some criticism from the West, China’s Asian neighbours have welcomed its medical expertise and vital supplies. Photo: Xinhua
Despite facing some criticism from the West, China’s Asian neighbours have welcomed its medical expertise and vital supplies. Photo: Xinhua
While China’s campaign to mend its international image in the wake of its handling of the coronavirus health crisis has been met with scepticism and even a backlash from the US and its Western allies, Beijing has been quietly gaining ground in Asia.
Teams of experts have been sent to Cambodia, the Philippines, Myanmar, Pakistan and soon to Malaysia, to share their knowledge from the pandemic’s ground zero in central China.
Beijing has also donated or facilitated shipments of medical masks and ventilators to countries in need. And despite some of the equipment failing to meet Western quality standards, or being downright defective, the supplies have been largely welcomed in Asian countries.
China has also held a series of online “special meetings” with its Asian neighbours, most recently on Tuesday when Premier Li Keqiang discussed his country’s experiences in combating the disease and rebooting a stalled economy with the leaders of the Association of Southeast Asian Nations (Asean), Japan and South Korea.
Chinese Prime Minister Li Keqiang speaks to Asean Plus Three leaders during a virtual summit on Tuesday. Photo: AP
Chinese Prime Minister Li Keqiang speaks to Asean Plus Three leaders during a virtual summit on Tuesday. Photo: AP
Many Western politicians have publicly questioned Beijing’s role and its subsequent handling of the crisis but Asian leaders – including Philippine President Rodrigo Duterte and Japanese Prime Minister Shinzo Abe – have been reluctant to blame the Chinese government, while also facing criticism at home for not closing their borders with China soon enough to prevent the spread of the virus.

An official from one Asian country said attention had shifted from the early stages of the outbreak – when disgruntled voices among the public were at their loudest – as people watched the virus continue its deadly spread through their homes and across the world.

“Now everybody just wants to get past the quarantine,” he said. “China has been very helpful to us. It’s also closer to us so it’s easier to get shipments from them. The [medical] supplies keep coming, which is what we need right now.”

The official said also that while the teams of experts sent by Beijing were mainly there to observe and offer advice, the gesture was still appreciated.

Another Asian official said the tardy response by Western governments in handling the outbreak had given China an advantage, despite its initial lack of transparency over the outbreak.

“The West is not doing a better job on this,” he said, adding that his government had taken cues from Beijing on the use of propaganda in shaping public opinion and boosting patriotic sentiment in a time of crisis.

“Because it happened in China first, it has given us time to observe what works in China and adopt [these measures] for our country,” the official said.

Experts in the region said that Beijing’s intensifying campaign of “mask diplomacy” to reverse the damage to its reputation had met with less resistance in Asia.

Why China’s ‘mask diplomacy’ is raising concern in the West

29 Mar 2020

“Over the past two months or so, China, after getting the Covid-19 outbreak under control, has been using a very concerted effort to reshape the narrative, to pre-empt the narrative that China is liable for this global pandemic, that China has to compensate other countries,” said Richard Heydarian, a Manila-based academic and former policy adviser to the Philippine government.

“It doesn’t help that the US is in lockdown with its domestic crisis and that we have someone like President Trump who is more interested in playing the blame game rather than acting like a global leader,” he said.

Shahriman Lockman, a senior analyst with the foreign policy and security studies programme at Malaysia’s Institute of Strategic and International Studies, said that as the US had withdrawn into its own affairs as it struggled to contain the pandemic, China had found Southeast Asia a fertile ground for cultivating an image of itself as a provider.

China’s first-quarter GDP shrinks for the first time since 1976 as coronavirus cripples economy
Beijing’s highly publicised delegations tasking medical equipment and supplies had burnished that reputation, he said, adding that the Chinese government had also “quite successfully shaped general Southeast Asian perceptions of its handling of the pandemic, despite growing evidence that it could have acted more swiftly at the early stages of the outbreak in Wuhan”.
“Its capacity and will to build hospitals from scratch and put hundreds of millions of people on lockdown are being compared to the more indecisive and chaotic responses seen in the West, especially in Britain and the United States,” he said.
Coronavirus droplets may travel further than personal distancing guidelines
16 Apr 2020

Lockman said Southeast Asian countries had also been careful to avoid getting caught in the middle of the deteriorating relationship between Beijing and Washington as the two powers pointed fingers at each other over the origins of the new coronavirus.

“The squabble between China and the United States about the pandemic is precisely what Asean governments would go to great lengths to avoid because it is seen as an expression of Sino-US rivalry,” he said.

“Furthermore, the immense Chinese market is seen as providing an irreplaceable route towards Southeast Asia’s post-pandemic economic recovery.”

Aaron Connelly, a research fellow in Southeast Asian political change and foreign policy with the International Institute for Strategic Studies in Singapore, said Asian countries’ dependence on China had made them slow to blame China for the pandemic.

“Anecdotally, it seems to me that most Southeast Asian political and business elites have given Beijing a pass on the initial cover-up of Covid-19, and high marks for the domestic lockdown that followed,” he said.

“This may be motivated reasoning, because these elites are so dependent on Chinese trade and investment, and see little benefit in criticising China.”

China and Vietnam ‘likely to clash again’ as they build maritime militias

12 Apr 2020
The cooperation with its neighbours as they grapple with the coronavirus had not slowed China’s military and research activities in the disputed areas of the South China Sea – a point of contention that would continue to cloud relations in the region, experts said.
Earlier this month an encounter in the South China Sea with a Chinese coastguard vessel led to the sinking of a fishing boat from Vietnam, which this year assumed chairmanship of Asean.
And in a move that could spark fresh regional concerns, shipping data on Thursday showed a controversial Chinese government survey ship, the Haiyang Dizhi 8, had moved closer to Malaysia’s exclusive economic zone.
The survey ship was embroiled in a months-long stand-off last year with Vietnamese vessels within Hanoi’s exclusive economic zone and was spotted again on Tuesday 158km (98 miles) off the Vietnamese coast.
Source: SCMP
17/04/2020

Spring yet to come: Small businesses at Beijing’s tourist hot-spots struggle

BEIJING (Reuters) – For Zhang Yu, who runs a cafe in one of Beijing’s top tourist spots, business has never been so bad.

To contain the spread of the coronavirus, bars and cafes in the Wudaoying hutong – a top Lonely Planet destination built around a narrow lane – are permitted to provide take-away services only. Non-residents must show proof they have an appointment to enter the area.

Added to which, tourism has plummeted.

“Don’t mention it! This is supposed to be the peak season,” said Zhang, who has run her cafe for five years. “But there are almost no customers as they (authorities) don’t want to have people hanging around here.”

While China’s manufacturing and retail sectors are starting to get back to work as the pace of new infections slows sharply, tourism sites in Beijing remain a shadow of their former and bustling self.

China’s capital city has maintained the highest level of emergency response to the outbreak, so tourist attractions like the Forbidden City remain closed. A 14-day quarantine for new arrivals has stifled travel.

As a result, small business owners running restaurants, souvenir shops and tourism agencies are struggling.

Only a little over 20% of tourism-related businesses in Beijing had resumed operation as of the three-day Qingming national holiday in early April, a survey by on-demand delivery service giant Meituan Dianping showed.

HANGING ON

The only people present in Wudaoying on a recent afternoon were a few elderly residents sitting outside to enjoy the spring sunshine. A cat made its way lazily through empty rooftop bars.

“We used to see more customers in one hour in pre-virus days than we see in a whole day right now,” said a worker at a sandwich restaurant in Wudaoying.

In another popular area, Khazzy, a 32-year-old doctoral student who opened a restaurant last October, has had only four customers all day.

“There are almost no tourists coming to Beijing and the remaining locals have concerns about eating out,” Khazzy said as sunset approached.

Khazzy said he has let five of his 13 staff go and has no idea how long he can stay afloat financially even though his landlord has agreed to waive one month’s rent on the property in Qianmen, near Beijing’s Tiananmen Square.

More than half of the shops in Qianmen remain closed. The manager of a state-backed noodle restaurant said most of the closed stores are privately owned small businesses that can’t secure enough business to support their daily operations.

She said revenues at the noodle restaurant have plunged more than 80%, but staff salaries have not been cut.

Zhang, the cafe owner in Wudaoying, reckoned small businesses could hold on for the next three months.

“But after that, I just don’t know,” she said.

Source: Reuters

14/04/2020

Chinese oil survey ship returns to disputed waters off Vietnam amid coronavirus pandemic

  • Vietnamese ships spent months last year shadowing the Haiyang Dizhi 8 as it surveyed the resource-rich waters within Vietnam’s exclusive economic zone
  • Its return follows charges laid by the US that China is ‘exploiting the distraction’ and vulnerability caused by the pandemic
The Haiyang Dizhi 8 at sea. Photo: Weibo
The Haiyang Dizhi 8 at sea. Photo: Weibo
A Chinese ship embroiled in a stand-off with Vietnamese vessels last year
has returned to waters near Vietnam as the United States accused China
of pushing its presence in the South China Sea while other claimants are pre-occupied with the coronavirus.
Vietnamese vessels last year spent months shadowing the Chinese Haiyang Dizhi 8 survey vessel in resource-rich waters that are a potential global flashpoint as the 
US

challenges China’s sweeping maritime claims.

China and Vietnam ‘likely to clash again’ as they build maritime militias
12 Apr 2020
On Tuesday, the ship, which is used for offshore seismic surveys, appeared again 158km off Vietnam’s coast, within its exclusive economic zone (EEZ), flanked by at least one Chinese coastguard vessel, according to data from Marine Traffic, a website that tracks shipping.

At least three Vietnamese vessels were moving with the Chinese ship, according to data issued by the Marine Traffic site.

The presence of the Haiyang Dizhi 8 in Vietnam’s EEZ comes towards the scheduled end of a 15-day nationwide lockdown in Vietnam aimed at curbing the spread of the coronavirus.

It also follows

the sinking of a Vietnamese fishing boat near islands in the disputed waters this month

, an act that drew a protest from Vietnam and accusations that China had violated its sovereignty and threatened the lives of its fishermen.

The US, which last month sent an aircraft carrier to the central Vietnamese port of Da Nang, said it was “seriously concerned” about China’s reported sinking of the vessel.

“We call on the PRC to remain focused on supporting international efforts to combat the global pandemic, and to stop exploiting the distraction or vulnerability of other states to expand its unlawful claims in the South China Sea,” the US State Department said in a statement, referring to China.

Vietnam pulls DreamWorks’ ‘Abominable’ over South China Sea map
The Philippines

, which also has disputed claims in the South China Sea, has raised its concerns too.

On Saturday, the Global Times, published by the official People’s Daily newspaper of China’s ruling Communist Party, said Vietnam had used the fishing boat incident to distract from its “ineptitude” in handling the coronavirus.

Vietnam’s Ministry of Foreign Affairs did not immediately respond to a request for comment.

Helped by a mass quarantine and aggressive contact-tracing, Vietnam has recorded 265 cases of the novel coronavirus and no deaths. Nearly 122,000 coronavirus tests have been carried out in Vietnam.

Coronavirus: what’s behind Vietnam’s containment success?

14 Apr 2020

China and Vietnam have for years been at loggerheads over the potentially energy-rich waters, called the East Sea by Vietnam.

China’s U-shaped “nine-dash line” on its maps marks a vast expanse of the waters that it claims, including large parts of Vietnam’s continental shelf where it has awarded oil concessions. 

Malaysia

and Brunei claim some of the waters that China claims to the south.

During the stand-off last year, at least one Chinese coastguard vessel spent weeks in waters close to an oil rig in a Vietnamese oil block, operated by Russia’s Rosneft, while the Haihyang Dizhi 8 conducted suspected oil exploration surveys in large expanses of Vietnam’s EEZ.
“The deployment of the vessel is Beijing’s move to once again baselessly assert its sovereignty in the South China Sea,” said Ha Hoang Hop, at the Singapore-based ISEAS-Yusof Ishak Institute.
“China is using the coronavirus distraction to increase its assertiveness in the South China Sea, at a time when the US and Europe are struggling to cope with the new coronavirus.”
Source: SCMP
06/04/2020

Coronavirus: Beijing offers to fly Chinese students home from the US – but would it rather they declined?

  • Embassy says those flown back must pay for themselves, and praises the US health system, in a departure from the war of words with Washington
  • More than a million Chinese students remain overseas, but China is on alert against the threat of imported infections
China has drastically cut flights to try to prevent people who arrive from abroad importing the coronavirus. Photo: AFP
China has drastically cut flights to try to prevent people who arrive from abroad importing the coronavirus. Photo: AFP
Chinese students could be flown home from coronavirus hotspots such as the United States but will have to pay their own expenses, amid efforts by Beijing to persuade some to remain overseas rather than risk bringing the infection with them.
A statement posted on the website of China’s Washington embassy on Monday said that the Chinese government was aware that many school and university students had encountered difficulties in travelling back to China and was taking steps to arrange charter flights for those who needed to return urgently.
With the initial coronavirus outbreak appearing to have been largely contained in mainland China, some Chinese students have travelled home despite soaring air ticket prices and the requirement that those who have been overseas enter quarantine.
Students brought back on charter flights would still need to pay for the ticket and the costs of the mandatory 14-day quarantine upon arrival in China.
Trump says US approaching a ‘horrendous’ time as coronavirus death toll rises
More than 1.6 million Chinese are studying overseas, including about 410,000 in the US. At least 1.42 million Chinese students remained overseas, vice foreign minister Ma Zhaoxu said on Thursday.
Having initially boasted of its success in stopping the virus, Beijing has become notably cautious in recent weeks about welcoming overseas students back home, especially with imported cases continuing to rise.
China’s foreign ministry and its overseas missions have urged students considering travelling home to exercise caution. The embassy in the US issued a notice on Friday speaking highly of the American medical system and its response to the pandemic, in a marked departure from Beijing’s narrative, which has included pinning the blame for the pandemic on the United States.

Friday’s embassy notice also dismissed rumours that Chinese students had been targeted because of the coronavirus during the closures of universities, and pledged help if students had trouble communicating with universities about campus accommodation.

China advises foreign diplomats to stay away from Beijing until May 15
3 Apr 2020

Ma said that most overseas students had heeded his government’s advice and chosen not to go back to China, but an online survey late last month that was cited by Caixin magazine on Saturday showed nearly 60 per cent of Chinese students in the US wanted to return home.

Most of the 4,000 students polled said they were unable to make the trip because of concerns about contracting the coronavirus during the journey and air fares that had more than doubled recently. Both China and the US have drastically cut back long-haul international flights.

After weeks stranded in Peru, 65 Hongkongers return home

6 Apr 2020

Students under 18 years of age who want to return to China are required by the embassy to register online.

The initial evacuation plan announced on Monday proposed to prioritise school-age children whose parents were not in the US with them. The proposed arrangement appeared to include students from Hong Kong, Macau and Taiwan.

Source: SCMP

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