Archive for ‘China alert’

13/03/2012

* China’s Q1 foreign trade with other BRICS nations surges

BRICS summit participants: Prime Minister of I...

Image via Wikipedia

Xinhua: “China’s top customs authority announced Friday that the country’s foreign trade with the other four BRICS nations surged by 45.8 percent to reach 59.9 billion U.S. dollars in the first quarter of this year.

The first-quarter foreign trade growth between China and the other four nations of BRICS (an acronym for Brazil, Russia, India, China and South Africa), was 16.3 percentage points higher than China’s average foreign trade growth during the period, China’s General Administration of Customs said in a statement on its website.

During the first three months, China’s imports from the other BRICS countries reached 33.05 billion U.S. dollars, up 57.2 percent year on year. Exports to those countries hit 26.85 billion yuan, up 33.8 percent. …

Q1 bilateral trade between China and India rose 25.2 percent to 17.63 billion U.S. dollars. Trade with Brazil surged 58.9 percent to 16.11 billion U.S dollars, while that with Russia rose 33.5 percent to 15.99 billion U.S. dollars. Bilateral trade between China and South Africa increased more than one fold to 10.16 billion U.S. dollars.”

via China’s Q1 foreign trade with other BRICS nations surges.

It used to be BRIC, since 2010 it has become BRICS to include South Africa. http://en.wikipedia.org/wiki/BRICS

Related Page: https://chindia-alert.org/economic-factors/

13/03/2012

* Japan to buy $10b Chinese govt bond

China Daily: “Japan got the permission from China to purchase 65 billion yuan (about $10.3 billion) worth of Chinese government bond, Japanese Finance Minister Jun Azumi said Tuesday.

It was the first time the Japanese government announced the specific figure of its permitted allotment of Chinese government bond.

Azumi told reporters that the size was “appropriate” in view of strengthening the economic ties between the two countries.”

via Japan to buy $10b Chinese govt bond|Economy|chinadaily.com.cn.

Another small but sure step towards establishing the Yuan as an international currency.

Related Page: https://chindia-alert.org/political-factors/geopolitics-chinese/

12/03/2012

# China Revealed – The Concept of Face

The concept of Face refers to 2 separate but related beliefs in Chinese social relations for judging conduct — lian and mianzi.

Lian represents the confidence of society in the integrity of a person’s moral character. Mianzi represents social perceptions of a person’s prestige; a reputation achieved through getting on in life, through success and orientation.

It’s imperative for a person to maintain face, as it translates into power and influence, and affects goodwill. A loss of lian could verily result in a loss of trust within a social group, while a loss of mianzi could verily result in a loss of authority. To gossip about a person stealing would cause a loss of lian but not mianzi. Continually interrupting your boss while they’re speaking could cause them a loss of mianzi but not lian.

This is a true story of one man’s journey in China as he experiences some of the little-known cultures within.

read on … China Revealed – The Concept of Face.

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Also: “FACE” – A CULTURAL THING

For those of you not well-versed in Chinese culture, there is something you should know about the concept of face or having face. Stemming from this, there are also the related concepts of losing face, of saving face, and even of lending face.

Face is a concept not hard to understand because, even as Westerners, everyone has face. When equated to Western values, face is very similar to the notion of reputation. Face is a dynamic which applies to both personal and business relationships in China.

Corollary to face is the inseparable concept of guanxi or “relations”. Face and guanxi work hand-in-hand. One without the other renders useless the dynamic these two concepts collectively work together. I will write about guanxi in a separate article.

So, now we will see how face works curiously as a commodity in the business and personal realms…

read on … The Concept of “Face” in Chinese Culture – Yahoo! Voices – voices.yahoo.com.

12/03/2012

* Found: genes that make Chinese more collective in outlook

This image shows the coding region in a segmen...

Image via Wikipedia

London, Sunday Times: “They may seem like cultural stereotypes, but the traits of rugged British individualism compared with Chinese conformity may be rooted in genetic differences between races, say scientists.

Their study suggests that the individualism seen in western nations, and the higher levels of collectivism and family loyalty found in Asian cultures, are caused by differences in the prevalence of particular genes. The scientists looked at a gene that controls levels of serotonin, the brain chemical which regulates mood and emotions.

They found one version of the gene was far more common in western populations where, they said, it was associated with individualistic and free-thinking behaviour.

The other version, which was prevalent in Asian populations, was associated with collectivism and a greater willingness to put the common good first. People with this gene appeared to have a different response to serotonin.

If confirmed, the findings would suggest that races may have a number of inherent psychological differences — just as they differ in physique and appearance. “We demonstrate for the first time a robust association between cultural values of individualism–collectivism and the serotonin transporter gene,” said Joan Chiao, from the department of psychology at Northwestern University, in Illinois. …

The findings, published in a paper, and in a new book called Pathological Altruism, found that Asian nations, including China, Japan and Korea tended to have higher proportions of the “collectivist” gene in their population.

Such findings will need further confirmation but could provide a tentative explanation of why the Japanese economy, for example, tends to be based around large companies showing high levels of loyalty between managers and employees. Economists often contrast such enterprises with the hire-and-fire culture of the West.

via Found: genes that make Brits free-thinkers | The Sunday Times.

Related page: https://chindia-alert.org/social-cultural-diff/uncanny-similarities/

11/03/2012

* A tale of two (Chinese) regions

China Daily: “China’s economic development over the last 30 years has been “a tale of two regions” — prosperous coastal areas where GDP matches some developed countries and inland areas that have lagged behind. …

In 2011, China laid out a 10-year development plan for the middle and western areas of the country, demarcating 14 impoverished regions and creating development plans for each region. Three of the 14 regions are in southwest China’s Guizhou province, which has a total of 65 counties listed as impoverished.

“When these areas develop, it will help to effectively close the gap with the eastern part of the country,” said Li Zhanshu, secretary of the Guizhou provincial committee of the Communist Party of China and a deputy to the National People’s Congress (NPC), which is meeting now in Beijing.

The gap between the coast and many other parts of China is indeed large. From 1978 to 2011 per capita GDP in coastal Zhejiang province has risen on average 11.6 percent per year to $9,000 in 2011, far above the national average. This figure is about three times the amount for Tibet and Gansu province, in China’s west.

Closing this gap has been a major topic of the current annual NPC session and the concurrent meeting of the Chinese People’s Political Consultative Conference, China’s leading political advisory body.”

via A tale of two regions|Economy|chinadaily.com.cn.

Given China’s success at creating a major ‘municipality’ of Chongqing in 1997 to act as a magnet in the centre of China, we shouldn’t be surprised if in 15 years these impoverished regions start to become more like the coastal regions of China.

Related page: https://chindia-alert.org/prognosis/chinese-challenges/

10/03/2012

* Chinese smokers may be singed by tax hikes

China Daily: “China plans to increase taxes on mid- and low-end cigarettes in a bid to curb expanding tobacco consumption in the country, Minister of Health Chen Zhu said on Friday.

The move follows the tax hike targeting high-end cigarettes in 2009, which hasn’t met the country’s target of easing the rising use of tobacco, Chen said.

“We notice that most of the growing proportion of smokers are young adults, who consume low-end cigarettes and are sensitive to prices. As such, I’m confident that the tax hike will effectively help reduce the number of smokers without affecting fiscal revenue,” Chen said on the sidelines of the plenary sessions of the ongoing National People’s Congress.

The tax charge is “imperative” given the growing health and environmental concerns arising from smoking, Chen said.”

via Smokers may be singed by tax hikes|Economy|chinadaily.com.cn.

Another sign of the maturing of China. Until now, it had not paid much attention to smokers and their health.

Related page: https://chindia-alert.org/political-factors/chinese-tensions/

08/03/2012

* China highlights human rights in criminal procedure law revision

Extracted from Xinhua: “China’s legislature has underlined the principle of “respecting and safeguarding human rights” by explicitly writing it into a draft amendment to the nation’s Criminal Procedure Law.

The draft was submitted Thursday to the ongoing 5th session of the 11th National People’s Congress (NPC) for third reading. …

Since China is in a transition period with prominent incidence of conflicts, the number of criminal cases remains large and severe violent crimes are on increase, Wang Zhaoguo, vice chairman of the Standing Committee of the National People’s Congress (NPC), said. …

China’s criminal justice system should be improved step by step based on the country’s reality, he said, summarizing, “Improvements should be made to keep up with the times without surpassing the present realities or blindly copying any foreign judicial and litigation systems.”

PREVENTING TORTURE OF SUSPECTS

… The draft amendment, for the first time, has made clear that confessions extorted through illegal means, such as torture, and witness testimony and depositions of victims obtained illegally, such as by violence or threats, should be excluded during the trials.

To institutionally prevent extortion of confession by torture, the draft has regulated that suspects be sent to a detention facility for custody after being detained or arrested and be interrogated there. The process of interrogation shall be audio or video-taped. …

“The revisions on ruling out illegal evidence and strictly regulating the procedure of collecting evidence will effectively curb torturing practices,” he went on.

REVIEWING DEATH PENALTY

The draft amendment also specifies the procedures for the Supreme People’s Court to review death penalty cases in order that such cases will be handled “with sufficient care” and “legal oversight” will be strengthened. According to the draft, the supreme court shall issue an order approving or disapproving a death sentence after reviewing it. If the supreme court overrules the death sentence, it may remand the case for retrial or revise the judgement thereof. …

“The proposed revisions will improve the procedure and guarantee the legal oversight necessary before taking somebody’s life,” he said.

LAWYERED UP

A proposed revision allowing the criminal suspect to engage a lawyer as his defense counsel when the police first interrogate him has been widely welcomed by lawyers. Under the current law, a suspect can only have a defense counsel when the case is handed over to prosecutors. Lawyers can only provide legal help for suspects under police investigation. …

DEFINING HOUSE SURVEILLANCE

The draft amendment defines the measure of house surveillance and stipulates the conditions for its application. …

NOTIFYING FAMILY

The draft amendment also strictly limits exceptions to the provisions of notifying family members of the suspect after a coercive measure is adopted.

The current law, while providing that a person’s family be notified within 24 hours of their detention or arrest, also gives two exceptions — one is under the circumstance where the notification may obstruct investigation, and the other is if his or her family can not be reached.

Under the proposed revision, for a person under arrest, the first exception is deleted since “obstruct investigation” is ambiguous.

In cases of detention, the draft amendment regulates that, only when he is involved in crimes of endangering national security and terrorism, the police may not inform his family for fear of hindering investigation.

It also stipulates that, for people under house surveillance in a designated place, their families should be informed within 24 hours after the coercive measure is taken, unless they can not be reached.”

http://news.xinhuanet.com/english/china/2012-03/08/c_131453966.htm

Although some Western human rights campaigners are bound to assert: “not far enough”, the very fact that this issue is being taken into account in the new criminal procedure law revision must be a step in the right direction. In many ways, the Communist Party is demonstrating that it is maturing and slowly but surely getting less fraught about subversion. It is realising that most of the protests are about tangible problems often caused by over zealous or, worse, corrupt local officials and not about challenging the power or authority of the Party.

06/03/2012

* China, India hold border talks, pledge to safeguard peace

Extracted from Xinhua: “China and India concluded a border meeting in Beijing on Tuesday with a joint pledge to safeguard peace and tranquility along their border, according to a Chinese Foreign Ministry statement released Tuesday.

This was the first meeting on the bilateral working mechanism for consultation and coordination over border affairs, which was launched in January this year. …

Both sides agreed to further enhance communication, trust and cooperation in accordance with the consensus reached by the two countries’ leaders, and to give full play to the role of the working mechanism, said the statement. They agreed to hold the next meeting for the working mechanism in India. …

China and India share a 2,000-km-long border that has never been formally delineated. The two countries began to discuss border issues in the 1980s. To maintain peace and stability in their border areas, the two sides signed two agreements in 1993 and 1996, respectively. In 2005, the two countries signed a political guideline on border demarcation during Chinese Premier Wen Jiabao‘s visit to India.”

via China, India hold border talks, pledge to safeguard peace – Xinhua | English.news.cn.

The Indo-Chinese border was unilaterally set under British Raj by Surveyor MacMohan. Although agreed by the Tibetan authorities, it was not ratified by the Manchu or later Chinese government. It was the intransigence of India when other neighbours like Pakistan, Burma, Nepal were willing to re-negotiate, that caused China to invade India in the autumn of 1962 with tanks rolling over the Himalayas. Since then the border has still not been formally agreed.

China’s borders with Russia and Vietnam were settled after some military incidents.

These latest talks hold hope that India is finally seeing that the way forward is to negotiate and not stand on unilateral definitions set by the British.

06/03/2012

* China’s debt-to-GDP ratio hits 43%

China Daily: “China‘s government debt amounts to about 17.5 trillion yuan ($2.78 trillion), about 43 percent of the country’s gross domestic product, Yang Kaisheng, president of the Industrial and Commercial Bank of China, said Tuesday.

The debt is composed of 10.7 trillion yuan ($1.7 trillion) of local government debt and 6.8 trillion yuan ($1.07 trillion) of central government debt, Yang said at a press conference on the sidelines of China’s annual parliamentary session.”.

via China’s debt-to-GDP ratio hits 43%|Economy|chinadaily.com.cn.

This is shocking news as a year ago (2010) the ratio was only 17.5%! Of course, earlier we blogged about the parlous state of local government debt rising astronomically. This is the result.  ;-(

See: http://www.economicshelp.org/blog/774/economics/list-of-national-debt-by-country/

Some of us are so riveted by China’s trade surplus of some $3 trillion, that we forget about its debt ratio. In other words, China is behaving only slightly more frugally than many Western nations. The only difference *and it is an important one) uis that the trade surplus does (just about) cover the debt.  😉

05/03/2012

* China lowers growth target to 7.5%

(Reuters) – Chinese Premier Wen Jiabao cut his nation’s 2012 growth target to an eight-year low of 7.5 percent and made boosting consumer demand the year’s first priority as Beijing looks to wean the economy off its reliance on external demand and foreign capital. …

“We aim to promote steady and robust economic development, keep prices stable, and guard against financial risks by keeping the total money and credit supply at an appropriate level, and taking a cautious and flexible approach,” Wen said in his annual work report to the National People’s Congress (NPC), China’s annual parliamentary session. …

His annual state-of-the-nation report to parliament dwelled on the institutional and income barriers the government must break to build a more balanced economy that relies less on exports and shares more wealth with hundreds of millions of poor farmers and migrant workers who are reluctant to spend. …

Shifting that balance is a key goal for Wen and Hu, both 69, as they near the end of a decade in power which has seen China become the world’s second-largest economy after the United States, contributing more to global growth than any other nation, while seeing a chasm widen between rich and poor. The number of Chinese billionaires nearly doubled in 2011 to 146 from 2010, Forbes said.

Stability, steady growth and spreading wealth are core justifications for more than 60 years of one-party rule by the Communist Party, which will install a new cohort of leaders by the end of 2012. …

The last year in power for Wen and Hu has shuddered with anxieties about inflation, a feverish property market, local government debt, stubborn inequality and social strains from protesting villages to ethnic tensions in western regions. …

Critics, including prominent policy-advisers, have said the Chinese government can foster healthy long-term growth only by taking on bolder reforms to rein in state-owned conglomerates and other entrenched interests — reforms that ultimately spill into sensitive issues of curbing the party’s own powers.

Wen has stood out among China’s leaders as the most persistent advocate of measured political relaxation, and has cast himself as a passionate advocate for farmers struggling with economic insecurity and land lost to developers.

“We should care more deeply for rural migrant workers and provide more services to them,” he said. “We will place farmland under strict protection.”

http://www.reuters.com/article/2012/03/05/us-china-economy-idUSTRE82400120120305?feedType=RSS&feedName=topNews&utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+reuters%2FtopNews+%28News+%2F+US+%2F+Top+News%29&utm_content=Google+Feedfetcher

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