18/03/2020
- ‘What we are seeing here is reciprocity,’ the German leader says, referencing the EU’s aiding stricken China earlier this year
- But critics dismissed China’s show of largesse as propaganda designed to deflect US claims that the contagion originated in China
The colours of the Italian flag are projected onto the Palazzo Senatorio building on Capitoline Hill in Rome on Tuesday as a “sign of hope in this difficult and delicate moment”, Rome’s mayor stated. Photo: AFP
German Chancellor Angela Merkel has downplayed concerns over China’s provision of medical supplies to European countries hit hardest by the Covid-19 pandemic, calling the move a gesture of reciprocity.
The European Union continued to face criticism over its slow reaction to calls for medical supplies from Italy and Spain, amid the encouraging news that new cases in Italy were seeing their slowest rate of increase since the contagion came to light in late February.
“The European Union sent medical equipment to China [when] China asked for help at that time,” Merkel said at a Tuesday press conference, referring to the outbreak’s start earlier this year. “What we are seeing here is reciprocity.”
“As we are having a crisis at this time, we cannot expect everything to be provided in the framework of the EU. We are very pleased about [China’s provision],” Merkel said.
Chinese President Xi Jinping has guaranteed that China will provide Italy and Spain – the two most severely hit European countries – with medical equipment such as face masks, ventilators and protective equipment for medical professionals.
Critics, however, called China’s action part of a propaganda campaign designed to deflect US claims that the coronavirus originated in China.
Spanish Prime Minister Pedro Sanchez reached out to Xi for help obtaining medical supplies in a phone call on Tuesday.
Speaking to reporters, Sanchez confirmed that the matter had come up during the call, just days after the Spanish government had ordered an unprecedented national lockdown to halt the virus’ spread.
Chinese state media reported that Xi had told Sanchez that “China is willing to respond to the urgent needs of Spain and spare no effort to provide support and assistance, and share experience in prevention, control and treatment.”
Workers loading boxes of surgical masks donated by China’s BYD, bound for the United States. Photo: Jack Ma Foundation
On Tuesday, a plane from Shanghai landed in the northern Spanish city of Zaragoza, carrying 500,000 masks donated by e-commerce giant Alibaba, AFP reported. (Alibaba owns the South China Morning Post.)
According to a statement, the delivery was part of a donation of 2 million masks and coronavirus test kits to certain countries from Alibaba’s Chinese billionaire founder Jack Ma.
Europe to shut border for month as France braces for 15-day coronavirus lockdown
Xi’s call with Sanchez came a day after one with Italian Prime Minister Giuseppe Conte, in which the Chinese leader similarly pledged to provide Italy with medical support, including teams with expertise in treating Covid-19.
On Tuesday, Italy reported 345 new coronavirus deaths in 24 hours, taking its overall death toll to 2,503.
Spain registered 183 deaths, 53 per cent more than in the previous 24 hours, driving the total number of deaths to 524. More than 2,000 newly infected cases were reported, pushing the total to 11,681.
Elsewhere on Tuesday, France entered a national shutdown, while Belgium, where the EU is headquartered, announced a similar halt to public activities starting on Wednesday.
European Commission President Ursula von der Leyen said all 27 member states have agreed to ban non-EU citizens from visiting the region for the next 30 days. The method of enforcement will be determined by the individual countries, she said.
Source: SCMP
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12/03/2020
- China is now making more than 100 million masks a day, up from 20 million before the coronavirus outbreak, and may start to export more to other countries
- Mask shortages elsewhere once more raise the debate about an over-reliance on China, with critics pointing to a lack of US industrial policy
China was producing 116 million masks per day of February 29, including a mix of disposable and high-end masks like the American-designed N95 model worn by President Xi Jinping on his trip on Tuesday to Wuhan. Photo: Xinhua
The Liu family factory has been making diapers and baby products in the Chinese city of Quanzhou for over 10 years, but in February, for the first time, it started making face masks, as demand soared spectacularly due to the coronavirus outbreak.
The business – which employs 100 people in the Southeastern Fujian province – has added two production lines to make up to 200,000
masks a day.
And while the decision was primarily commercial, “encouragement” from the Chinese government – in the form of subsidies, lower taxes, interest-free loans, fast-track approvals for expansion and help alleviating labour shortages – made the decision an obvious one, said Mr Liu who preferred only to give his family name.
“The government is advocating an expansion in production,” Liu said. “With faster approvals, producers need to prioritise the government’s needs over exports.”
WHO declares coronavirus crisis a pandemic
The factory is one of thousands of refitted pop-ups around China making masks and other protective equipment for the first time, part of a massive industrial drive to respond to the spread of the coronavirus.
Before the outbreak, China already made about half the world’s supply of masks, at a rate of 20 million units a day. That rose to 116 million as of February 29, according to China’s state planning agency, a mix of disposable and high-end masks like the American-designed N95 model worn by President Xi Jinping on his trip on Tuesday to Wuhan, the epicentre of the outbreak.
This exponential jump is the result of a wartime-like shift in industrial policy, with Beijing directing its powerful state-owned enterprises to lead the nationwide mask-making effort, and the country’s sprawling manufacturing engine following their lead.
For me, this is the big advantage of China, the speed Thomas Schmitz
“For me, this is the big advantage of China, the speed,” said Thomas Schmitz, president of the China branch of Austrian engineering giant Andritz, which has seen a big uptick in demand for its wet wipe-making machines in recent weeks, also due to the virus. “When you need to run, people know how to run, and this is something which has been lost in other countries since their industrial heydays.”
Chinese oil and gas major Sinopec upped production of mask raw materials such as polypropylene and polyvinyl chloride in January. This week, it set up two production lines in Beijing to produce melt-blown non-woven fabric, intended to make four tonnes of the fabric each day, which can then be used to produce 1.2 million N95 respirators or six million surgical masks a day.
The maker of China’s new J-20 stealth fighter jet, Chengdu Aircraft Industry Group, repurposed part of its factory to design a mask production line, according to local media reports. The Sichuan Daily said 258 of the company’s engineers spent three days fast-tracking development of an assembly line with more than 1,200 components.
Coronavirus: From mysterious origins to a global threat
More than 2,500 companies in China have reportedly started making masks, among them 700 technology companies including iPhone assembler Foxconn and smartphone makers Xiaomi and Oppo, in an extraordinary mobilisation of resources.
The result resembles “the war effort” in the middle of the last century in the United States and western Europe, but arguably no other nation could undergo such a transformation so quickly today.
It is a reminder of what can happen in a centrally-planned economy with a strong manufacturing base, but also brings into sharp focus some of the geopolitical issues which have characterised China’s at-times difficult relationship with the rest of the world, particularly the European Union and US, over the past couple of years.
China’s dominance in manufacturing has become all the more evident as the rest of the world scrambles to shore up their own dwindling medical supplies, leading many to wonder why the world is so dependent on it for vital supplies.
The lesson for Washington is not that we need to emulate the Chinese economic model, but rather that we need to better steward the industrial base in key sectors Rush Doshi
The Italian government, which is dealing with the highest number of coronavirus cases and deaths after China, is to take shipment of 1,000 ventilators, 2 million masks, 100,000 respirators, 200,000 protective suits and 50,000 testing kits from China.
Italian foreign minister Luigi Di Maio said after a phone call with Chinese counterpart Wang Yi, they had agreed the
export deal in the same week that European neighbours France and Germany banned masks from being exported because of low domestic supplies.
The Italy export deal showed that “China is emerging as a global public goods provider as the US proves unable and unwilling to lead,” said Rush Doshi, the director of the China Strategy Initiative at the Washington-based Brookings Institute think tank.
“China’s ability to produce what is needed to fight coronavirus is not simply a product of its economic model – it’s also a product of its industrial capacity,” Doshi said. “The US once had this capacity too, but it has lost important parts of it. The lesson for Washington is not that we need to emulate the Chinese economic model, but rather that we need to better steward the industrial base in key sectors.”
The frustration is felt acutely by Michael Einhorn, president of medical equipment distributor Dealmed-Park Surgical in New York, who has been trying to source stock from China for weeks, “but cannot get straight answers” from vendors.
Unaware that Wuhan was still under heavy
economic lockdown, Einhorn said he placed an order with a private seller in China’s virus-stricken city last week, but that the goods had not been shipped.
“Everyone is running out here, people are panicking in hospitals and we want to be able to help our most important customers,” Einhorn said. “We are dealing with hospitals that do not have products, how in the United States of America in 2020 did this happen?”
With the number of confirmed coronavirus cases in China falling daily, it is not inconceivable that the sort of export deal struck with Italian leaders becomes commonplace, although for now, it deal can be chalked up as a significant public relations coup for Beijing.
The World Medical Association is unable to specify how many masks are required to supply frontline medical staff in virus-hit areas, but said that “this crisis should be a wake up call for politicians and societies to make the necessary investment in emergency preparedness and to look into the vulnerability of our supply chains”.
Australian-listed manufacturer Eagle Health announced on Friday that it had installed production lines at its Xiamen factory in southern China to make 300 million masks a year and said it had already received orders from China and would be securing further larger orders internationally.
The group, which normally makes products including amino acids, protein supplements and lozenges in China, said it would prioritise meeting the large domestic demand, but was aware of an impending global shortage.
Eagle Health has already commenced production of its first order of 3.2 million medical masks for the Yiling Hospital Management Group in China, a process which will take 10 days. It has other smaller orders from Chinese government agencies and expects to receive more orders outside China.
The decision to make more masks came from increased demand. These are opportunities. The global demand for high quality masks will be significant Xu Gang
“The decision to make more masks came from increased demand. These are opportunities,” said chief executive Xu Gang. “The global demand for high quality masks will be significant. Imagine when the schools open. The situation will take some time to peak.”
Last week, the Australian Dental Association said supplies of masks at many practices were expected to run out within four weeks. The Australian government has since arranged a supply of 54 million masks for both the dental and medical industries.
At the same time, the US only has 1 per cent of the 3.5 billion masks it would need to counter a serious outbreak, Bloomberg reported.
While China has no quota on the volume of masks that had to be hived off for local consumption, the government has said domestic demand needs to be prioritised.
Businesses are free to export but overseas demand has yet to explode like it has in China, said Fujian factory owner Liu.
Wendy Min, sales director of Pluscare, a manufacturer based near the virus’ epicentre in Hubei province, said her company is making 200,000 masks per day, much of which are sold to the government, with exports still restricted by partial lockdown of workers and cargo transport.
“We previously exported to Europe, South America and other parts of Asia,” Min said. “But at the moment we can’t export. We are trying to discuss this with the government, but we cannot wait any more – we have to export soon.”
Min said that while she was receiving countless cold calls up until last week from people in China looking for masks, these have stopped, perhaps unsurprising given the abundance in supplies becoming available.
An influx of Chinese-made masks, though, is likely to be welcomed in other virus-stricken parts of the world.
Self-quarantine of all international travellers to Beijing as China fights import of coronavirus
Miguel Luiz Gricheno, CEO of Brazilian mask manufacturer Destra, said that his company is making 30,000 masks a day, but cannot meet local demand due to a lack of supplies, including the non-woven fabric from which masks are made.
“In disposable masks, most Brazilian companies are paralysed due to the lack of raw materials,” Gricheno said. “With the arrival of the coronavirus in Brazil, the demand has increased a lot but the main raw material comes from abroad.”
However, a short-term supply fix will not answer underlying questions about how so many countries found themselves in such dire straits, meaning the geopolitical fallout of the coronavirus will be extensive.
Decades of weak industrial policy helped elect US President Donald Trump, who said he would bring manufacturing jobs back to America at China’s expense. While he has waged a bruising two-year trade war with China in response, the current situation shows just how difficult it will be to change the global manufacturing processes, which are so heavily controlled by China.
One of the great flaws of globalisation is that everyone wanted things cheaper, but did you compromise your health care infrastructure in the process? Stephen Roach
“In the guise of trying to improve efficiency and create value for price-sensitive consumers, we’ve created a global production network that is very difficult to unwind,” said Stephen Roach, a professor of economics at Yale University and a veteran China watcher. “One of the great flaws of globalisation is that everyone wanted things cheaper, but did you compromise your health care infrastructure in the process.
Reuters reported that Trump is considering invoking the emergency provisions of the Defence Production Act, which would allow the government to instruct companies to alter production to help address the domestic shortage of medical supplies like masks. If a company is producing 20 per cent N95 masks and 80 per cent standard masks, the White House could order them to rejig the ratio, an unnamed official said.
The New York Times reported on Wednesday that the White House is preparing an executive order that would allow the government to buy medical supplies from overseas in the hope that it will incentivise companies to make them within the US.
But these changes still do not give Trump the sort of sweeping powers enjoyed by Chinese counterpart Xi.
“When you have a pluralistic, democratic situation that Trump is overseeing, it becomes more unwieldy” to take the steps necessary to address a crisis situation, said Harry Broadman, chair of the emerging markets practise at the Berkeley Research Group and a senior US government official in the 1980s and 1990s.
“That is why I think Trump looks at Xi with envy, because he doesn’t have to deal with a disparity of views or democratic interests,” Broadman said. “I think Trump is at heart a bilateral guy, as you saw with the phase one [US-China] trade deal and the state-to-state purchases. That is why he likes dealing with [Russian President Vladimir] Putin and Xi, because each of them can move mountains. I think Trump is very envious of that ability.”
Source: SCMP
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31/01/2020
BEIJING (Reuters) – A plane carrying 83 British and 27 foreign nationals flew out on Friday from China’s central city of Wuhan, the centre of a virus epidemic that has killed more than 200 people and infected more than 9,000, the British government said.
The civilian aircraft chartered by the Foreign Office left Wuhan at 9.45 a.m. (0145 GMT), the government said in a notice on its website.
It is due to arrive at 1 p.m. (1300 GMT) in Britain later on Friday, before continuing on to Spain, where the home countries of European Union citizens will take responsibility for the remaining passengers.
“We know how distressing the situation has been for those waiting to leave,” Britain’s Foreign Secretary Dominic Raab said, according to the notice. “We have been working round the clock to clear the way for a safe departure.”
The flight had been expected to depart Wuhan on Thursday morning with around 150 British citizens and 50 non-British nationals, but its departure was blocked by Chinese officials.
The reasons for the delay by Chinese officials and the lower-than-expected number of passengers were not immediately clear.
The UK embassy in Beijing and the UK Foreign Office did not immediately respond to requests for comment.
Some British citizens have spoken of being told they could not take family members with Chinese passports out of the city.
Those returning to Britain will be quarantined for 14 days at a National Health Service facility.
A British government spokesman said any citizens who were eligible for the flight would be given a seat but nationals already infected would not be allowed to leave Wuhan.
The U.S. government warned Americans not to travel to China as the death toll from the new coronavirus reached 213 on Friday and the World Health Organisation declared a global health emergency.
Source:Reuters
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17/12/2019
- This is the third instalment in a four-part series examining the brewing US-China tech war over the development and deployment of artificial intelligence tech
- The US is home to five of the world’s top 10 universities in the AI field, which includes computer vision and machine learning, while China has three
For those Chinese with long-term plans to stay in the US, a major obstacle lies in getting work visas, especially in the current trade war environment. Illustration: Perry Tse
After working in the United States for more than a decade, Zheng Yefeng felt he had hit a glass ceiling. He also saw that the gap in artificial intelligence between China and the US was narrowing.
Last year Zheng, who worked as a researcher at Siemens Healthcare in New Jersey, made a decision that addressed both problems. He accepted an offer to head up the medical research and development team at Tencent’s YouTu artificial intelligence lab in Shenzhen, known as China’s Silicon Valley.
“There was almost no room for promotion if I stayed in the US,” he said, expressing a common dilemma faced by experienced Chinese tech workers in America.
With the US-China trade war leading to tighter scrutiny of Chinese nationals working in the US tech industry, people like Zheng are moving back to China to work in the burgeoning AI sector, especially after Beijing designated AI a national priority. The technology’s varied applications have attracted billions of dollars of venture capital investment, created highly valued start-ups like SenseTime and ByteDance, and sparked a talent war among companies.
That has created an odd symbiotic relationship between the two countries vying for AI supremacy. The US, with its superior higher education system, is the training ground for Chinese AI scientists like Zheng, who obtained a PhD from the University of Maryland after earning bachelor’s and master’s degrees at China’s premier Tsinghua University.
“Many professors in China have great academic ability, but in terms of the number [of top professors], the US is ahead,” said Luo Guojie, who himself accepted an offer from Peking University to become an assistant professor after studying computer science in the US.
Among international students majoring in computer science and maths in US universities, Chinese nationals were the third largest group behind Indians and Nepalese in the 2018-2019 academic year, representing 19.9 per cent, according to the Institute of International Education.
[To build] the best universities is not easy. The university is a free speech space, whereas in China, this is not the case Gunther Marten, a senior official with the European Union delegation to China
The South China Morning Post spoke with several Chinese AI engineers who decided to stay and work in the US after their studies. They only agreed to give their surnames because of the sensitivity of the issues being discussed.
A 25-year-old Beijinger surnamed Lin graduated from one of China’s best engineering schools in the capital before heading to a US university for a master’s degree in computer science in 2017. Like some of his peers, he found the teaching methods in China to be outdated.
“It’s hard to imagine that a final exam of a coding course still asked you to hand write code, instead of running and testing it on a computer,” said Lin, who now works as a software engineer for Google in Silicon Valley.
“Although we still had to take writing tests [in the US], we had many practical opportunities in the lab and could do our own projects,” he added.
A Facebook software engineer surnamed Zhuang had a similar experience at his university in Shanghai.
“Many engineering students [in China] still get old-school textbooks and insufficient laboratory training,” he said. “Engineering practices for AI have been through a fast iteration over the past few decades, which means many Chinese students are not exposed to the most updated knowledge in the field, at least not in the classroom.”
Zhuang also noted out that many classes in China are taught in Chinese, meaning engineering graduates are not fluent in English, the preferred language of the global AI research community.
The US is home to five of the world’s top 10 universities in the AI field, which includes computer vision and machine learning, while China has three. Carnegie Mellon University (CMU) in Pennsylvania ranks No 1 while China’s Tsinghua University is No 2, according to CSrankings, which bases the list on papers published since 2009.
US tech chief: China is threatening US’ lead in global AI race
With its top institutions and an open culture that encourages freedom of speech, including unfettered internet access, the US has become a magnet for the brightest AI students the world over.
In 2018, 62.8 per cent of PhD degrees and 65.4 per cent of master’s degrees in computer science, information science and computer engineering programmes in the US were granted to “non-resident aliens”, according to a survey by the Computing Research Association.
“[To build] the best universities is not easy,” Gunther Marten, a senior official with the European Union delegation to China, said on the sidelines of the World Internet Conference in Wuzhen in October. “The university is a free speech space, whereas in China, this is not the case.”
When these US-educated AI scientists finish studying, most take advantage of a rule allowing them to stay in the country for three years to gain work experience.
Of the foreign nationals taking part in last year’s Conference on Neural Information Processing Systems (NIPS), a major machine learning event for AI professionals, 87 per cent of those whose papers made it to the oral presentation stage went to work for American universities or research institutes after earning their PhD, according to MacroPolo, a think tank under the Paulson Institute.
“China has many great universities and companies, especially in certain subfields of AI such as computer vision, but many people remain hesitant to move to China due to the political environment, quality of life concerns and workplace issues,” said Remco Zwetsloot, a research fellow at Georgetown University’s Center for Security and Emerging Technology (CSET).
China’s PhD students miserable, yet hopeful: survey
Some of the US-trained Chinese AI engineers told the Post they were scared off by China’s “996” working culture: 9am to 9pm, six days a week. Tech firms in China typically expect their employees to work long hours to prove their dedication.
Lin, the Beijinger who now works for Google, used to be an intern at one of China’s largest internet giants. “I worked from the time I woke up until going to bed,” he said, “At Google, I’ve been confused because many people here only work till 5pm but Google is still a global leader.” Lin said he would be happy to return to China if the 996 work culture eases.
Graduates throw their caps in the air as they pose for a group photo during the 2019 commencement ceremony of Tsinghua University in Beijing. Tsinghua ranks as China’s top university for AI. Photo: Xinhua
Chen, a female postgraduate student at Carnegie Mellon, who recently accepted a job offer from Google, once interned at Beijing-based AI unicorn SenseTime, where she worked from 10am to between 8pm and 10pm most days.
A SenseTime spokesperson said the company has adopted flexible working hours for its employees.
Besides a better work-life balance, Chinese graduates look for jobs in Silicon Valley because of the higher pay.
“If you include pre-tax income, many of us get offers that pay more than 1 million yuan (US$142,000) a year but in China the salaries offered to the best batch of fresh undergraduates are about 200,000 to 300,000 yuan (US$28,000 to US$43,000),” Chen said.
Still, for those Chinese with long-term plans to stay in the US, a major obstacle lies in getting work visas, especially in the current trade war environment. Most AI-related workers are on H-1B visas that allow US companies to employ non-US nationals with expertise in specialised fields such as IT, finance and engineering.
However, the number of non-immigrant H-1B visas granted has started to fall since 2016, when it peaked at 180,000, according to the US Department of State, and US tech companies have complained that a policy shift by the Trump administration has made the approval process longer and more complicated.
In 2017, President Donald Trump requested an overhaul of the H-1B visa programme, saying he did not want it to enable US tech companies to hire cheaper foreign workers at the expense of American jobs. He also wants to give priority to highly skilled people and restrict those wanting to move to the US because of family connections.
Science graduates from overseas countries can stay in the US with their student visas for up to three years while competing for the hard to get work visas, which are granted based on undisclosed mechanisms. Overseas students already working in the US can apply for so-called green cards, which offer permanent residency.
After working for a major US tech company for almost three years on a student visa, one Chinese software engineer, who spoke to the Post on condition of anonymity, said she was relocated to the US firm’s Beijing office last year after failing to obtain a H-1B work visa.
“While there might be individual cases, it seems like the current tensions have not – at least as of a few months ago – led to noticeable changes in the overall number of Chinese students staying in the US after graduating,” said CSET’s Zwetsloot.
Some Chinese AI scientists use Twitter to announce their decision to stay. Chen Tianqi, who just obtained a PhD at the University of Washington in Seattle, and Jun-Yan Zhu, a CMU and UC Berkeley alumnus currently working at Adobe, each tweeted that they would join Carnegie Mellon as assistant professors next year.
To achieve the goal of turning China into “the world’s primary AI innovation centre” by 2030, according to a 2017 blueprint issued the State Council, the central government has stepped up efforts to attract US-educated talent.
The Thousand Talents Plan has seen more than 6,000 overseas Chinese students and academics return since its was established in 2008, but because of escalating tensions with the US, Beijing has played down the initiative.
Longer term, Beijing’s willingness to invest significant sums into the AI sector could see more Chinese return for the better employment opportunities. Between 2013 and the first quarter of 2018, China attracted 60 per cent of global investment in AI, according to a Tsinghua University report.
China’s spending on AI may be far lower than people think
Chinese authorities are investing heavily in the sector, with the city of Shanghai setting up a 10 billion yuan (US$142 million) AI fund in August and Beijing city government announcing in April it would provide a 340 million yuan (US$48 million) grant to the Beijing Academy of Artificial Intelligence.
“More and more senior people like me have come back, and some start their own businesses,” said Zheng, the Siemens Healthcare researcher who joined Tencent. “It’s easier for Chinese to seek venture capital in China than in other countries.”
Source: SCMP
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02/12/2019
- World’s largest coal consumer shows little sign of ending its dependency even though it is also the biggest market for renewable energy sources
- UN climate summit is meeting to discuss ways to limit future warming, but hopes are fading that China will commit to further curbs on emissions
China now accounts for around 30 per cent of the world’s carbon emissions. Photo: AP
As world leaders gather in Spain to discuss how to slow the warming of the planet, the spotlight has fallen on China – the top emitter of greenhouse gases.
China burns about half the coal used globally each year. Between 2000 and 2018, its annual carbon emissions nearly tripled, and it now accounts for about 30 per cent of the world’s total.
Yet it is also the leading market for solar panels, wind turbines and electric vehicles, and it manufactures about two-thirds of solar cells installed worldwide.
“We are witnessing many contradictions in China’s energy development,” said Kevin Tu, a Beijing-based fellow with the Centre on Global Energy Policy at Columbia University. “It’s the largest coal market and the largest clean energy market in the world.”
That apparent paradox is possible because of the sheer scale of China’s energy demands.
Pollution alarm as tourism businesses contaminate home of China’s hairy crab
But as China’s economy slows to the lowest level in a quarter century – around 6 per cent growth, according to government statistics – policymakers are doubling down on support for coal and other heavy industries, the traditional backbones of China’s energy system and economy. At the same time, the country is reducing subsidies for renewable energy.
At the annual United Nations climate summit, this year in Madrid, government representatives will put the finishing touches on implementing the 2015 Paris Agreement, which set a goal to limit future warming to 1.5 to 2 degrees Celsius above pre-industrial levels.
Nations may decide for themselves how to achieve it.
China had previously committed to shifting its energy mix to 20 per cent renewables, including nuclear and hydroelectric energy.
Climate experts generally agree that the initial targets pledged in Paris will not be enough to reach the goal, and next year nations are required to articulate more ambitious targets.
Hopes that China would offer to do much more are fading.
Recent media reports and satellite images suggest that China is building or planning to complete new coal power plants with total capacity of 148 gigawatts – nearly equal to the entire coal-power capacity of the European Union within the next few years, according to an analysis by Global Energy Monitor, a San Francisco-based non-profit.
China is the world’s leading market for wind turbines and other renewables – but is still a major source of emissions. Photo: Chinatopix via AP
Meanwhile, investment in China’s renewable energy dropped almost 40 per cent in the first half of 2019 compared with the same period last year, according to Bloomberg New Energy Finance, a research organisation. The government slashed subsidies for solar energy.
Last week in Beijing, China’s vice-minister of ecology and environment told reporters that non-fossil-fuel sources already account for 14.3 per cent of the country’s energy mix. He did not indicate that China would embrace more stringent targets soon.
“We are still faced with challenges of developing our economy, improving people’s livelihood,” Zhao Yingmin said.
As a fast-growing economy, it was always inevitable that China’s energy demands would climb steeply. The only question was whether the country could power a sufficiently large portion of its economy with renewables to curb emissions growth.
Many observers took hope from a brief dip in China’s carbon emissions between 2014 and 2016. Today the country’s renewed focus on coal comes as a disappointment.
“Now there’s a sense that rather than being a leader, China is the one that is out of step,” said Lauri Myllyvirta, lead analyst at the Centre for Research on Energy and Clean Air in Helsinki.
He notes that several developed countries – including Germany, South Korea and the United States – are rapidly reducing their reliance on coal power.
After climbing sharply for two decades, China’s emissions stalled around 2013 and then declined slightly in 2015 and 2016, according to Global Carbon Budget, which tracks emissions worldwide.
This dip came as Chinese leaders declared a “war on pollution” and suspended the construction of dozens of planned coal power plants, including some in Shanxi.
Pollution scandal near China nature reserve at Tengger desert’s edge
At the same time, the government required many existing coal operators to install new equipment in chimneys to remove sulphur dioxide, nitrous oxide and other hazardous substances. About 80 per cent of coal plants now have scrubbers, said Alvin Lin, Beijing-based China climate and energy policy director for the Natural Resources Defence Council, a non-profit.
As a result, the air quality in many Chinese cities, including Beijing, improved significantly between 2013 and 2017. Residents long accustomed to wearing face masks and running home air-filter machines enjoyed a reprieve of more “blue sky days,” as low-pollution days are known in China.
In the past three years, China’s carbon emissions have begun to rise again, according to Global Carbon Budget.
The coming winter in Beijing may see a return of prolonged smog, as authorities loosen environmental controls on heavy industry – in part to compensate for other slowing sectors in the economy.
The UN Climate Change Conference is taking place in Madrid this month. Photo: AFP
Permits for new coal plants proliferated after regulatory authority was briefly devolved from Beijing to provincial governments, which see construction projects and coal operations as boosts to local economies and tax bases, said Ted Nace, executive director of Global Energy Monitor.
“It’s as though a boa constrictor swallowed a giraffe, and now we’re watching that bulge move through the system,” said Nace. In China, it takes about three years to build a coal plant.
The world has already warmed by 1 degree Celsius. All scenarios envisioned by the Intergovernmental Panel on Climate Change for holding planetary warming to around 1.5 degrees Celsius involve steep worldwide reductions in coal-power generation.
In that effort, other countries rely on Chinese manufacturing to hold down prices on solar panels. wind turbines and lithium-ion batteries.
“China has a really mixed record. On the one hand, it’s seen rapidly rising emissions over the past two decades,” said Jonas Nahm, an energy expert at Johns Hopkins University.
“On the other hand, it’s shown it’s able to innovate around manufacturing – and make new energy technologies available at scale, faster and cheaper.”
Source: SCMP
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06/11/2019
- French leader calls for restraint and says he raised the topic ‘on several occasions’ during his visit
- Two sides find common ground on need to defend free trade and fight climate change as Donald Trump starts process of pulling US out of Paris Climate Agreement
Xi Jinping and Emmanuel Macron at a welcome ceremony ahead of their talks in Beijing on Wednesday. Photo: AFP
French President Emmanuel Macron said he raised human rights and the Hong Kong situation during his talks with his Chinese counterpart Xi Jinping on Wednesday.
Macron’s visit to China concluded with pledges to work together on climate change, but the French leader also said he also called for a de-escalation of the situation in the city through dialogue after months of protests.
Macron, who had promised to raise “taboo” topics during the visit, told a press conference: “I obviously raised this with President Xi Jinping on several occasions.
“We have repeatedly called on the parties involved to [engage in] dialogue, to show restraint, to de-escalate.”
The discussion followed Xi’s meeting with Hong Kong’s embattled Chief Executive Carrie Lam Cheng Yuet-ngor in Shanghai on Monday, where he expressed “high trust” in her and “fully affirmed” support for her response to the unrest that has gripped the city since June.
Earlier the French and Chinese leaders had restated their commitment to protect free trade and pledged their continued support for the Paris Agreement as the United States begins the process of formally withdrawing from the global climate deal.
Macron expressed “regret” over “some countries’ negative attitude” towards environmental protection and the fight against climate change and pledged to work with China to halt the loss of biodiversity.
The French president’s office also released a statement on Wednesday that reaffirmed France and China’s joint support for the “irreversible” Paris Agreement.
Macron points to common ground with China on tariffs and climate action
With the European Union, China and Russia backing the pact, he added, “the isolated choice of one or another is not enough to change the course of the world. It only leads to marginalisation.”
The two countries also agreed to work together to develop joint nuclear power projects and signed a series of contracts worth US$15 billion.
The deals covered aeronautics, energy and agriculture, including approval for 20 French companies to export poultry, beef and pork to China.
An additional action plan released after the talks said French utility giant EDF and China General Nuclear Power should be encouraged to cooperate on projects in China or third countries, citing the joint efforts by the two companies to build nuclear reactors at the Hinkley Point C station in Britain as an example.
The two sides also committed to signing a contract for the construction of a nuclear fuel recycling plant in China, which would involve French energy giant Orano, by January 31.
Xi took what appeared to be a veiled swipe at the United States, which is still embroiled in a protracted trade war and other confrontations with Beijing.
“We advocate for mutual respect and equal treatment, and are opposed to the law of the jungle and acts of intimidation,” Xi said.
“We advocate for openness, inclusion and for mutually beneficial cooperation, and are opposed to protectionism and a zero-sum game.”
Macron said China and the European Union should work in partnership as the world became more unstable, calling on the two sides to further open up market access.
“We call again for trade multilateralism to respond to distortions that have appeared in the global economy, which have led to a profound rise in inequalities and imbalances that explain the surge of challenges to the international systems,” he said.
“China and Europe also share the same views that the trade war only leads to loss.”
Macron kicks off China visit with deal to protect wine and cheese from counterfeiting
Chinese state news agency Xinhua said the two countries agreed to work together to push forward with plans to assemble Airbus’s A350 model in China.
Meanwhile, Beijing Gas Group and French utility firm Engie will collaborate on a liquefied natural gas terminal and storage in the northern city of Tianjin, while France’s Total will set up a joint venture with China’s Shenergy Group to distribute liquid nitrogen gas by truck in the Yangtze River Delta.
The two countries also agreed to reach an agreement by the end of January 2020 on the cost and location of a nuclear fuel reprocessing facility to be built by Orano, formerly known as Areva.
Wu Libo a professor and director of the Centre for Energy Economics and Strategies Studies at Fudan University, said there was “great potential” for further cooperation between the two countries on nuclear energy.
“France has many useful experiences in the operation and management of nuclear power plants and its plants have long-term safe and stable operation records,” she said.
The two sides agreed to work together on joint nuclear power projects. Photo: AP
Jiang Kejun, a senior researcher at the Energy Research Institute of China’s National Development and Reform Commission, said China’s cooperation with France would add credibility to potential third-country projects.
“China has advanced third-generation technology but it’s still a new member in the nuclear power market, while France has developed nuclear energy for a long time, and its EPR reactors – a technology designed and developed in France – are in business operation,” he said.
Jiang said possible markets for the joint projects included Argentina and India, while some Middle Eastern states – such as Saudi Arabia and Qatar – had expressed interest in nuclear energy.
China’s ambassador hits out at Macron’s team for backing ‘hypocritical’ EU stance on Hong Kong
Tong Jiadong, professor of international trade at Nankai University, said that the deals between the two sides helped show that France and China could work together to counteract US unilateralism.
“Objectively speaking, this will form, or at least imply, an opposition to US unilateralism,” Tong said. “China hopes the cooperation between these two countries produces demonstrable effects for other EU member states.”
Ding Chun, a professor of European Studies at Fudan University, said he did not think the EU wanted to “choose a side” between the US and China.
But Ding continued: “If we are talking about free trade and multilateralism, there’s no doubt that the EU and China share a common view and can balance Donald Trump’s unilateralism.”
Source: SCMP
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02/11/2019
NEW DELHI (Reuters) – German Chancellor Angela Merkel and Indian Prime Minister Narendra Modi signed wide-ranging agreements in New Delhi on Friday to deepen strategic cooperation and exchanged notes on ways to boost bilateral trade.
Merkel, accompanied by several cabinet colleagues and a business delegation, is in India on a three-day visit that began on Thursday.
“We’re encouraging our private sectors to give an impetus to our growing bilateral trade and Chancellor Merkel and I will meet some of the top business and industry leaders,” Modi told a joint news conference with the German leader.
“We’re encouraging our private sectors to give an impetus to our growing bilateral trade and Chancellor Merkel and I will meet some of the top business and industry leaders,” Modi said.
Bilateral trade between the two countries rose to $24.06 billion (18.5 billion pounds) in the 2018/19 fiscal year ending in March from $22 billion the previous year, while German companies have invested nearly $12 billion in India since 2000.
Germany is India’s largest trading partner in Europe and more than 1,700 German companies are operating in India.
The agreements struck on strategic cooperation, included agriculture, cyber security and artificial intelligence. Modi said the two countries would also bolster ties to combat “terrorism and extremism”.
Germany and India also agreed to join hands in the area of education.
“As many as 20,000 Indian nationals are studying in Germany and we would like to see more,” Merkel said.
Although Merkel and Modi didn’t mention anything about restarting talks on finalising a free trade agreement between India and the European Union, sources earlier said the two leaders could take up the trade deal.
Eric Schweitzer, president of the Association of German Chambers of Commerce and Industry (DIHK), earlier said India had enormous potential but there has been uncertainty among companies after an investment protection agreement between the two countries ended in 2016.
“Small and medium-sized German companies stand in a labyrinth of regulations and shy away from larger investment. Negotiations should restart and Merkel’s visit could help,” he said.
VDA, Germany’s car industry association that counts automakers like Volkswagen (VOWG_p.DE), Daimler, BMW and Audi as members, also wanted India to restart the FTA talks.
Daimler’s Mercedes-Benz, BMW and Audi dominate India’s luxury car market.
Source: Reuters
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19/10/2019
- ‘Only when China is good, can the world get better,’ president says in congratulatory letter read out at launch of event to promote global trade
- Summit opens two weeks after South Korean giant Samsung closes its last factory in mainland China with the loss of thousands of jobs
Xi Jinping has praised multinational companies for the role they have played in China’s opening up over the past four decades. Photo: AFP
Just a day after China reported its slowest ever quarterly economic growth,
on Saturday reiterated his promise to keep opening up the nation’s markets to companies and investors from around the world.
“The door of China’s opening up will only open wider and wider, the business environment will only get better and better, and the opportunities for global multinational companies will only be more and more,” he said in a congratulatory letter read out by Vice-Premier Han Zheng at the inaugural Qingdao Multinationals Summit in the east China city.
The two-day event, which ends on Sunday, was organised by China’s commerce ministry and the provincial government of Shandong with the aim, according to its website, of giving multinational companies “the opportunity to articulate their business values and vision” and “promote cooperation with host countries”.
In his letter, Xi praised multinational companies for the role they had played in China’s opening up and reform over the past four decades, describing them as “important participants, witnesses and beneficiaries”.
China was willing to continue opening up to benefit not only itself but the world as a whole, he said.
“Only when the world is good, China is good. Only when China is good, can the world get better.”
Despite its upbeat tone, Xi’s message comes as Beijing is facing intense scrutiny from the international business community over its state-led economic model – one of the main bones of contention in its trade war with the US – and its attempts to prevent foreign firms from speaking out on issues it deems too sensitive, from
Hong Kong to
human rights.
Foreign firms have also long complained about the barriers they face when trying to access China’s markets and the privileged treatment it gives to state-owned enterprises. Even though Beijing has promised to reform its state sector, foreign businesses have complained of slow progress, and just last month the
European Union Chamber of Commerce urged the EU to take more defensive measures against China’s “resurgent” state economy.
Xi promised “more and more” opportunities for global firms. Photo: AP
Sheman Lee, executive director of Forbes Global Media Holding and CEO of Forbes China, said at the Qingdao summit that foreign firms were facing a difficult trading environment in the world’s second-largest economy.
“Multinationals have seen their growth in China slow in recent years because of the growing challenge from local firms, a gradually saturating market and rising operation costs,” he said.
Craig Allen, president of the US-China Business Council, said that many multinational companies were reluctant to release their best products in China out of fear of losing their intellectual property.
China still not doing enough to woo foreign investment
In his letter, Xi said that over the next 15 years, the value of China’s annual imports of goods would rise beyond US$30 trillion, while the value of imported services would surpass US$10 trillion a year, creating major opportunities for multinational companies.
China would also reduce tariffs, remove non-tariff barriers and speed up procedures for customs clearance, he said.
Commerce Minister Zhong Shan said at the opening ceremony that China would also continue to improve market access and intellectual property protection.
The country supported economic globalisation and would safeguard the multilateral trade system, he said, adding that it was willing to work with the governments of other countries and multinational corporations to promote economic globalisation.
Xi Jinping says the value of China’s annual goods imports will rise beyond US$30 trillion over the next 15 years. Photo: Bloomberg
The promise to continue to open up China’s markets came after the
State Council
– the nation’s cabinet – made exactly the same pledge at its weekly meeting on Wednesday.
After the latest round of trade war negotiations in Washington, Beijing said it had achieved “substantive progress” on intellectual property protection, trade cooperation and technology transfers, all of which have been major bones of contention for the United States.
Despite its pledge to welcome multinational companies into its market, China is in the process of creating a list of “unreliable foreign entities” it considers damaging to the interests of Chinese companies. The roster, which is expected to include FedEx, is seen as a response to a similar list produced earlier by the United States.
Xi’s gesture would also appear to have come too late for South Korean multinational
, which announced on October 4 it had ended the production of smartphones at its factory in Huizhou, Guangdong province – its last in China – with the loss of thousands of jobs.
Source: SCMP
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02/10/2019
- The trip comes amid growing resistance from European leaders over what they see as China’s failure to change long-term practices unfair to foreign investors
- French President’s trip to Beijing follows Chinese leader’s visit to France in March
President Emmanuel Macron of France speaks to the Council of Europe parliamentary assembly on Tuesday. Photo: AFP
French President Emmanuel Macron will visit China next month as Europe’s most diplomatically active leader focuses on climate change cooperation and trade promotion with Asia’s leading power, a source briefed on the Elysee Palace’s discussions said.
This will be the second Chinese tour for Macron since he took office in 2017, and it will come amid escalating resistance from European politicians and business communities over what they see as China’s failure to change long-standing practices unfair to foreign investors.
His visit also comes at a time when France – as well as the European Union as a whole – is bracing for Washington’s potential levies of tariffs on European products, and the lack of progress on climate change policies with US President Donald Trump’s administration.
“President Macron will meet President Xi [Jinping], while France strives for better cooperation with China on climate and trade,” the source said. “His itinerary is still in the pipeline, but he is expected to visit Beijing and Shanghai.”
Macron, 41, who is widely seen as emerging as Europe’s most aggressive leader filling the political vacuum left by German Chancellor Angela Merkel’s political twilight, has cast himself as an honest broker between Russia and Ukraine, and between the US and Iran.
He has also been critical of China’s influence in Europe, joining forces with Merkel to push for a tougher EU stance on the world’s second biggest economy.
In March, when Xi claimed a major diplomatic victory by clinching a memorandum of understanding with Italy on the Belt and Road Initiative, Macron declared: “The time of European naivety is ended. For many years we had an uncoordinated approach and China took advantage of our divisions.”
Macron also backed investment screening mechanisms for Chinese business moves in Europe, while endorsing plans to change the EU’s notoriously strict antitrust rules in order to facilitate mergers between large European groups and companies to counter Chinese companies’ global ambitions.
Macron urges Iran and US to show ‘courage of building peace’
The EU is also wary of China’s effort to “divide and rule” the European Union. Greece and Hungary – both recipients of large amounts of Chinese investments – have repeatedly wanted to water down EU’s stance on issues deemed sensitive to Beijing, including the South China Sea and China’s human rights violations.
“It would be good [for Macron] to stress that 17+1 is irritating,” said Joerg Wuttke, president of EU Chamber of Commerce in China, in reference to China’s engagement with a group of EU and non-EU member states in eastern and southeastern Europe.
“After all, the EU has a ‘one China’ policy, [so] EU could expect this position from China too.”
Macron’s domestic call for EU unity has translated into diplomatic appeals, with China being one of the targets.
(From left) Jean-Claude Juncker, president of the European Commission; Xi Jinping, China’s leader; Emmanuel Macron, France’s president; and Angela Merkel, Germany’s chancellor, ahead of a meeting in Paris on March 26. Photo: Christophe Morin/Bloomberg
When Xi visited France in March, Macron hosted him at the Elysee Palace in the presence of Merkel and European Commission President Jean-Claude Juncker, showcasing European solidarity when it comes to EU-China policies.
In terms of French-Chinese bilateral ties, trade imbalances have persisted after Macron called for a “rebalancing” during his last visit.
France has a 1.4 per cent market share in China, compared with China’s 9 per cent market share in France. China represents France’s largest bilateral trade deficit, totalling €US$29.2 billion (US$31.9 billion) last year, ahead of Germany.
The EU has been calling for reciprocal investment treatment with China, a call that European business leaders in China expect Macron to make.
France bids farewell to late president Jacques Chirac
“We [Europe] need … a solid investment agreement to allow EU business to conduct their affairs in a similar manner as Chinese companies can operate in Europe. The agreement should be finalised in 2020, but not at all cost,” said Wuttke.
“The last thing EU business needs in China is a weak agreement that institutionalises imbalances,” he added.
Part of that involves building “more efficient defensive tools to prevent abusive technology transfers and to address the deep asymmetry in EU-China relations when it comes to access to public procurement markets,” said Mathieu Duchâtel, director of Asia programme at the Paris-based think tank Institut Montaigne.
Duchâtel added that it was also important to convey the message to Beijing that there are areas for cooperation even amid a more defensive China policy from France.
Chinese President Xi Jinping and French leader Emmanuel Macron toast raise a toast during a state dinner in Paris on March 25. Photo: EPA-EFE
One such area is the climate and environment, where China is “an important partner” for France to reach its goal of global carbon neutrality by 2050, he said.
“The energy/environment agenda is a political priority in Paris and one of very few issues on which cooperation with China remains promising and will continue to create business opportunities,” he said.
China is the world’s biggest carbon polluter, producing around 30 per cent of the planet’s man-made carbon dioxide. It remains committed to the 2015 Paris accord on climate change, even after Trump pulled the US out of the deal.
Under the agreement, the long-term temperature goal is to keep the increase in global average temperature to well below 2°C above pre-industrial levels, and to pursue efforts to limit the increase to 1.5°C.
Source: SCMP
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27/09/2019
- Japan’s Prime Minister Shinzo Abe and EC President Jean-Claude Juncker mark first anniversary of EU-Asia Connectivity scheme with swipes at China
- Partners reach out to countries in Balkans and Africa and agree US$65.5 billion development plan
Japan’s Prime Minister Shinzo Abe (left) and European Commission President Jean-Claude Juncker mark the anniversary of the EU-Asia Connectivity scheme in Brussels, Belgium. Photo: Reuters
The
European Union and
Japan are stepping up their efforts to counter China’s
, with their leaders vowing to be “guardians of universal values” such as democracy, sustainability and good governance.
Speaking in Brussels on Friday, Japanese Prime Minister Shinzo Abe said the world’s third-biggest economy would work with the EU to strengthen their transport, energy and digital ties to Africa and the Balkans – key regions for China’s flagship trade and development project.
At a forum to mark the first anniversary of the EU-Asia Connectivity scheme, Abe and European Commission President Jean-Claude Juncker signed an agreement formalising Japan’s involvement in the Europe-Asia plan that will be backed by a €60 billion (US$65.54 billion) EU guarantee fund, development banks and private investors.
Abe said Japan would ensure that officials from 30 African countries would be trained in sovereign debt management over the next three years, a veiled attack on what Western diplomats claim is China’s debt trap for its belt and road partners.
“The EU and Japan are linked through and through,” Abe said. “The infrastructure we build from now on must be [high] quality infrastructure.
“Whether it be a single road or a single port, when the EU and Japan undertake something, we are able to build sustainable, comprehensive and rules-based connectivity, from the Indo-Pacific to the west Balkans and Africa.”
Japan wants to extend its business reach through its alliance with the EU as its economy slows and geopolitical competition from China takes its toll.
Japan indicates China is bigger threat than North Korea in latest defence review
China’s low-key delegation to the forum was led by Guo Xuejun, deputy director general of international affairs at the foreign ministry.
The US was represented by its deputy assistant secretary of state for cyber policy, Robert Strayer, who was in Europe to lobby against Chinese telecoms giant Huawei Technologies and its involvement in fifth-generation telecoms networks.
Abe and Juncker made cybersecurity the highlight of their addresses. Juncker, who will step down from the presidency by the end of October, repeated his attack on China’s trade policies without naming the country.
“Openness is reciprocal, based on high standards of transparency and good governance, especially for public procurement, and equal access to businesses while respecting intellectual property rights,” he said.
Prime Minister Shinzo Abe says Japan will train officials from 30 African countries in sovereign debt management in three years. Photo: AFP
European policymakers and businesses have for years complained about China’s refusal to allow foreign companies in without a Chinese joint venture partner, a practice that critics claimed involved forced transfer of intellectual property to the Chinese side.
“One of the keys to successful connectivity is to respect basic rules and common sense,” Juncker said, stressing that EU-Japanese cooperation focused on the “same commitment to democracy, rule of law, freedom and human dignity”.
European businesses urge EU to take ‘defensive’ measures against China’s state-owned enterprises
When the commission proposed improved transport, energy and digital infrastructure links with Asia last year, it denied it was seeking to stymie Chinese ambitions.
The EU plan, which would be backed by additional funds from the EU’s common budget from 2021, private sector loans and development banks, amounted to a response to China’s largesse in much of central Asia and south-eastern Europe, where Beijing has invested billions of dollars.
Source: SCMP
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CHINDIA ALERT: You'll be living in their world, very soon 