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04/11/2019

Beijing extends sweeteners for Taiwanese weeks before Taipei election

  • Latest measures grant island’s people and enterprises more equal treatment with their mainland counterparts
  • Package in March last year was dismissed by Taiwan’s Mainland Affairs Council as an attempt to buy political support
Taipei’s elections in January could influence the tone of cross-strait relations. Photo: EPA-EFE
Taipei’s elections in January could influence the tone of cross-strait relations. Photo: EPA-EFE
Beijing announced a series of sweeteners for Taiwanese businesses and individuals on Monday – including participation in its 5G research and allowing Taiwanese to use mainland consular services – only two months before Taiwan’s critical presidential election.
The latest 26 measures drawn up by 20 government departments, including the State Council’s Taiwan Affairs Office and the National Development and Reform Commission, are designed to attract more Taiwanese to live and work in mainland China, despite worsening cross-strait relations.
But Taiwan’s Mainland Affairs Council criticised the move as an attempt by the Chinese Communist Party to “divide Taiwan internally, and was a further reflection of attempts to try to interfere in and influence Taiwan’s election”.
It follows a similar package of 31 measures unveiled by Beijing in March last year, which included tax incentives, preferential land-use policies for Taiwanese businesses on the mainland and benefits for Taiwanese individuals in studying or living on the mainland.
Taiwan charges pro-Beijing politicians with accepting mainland cash
The latest measures to grant Taiwan-funded enterprises more equal treatment with their mainland counterparts include offering access to research and development in 5G technology, investment in passenger and cargo air services, the establishment of microlending and financing companies and the right to apply for financial guarantees from local government funds.

Taiwanese individuals will also be officially entitled to mainland Chinese consular protection abroad, will be treated the same as their mainland counterparts when buying residential property on the mainland, and will be able to train in Beijing for the 2020 Olympic Games.

Beijing claims sovereignty over self-ruled Taiwan, and has not renounced the use of force to take the democratic island into its fold. Beijing’s ruling Communist Party has stressed its intention to promote “peaceful reunification”, pledging in its communique from the fourth plenary meeting of the party’s elite last week to “deepen cross-strait integration and development” while opposing Taiwanese independence.
The latest measures from Beijing came ahead of Taiwan’s presidential and legislative elections in January. Relations across the Taiwan Strait have been frozen under the administration of independence-leaning Taiwanese President, ostensibly over her refusal to accept the “1992 consensus”, or the understanding that there is only “one China” – something that Beijing considers a prerequisite for any talks with Taipei.

Taiwan’s Mainland Affairs Council said on Monday that the roll-out of the 26 measures one year later was intended to “cover up” the fact that the 31 measures had not been executed properly, and reflected administrative problems on the mainland amid slowing economic growth.

“Even more than that, it also reflects that during this period Taiwanese people have rejected ‘one country, two systems’ and do not agree with the results of the Communist Party’s united front divisions,” the council said.

“We urge the Communist Party officials to specifically implement protections for Taiwanese businesses and Taiwanese people in their investments and lives.”

Joseph Wu, Taipei’s foreign minister, also responded with a tweet written in simplified Chinese – which is used on the mainland – rather than the traditional Chinese used in Taiwan.

“China’s Taiwan Affairs Office came out with 26 measures and last year there were 31 – it looks like there are so many measures,” he wrote. “But we in Taiwan do not need one country, two systems, so there is really no need to be so polite. Giving your people more freedom is also good!”

Ongoing anti-government protests in Hong Kong – which is semi-autonomous from Beijing under the one country, two systems model – have highlighted for many Taiwanese voters the threat from Beijing to the island’s sovereignty.
The latest polling by the MAC found that 89 per cent of respondents opposed the one country, two systems framework that Beijing proposed for Taiwan, up from 75 per cent in a similar survey in January.
Edward I-hsin Chen, a political-science professor at Chinese Culture University in Taipei, said the impact of the 26 measures on the election would depend on how they were implemented, but that one country, two systems was clearly not palatable for Taiwanese voters, whether they supported Tsai’s Democratic Progressive Party (DPP) or the mainland-friendly Kuomintang (KMT).
“Taiwan, of course, will not accept one country, two systems, so these policies will need to be more long-term. Mainland officials did not handle the Hong Kong issue very well, so it will be very hard for one country, two systems in Taiwan – blue and green will both reject it,” he said, referring to the party colours for the KMT and DPP. “But it is good for Taiwanese people and businesses to be able to take part in the 5G sector, and there will be more cooperation in the future.”
Lin Chingfa, former chairman of the Beijing-based Association of Taiwan Investment Enterprises, said he believed the new measures were intended to appeal to Taiwanese youth.
“A very important direction for cross-strait cooperation nowadays is to bridge the opportunities available in mainland China for young people who feel deprived from the slow Taiwanese economy. Some of these policies should be especially appealing to them because it shows that the country hopes to make it more convenient for young Taiwan people willing to come,” Lin said.
He said this approach was especially obvious in the measures that were introduced to provide equal treatment for Taiwan people on the mainland – for example the opportunities for Taiwan people to apply for scholarships and the expansion of places for Taiwanese students at universities.
Source: SCMP

Posted in 5G research, 5G technology, anti-government protests, Association of Taiwan Investment Enterprises, Beijing, cargo air services, China’s State Council, chinese communist party, Chinese Culture University, Democratic Progressive Party (DPP), Election, extends, Hong Kong, Mainland Affairs Council, microlending and financing companies, National Development and Reform Commission, National Development and Reform Commission (NDRC), ne country, two systems model, one China, One country, two systems, passenger air services, presidential, sovereignty, State Council Taiwan Affairs Office, Sweeteners, Taipei, Taiwan Affairs Office, Taiwan’s, Taiwanese, Taiwanese President, Uncategorized | Leave a Comment »

01/11/2019

China’s Communist Party promotes man who shaped the fighting future of PLA Navy’s aircraft carriers

  • Rear Admiral Ma Weiming is seen as pioneer of electromagnetic aircraft launch system
  • Experts say Ma’s full membership of Central Committee shows how important sea power is to China’s strategic planning
An artist’s impression of China’s third aircraft carrier, the Type 002, which will incorporate an electromagnetic aircraft launch system developed by Rear Admiral Ma Weiming and his team. source: Photo: Handout
An artist’s impression of China’s third aircraft carrier, the Type 002, which will incorporate an electromagnetic aircraft launch system developed by Rear Admiral Ma Weiming and his team. source: Photo: Handout

China’s Communist Party has elevated the senior naval engineer behind the development of a hi-tech launch system for the country’s next aircraft carriers, showing China’s ambition to increase its naval power.

Rear Admiral Ma Weiming, who is seen as the pioneer of China’s electromagnetic aircraft launch system (EMALS), was named as a full member, from alternate member, of the party’s Central Committee at the party plenary meeting which ended on Thursday.

The plenum sessions – attended by more than 300 full and alternate members of the Central Committee – provide an opportunity for the party’s most senior members to discuss and forge consensus on key policy issues.

Real Admiral Ma Weiming (right) has been elevated to full membership of the Communist Party’s Central Committee. Photo: SCMP
Rear Admiral Ma Weiming (right) has been elevated to full membership of the Communist Party’s Central Committee. Photo: SCMP
Li Jie, a Beijing-based military specialist, said the move showed China’s ambition to continue expanding its naval military power.
“Ma’s promotion signals that Beijing will devote more resources to developing strategic military hardware like large warships and assault landing ships,” he said.

The EMALS is regarded as a breakthrough for the People’s Liberation Army, as it will enable China’s second home-grown aircraft carrier – known as the Type 002 – to launch larger jets with bigger payloads on longer missions.

The system could result in fuel savings of up to 40 per cent. With a higher launch energy capacity, it will also be more efficient than steam catapults, allowing for improvements in ease of maintenance, increased reliability, and more accurate end-speed control and smoother acceleration.

Why Chinese submarines could soon be quieter than US ones
Ma, who comes from Yangzhou in eastern Jiangsu province, graduated from the PLA Naval University of Engineering in Wuhan in 1987 and earned a PhD in electrical engineering from Beijing’s Tsinghua University in 1996.

A specialist in maritime propulsion, electrical engineering and related fields, he has mentored more than 400 masters and doctoral students at the naval university.

He and his team have often been recognised for their work as greater emphasis has been put on research and development amid the country’s military modernisation.

China’s first home-built carrier will use steam catapults and a ski-jump deck to launch aircraft. Photo: Handout
China’s first home-built carrier will use steam catapults and a ski-jump deck to launch aircraft. Photo: Handout

Ma has twice won the National Science and Technology Progress Award and in 2015 was awarded the science and technology achievement prize by the Hong Kong-based Ho Leung Ho Lee Foundation.

According to news reports, in the 1980s Ma spotted a potential flaw with an electrical component China planned to buy from overseas to use on its submarines that would have made the vessels easier to detect. Though the manufacturer denied any such problem, Ma spent five years tweaking the product so that submarines fitted with the part became harder to spot.

Three catapult launchers spotted in image of China’s new aircraft carrier

Beijing-based military expert Zhou Chenming said Ma’s promotion could be seen as a national endorsement of his work on EMALS.

“Ma was elected as a Central Committee member because the party and the country recognise the strategic importance of his work as China is expanding into a naval power with a huge maritime interest to protect,” he said.

Zhou, however, said Ma’s promotion was made two years ago, but he could not be formally made a full member until a vacancy opened up this year.

Source: SCMP

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30/10/2019

The explosive truth about the link between Chinese fireworks and India’s dim Diwali

  • Black market imports from China, confusing regulations and pollution concerns are undermining India’s fireworks industry
  • Industry sources say Diwali sales this year were down by 30 per cent
A woman is silhouetted by lit firecrackers during Diwali celebrations in Chennai. Photo: AFP
A woman is silhouetted by lit firecrackers during Diwali celebrations in Chennai. Photo: AFP

Arumugam Chinnaswamy set up his makeshift booth selling firecrackers in a Chennai neighbourhood a week ahead of Diwali, the Hindu festival of lights, with great expectations of doing a brisk trade.

Yet a week later, he has been forced to pack up more than half his stock in the hope he’ll have better luck next year.

“Four years ago, I sold firecrackers worth 800,000 rupees (US$11,288) on the eve of Diwali alone. This year, the sales have not even been a quarter of that,” said Chinnaswamy, 65, painting a grim picture that will be recognised by many in the Indian fireworks industry.

Chinnaswamy buys his firecrackers in Sivakasi, an industrial town in the southern Indian state of Tamil Nadu that produces more than 90 per cent of the country’s fireworks.

Sivakasi’s dry climate has helped to make it the firework capital of India and many production facilities in the town have been in the business for close to a century. For the most part, the industry has resisted mechanisation and still deals in handmade products. Its 1,100-plus manufacturing units provide jobs for 800,000 mostly uneducated workers and its diligent labour force have earned the town the nickname of ‘Little Japan’.
A worker lays firecrackers in an outdoor yard at a manufacturing unit involved in the production of firecrackers ahead of the Hindu festival of Diwali, in Sivakasi. Photo: AFP
A worker lays firecrackers in an outdoor yard at a manufacturing unit involved in the production of firecrackers ahead of the Hindu festival of Diwali, in Sivakasi. Photo: AFP

But this reputation is under threat, struggling under the weight of an anti-pollution campaign, regulatory uncertainty and the arrival of cheap black-market Chinese imports. Irregular monsoons and a slowdown-induced cash crunch have not helped matters either.

Industry figures estimate the Diwali sales of India’s 80 billion-rupee firecracker industry took a 30 per cent drop this year.

A TOXIC PROBLEM

With pollution in Indian cities among the worst in the world, the government has come under pressure to do something about the nation’s toxic air – a problem that becomes more acute during Diwali due to the toxic fumes emitted when celebratory fireworks are set off. This Diwali, for instance, many areas in New Delhi recorded an Air Quality Index (AQI) of 999, the highest possible reading (the recommended limit is 60).

That makes the fireworks industry seem like an easy target when it comes to meeting government air quality targets.

Trouble began brewing in October last year when the Supreme Court banned the manufacture of traditional fireworks containing barium nitrate, a chief polluter. That decision put a rocket under the industry, as barium nitrate is cheap and is used in about 75 per cent of all firecrackers in India.

Factories in Sivakasi responded with a four-month shutdown protest that decimated annual production levels by up to a third.

A seal denotes environment friendly ‘Green Fireworks’ at a manufacturing unit in Sivakasi. Photo: AFP
A seal denotes environment friendly ‘Green Fireworks’ at a manufacturing unit in Sivakasi. Photo: AFP

Apparently realising it had overstepped the mark – and that enforcing the Supreme Court regulations would be next to impossible – the government stepped in to rescue the industry, offering its assistance in the manufacture of environment-friendly crackers containing fewer pollutants, but it was too little, too late.

“The Supreme Court verdict was simply Delhi-centric with the vague idea of [cracking down on] urban pollution. It lacked any on-the-ground knowledge of the fireworks industry,” said Tamil Selvan, president of the Indian Fireworks Association, which represents more than 200 medium and large manufacturers.

Singapore travellers give Hong Kong a miss over Diwali long weekend

“Fireworks are low-hanging fruit for the anti-pollution drive as the industry is unorganised. Could the government or judiciary place a similar blanket ban on more pollution-causing industries like automobiles, plastics or tobacco?” asked Selvan.

CHINESE COMPETITION

The industry has also been hit by a flood of cheap Chinese firecrackers that are smuggled into the country on the black market.

In September, the country’s federal anti-smuggling agency, the Directorate of Revenue Intelligence, cautioned various government departments that huge quantities of Chinese-produced firecrackers had reached Indian soil in the lead up to Diwali.

But industry sources complain they have seen little action from the government to combat the problem.

An advert for firecrackers ahead of the Hindu festival of Diwali, in Sivakasi. Photo: AFP
An advert for firecrackers ahead of the Hindu festival of Diwali, in Sivakasi. Photo: AFP

Legally, Indian manufacturers can neither import nor export firecrackers. The Indian firecracker industry is the second-largest in the world after China’s.

Raja Chandrashekar, chief of the Federation of Tamil Nadu Fireworks Traders, a lobbying body, said low-end Indian-manufactured firecrackers such as roll caps and dot caps – popular among children – had struggled to compete with Chinese-made pop pops and throw bombs.

“Despite our repeated complaints to government bodies, Chinese firecrackers find a way into India, particularly in the northern parts. This is severely affecting our business,” said Chandrashekar.

While more Chinese fireworks might be entering India, the effect has been to undermine the industry, resulting in fewer sales overall.

FIZZLING OUT?

The Sivakasi fireworks industry faces other problems, too. Not least among these is the use of child labour, which had been rampant until a government crackdown a few years ago, and the practice of some factories to operate without proper licences and with questionable safety standards.

But despite the darker aspects of the industry, its role goes beyond merely helping Diwali celebrations go with a bang every year.

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“The livelihoods of over five million people who are indirectly involved in the business, in areas such as trade and transport, depend on the survival of the industry,” said Chandrashekar.

That survival looks increasingly in question. Dull sales of fireworks have been reported in major cities including New Delhi, Mumbai, Bangalore and Hyderabad, though exact numbers can be hard to come by due to the unregulated nature of the industry and unreliable numbers shared by manufacturers.

So great has the resultant outcry been that some cynics even wonder whether the industry is struggling as much as it claims or whether it is part of a ploy by manufacturers to gain more government concessions and avoid any further crackdown.

“These firecracker manufacturers lie through their teeth about the Diwali sales for self-serving motives such as tax avoidance. The overall business is healthy,” said Vijay Kumar, editor of the Sivakasi-based monthly magazine Pyro India News.

“Though there was a 30-40 per cent shortage in annual production, all the manufactured products have been sold this year. No large stockpile is left with any manufacturer.”

Customers buy firecrackers on the eve of the Hindu festival of Diwali in Amritsar. Photo: AFP
Customers buy firecrackers on the eve of the Hindu festival of Diwali in Amritsar. Photo: AFP

Still, regardless of the manufacturers’ motives, the result of the industry’s struggles has been that street sellers like Chinnaswamy have fewer fireworks to sell – and they are struggling even to sell those.

Chinnaswamy says people are confused about the government’s anti-pollution drive and about what firecrackers are now legal and this has discouraged them from buying. Despite the government’s effort to promote “green crackers” he says these are too hard to come by to be a ready solution, at least for this year.

“There was no clarity on what type of firecrackers, whether green crackers or otherwise, can be set off and at what time of the day. Many consumers even asked me whether or not the conventional firecrackers are totally banned while there was much misinformation floating about on social media,” said Chinnaswamy.

Shaking his head, all he can do is hope that next year his Diwali goes with more of a bang.

Source: SCMP

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19/10/2019

China’s door will ‘only open wider’, Xi Jinping tells delegates at Qingdao Multinationals Summit

  • ‘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
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,

President Xi Jinping

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
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
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 
Samsung Electronics

, 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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13/10/2019

Japan, Thailand and Singapore benefit as Chinese tourists skip Hong Kong over golden week

  • The likes of Saudi Arabia also saw an upswing in travellers from the mainland after the release of its new visa programme
  • But fewer Chinese tourists went abroad this year, with a 15 per cent drop from 2018 attributed to more opting to visit local historical sites
Chinese tourists take photos in front of the Imperial Palace in Tokyo, Japan. Photo: Reuters
Chinese tourists take photos in front of the Imperial Palace in Tokyo, Japan. Photo: Reuters
Fewer Chinese travellers went overseas during “golden week” this year – but for those who did, Japan, Thailand and Singapore were the top-ranked destinations as tourists from the mainland gave Hong Kong a miss, according to China’s largest travel company Ctrip.
Chinese government data showed only 6.07 million people travelled during the national holiday between October 1-6, a 15.1 per cent drop from the corresponding period last year. Analysts attributed this to Chinese tourists opting for a “staycation”, as 782 million people – a 7 per cent increase from last year – chose to celebrate the 70th anniversary of the People’s Republic of China by visiting local historical sites.
How a new wave of Indian travellers are transforming tourism in Southeast Asia
For those who did venture abroad, Japan, Thailand and Singapore ranked as the top three most-booked countries in Asia during the week, according to Chinese travel firm Ctrip, as tourists from the mainland skipped protest-hit Hong Kong for other destinations.
The city, now in its 19th week of anti-government protests, over the week saw a 50 per cent overall drop in tourism from last year, as well as a 47.8 per cent reduction in border crossings at the Luohu border checkpoint, according to government figures.

Japan remained the most popular destination for Chinese tourists. In the first half of 2019, the nation saw 4.5 million visitors from China, up 11.7 per cent from the same period in 2018. In order of popularity, the top-visited cities were Osaka, Tokyo, Kyoto, Sapporo and Nagoya, according to Japanese media.

Over the same week, Japan increased its sales tax from 8 to 10 per cent, but Chinese shoppers – who accounted for 37 per cent, or US$15.4 billion, of the spending by international visitors to the nation last year – were undeterred.

Japan saw the highest volume of overseas transactions over the week, according Alipay Mobile, the world’s largest mobile payment platform. The firm declined to share the exact amount Chinese tourists had spent in Japan, but reported average spending per international traveller during golden week had increased by 15 per cent to 2,500 yuan (US$350).

From Nissan sales to Tsushima tourism, trade spat with Korea hits Japan in the pocket

Alipay is operated by Ant Financial, an affiliate of Alibaba Group Holding, which owns the Post.

Japanese department stores such as Sogo and Seibu celebrated the Chinese national holiday by holding golden week events and sales at 15 different branches across the nation, with food and arts promotions targeting Chinese shoppers.

Chinese travellers to Japan want cultural experiences involving local customs such as temple tours, heritage sites and cultural events, according to Emily Guo, a researcher at Hong Kong-based marketing research firm Cherry Blossoms.

Chinese tourists visit Tiananmen Square in Beijing. Analysts say 782 million people opted for “staycations” at local historical sites over golden week this year. Photo: EPA
Chinese tourists visit Tiananmen Square in Beijing. Analysts say 782 million people opted for “staycations” at local historical sites over golden week this year. Photo: EPA

Experts say Thailand – the second-most booked country during golden week, according to Ctrip – saw many repeat travellers return to the country. The nation saw 1.03 million arrivals from China in August, up 19 per cent from 2018.

Guo said these travellers were more budget-conscious than those who travelled to Japan, and enjoyed the good value and picturesque scenery for sharing on social media.

“They have already travelled to Southeast Asia before, and are therefore looking for personalised and local experiences like interacting with Thai residents, jungle treks and food tours,” she said, adding that many are willing to spend extra on immersive experiences such as a hotel in the countryside, or on a room with a forest view.

Thailand’s tourism industry gets jitters after currency surges, visitor numbers from China fall

According to Alipay Mobile, the sale of “durian experience” packages for Chinese tourists looking to taste the spiky, pungent fruit at local farms increased by 60 per cent in Thailand and Malaysia from last year.

Shopping remained on the agenda, too. Thailand ranked second for the highest volume of overseas transactions during the week, according to data from Alipay Mobile. Most Chinese shoppers frequented duty-free shops, convenience stores and local malls, according to local press.

Singapore remained a destination of choice for tourists from the mainland. The city was among the most popular “traditional destinations” for them, according to China’s culture and tourism ministry, with others including Malaysia, Thailand, Japan, Australia, France, Italy, and Russia.

Chinese tourists visiting Singapore over golden week also seized the opportunity to check out property in the Lion City. Photo: AFP
Chinese tourists visiting Singapore over golden week also seized the opportunity to check out property in the Lion City. Photo: AFP

July saw the Lion City break its record for the number of Chinese arrivals, at close to 390,000, an unprecedented 46 per cent jump from the previous month.

Analysts have attributed this to a diversion of tourists from Hong Kong, but property agents such as Clarence Foo, associate deputy group director at OrangeTee & Tie, said some of these Chinese tourists were using the golden week as a chance to eye Singaporean real estate.

“Compared to a normal week, there were probably 15 to 20 per cent more Chinese visitors who viewed property,” said Foo, who counts Singaporean and international buyers among his clients.” They are certainly more keen on Singapore [property] now as there isn’t another comparable investment destination in Asia.”

Meanwhile, the Middle East is emerging as a popular shopping destination for Chinese tourists. According to Ctrip, Dubai saw 501,000 travellers from the mainland in the first half of 2019, an 11 per cent increase from last year.

Saudi Arabia has also experienced a surge in Chinese tourists, with 7,931 heading to the country since it launched its new instant tourist visa programme on September 27. With the new visa, which can be obtained online or upon arrival, tourists can stay in the country for up to 90 days, and unwed foreign men and women can for the first time share hotel rooms.

“Saudi Arabia has the potential to become very popular with Chinese tourists,” said Guo from Cherry Blossoms, adding that travellers from the mainland are increasingly looking for exciting new adventures. “It’s a status symbol for them to visit a country others haven’t visited before.”

Source: SCMP

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10/10/2019

Taiwan leader rejects China’s ‘one country, two systems’ offer

President Tsai Ing-wen also vowed in a National Day speech to defend Taiwan’s sovereignty, saying her government would safeguard freedom and democracy as Beijing ramps up pressure on the self-ruled island it considers a wayward province.

Tsai, who is seeking re-election in January amid criticism of her policy towards China, referred to the arrangement for the return of the former British colony of Hong Kong to Chinese rule in 1997 as a failure.

Hong Kong has been hit by months of anti-government protests triggered by widespread resentment of what many city residents see as relentless efforts by Beijing to exert control of their city despite the promises of autonomy.

China has proposed that Taiwan be brought under Chinese rule under a similar arrangement, but Tsai said Beijing’s policies towards the island were a danger to regional stability.

“China is still threatening to impose its ‘one country, two systems’ model for Taiwan. Their diplomatic offensives and military coercion pose a serious challenge to regional stability and peace,” Tsai said.

“The overwhelming consensus among Taiwan’s 23 million people is our rejection of ‘one country, two systems,’ regardless of party affiliation or political position.”
Taiwan’s National Day, marking the anniversary of the start of a 1911 uprising that led to the end of dynastic rule in China and the founding of a republic, was celebrated in Taipei with singing, dancing and parades.
Cold War hostility between the island and the mainland had eased over the past decade or so as both sides focused more on expanding business ties, but relations have cooled considerably since Tsai took office in 2016.
China suspects Tsai and her independence-leaning Democratic Progressive Party of pushing for the island’s formal independence, and this year threatened it with war if there was any such move.
Tsai denies seeking independence and reiterated that she would not unilaterally change the status quo with China.

FLASHPOINT

Despite her assurances, Beijing has stepped up pressure on the island to seek “reunification” and backed up its warnings by flying regular bomber patrols around it.

Beijing also says Taiwan does not have the right to state-to-state relations and is keen to isolate it diplomatically.

Seven countries have severed diplomatic ties with the Taiwan and switched allegiance to Beijing since Tsai coming to power. It now has formal diplomatic ties with just 15 nations.

But Tsai said Taiwan was undaunted.

“The determination of the Taiwanese people to embrace the world has never wavered,” she said, adding that Taiwan must work with “like-minded countries” to ensure peace and stability across the Taiwan Strait.

Tsai said under her watch Taiwan has boosted its combat capabilities with the purchase of advanced weapons and development of home-made aircraft.

Taiwan unveiled its largest defence spending increase in more than a decade in August, aiming to purchase more advanced weapons from overseas.

The island has long been a flashpoint in the U.S.-China relationship.

In July, the United States approved the sale of an $2.2 billion worth of weapons to Taiwan, angering Beijing.

The United States has no formal ties with Taiwan but is bound by law to help provide it with the means to defend itself.

Source: Reuters

Posted in Beijing, British colony, China alert, Chinese rule, Cold War hostility, Democratic Progressive Party, failure, Hong Kong, independence, island, leader, mainland, National Day, offer, One country, two systems, rejects, Republic of China, self-ruled island, Taipei, Taiwan, U.S.-China relationship, Uncategorized, United States, wayward province | Leave a Comment »

06/10/2019

HKSAR chief executive vows greatest resolve to end violence

HONG KONG, Oct. 5 (Xinhua) — Chief Executive of China’s Hong Kong Special Administrative Region (HKSAR) Carrie Lam said Saturday that the government will take the greatest resolve to end violence, after rampant rioters Friday wreaked havoc in various areas of Hong Kong.

Lam said in a video address that Hong Kong witnessed “a very dark night” on Friday and the society was half-paralyzed, describing the extreme acts as “unprecedented and appalling.”

Violent and disruptive acts were staged again in Hong Kong on Friday as masked rioters blocked roads, set fires, damaged public facilities, and assaulted police officers and passersby, leaving the transport network paralyzed and forcing numerous shops to close.

“The extreme violence is a clear indication of the widespread danger to public security in Hong Kong,” Lam said.

Given the escalating violence recently, the HKSAR government has invoked the power under the Emergency Regulations Ordinance and put in place the Prohibition on Face Covering Regulation. The anti-mask law, designed to end violence and restore order, came into effect on Saturday, Lam said.

The move has received support from 40 Legislative Council members and many chambers of commerce, media outlets and social organizations, she said.

Lam reiterated the legality of the action and said the HKSAR government adopted appropriate measures using the power conferred by the existing law.

Lam urged foreign officials and lawmakers to understand the nature of the violent incidents. “Hong Kong is facing unprecedented violence and the government needs to adopt resolute legal measures to stop violence, restore peace and order, and protect the rights and freedoms of Hong Kong residents from the threats of rioters.” She said anti-mask legislations were also adopted in a number of western countries.

Lam also called on Hong Kong residents to support the HKSAR government in stopping the violence, make a clean break with rioters, and work together to bring back peaceful lives as soon as possible.

Source: Xinhua

Posted in Carrie Lam, Chief Executive, end violence, Government, greatest resolve, Hong Kong, Hong Kong Special Administrative Region (HKSAR), rampant rioters, Uncategorized, wreaked havoc | Leave a Comment »

06/10/2019

Xinhua Headlines: China’s Greater Bay Area busy laying foundation for innovation

As China aims to develop its Greater Bay Area into an international innovation and technology hub, innovation and entrepreneurship resources are shared in the area to provide more opportunities for young Hong Kong and Macao entrepreneurs.

The provincial government of Guangdong has stepped up efforts to improve basic research capability, considered the backbone of an international innovation and technology hub, by building large scientific installations and launching provincial labs.

by Xinhua writers Liu Yiwei, Quan Xiaoshu, Wang Pan, Jing Huaiqiao

GUANGZHOU, Oct. 5 (Xinhua) — Hong Kong man Andy Ng was surprised his shared workspace Timetable was rented out completely only six months after it had started operation in Guangzhou, capital of south China’s Guangdong Province.

While studying economics at City University of Hong Kong, Ng set up his first business, developing an online education platform, but soon realized the Hong Kong market was too small. After earning a master’s degree in the UK in 2017, Ng returned to China and chose Guangzhou as his new base.

Timetable is now accumulating popularity and even fans in Dianping.com, China’s major online consumer guide. Ng feels lucky that his business caught the implementation of the Guangdong-Hong Kong-Macao Greater Bay Area (GBA) development plan.

The bay area, covering 56,000 square km, comprises Hong Kong and Macao, as well as nine cities in Guangdong. It had a combined population of about 70 million at the end of 2017, and is one of the most open and dynamic regions in China.

Aerial photo taken on July 11, 2018 shows the Hong Kong-Zhuhai-Macao Bridge in south China. (Xinhua/Liang Xu)

In July 2017, a framework agreement on the development of the bay area was signed. On February 18 this year, China issued the more specific Outline Development Plan for the Guangdong-Hong Kong-Macao Greater Bay Area. One of its major aims is to develop the area into an international innovation and technology hub.

OPPORTUNITIES FOR YOUTH

The plan proposes that innovation and entrepreneurship resources be shared in the bay area to provide more opportunities for young Hong Kong and Macao entrepreneurs.

An incubator for entrepreneurship, Timetable is home to 52 companies, including 15 from Hong Kong and Macao, such as Redspots, a virtual reality company that won the Hong Kong Information and Communications Technology (ICT) Awards 2019.

“I persuaded them one by one to come here,” Ng said. “I told them of my own experience that the GBA is a great stage for starting a business with ever-upgrading technologies, ever-changing consumer tastes and a population 10 times that of Hong Kong.”

Timetable is a startup base of the Guangzhou Tianhe Hong Kong and Macao Youth Association, which has assisted 65 enterprises founded by Hong Kong and Macao young people since its establishment in October 2017.

The association and its four bases provide a package of services from training and registering to policy and legal consultation, said Chen Jingzhan, one of the association founders.

Tong Yat, a young Macao man who teaches children programming, is grateful the association encouraged him to come to Guangdong, where young people enjoy more preferential policies to start their own businesses.

“The GBA development not only benefits us, but paves the way for the next generation,” Tong said. “If one of my students were to become a tech tycoon in the future and tell others that his first science and technology teacher was me, I would think it all worthwhile.”

In the first quarter of this year, there were more than 980 science and technology business incubators in Guangdong, including more than 50 for young people from Hong Kong and Macao, said Wu Hanrong, an official with the Department of Science and Technology of Guangdong Province.

INNOVATION HIGHLAND

As the young entrepreneurs create a bustling innovative atmosphere, the Guangdong government has stepped up efforts to improve basic research capability, considered the backbone of an international innovation and technology hub, by building large scientific installations and launching provincial labs.

Several large scientific facilities have settled in Guangdong. China Spallation Neutron Source (CSNS) operates in Dongguan City; a neutrino observatory is under construction in Jiangmen City; a high intensity heavy-ion accelerator is being built in Huizhou City.

Aerial photo taken on June 23, 2019 shows the construction site of the Jiangmen Underground Neutrino Observatory (JUNO) in Jiangmen, south China’s Guangdong Province. (Xinhua/Liu Dawei)

Guangdong also plans to build about 10 provincial labs, covering regenerative medicine, materials, advanced manufacturing, next-generation network communications, chemical and fine chemicals, marine research and other areas, said Zhang Yan, of the provincial department of science and technology.

Unlike traditional universities or research institutions, the provincial labs enjoy a high degree of autonomy in policy and spending. A market-oriented salary system allows them to recruit talent from all over the world, and researchers from other domestic organizations can work for the laboratories without giving up their original jobs, Zhang said.

The labs are also open to professionals from Hong Kong and Macao. Research teams from the universities of the two special administrative regions have been involved in many of the key programs, Zhang said.

For example, the provincial lab of regenerative medicine and health has jointly established a regenerative medicine research institute with the Chinese University of Hong Kong, a heart research center with the University of Hong Kong, and a neuroscience research center with the Hong Kong University of Science and Technology (HKUST).

Photo taken on July 24, 2019 shows a rapid cycling synchrotron at the China Spallation Neutron Source (CSNS) in Dongguan, south China’s Guangdong Province. (Xinhua/Liu Dawei)

Guangdong has been trying to break down institutional barriers to help cooperation, encouraging Hong Kong and Macao research institutions to participate in provincial research programs, exploring the cross-border use of provincial government-sponsored research funds, and shielding Hong Kong researchers in Guangdong from higher mainland taxes.

NANSHA FOCUS

Located at the center of the bay area, Guangzhou’s Nansha District is designed as the national economic and technological development zone and national free trade zone, and is an important pivot in building the area into an international innovation and technology hub.

The construction of a science park covering about 200 hectares started on Sept. 26. Gong Shangyun, an official with the Nansha government, said the park will be completed in 2022.

Jointly built by the Guangzhou government and the Chinese Academy of Sciences (CAS), the science park will accommodate CAS research institutes from around Guangzhou, including the South China Sea Institute of Oceanology, the South China Botanical Garden (SCBG) and the Guangzhou Institute of Energy Conversion.

Ren Hai, director of the SCBG, is looking forward to expanding the research platforms in Nansha. “We will build a new economic plant platform serving the green development of the Pearl River Delta, a new botanical garden open to the public, and promote the establishment of the GBA botanical garden union.”

Wang Ying, a researcher with the SCBG, said the union will help deepen the long cooperation among its members and improve scientific research, science popularization and ecological protection. “Predecessors of our botanical garden have helped the Hong Kong and Macao counterparts gradually establish their regional flora since the 1950s and 1960s.”

HKUST also started to build a new campus in Nansha the same day as the science park broke ground. “Located next to the high-speed rail station, the Guangzhou campus is only a 30-minute journey from the Hong Kong campus. A delegation from the HKUST once paid a visit to the site and found it very convenient to work here,” Gong said.

Chief Executive of the Hong Kong Special Administrative Region (HKSAR) Carrie Lam hoped the new campus would help create a new chapter for the exchanges and cooperation on higher education between Guangzhou and Hong Kong, and cultivate more talents with innovative capabilities.

Nansha’s layout is a miniature of the provincial blueprint for an emerging international innovation and technology hub.

“We are seeking partnership with other leading domestic research institutions and encouraging universities from Hong Kong and Macao to set up R&D institutions in Guangdong,” said Zhang Kaisheng, an official with the provincial department of science and technology.

“We are much busier now, because research institutes at home and abroad come to talk about collaboration every week. The GBA is a rising attraction to global scientific researchers,” Zhang said.

Source: Xinhua

Posted in advanced manufacturing, autonomy, Carrie Lam, chemical, Chief Executive, China alert, China's Greater Bay Area, Chinese Academy of Sciences (CAS), Chinese University of Hong Kong, City University of Hong Kong, collaboration, Construction, cooperation, Department of Science and Technology, development plan, Dianping.com, Dongguan City, entrepreneurs, entrepreneurship, fine chemicals, Greater Bay Area, Guangdong, guangdong province, Guangdong-Hong Kong-Macao Greater Bay Area (GBA), Guangdong. China Spallation Neutron Source (CSNS), Guangzhou, Guangzhou Institute of Energy Conversion, Guangzhou Tianhe Hong Kong and Macao Youth Association, heart research center, high intensity heavy-ion accelerator, high-speed rail station, HIGHLAND, Hong Kong, Hong Kong Information and Communications Technology (ICT) Awards, Hong Kong Special Administrative Region (HKSAR), Hong Kong University of Science and Technology (HKUST), Huizhou City, incubator, innovation, innovation and technology hub, institutional barriers, international, Jiangmen City, laying foundation, Macao, marine research, market, market-oriented salary system, materials, Nansha District, neuroscience research center, neutrino observatory, next-generation network communications, online consumer guide, online education platform, open and dynamic region, opportunities, Outline Development Plan, Pearl River Delta, policy, programming, provincial government, recruit talent, Redspots, regenerative medicine, small, South China Botanical Garden (SCBG), South China Sea Institute of Oceanology,, special administrative regions, spending, teaches children, Timetable, traditional research institutions, traditional research labs, traditional universities, UK, Uncategorized, University of Hong Kong, virtual reality company, won, World, Youth | Leave a Comment »

03/10/2019

China’s scenic sites limit ‘golden week’ visitor numbers to cut crowds

  • Managers of the Leshan Giant Buddha and Jiuzhaigou National Park restrict ticket sales as millions head off for the holiday break
Park authorities in charge of the Leshan Giant Buddha in Sichuan have restricted visitor numbers in golden week. Photo: Xinhua
Park authorities in charge of the Leshan Giant Buddha in Sichuan have restricted visitor numbers in golden week. Photo: Xinhua
Several major tourist attractions in China have capped visitor numbers during this year’s National Day “golden week” holiday as millions take the chance to travel.
October 1 marked the start of a week-long break on the mainland, with an estimated 800 million people expected to go on trips in China or overseas, about 10 per cent more than last year, according to the China Tourism Academy.
The academy estimated that 726 million people would take domestic trips in this peak holiday period – a 9.4 per cent increase from last year, but that is the lowest level of growth since 2007 as pressure from China’s slowing economy and the trade war with the United States take their toll.
Managers at the scenic area surrounding the Leshan Giant Buddha – a 71-metre (233 feet) tall ancient statue carved into a cliff in southwestern Sichuan province – said last week that daily tickets would be capped at 22,400 during the holiday, which runs until Monday.
West Lake in Hangzhou, Zhejiang province, drew 300,400 visitors as golden week started. Photo: Xinhua
West Lake in Hangzhou, Zhejiang province, drew 300,400 visitors as golden week started. Photo: Xinhua

The park said it would update visitors on daily ticket sales through social media.

“Today’s tickets for the Giant Buddha have reached the limit and sales have stopped,” the park management committee said on its Weibo account on Tuesday. “To all tourists, please rearrange your itinerary. You can visit the areas surrounding the Giant Buddha scenic spot,” it said, adding that tickets could be booked online for any day for the rest of golden week.

“I expected it to be chock-full of people, but actually today it’s still relatively calm. I had lots of fun,” a visitor to the Giant Buddha told Pear Video on Tuesday.

Hong Kong protests leave ‘golden week’ tourist boom in tatters
Jiuzhaigou National Park in Sichuan said last week that it would be limiting visitors to 5,000 per day during golden week and said on Monday that tickets had sold out.

The network of valleys known for its natural scenery was devastated by an earthquake in August 2017, and reopened with limited access in March 2018.

However, there were no restrictions at other attractions. In eastern Zhejiang province, 340,400 visitors went through the gates at Hangzhou’s West Lake on Tuesday, the Global Times’ Chinese edition reported.

“There’s too many people. I have never seen so many of them in my life,” one tourist was quoted as saying.

A guide also said that instances of “uncivilised behaviour”, such as trampling on the gardens, were down compared to last year.

Next stop: Croatia. Chinese travellers skip Hong Kong for niche destinations over National Day break
“During the major holidays, many tourist attractions are so crowded that tourists can barely move an inch,” Hangzhou Daily said in an editorial on Monday.
“Not only is the tourist experience bad, but there are also safety hazards such as being trampled on, and this puts a lot of pressure on nearby public transport and food establishments.”
Travel booking platform Ctrip said that tourists heading overseas were increasingly seeking out new destinations, with bookings to places such as the Czech Republic, Austria, Croatia, Malta and Cambodia up by 45 per cent this year.
However, bookings for Hong Kong had fallen substantially after nearly four months of anti-government protests, Ctrip said.
Source: SCMP

Posted in ancient statue, Austria, Cambodia, China alert, China Tourism Academy, Croatia, crowds, Ctrip, cut, Czech Republic, domestic trips, food establishments, Giant Buddha, Global Times, golden week, Hangzhou, Hangzhou Daily, holiday break, Hong Kong, Jiuzhaigou National Park, Leshan Giant Buddha, Leshan Giant Buddha and Jiuzhaigou National Park, limit, Malta, Managers, Numbers, October 1, overseas, Pear Video, pressure, public transport, restrict, scenic sites, sichuan province, slowing economy, ticket sales, toll, tourists, trade war, trampled on, Travel booking platform, trips, Uncategorized, uncivilised behaviour, United States, visitor, Weibo, West Lake, zhejiang province | Leave a Comment »

03/10/2019

As protests rack Hong Kong, China watchdog has Cathay staff ‘walking on eggshells’

HONG KONG (Reuters) – Staff at Cathay Pacific Airways, Hong Kong’s flagship airline, are on edge.

A Cathay Pacific Boeing 777-300ER plane lands at Hong Kong airport after it reopened following clashes between police and protesters, in Hong Kong, China August 14, 2019. REUTERS/Thomas Peter
Their city has been gripped by months of anti-government protests, and their company is feeling the wrath of China’s aviation regulator after some staff members took part or expressed support.
Since an Aug.9 directive by the Civil Aviation Authority of China (CAAC) that called for the suspension of staff who supported or participated in the demonstrations, the regulator has rejected some entire crew lists without explanation, two sources with knowledge of the matter told Reuters.
The rejections have forced Cathay to scramble, pulling pilots and flight attendants off standby while it investigates social media accounts in an effort to determine which crew member has been deemed a security threat, one of the sources said.
Other disruptions have come in the form of a huge jump in the number of plane inspections upon landing, four pilots said.
The flexing of regulatory muscle has contributed to a climate of fear within the airline, with employees telling Reuters they felt Cathay’s longer-term future as an independent company was highly uncertain and subject to Beijing’s whims.
The CAAC’s labelling of employees who support the protest as a security risk and its demand that they be suspended from flying over mainland airspace has been a de facto career killer.
Around three quarters of Cathay flights use mainland airspace and due to the directive, 30 rank-and-file staff, including eight pilots and 18 flight attendants, have been fired or resigned under pressure, according to the Hong Kong Cabin Crew Federation.
Cathay CEO Rupert Hogg and his top deputy also resigned in August amid the mounting regulatory scrutiny on the 73-year-old airline, one of the region’s most high-profile brands that draws on Hong Kong’s British heritage.
“Things changed very quickly,” said Jeremy Tam, a pro-democracy lawmaker and pilot who resigned from the airline after the CAAC directive, likening the atmosphere to a political trial. “The threat is huge and it’s almost like zero to 100 in two seconds.”
Reuters talked to 14 current and former employees for this article. Nearly all declined to be identified for fear of being fired or due to the sensitivity of the matter.
The CAAC did not respond Reuters requests for comment on the rejections of crew lists or the increase in plane checks.Cathay said in a statement it must comply with all regulatory requirements. “Quite simply, this is our licence to operate; there is no ground for compromise,” it said.
The airline declined to comment on the number of employee departures, but said any terminations took into account factors such as a person’s ability to perform their role.

DEMERIT SYSTEM

Aviation regulators around the world conduct occasional plane inspections at airports to ensure an airline is in compliance with safety regulations.

But after the CAAC’s Aug. 9 directive, the once-infrequent inspections occurred almost daily and included the new and unusual step of checking phones owned by crew for anti-China photos and messages, the pilots said, adding that this had led to flight delays.

The step-up in checks has increased the likelihood of regulators finding minor issues to write up, which pilots said had included dirt on the plane’s exterior and scratches on a fire extinguisher.

Infractions can have outsized consequences under the CAAC’s strict demerit points system, they said, noting the regulator could force Cathay to reduce its number of flights, cut destinations or in a worst-case scenario, revoke the airline’s right to fly to mainland China.

Management has urged staff to do their utmost to avoid infractions.

“It is nothing less than the survival of the airline at stake,” said a senior employee. “Management have made that abundantly clear at meetings.”

Executives are particularly sensitive after seven incidents outside mainland China in the past two months in which pre-flight checks found emergency oxygen bottles for crew were depleted.

The CAAC is more public than many regulatory peers about disclosing safety violations, warnings and punishments.

In 2017, Emirates was banned from expanding its operations for six months following two safety incidents, while flag carrier Air China Ltd was ordered last year to cut Boeing Co 737 flights by 10% after an emergency descent linked to a pilot smoking an e-cigarette in the cockpit.

Cathay declined to provide information on its points under the CAAC system but said it wanted to emphasise that there had been no impact on its flight services into mainland China.

The pilots said the high frequency of airplane checks, which one described as “very intimidatory”, was starting to recede.

A THOUSAND CUTS

Employees are also feeling pressure from other regulatory bodies.

Last week, ahead of China’s National Day on Oct.1, immigration officers at some mainland airports requested photos of crew with the Chinese flag, said a pilot at regional arm Cathay Dragon who flies to the mainland regularly.

He said to his knowledge, most pilots – many of whom are expats from Western countries – had refused but Hong Kong cabin crew were “too nervous to say no” given the scrutiny on their actions by the company and the Chinese government.
“Everyone is walking on eggshells in China,” the pilot said.
Cathay did not respond to a request for comment, while China’s Ministry of Public Security, which oversees immigration, did not respond to a request for comment during a week of public holidays.
There has been no let-up in the widespread, sometimes violent, unrest that has beset Hong Kong. Triggered by a now-withdrawn extradition bill, it has morphed into an outpouring of opposition to the former British colony’s Beijing-backed government.

The crisis has also meant a sharp drop in travel demand to Hong Kong, putting more pressure on Cathay.

Cathay’s overall passenger numbers were down 11.3% in August. Flights at Cathay Dragon, which does most of Cathay’s mainland flying, were on average 60-65% full in September, down from the usual 80%, according to estimates from two pilots.

The pilots said while the sharp drop in demand was in some ways similar in scale to that weathered by Cathay during the SARS epidemic and the global financial crisis, there were key differences that felt more threatening to the company’s future.

Some state-controlled firms such as China CITIC Bank International and Huarong International have told employees to avoid flying with Cathay, and it has been attacked by Chinese state news organisations as well as by many mainland consumers on social media.

CAAC’s Aug.9 statement which called staff who supported the protests a security risk has also put Cathay’s reputation as one of the world’s safest airlines under a cloud it does not deserve, employees said.

Many acknowledged the new management team, which oversees around 33,000 employees, has few palatable options in dealing with the situation given the sway Beijing holds over the airline’s operations.

But they lamented the loss of freedom of speech and sense of job security, saying employees are afraid to speak about anything even vaguely political or voice support for protests on social media for fear of being reported by colleagues under a whistleblower policy.

“It has become a Hong Kong company with mainland employment terms,” a pilot at Cathay Dragon said. “The risk is death by a thousand cuts.”

Source: Reuters

Posted in Air China Ltd, anti-China photos, anti-government protests, avoid, Beijing, Boeing Co 737 flights, British heritage, CAAC, career killer, Cathay Dragon, Cathay Pacific, Cathay Pacific Airways, checking phones, China Citic Bank International, China watchdog, Chinese flag, Civil Aviation Authority of China (CAAC), cockpit, crew, crew lists, de facto, death by a thousand cuts, demonstrations, disruptions, e-cigarettes, emergency descent, Emirates, entire, explanation, fired, flag carrier, flagship airline, flight attendants, freedom of speech, Hong Kong, Hong Kong Cabin Crew Federation, Huarong International, immigration officers, independent company, Job security, landing, mainland airports, mainland airspace, Ministry of Public Security, National Day, Oct. 1, participated, photos, pilots, plane inspections, protests, rack, regulator, rejected, resigned, Reuters, scramble, smoking, staff, standby, supported, suspension of staff, Uncategorized, uncertain, walking on eggshells, whims, whistleblower policy | Leave a Comment »

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