Chindia Alert: You’ll be Living in their World Very Soon
aims to alert you to the threats and opportunities that China and India present. China and India require serious attention; case of ‘hidden dragon and crouching tiger’.
Without this attention, governments, businesses and, indeed, individuals may find themselves at a great disadvantage sooner rather than later.
The POSTs (front webpages) are mainly 'cuttings' from reliable sources, updated continuously.
The PAGEs (see Tabs, above) attempt to make the information more meaningful by putting some structure to the information we have researched and assembled since 2006.
NEW YORK/SAN FRANCISCO (Reuters) – Amazon.com Inc (AMZN.O) has bought cameras to take temperatures of workers during the coronavirus pandemic from a firm the United States blacklisted over allegations it helped China detain and monitor the Uighurs and other Muslim minorities, three people familiar with the matter told Reuters.
China’s Zhejiang Dahua Technology Co Ltd (002236.SZ) shipped 1,500 cameras to Amazon this month in a deal valued close to $10 million, one of the people said. At least 500 systems from Dahua – the blacklisted firm – are for Amazon’s use in the United States, another person said.
The Amazon procurement, which has not been previously reported, is legal because the rules control U.S. government contract awards and exports to blacklisted firms, but they do not stop sales to the private sector.
However, the United States “considers that transactions of any nature with listed entities carry a ‘red flag’ and recommends that U.S. companies proceed with caution,” according to the Bureau of Industry and Security’s website. Dahua has disputed the designation.
The deal comes as the U.S. Food and Drug Administration warned of a shortage of temperature-reading devices and said it wouldn’t halt certain pandemic uses of thermal cameras that lack the agency’s regulatory approval. Top U.S.-based maker FLIR Systems Inc (FLIR.O) has faced an up to weeks-long order backlog, forcing it to prioritize products for hospitals and other critical facilities.
Amazon declined to confirm its purchase from Dahua, but said its hardware complied with national, state and local law, and its temperature checks were to “support the health and safety of our employees, who continue to provide a critical service in our communities.”
The company added it was implementing thermal imagers from “multiple” manufacturers, which it declined to name. These vendors include Infrared Cameras Inc, which Reuters previously reported, and FLIR, according to employees at Amazon-owned Whole Foods who saw the deployment. FLIR declined to comment on its customers.
Dahua, one of the biggest surveillance camera manufacturers globally, said it does not discuss customer engagements and it adheres to applicable laws. Dahua is committed “to mitigate the spread of the COVID-19” through technology that detects “abnormal elevated skin temperature — with high accuracy,” it said in a statement.
The U.S. Department of Commerce, which maintains the blacklist, declined comment. The FDA said it would use discretion when enforcing regulations during the public health crisis as long as thermal systems lacking compliance posed no “undue risk” and secondary evaluations confirmed fevers.
Dahua’s thermal cameras have been used in hospitals, airports, train stations, government offices and factories during the pandemic. International Business Machines Corp (IBM.N) placed an order for 100 units, and the automaker Chrysler placed an order for 10, one of the sources said. In addition to selling thermal technology, Dahua makes white-label security cameras resold under dozens of other brands such as Honeywell, according to research and reporting firm IPVM.
Honeywell said some but not all its cameras are manufactured by Dahua, and it holds products to its cybersecurity and compliance standards. IBM and Chrysler’s parent Fiat Chrysler Automobiles NV (FCHA.MI) did not comment.
The Trump Administration added Dahua and seven other tech firms last year to the blacklist for acting against U.S. foreign policy interests, saying they were “implicated” in “China’s campaign of repression, mass arbitrary detention, and high-technology surveillance against Uighurs, Kazakhs, and other members of Muslim minority groups.”
More than one million people have been sent to camps in the Xinjiang region as part of China’s campaign to root out terrorism, the United Nations has estimated.
Dahua has said the U.S. decision lacked “any factual basis.” Beijing has denied mistreatment of minorities in Xinjiang and urged the United States to remove the companies from the list.
A provision of U.S. law, which is scheduled to take effect in August, will also bar the federal government from starting or renewing contracts with a company using “any equipment, system, or service” from firms including Dahua “as a substantial or essential component of any system.”
Amazon’s cloud unit is a major contractor with the U.S. intelligence community, and it has been battling Microsoft Corp (MSFT.O) for an up to $10 billion deal with the Pentagon.
Top industry associations have asked Congress for a year-long delay because they say the law would reduce supplies to the government dramatically, and U.S. Secretary of State Mike Pompeo said last week that policies clarifying the implementation of the law were forthcoming.
FACE DETECTION & PRIVACY
The coronavirus has infected staff from dozens of Amazon warehouses, ignited small protests over allegedly unsafe conditions and prompted unions to demand site closures. Temperature checks help Amazon stay operational, and the cameras – a faster, socially distant alternative to forehead thermometers – can speed up lines to enter its buildings. Amazon said the type of temperature reader it uses varies by building.
To see if someone has a fever, Dahua’s camera compares a person’s radiation to a separate infrared calibration device. It uses face detection technology to track subjects walking by and make sure it is looking for heat in the right place.
An additional recording device keeps snapshots of faces the camera has spotted and their temperatures, according to a demonstration of the technology in San Francisco. Optional facial recognition software can fetch images of the same subject across time to determine, for instance, who a virus patient may have been near in a line for temperature checks.
Amazon said it is not using facial recognition on any of its thermal cameras. Civil liberties groups have warned the software could strip people of privacy and lead to arbitrary apprehensions if relied on by police. U.S. authorities have also worried that equipment makers like Dahua could hide a technical “back door” to Chinese government agents seeking intelligence.
In response to questions about the thermal systems, Amazon said in a statement, “None of this equipment has network connectivity, and no personal identifiable information will be visible, collected, or stored.”
Dahua made the decision to market its technology in the United States before the FDA issued the guidance on thermal cameras in the pandemic. Its supply is attracting many U.S. customers not deterred by the blacklist, according to Evan Steiner, who sells surveillance equipment from a range of manufacturers in California through his firm EnterActive Networks LLC.
“You’re seeing a lot of companies doing everything that they possibly can preemptively to prepare for their workforce coming back,” he said.
The richest man in China opened his own Twitter account last month, in the middle of the Covid-19 outbreak. So far, every one of his posts has been devoted to his unrivalled campaign to deliver medical supplies to almost every country around the world.
“One world, one fight!” Jack Ma enthused in one of his first messages. “Together, we can do this!” he cheered in another.
The billionaire entrepreneur is the driving force behind a widespread operation to ship medical supplies to more than 150 countries so far, sending face masks and ventilators to many places that have been elbowed out of the global brawl over life-saving equipment.
But Ma’s critics and even some of his supporters aren’t sure what he’s getting himself into. Has this bold venture into global philanthropy unveiled him as the friendly face of China’s Communist Party? Or is he an independent player who is being used by the Party for propaganda purposes? He appears to be following China’s diplomatic rules, particularly when choosing which countries should benefit from his donations, but his growing clout might put him in the crosshairs of the jealous leaders at the top of China’s political pyramid.
Other tech billionaires have pledged more money to fight the effects of the virus – Twitter’s Jack Dorsey is giving $1bn (£0.8bn) to the cause. Candid, a US-based philanthropy watchdog that tracks private charitable donations, puts Alibaba 12th on a list of private Covid-19 donors. But that list doesn’t include shipments of vital supplies, which some countries might consider to be more important than money at this stage in the global outbreak.
The world’s top coronavirus financial donors
How Alibaba compares to the top five. No one else other than the effervescent Ma is capable of dispatching supplies directly to those who need them. Starting in March, the Jack Ma foundation and the related Alibaba foundation began airlifting supplies to Africa, Asia, Europe, Latin America and even to politically sensitive areas including Iran, Israel, Russia and the US.
Ma has also donated millions to coronavirus vaccine research and a handbook of medical expertise from doctors in his native Zhejiang province has been translated from Chinese into 16 languages. But it’s the medical shipments that have been making headlines, setting Ma apart.
“He has the ability and the money and the lifting power to get a Chinese supply plane out of Hangzhou to land in Addis Ababa, or wherever it needs to go,” explains Ma’s biographer, Duncan Clark. “This is logistics; this is what his company, his people and his province are all about.”
A friendly face
Jack Ma is famous for being the charismatic English teacher who went on to create China’s biggest technology company. Alibaba is now known as the “Amazon of the East”. Ma started the company inside his tiny apartment in the Chinese coastal city of Hangzhou, in the centre of China’s factory belt, back in 1999. Alibaba has since grown to become one of the dominant players in the world’s second largest economy, with key stakes in China’s online, banking and entertainment worlds. Ma himself is worth more than $40bn.
Officially, he stepped down as Alibaba’s chairman in 2018. He said he was going to focus on philanthropy. But Ma retained a permanent seat on Alibaba’s board. Coupled with his wealth and fame, he remains one of the most powerful men in China.
Media caption The BBC’s Secunder Kermani and Anne Soy compare how prepared Asian and African countries are
It appears that Ma’s donations are following Party guidelines: there is no evidence that any of the Jack Ma and Alibaba Foundation donations have gone to countries that have formal ties with Taiwan, China’s neighbour and diplomatic rival. Ma announced on Twitter that he was donating to 22 countries in Latin America. States that side with Taiwan but who have also called for medical supplies – from Honduras to Haiti – are among the few dozen countries that do not appear to be on the list of 150 countries. The foundations repeatedly refused to provide a detailed list of countries that have received donations, explaining that “at this moment in time, we are not sharing this level of detail”.
However, the donations that have been delivered have certainly generated a lot of goodwill. With the exception of problematic deliveries to Cuba and Eritrea, all of the foundations’ shipments dispatched from China appear to have been gratefully received. That success is giving Ma even more positive attention than usual. China’s state media has been mentioning Ma almost as often as the country’s autocratic leader, Xi Jinping.
AFP
So far…
Over 150 countries have received donations from Jack Ma, including about:
120.4mface masks
4,105,000testing kits
3,704ventilators
Source: Alizila
It’s an uncomfortable comparison. As Ma soaks up praise, Xi faces persistent questions about how he handled the early stages of the virus and where, exactly, the outbreak began.
The Chinese government has dispatched medical teams and donations of supplies to a large number of hard-hit countries, particularly in Europe and South-East Asia.
However, those efforts have sometimes fallen flat. China’s been accused of sending faulty supplies to several countries. In some cases, the tests it sent were being misused but in others, low-quality supplies went unused and the donations backfired.
In contrast, Jack Ma’s shipments have only boosted his reputation.
“It’s fair to say that Ma’s donation was universally celebrated across Africa,” says Eric Olander, managing editor of the China Africa Project website and podcast. Ma pledged to visit all countries in Africa and has been a frequent visitor since his retirement.
“What happens to the materials once they land in a country is up to the host government, so any complaints about how Nigeria’s materials were distributed are indeed a domestic Nigerian issue,” Olander adds. “But with respect to the donation itself, the Rwandan leader, Paul Kagame, called it a “shot in the arm” and pretty much everyone saw it for what it was which was: delivering badly-needed materials to a region of the world that nobody else is either willing or capable of helping at that scale.”
Walking the tightrope
But is Ma risking a backlash from Beijing? Xi Jinping isn’t known as someone who likes to share the spotlight and his government has certainly targeted famous faces before. In recent years, the country’s top actress, a celebrated news anchor and several other billionaire entrepreneurs have all “disappeared” for long periods. Some, including the news anchor, end up serving prison sentences. Others re-emerge from detention, chastened and pledging their allegiance to the Party.
“There’s a rumour that [Jack Ma] stepped down in 2018 from being the chairman of the Alibaba Group because he was seen as a homegrown entrepreneur whose popularity would eclipse that of the Communist Party,” explains Ashley Feng, research associate at the Centre for New American Security in Washington DC. Indeed, Ma surprised many when he suddenly announced his retirement in 2018. He has denied persistent rumours that Beijing forced him out of his position.
Image copyright GETTY IMAGESImage caption Ma discussed trade with then-President-elect Donald Trump in January 2017
Duncan Clark, Ma’s biographer, is also aware of reports that Ma was nudged away from Alibaba following a key incident in January 2017. The Chinese billionaire met with then-President-elect Donald Trump in Trump Tower, ostensibly to discuss Sino-US trade. The Chinese president didn’t meet with Trump until months later.
“There was a lot of speculation of time that Jack Ma had moved too fast,” Clark says. “So, I think there’s lessons learned from both sides on the need to try to coordinate.”
“Jack Ma represents a sort of entrepreneurial soft power,” Clark adds. “That also creates challenges though, because the government is quite jealous or nervous of non-Party actors taking that kind of role.”
Technically, Ma isn’t a Communist outsider: China’s wealthiest capitalist has actually been a member of the Communist Party since the 1980s, when he was a university student.
But Ma’s always had a tricky relationship with the Party, famously saying that Alibaba’s attitude towards the Party was to “be in love with it but not to marry it”.
Even if Ma and the foundations connected to him are making decisions without Beijing’s advance blessing, the Chinese government has certainly done what it can to capitalise on Ma’s generosity. Chinese ambassadors are frequently on hand at airport ceremonies to receive the medical supplies shipped over by Ma, from Sierra Leone to Cambodia.
China has also used Ma’s largesse in its critiques of the United States. “The State Department said Taiwan is a true friend as it donated 2 million masks,” the Chinese Foreign Ministry tweeted in early April. “Wonder if @StateDept has any comment on Jack Ma’s donation of 1 million masks and 500k testing kits as well as Chinese companies’ and provinces’ assistance?”
Perhaps Ma can rise above what’s happened to so many others who ran afoul of the Party. China might just need a popular global Chinese figure so much that Ma has done what no one else can: make himself indispensable.
“Here’s the one key takeaway from all that happened with Jack Ma and Africa: he said he would do something and it got done,” explains Eric Olander. “That is an incredibly powerful optic in a place where foreigners often come, make big promises and often fail to deliver. So, the huge Covid-19 donation that he did fit within that pattern. He said he would do it and mere weeks later, those masks were in the hands of healthcare workers.”
Image copyright GETTY IMAGESImage caption Ma at an Electronic World Trade Platform event with Ethiopian Prime Minister Abiy Ahmed last year
Duncan Clark argues that Ma already had a seat at China’s high table because of Alibaba’s economic heft. However, his first-name familiarity with world leaders makes him even more valuable to Beijing as China tries to repair its battered image.
“He has demonstrated the ability, with multiple IPOs under his belt, and multiple friendships overseas, to win friends and influence people. He’s the Dale Carnegie of China and that certainly, we’ve seen that that’s irritated some in the Chinese government but now it’s almost an all hands on deck situation,” Clark says.
There’s no doubt that China’s wider reputation is benefiting from the charitable work of Ma and other wealthy Chinese entrepreneurs. Andrew Grabois from Candid, the philanthropic watchdog that’s been measuring global donations in relation to Covid-19, says that the private donations coming from China are impossible to ignore.
“They’re taking a leadership role, the kind of thing that used to be done by the United States,” he says. “The most obvious past example is the response to Ebola, the Ebola outbreak in 2014. The US sent in doctors and everything to West Africa to help contain that virus before it left West Africa.”
Chinese donors are taking on that role with this virus.
“They are projecting soft power beyond their borders, going into areas, providing aid, monetary aid and expertise,” Grabois adds.
So, it’s not the right time for Beijing to stand in Jack Ma’s way.
“You know, this is a major crisis for the world right now,” Duncan Clark concludes. “But obviously, it’s also a crisis for China’s relationship with the rest of the world. So they need anybody who can help dampen down some of these those pressures.”
BRUSSELS (Reuters) – The euro zone’s trade surplus with the rest of the world grew in February, with a decline in imports from China as well as sharply lower energy needs because of mild winter weather.
The unadjusted goods trade surplus grew to 23.0 billion euros ($25.1 billion) in February, compared with 18.5 billion euros a year earlier. Exports rose by 1.6%, while imports fell by 1.0%.
For China, which already had widespread coronavirus restrictions in place in February, exports from the European Union as a whole were slightly lower than in February 2019. However, imports were down by 8.1%, according to data on Eurostat’s website.
Energy imports as a whole also declined by 9.6% in February, when comparing Jan-Feb data issued on Monday and January data from a month ago. That translated into 10.1% lower imports from Russia and 5.9% less from Norway.
The trade surplus with the United States, by contrast, grew by 21% in the month as exports increased and imports declined. The persistent surplus in goods has been a source of transatlantic tension.
On a seasonally adjusted basis the euro zone trade surplus also rose to 25.8 billion euros in February from 18.2 billion euros in January. Exports were 1.8% higher month-on-month and imports 2.3% lower.
We can’t know a definitive overall number as the virus spreads across China, but to give an idea of the scale of the demand, let’s start by looking at the situation in Hubei province, the epicentre of the outbreak.
Just dealing with medical staff alone, there are an estimated 500,000 across the province.
Medical advice in China is to change face masks regularly, as often as four times a day for medical teams, which would require two million masks each day.
This is the procedure being followed in one of the main hospitals in Wuhan, the largest city in Hubei province.
We don’t have a breakdown for the numbers of medical staff in other significantly affected provinces, but it would be reasonable to assume a similar pattern of usage, as coronavirus infections spread.
Then there’s the widespread use of face masks among the ordinary population, whether or not they’ve been instructed to do so by the authorities.
More than half a million staff working on public transport in China have been told to use masks
There are reports that some shops, businesses and other public premises have told people to use masks if they want to enter
It’s also important to say that culturally, it’s quite common for people in China to wear face masks, both as general protection and if they feel they are getting ill.
So, although we can’t know overall numbers of masks needed, it’s clear there’s already a huge demand which is only going to increase across China, particularly as people head back to work in mid-February after the New Year holiday.
How many is China producing?
Under normal circumstances, China produces around twenty millions masks each day. That’s estimated to be around half of all masks made globally.
However, Chinese production has currently been cut to around 10 million, both because of the New Year holiday as well as the impact of the virus itself.
That’s clearly not sufficient to meet even the current demand in China.
In addition, it’s the higher-quality masks which are most effective, and most needed.
One type, known as the N95 respirator, is designed to filter at least 95% of airborne particles, and is more effective than an ordinary surgical or medical mask, which also needs to be changed more frequently.
China currently produces each day around 600,000 of these high-quality masks, according to figures from the Ministry of Industry.
One province, Zhejiang, reported on 27 January that they needed a million of these masks each day, and other provinces have said they are only just able to meet demand for these high-quality masks.
In addition, hospitals don’t have large stockpiles of these masks – in most cases, only enough to last two weeks.
Across China, there have been reports of shortages and soaring prices, as people have rushed to buy masks.
To give an idea of this demand, the Chinese online shopping site Taobao says than in just two days in January, they sold more than 80 million masks.
Can China get masks from abroad?
China bought 220 million face masks between 24 January and 2 February, with South Korea one of the countries supplying them.
Since the beginning of February, the authorities have also removed tariffs and duties on imported medical supplies.
The US firm, 3M, which is a major producer of high-quality face masks, says the company is increasing production to meet global demand.
The UK-based Cambridge Mask Company, which makes high-quality respirator masks, says it has faced unprecedented demand, and has completely sold out.
Image copyright GETTY IMAGESImage caption A pharmacy in Singapore: Supplies have been bought up in countries outside China
Some countries, such as Taiwan and India, have banned the export of protective clothing such as face masks.
Taiwan says it wants to prioritise the protection of its own citizens, and has announced a rationing system for buying face masks.
There have also been reports of shortages in countries outside China because of panic buying, as fears grow about the global spread of the coronavirus.
Li Keqiang tells senior officials to step up efforts to channel water from Yangtze River to arid regions
Impact of pollution and rising population has prompted increased efforts to improve efficiency and supply
A cement plant on the banks of the Yangtze in Chongqing. The authorities are now trying to stop further development along the river. Photo: Reuters
China needs to divert more water to its arid northern regions and invest more in water infrastructure as shortages get worse because of pollution, overexploitation and rising population levels, Premier Li Keqiang has said.
China’s per capita water supplies are around a quarter of the global average. With demand still rising, the government has sought to make more of scarce supplies by rehabilitating contaminated sources and improving efficiency.
Water remained one of China’s major growth bottlenecks, and persistent droughts this year underlined the need to build new infrastructure, Li told a meeting of senior Communist Party officials on Monday. An account of the meeting was published by China’s official government website.
Local government bonds should be “tilted” in the direction of water infrastructure, he said, and innovative financing tools were also needed.
He also called for research into new pricing policies to encourage conservation.
Li said China’s water supply problems had been improved considerably as a result of the South-North Water Diversion Project, a plan to divert billions of cubic metres of water to the north by building channels connecting the Yangtze and Yellow rivers.
World ‘woefully unprepared’ for climate change’s effects on drinking water supplies drawn from mountains
He said opening up more channels to deliver water to regions north of the Yangtze River Delta would support economic and social development and optimise China’s national development strategy, according to a summary of the meeting on the government website.
China is in the middle of a wide-reaching programme to clean up the Yangtze River, its biggest waterway, and put an end to major development along its banks.
Chinese Premier Li Keqiang inspects an empty reservoir during a visit to Jiangxi province last week. Photo: Xinhua
Local governments have been under pressure to dismantle dams, relocate factories and even ban fishing and farming in ecologically fragile regions.
But experts say the ongoing campaign to divert the course of the Yangtze to other regions is still causing long-term damage to the river’s environmental health.
Many cities that had polluted their own water sources had drawn replacement supplies from the Yangtze, exceeding the river’s environmental capacity, said Ma Jun, founder of the Institute of Public and Environmental Affairs, which monitors water pollution.
Beijing already relied on diversion channels from the Yangtze to supply 70 per cent of its water, but had done little to improve conservation or reduce per capita consumption, which was higher than many Western countries, he said.
“[Diversion] has caused so much suffering and needs so many dams to keep up supply, and that has impacted biodiversity,” he said.
CHINDIA ALERT: You'll be living in their world, very soon 