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  • David Gitter, Julia Bowie, Brock Erdahl, Sandy Lu

Weekly Report 2|33 6.8.2019-6.14.2019

Senior Leaders

Central Committee and State Council General Offices Publish Opinion on Further Promoting the “Scientist Spirit”

6.12 The CCP Central Committee and State Council General Offices recently released an opinion on further promoting the spirit of scientists and “reinforcing work style and study style building” (关于进一步弘扬科学家精神加强作风和学风建设的意见) as well as a notification requiring all regions and departments to conscientiously implement the opinion.

The opinion required science and technology workers to “fight to become creators of major scientific research accomplishments, contributors to building a great science and technology power, a practitioner of sublime thought and high [moral] character, and a leader in guiding favorable social trends.” It set the goal as comprehensively implementing the measures to improve work and study style within a year and showing substantial improvement within 3 years.

The opinion explained the requirements in detail and urged scientists to respect “academic democracy” and to be honest in their research. It also required party committees and governments at all levels to reinforce their leadership over science and technology work.

People’s Daily further publicized the opinion with a commentator article.

Xi Jinping Attends Meeting of the Shanghai Cooperation Organization’s Council of Heads of State

6.14 Xi Jinping attended the 19th meeting of the Shanghai Cooperation Organization’s (SCO) Council of Heads of State, where he delivered an “important speech” on the “Shanghai spirit,” “working together to build a community of common destiny” and “creating a better future for the SCO.”

He outlined four points for how member states can work together to model international cooperation as envisioned by China. Member states can make the SCO:

  1. “A model of solidarity and mutual trust” by adhering to the “Shanghai spirit,” abiding by the principles of the SCO charter, and enhancing mutual political trust and the convergence of interests.

  2. “A model of common security” by upholding the “common, comprehensive, cooperative, and sustainable security concept,” combating the “three evil forces,” and playing a constructive role in Afghanistan.

  3. “A model of mutual benefit and win-win” by building an open world economy and working together through the Belt and Road Initiative.

  4. “A model of inclusiveness and mutual learning” by abandoning the “clash of civilizations” theory and deepening cooperation in the fields of culture, education, tourism, sports, media, and local affairs.

In the face of international challenges, Xi said, member states must “demonstrate their international responsibility,” “safeguard the international system with the UN as the core,” and promote multilateralism and free trade.


Propaganda Work

Xi Jinping: Fuzhou Ancient House Preface (On Protecting China's Cultural Heritage)

People’s Daily

6.8 On the occasion of Chinese Cultural and National Heritage Day, People’s Daily republished a preface Xi Jinping wrote in 2002 while he was governor of Fujian, for a book published by Fujian People’s Publishing House called Fuzhou Ancient House (福州古厝). The preface discusses the importance of protecting cultural heritage, ancient buildings, traditional neighborhoods, cultural relics, and famous cities.

A commentator article that further dissects the preface said that since the 18th Party Congress, the Central Committee with Xi Jinping at the core has attached great importance to the protection of cultural and natural heritage, which is fundamental to promoting Chinese traditional culture and enhancing civilizational self-confidence, “inevitably producing far-reaching influence.” The article concluded that achieving the China Dream of the great rejuvenation of the Chinese nation requires “the development and prosperity of Chinese traditional culture” and “the aggregation of deep cultural power.”

Continuing Zhong Sheng Series - Clearly Seeing the True Colors of US Politicians

6.8-6.12 People’s Daily continued its Zhong Sheng series on the US-China trade war from last week, which focuses on exposing the hypocrisy and deleterious beliefs promoted by US politicians.

The fifth article accused some US politicians of believing that “there are only interests, no rules.” It argued that the US government “has seriously broken the rules of a fair, open, and cooperative market economy” in an effort to “maintain the US’ scientific and technological hegemony” as a result before warning that “by behaving this way, the US not only will be unable to realize ‘America First’ but will also produce the opposite of the desired result.”

The sixth article accused some US politicians of “completely disregarding the laws of economics and completely cutting themselves off from the basic facts that China-US trade structure is highly complementary and [the two nations’] interests are deeply intermixed.” After declaring these politicians have responded to the “strong opposition” of the US public to tariffs and other economic measures with a “short-term pain, long-term gain” argument, it cautioned that “the short term will certainly be painful and the long term will not necessarily bring gains.”

The seventh article accused some US politicians of “taking the so-called spirit of honoring one’s contractual obligations as a guiding principle” in word and pursuing “aloof and arrogant behavior” that is “incompatible” with this spirit in deed. It added that these politicians “are doing shady deals that break faith and abandon what is right without any qualms for their own selfish interests” before paraphrasing President of the European Council Donald Tusk as saying that “‘looking at the US’ decision to go back on its word and not abide by agreements, one will inevitably wonder: With friends like this, who needs enemies?’”

The eighth article accused some US politicians of having “personally abandoned previously self-proclaimed international morality.” This, it argued, has not only “let the people of the world clearly see what forsaking principle for profit and breaking faith look like” but also allowed them to “clearly see the truth about so-called US morality: What conforms to US interests is ‘moral,’ and what does not contribute to the realization of ‘America First’ is ‘immoral.’” It asserted that “the US, as a global power, should start assuming its proper responsibilities.”

The ninth article accused some US politicians of seeing “the world stage as America’s one-man show and international rules as a marionette in their hands.” It also charged these politicians with “endlessly searching for and creating enemies” even though “the US’ true enemy is not other people but its own arrogant and prejudiced self that is recklessly pursuing unilateralism.” It warned US politicians that they “have overestimated themselves, underestimated others, and failed to clearly see the broad and powerful trends of the times.”

Central Committee Issues Notification on Study Outline for Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era

6.9 The Central Committee issued a notification on a study outline for Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era.

The outline, which was compiled by the Central Propaganda Department, is meant to provide a “comprehensive and systematic explanation of Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era” and “promote the better understanding of this thought’s basic spirit, content, and requirements.”

The notification called on Party committees and leadership groups at all levels to “organize all Party members to conscientiously read the original work, study the original text, and understand the original principles as well as closely link [the outline] to ‘Remain True to Our Original Aspiration, Keep the Mission Firmly in Mind’-themed education.”

PD Commentator: Walk the Path of Fine Governance for Rural Areas

6.9 People’s Daily published a commentator article to emphasize the importance of rural governance. The article stated that “rural governance is an important component of the national governance system” and that “effective governance is an important guarantee for the vitalization of the rural areas.”

The article used the successful example of the Yu village in Anji county, Zhejiang, to highlight the need to “strengthen the leadership role of grassroots Party organizations in rural areas” and “improve a rural governance system that combines autonomy, rule of law, and rule by virtue.” At the end, the article stressed that “agriculture must be strong for China to be strong; rural villages must be beautiful for China to be beautiful; farmers must be rich for China to be rich.”

Wu Yuehe: Against the General Trend, It is Impossible to Win the Hearts of the People

6.10 People’s Daily published a commentary arguing that the United States’ high tariffs and restrictive trade policies toward China run counter to US public opinion. The article claims that, despite proclamations in US policymaking circles that businesses are moving from China back to the US to avoid high tariffs, opinion polls and social media commentary indicate that American people oppose the tariffs.

It argues that the will of the people must be central to government policy, as the people are the main participants and beneficiaries of US-China cooperation; this was demonstrated in the recent 150th anniversary of the Golden Spike, which connected the Central Pacific and Union Pacific railroads and was built through joint effort by American and Chinese laborers.

US Secretary of Treasury Steven Mnuchin’s insistence on both tariffs and the original conditions of US-China trade negotiations at the G20 Finance Ministers and Central Bank Governors Meeting demonstrates that America “still does not understand what is sincerity, equal treatment, and mutual respect.” Economic globalization will continue, the article says, and “those who oppose the general trend will be abandoned by the times.”

Xi Jinping Publishes Signed Article in Kyrgyz Media

6.11 Ahead of his state visit to Kyrgyzstan, Xi Jinping published a signed article in the Slovo Kyrgyzstana newspaper and the Kabar News Agency, titled “May China-Kyrgyzstan Friendship Thrive Like an Evergreen Tree.”

In the article, Xi praised that China-Kyrgyzstan relationship had grown from “a strategic partnership” to “a comprehensive strategic partnership” within 6 years. He emphasized the “long tradition of friendship” between China and Kyrgyzstan and used Zhang Qian’s diplomatic visit to the west 2,000 years ago and how Li Bai’s poems are well-liked in both countries as examples.

He characterized the China-Kyrgyzstan relationship as having “strong mutual political trust,” “deep results-oriented cooperation,” and “close people-to-people exchanges.” Xi expressed hope to “work with President Jeenbekov to draw up an ambitious blueprint for China-Kyrgyzstan comprehensive strategic partnership,” “enhance strategic trust...deepen Belt and Road cooperation...strengthen security cooperation...expand people-to-people exchanges… (and) step up international cooperation with Kyrgyzstan.”

Xi’s article is available in English.

Wu Yuehe: There Will Inevitably be a Cost to the “Game” of Tariffs

6.12 People’s Daily published a commentary accusing US policy makers of overzealousness in levying tariffs to force other countries to capitulate to US demands, and comparing this “game” of tariffs to gunboat diplomacy. As an example, it mentioned Washington’s recent threat of tariffs on Mexico to compel Mexico to agree to stem the flow of Central American migrants. Less than two days after reaching this agreement, US Secretary of State Mike Pompeo stated that if Mexico does not make sufficient progress in stopping illegal immigration, the US may still impose tariffs. The article quoted former WTO director general Pascal Lamy, who called this approach “hostage-taking” and criticized it for violating WTO regulations.

The article warned of the dangerous consequences of such economic policies, noting that after the US’s policy of high tariffs in the late 1920s, the US and world economy were hit by the Great Depression, and the post-WWII international system was established partly to prevent a recurrence of this tragedy. Yet some American politicians now view tariffs as a “panacea, even a ‘drug addiction,’” it claims, and cannot see the chaos and damage the US economy is already experiencing as a result. “Their violation of the economic rules and inability to clearly see global development trends, will ultimately incur a heavy cost.”

Guo Jiping: The Great Trends of the World Cannot Be Stopped

6.14 People’s Daily used the pen name “Guo Jiping” (国纪平), which stands for “important commentary related to international affairs” (有关国际的重要评论), to publish the first part of a series on “the dangers of some American strategic misconceptions.”

The commentary argued that “since taking office, the current US administration has repeatedly stirred up trade tensions and even gone against trends in many areas, such as diplomacy, science and technology, and military affairs.” It added that such actions “expose deep-seated and dangerous strategic misconceptions,” with the “most fundamental” being “going against the trend of economic globalization.”

After asserting that “history has already proven and will continue to prove the trend of economic globalization cannot be stopped,” the commentary claimed that the US’ decision to play “the leading role in brandishing the big stick of protectionism” is “shocking.” It answered the self-posed question “Has the US really suffered losses?” with “The US is the biggest beneficiary of economic globalization. A trade deficit is not at all equal to an ‘interests deficit.’”

The commentary noted the importance of common development, another “unstoppable trend,” to “sustaining prosperity” and “responding to common challenges” before arguing some Americans “are stuck in the dead end of the ‘law of the jungle.’” These Americans, it claimed, have a “superstitious belief in the ‘omnipotence of tariffs as weapons,’” which is mistaken as tariffs are a “double-edged sword.” It concluded that some Americans “have clearly miscalculated, choosing the wrong opponent at the wrong time. Nothing can stop the progress of the Chinese people in realizing their dreams.”


United Front Work

You Quan Leads a CCP Delegation to Ireland International Department

6.5-6.7 United Front Work Department Head You Quan led a CCP delegation to Ireland, where he met with Irish chairperson of Dáil Éireann Seán Ó Fearghaíl, Deputy Prime Minister and Minister for Foreign Affairs and Trade Simon Coveney, among others. You Quan lauded the historically close and friendly China-Ireland relationship, which is now in its 40th year, and said China was willing to deepen cooperation with Ireland in trade, investment, infrastructure construction, agriculture, energy conservation and environmental protection. He emphasized the importance of strengthening inter-party and personnel exchanges.

Ó Fearghaíl said he appreciates China’s accomplishments since the 18th Party Congress, especially in poverty alleviation, and is willing to maintain close high-level exchanges with China and deepen cooperation in economic and trade relations, education and tourism.

Wang Yang Attends Consultation Symposium on “Innovation-Driven and -Led High-Quality Development”

6.10 Politburo Standing Committee Member Wang Yang attended a conference in Beijing with representatives of democratic parties, the All-China Federation of Industry and Commerce (ACFIC), and other non-party groups to discuss their research on the theme, “innovation-driven and -led high-quality development.”

The China Democratic League Central Committee recommended strengthening top-level planning, improving organizational mechanisms, increasing policy support, and strengthening the talent base in order to deepen the integration of the digital and real economy and promote middle- and high-end manufacturing.

The China National Democratic Construction Association Central Committee focused on integrating advanced manufacturing and modern service industries, and to this end recommended increasing policy support, strengthening the building and sharing of technological innovation platforms, and supporting talent.

The China Zhi Gong Party Central Committee suggested increasing Belt and Road innovation cooperation, exploring new modes of scientific cooperation and deepening international cooperation in industry.

ACFIC proposed encouraging private enterprises to better play their role in innovating core technologies in key areas.

Panchen Lama’s First Visit Abroad: “By Going Abroad One Can More Deeply Understand the Motherland’s Greatness”

6.10 China News reported on their interview with Chinese Panchen Lama Chökyi Gyalpo, who recently returned from a trip to Thailand, his first ever trip outside China. During his trip, he gave a speech at Chulalongkorn University, in which he spoke about the friendship between China and Thailand and the role of Buddhism in facilitating cultural exchanges.

The Panchen Lama said in an interview that the trip made him “feel the greatness of the motherland and the profound cultural heritage of the Chinese people,” and expressed gratitude to the CCP for leading China to greatness and prosperity. The article also reported that when he saw the Buddha’s compassion promoting social harmony in Thailand, the Panchen Lama stressed his role and responsibility to guide Chinese and especially Tibetan Buddhism to “better and more quickly adapt to socialist society with Chinese characteristics, continuously adhere to the sinicization of Tibetan Buddhism, maximize the positive role of religion, and contribute to safeguarding the motherland’s reunification and national unity.”

Wang Yang Presides over Second Collective Study Session of CPPCC National Committee Party Leadership Group

6.12 The theoretical study group of the 13th Chinese People’s Political Consultative Conference (CPPCC) National Committee’s Party Leadership Group held its second collective study session of 2019, focusing on the theme of united front work in Xi Jinping Thought on Socialism with Chinese Characteristics in the New Era.

Politburo Standing Committee member and CPPCC National Committee Chairman Wang Yang presided over the meeting. Wang said in a speech that the meeting’s purpose was to study Xi Jinping thought on united front work and to develop the “Remain True to Our Original Aspiration, Keep the Mission Firmly in Mind” education campaign.

Wang stressed that united front work was the CPPCC’s fundamental function, and that doing it well required upholding the leadership of the Party, arming the cadres with Xi Jinping Thought on Socialism with Chinese Characteristics, educating and bringing together all Party organizations and representatives, and continuously improving political, ideological, theoretical and emotional identification with the CCP and socialism with Chinese characteristics. He also emphasized the need to “correctly handle the relationship between consistency and diversity,” to respect differences while sticking to the “political bottom line” in order to reach a consensus, and to use the advantages of consultative democracy to govern effectively.


Party Discipline

CCDI and NSC Organs Release Opinion to Demand Improvement of Party Building Quality

6.11 The Central Commission for Discipline Inspection (CCDI) and National Supervisory Commission (NSC) jointly released an opinion on the implementation of the CCP Central Committee’s opinion on strengthening and improving party building in central and state organs.

The CCDI and NSC’s opinion pointed out that “the CCDI and NSC are the Party’s political institutions and the institutions that are responsible for the Party’s internal supervision and national supervision.” It stressed that understanding and implementing Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era must be treated as the “primary political task.” Besides emphasizing their supervision duties, the opinion urged CCDI and NSC organs to set an example to fight against the “Four Forms” (四风) of formalism, bureaucratism, hedonism, and extravagance.


Comprehensively Deepening Reform

PBOC: Targeted Liquidity Support Will Be Provided to Small and Medium Banks

6.10 The People’s Bank of China (PBOC) announced that the Financial Committee Office (金融委办公室) held a meeting on studying and maintaining interbank market stability. At the meetings, participating banks reported that despite recent fluctuations, the interbank market conditions have clearly improved and that the scale of interbank transactions carried out by small and medium sized banks will remain stable and maintain market order. The PBOC, China Banking and Insurance Regulatory Commission (CBIRC), and the China Securities Regulatory Commission (CSRC) stressed they will continue to support the healthy development of small and medium banks, closely monitor market operations, and seriously investigate and penalize behaviors that disrupt market order. The PBOC will also implement a variety of monetary policy tools to maintain adequate market liquidity and provide targeted liquidity support to small and medium banks.

CBIRC: Small and Medium-sized Banks are Operating Smoothly and Overall Risk is Completely Controllable

6.10 On 9 June, a China Banking and Insurance Regulatory Commission (CBIRC) spokesperson posted a response to CBIRC’s website aimed at Financial Times reporters, stating that presently small and medium banks are running smoothly, liquidity is sufficient, and overall risks are fully controllable. A number of small and medium banks did not disclose their annual reports on time, but these are special cases, as many of these banks are preparing for IPO listing, restructuring equity, or have recently replaced auditors, and their annual reports will be completed as soon as possible. The spokesman stated there have been false rumors in the market, and some individuals and institutions are disrupting order. Some of these rumors and actions have violated laws and regulations. CBIRC’s financial management department has corrected these, and issued warnings and disciplined the relevant institutions and persons.

Guo Shuqing: Be Highly Alert that Relaxed Supervision Has Lead to a Shadow Banking Resurgence

6.13 PBOC Party Secretary and Chairman of CBIRC Guo Shuqing (郭树清) spoke at the 11th Lujiazui Forum (陆家嘴), where he said that China’s current financial system is operating steadily so as to comprehensively deepen reforms and promote high quality development. Guo listed several points to emphasize to that end, including improving corporate governance structure with Chinese characteristics to prevent shareholders and executives treating financial institutions like “cash machines” (提款机), changing the distribution structure of financial assets through IPOs, trusts, and other products including learning from other countries’ pension management systems.

Guo noted that due to a recent trend of international deregulation, shadow banking is resurging, and said it is important to be highly vigilant against this. Guo also mentioned the problem of funding small enterprises had alleviated, and expressed his firm belief that by deepening supply side structural reform and stimulating demand will fully offset internal and external unfavorable factors. China’s economy and financial markets will continue to be healthy and stable.


International Liaison Work

6.5-6.8 Politburo member and Guangdong Party Secretary Li Xi (李希) led a CCP delegation to India. While there, the delegation met with Minister of External Affairs Subrahmanyam Jaishankar, Bharatiya Janata Party National General Secretary Ram Madhav, Indian National Congress President Rahul Gandhi, and Chief Minister of Gujarat Vijay Rupani as well as participated in a meeting on economic exchange and trade between Guangdong and Gujarat.

6.6-6.9 At the invitation of the Liberal Democractic Party (LDP) and Komeito Party, Politburo member and Beijing Party Secretary Cai Qi (蔡奇) led a CCP delegation to Japan. While there, the delegation met with LDP Secretary-General Toshihiro Nikai, Komeito President Natsuo Yamaguchi, Komeito Secretary-General Tetsuo Saito, Tokyo Olympic and Paralympic Games Minister Shunichi Suzuki, Tokyo Governor Yuriko Koike, Nagano Governor Shuichi Abe, and Kyoto Governor Takatoshi Nishiwaki.

6.8-11 At the invitation of the Thai government, Li Xi led a CCP delegation to Thailand. While there, the delegation met with Prime Minister Prayut Chan-o-cha, Deputy Prime Minister Somkid Jatusripitak, and leaders from the Palang Pracharath Party and Pheu Thai Party as well as participated in a meeting on economic and trade cooperation and exchange between Guangdong and Thailand, met with representatives from the overseas Chinese community, and inspected Huawei Technologies (Thailand) Co., Ltd.


Organization Work

6.14 Kong Fanxin (孔繁新) was appointed deputy secretary of Potevio Group Corporation’s Party committee.

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