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Weekly Report 4|70 4.30.22-5.6.22
Highlights
The Politburo Standing Committee held a meeting on 5 May to analyze the current situation of the pandemic and to “study and implement the key tasks of pandemic prevention and control.” Xi Jinping presided and delivered a speech. (See Senior Leaders section)
Qiushi published the text of a 28 May, 2021 speech by Xi Jinping at combined national conferences of the Chinese Academy of Science, Chinese Academy of Engineering, and China Association for Science and Technology. (See Senior Leaders section)
People’s Daily published three Commentator Articles on the topic of “doing current economic work well,” focusing on different aspects of Xi Jinping’s 29 April remarks to the Politburo’s meeting on economic issues. (See Propaganda Work section)
Senior Leaders
Xi Jinping: Standardize According to Law and Guide the Healthy Development of National Capital, Develop Capital’s Active Use As an Important Productive Factor
4.29 Xi Jinping attended the 38th Politburo Collective Study Session and gave a speech in which he emphasized that capital is an important productive factor in the socialist market economy. He stated that standardizing and guiding capital development under socialist market economic conditions is a major economic, political, practical, and theoretical issue which concerns upholding the basic socialist economic system, the basic national policy of reform and opening, high quality development, common prosperity (共同富裕), national security, and social stability. Xi said that the Politburo must deepen its understanding of the many uses of China’s capital “under the conditions of the new era.” Xi discussed the history of the Party’s theory on capital, particularly the Reform-era recognition of capital as an important productive factor, tool for market resource allocation, and means of developing the economy that could be used to advance socioeconomic development in socialist countries. He noted economic policies and reforms since the 18th Party Congress, such as giving full play to both market allocation and the government’s role, reducing financial risks, opposing monopolies, and persisting in external opening. Xi stressed that the positive contributions of capital to the prosperous development of the socialist market economy since reform and opening should be fully affirmed. He also emphasized persisting in the Party’s leadership and the socialist economic system; maintaining the correct political orientation; having a far-sighted, holistic, and balanced approach to relevant planning; paying attention to the vitality of all types of capital including private capital; developing capital’s use for technological progress, prosperity of the market economy, improvements in the people’s lives, and international competitiveness; always serving and obeying the people and national interest; and contributing to “comprehensively building a modern socialist country and realizing the great rejuvenation of the Chinese nation.”
After this introduction of the topic, Xi called for strengthening theoretical research on capital under the conditions of the new era; having a “historical, developmental, and dialectical” awareness and grasp of the many types and uses of China’s capital; “properly handling” the issue of the allocation of capital and benefits; deepening reform of capital markets; standardizing and guiding capital development; fully upgrading the effectiveness of capital governance; and maintaining strict anti-corruption efforts in the field. He stated that standardizing and guiding capital development should be recognized as “important content of the Party’s leadership of economic work,” and that all Party committees and groups should unite their ideology and action around the Central Committee’s strategic decisions and deployments, take on practical responsibility, upgrade capital governance skills, strengthen policy propagation and guidance, and be wary of systemic risk.
Xi Jinping: Accelerate the Construction of a Major Science and Technology Country, Realize a High Level of Self-Reliance in Science and Technology
4.30 Qiushi published the text of a 28 May, 2021 speech by Xi Jinping at combined national conferences of the Chinese Academy of Science, Chinese Academy of Engineering, and China Association for Science and Technology. In his speech, Xi first emphasized the Party’s high regard for science and its strategic importance, saying that the Party’s comprehensive leadership created a model of effective organization, mobilization, planning, and resource allocation in the sciences. Xi then listed areas of significant scientific progress in the past several years, including foundational research and original innovations, strategic high-tech, high-end industry, pandemic prevention and control, the people’s livelihoods (encompassing both medical, anti-poverty, and environmental issues), and innovation for national defense. Xi provided examples of noteworthy accomplishments in each area, saying such achievements proved independent Chinese innovative projects and workers in science and technology have a bright future ahead. Xi then discussed the influence of increased instability amid changes unseen in a century (百年未有之大变局) like the pandemic and complex global environment; noted “undercurrents” of antiglobalization, unilateralism, and protectionism; and called for “ideological and work preparations” to face the above factors and intensified international strategic competition in science and technology. Xi warned that despite accomplishments in developing the field as a whole, China’s capabilities for original innovation were insufficient, citing shortfalls including ineffectiveness in the innovation system, incomplete integration of resources, and suboptimal composition of talent.
Xi then called for the following improvements: 1. “Strengthen tackling the strategic pass of innovation and leading areas of science and technology, resolutely win the tough battle for critical core technologies; 2. Strengthen the power of national strategic science and technology, promote the effectiveness of the complete national innovation system; 3. Advance reform to the system of science and technology, form a systemic foundation to support comprehensive innovation; 4. Construct an open ecosystem for innovation, participate in global governance of science and technology; and 5. Stimulate the innovative energies of all types of talent, construct a highland for global talent (全球人才高地).” Xi then stressed the importance of the Chinese Academy of Science and Academy of Engineering as the nation’s highest scientific institutions and a national strategic force in science and technology, calling for them to play a leading role and increasingly advise and serve national policy. He also noted the importance of the China Association for Science and Technology as a link between the Party-state and workers in the field of science and technology and a means for improving the field. Finally, Xi expressed his hopes that the scholars in attendance would serve as models of patriotism and service to the people, of pursuing truth and “bravely scaling summits,” of scholarly ethics and rigor, and of supporting and promoting the next generation of scientists.
Sun Chunlan: Continue to Storm the Fortifications [and] Expand the Results of War; Achieve Dynamic Zero in One Go
5.2 Politburo Member and State Council Vice Premier Sun Chunlan (孙春兰) led a working group to investigate and guide epidemic prevention and control work in Shanghai from 2 April to 1 May. The working group took the promotion of “dynamic zero” (动态清零) as an “unswerving goal”; embodied “unified thinking and understanding” in all aspects of prevention and control work; coordinated the epidemic response and ensured the operation of the city’s core functions; and “mobilized the power of 2.38 million nucleic acid test tubes from across the country, more than 30,000 medical personnel and critical care experts from 22 provinces, and military medical teams consisting of more than 5,000 personnel to fully support Shanghai’s epidemic response work.” A total of 399,000 positive cases were detected in Shanghai, and so to accelerate the promotion of “dynamic zero,” the working group focused on transmission (转运) and management (管理), urgently promoted the “four shoulds and four extents” (四应四尽: [we] should treat, test, admit, and investigate [cases] to the [greatest] extent), and strictly implemented closed-loop management to break the chain of transmission and “pull the nails” (拔钉子, remove obstacles to progress). Sun pointed out that the epidemic prevention and control in Shanghai is in a “critical period when there is no advance nor retreat,” and so she stressed actions including paying close attention to the goal of “dynamic zero,” adhering to the “four concentrations” (四集中: concentrate patients, concentrate experts, concentrate resources, concentrate critical care), blocking “running and leaking [infections]” (跑冒滴漏), eliminating hidden risks, strictly managing personnel leaving Shanghai, and preventing infection spillover to surrounding regions.
Politburo Member and Shanghai Municipal Party Committee Secretary Li Qiang (李强) also attended relevant activities.
CCP Politburo Standing Committee Holds Meeting to Analyze the Current Situation of COVID-19 Pandemic Prevention Control, and to Study, Deploy, and Firmly Grasp the Key Points of Pandemic Prevention and Control; Xi Jinping Presides
5.5 The Politburo Standing Committee held a meeting on 5 May to analyze the current situation of the pandemic and to “study and implement the key tasks of pandemic prevention and control.” Xi Jinping presided and delivered a speech. The meeting pointed out that since the outbreak of the pandemic, China has adhered to the strategy of “protecting against imported cases and domestic resurgences” (外防输入、内防反弹) and policy of “dynamic zero” (动态清零), which has led to major strategic achievements in prevention and control of the pandemic. It also stated that China has “withstood the most severe prevention and control test since the battle to safeguard Wuhan, obtaining phased results,” and stressed that national pandemic prevention and control policy was “determined by the Party’s nature and objectives” (性质和宗旨). It stated that after winning the battle in Wuhan, China “is certainly capable of winning the battle to safeguard Shanghai.” The meeting also noted the continued threat of the pandemic globally and domestically, and domestic vulnerabilities that mean slackening prevention and control would create a large-scale outbreak with a severe impact. It emphasized the importance of “unswervingly adher[ing] to the general policy of ‘dynamic zero’ and firmly struggl[ing] against all words and deeds that distort, [cast] doubt [on], and reject [China’s] pandemic prevention guidelines and policies.” It called on Party committees and governments at all levels to carry out the decisions of the CCP Central Committee and “consolidate the hard-won achievements of pandemic prevention and control,” among other things. The meeting emphasized that “it is necessary to speed up the handling of local clusters of the pandemic,” which includes coordinating key tasks like nucleic acid testing, epidemiological investigation, and community management and control. It highlighted the importance of carrying out pandemic prevention and control measures while simultaneously ensuring that the masses’ basic needs are met. The meeting also mentioned the need to provide more information, respond to the public’s concerns, and guide a stronger sense of responsibility and self-protection in the masses, as well as the need to “advance the strengthening of immunization work and build a strong line of defense for mass prevention and mass control.”
Propaganda Work
Commentator Article Series: On Doing Current Economic Work Well
4.30-5.2 People’s Daily published three Commentator Articles on the topic of “doing current economic work well,” focusing on different aspects of Xi Jinping’s 29 April remarks to the Politburo’s meeting on economic issues.
The first Commentator Article, “Our Nation’s Economic Operation Has Had A Stable Overall Start,” said that “under the leadership of the Central Committee with Xi Jinping at the core,” all areas and departments strongly and holistically planned both anti-pandemic measures and socioeconomic development, the 2022 Beijing Winter Olympics and Paralympics were held successfully, and the economy had a stable start for the year, with macroeconomic targets remaining in a “reasonable interval” and GDP growth for the first quarter exceeding forecasts. The Commentator Article noted the Party’s planning for both domestic and international situations and stressed the value of economic stability, saying that the fundamentals of China’s economic advantages and conditions remained unchanged. In light of risks and difficulties caused by the pandemic and the Ukraine crisis, it emphasized planning for both pandemic prevention and control and socioeconomic development, expressing confidence in the Chinese economy’s resilience and the country’s “dynamic zero” (动态清零) COVID-19 policy.
The second Commentator Article was titled “The Pandemic Must be Controlled, The Economy Must be Stabilized, Development Must be Secure,” quoting Xi’s remarks. It discussed the significance, current situation, and policy goals for these three areas. Regarding the pandemic, the Commentator Article said that the pandemic remained extremely serious, stressed persisting in current policies, and called for improved pandemic prevention and control measures to address the distinct characteristics of the omicron variant, such as increased infectiousness and a higher proportion of asymptomatic cases. Regarding the economy, it focused on implementing the Central Committee’s policies of “seeking progress while maintaining stability” (稳中求进); continued implementation and improvement of economic policies such as expanding demand, making use of investment, and ensuring logistics and the supply chain; and realizing annual targets for socioeconomic development. Regarding development and security, it called for a stronger awareness of risk and opportunity, such as more deeply considering forecasts of difficulty, addressing gaps in policy, and improving the quality, effectiveness, fairness, and sustainability of policy. It discussed specific sectors of concern, like the housing market and platform economy.
The third Commentator Article, “Persist in Handling [Our] Own Affairs Well,” cited Xi Jinping’s remarks that, “No matter how the international weather shifts, we shall unswervingly do well in our own affairs, unceasingly make a strong economic foundation, strengthen capabilities for scientific and technological innovation, [and] upgrade comprehensive national power (国力).” The Commentator Article stated that in spite of risks, challenges, and a complex environment for development, “the great ship of China is bound to weather the waves and smoothly sail far” so long as the country maintains confidence, tackles thorny issues, handles its own affairs well, and ensures the implementation of the Central Committee’s overall policies. The Commentator Article explained that managing China’s own affairs well involves “deeply understanding and properly grasping the overall key tone for work of seeking progress while maintaining stability, fully implementing the new development concept and accelerating the construction of a new development structure, [and] comprehensively deepening reform.”
Zhong Sheng: Passing the Buck and Shifting Blame Will Not Solve US Inflation Problem
5.6 A Zhong Sheng (钟声) commentary declared that multiple rounds of aggressive stimulus policies, insufficient prediction of the severity of the problem, and continuation of the “wrong trade policy toward China” are the “root causes of the high inflation rate in the United States.” The commentary then pointed out that economic recovery around the world has suffered due to the pandemic and the Russia-Ukraine conflict, and that it will require the cooperation of the international community to “get out of this difficult period.” It accused “some people in the United States” of “passing the buck” (甩锅) by criticizing China’s pandemic and not “reflect[ing] on their own responsibilities,” while still clamoring for decoupling with China. The commentary stated that this will not solve the United States’ economic problems, nor help the international community “tide over the difficulties together.” The commentary placed the blame of the highest US inflation in 40 years on “multiple rounds of historically unprecedented large-scale easing of fiscal and monetary policies,” and claimed that the US’ “transitory inflation theory” (通胀暂时论) led to missteps; in addition, “extreme” sanctions on Russia caused a “huge impact” on the global economy, further driving up prices. The article continued to excoriate current US policy toward China, calling it a “policy failure” and stating that US consumers are paying higher prices as a result of “erroneous China policy” and “high tariffs” on Chinese goods.
The article then praised China’s “dynamic zero” policies, claiming that China is “truly responsible towards the world economy by preventing the epidemic and stabilizing the economy,” while some US politicians have tried to “impose the ‘disrupting global supply chains’ (扰乱全球供应链) charge on China.” The commentary noted that downward pressure on China’s economy has increased recently, but China is “fully capable and qualified” to overcome difficulties and “provide strong momentum for the stabilization and recovery of the world economy.” The article quoted the International Monetary Fund Managing Director Kristalina Georgieva as saying that the Chinese government has “sufficient policy space” to deal with downward pressure and is capable of boosting the Chinese economy. It then quoted statistics showing increased year-on-year import and export of goods this quarter as well as increased year-on-year actual use of foreign capital to demonstrate “China’s positive contribution to stabilizing the global industrial and supply chains.” The commentary then criticized the US’ “sharp turn” (急转弯) in monetary policy, claiming that it will “undoubtedly bring serious challenges” to global economic and financial stability, and “developing countries will bear the brunt.” The article again quoted the International Monetary Fund as saying that US Federal Reserve’s tightening of monetary policy could lead to capital outflows and currency depreciation from emerging economies. It cited “international opinion” as being concerned that this could potentially lead to “another shock to the world economy and financial markets.” The commentary called for the US to “strengthen communication and coordination with all parties” to reduce the negative spillover effects of its economic policies, instead of “passing the buck.” Lastly, the article called for major countries to “demonstrate their responsibilities” to promote global economic recovery and inclusive, sustainable development, and declared that China “insists on handling its own affairs well,” “joins hands with all parties” to build an open world economy, and “maintains the stability of the global industrial and supply chains.”
Central Military Commission
Activities to Propagate and Implement Policies and Regulations on Military Procurement Industry Launched
5.6 The Logistic Support Department of the Central Military Commission launched a national activity campaign on preventing issues with military procurement and standardizing the procurement process. The activities will be carried out from April to the end of the year, and will ensure implementation and address unclear aspects of recent regulations regarding the military procurement process, including requirements, evaluation, contract management, emergency purchases, and reforms for optimization. The activities will focus on various entities responsible for the procurement chain, including Party committee leaders, requesting departments, and the procurement industry. Logistical departments will explain and coordinate key aspects of procurement work to Party committees, with the aim of standardizing and improving the procurement decision system. To ensure the effectiveness of the activities, “relevant departments” will provide resources such as training, lectures, online materials, and handbooks.
United Front Work
All Levels of Communist Youth League Chapters Launch Widespread Themed Educational and Practical Activities
5.4 Prior to the centennial of the Communist Youth League (CYL), its central committee launched activities for all CYL chapters on the theme, “Welcome the 20th Party Congress, Forever Walk With the Party, Bravely Advance on the New Voyage.” The activities aim to educate youth and “arm the entire CYL with the results of the Party’s innovative theory”; “promote the normalization and long-term effectiveness of party history and study,” as well as the history of China’s youth movement under Party leadership; and combine themed education with practical activities, mobilizing youth to be dedicated to society and serve the people. Sample activities from various chapters across the country include organizing online lecture activities for Young Pioneers; preparing interactive digital activities and in-person events to commemorate martyrs; and volunteering for pandemic control, ecological, and anti-poverty activities. Additionally, CYL chapters will carry out activities to meet the needs of youth and peers, such as volunteering on locked-down college campuses or organizing job fairs.
International Liaison Work
5.5 CCP International Department Assistant Head Zhu Rui (朱锐) held a video call with the chair of Tunisia’s Free Constitutional Party, Abir Moussi.