A WHOLE NEW WORLD Boao 2021 Aims to Reshape Growth Confidence

OPINION: XINJIANG COTTON PLOT P.31 | FEATURES: CHINA-EUROPE RAILS P.34

VOL.64 NO.15 APRIL 15, 2021 WWW.BJREVIEW.COM

A WHOLE NEW WORLD Boao 2021 aims to reshape growth confidence

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CONTENTS

EDITOR’S DESK 22 Risk Assessment FEATURES Potential economic risks in the 02 Return of the 34 Rails Rolling Out post-COVID-19 era China-Europe freight trains pick up steam Boao Forum 36 Opportunity Lab OPINION THIS WEEK Beijing FTZ offers new opportunities to 26 Understanding the CPC young entrepreneurs COVER STORY Dispelling myths about 38 When Women Pull the Purse Strings 12 Setting a New Agenda China’s ruling Party “Sheconomy” is progressively noteworthy Boao 2021 addresses the 28 Intensive Efforts to 40 A New Frame of Mind needs of a world in change Address Climate Change Mental health awareness on the rise 16 For a Shared Future Upping the ante on climate 42 Critical Makeover The BFA vision and mission commitments Medical reform offers lower drug prices go beyond Asia 30 The U.S. Propaganda 19 Silk Road for Health Warfare Against China CULTURE Belt and Road Initiative meets How claims of Uygur 46 global health governance “genocide” might stir up panic Scenes From Xinjiang Exploring the beauty and color of 20 Getting Ready to Invest 31 The Truth About the autonomous region Abroad Xinjiang Cotton

China is ready to further Ban on Xinjiang to have engage in OFDI little effect EXPAT’S EYE 48 Encountering the Palace Cats Cover Design: Cui Xiaodong The unofficial feline guards of the Palace Museum

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MEDIA PARTNER BREAKING NEWS » SCAN ME » Using a QR code reader Please recycle EDITOR’S DESK Return of the Boao Forum A News Weekly Magazine The Boao Forum for Asia (BFA) Annual tional cooperation, as well as provided Published Since 1958 Conference 2021, set to take place on an “Asian perspective” for the improve- April 18-21 in Boao, Hainan Province, ment of global governance. This in turn President: Li Yafang will center around the theme A World explains the theme of this year’s BFA Associate Editor in Chief: Li Jianguo Associate President: Yan Ying in Change: Join Hands to Strengthen edition. Global Governance and Advance Belt China was the only major world Executive Editor: Yan Wei Associate Executive Editors: Zan Jifang, Liu Yunyun, Ding Ying and Road Cooperation. economy that realized positive growth Production Director: Yao Bin This year’s BFA annual conference in 2020 despite the setbacks brought Editorial Administrators: Zeng Wenhui, Hou Beibei Assistant Executive Editor: Li Fangfang is a special one as it occurs under the on by the pandemic, and it will take Commentator: Lan Xinzhen as of yet unrelenting influence of the on a more active role with its contri- Editors: Wang Hairong, Li Nan Editorial Consultants: Sudeshna Sarkar, Madhusudan Chaubey, COVID-19 pandemic. Moreover, it is butions to global economic growth. Elsbeth van Paridon officially the world’s first major large- Consequently, this year’s BFA annual Reporters: Tang Yuankai, Wang Jun, Pan Xiaoqiao, Yuan Yuan, Ji Jing, Lu Yan, Wen Qing, Li Qing, Li Xiaoyang, Ma Miaomiao, scale international conference to take conference will include a module called Zhang Shasha, Tao Xing, Tao Zihui place mainly offline this year. This con- Explore China, discussing China’s de- Visual Director: Pamela Tobey Photo Editor: Wang Xiang ference will see dozens of leaders from velopment trends and its impact on the Photographer: Wei Yao countries and international organiza- recovery of the world economy. Art: Li Shigong Design Director: Wang Yajuan tions and former dignitaries, as well as Furthermore, this year marks the Chief Designer: Cui Xiaodong a number of prominent figures from the 20th anniversary of the forum. As a Designer: Zhao Boyu Proofreading: Ma Xin political and business circles, attending non-governmental, non-profit and open Human Resources: Zhang Yajie both online and offline. international organization convening on Legal Counsel: Yue Cheng Given the impact of the pandemic a regular basis, at a fixed location, the North America Bureau on the global economy, the primary task BFA advocates equality, mutual benefit Chief: Yu Shujun Tel/Fax: 1-201-792-0334 of this year’s BFA annual conference is and win-win cooperation. After 20 years E-mail: [email protected] to help countries build a consensus on of development, it has become one of the Africa Bureau Chief Correspondent: Ni Yanshuo development and reshape growth confi- most influential cooperation platforms in Tel: 27-71-6132053 dence for the post-pandemic era. all of Asia. E-mail: [email protected] General Editorial Office With the flow of production factors Whereas the current multilateral Tel: 86-10-68996252 disrupted, the Belt and Road coopera- cooperation mechanism is facing se- Fax: 86-10-68326628 English Edition tion has promoted economic recovery vere challenges, the BFA is bound to Tel: 86-10-68996250 across Asia and its adjacent regions, play a more crucial role in safeguarding Advertising Department Tel: 86-10-68995807 demonstrated the determination of globalization and the multilateral trade E-mail: [email protected] Asian countries to promote interna- system. BR Distribution Department Tel: 86-10-68310644 E-mail: [email protected]

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2 BEIJING REVIEW APRIL 15, 2021 http://www.bjreview.com THIS WEEK XINHUA

CITY OF THE FUTURE An aerial photo taken on April 1 shows the Xiongan Railway Station of the Beijing-Xiongan intercity railway in Xiongan New Area, Hebei Province. Xiongan celebrated its fourth anniversary that day. The new area was constructed with the intention of relieving Beijing of functions non-essential to its role as national capital and to advance the coordinated development of the Beijing-Tianjin-Hebei region. Over the past four years, Xiongan has made new breakthroughs in key areas of transportation, ecology and industry, and basic public services have continued to improve.

http://www.bjreview.com APRIL 15, 2021 BEIJING REVIEW 3 THIS WEEK SOCIETY XINHUA holiday in China, according to the Ministry of Transport. Compared with the same period last year, the figure surged 142.4 percent for the three-day holiday, which lasted from April 3 to 5 this year, it said. Airlines handled nearly 4.33 million passenger trips during the holiday, a jump of 256.4 percent year on year, the ministry estimated. Meanwhile, the passenger load factor, which measures how much of an airline’s available seating capacity is used, was estimated to be 73.4 percent, up 8.1 percentage points from a year ago. Tomb-Sweeping Day, also known as Qingming Festival, was observed on April 4 this year. It is a traditional Chinese holiday Unique Landform during which people pay tribute A view of the Lanzhou Shuimo Danxia Scenic Spot, soon to be open for tourism in Lanzhou, Gansu Province, to deceased family members. on April 5. Many also spend the holiday traveling. Poverty after being found guilty of separatism, violence, terrorism, Identification Separatist Group crimes of separatism, taking and religious extremism in the Poverty identification in China Authorities in Xinjiang Uygur bribes and several other crimes. 2003 and 2009 editions of the has been a dynamic process, Autonomous Region revealed Sawut, born in November textbooks. which helps ensure its accuracy, on April 6 that they had busted 1947 in Toksun County, Xinjiang, Under the influence of Xia Gengsheng, deputy head of a separatist criminal group in the pleaded guilty to the crimes and the textbooks, several people the national administration for educational sector. did not file an appeal against the (already convicted) participated rural vitalization, said at a press The group’s leader was verdict. in terrorist attacks in Urumqi conference on April 6. Sattar Sawut, former Director of Sawut took advantage of on July 5, 2009, and April 30, In China, identification of the the Xinjiang education depart- compiling and publishing ethnic 2014, respectively, or became poor is not a once-and-for-all ment and former head of the assessment and regular adjust- language textbooks for primary key members of a separatist region’s leading group on basic- ments are being made to make and secondary schools to split group headed by former college education curriculum reform. the results more precise, Xia said. the country, starting in 2002. He teacher Ilham Tohti, the court They incorporated ethnic sepa- Some 89.62 million people then instructed others to pick found. ratism, violence, terrorism, and were identified as poor in 2014, several people with separatist Sawut also took advantage religious extremism content into while re-examinations were views to join the textbook compi- of his government posts to minority-language textbooks. lation team. conducted between 2015 and accept bribes amounting to a These books had been in use Sawut demanded they in- 2016 to exclude those who had total of 15.05 million yuan ($2.3 for 13 years. It had grave conse- corporate content that preached been wrongly identified and million). quences, Wang Langtao, Vice ethnic separatism, violence, ter- enlist those not included initially. President of the Xinjiang regional rorism, and religious extremism Starting from 2017, adjustments higher people’s court, said at a into the textbooks to split the Increased Trips have been made every year to press conference on April 6. state. It is estimated 144.52 million improve the accuracy of the Sawut was sentenced to The investigation also domestic trips were made dur- identification process. death with a two-year reprieve found 84 texts preaching ethnic ing the Tomb-Sweeping Day Expounding on the process,

4 BEIJING REVIEW APRIL 15, 2021 http://www.bjreview.com THIS WEEK XINHUA Xia said the identification is car- illegal pollutant emissions along ried out in three ways and poor the Yangtze River. households can either report A total of 8,024 suspects their difficulties to the authorities were apprehended, and 427 themselves or seek help from criminal rings were dismantled community-level officials, who amid a three-year campaign are familiar with their situation, against illegal fishing on the for the reporting. river, which was launched last Government departments June. would also learn about the cir- cumstances of the poor through Pig Clones big data such as sudden changes Chinese scientists have com- in their medical expenditure or pleted a somatic cell cloning employment status, Xia said. experiment, successfully facilitat- ing the births of five pigs native Anti-Crime Efforts to China, which will help reduce Law enforcement targeting the threat of African swine fever illegal fishing and sand mining to pig breeding, Xinhua News along the Yangtze River will Agency reported on April 2. Practice Makes Perfect become more effective as The pigs, marked by their Students from Oymak Boarding School ride horses during an police forces along the river black hair and white feet, were equestrian class in Burqin County, Xinjiang Uygur Autonomous and customs authorities inked cloned by a scientific team in Region, on March 29. The Oymak Boarding School began to offer a cooperation agreement on Taicang City, Jiangsu Province. equestrian classes at the end of 2019. Most students are from April 1. They are currently in good herdsmen families. The effort will see the health. Yangtze River Shipping Public If an outbreak of African Security Bureau, which is in swine fever were to occur at charge of law and order along a breeding farm, it would the river’s primary stream, join- pose a risk to genetic porcine far been infected. tubes of somatic cells since last ing hands with anti-smuggling resources, therefore the bio- China reported its first case year. forces in customs departments. logical breeding technologies of the disease in August 2018 “Using somatic cells to clone They will also join police from are necessary to strengthen the in Liaoning Province. Later pigs can realize the preserva- 11 provincial-level areas along protection of such resources, outbreaks were reported across tion of 100 percent of genetic the river, the Ministry of Public said Gong Yuqing, who is a several other provinces. materials,” Wu Shenglong, a Security announced. team researcher. Gong said that the team has team member, said, adding that China has continued to in- African swine fever is be- collected ear tissue samples such cloning technologies can tensify its crackdowns on illegal lieved to infect only pigs, and no from six types of pigs native to replicate particularly good native fishing, illegal sand mining, and human or other species has thus China and cryopreserved 1,217 pigs in large numbers. XINHUA

Fun Times Macaques have fun at the Nanwan Monkey Islet in Lingshui County, Hainan Province, on April 4. Nanwan Monkey Islet is a nature reserve with over 2500 macaques.

http://www.bjreview.com APRIL 15, 2021 BEIJING REVIEW 5 THIS WEEKECONOMY

cars and Shanghai more than 4 Requiring only adjustments revenue growth will be signifi- Vehicle Ownership million. to parts of business rules, market cantly higher than the global In the first quarter of the year, products, technical systems, and average of 101 percent, making 9.66 million new motor vehicles, Boards Merged issuance and listing arrange- China one of the leading poten- including 7.5 million cars, were ments, the merger will have little tial markets. registered in China, the Ministry The Shenzhen Stock Exchange (SZSE) on April 6 merged its impact on market operations and The number of potential of Public Security said on April 6. investors’ transactions in general, cloud game users in China is According to the ministry, main board with its board the exchange said. expected to reach 60.65 million this brought the total number of of small and medium-sized According to the SZSE, fixed in 2021. motor vehicles in the country to enterprises amid efforts to unify income products, futures, and As many educational, enter- 378 million, including 287 mil- business rules and supervision options products would remain tainment and social functions of lion cars. modes. mostly unaffected, and the televisions have been activated Newly registered new-energy After 16 years of develop- Shenzhen-Hong Kong stock during the COVID-19 pandemic cars reached 466,000, account- ment, listed firms on both boards connect program would not be and the ensuing recovery period, ing for over 6 percent of total have converged in terms of affected either. interactive entertainment in living registrations. China currently has market value, performance and rooms may provide additional 5.51 million new-energy cars. trading characteristics, according opportunities for the develop- Altogether 8.39 million peo- to the exchange. Cloud Gaming ment of cloud gaming, the report ple obtained the driver’s license The merger conforms to the The revenue of China’s cloud said. in the first quarter. The number law of market development and gaming market is expected to of licensed motor vehicle drivers it is also an inherent requirement grow at a compound annual reached 463 million, 425 million for building a concise and clear rate of 135 percent from 2020 Foreign Investment of whom were car drivers. market system, the SZSE said. to 2023, according to a report China’s securities market saw Seventy-two cities had more Issuance and listing condi- jointly released by the Tencent net inflows of overseas funds than 1 million cars by the end of tions, investor thresholds, trading Research Institute and Newzoo, totaling $254.7 billion last year, March, five more than during the mechanisms, and stock codes a global gaming and e-sports a surge of 73 percent year on same period last year. Among and abbreviations remain un- analytics provider. year, the State Administration them, Beijing had over 6 million changed after the merger. The report said the estimated of Foreign Exchange (SAFE)

Comprehensive Purchasing Managers' Index (PMI)

60 55.7 54.2 54.1 54.5 55.1 55.3 55.1 55.3 55 53.0 53.4 53.4 52.8 51.6 Over 50 = Expansion 50 Under 50 = Contraction 45

20 MAR APR MAY JUN JUL AUG SEP OCT NOV DEC JAN FEB MAR 2020 2021

6 BEIJING REVIEW APRIL 15, 2021 http://www.bjreview.com THIS WEEK said in a report. June and October of last year. It A total of 300 billion yuan Chongqing FTZ since its creation A total of $190.5 billion went is expected to attract purchasers ($45.75 billion) under a special in 2017, Zhang Zhikui, Director of to bonds, up 86 percent from from more than 220 countries loan program for innovation the commission, said at a press a year ago, and $64.1 billion to and regions, Chu Shijia, an of- and research will be arranged briefing on March 31. equities, up 43 percent. ficial with the organizer, said. for the next five years, the bank More than 75 percent of the The report attributed the During the pandemic, the said, adding that 50 billion yuan newly registered enterprises are significant growth in Chinese online fair will not only help do- ($7.62 billion) will be offered this engaged in the transportation, in- securities’ overseas holdings to mestic foreign trade enterprises year. formation transmission, software China’s promising economic receive more orders and expand The special loan program and information technology development prospects, prudent market opportunities, but also will mainly be used for support- services, and hi-tech industries, monetary policy, and high- inject momentum into the global ing fundamental research and Zhang added. level opening up of the financial economic recovery by contribut- original innovation to facilitate The FTZ is now home to one market. ing to the stability of the global the implementation of strategic fourth of Chongqing’s foreign industrial and supply chains, projects on science and technol- trade firms, contributing approxi- Trade Fair Chu added. ogy, according to the bank. mately 70 percent of its import A total of 2.63 million exhibits Founded in 1957, the Canton and export volume and attract- had been submitted by 25,000 Fair is seen as an important ba- Chongqing FTZ ing over 40 percent of foreign enterprises registered for the rometer of China’s foreign trade. The pilot free trade zone (FTZ) in direct investment. 129th Session of the China Import Chongqing Municipality has re- Chongqing was approved and Export Fair, also known as Innovation Support corded a boom in market entity as a port of entry for imported the Canton Fair, according to China Development Bank, one registrations over the last four pharmaceutical products in the China Foreign Trade Center of the country’s policy banks, years, with emerging industries February. It is the only such port (Group), the organizer of the has pledged to beef up its finan- accounting for the lion’s share, in west China and the fourth event, on April 2. cial support for scientific and according to the municipal com- in the Chinese mainland fol- The fair will take place technological innovation during mission of commerce. lowing Beijing, Shanghai and online between April 15 and 24, the 14th Five-Year Plan (2021-25) Over 50,000 enterprises Guangzhou in Guangdong following two virtual events in period. have been established in the Province.

Manufacturing PMI Non-Manufacturing PMI

60 60 56.4 55.2 55.9 56.2 55.7 56.3 53.2 53.6 54.4 54.2 55 52.0 52.1 51.9 51.9 55 52.3 52.4 50.8 50.6 50.9 51.1 51.0 51.5 51.4 51.3 50.6 51.4 50 50

45 45

40 40

35 35

30 30

25 25

20 20 MAR APR MAY JUN JUL AUG SEP OCT NOV DEC JAN FEB MAR MAR APR MAY JUN JUL AUG SEP OCT NOV DEC JAN FEB MAR 2020 2021 2020 2021

(Source: National Bureau of Statistics) http://www.bjreview.com APRIL 15, 2021 BEIJING REVIEW 7 THIS WEEK WORLD XINHUA XINHUA   UNITED STATES RWANDA People march across New York President Paul Kagame and first lady City’s Brooklyn Bridge in protest Jeannette Kagame light the Flame of against anti-Asian hate crimes Remembrance for the 27th commemoration on April 4 of the 1994 genocide against the Tutsi, at the Kigali Genocide Memorial on April 7  IMF International Monetary Fund (IMF) Chief Economist Gita Gopinath speaks at a virtual press briefing in Washington,

XINHUA D.C., the U.S., on April 6. The IMF has projected that the global economy will grow by 6 percent in 2021

8 BEIJING REVIEW APRIL 15, 2021 http://www.bjreview.com THIS WEEK 

YEMEN Local residents pay tribute to the Chinese martyrs who sacrificed their lives promoting the friendship between China and Yemen at a cemetery in Sanaa on April 5 XINHUA XINHUA  PORTUGAL People ride their bike past the Belem Tower in Lisbon on April 5, the day when the country’s deconfinement program’s second phase started

 CAMBODIA Police block National Road 5 to prevent cars from entering and leaving Phnom Penh on April 7. A 14-day ban on cross-province travel was imposed in an attempt

XINHUA to halt the spread of COVID-19 http://www.bjreview.com APRIL 15, 2021 BEIJING REVIEW 9 THIS WEEK PEOPLE & POINTS

 CHINESE BASKETBALL ICON MAKES FIBA HALL OF FAME CLASS Nine players and three coaches featured on the list for the FIBA Hall of Fame Class of 2021, announced by the world basketball governing body on April 1. Former center of the Chinese women’s team, Zheng Haixia, was one of them. She became the first Chinese player to earn such an accolade. A long-serving member of the Chinese team, Zheng, born in 1967, led it to win Olympic bronze in 1984 and silver in 1992. She also finished third in 1983 and came in second in 1994 at the World Championships. The Chinese Basketball Association on April 2 sent Zheng a con- gratulatory letter. “Zheng’s achievements in the national team are not only her personal glory, but also the results of the concerted efforts from all members on the team. Their fighting spirit and determination on the court set a good example for young players,” the letter said. Created in 2007, the FIBA Hall of Fame currently features over 110 exceptional players and coaches from 37 countries and regions.

standard and introduce an evaluation Customized Tour mechanism. Beijing Youth Daily Selling personalized services should not become the cradle of legitimate loop- April 5 holes. Today, the contracts drafted by each Customized tours have been gaining individual company reduce the number more favor with Chinese people. It has of clauses clarifying the liabilities of the To Have More Children become an alternative option, aside from companies and advisors and shift some of Oriental Outlook the traditional group or independent the responsibilities onto the consumers. April 1 tours. Bearing in mind their consumers’ Additionally, they fail to highlight the risks specific needs, travel advisors help them which are necessary to remind people of China’s population policy has been design routes and arrange various affairs before they pay for the products. changing with time and demands. Since within their budgets. Hence, authorities such as the Ministry 2013, having two children is encouraged. Thanks to more enterprises operating of Culture and Tourism and the State Today, besides the financial burden, within the business, residents living in Administration for Market Regulation how to further your career is a major third- and fourth-tier cities can also enjoy should investigate any problems in this worry for many, especially women, when the services at lower prices. However, the regard and draw up a standard model for coming face to face with the topic of industry still needs to establish a uniform tour agencies to follow.

“As the demand for Chinese vaccines “Clearly, ASEAN won’t involve itself grows, it means that the international in any geopolitical games and the community has a positive evaluation ASEAN mechanism can’t be of the high level and safety of downplayed. With or without the U.S., Chinese vaccines.” China-ASEAN momentum will grow in Seymur Mammadov, Director of the international expert view of the fast trade volume growth club EurAsiaAz, in an article on the China Daily website on April 3 last year in spite of the epidemic.” Xu Liping, Director of the Center for Southeast Asian Studies at the Chinese Academy of Social Sciences in Beijing, in an interview with Global Times on April 5

“Keeping international markets 10 BEIJING REVIEW APRIL 15, 2021 http://www.bjreview.com THIS WEEK

woman a thumbs-up on a social media Building Smoke-Free Cities platform and said that secondhand smoke having more children. They must try hard Guancha.gmw.cn contains at least 69 carcinogens. By February, over 20 cities in to maintain the balance between family and April 2 work in their 30s and 40s, critical periods for China, including Beijing, Shenzhen, and On March 31, a woman trying to per- both individual development and fertility. Qingdao, had banned smoking indoors suade a man not to smoke at a restaurant According to a report released by and some outdoor places under local laws. in Chengdu, capital of Sichuan Province, 51job.com, a leading human resource ser- Although Chengdu had issued a draft on sparked a heated debate on social media vice provider, 55.2 percent of unmarried smoking control in public places in 2019, platforms. The man did not accept her women said getting married or having a this has not yet been formally introduced. appeal and instead replied by spilling baby would affect their career advance- In addition to speeding up the legisla- an unknown liquid onto her. With the ment, while 41.4 percent of married tion, there should be other supplementary mediation of the police, he apologized women held the same opinion. measures in place. For instance, passen- and paid 1,000 yuan ($152.8) for her dry To relieve the burden of the wom- gers who smoke on high-speed trains or cleaning. en’s role, paternity leave was one of in smoke-free zones of other trains will the key topics during this year’s Two Responding to the issue, the Chinese be barred from train travel for a consecu- Sessions—the annual sessions of the Association of Tobacco Control gave the tive 180 days. National People’s Congress (NPC) and the National Committee of the Chinese  THE WORLD’S NEW HIGHEST-GROSSING FEMALE DIRECTOR People’s Political Consultative Conference China’s Spring Festival blockbuster Hi, Mom at a staggering box-office sum of 5.39 (CPPCC). Additionally, several NPC billion yuan ($823 million) beat the 2017 American superhero film Wonder Woman deputies and CPPCC National Committee on April 6 and made Chinese film director Jia Ling overtake Patty Jenkins to be the members also suggested creating a better world’s highest-grossing female director for a single film. social environment for couples having Jia, 39, whose full name is Jia Yuling, graduated from the Beijing-based Central children in terms of taxation, education, Academy of Drama and started her showbiz career as a crosstalk comedian. She rose to medical care, and employment. fame after appearing at the 2010 Spring Festival Gala. During the 14th Five-Year Plan Jia went on to star in numerous comedies, TV shows as well (2021-25) period, China will transition as on the big screen, cementing her status as one of China’s top to a moderately aging society, seeing a female comedians. In 2016, she set up Big Bowl Entertainment, greater decline in labor supply. Borrowing and the production company’s first work was the short play from the experience of developed coun- Hi Mom in memory of her mother, from which her movie was tries, the nation’s current low fertility rate adapted. should be dealt with as soon as possible. Hi, Mom is Jia’s maiden directorial project.

“Being open will be essential for “The AfCFTA provides the right economies to recover from this crisis framework for us to continue that (COVID-19 pandemic) and a rapid, collaboration with China. With the global and equitable vaccine roll-out is establishment of the framework, Africa a prerequisite for the strong and has overcome the market fragmentation sustained recovery we all need.” that was there before.” Ngozi Okonjo-Iweala, Director General of the World Trade Wamkele Mene, Secretary General of the Secretariat of the Organization, during a press conference on global trade African Continental Free Trade Area (AfCFTA) agreement, in an recovery on March 31 interview with Xinhua News Agency on April 1

http://www.bjreview.com APRIL 15, 2021 BEIJING REVIEW 11 The venue of the annual conference of the Boao Forum for Asia in Boao, Hainan Province, on March 20, 2019

12 BEIJING REVIEW APRIL 15, 2021 http://www.bjreview.com COVER STORY SETTING A NEW AGENDA Boao Forum for Asia seeks to stay youthful and vibrant amid changes By Wang Hairong

fter a hiatus imposed by with the 20th anniversary of the forum. COVID-19, the Boao Forum “With azure skies, white clouds, rolling for Asia (BFA) will resume waves, a spring breeze and beautiful flow- its annual rendezvous at the ers, Boao is ready to welcome its guests,” eponymous tropical town in he said. the Chinese island province of Hainan. A world in change AThe conference, to be held from April 18 to 21 with over 2,000 persons attending The theme and topics for discussion at a offline, will be “the world’s first large-scale BFA annual conference are usually formu- on-site international conference in 2021,” lated in light of the situation across Asia and BFA Secretary General Li Baodong said at the world at large at the time. a press conference in Beijing on March 30. Since the beginning of last year, In addition, a number of national leaders, COVID-19 has been ravaging the world. As former political dignitaries and heads of of April 5, the pandemic had resulted in 131 international organizations will join the million confirmed cases worldwide, includ- meeting via video link. ing more than 2.85 million deaths, according This year’s meeting will center on the to the World Health Organization. theme A World in Change: Join Hands “Pandemic control, defense of interna- to Strengthen Global Governance and tional economic and trade rules, responses Advance Belt and Road Cooperation. to climate change and the leapfrog develop- Topics for discussion fall into six cat- ment of science and technology will top egories: Explore China, Understand the the BFA’s agenda, especially in the post- Changing World, Belt and Road Initiative pandemic era,” Zhou Xiaochuan, BFA Vice Cooperation, Embrace the Industrial Chairman and chief representative of China, Changes, Dance with New Technologies, told Beijing Review. and Development for All. “The pandemic has rendered a huge The primary task of the event is to help impact on the global economy and society, Asian countries and the wider world build and triggered the most serious humanitarian a consensus on development, and reshape and economic crisis in modern human his- growth confidence while ensuring pandemic tory. The gap between the rich and the poor prevention, according to Li. and that between the global North and South He also pointed out that this year’s have further widened,” Li said.

XINHUA gathering is special not only because of The latest UN report shows that the pan- s s COVID-19, but also because it coincides demic has led to a loss of 114 million jobs http://www.bjreview.com APRIL 15, 2021 BEIJING REVIEW 13 worldwide, and left nearly 120 mil- and African countries along the an- The topics of the BFA annual conferences have lion people in extreme poverty. cient Silk Road routes. been expanded from the economy, finance, com- Compounding the pandemic’s According to Li, Asia’s per- merce, trade, global governance, to technological impact is rising trade protectionism. formance in achieving sustainable innovation, green development and topics more However, “in spite of deglobaliza- development goals is remarkable. directly pertaining to people’s livelihoods, such as tion tendencies and COVID-19, the “The number of people living in ex- public health, culture, education, elderly care and Asian economy remains resilient,” treme poverty in Asia has dropped rural development. Usually, a large number of par- Zhou said. dramatically,” he said. “Basic edu- ticipants to the conferences are from the business The Asian Development Bank cation, health and other conditions community across the world. forecasted last December that the on the continent have seen signifi- In addition, the forum has launched separate economy in developing Asia would cant progress.” conferences on specific topics. For instance, in contract by 0.4 percent in 2020, Given these situations, during June 2019, it hosted the First Conference of the before picking up to growth of 6.8 this year’s BFA annual conference, BFA Global Health Forum in Qingdao, Shandong percent in 2021. Official statistics “great attention will be given to the Province in east China, to facilitate the goal of “health show China’s GDP grew by 2.3 global impact of COVID-19, the for all.” percent in 2020, owing to its effec- recovery trajectory of the world On the subjects of the discussions, Li said, “Each tive containment of the epidemic. economy, and the consolidation of of them carries the forum’s ardent expectation for “Measured by purchasing global confidence,” Zhou said. boosting international cooperation and common power parity, Asia is expected to development.” account for more than 50 percent Keeping up with the The advocacy of multilateralism and the pursuit of the world economy in 2020, up times of win-win cooperation are the very themes reverber- from less than one third in 2000. ating in all BFA sessions, he said. Proposed in 1998 by Fidel V. Asia is also becoming a more inte- When the BFA was born 20 years ago, globaliza- Ramos, former President of the grated community, with the share tion was changing the globe and in 2001, China, after Philippines, Bob Hawke, former of inter-regional trade in its total 15 years of negotiations, eventually joined the World Prime Minister of Australia, and import and export volume up from Trade Organization (WTO). Morihiro Hosokawa, former Prime 45.2 percent in 2000 to 58 percent In recent years, “globalization has been suffering Minister of Japan, the BFA was at present,” Zhou remarked at the setbacks and the operation of the multilateral trading inaugurated 20 years ago as a end of 2020. mechanism, with the WTO at its core, was disrupt- non-governmental international or- In November 2020, 10 mem- ed,” Zhou said at a meeting in January launching the ber states of the Association of ganization headquartered in China. Free Trade Agreements: Asia’s Choice report. Southeast Asian Nations (ASEAN), With agreements signed by more He said prior to the outbreak of COVID-19, rising China, Japan, the Republic of Korea than 20 countries, it is dedicated to trade protectionism and unilateralism were causing (ROK), Australia, and New Zealand building consensus in Asia, stand- frequent frictions between major economies; whereas signed the Regional Comprehensive ing up for Asian countries, and after the outbreak, as economic development came to Economic Partnership (RCEP). providing Asian solutions. The a standstill and supply chains were interrupted, many These countries together represent forum has become a high-end plat- countries turned inward in their policies, bringing one third of the global GDP. Zhou form for dialogue among leaders about further threats to the international trade order. hailed the RCEP as the largest ever of national governments, industrial As the WTO has sunk into a predicament, hav- free trade agreement in terms of and business communities, and aca- ing difficulties in updating and revising global trade economic engagement and popu- demic circles of countries in Asia rules, “in the short run, globalization is becoming lation coverage, marking a new and the wider world. more regionally focused, relying more on stronger re- chapter of economic integration in “The forum is already full- gional cooperation to influence global governance,” the Asia-Pacific region. fledged, however, it keeps moving Zhou said. He pointed out that multiple bilateral and Moreover, cooperation under forward. The variety of topics multilateral free trade agreements (FTAs) and invest- the Belt and Road Initiative has discussed at the forum expands ment deals have been signed since the beginning of promoted economic recovery in every year,” Viktor Zubkov, a BFA 2020, including the RCEP. Asia and adjacent regions, Li said. board member, said. Zubkov is also China ratified the RCEP in March. Once ratified Proposed by Chinese President Xi Russia’s special presidential repre- by six ASEAN members and three non-ASEAN Jinping in 2013, the initiative aims sentative for cooperation with the members, the agreement will enter into force in 60 to better connect Asian, European Gas Exporting Countries Forum. days, expected to take place sometime next year.

14 BEIJING REVIEW APRIL 15, 2021 http://www.bjreview.com COURTESY PHOTO influence. Several of its council of advisors members hail from non- Asian countries, such as Jean-Pierre Raffarin, former Prime Minister of France. Zubkov became a BFA board member in 2017. “I am honored to have participated in the work of the BFA board of directors in the past years, and I have seen that the preparations of BFA events were meticulous, the topics discussed at the forum were carefully selected, and the dialogues were organized in an orderly manner,” he said. Leif Johansson, Chairman of the Board of London-based multina- tional biopharmaceutical company AstraZeneca, is also a BFA board Li Baodong (center, front row), Secretary General of the Boao Forum for Asia, and other member. He has participated in the speakers after a press conference in Beijing on preparations for the forum’s 2021 conference forum since its inception. He said as on March 30 the international situation becomes more and more complicated and “There had been no free trade agreement involv- President Xi attended the BFA volatile, dialogues and exchanges ing China, Japan and the ROK at the same time. On annual conference in 2013, 2015 are needed more than ever. that note, the RCEP for the first time brings all three and 2018. In 2013, he declared that In addition, the BFA annual economies together,” Zhou noted. China would accelerate its intercon- conferences have special sessions Last December, negotiations on the China-EU nectivity with neighboring countries on EU and U.S.-related topics. In Comprehensive Agreement on Investment also com- and build a financing platform recent years, the forum has also pleted, boosting cooperation between the two large to strengthen regional economic stepped outside Asia and hosted economies. integration and competitiveness. seminars in Europe, Oceania and the In order to overcome development challenges, Months later, he unveiled the Belt Americas, Zhou added. The BFA’s improve Asian and global governance, and enable and Road Initiative. partners include not only Chinese sustainable development, the BFA should keep up At the 2015 annual conference, companies but also multinationals with the times, Zhou said. he put forward four general prin- such as Samsung, AstraZeneca and In response to a drastically changing international ciples for promoting a community U.S.-based Deloitte. situation, the BFA’s board of directors has been dedi- with a shared future for humanity. Over the past 20 years, the BFA cated to promoting dialogue, building mutual trust, At the 2018 annual confer- has played a vital role in promoting and pooling positive energy for Asia and the globe, ence, he made it clear that “China’s globalization, regional integration according to Zhou. The incumbent board took office open doors will not close, but will and sustainable development, Molly in 2018 under the leadership of Ban Ki-moon, former only open wider.” The promise Peck, Executive Director of Buick UN Secretary General. was followed by concrete mea- Sales and Marketing at SAIC-GM, sures, including the launch of the a China-U.S. joint-venture carmak- An influential platform China International Import Expo in er, said. She added that she believes “It is on the Boao stage that several momentous Shanghai. “this year’s conference will provide achievements in cooperation in the Asia-Pacific re- The BFA has facilitated the an opportunity for us to exchange gion have been developed and perfected, including dialogue between Asia and other our ideas and contribute to a shared the Belt and Road Initiative, the Asian Infrastructure parts of the world. Its board of future.” BR Investment Bank and the Conference on Dialogue directors began to have European of Asian Civilizations, all of which have invigorated and American members in 2010, Copyedited by G.P. Wilson regional cooperation and economic growth,” Li said. expanding the forum’s global Comments to [email protected] http://www.bjreview.com APRIL 15, 2021 BEIJING REVIEW 15 COVER STORY FOR A SHARED FUTURE The shared future of Asia and the world can only be secured by the close and win-win cooperation of all By Ban Ki-moon

his year marks the 20th another, exchange views, coordi- Latecomers such as Viet Nam, Cambodia, anniversary of the Boao nate policies and take concerted Bangladesh and the Philippines are now shining Forum for Asia (BFA). actions. It is not only about govern- stars of growth. TThis is a moment of significance, ments but about business leaders, with much to look back on and scholars and experts as well. It is Intra-regional trade playing much more to look forward to; the collective vision, wisdom and bigger role much to celebrate and much more judgment of the one “Boao Family” Not only have Asian countries done well indi- to envision; much to take pride in that form the voice, ideas and solu- vidually, but they have also done well together and much more to think and plan tions for pressing challenges. in close cooperation and coordination with one ahead. It’s a moment of festivity, The forum was conceived with another. Intra-Asian trade and investment now honor and responsibility. a mission. Greater levels of eco- account for more than half of the total, meaning For an institution, 20 years is nomic cooperation help bring Asian that Asian countries turn more to one another for countries closer to their develop- but a short timespan. The BFA still economic opportunities than to North America ment goals. The ultimate goal is to looks “young” compared with its and Europe. Regional and bilateral trading ar- achieve common prosperity through international peers. But its short his- rangements have bound Asia together more than Asian economic integration. This tory coincides with one of the most ever. Mega-deals such as the Comprehensive is enshrined in the forum’s charter, challenging yet dynamic periods of and Progressive Agreement for Trans-Pacific and reaffirmed and reinforced in Asia. Its mission reflects the needs, Partnership and the Regional Comprehensive each and every annual conference wishes and fundamental interests Economic Partnership have made or are making over the past 20 years. of Asian countries. Its endeavor good progress. The path toward that goal is involves the broadest possible bumpy, but the progress turns out Bilateral free trade agreements have not only ex- stakeholders of peace and prosper- remarkable. Today, Asia has be- panded coverage, but also upgraded to much higher ity in Asia. come the most dynamic growth levels. Free flow of goods, services, capital and la- Providing solutions for engine in the world. Twenty years bor has become a reality in many parts of Asia. The Asian continent is much more interconnected and pressing challenges of growth and structural reforms have placed Asian economies on interdependent than 20 years ago. As is the pride of Each spring, more than 2,000 heads a much sounder footing. Their Asians and the Asian identity that are integral to an of state, government leaders, CEOs resilience and strength have with- economically integrated Asia. and economists come in from Asia stood the tests of the 2008 global Yet Asia’s development and integration are and around the world for a four- financial crisis. Emerging markets not isolated from the world. The past 20 years have day intensive, thought-provoking such as China and India have risen largely coincided with the “golden days” of eco- and forward-looking gathering to global significance. Victims of nomic globalization. Particularly in the years prior on the most pressing issues of the the 1998 financial storm such as to the global financial crisis, we enjoyed a period time. This is an occasion for Asian the Republic of Korea have moved of synchronized global prosperity and a boom in and world leaders to listen to one into the high-income rankings. global trade and investment. The World Trade

16 BEIJING REVIEW APRIL 15, 2021 http://www.bjreview.com XINHUA

Ban Ki-moon, Chairman of the Boao Forum for Asia

Organization (WTO) tapped the potential of most Through conferences, workshops, development projects such as the countries by cutting tariffs and lowering barriers. dialogues and roundtables, we Belt and Road Initiative promise The mood was confident, optimistic, open and for- have endeavored to build consen- to fuel a more balanced, open and ward looking. sus on the one hand, and explore inclusive globalization. Things began to turn the other way with the innovative responses and solutions The beauty and value of the 2008 crisis, and for the worse in recent years on the other. On our platforms, we BFA are people, ideas and ac- with the emergence of unilateralism, protection- are encouraged to hear political tion. By bringing together the best ism and de-globalization. Tariffs are again being leaders reaffirm their stance for an minds, we are able to pool their used as a weapon for pursuing narrow national open world economy. vision and wisdom, inspire innova- interests. Trade frictions loom larger and larger, President Xi Jinping of the host tive ideas, and translate them into pushing countries apart rather than drawing them country China has sent out mes- policies and actions that eventually closer. Multilateralism is giving way to unilater- sages to the world that China would change Asia and the world. This is alist practices. Global institutions that have long only open up wider and wider. the role the forum has played for underpinned global peace and prosperity risk being Multilateral institutions such as the the past 20 years, fueling Asian sidelined and marginalized. United Nations, the International economic integration, promoting Such negative developments cannot but en- Monetary Fund (IMF) and the Asian development and, today, danger and derail the integration process of Asia WTO continue to enjoy the firm fighting against the undercurrents and, further, its prospect of sustainable growth, support from the large majority of that jeopardize globalization, free running counter to the mission and purposes of the countries. New institutions such as trade, multilateralism and the BFA. We deem it our obligation and responsibil- the Asian Infrastructure Investment shared future of us all. ity to speak out, loud and clear, for globalization, Bank and the New Development But it is all the more impor- free trade, multilateralism and a shared future for Bank inject new blood and vigor tant to think and plan ahead for s s Asia and the world. The time for action is now. into global governance. Fresh the next 20 years and more, not http://www.bjreview.com APRIL 15, 2021 BEIJING REVIEW 17 just for Asia, but for the world as together. Today, the need for Asia of expansionary fiscal and monetary policies. a whole. Years of work on global to stand united as one has only Countries need to sit down and coordinate their exit affairs has given me confidence grown with increasing complexity strategies. Global trade and investment are expected in the ability of mankind to cope and volatility around the world. to plummet at double digits. This is the time to rein- with challenges. But never un- force the rule-based multilateral trading system, and derestimate the challenges lying Pandemic has taught rekindle globalization and free trade. ahead. world a bitter lesson There is also a lesson for Asia and the BFA to be In 2015, the United Nations The COVID-19 pandemic has learned. The sustainable future of Asia is about more adopted Agenda 2030 and its 17 taught us a bitter yet sobering les- than the economy and trade. It is about health, educa- Sustainable Development Goals son. Starting out as a medical crisis, tion, innovation, culture and media, affordable and (SDGs). None of them are easy, it now has become an economic cri- clean energy, equality, fighting climate change and especially for such a diverse con- sis and risks turning into a financial a lot more. The forum’s agenda should be expanded tinent as Asia. The number of crisis for governments, businesses to also reflect the SDGs and respond to the changing people living in extreme poverty and households alike. It is a crisis needs of the future. has been reduced by half, but it re- like no other. People have been Forum for Asia, forum for mains an arduous task to eliminate infected and lost their lives. The extreme poverty by 2030. Basic great lockdowns have hit the sup- the world needs for education, healthcare, ply and demand system harder than And we shall not confine ourselves to geographic clean drinking water and sanita- the global financial crisis. Countries Asia. The BFA is a forum based in Asia, but its tion are yet to be met in many face a “trilemma” of public health, vision, mission, outlook and footprints should go parts of the world, let alone pro- economic re-opening/stimulus, and beyond Asia. Asia can’t grow in isolation from the viding decent jobs and improving financial sustainability. world. Asian integration is an integral part of eco- the quality of life. Protecting our A global crisis of such magni- nomic globalization. A forum for Asia should be at planet and fighting climate change tude calls for a coordinated global the same time a forum for the world. should by no means be empty talk. response and international coop- We have already started to move in that direc- The urgency and necessity to act eration. Multilateral efforts are tion. The BFA and other such conferences and events grow by the day as we experience indispensable to building global have expanded to cover areas of innovation, health more and more extreme weather defense against the virus. In par- and media. Our footprints are extending to Europe and natural disasters. ticular, vulnerable countries need and North America. Our themes and topics, too, are All these challenges call for international assistance to make diversifying beyond the economy. Our stakeholders, each and every country to do up for the shortfall in their public speakers and delegates are representing a wider spec- their homework well, and for all health systems. Access to vaccines trum of society. countries to work together in real needs coordination at the global The only thing that doesn’t change, is change it- earnest. There is no going back in level to ensure their availability and self. The BFA has changed, is still changing and will globalization and there is no Planet affordability. continue to change to keep up with the challenges B. We’re in the same boat, both on So are macroeconomic policies, we must face. But there is still one thing that won’t the good days and in the hard times. international trade and cross-border change: the power of cooperation. The strength of Twenty years ago, the BFA came investment. The IMF has warned the BFA stems from the cooperation of its 29 initial into being to bring Asian countries against the premature withdrawal countries, board of directors, council of advisers, members, partners and delegates. The mission of the forum is to achieve economic integration in Asia－ the ultimate form of cooperation of Asian countries. Twenty years ago, the BFA came into The shared future of Asia and the world can only be being to bring Asian countries secured by the close and win-win cooperation of us all. This was the case in the past 20 years, and will together. Today, the need for Asia to continue to be so in the next 20 years and beyond. BR stand united as one has only grown (The author is BFA chairman and a former secretary general with increasing complexity and of the United Nations)

volatility around the world Comments to [email protected]

18 BEIJING REVIEW APRIL 15, 2021 http://www.bjreview.com COVER STORY this will contribute to global health? According to Pitchbook Data Inc., venture capital (VC) investment in the biotech and pharmaceutical fields totaled $28.5 billion SILK ROAD across 1,073 deals, up by 60.5 percent year on year, driven in part by the importance of vaccine FOR HEALTH development. VC-backed biotech companies raised $11.5 billion The Health Silk Road features prominently at this year’s Boao Forum for Asia across 73 public listings in 2020. Annual Conference. The Shanghai Institutes for International Studies and Grisons This helped lead to a global No.2 Peak Services, a consultancy firm based in London, recently published a report on ranking for the Hong Kong Stock this program, which is part of the China-proposed Belt and Road Initiative. In an Exchange ($51.2-billion IPO pro- interview with Beijing Review reporter Wen Qing, Henry Tillman, founder and ceeds), No.3 for the Shanghai Stock Chairman of Grisons Peak Services, shared some of the key findings. This is an Exchange ($51-billion IPO pro- edited excerpt of the interview: ceeds) and No.5 for the Shenzhen Stock Exchange ($18.8-billion IPO Beijing Review: Why is the Health Silk Road as a base for identifying possible proceeds). important to global public health governance? future epidemics. This new capital raised via Henry Tillman: Upon gaining control of capital markets as well as from VC COVID-19 on a domestic basis, over a seven-month How do you interpret the growth investors can be expected to fuel the period running from early March until late October of mutual investment between growth of existing vaccine groups 2020, China provided medical assistance to some China and foreign countries in as well as new groups being formed 150 countries. This is an extraordinary feat. the health and pharmaceutical and new vaccines being tested. In addition, the nation also provided other aid to fields? numerous countries adversely affected by the virus, From our study on outbound How can Belt and Road Initiative coming both directly from the Chinese Government healthcare investments, partner- participating countries work and its policy banks as well as via multilateral in- ships, joint ventures (JVs) and together to address deficiencies stitutions such as the World Health Organization licensing agreements gathered in their health sectors? (WHO) and its vaccine pillar COVAX. Throughout pace throughout the third quarter The official launch of the Health 2020, Chinese biotech companies subsequently de- of 2020. This trend continued in Silk Road program in 2015 is a veloped, tested and began distributing vaccines by the following quarter. Our num- token of China’s commitment to the year’s end. bers are in line with Gordon Orr, a global healthcare. The term Health These global partnerships extended beyond the global consultant, who mentioned Silk Road was first officially used circa 140 countries which had previously signed in March that over 250 partner- in a document by Chinese health Belt and Road cooperation documents, reaching out ships were launched just in 2020 authorities. President Xi Jinping to all of humanity. between Chinese and non-Chinese mentioned this when he visited Being the first country to control the virus, pharmaceutical companies. Many the WHO headquarters in Geneva, China then rapidly changed course to provide time- of these were forged to license Switzerland, in 2017. sensitive medical aid focusing on countries which China-developed innovative drugs It is not possible to predict any had signed Belt and Road cooperation deals as well for global sale—a reflection of the future responses from various gov- as some other countries in the EU and Asia, demon- advancements in China’s pharma- ernments, but China’s development strating global leadership. China has also donated ceutical and biotech research and of a number of healthcare hubs in $50 million to WHO in support of its anti-pandemic development. other Belt and Road Initiative par- programs and joined the COVAX. ticipants is a solid starting point for The combination of this global coalition to- Financing of China’s capital further collaboration. BR gether with what we see as the development of market in the country’s health a hub-and-spoke model along the Belt and Road and pharmaceutical enterprises Copyedited by Elsbeth van Paridon routes can provide up-to-date medical data as well has increased. How do you think Comments to [email protected] http://www.bjreview.com APRIL 15, 2021 BEIJING REVIEW 19 COVER STORY GETTING READY TO INVEST ABROAD China’s engagement in outward foreign direct investment (OFDI) started coordinated development of inter- later than in many other countries. In 2002, when the National Bureau of nal and external demand, import Statistics began measuring the OFDI, the net amount was $2.7 billion. and export, as well as inbound and However, in 2016 it soared to $196.15 billion, occupying 13.6 percent of outbound investment. the global total. In recent years, China’s OFDI has stayed between $140 Promising industries billion and $160 billion. He Zhenwei, Secretary General of the China China has pledged to peak its car- Overseas Development Association, spoke to Beijing Review reporter Tao bon dioxide emissions before 2030 Xing, sharing his observations on the development of China’s OFDI. This and achieve carbon neutrality before is an edited excerpt of the interview: 2060. These are ambitious goals that require sound overall environmental Rapid development branding. For example, Haier Group, one of the governance, breakthroughs in new- energy technology and adjustments Between 1978 and 2000, China country’s largest home appliance and electronics to the energy structure. Meanwhile, mainly focused on absorbing makers, began its overseas expansion in 1989 by protecting the environment and mit- foreign investment in order to de- exporting niche products. In 2006, Haier launched igating climate change are issues of velop its economy and accumulate a new strategy to bolster its global brand aware- global concern, both for developed capital. The Go Global strategy ness, and has since established factories and and developing countries. There emerged in 2000, after Chinese research bases abroad. It is now a household name are ample opportunities for Chinese enterprises began to attain the rein overseas markets for its hi-tech products, and enterprises to invest in new energy, sources and competence to invest runs ahead of most of its Western peers in product such as photovoltaic and wind research and development. abroad. power industries, abroad, as well In 2010, Zhejiang Geely Holding Group, a lead- Large state-owned companies as to deliver Chinese technologies ing private carmaker in China, signed a deal to buy played a leading role at the very internationally. ailing Swedish luxury car brand Volvo from U.S. beginning, as they had greater eco- Moreover, the COVID-19 giant Ford for $1.8 billion. The acquisition offered nomic and human resource strength pandemic has unleashed potential Geely access to a high-end brand and the technolo- than small and medium-sized ones. in some new industries, including gies it needs to compete with much bigger rivals. It As energy plays a crucial role in cross-border e-commerce. also provided a channel for China-made cars to gain supporting domestic productivity, Reliable logistics is a basic projects in this field were a focus a share in the world market. requirement for trade. Impacts of for Chinese investment in other As economic globalization gains momentum, the recent Suez Canal blockage are countries. nations worldwide have become ever more closely another reminder of the importance Nevertheless, in recent years, linked, and it is impossible for any country to devel- of supply chain management. For OFDI by the thriving private sector op its own economy in isolation. The new Chinese this reason, we firstly need to es- has surpassed that of state-owned development paradigm of dual circulation underlines tablish a sea-rail multimodal freight companies and their investment has the importance of the domestic and overseas markets transportation chain, capable of entered a wider range of industries, reinforcing one another, with the domestic market as providing efficient means of deliv- such as services, manufacturing the mainstay. However, taking the domestic market ering goods to Chinese and foreign and light industries. as the mainstay should not be regarded simply as a customers. Chinese e-commerce The Go Global strategy has return to an inward-looking economy. enterprises also need to invest in helped Chinese enterprises en- China will continue to fulfill its commitment establishing a presence overseas, hance their development and to opening up, and will strive to promote the including distribution hubs.

20 BEIJING REVIEW APRIL 15, 2021 http://www.bjreview.com Win-win results the tunneling contract and purchased two hard-rock Davos, Switzerland, and the Boao China’s investment in African tunnel boring machines from China Railway Group Forum for Asia in the Chinese countries and other countries par- Ltd. This cooperation hastened the progress of the island province of Hainan play a ticipating in the Belt and Road project and resolved the water problem in Beirut. similar role. Investors and parties Initiative could become an ef- Third-party market cooperation can help Chinese seeking investment meet at these ficient channel for the sharing of enterprises and enterprises of other countries com- gatherings to discuss issues of plement each other, and promote the improvement common concern, which can help technologies. of industries, infrastructure and people’s livelihood solve global challenges and influ- More importantly, when in third countries. China has signed this kind of co- ence the world. Chinese enterprises invest in for- operation agreements with 14 countries including On such platforms, enterprises eign countries, it is not merely France, Japan, Italy and the United Kingdom. can also share information and ex- finding a new home for their exist- perience, such as areas that require ing technologies but advancing Platforms and enterprises caution when investing in a specific entirely new technologies in the For Chinese enterprises to go global, it is essential country, or why a particular invest- process. For example, a China- to understand how to get accurate information about ment failed. Kazakhstan cement plant with a the target markets and how to raise risk awareness. designed daily production of 2,500 When individual companies intend to invest abroad, Braving the challenges tons of clinker cement was offi- it is difficult to gain the necessary information and As COVID-19 spreads across the cially put into operation in Shieli understanding to do so. Platforms and organizations world and international protec- County, Kyzylorda Region in for effective communication are needed. tionism rises, OFDI by Chinese southwest Kazakhstan, in 2019. Every year, the China Overseas Development enterprises face many challenges, The joint venture is one of 55 Association organizes the China Overseas including restrictions on the global industrial capacity cooperation Investment Fair to create an information-sharing movement of people. projects between the two countries. platform for Chinese enterprises and foreign gov- However, China and other It uses advanced technologies ernments. In 2020, the ambassadors of 31 countries countries are working on these and produces nine types of ce- attended the fair where Chinese business people problems. ment. After it went into operation, could directly consult with them. Multilateral When addressing economic Kazakhstan was able to shake off events such as the World Economic Forum in protectionism in general or specific dependence on imported oil well

COURTESY PHOTO trade disputes, new methods of cement. The plant is Kyzylorda’s cooperation must be devised. For first cement factory and brought example, the China-U.S. trade war 260 new jobs to the region. has impacted heavily on coopera- An additional emerging trend tion between enterprises of the two is the deepening of cooperation in countries. While the U.S. has raised industrial capacity in third-party import duties on many goods im- markets, inspired by the Belt and ported from China, it has not done Road Initiative. Third-party market so for products from many other cooperation refers to the economic countries, creating the possibility cooperation between Chinese en- for factories of Chinese enterprises terprises and enterprises of other in these countries to export their countries in the market of a third products to the U.S. country. In the end, the virus will be In 2014, in order to solve the defeated. Once the pandemic ends, water shortage in the capital city of all nations will focus on economic Beirut, the Lebanese Government recovery, boosting market and launched the Greater Beirut Water project demand. Chinese enter- Supply Project, which would prises need to be ready for these involve the construction of tun- opportunities. BR He Zhenwei, Secretary General of the China Overseas nels and pipelines. Cooperativa Development Association, with Javid Ahmad Qaem, Muratori & Cementisti, an Italian Afghan Ambassador to China, at the 12th China Overseas Copyedited by G.P. Wilson Comments to [email protected] civil engineering contractor, won Investment Fair in Beijing on November 25, 2020 http://www.bjreview.com APRIL 15, 2021 BEIJING REVIEW 21 COVER STORY RISK ASSESSMENT The world economy has to be on the lookout for potential risks in the post-COVID-19 era By Han Liqun

lthough COVID-19 forward similar packages. Financial services giant in February from a year ago, hitting plunged the global econo- UBS estimated that governments ran an aggregate the highest level since July 2014. my into the worst recession deficit of more than 11 percent of the global GDP in Consumer prices in Brazil and Asince World War II, clear signs of 2020, over three times the average of 2010 to 2019. Russia increased more than 5 per- recovery have emerged. China be- According to the Institute of International cent year on year, whilst in Turkey gan leading the way by pocketing Finance, the continuing swell in debt will see the to- this rate stood at 15 percent. positive growth in 2020 after bring- tal top $300 trillion by mid-2022. Although there has Major countries have given ing the epidemic under control. The been no indication foretelling a large-scale debt crisis consideration to the security of the U.S. and European countries initi- so far, this has created a huge burden for economic global industrial chain even before ated a bid for economic rebound via recovery and the potential risks involved cannot be the pandemic, believing the chain aggressive stimulus measures. ignored. More specifically, if the fiscal and mon- created by globalization was too According to the forecasts of etary policies of major countries fail to run properly, fragile. In the future, they should leading financial institutions, the this malfunction is likely to give rise to economic not only shift it, but also accomplish pandemic’s impact on the world volatility. the fully independent production of economy may not be as severe as Another risk posed by any economy on the re- some industries—or at least realize expected. Nevertheless, in the long bound is the rise in inflation expectations. Recently, regional production. run, both COVID-19 and the sub- Bank of America revised its year-end forecast on the COVID-19 has dealt an un- sequent stimulus and relief policies 10-year treasury yield from 1.75 percent to 2.15 per- precedented blow to the global adopted may cause major disrup- cent. As inflation expectations make up more than 60 industrial chain, resulting in many tions. The world needs to guard percent of the actual bond yield, these could trigger nations suffering production disrup- itself against those risks. a call for volatile adjustment within the international tions and supply constraints. This financial market. has once again encouraged coun- Possible threats Former U.S. Treasury Secretary Lawrence tries to speed up the restructuring To relieve their hard-hit econo- Summers repeated his warning that the U.S. risks of the industrial chain. For ex- mies, several countries embarked rising inflation amid massive government stimulus, ample, the proposed $2-trillion new on an unprecedented policy of easy monetary policy and an expected surge in con- stimulus plan of the U.S. aims to fiscal expansion and monetary eas- sumer spending as the pandemic recedes. strengthen its manufacturing indus- ing, leaving behind huge debts. In Across international markets, commodity prices try and ensure that key industries March, the U.S. passed a $1.9-tril- have been on the increase. According to the United are manageable. lion coronavirus relief bill. Since Nations Food and Agriculture Organization, the Food The raging virus has also March 2020, three such successive Price Index, which tracks the monthly changes in brought changes to global business bills, totaling around some $5 tril- global prices of food commodities, rose 26.5 percent models, generating new services lion, have been enacted. Together, they equal to 24 percent of the U.S. economic output in 2020. U.S. President Joe Biden and China has set its annual GDP target at more his administration then expressed their readiness to continue to pour than 6 percent. Market expectations and money into the market by unveil- forecasts by major international organizations ing another $2-trillion stimulus proposal. Other countries, too, put point to higher growth

22 BEIJING REVIEW APRIL 15, 2021 http://www.bjreview.com XINHUA

Manila City Mayor Francisco Domagoso receives a dose of a China-made COVID-19 vaccine in Manila, the Philippines, on April 4 but also resulting in the nosedive up more than two thirds of the world’s vaccines. Yet Anticipating bullish growth of international travel, resulting in developing countries, especially those less devel- in 2021, China has set its annual both business opportunities and oped, have received only small quantities. GDP target at more than 6 percent. unemployment. By the end of March, the U.S. had vaccinated Market expectations and forecasts The world today still hides nearly 150 million people and announced it could by major international organiza- in the shadows of the pandemic, reach herd immunity by this summer. However, tions point to higher growth. with Europe and other major vaccination efforts in Europe have been plagued by The Organization for Economic regions facing new infections. problems such as insufficient vaccine doses. This Cooperation and Development pro- There are estimates that the world may determine just how quickly an economy can be jected that China’s GDP will rise economy might not reopen until resumed. Countries that fail to achieve mass vaccina- by 7.8 percent this year. No doubt, August. A number of structural tion are likely to fall behind in terms of economic the China locomotive will continue changes may thus become the recovery. to inject impetus into the pandemic- norm. In particular, once a region- Furthermore, this year has seen the international hit global economy. al industrial chain is established, political stage become more volatile. The U.S. and China has conducted extensive it will likely send shockwaves the European Union, for political purposes, have communication with other major through countries and industries imposed more restrictions on China in trade, invest- countries on macroeconomic poli- that have long adapted to global ment, and science and technology, all pillars of cies and anti-pandemic cooperation. production. economic globalization. At the same time, global China for one is set to continue its Since the 2008 financial crisis, trade protectionism has gained momentum, with nu- efforts to guarantee a more stable the world has been caught up in a merous proposals for new protectionist measures. world economic recovery. Indeed, spiral of divergence; the COVID-19 all countries, major economies in pandemic has further complicated Joint efforts particular, need to step up coordina- matters. Currently, the growing As the pandemic continues to take its toll, now is tion and ensure their policies are gap between the number of coro- not the time to throw caution to the wind. The world efficiently aligned. BR navirus vaccine doses administered economy needs to remain stable so as to deal with The author is a researcher with the China in rich and poor countries has be- potential risks in the near future. In this regard, the Institutes of Contemporary International Relations come a thorn in the eyes of many. steady growth of China’s economy is a boon to the Copyedited by Elsbeth van Paridon Comments to [email protected] Developed countries have snapped world at large. http://www.bjreview.com APRIL 15, 2021 BEIJING REVIEW 23 24 BEIJING REVIEW APRIL 15, 2021 http://www.bjreview.com http://www.bjreview.com APRIL 15, 2021 BEIJING REVIEW 25 OPINION GOVERNANCE Understanding the CPC By Wang Yiwei

once asked Dr. Henry Kissinger whether a 5,000-year civilization is similar in the Chinese revolution and traditional he had seen any Marxist classics in to Buddhist religion being merged culture, transforming the traditional ideals late Chairman Mao Zedong’s personal with the culture of China’s central of eliminating wealth gaps and establishing Ilibrary, since Mao had received him there plains, giving rise to the Chinese unity under Heaven in today’s building of a multiple times. His answer was probably not. theories of Buddhism and Zen. society characterized by moderate prosperity Nevertheless, there were all kinds of thread- l Believing the Chinese rev- and realizing all-round modernization. stitched books, all Chinese classics. olution picked up what the West Traditional Chinese culture appreciates A deeper understanding of the had discarded as heresy harmony rather than revolution and struggle. Communist Party of China (CPC) is crucial As a matter of fact, Marxism A community with a shared future for hu- to the reconstruction of China-U.S. mutual has been sinicized and has long manity reflects the integration of the CPC’s political confidence, because many American evolved from the original Soviet- ideals with traditional Chinese culture, which misconceptions about China home in on how style Marxism, which arose from believes capitalism and socialism can coexist. to understand the CPC. a mixture of outdated Russian It resonates with other cultures’ appreciation Misapprehensions serfdom, Slavic culture and of harmony, such as the Christian teaching of theories of communist revolu- “one for all, all for one.” l Seeing China as an outsider that tion. The philosophy has over What is China? China is a “civilization- can be assimilated the decades been modified and state” as opposed to a nation-state in the Some people lament the failure of the U.S. integrated with the splendor of European model. Traditional Chinese civi- policy of engaging China, a strategy which Chinese civilization. lization has been transformed by the CPC, first took shape under former President and the Chinese civilization in its popular Richard Nixon. Seeing they had already Keywords sense doesn’t equal a secular one that sub- successfully turned Japan into a Western- As the CPC celebrates its 100th scribes to no religious beliefs. It’s not that style nation, they wanted to convert China in anniversary, it is important for the Chinese don’t believe in a god but that similar fashion. Yet they neglected the fact Americans to readjust their out- they don’t have a common god; they re- that China has been an independent entity look on the CPC and hence their spect both those who believe in gods and since ancient times, a civilization that could outlook on China. There are three those who don’t. This is the reason why be traced back 5,000 years and a society keywords: China, communist and the CPC can seek truth in facts and dem- unlikely to adopt a wholly Western model. party. onstrate the greatest possible openness and Nevertheless, China did learn a lot from the l China inclusiveness to achieve social justice and West. Traditional China has today developed The Communist Party has been fairness. into a modern China, which now marches localized in China. Sinicization l Communist toward a country that seeks to engage con- means it has been incorporated “Communist” as an adjective is neither structively with the world. This progress becomes especially apparent through under- takings such as the Belt and Road Initiative and the notion of establishing a community The great rejuvenation of the Chinese with a shared future for humanity. l Believing the biggest difference be- nation is about making greater contributions tween China and the West lies in the CPC Disregarding CPC leadership goes hand to human progress and providing public in hand with numerous misunderstandings services and goods that are better, of traditional Chinese culture. The assimila- tion of the cream of Western civilization by more inclusive and more affordable

26 BEIJING REVIEW APRIL 15, 2021 http://www.bjreview.com OPINIONXINHUA

Books on the 100th anniversary of the founding of the Communist Party of China are on display at a book fair in Beijing on March 31 the “sharing of assets and wives,” as the hardship) and “after the people” and provide public services and goods that Kuomintang once tagged it, nor the state (as a public servant), because are better, more inclusive and more afford- capitalism the Americans imagine it to be. they won’t relax until the rest of able. From the perspective of traditional China’s ownership structure is one far from society has security and comfort. culture, it is not difficult to understand that the simplicity it knew during the planned- The CPC isn’t a political party the CPC will not only not seek hegemony, economy era. The private sector in China in the traditional Western sense, but instead will oppose it. The CPC is contributes more than 50 percent of tax rev- nor is it one in the traditional spearheading the great rejuvenation of the enues, more than 60 percent of GDP, more Chinese sense. It seeks equality Chinese nation to open up a new era that is than 70 percent of innovation and more than and justice for humanity at large, free of all hegemony. 80 percent of urban jobs. It accounts for more and advocates humanism. Attributing all the problems facing the than 90 percent of all enterprises. The CPC is continuing the re- U.S. to China and the CPC won’t resolve Therefore, the term “communist” has ligious revolution and the Western the American predicaments. Former U.S. incorporated the ideas of common prosper- enlightenment. From the separa- President Donald Trump’s trade war against ity and the public good. China has just bid tion of politics and religion to the China failed to bring industry, capital and farewell to poverty and embarked on a jour- present emphasis on the unity of jobs back to the U.S. Instead, it made China ney toward all-round modernization, which humanity and nature, people first, stronger. is why the CPC and Xi Jinping, General and seeking truth from facts, it is Suppressing China in a different way Secretary of the CPC Central Committee, dedicated to helping humanity rid today won’t enhance U.S. leadership either. have won the people’s hearts. itself of all superstition. China could become a partner in solving U.S. l Party The U.S. worries China may problems, rather than being blamed for many Americans tend to believe the Chinese take its place, which is only natu- of the American problems. revolution picked up what the West had ral. How could the U.S., which China and the U.S. must engage in a cast aside as heresy, namely Marxism. Dr. absolutely does not want to be political dialogue based on those philoso- Sun Yat-sen took a cue from former U.S. in second place, tolerate a rising phies found in traditional Chinese culture President Abraham Lincoln’s “of the people, China? What is the goal of the that resonate with and support the CPC, by the people, for the people” and developed great rejuvenation of the Chinese combined with the core values of global- his “three principles of the people” (nation, nation? It is neither to return to ization, to build up mutual trust and avoid civil rights, and people’s livelihoods). the Han (202 B.C.-A.D. 220) or misinterpretations. BR The CPC has taken one step further by Tang (618-907) dynasties, nor accentuating “in the people” (people-cen- the quest to overtake the U.S. The author is Jean Monnet chair professor at the Renmin University of China tered), “before the people” (as a pioneer, It is the desire to make greater Copyedited by Elsbeth van Paridon because the CPC stands out in the face of contributions to human progress Comments to [email protected] http://www.bjreview.com APRIL 15, 2021 BEIJING REVIEW 27 OPINION FACT CHECK Intensive Efforts To Address Climate Change

n his statement at the General Debate renewable economy and new energy of the 75th Session of the UN General through the implementation of state-of-the- Assembly in September 2020, art technologies. IPresident Xi Jinping reiterated China’s The fourth is to expand international determination to have carbon dioxide emis- cooperation. This includes China’s partici- sions peak before 2030, and for the first pation in international activities related to time announced the goal to achieve carbon climate change, the formulation of interna- neutrality before 2060. Since then, China tional standards and the building of a green has elevated its efforts to tackle climate silk road under the framework of the Belt change to a new level. The two goals have and Road Initiative. also become a core around which the coun- The ongoing green and low-carbon tran- try’s economic and social development sition in China is unprecedented in human unfolds. investing heavily in renewable history and will require China to do more On March 15, a meeting of the Central energy, new energy, and sus- than what has previously been done by de- Committee for Financial and Economic tainable infrastructure, in a bid veloped countries. Here are Q&As that may Affairs underlined the importance of the to accelerate the building of a help our readers better understand what is two goals to the sustainable development fossil-free circular economic de- happening: of the Chinese nation and to China’s global velopment system. vision of a community with a shared future The second is to promote Question: There are arguments that for humanity. green development through green since China is a major greenhouse gas For this purpose, China has adopted an finance. Banks are restricted emitter and also the second largest array of measures. from lending to big carbon emit- economy in the world, the principle of The first is policy support for green ters while being urged to boost common but differentiated responsibili- development. The Outline of the 14th financial support for low-carbon ties is thus unfit for China. Why are they Five-Year Plan (2021-25) for National sectors. Fiscal and other policies unjustified? Economic and Social Development and the have been made to facilitate the Answer: To reach international consensus, Long-Range Objectives Through the Year development of carbon taxation it’s important to identify the cause of cli- 2035 has laid out plans for peaking carbon and trading regimes. mate change and the nature of this problem. emissions and becoming carbon neutral, in The third is to enhance Both historically and currently, greenhouse an effort to speed up climate-friendly tran- scientific and technological in- gas emissions mostly stem from the devel- sition of social and economic development novation. While pressing ahead oped economies. Once released, the major activities. China is pushing forward a low- with the low-carbon renovation factor, carbon dioxide, may still remain in carbon energy revolution, the creation of of industrial projects, China the atmosphere after up to 200 years. In this green and low-carbon industrial systems is also developing the digital sense, the developed countries have larger and also low-carbon urbanization. It is also economy, intelligence economy, responsibility for the historical emissions.

28 BEIJING REVIEW APRIL 15, 2021 http://www.bjreview.com OPINION

It has been only a few decades since China began its process of industrialization, a much shorter time span than that in When discussing the issue of carbon developed countries. Meanwhile, the per- capita carbon dioxide emission in China is dioxide emissions, people should look at also much lower than their levels. China is not only the aggregate but also the not the one that should take the main ac- countability for global climate change. It is per-capita figures, not only the current but not obligated to pay the price for a problem also the historical amounts, not only that was caused by other countries during their individual industrialization processes. production but also consumption Global warming is an accumulated problem over decades, centuries even. So when discussing the issue of carbon diox- market developed? ide emissions, people should look at not Carbon trading is a widely recognized only the aggregate but also the per-capita method of cutting greenhouse gas emis- figures, not only the current but also the sions. China launched a pilot program historical amounts, not only production in seven provinces and cities, including but also consumption. Thus, sticking to Beijing, Shanghai and Guangdong Province the principle of common but differentiated in 2011. Its first carbon exchange was responsibilities is a basic precondition for established in Shenzhen, Guangdong, in global efforts to address climate change. It 2013. By the end of 2020, eight carbon is a fairer and more practical principle, one exchanges had been set up around the coun- acceptable to the vast majority of develop- try. On February 1, a set of interim rules ing countries. Will the decarbonization for carbon emissions trading management process slow down China’s became effective. Is it possible for China to hit the goal of economic growth? By December 31, 2,225 power plants peaking carbon dioxide emissions and The goals of maintaining the around China will be included in the na- reaching carbon neutrality as scheduled? pace of China’s economic tional carbon emissions trading scheme. China is already economically and techno- growth and achieving carbon On this basis, more industries such as pet- logically prepared and capable of hitting neutrality are not contradictory rochemical, construction materials, steel, the goal of peaking carbon emissions to one another. China’s new vi- non-ferrous metals and aviation will join in before 2030. By the end of 2019, China’s sion for development underlines a phased manner. carbon intensity, or carbon emissions per the importance of green and low- unit of GDP, had been slashed by 48.1 carbon industries, such as the What are China’s stands on interna- percent compared to 2005. Non-fossil digital economy and new energy, tional cooperation in terms of carbon energy accounts for 15.3 percent of cur- which also create new economic peaking and neutrality? rent energy consumption. During the 14th growth points. To tackle global climate change, China is Five-Year Plan period, China will accel- China is building a fossil-free cooperating with the international commu- erate its transition to green development. circular economic development nity in the fields of green finance, carbon Energy consumption and carbon emissions system, as well as a clean, low- trading, carbon reduction, capture and per unit of GDP are set to drop by 13.5 carbon, efficient and safe energy removal technologies, as well as new and percent and 18 percent, respectively. production and consumption sys- renewable energy. If these goals are achieved as scheduled, tem. As the only major economy Joint efforts to address climate change we can move up the peak of carbon dioxide to realize positive economic will help open new windows for win-win emissions, thus laying the foundation for growth in 2020, China has a ecological cooperation based on mutual carbon neutrality. The process of achieving clear sense of responsibility to trust, effective coordination, shared results the carbon peaking and neutrality goals is lead the world economy toward and participation by all. BR not only a far-reaching energy, technologi- green recovery. cal and industrial revolution, but also a Copyedited by G.P. Wilson tough process of restricting carbon output. How has China’s carbon trading Comments to [email protected] http://www.bjreview.com APRIL 15, 2021 BEIJING REVIEW 29 OPINION PACIFIC DIALOGUE The U.S. Propaganda Warfare Against China By Liang Xiao

ormer U.S. Secretary of State Mike or mental harm; deliberately in- by moral burdens and social pressures if they Pompeo recently said in praise of flicting on the group conditions of want to cooperate with China in terms of his successor, “Secretary [Antony] life calculated to bring about its cultural exchange, economy and trade. They FBlinken has spoken about the genocide physical destruction in whole or in would feel a “moral obligation” to distance that’s taking place in western China. I ap- part; imposing measures intended themselves from China. plaud him for building on what I tried to to prevent births; and forcibly The U.S. considers China as posing a do. I hope that he can do even better than transferring children of the group challenge to the U.S. global dominance. we did.” This meant to imply that Pompeo to another group.” President Joe Biden said explicitly on himself was the original architect behind Before his departure as secre- March 25 that he doesn’t agree with the current wave of anti-China propaganda tary of state, Pompeo delivered a China’s goal of becoming the leading, warfare. It is he who has left behind a long diplomatic statement accusing wealthiest and most powerful country in the political legacy for the new Democratic ad- the CPC of “genocide.” The accu- world, despite the fact that China has never ministration to further develop: molding the sations, based on made-up stories used such superlatives in defining its goals. narrative of the Communist Party of China and one-sided information, includ- President Biden and Secretary Blinken (CPC) into a 21st century Nazi-styled ad- ed the alleged arbitrary detention have both mentioned they will take a multi- dress with the China-U.S. ideological of over 1 million Uygurs (the lateral approach, or in their words, to invite conflict serving as the seemingly incarnated number is conveniently the same “an alliance of democracies.” battle between good and evil. as the number of Jews murdered If the CPC is labeled a “Nazi” regime, The kind of analogy is meant to pit the by Nazi Germany), torture, forced the U.S. could easily rally its allies and other Chinese people against their government by labor, compulsory sterilization and countries to join its efforts to contain China. creating the impression that the “evil” CPC abortion practices, and separating The Nazis were not only notorious for com- is oppressing the “kind” people of China, and Uygur children from their families mitting grave domestic atrocities, but also associating the CPC with Germany’s former in Xinjiang Uygur Autonomous waged war onto some 30 nations across the Nazi Party to taint China’s image globally. Region. The current U.S. admin- globe. That “whether or not China will wage The first step of the new propaganda istration paints the Uygur ethnic a new world war” thinking could potentially strategy is to impute Nazi atrocities such group as Jews during WWII in an stir up panic among China’s neighboring as genocide to the CPC. The term “geno- effort to evoke the West’s recol- countries. These countries would then per- cide” is decidedly linked with the German lection of the Nazi regime, thus haps seek protection from the U.S. and the Nazi Party during the 1930s and 40s. In converting their memory into a latter could subsequently profiteer both on December 1948, the UN General Assembly deep-rooted fear for China. the political and economic levels. adopted the Convention on the Prevention Even though U.S. State If this plot proved effective, China would and Punishment of the Crime of Genocide. Department lawyers have con- be isolated from the international community Referring to the Nazi atrocities that took cluded there’s no evidence to with its development thus suffering severe place during World War II (WWII), the prove “genocide” in Xinjiang, setbacks. Is China prepared for this type convention defined genocide as “any of politicians and media press on. of propaganda warfare? Perhaps not, but it the following acts committed with intent to Against this backdrop, the should be. BR destroy, in whole or in part, a national, ethni- international community, the cal, racial or religious group, as such: killing European allies of the U.S. in Copyedited by Elsbeth van Paridon members of the group; causing serious bodily particular, will be weighed down Comments to [email protected]

30 BEIJING REVIEW APRIL 15, 2021 http://www.bjreview.com XINJIANG OPINION The Truth About Xinjiang Cotton By Mei Xinyu

ecently, the Chinese have started opment and equal and universal China can adjust its supply chains, en- to boycott several foreign compa- public service. However, the key couraging cotton growers in Xinjiang and nies that are refusing to use cotton to the sustainable development textile manufacturers to sell their products Rfrom Xinjiang Uygur Autonomous Region. of local economies and societies on the domestic or other non-U.S. foreign These companies alleged that Xinjiang is to develop competitive local markets. cotton is a product of “forced labor.” industries. China’s clothing and related indus- The Ministry of Foreign Affairs has When the People’s Republic tries provide jobs to millions and have responded to the allegations, pointing of China was established in 1949, increased overall exports. The country has out that cotton-picking is a high-paying farming and animal husbandry been the largest exporter of textile prod- work. Additionally, the pickers sign labor were the mainstay of Xinjiang’s ucts for decades. However, its export of contracts with the planters voluntarily economy. Productivity was low textiles and apparel to the U.S. has dwin- after negotiation, which is certainly not and the mode of production was dled in recent years. the mark of “forced labor.” The mali- outdated. Development was The U.S. accounted for about 17 per- cious lies were in fact conjured up by anti- stalled and the people lived in cent of China’s textile and apparel exports China forces in an attempt to smear China poverty. Xinjiang’s cotton output in 2019, but the figure dropped to about and undermine security and stability in at that time was 5,100 tons, only 15 percent in 2020. Therefore, even if the Xinjiang. 1.1 percent of the national total. U.S. takes the extreme measure of banning Some Western politicians and media Since the 1990s, cotton all Chinese textile and garment imports, it outlets regard Xinjiang as China’s weak production in Xinjiang has won’t destroy the industries. link. They think if sanctions are imposed accelerated. In 2020, output According to the U.S. Department on its cotton industry, one of the pillars of reached 5.16 million tons, ac- of Agriculture’s latest monthly Cotton the region’s economy, they can strike at counting for 87 percent of the and Wool Outlook report released on China’s cotton and textile sector and frus- national total. From 2012 to March 11, both the cotton production trate China’s development. 2020, the proportion increased and consumption in China are expected Some countries have also declared by 33 percentage points. to grow this year with improved yield in “sanctions” on some Chinese officials and Although China is the third Xinjiang. entities over the concept of “forced labor.” largest cotton producer in the As long as China maintains social The U.S. has banned the import of cotton world, it is also a leading cot- stability, the sanctions against Xinjiang and cotton products from Xinjiang and ton importer due to its vast cotton will have little effect on the Chinese added some Xinjiang enterprises to a trade population. The import volume economy. Though a number of other coun- blacklist. What their actions will actually increased from 1.16 million tons tries and regions may follow the U.S. lead achieve is a disruption of the global sup- in 2017 to 2.16 million tons and take similar action, they cannot cause ply chains and an increase in cotton prices in 2020. Domestic cotton con- much damage to China’s cotton and textile in the U.S. and Europe. sumption was 8.02 million tons industry. BR In the past, the economy of Xinjiang was in 2020, of which Xinjiang cot- highly dependent on the transfer payment ton accounted for 64 percent. So by the Central Government—allocating tax if some Western countries ban The author is a researcher with the Chinese Academy of International Trade and Economic Cooperation refunds and grants to the less developed Xinjiang cotton, it can be easily Copyedited by Sudeshna Sarkar regions to ensure balanced regional devel- consumed within China. Comments to [email protected] http://www.bjreview.com APRIL 15, 2021 BEIJING REVIEW 31 32 BEIJING REVIEW APRIL 15, 2021 http://www.bjreview.com http://www.bjreview.com APRIL 15, 2021 BEIJING REVIEW 33 FEATURES TRANSPORTATION Rails Rolling Out China-Europe freight trains provide a reliable choice in global logistics, thanks to their safety, stability and efficiency By Yuan Yuan

hirteen containers of semi-finished LED “By switching to the freight train service, televisions produced by Admiral Overseas we saved about 50 days of transport time and Corporation’s factory in Xiamen, Fujian avoided potential breakdowns of the supply TProvince, got trapped in the logjam of the Suez chain,” said Zhuang Changbo, Director of lo- Canal in late March. gistics at Chinese automaker Changan Ford. The televisions were scheduled to arrive in “With the China-Europe freight train service, Istanbul by mid-April but the blockage made their we no longer worry about any disruption of arrival date uncertain. Even though the canal was maritime traffic.” cleared on March 29, it was estimated it would A salesperson surnamed Feng from a gym take about two weeks for the traffic to go back to equipment company in Yiwu, Zhejiang Province, normal. On April 6, traffic slowed down again as said that the skyrocketing price of sea transport an oil tanker faced engine trouble. and unpredictable shipping times led her to switch “We had no idea how long the goods would to rail transport. be delayed and we are planning to ship our sub- It has been 10 years since the first China- sequent goods, around 200 containers, by rail Europe freight train left Chongqing Municipality transport or via sea routes around the Cape of in March 2011. Zhang Xin, who has been Good Hope,” Wang Weidi, logistics manager of working at the Tuanjiecun Railway Station in the factory, told China Central Television. Chongqing, gave the departure signal of the first The fragility of the sea-based shipping in this Yuxinou (Chongqing-Xinjiang-Europe) freight case made many traders reconsider the transport train on March 19, 2011. methods they will use in future. “As the cost of Located in southwest China, Chongqing is airfreight is too high, freight trains are the optimal over 2,000 km from both the closest sea port choice for traders between Asia and Europe, with and land border port. Key to Chongqing’s plan shorter shipping times and acceptable pricing,” Yu to transform itself into the trade hub of south- Feng, an import and export agent from Zhejiang west China was exploring new methods for the Province, told Beijing Review. “For a long time, transportation of goods. Transport could neither the Suez Canal has dominated the sea trade route go by sea, because of time, nor by air because of 12,400 between the Mediterranean Sea and the Red Sea. the cost. The government of Chongqing settled Trips made on a plan to build a rail route to Europe via Now, about 20 percent of my clients have said by China- they would like to switch to freight trains in the Xinjiang Uygur Autonomous Region in China’s Europe future.” northwest and neighboring Kazakhstan. freight trains Those working on the launch of the rail in 2020, up 50 A 10-year move transport network encountered many challenges. percent from Many other traders took action earlier as the pan- Smooth operation requires the trains to endure 2019 and demic last year impeded sea and air transport, low temperatures of the countries they pass equivalent to sevenfold causing unprecedented delays and higher costs. through, and the sharp fluctuations in tempera- that of 2016 These emergencies demonstrate the advantages of ture along the route present challenges for the China-Europe cargo trains in ensuring the stability goods themselves. The inspections undertaken by of supply chains. each country the trains pass through, including

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goods using China-Europe freight trains, doubling the volume of 2019. “We received a sharp increase of orders in 2020, with more people working and learning online at home,” the manager said. “The delay in sea and air shipping put us at a high risk of default. Finally, it was the China-Europe freight train that helped to relieve the pressure.” The busy lines The China-Europe railway lines became busier this year. In the first two months of 2021, over 2,000 freight train services ran from China to Europe, twice the number of last year. “Now there are over 10 trains departing and arriv- ing at the Tuanjiecun Station in Chongqing,” XINHUA Zhang said. “This is a scene we could hardly imagine 10 years ago.” No accident or unex- Kazakhstan, Russia and Germany, also impacted pected delay has been reported in the 10 years the efficiency of the trains. of operation. Throughout 2011, only 17 freight trains de- Qi Dan, General Manager of Yuxinou parted from Chongqing. “At that time, we set the Logistics, based in Chongqing, said the num- future goal of having one train depart each day, ber of inquiries on rail shipping services to the and back then we thought that goal was too ambi- company has almost doubled since late March. tious,” Zhang said. YQNLink, a Shanghai-based global intelligent Things sped up as China announced the logistics platform, revealed that the demand in Belt and Road Initiative in 2013. The surging Shanghai is even greater, with daily inquiries trade volume between China and countries in- almost tripling since the Suez Canal first became volved boosted the development of the trains. blocked. A growing number of cities in China joined the Wang Jun, Director General of the Department freight rail network and by November 2020, of Port Control at the General Administration of the network had linked over 60 cities in China Customs of China, revealed that the time it takes for trains to pass through customs at land ports in XINHUA with 92 cities across 21 European countries. When the world was in the claws of the Xinjiang Uygur Autonomous Region has been cut pandemic in 2020, the trains played a role in from 3.5 hours to half an hour. A new paperless (Up) A China-Europe transporting pandemic prevention and control system has also been put in place to further im- freight train departs supplies between China and Europe. Figures prove the efficiency of the China-Europe freight from Chengdu, Sichuan Province, for Russia’s from the National Development and Reform train service. St. Petersburg Commission show that in 2020, the freight “In terms of the volume they can carry, on February 21 railway delivered 7.6 tons of pandemic preven- freight trains are dwarfed by cargo ships,” said tion supplies to European countries. When the Zhao Juan, a research fellow with China Railway A railway staff member checks a schedule was very tight, medical supplies in- Economic and Planning Research Institute. A Yuxinou (Chongqing- cluding face masks were given priority, making large cargo ship can carry about 20,000 standard Xinjiang-Europe) freight it a reliable transportation channel during the containers. It would take 50 trips for a cargo train train before it leaves pandemic. to transport that volume of goods. the Tuanjiecun Station in Chongqing In 2020, the trains conducted 12,400 trips “But for those in value-added businesses like Municipality on March 19 between China and Europe, up 50 percent from electronic devices and pandemic prevention items, 2019 and equivalent to sevenfold that of 2016. A it is a viable option,” Zhao said. BR manager from computer manufacturer ASUSTeK Computer Inc. told Xinhua News Agency that in Copyedited by G. P. Wilson 2020, the company shipped 1,000 containers of Comments to [email protected] http://www.bjreview.com APRIL 15, 2021 BEIJING REVIEW 35 FEATURES BEIJING FTZ Opportunity Lab Beijing FTZ delivers opportunities for international entrepreneurs By Tao Xing

arch 16 marked an important milestone entrepreneurs from more than 30 countries. During the event, officials from the for Beijing-based entrepreneur Wahed Chaoyang District Government and foreign participants discussed the develop- Ahmadzai. That day he registered his ment of the Beijing FTZ and the opportunities it brings about. Mconsultancy company in the Jinzhan International “The community is built around the Chaoyang and Beijing eco-system, in- Cooperation Service Zone, a component of the cluding service centers, funds, associations and projects such as entrepreneurship international business service section of the China competition and media partners. ATA was established to bridge the gap between (Beijing) Pilot Free Trade Zone (FTZ). talents and the local government, helping talents explore entrepreneurship oppor- The Beijing FTZ was launched in September tunities,” Ahmadzai said. 2020 and covers an area of 119.68 square km. Its Both N HUB and the ATA are platforms for entrepreneurs to learn about international business service section comprises the opportunities available to them and policies related to their businesses, and Central Business District (CBD) and the Jinzhan for governments to gather valuable feedback to improve the business envi- Zone in Chaoyang District, as well as designated ar- ronment for young entrepreneurs, as well as help foreigners explore career eas in Tongzhou and Shunyi districts. The other two opportunities in China. parts of the FTZ focus on science and technology Talent first innovation and high-end industries, respectively. Ahmadzai’s company, named N HUB, is the Unlike other FTZs in China, which mostly center on trade in goods, the first foreign-owned firm in the Jinzhan Zone. It is Beijing FTZ prioritizes the technological innovation, service and digital building a matchmaking marketplace connecting economy sectors, and is dedicated to the development of talented human re- service providers in Belt and Road Initiative partici- sources, Liu Jing, Director of Beijing Chaoyang High-Level Talents Service pating countries. Center, told Beijing Review. “N means infinite,” Ahmadzai, an Afghan “At this moment, nearly 55 percent of foreign residents in Beijing live in student who is pursuing his master of business ad- Chaoyang,” Liu said. “So the district can play a great role in the development of ministration degree at the University of International international business services and focus on the incubation of international talents.” Business and Economics in Beijing, told Beijing Review. “Powered by hubs in local communities, N HUB provides a transparent, reliable and supportive environment for companies to engage in business and trade.” Ahmadzai has founded and led many platforms for peer-to-peer communication, including the Alumni Talent Alliance (ATA), a non-profit organization focusing on connecting communities and providing entrepreneurship and career support for foreigners in Beijing. Ahmadzai describes himself as a community builder and, for him, N HUB and the ATA are new communities for the Beijing FTZ. On March 31, N HUB and the ATA hosted their first event in Beijing, known as Opportunity Lab, bringing together government officials, diplomats, representatives of commerce chambers and

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Chaoyang has adopted a number of meth- the foreigners who wish to start their business in ods to attract international professionals, such Beijing,” Akbar told Beijing Review. “I believe this as establishing the annual Overseas Talent initiative taken by the government will encourage Entrepreneurship Conference (OTEC). During the foreign nationals to deliver their plans.” Global Innovation Week, a section of the program, Gu Nik, a Russian student at Tsinghua last September, young international participants University, told Beijing Review, “Beijing is a great pitched their ideas as part of an entrepreneurship place to start a business, and the FTZ may provide competition. “Winners received 100,000 yuan even more opportunities to new entrepreneurs. ($15,248) in start-up funding,” Liu said. “We In addition to young entrepreneurs, diplomats might increase the funding amount in the future.” from foreign embassies also sought to identify op- Ahmadzai was one of the winners. “Before I portunities in the Beijing FTZ. “I come here to gain attended the competition, the organizer told me that more information about the Beijing FTZ,” Sofiene I only needed one idea in order to compete. After Dridi, a diplomat from the Tunisian Embassy in I won, they offered me a lot of assistance and sug- Beijing, told Beijing Review. gestions,” Ahmadzai said, adding that this is why Dridi said Tunisia and China have many joint he was able to turn his idea into a fully operating projects at the national level and are exploring coop- company in the Jinzhan Zone in only five months. eration in new fields such as e-commerce. Meanwhile According to Ahmadzai, he also encountered Tunisian businesses are also looking for partnerships some difficulties in the process of registering his with local Chinese governments. “Establishing FTZs new company. For example, the procedures of is an important Chinese experience that other coun- opening a bank account were unexpectedly compli- tries can learn from,” he added. cated and time-consuming. “I can understand it as FTZs are new test fields of reform and open- it might also be a new thing for the bank to help a ing up, and important platforms to attract foreign foreign entrepreneur here,” he said. “But I believe it investment. Since the first pilot FTZ was launched will be dealt with soon.” in Shanghai in 2013, 260 innovative policies have Chaoyang also cooperates with various chambers been formulated and replicated nationwide with re- of commerce and has established its own associations markable results. Wahed Ahmadzai, an for bringing in talented people. Every year, it invests According to a report by Xinhua News Agency, entrepreneur from more than 7 million yuan ($1.07 million) in talent de- in the first seven months of 2020, more than 3,300 Afghanistan and founder velopment programs, according to Liu. new foreign-funded enterprises were established of consulting firm N HUB, in FTZs. Paid-in foreign investment in these zones hosts an activity known Additionally, the district has established several as Opportunity Lab one-stop service centers for international profes- exceeded 90 billion yuan ($13.72 billion) and their in Beijing on March 31 sionals since November 2020. One of them is foreign trade volume reached more than 2.7 trillion

COURTESY PHOTO located in the Beijing Fortune Center in CBD. It in- yuan ($411 billion), accounting for 16.8 percent and tegrates different kinds of services, covering issues 13.5 percent of the country’s total, respectively. related to work and residence permits, housing, In September 2020, China approved three new marriage registration and children’s education. pilot FTZs in Beijing and Hunan and Anhui prov- These measures are not only attracting more inces, increasing the total number of such zones in foreigners to establish their startups in Chaoyang, China to 21. Like previous ones, each of the new- but also helping expand its international talent pool. est FTZs has its own development priorities. For “You can recruit people with high levels of compe- example, the Beijing FTZ will focus on supporting tence here,” Ahmadzai said. the construction of an innovation center with global influence; the Hunan FTZ will build a world-class Growing potential advanced manufacturing cluster and an international Junaid Akbar, a Pakistani student who is studying investment and trade corridor linking different ar- for his master’s degree in Beijing, is planning to eas; and the Anhui FTZ will promote the in-depth start his own company in China. He attended the integration of scientific and technological innova- event hosted by N HUB and the ATA to learn more tion and the development of the real economy. BR information about the Beijing FTZ. “I would definitely appreciate getting more in- Copyedited by G.P. Wilson formation regarding the FTZ and how it may benefit Comments to [email protected] http://www.bjreview.com APRIL 15, 2021 BEIJING REVIEW 37 FEATURES CONSUMPTION When Women Pull The Purse Strings Sheconomy surges as females show greater financial clout and independence By Li Xiaoyang

or Shirley Yao, who works for a financial The word, first coined in 2007, refers to the new economy driven by the company in Shanghai, consumption is a increase in female consumers in industries like tourism, medical cosmetology major source of happiness. and culture and entertainment. Their rising purchasing power stems from their FYao, in her 20s, earns 15,000 yuan ($2,286) rise in the workforce as they receive better education. per month. She splurges around 30,000 yuan According to a report by service consultancy Accenture, there are around ($4,569) annually on cosmetics and clothes. She 400 million female consumers in China aged between 20 and 60. Their total also spends money on ball-jointed dolls, which annual spending can reach about 10 trillion yuan ($1.5 trillion). Those born in look lifelike and have flexible limbs, and on idol the 1970s and 1980s play a major role in deciding household purchases. worship, avidly supporting popular idols, like pop “Compared with their male peers, female consumers, who can be more singers, film stars or players, by buying concert or enthusiastic about buying things for a high-quality life, have diversified match tickets and the products they endorse, no demands. With the boom in e-commerce platforms and live-streaming, fe- matter how expensive. male consumption is expected to play a bigger role,” Cui Lili, Director of Yao plans to get married by the end of this the Institute of E-Commerce at the Shanghai University of Finance and year. So she bought a pair of wedding rings worth Economics, told Beijing Review. 16,500 yuan ($2,513) from a luxury jewelry brand because its ambassador Cai Xukun is an idol of Differentiated demands her. Cai won a talent show program produced by Women have driven up consumption in many sectors, including those where online video platform iQiyi in 2018, where view- men used to be major consumers. Despite the COVID-19 epidemic, consumer ers had to pay to vote for their favorite contestant. spending remained resilient last year due to the boom in live-streaming and The show attracted a large number of domestic then the resumption of offline consumption. and overseas viewers, especially women. According to QuestMobile, a business intelligence service provider, “I have been a big fan of Cai for around three the number of female Internet users in China had exceeded 500 million by years. I spent around 50,000 yuan ($7,616) buy- January. More women above 36 and those living in small cities and rural areas ing products endorsed by him,” Yao told Beijing have started to shop online. Review. Different age groups show differentiated preferences in consumption. Like Yao, more and more women, particularly Those under 24 are interested in beauty and idol-related products while the 25- the younger generation with increasing income 35 segment tends to focus on maternity products. Those above 36 like to buy and changing consumption concepts, have become accessories, QuestMobile said. a major force in domestic consumption. High- As many women are appearance-conscious, beauty industries ranging from quality, diversified and personalized products cosmetics, clothing, luxuries and cosmetology are showing strong growth potential. and services that meet their upgraded demands, According to market research provider Euromonitor, China’s cosmetics please them and show their attitudes toward life market was worth 507.8 billion yuan ($77.3 billion) in 2020, a year-on-year have become their new pursuit. They are spending increase of 6.3 percent. Around 95 percent of domestic cosmetics consumers more on beauty, fitness and hobbies, making the are women aged between 20 and 40. The market will reach nearly 900 billion role of “sheconomy” in China’s consumer market yuan ($137 billion) by 2025, a report released last year by Qianzhan Industry increasingly significant. Research Institute, a market research consultancy, said.

38 BEIJING REVIEW APRIL 15, 2021 http://www.bjreview.com XINHUA FEATURES

Data from Vanke, a residential real estate developer, showed that the average price of a home bought by a woman was 1.74 million yuan ($265,100) in 2019, higher than the average price paid by a man at 1.73 million yuan ($263,600). According to Yan Jinqiang, a researcher with Beike Real Estate Research Institute, women have higher requirements for housing than men. They care more about factors like commuting time, whether the rooms are sound-proof, how well the kitchen is equipped, and the view from the balconies. Yan said the increase in the number of female home buyers shows the increasing purchasing power and say of women, who are seeking a sense of ownership and security. “Buying a house is also a good way of wealth management in my opinion,” Yao said. Consumers at a cosmetics counter of a duty free shop in Haikou, Hainan Province, on March 25 The auto market has more female consumers as well. Last year, more women bought cars than According to Qianzhan, the dressing style of Chinese women has become men, a first in a decade. For women, a car ac- more diversified. The value of the women’s clothing market exceeded 900 bil- counted for 22.28 percent of their total spending, lion yuan ($137 billion) in 2019. higher than men’s 22 percent, according to a poll Another consultancy, iiMedia Research, said women’s purchase of luxu- by China Central Television. ries and high-end personal hygiene products has risen steadily while medical cosmetology has gained popularity. Lurking sexism According to medical cosmetology platform SoYoung, there were over 15 To explore the potential of sheconomy, many million women who availed of medical cosmetology services in 2020, up around retailers have introduced shopping festivals with 35 percent year on year. Over half of them were born in the 1990s or later. discounts, invite pop idols to become their ambas- The leisure and entertainment industries are also attracting more and more sadors and use advertising showing female power female consumers. Data from Travelgo.com showed that in around 70 percent and independence. However, gender stereotypes of households, women make the travel decisions. Products such as online and sexism still exist. games, electrical devices, sportswear and sports facilities, and wines, which The Sexy Tea brand was criticized for an ad- used to be mainly consumed by males, have been embraced by more females. vertisement in February that insinuated women Idol shows, dramas adapted from popular works and programs on women’s are bargains. Then there was the case of Li Dan, life and work, are becoming increasingly popular among females of different a male comedian and e-commerce seller, who an- ages. Since the introduction of Idol Producer, the 2018 show featuring Cai gered netizens by promoting lingerie online with Xukun, many video platforms have made similar shows, driving the fan econo- the tagline, “Wear it and you will win easily in the my. TV drama Nothing But Thirty, which followed the lives of three women in workplace.” their 30s, and reality show Sisters Who Make Waves, a contest where 30 female Zhuang Yuxia, a researcher with the Shanghai celebrities aged over 30 had to compete to make it to a seven-member band, at- Academy of Social Sciences, told International tracted many female viewers in their 30s and triggered wave of empathy. Financial News that marketing that invites women to shop can lead to irrational consumption, waste At the wheel of resources and an excessive focus on appear- The rise of sheconomy can be notably seen in the property and automobile ance. “Instead of stressing the benefits of physical sectors. Traditionally, husbands used to buy the house and car for the family. beauty and objectifying women, sheconomy But now an increasing number of women in their 20s and 30s, who are finan- should focus more on encouraging women to keep cially independent, are buying their own homes and cars. fit, improve themselves through knowledge and In 2020, in a survey by real estate agency websites Anjuke.com and develop hobbies,” she said. BR 58.com, 38.8 percent of the women respondents said they could buy a home on their own; and 81.7 percent planned to buy one in five years. Many planned Copyedited by Sudeshna Sarkar to buy a house of their own before marriage. Comments to [email protected] http://www.bjreview.com APRIL 15, 2021 BEIJING REVIEW 39 FEATURES PSYCHOLOGY A New Frame of Mind Psychological health is gaining more attention, especially among China’s urban population By Lu Yan

couple of months ago, Wu Miao found herself trapped in a bout of depression whilst on maternity leave. On the one hand, she Aand her husband were strapped for cash as raising a baby turned out to cost a lot more than they had initially expected, and she was earning much less during the leave. On the other hand, her mother-in- law was temporarily staying with them to help take care of the baby, but this resulted in the occasional bickering over household trivialities. The sleep deprivation that comes with nursing a newborn only added to Wu’s moody blues. She then felt the urge to buy pretty, but unnecessary things like fancy clothes and jewelry to bring herself a sense of joy, but doing so only worsened the family’s financial situation—as well as her anxiety. Wu’s friend worried that she might be suffering from postpartum depression and suggested that she see a therapist. “But I didn’t think this was necessary. I could get better on my own,” the 31-year-old told Beijing Review. “Every family has their skel- etons in the closet, and everyone has their gloomy Institute of Psychology of the CAS and deputy editor in chief of the blue book. days.” Nevertheless, Chen added that people’s awareness of mental health problems should be improved so that they will take the problems more seriously. Mental sub-health “Nowadays, an increasing number of people know what depression actually Today, the average indexes measuring Chinese is, while years ago the disorder might be simply regarded as neurasthenia rather people’s capability in dealing with emotions, and than a psychological problem,” Chen told Southern Weekend. their self-knowledge, interpersonal communica- She went on to explain that one of the main reasons for someone to feel de- tion as well as adaptability to change are lower than jected is sleep disturbance, resulting usually from an overall lack of sleep. With those of 2008, according to a mental health develop- the pressures of daily life, such emotions may develop into a full-blown depres- ment report released by the Institute of Psychology sive disorder. of the Chinese Academy of Sciences (CAS) and “I’m a habitual late sleeper. I’m reluctant to go to sleep because I feel the time China Social Sciences Press in March. The blue before bed is the only me-time that I can enjoy after a whole day of working and book, entitled Report on National Mental Health taking care of my family. If I go to sleep early, then another long and hard day of Development in China (2019-20), was based on struggles will arrive in a blink of the eye,” Wu, who has by now completed her over 60,000 survey samples collected from different maternity leave and resumed working, said. provinces across the country. This lack of sleep is also bothering today’s teenagers. The report shows that It seems that mental health problems are becom- young students today are sleeping far less than a decade ago. Only 46.4 percent of ing more prominent, with healthy lifestyles being Chinese adolescents slept for eight hours or more on school nights in 2020, down compromised, and the pressure from all aspects of 1 percent from 2019. Meanwhile, the average sleep time for Chinese teenagers in life on the rise, says Chen Zhiyan, a professor at the 2020 was about 7.8 hours, 0.3 hour less than in 2019. In 2020, primary and middle

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school students got 40 minutes less sleep than a Positive measures decade ago, while high school students got 10 to 20 Mental health work is receiving more attention minutes less. from the government, said Fu Xiaolan, head of the Xu Ruobing, a sixth-grader in Beijing, said that Institute of Psychology of the CAS, adding that she is especially sleepy during the weekends as she mental health work is now better organized and pro- needs to attend drawing classes and other special fessionalized than ever before. training classes during the day and interact with her According to a policy document jointly issued schoolmates and friends throughout the evening, by the National Health Commission and eight other sometimes via online games, before going to bed. departments, China plans to set up mental health

XINHUA Chen said COVID-19 may have added to the outpatient services in a number of general hospitals worsening sleeping problem, as students had to use in pilot areas by the end of 2021. Moreover, in- electronic devices to attend online courses, among school psychological counseling will be provided other things. It is hard to control the time they spend to all primary and middle schools in pilot areas. It on these devices and some students have a tendency also called for in-time psychological counseling and to stay up very late on their phone. intervention for COVID-19 patients and their rela- A lack of sleep for elementary and middle tives, people in quarantine, as well as medical staff. school students may set off a chain reaction, in turn In 2019, an action plan was rolled out offering affecting their academic and physical health, accord- suggestions on how individuals and families and ing to Cheng Pingyuan, a professor at the School of all sectors of society can work together to improve Social Development of Nanjing Normal University. the people’s overall mental health, such as by us- He believes that this may even lead to psychological ing more scientific methods to ease daily pressure, depression and suicidal thoughts. making sure people get enough sleep, giving full The blue book also shows that the average level play to the role of mental healthcare institutions, and of anxiety among people aged 18 to 34 is higher enhancing mental health education among new em- than that of other age groups in adulthood. The ployees and students. result echoes a survey report on the prevalence of Companies, too, have given prominence to the mental disorders among Chinese adults conducted mental health of their employees by inviting special- by Huang Yueqin, a professor of the No. 6 Hospital ists to give lectures, providing regular psychological of Peking University, which showed that among all counseling and organizing interactive events. age groups, people aged 18 to 34 have the highest In 2020, JD Health, a large online healthcare A medical worker informs incidence of alcohol, insomnia or pain medication platform in China, launched an online free clinic residents on the disorders. The report was published in the interna- prevention and control through a dedicated app in cooperation with a num- of mental health tional journal The Lancet Psychiatry in 2019. ber of major hospitals, offering online inquiry and disorders in Xingtai, Chen said the anxiety partly stems from an psychological counseling services. Lu Lin, Director Hebei Province, overload of information. In addition, more life of the No. 6 Hospital of Peking University, said on October 10, 2020 choices and the urge to compare themselves with convenience and confidentiality are the main ad- other people may lead to a sense of self-loss and vantages of such online platforms. Furthermore, as anxiety. there are no digital boundaries, patients are able to The mental health status of the urban population consult specialists from all over the country. is better than that of the rural population; mental Despite the promising progress, the supply of health problems are more prominent in low-income, mental health services is yet to fully meet the demands less educated, and unemployed people, according to of the public, forewarned the report, stating that the the report. geographical discrepancy in this regard is obvious. The report also shows that people’s mental The blue book calls for the improved regular- health awareness has increased significantly, and ization of mental health services and advises more the convenience of mental health services has also attention be paid to the mental health status of the greatly improved, according to the report. The sur- undereducated population and those residing in un- vey shows that compared with the previous year, derdeveloped areas. BR more people feel that their own mental health and that of those around them has become better, and Copyedited by Elsbeth van Paridon more people are feeling optimistic about the future. Comments to [email protected] http://www.bjreview.com APRIL 15, 2021 BEIJING REVIEW 41 FEATURES HEALTH Critical Makeover China advances medical reform to substantially lower drug prices By Hu Fan

epresentatives of over 100 pharmaceu- On January 28, the State Council accelerated tical companies gathered in a hotel in the reform by issuing guidelines. The guidelines Shanghai on February 3. Documents stated that the reform will first focus on drugs Rin hand, they were there to attend a central- frequently used and then expand to include all ized procurement session organized by China’s reliable drugs sold in China and necessary in health authority. clinical practice, and that all public hospitals This was the fourth time such a centralized in the country should participate in centralized procurement took place. The organizers had procurement. collected the information on the needs of pub- The new system is being embraced by phar- lic hospitals across the country for 45 kinds of maceutical companies operating in the country. drugs. They invited pharmaceutical companies In the fourth session of centralized procurement there to bid for procurement contracts. that came one week after the issuance of the The competition was fierce. At the end of the meeting, 158 products were chosen with guidelines, the procurement of all target drugs price cuts of 52 percent on average and a maxi- was completed, with no failure in bidding as mum of 96 percent. found in the first three sessions. The meeting was part of a reform aimed The reform has also expanded to the medi- at lowering medicine price by eliminating the cal device sector. In November 2020, people need for pharmaceutical companies to promote were startled by the news that coronary stents drugs to individual hospitals. First trialed in 11 previously sold for 13,000 yuan ($1,998.1) on cities in 2018, the reform has now expanded nationwide. The four rounds of national centralized procurement involved 157 kinds of drugs, with an average price cut of 50 percent. Reform underway The mechanism works through combining needs of public hospitals across the country for a particular medicine into one order for qualified pharmaceutical companies to bid for. Bidders with the lowest prices will share the order. Since a considerable amount of sales is guaranteed, pharmaceutical companies can offer lower prices and still earn money. To ensure quality despite price cuts, confor- mity evaluation is performed before centralized procurement and only those that meet the standard become candidates for the bids. More measures are being developed to ensure both quality and reasonable profit in special cases such as a price rise of raw materials after win- ning the bid.

42 BEIJING REVIEW APRIL 15, 2021 http://www.bjreview.com FEATURES

average were included in the health insurance doctors so that they are less dependent on drug directory for a median price of around 700 yuan sales for income. They are also rewarded with ($107.6). part of the money saved for the medical insur- A medical worker picks ance fund from prescriptions. up patients’ medicines Benefiting people at a community The price cuts have brought immediate ben- Reshaping the industry hospital in Weifang, efits to patients, especially frequent users of Hu Hao, Marketing Director of a leading pharma- Shandong Province, on November 11, 2020 previously expensive drugs. For example, ge- ceutical manufacturer in China, called the reform fitinib, a cancer drug prescribed three boxes “groundbreaking.” XINHUA per month, was previously sold at 2,280 yuan “It can be seen as the most powerful reform in ($350.4) per box. Patients had to pay over 3,000 decades that may bring fundamental changes to yuan ($461.1) a month despite insurance cov- China’s pharmaceutical industry,” he told Beijing erage, which was a heavy burden, especially Review. for the low-income population. The price of In his opinion, the direct effect is that the the drug has now dropped by 76 percent and low prices of the drugs may lead to a new way the patients pay only around 700 yuan ($107.6) of marketing, which is no marketing at all. “We each month. simply won’t have the money to do marketing,” By the end of 2020, the first three sessions he said. of centralized procurement have brought over And they don’t need to now. The centralized 100 billion yuan ($15.37 billion) in savings for procurement has eliminated the need for pharma- patients, as well as for the health insurance fund, ceutical companies to promote their products to according to the National Healthcare Security individual hospitals, which constituted the major Administration. part of their marketing activities. The focus of Apart from a smaller medical bill, the re- the company now is to win bids for its products form has brought other important benefits. in centralized procurement, as it is a do-or-die The traditional way of drug marketing allows game. for a profit for hospitals stemming from drug The reform is targeted at established drugs no prescriptions. As a result, hospitals may pre- longer protected by patent rights. These drugs can scribe more drugs than needed and prefer the be easily developed and approved, and are usu- expensive ones. This not only increased the ally produced by multiple manufacturers. New CNSPHOTO economic burden for patients, but also wasted drugs, on the other hand, will not be affected by medical insurance funds. With the new reform the policy. squeezing out that part of profits, hospitals Hu said very few Chinese companies can will have no motive to overuse the drugs from develop new drugs. Considering the expertise re- centralized procurement. This helps solve the quired, the huge investment, and the duration and problem of overtreatment, which has long been chance of failure, it is a difficult decision to make a hot spot of public discontent. to initiate new drug programs, even for leading It also helps improve patients’ access to companies. medicine. Besides, the money saved allows China’s insufficient capacity in drug research more drugs to be included in the health insur- and development is no secret, although it is the ance directory. world’s second largest pharmaceutical market Multiple measures have been taken to ensure and has over 6,000 pharmaceutical companies. preferred use of the medicine from centralized Hu believes that the reform will weed out most of procurement. Hospitals are encouraged to ad- the players in the pharmaceutical sector, leading just the prices of medical services provided by to the development of Chinese medical giants that have strong capacities to develop new drugs. “We will face a difficult time, but we are on the right BR Workers package medicine track,” he said. at a pharmaceutical plant in Nantong, Jiangsu Province, Copyedited by Madhusudan Chaubey on March 15 Comments to [email protected] http://www.bjreview.com APRIL 15, 2021 BEIJING REVIEW 43 44 BEIJING REVIEW APRIL 15, 2021 http://www.bjreview.com http://www.bjreview.com APRIL 15, 2021 BEIJING REVIEW 45 CULTURE Scenes From Xinjiang group of photographers made an Circles in Chaoyang District in Beijing. art odyssey to Xinjiang Uygur They showed diverse lifestyles, local Autonomous Region last year, culture, and the progress made in environ- Aexploring its natural beauty and the color- mental protection and poverty alleviation. ful lives of the people there. These are some images from the ex- Fifty-six ethnic groups, including hibition which took place from March 22 Uygur, Han and Kazak, live in Xinjiang, to 31, hosted by the federation and China making it one of the regions with the Photographers Association. BR most ethnic groups in China. (Text and Photos by Wei Yao) About 100 photographs from the trip were exhibited at the headquarters of Copyedited by Sudeshna Sarkar Comments to [email protected] the China Federation of Literary and Art

46 BEIJING REVIEW APRIL 15, 2021 http://www.bjreview.com CULTURE

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1. A show of solidarity among ethnic groups in Xinjiang Uygur Autonomous Region at a Xinjiang-themed photo exhibition in Beijing

2. Children look at a photo of their Xinjiang peers playing the strategic board game Go

3. Photographs of beautiful landscapes printed on tapestries with local characteristics

4. Livestock grazing in the grassland

5. Women dressed in traditional ethnic attire pose at a vineyard in Awati County

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http://www.bjreview.com APRIL 15, 2021 BEIJING REVIEW 47 EXPAT’S EYE Encountering the Palace Cats By Sophia Dooly COURTESY PHOTO ince 2009, certain furry occupants self-doubt that I would ever so much in the Forbidden City, or the as see a tuft of fur. In the third week, Palace Museum, have been receiv- however, as I was walking through the ingS global social media attention: the western gate yet another time, I was sur- palace’s small army of stray cats. Some prised to spot not one, not two, but three descendants of imperial pets, others slightly disheveled cats reclining majesti- wandering in from other parts of the city, cally on the corner of a porch in front of these diligent feline guards are allowed an office. Like any mature young histo- inside the museum walls for the primary rian, I let out a squeal of excitement and purpose of defending its wooden struc- in a high-pitched voice cooed to the furry tures and priceless relics against mice and guards in Chinese, “Hi kitties!” Needless rats. to say, these pampered royals ignored Today they number between 180 and me, preferring the shade of a window 200, according to a census taken in 2016. ledge or a resting on tarp right next to The cats receive healthcare, housing and their white painted cat houses lined up cat food as well as lots of free love from neatly on the porch. tourists. Eventually spotting three more cats When I visited the Forbidden City in outside the front gate to the archives, and the summer of 2018, however, my itiner- The author in front of the First Historical even inside the bamboo garden of the em- ary was a bit different from that of the Archives of China ployees’ exercise grounds, it wasn’t until average American tourist: I stayed in one my second to last week in Beijing, that I of Beijing’s ever declining hutong areas, perform. Nowadays, it is a slightly intimi- finally got to pet one. The slightly plump, living by myself in a small hotel for a dating checkpoint for museum officials’ fluffy cat looked like the real “boss” of whole month to research the history of cars, staff and visiting researchers—such the palace as he made his way over to Qing Dynasty (1644-1911) palace maids, as myself. me in imperious fashion, staring with his whose lives were immortalized in the As soon as I got through the gate, I sharp yellow and blue eyes and letting wildly popular 2018 TV series The Story would make my way over to the First out short, loud meows demanding atten- of Yanxi Palace, especially in the plucky Historical Archives of China, located tion. Despite his intimidating appearance, character of Wei Yingluo. alongside the outer wall of the palace he was very friendly and content to be The grueling 20-minute walk to the and containing almost all the histori- scratched behind the ear and even given museum every morning through Beijing’s cal records of the Imperial Household a belly rub. Nevertheless, like a petulant stifling heat involved picking up a break- Department of the Qing emperors. Before little prince he got mad and indignantly fast of rice chips at a nearby convenience setting out to the capital, I had already objected when eventually I got up and store, buying freshly squeezed orange conducted some background research on left him to walk back out of the Palace juice from a street vendor no more than the history of the Palace Museum itself Museum. 10 feet away from the Eastern Prosperity and to my delight managed to retrieve a For those cat enthusiasts planning Gate, and trekking through the crowds BBC article about the famous palace cats. on taking a trip to China’s capital, these along the palace moat and past the front I was determined to spot at least one of slightly unkempt, but absolutely adorable Meridian Gate for tourists. I would check them during my stay there. security guards are definitely worth spend- in at the small staff entrance and, once I was two weeks into my jour- ing a day in the palace looking for. BR signed in, would scoot along the wall ney when I passed under the Western of the road passing under the ancient Prosperity Gate, decidedly disappointed The author is a Yenching Academy scholar at Peking University from the United States Western Prosperity Gate; once the entry- that I had failed to catch a glimpse of Copyedited by Elsbeth van Paridon way for entertainers to enter the palace to these slippery felines. I began to fight Comments to [email protected]

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