VOL. XXIV No. 12 December 2012 Rs. 10.00
Photo Taken on December 16, 2012 Shows Red Leaves at Wushan Mountain in Chongqing, Southwest China. Mr. Wu Bangguo, Chairman of the Standing Committee of Mr. Zhang Ping, Chairman of the National Development and the Chinese National People’s Congress met with India’s Reform Commission of China, shook hands with Montek National Security Advisor Mr. Shiv Shankar Menon in Singh Ahluwalia, Deputy Chairman of the Planning Beijing on Dec. 4, 2012 . Commission, Government of India in New Delhi on Nov. 26, 2012. The Second Meeting of China-India Strategic Economic Dialogue kicked off on the same day.
Mr. Li Junru, Former Vice President of the Central Party Mr. Luo Zhaohui, Director-General of Asian Affairs School of the Communist Party of China (CPC) and Department of Ministry of Foreign Affairs of the P. R. China Member of the Standing Committee of the Chinese held China-India diplomatic consultations with his People’s Political Consultative Conference (CPPCC) counterpart Mr. Gautam Bambawale, Joint Secretary of National Committee, held discussions with the Observer East Asia Division of Ministry of External Affairs, Research Foundation on the 18th CPC National Congress, Government of India in New Delhi on Nov. 27, 2012. China’s future development road, regional and international issues in New Delhi on Nov. 28, 2012.
Mr. Deng Xijun , Chargé d’ Affaires of the Chinese Embassy Amb. Lu Shumin, Vice President of the Chinese People's in India, was talking with the Indian Journalists taking part Institute of Foreign Affairs held a meeting with Amb. Rajiv in the press briefing in the Embassy on the 18th CPC K. Bhatia, Director General of Indian Council of World National Congress on Nov. 20, 2012. Affairs in Sapru House, New Delhi on Dec. 13, 2012. NEWS FROM CHINA /DECEMBER 2012 3
CONTENTS
I. CHINA-INDIA RELATIONS
1. Top Chinese Legislator Meets India’s National Security Advisor 4 2. Premier Wen Jiabao Meets with Indian Prime Minister Manmohan Singh 5 3. China, India Agree to Maintain Peace in Border Areas 6 4. State Councillor Dai Bingguo Gives an Interview to Press Trust of India 7 5. Li Junru Leading a CPC Goodwill Delegation Visits India 10 6. Chinese Embassy in India Holds a Press Briefing on the 18th National Congress of the Communist Party of China 11 7. Remarks by Mr. Deng Xijun, Chargé d’ Affaires of the Embassy of the PRC at the “Lu Xun and His Legacy” International Conference 12 8. China and India Hold Diplomatic Consultations 14 9. China-India Cooperation has Sufficient Space: FM Spokesman 15 10. China Daily Asia Leadership Roundtable Focuses on China-India Cooperation 15 11. India, China: Friends, not Foes 16
II. INDIA-CHINA STRATEGIC ECONOMIC DIALOGUE
1. Indian PM Highly Evaluates India-China Strategic Economic Dialogue 18 2. China, India Make In-depth Dialogue on Strengthening Cooperation 19 3. India, China Vows to Expand Economic Cooperation in 2nd Strategic Economic Dialogue 20 4. China, India Share Broad Cooperation Prospects Despite Border Disputes 21
III. EXTERNAL AFFAIRS
1. Wen Jiabao Meets with Russian President Vladimir Putin 22 2. China, Maldives Pledge Strengthened Military Ties 23 3. Dry Port Construction to Begin at Nepal-China Border 24 4. China Sticks to Peaceful Development Despite Squabbles, Military Advancement 24 5. How Will China Consolidate Friendly Relations with Neighbors and Ensure that Its Development Will Bring More Benefits to the Neighbors? 26
IV. DOMESTIC AFFAIRS
1. Solar Industry’s Critical Juncture 28 2. Riding on a Green Dream 31 3. No Big Money Exit 33 4. When Will Protectionism End? 35
V. TIBET TODAY
1. Desperate Expat Doomed to Failure 38 2. Buddhist Doctrine Opposes Self-immolation 39 3. Tibetan Children Benefit from Charity Projects 41 4. Tibetan Buddhist Architecture Restored to its Original Glory 41 5. Chinese Delegation Promotes Tibetan Culture in France 42 6. Swiss Scholar: Tibet Now No Doubt a Better Place 43 7. Famous Trekking Routes in Tibet 45 8. A Good Menpa in the Eyes of Tibetan People 47 9. Singing Soundly with Gratitude 50 4 NEWS FROM CHINA /DECEMBER 2012
I. CHINA INDIA RELATIONS
Top Chinese Legislator Meets India’s National Security Advisor
Top Chinese legislator Wu Bangguo met with India’s National Security Advisor Shiv Shankar Menon in Beijing on December 4, 2012. Wu, Chairman of the Standing Committee of the National People’s Congress (NPC), the country’s top legislature, spoke highly of the progress made regarding a China- India meeting mechanism between special representatives on boundary issues that was set up in 2003. State Councilor Dai Bingguo and Menon held talks on boundary issues on Dec. 3. China and India share a 2,000-km- long border that has never been formally cooperation and settle boundary issues through delineated. The two countries had a border conflict friendly negotiations. in 1962. India will not let boundary issues exert a Both sides began to discuss border issues in the negative impact on its overall relations with China, 1980s. To maintain peace and stability in their Menon said, adding India is confident about the border areas, the two sides signed two relevant prospects of bilateral relations. agreements in 1993 and 1996, respectively. As the two biggest developing countries in the In 2005, the two countries signed a political world, China and India are Asian neighbors and guideline on border demarcation during Premier countries with ancient civilizations, Wu said. Wen Jiabao’s visit to India. Over the past decade, China-India relations Wu said the two countries should take a have become mature and stayed on a healthy and strategic and all-around view, equally negotiate, stable track, Wu said. respect and understand each other and make As the international situation is undergoing progress using the current mechanism. profound changes, China and India share extensive Wu said he is convinced that the two countries common interests, enjoy broad room for have the capability and wisdom to resolve cooperation and face new opportunities for boundary issues. development, Wu said. Menon said India expects to enhance talks at Stressing China would like to see a stable and various levels with China, expand pragmatic flourishing India, Wu said it is China’s strategic NEWS FROM CHINA /DECEMBER 2012 5
choice and policy to step up good-neighbor and stable surrounding environment. friendship and cooperation with India. It is significant to the two countries and the Wu said China would like to work with India world to deepen India-China relations, said Menon. to deepen political trust and boost bilateral strategic Menon underscored India’s commitment to cooperative partnership, which complies with developing a strategic and cooperative partnership fundamental interests of both countries and works with China that is oriented toward peace and for regional and world peace, stability and prosperity. prosperity. Menon concluded his Beijing visit on the Menon said both countries are confronted with afternoon of Dec. 4. the same development goals and require a peaceful
Premier Wen Jiabao Meets with Indian Prime Minister Manmohan Singh
On November 19, 2012, Chinese Premier Wen promote infrastructure cooperation, Wen said. The Jiabao met with his Indian counterpart Manmohan Chinese government encouraged Chinese enter- Singh in Phnom Penh. prises to participate in major construction projects It was of great significance for China and In- in India, he said. Third, Wen also called for favor- dia, the most populous countries and two neigh- able policies and social environments for expand- boring nations with ancient civilizations, to step ing investment in both countries as well as facili- onto the road to prosperity at the same time, Wen tation in finance, information and legal services. said, adding peaceful co-existence and close coop- Fourth, more efforts should be made to improve eration not only benefited the people of the two the quality and level of cooperation and foster new countries, but also helped to promote world peace growth points, Wen said. Fifth, Wen also suggested and prosperity. Both sides have kept closer bilat- the two sides promote bilateral trade to achieve eral relations, established a strategic cooperative balanced growth while opening up markets to partnership, set out the political guiding principles ward off protectionism. for resolving the border issues and maintained the Singh offered congratulations on the success- peace and tranquility of the border area. Both ful conclusion of the 18th National Congress of sides have also enjoyed rapid growth of bilat- the Communist Party of China. Singh said the eral trade and more active people-to-people ex- friendship between the two countries has a long changes and joined hands to safeguard their history. The two nations have improved the dia- common interests in major international and re- logue and cooperation mechanisms, expanded co- gional affairs. operation areas and conducted close communica- Wen said the two countries should seize stra- tion and coordination in international and regional tegic opportunities to expand mutually beneficial affairs since the establishment of a strategic part- cooperation. First, China and India should en- nership of cooperation, effectively safeguarding the hance bilateral communication and coordination common interests of both countries and other de- in implementing macro-economic policies through veloping nations. India was ready to work with strategic dialogues and better combine each other’s China to push bilateral ties to a higher level, he development strategies. Second, both sides should said. 6 NEWS FROM CHINA /DECEMBER 2012
China, India Agree to Maintain Peace in Border Areas
China and India agreed to maintain peace and tranquility of the border areas before a final settlement on the issue. China’s State Councilor Dai Bingguo and India’s National Security Advisor Shiv Shankar Menon co-chaired talks in Beijing on Dec. 3, 2012. Both sides agreed to create a favorable atmosphere and conditions for the final settlement of the border issue and agreed that it should not affect the positive development of China-India ties, according to a Chinese Foreign Ministry statement. China and India experienced a border conflict in 1962. The two countries launched sincerely wants to be India’s strategic partner on the mechanism of meetings between special the basis of equality, mutual trust, inclusiveness, representatives on border issues in 2003. mutual learning, cooperation and mutual benefit. The two sides confirmed they will speed up Bilateral cooperation in the last 10 years has work to further narrow differences, on the basis witnessed remarkable results in various fields, the of peace and friendship, equal consultation, state councilor said, noting that China and India mutual respect and mutual understanding, have explored an effective way to get along with according to the statement. each other. On bilateral relations, Dai said that the Chinese The two countries should have a clear idea side is committed to developing long-term, stable, about some parties’ intentions of undermining good-neighborly, friendly and cooperative relations bilateral ties. They should also remember that there with India. is more consensus than dispute, and more China’s policy on India is in line with the cooperation than competition, between China and foreign policy thinking stated by the 18th National India, said the state councilor. Congress of the Communist Party of China, As advocates of the Five Principles of Peaceful according to Dai. Coexistence, both China and India have sufficient The interests of China and India are linked to wisdom and capabilities to handle bilateral ties, each other and the two’s fates are related, Dai said. make more efforts for mutual benefit and prevent He noted that as two large emerging countries, “noise” from diverting friendly cooperation and both China and India are facing the historic task common development, he added. of developing an economy and improving people’s Every step forward in the two countries’ livelihood. development as well as bilateral ties will contribute China always regards its relations with India to the peace, security and cooperation in the world, as one of its most important diplomatic relations, Dai said. according to Dai, who stressed that China The experience of handling and controlling NEWS FROM CHINA /DECEMBER 2012 7
disparities between China and India has made an bilateral high-level exchanges, maintain dialogue important contribution to enriching the theories and consultation, expand cooperation in trade, and practices of international relations, Dai said. investment, service and other fields, promote Menon said that India and China share interoperability of infrastructure and enhance common views on many major issues and their border trade, according to Menon. consensus is far greater than differences. The two sides also exchanged views on Developing relations with China is one of the international and regional issues. priorities of India’s foreign policy, he said Foreign Minister Yang Jiechi also met with He stressed that India will not participate in Menon on Monday, according to the Foreign any attempt to contain China. Ministry. The Indian side hopes to further strengthen
State Councillor Dai Bingguo Gives an Interview to Press Trust of India
Recently, State Councillor Dai Bingguo gave him produced constructive results. It is much an interview to the resident correspondent in regrettable that both of them left us forever. The Beijing from Press Trust of India. The full text of third Indian special representative I worked with the interview is as follows: was Mr. M.K. Narayanan. We concluded the Agreement on the Political Parameters and Question 1: You were engaged with several Guiding Principles and then started discussions on Indian officials, especially Brajesh Mishra (who the framework for a boundary settlement. The died recently) and the present National Security current Indian special representative, Mr. S.S. Advisor, Mr. Shiv Shankar Menon and others. I Menon, served as the Indian ambassador to China would like to hear your impressions about them. and is deeply knowledgeable about China. He and Can you please recall some key moments of the I have had in-depth discussions on the settlement dialogue process and the breakthroughs? framework and reached consensus on quite some Answer: The special representatives’ meeting issues. I have forged good working relationship mechanism on the China-India boundary question and personal friendship with all four Indian special was launched in 2003 by the prime ministers of representatives. We have worked together to seek the two countries. Since then, I have held 15 the settlement of the boundary question and grow meetings with four Indian special representatives. the bilateral relationship. Our talks have received Mr. Brajesh Mishra was the first Indian special high attention and guidance from the leaders of representative. He was a seasoned diplomat and both countries. During each of my visits to India once had a conversation with Chairman Mao for the boundary talks, I have been granted a Zedong on the Tian’anmen rostrum. Mr. Mishra cordial meeting by the Indian prime minister. and I started the negotiation process to formulate the political parameters and guiding principles for Question 2: This year is the 50th year of the the settlement of the boundary question. The 1962 Sino-Indian war. Both countries had a second Indian special representative was Mr. J.N. strong emotional relationship nurtured by the Dixit, a veteran career diplomat. My meetings with leaders before the war with slogans like Hindi- 8 NEWS FROM CHINA /DECEMBER 2012
Chini Bhai Bhai. How difficult is it to restore leaders of both sides agree that the China-India the relations? Is it possible to take them to that relations have gone beyond the bilateral scope and level? acquired global and strategic significance. We are Answer: In over 2,000 years of exchanges partners in win-win cooperation, not rivals in between China and India, we have been friends competition. There is enough space in the world for 99.9 percent of the time, while unpleasant for the development of both China and India and experience took up only 0.1 percent. More and enough areas for our two countries to cooperate more people of vision in India believe that our two in. These visions and fundamental views have countries should cast off the shadow of history in guided the sound growth of the bilateral ties. a forward-looking spirit, and the past should guide Our relationship has gained increasing rather than hinder our endeavor to build a bright importance in China’s foreign relations. As the future together. I fully agree with this view. China person in charge of China’s foreign affairs and as is fully committed to pursuing peaceful China’s special representative on the boundary development and developing friendly and question, it is my honor to have witnessed the cooperative relations with India. As the saying growth of the bilateral relations and done my bit goes, nothing is impossible to a willing mind. It to promote it. seems to me that as long as we are devoted to The recently concluded 18th National staying friends forever, never treat each other as Congress of the Communist Party of China set out enemy, pursue long-term peace and friendly the guiding principles and policies for China’s coexistence and vigorously promote win-win development, and highlighted China’s cooperation, we will be capable of creating miracles commitment to an independent foreign policy of to the benefit of our peoples and the entire peace and the path of peaceful development. We mankind. will continue to concentrate on development with every determination. At the same time, we will Question 3: Many in India agree that China continue to promote friendship and partnership pursued a deep engagement policy with India with our neighbors, consolidate friendly relations under President Hu Jintao and Premier Wen and deepen mutually beneficial cooperation with Jiabao. How do you look at their contribution, in them, and ensure that China’s development will a way your own contribution to the Sino-India bring more benefits to our neighbors. To develop relations, and Indian leadership’s responses to good neighborly relations with India is China’s it? How China’s new leadership looks at its longstanding strategic choice. After the 18th Party future relations with India? Congress, China will place more importance on Answer: Over the past decade, China-India developing the strategic and cooperative relations have enjoyed rapid and in-depth growth partnership with India. I firmly believe that the and become more stable and mature. future of China-India relations will be even The burgeoning bilateral relations are brighter. attributable to the high importance and personal attention given by the leaders of both countries. Question 4: You are the Chinese official who During the last ten years, the two sides maintained had the longest engagement with India on Sino- frequent high-level visits. President Hu Jintao and India border dispute. How much ground have Premier Wen Jiabao each met with Prime Minister we covered and what are the prospects for Manmohan Singh over ten times in bilateral and settlement? What is your message in this regard multilateral settings, developing genuine for future negotiations and for people of both friendship with the Indian prime minister. The countries? How can an agreement be made NEWS FROM CHINA /DECEMBER 2012 9
possible? Answer: The Asia-Pacific region, with relative Answer: Since we restarted the boundary talks stability and rapid development, is an important in 1979, China and India have worked relentlessly driver of world economic recovery and growth, to push forward the negotiations and achieved thanks to the joint efforts of all countries in the some positive results. In 2003, we took an region. We hope that the shift of US Asia-Pacific innovative step and set up the special strategy will be in keeping with the trend of the representatives’ meeting mechanism. In 2005, we times and meet the common aspiration of the region signed the Agreement on Political Parameters and for more stability, closer cooperation and common Guiding Principles for the Settlement of the China- development. India Boundary Question, and moved on to explore China welcomes the efforts of India and the the framework for a boundary settlement, which US to grow normal relations on the basis of mutual is the second stage in a three-stage process. The respect, equality and mutual benefit, and hopes two countries have signed two agreements and one that their cooperation will promote peace and protocol on the maintenance of peace and stability of the region. In my view, India is a tranquility and confidence-building measures in country of strategic independence. It will not be the border areas, and have set up a working wooed or ordered about by anyone else. Being a mechanism for consultation and coordination on forerunner of the Non-Aligned Movement and a border affairs. These efforts have helped ensure large emerging country with growing durable peace and stability in the border areas and international influence, India will stick to its played a positive role in establishing and traditional independent foreign policy and developing the China-India strategic and contribute to the peace and development of the cooperative partnership. region and beyond. The boundary question, an issue left over from Question 6: Critics in India point to China’s history, is highly complicated. An early settlement close “all weather” relations with Pakistan, will serve the fundamental interests of the two especially in the defence area. What is your countries and peoples. I believe that in seeking the response to them? Has the Sino-Indian settlement, we should always bear in mind the relationship now outgrown the Pakistan factor? overall interest of the bilateral relations, act in the Answer: Pakistan is a neighbor and traditional spirit of peace, friendship, equal-footed friend of China. China and Pakistan have consultation, mutual respect and mutual developed relations in an open and aboveboard accommodation, and work to narrow differences manner. There is no hidden agenda, and the and expand common ground. If we work in this relationship is not targeted at any third party. way, we will find a fair, reasonable and mutually China provides Pakistan with economic and acceptable settlement. I hope that the special humanitarian assistance within the realm of our representatives from both sides will keep up the capabilities and we carry out cooperation in good work and finish the negotiation. various areas. It is conducive to the stability and Question 5: Last decade in many ways is development of Pakistan and consistent with the marked by the rise of China and to an extent interests of all countries in the region. India. In the new strategic environment where Both India and Pakistan are close neighbours US policy of Asia pivots its efforts to woo India, and friends of China. We sincerely hope that India how concerned is China? There are voices in and Pakistan will have a friendly relationship, and China who say India will pursue an independent applaud the improvement in their relations. China foreign policy. Is that your perception too? will work with India and Pakistan to build sound 10 NEWS FROM CHINA /DECEMBER 2012
and mutually-reinforcing relations between our Question 8: Lastly the two countries made three countries and create a peaceful and stable strong push for trade ties in the last decade. regional environment based on equality, mutual Though it reached about USD 75 billion, India’s trust and win-win cooperation. trade deficit is ballooning. How does China look to address it? Can we look for new initiatives Question 7: How is the Sino-Indian defense and investment in this regard from the new relationship shaping? How do you view the leadership of China? perception in India that it should constantly Answer: China’s economy is an open match China’s growing military might? economy. We do not seek a trade surplus. While Answer: China and India have made headway China enjoys a surplus with the US, Europe and in defense cooperation in recent years, as India, it has a deficit with Japan and the Republic evidenced by the two exchanges of visits between of Korea. It is true that China’s export has grown our defense chiefs, the launch of Defense Dialogue, fast, but our import has grown at an even faster two joint military exercises involving our armies, pace. mutual port calls by naval vessels, joint escort In recent years, China-India bilateal trade has missions in the Gulf of Aden, as well as frequent expanded rapidly, bringing real benefits to both meetings and contacts between our border troops. sides. As neighbours and large emerging countries, As we continue enhancing our mutual China and India enjoy huge potential and broad understanding and trust, the potential for defense prospects for economic cooperation. We are cooperation will be further unleashed. confident that, by working together, we will reach China advocates a new security concept that the goal of USD 100 billion of two-way trade by stresses mutual trust, mutual benefit, equality and 2015. China pays close attention to the trade coordination. We seek to promote security through imbalance. We have already encouraged Chinese cooperation and resolve disputes through dialogue. companies to import more from India and will This is reflected in the negotiation with India to continue to do so. We welcome Indian enterprises resolve the boundary question and our joint effort to actively explore the Chinese market. Not long to maintain peace and tranquility in the border after the 18th Party Congress, we held the second areas. China and India pose no threat to each China-India Strategic Economic Dialogue, which other. The security of both countries can be produced many results. I am sure it will lend new achieved only by pursuing peaceful co-existence impetus to our efforts to expand trade and mutual and common development. I believe that China investment. and India will continue on this path and work to China is implementing its 12th five-year plan. enhance mutual trust and resolve disputes through During this period, China’s total import is expected friendly cooperation. In so doing, we will promote to reach USD 10 trillion. I sincerely hope that our common security and contribute to the durable Indian companies will seize this opportunity and peace and common prosperity of the Asia-Pacific export more products that meet the demand of the region. Chinese market.
Li Junru Leading a CPC Goodwill Delegation Visits India
Mr.Li Junru, Member of the Standing Commit- Conference (CPPCC) National Committee and tee of the Chinese People’s Political Consultative Former Vice President of the Central Party School NEWS FROM CHINA /DECEMBER 2012 11
of the Communist Party of China (CPC), led a CPC At the meetings, Li Junru thanked the Indian goodwill delegation to visit India from November political parties for their congratulations to the 18th 24 to 28, 2012. National Congress of the CPC and the newly During the visit, the delegation met with Mr. elected leadership, briefed them about the CPC P.J. Kurien, Deputy Chairman of Rajya Sabha Congress, and had an in-depth discussion on party- (India’s Upper House of Parliament), Dr. Karan to-party exchanges and cooperation, China-India Singh, Chairman for Foreign Affairs of the Indian relations as well as regional and international is- National Congress Party, Mr.Ravi Shankar Prasad, sues. The delegation also held seminars with the Deputy Leader of Opposition in Rajya Sabha and India China Economic and Cultural Council Chief Spokesperson of the Bharatiya Janata Party (ICEC) and the Observer Research Foundation (BJP), Comrade Sitaram Yechury, a senior mem- (ORF) on the 18th CPC National Congress, China’s ber of the Politburo of the Communist Party of In- future development road, regional and interna- dia (Marxist) and Comrade Suravaram Sudhakar tional issues. Li Junru also accepted a joint inter- Reddy, the General Secretary of the Communist view with Indian and Chinese mainstream media. Party of India.
Chinese Embassy in India Holds a Press Briefing on the 18th National Congress of the Communist Party of China
On November 20, 2012, Chinese Embassy in Mr. Deng Xijun introduced the theme and key India held a press briefing on the recently points of the 18th Party Congress, development concluded 18th National Congress of the goals and outlines of China in the future, Chinese Communist Party of China (CPC). Journalists from foreign policy and China-India relations. He said more than 20 Indian and Chinese media that the 18th National Congress of the CPC was organizations attended the event. Mr. Deng Xijun, of great importance because it was held when Chargé d’ Affaires of the Chinese Embassy in India, China had entered the decisive stage of completing presided over the briefing and delivered a keynote the building of a moderately prosperous society in address. Mr. Wang Xuefeng, Minister of the all respects and accelerating the transforming Embassy and some other Chinese diplomats were process of the model of its economic development. also present. It had introduced an overall development plan 12 NEWS FROM CHINA /DECEMBER 2012
including economic, political, cultural, social and emerging powers in the world, have their ecological progress. New leadership of the CPC respective strong points on their way of was elected and amendments were made to the development. There are a lot of areas they can Party Constitution as well. cooperate in and a lot of things to learn from each On China’s foreign policy and the policy other. China’s development is an opportunity to towards India, Mr. Deng stressed that China India and vise versa. So, the two countries should would unswervingly follow the path of peaceful work together for the benefit of their countries and development and firmly pursue an independent peoples as well as the peace and prosperity of the foreign policy of peace. China would continue to region and the world. promote friendship and partnership with its Further more, detailed information about neighbors and ensure that China’s development achievements in the past 10 years, the election would bring more benefits to them. To China, India procedure of congress delegates, composition of is not only an important neighbor but also an delegates, members of the new leadership, etc. was indispensable partner in international affairs. It is shown in multi-media ways which was greatly China’s national policy to maintain and further appreciated by the journalists. The Chinese promote the Strategic and Cooperative Partnership diplomats and the journalists exchanged views with India. China and India, as the two big with each other after the briefing.
Remarks by Mr. Deng Xijun, Chargé d’ Affaires of the Embassy of the PRC at the “Lu Xun and His Legacy” International Conference New Delhi, November 15, 2012
Respected Director Alka Acharya, still in a mood of celebrating the Diwali, I feel Respected Professor Emeritus Mr. Namwar Singh, greatly honored to be invited to attend the Lu Xun Distinguished Guests, Culture Week and “Lu Xun and His Legacy” Ladies and Gentlemen, International Conference. First of all, I would like to express my sincere gratitude to Institute of Good afternoon! When the Indian people are NEWS FROM CHINA /DECEMBER 2012 13
Chinese Studies for As two great sponsoring the event, ancient civilizations, bringing together so China and India have many scholars and communicated with experts from both and learned from each China and India to other throughout celebrate the 130th history. The friendly birthday of Mr. Lu Xun, exchanges between founding father of our two peoples can be modern Chinese traced back to more literature. than 2000 years ago. Lu Xun is regarded The famous Indian as one of the most epics Ramayana and prominent and influential writers of modern China, Mahabharata contain numerous references to and he is also a great thinker and revolutionist. As China. The famous image of Monkey King in a literature master, he is well-received and widely- Chinese Classic Journey to the West is believed to respected both in China and abroad. He wrote in derive from Indian Holy Monkey Hanuman. a clear lucid style which was to influence many Buddhism acted as an important bridge for ancient generations in stories, prose poems and essays and China-India contact. Two thousand years ago, contributed significantly to nearly every modern eminent Chinese monks Hsuan Tsang and Fa literary medium during his lifetime. Moreover, Lu Hsien travelled to India for Buddhist scriptures, Xun is a symbol of progressive intellectuals of China while renowned Indian monks Kumarajiva and with noble aspirations, integrity and righteousness, Bodhidharma spread Buddhist teachings in China. and the spirit of dedication and sacrifice. As Mao They greatly promoted cultural exchange and Zedong once said, Lu Xun was an accomplished integration. Today, the strong desires to learn from writer, great thinker, national hero, and the most each other and the ever-growing cultural and great and brave leader of China’s New Culture people-to-people exchanges have greatly deepened Movement. Lu Xun stands for the direction of the our mutual understanding. new culture. The works, thoughts and spirits of Ladies and Gentleman, Lu Xun have inspired and will continue to inspire the Chinese people, and his influence will be China and India are not only partners in boundless, transcending time and space. cultural cooperation, but also partners in full-scale Lu Xun not only belongs to China but also to cooperation in various fields for common the world. As I mentioned above, he was the development and prosperity. The recent years have standard-bearer of the new culture of China, and witnessed the fruitful cooperation between our two has inspired generations in China, in Asia and the countries unfolding in an all-round manner, and world at large. Today, the scholars and experts our bilateral cooperative relations have come to a from both China and India are gathering here to new height. In 2005, China and India established commemorate Lu Xun, and this stands a good a Strategic and Cooperative Partnership for Peace testimony to his influential power, the power of and Prosperity. In the past decade, the bilateral literature and the power of culture, which trade volume has increased more than 20 times constantly makes our two peoples and two from USD 2.9 billion in 2000 to USD 73.9 billion in countries closely connected. 2011. China is India’s largest trading partner, and 14 NEWS FROM CHINA /DECEMBER 2012
India has become China’s largest trading partner good-neighbourly relations, deepen mutually in South Asia. We have every reason to work beneficial cooperation, and let our neighbours also together to deepen mutual trust, promote benefit from our development. India is an friendship and expand cooperation so as to bring important neighbour and partner of China and it more tangible benefits to our people. China and is our national policy to develop good neighbourly India have had broad consensus and maintained and cooperative relations with India. China is sound cooperation on major international and ready to make joint efforts with India for the regional issues. Under the framework of common development and prosperity of our two mechanisms such as China-India-Russia trilateral countries and for the peace and stability of the cooperation, the BASIC, the BRICS and the G-20, region as well as the world. China and India have kept close communication Ladies and Gentlemen, and cooperation, and coordinated positions on international financial crisis, climate change, Lu Xun once said, there is no path in the world energy and food security and other major issues in the first place, when more and more people so as to safeguard the legitimate interests of walked on it, and then a path came into being. developing countries. Two thousand years ago, a path of China-India exchanges came into being by the efforts of Chinese Dear friends, monks Hsuan Tsang, Fa Hsien and Indian monks On the newly-concluded 18th National Kumarajiva and Bodhidharma. I believe that if Congress, President Hu Jintao pointed out that more and more people of our two countries follow, China is committed to developing friendship and then the path of China-India friendly exchanges cooperation with all countries on the basis of the will get wider and broader. Five Principles of Peaceful Coexistence. For our Last but not least, I wish the conference a great neighbors, we will continue to follow the foreign success! policy of friendship and partnership, strengthen Thank you!
China and India Hold Diplomatic Consultations
On November 27, 2012, Mr. Luo Zhaohui, Director-General of Asian Affairs Department of Ministry of Foreign Affairs of the P. R. China held China-India diplomatic consultations with his counterpart Mr. Gautam Bambawale, Joint Secretary of East Asia Division of Ministry of External Affairs, Government of India in New Delhi. Both sides fully affirmed the achievements of Year of China-India Friendship and Cooperation 2012, and had an in-depth exchange of views on China-India relations and international and regional issues of common interest. The Indian Foreign Secretary Mr. Ranjan Mathai also met with Mr. Luo Zhaohui. NEWS FROM CHINA /DECEMBER 2012 15
China-India Cooperation has Sufficient Space: FM Spokesman
Beijing, Dec. 12 (Xinhua) — Both Chinese and China is willing to work with India so as to Indian leaders believe there is enough space in the implement the consensus reached by the leaders world for the common development of China and of the two countries and engage in developing a India, Foreign Ministry spokesman Hong Lei said bilateral strategic and cooperative partnership Wednesday. featuring equality, mutual trust and cooperation, Hong said during a regular press briefing that Hong said. cooperative areas are also sufficient for the world’s According to media reports, Khurshid said two largest developing countries. Monday that as China and India convert their Hong made the remarks in response to Indian relationship into a meaningful partnership, India Foreign Minister Salman Khurshid’s recent will have to accept the new reality of China’s comments on India-China relations. presence in areas that India considers to be Sustainable, stable and healthy China-India ties exclusive to India and its friends. will not only benefit both peoples but will also help Khurshid also said that greater collaboration to maintain peace, stability and prosperity in Asia between India and China will define Asia’s role in and the world at large, Hong said. the 21st century.
China Daily Asia Leadership Roundtable Focuses on China-India Cooperation
Mumbai, Nov. 28 (Xinhua) — A high-level and Zhang Guobao, Director of Consultancy professional forum has discussed how to build Association for China National Energy Committee, China-India business strategic and cooperative agreed with what Mr.Deodhar said. relationship, and promote the economic He said China and India has a long-standing development of the two countries. cooperation. Though China is widely considered More than 30 representatives attended the as the most important investor among many Asian China-India Business Strategy and Cooperation developing economies, in fact, many investment Opportunity Forum in India’s financial hub projects are fulfilled with the cooperation between Mumbai on Tuesday, which is hosted by China the two countries. Daily Asia Leadership Roundtable and the India The prospect of mutual cooperation between China Economic and Cultural Council (ICEC). the two countries is good, especially in In the opening ceremony, P.S. Deodhar, telecommunication and finance, which will President of the ICEC said India and China should undoubtedly brings actual benefits to China and become cooperative partners not business rivals, India, said Zheng Xinli, Vice Chairman of China and the current first priority for the two countries Center for International Economic Exchanges. is to seek strategic cooperation. He suggested that China and India launch and 16 NEWS FROM CHINA /DECEMBER 2012
build Asia investment bank and Asia agriculture and employee visa, Indian participants bank, which is discussed and justified by the BRICS, brainstormed and came up with new better ways. or major five emerging economies, and it will bring Moreover, they expressed their willingness to about new opportunity for strengthening regional cooperate with Chinese counterparts. economic cooperation and the development of the China Daily Asia Leadership Roundtable is Asian economy as a whole. established on the success of the China Daily CEO When it comes to the problems that Chinese Roundtable (established in 2004). companies always face in India, such as taxation
India, China: Friends, not Foes
Sudheendra Kulkarni
Issued at the Indian Express, December 9, 2012
The two weeks I’ve spent in China have friendly civilisational contacts between our reinforced my conviction that, barring the peoples for over two millennia? Why do we unfortunate border conflict in 1962, our two forget the journey of Buddha’s message of peace nations have had a friendly relationship in the and enlightenment from India to China, carried past and are mandated by history to rediscover by countless number of devoted monks who that friendship in the future. It is the duty of the trekked thousands of miles braving hazardous peoples and governments of India and China to mountains, forests and rivers? Why do we forget make resolute, intensive and uninterrupted that Buddhism has left a deep and efforts to live not only as good neighbours but transformative imprint on Chinese civilisation also as friends and partners to reshape the world itself? as a better place for the entire mankind. Why do we forget the journeys of another These days, especially in the immediate noble messenger of peace and friendship? aftermath of the 50th anniversary of the 1962 Gurudev Rabindranath Tagore’s three landmark war that left a deep scar on the Indian psyche, visits to China in the 1920s, his close association it is difficult to express the view that our two with Xu Zhimo, a great Chinese poet, and the nations have been friends and should once again unbelievably widespread popularity that be friends. Talk of friendship in a context like Tagore’s poetry enjoys even today among this is easily liable to be viewed as weakness. Chinese people, cannot be ignored. Prof Yu Nevertheless, I believe that this is indeed the time Longyu, director of the Centre of Indian Studies to remind ourselves about the essential and at Shenzhen University and a renowned Tagore historical nature of India-China relationship. scholar himself, told me: “I can proudly say that Why? Is 1962 the only point in the past of no country in the world outside India the India-China ties that we Indians should commemorated Tagore’s 150th birth anniversary remember? Why do we forget the long and last year with greater love and enthusiasm than NEWS FROM CHINA /DECEMBER 2012 17
China did. More than 100 new publications on Mahatma Gandhi’s Manifesto for the Internet Tagore came out in the Chinese language last Age. I gave interactive talks at China Foreign year alone.” Affairs University, Peking University and the And why do we forget Prof Tan Yun-shan, a China Institute of International Studies (all in great Chinese scholar who, at the invitation of Beijing), China Executive Leadership Academy, Tagore, came to India, became the founder- Pudong (a world-class Shanghai-based director of ‘Cheena Bhavan’ at Santiniketan, institution run by the Chinese Communist Party), served the cause of India-China understanding the Indian consulate in Shanghai, Shenzhen for five decades and breathed his last in University and also at the Shenzhen Bodhgaya? The museum in his honour at headquarters of Huawei, one of the world’s Shenzhen University shows how much respect largest IT equipment manufacturers. At each of and trust he enjoyed among scholars and these institutions, I began my remarks by political leaders in India, including both recalling the above-mentioned words of the Jawaharlal Nehru and Dr Syama Prasad Mahatma as a guide to developing India-China Mookerjee. relations on friendly and cooperative lines. The Also, why do we forget Ji Xianlin, an response to my presentation was uniformly, and outstanding Chinese indologist, who secretly warmly, positive. My host told me in Shanghai: translated the Ramayana into Chinese at great “It would have been unthinkable a few decades risk to himself during the Cultural Revolution? ago to organise a talk on Mahatma Gandhi at “He is China’s Gurudev,” Prof Yu told me. Ji an institution run by the communist party, Xianlin paid a glowing tribute to the “inflow of because Gandhi’s philosophy was regarded as fresh waters” from India that enriched Chinese being opposed to Mao’s. But times have changed civilisation, affirming, “Cultural exchange is the now. China has opened up, and will open up main driver of humankind’s progress. Only by even more in times to come.” learning from each other’s strong points to make Sadly, even though China is a rising power up for shortcomings can people constantly and an incredibly rich civilisation, knowledge progress, the ultimate target of which is to about our largest neighbour at scholarly, popular achieve a kind of Great Harmony.” Isn’t creation and political levels in India is abysmally poor. of universal harmony, by transcending narrow My visit to China has convinced me that we have geo-political and economic considerations, the much to learn from China, just as China has signature tune of Indian and Chinese much to learn from India. Why can we not have civilisations? the boldness of mind and largeness of heart to And can we forget the wise words of carry forward the work of visionaries such as Mahatma Gandhi? “As a friend of China,” he Gandhi, Tagore, Tan Yun-shan and Xi Jianlin? said in 1942, “I long for the day when a free Friendship, cooperation, cultural, scientific and India and a free China will cooperate together media exchanges, people-to-people contacts, and in friendship and brotherhood for their own good sensitivity to each other’s concerns will breed and for the good of Asia and world.” trust, of which there is, sadly, a deep deficit One of the main purposes of my visit to China today. And mutual trust will surely help us was to introduce the theme of my newly resolve contentious issues peacefully and published book, Music of the Spinning Wheel: amicably. 18 NEWS FROM CHINA /DECEMBER 2012
II. INDIA-CHINA STRATEGIC ECONOMIC DIALOGUE
Indian PM Highly Evaluates India-China Strategic Economic Dialogue
New Delhi, Nov. 26 (Xinhua) — Indian Prime Minister Manmohan Singh Monday highly evaluated the mechanism of India-China Strategic Economic Dialogue, saying it has played an important role in expanding macro-economic policy coordination and deepening pragmatic economic cooperation between the two countries since its launch one year ago. During a meeting with visiting Chairman of National Development and cooperation and are economically Reform Commission of China, Zhang Ping, supplementary to each other in many fields. Singh said strategic economic dialogue is an He said that while international financial important platform for cooperation which was crisis is expanding and global economic decline decided upon by the leaders of the two countries. is exerting more and more pressure on all He said India is full of expectations from countries, it is more important for China and advantages of the platform and believes the two India to carry out macro-economic dialogue and sides can make great achievements from push forward economic and trade cooperation cooperation in the fields of policy coordination, in a pragmatic way. infrastructure construction, high technology Various government bodies and enterprises applications for energy efficiency, environment have been participating in the mechanism of protection and energy. strategic economic dialogue and have achieved Zhang, who was here to co-chair the 2nd initial results, which means that the two Meeting of India-China Strategic Economic countries have a wide horizon of cooperation Cooperation, said both China and India are and can further enhance their strategic implementing their respective 12th 5-year plan partnership in different fields. and the two countries have huge potentials of NEWS FROM CHINA /DECEMBER 2012 19
China, India Make In-depth Dialogue on Strengthening Cooperation
New Delhi, Nov. 26 (Xinhua) — China and India Monday made in-depth and extensive dialogue and exchanges over how to strengthen strategic, economic and trade cooperation, promote bilateral macro-economic policy communication and coordination, as well as deepen and expand pragmatic cooperation in the fields of investment, infrastructure, high-technology, energy efficiency, environment protection and energy. During the 2nd Meeting of common interests, develop and expand space of China-India Strategic Economic Dialogue in the cooperation, learn from each other’s experiences Indian capital, the Chairman of the National and open each other’s market. Development and Reform Commission of China, Zhang suggested that the two countries Zhang Ping, and Vice Chairman of the Planning deepen communication and coordination of each Commission of India, Montek Singh Ahluwalia, other’s macro-economic policy, push forward addressed the attendants on the overall outlook of cooperation in infrastructure including railway, bilateral cooperation. power, telecommunications, improve investment In his speech, Zhang said the dialogue is an atmosphere, carry out green economic cooperation important platform created by the governments like renewable energy, energy efficiency and of the two countries in order to exchange environment protection. experiences in economic development and broaden Ahluwalia said the dialogue is a mechanism cooperation, as well as an organic part of the Sino- aimed at promoting exchanges in multiple fields India Strategic Partnership. between the two countries, and India- China As two biggest developing countries in the cooperation has huge potential. world, China and India are moving forward on He said the two countries have many things the road of renovation. Both countries share many to exchange and India is very much interested in common interests in the world today, he said. the achievement made by China in infrastructure Zhang said that the just-concluded 18th like highways, ports and railways, while China is National Congress of the Communist Party of also interested in the experiences accumulated by China has clearly pointed out that China will India in many fields. implement a more active open policy and under Ahluwalia added that India-China economic this guideline, China will consolidate its strategic growth is exerting a huge impact on the reshaping partnership with India with a strategic and long- of global economic order and India would like to term perspective to seek and push forward 20 NEWS FROM CHINA /DECEMBER 2012
cooperate with China in multilateral frameworks efficiency. like G-20 and BRICS. The first such dialogue was held in Beijing in During the meeting, the governments and September 2011, after Chinese Premier Wen Jiabao enterprises of the two countries also signed a and Indian Prime Minister Manmohan Singh number of agreements on joint study of agreed to launch the dialogue in 2010. cooperation, railway, software, energy and energy
India, China Vows to Expand Economic Cooperation in 2nd Strategic Economic Dialogue
New Delhi, Nov. 26 (Xinhua) — Indian and help India overcome negative impact from global Chinese officials Monday expressed hope that economic woes with increasing variants of India and China can intensify bilateral uncertainties.. cooperation to enhance each other’s economic He said the two countries are expanding the development amid lingering world’s economic dialogue not only from communication of recession. economic policy but to a platform of economic At the Second Meeting of India-China and trade cooperation. Strategic Economic Dialogue held in the Indian Montek Singh Ahluwalia, Vice Chairman of capital, Zhang Ping, Chairman of the National the Planning Commission, said the India-China Development and Reform Commission of China, economic cooperation is still a new inventive with said the two countries should expand huge potentials. He said the two countries should communication and coordination of their macro- overcome information deficit in economic fields economic policies, learn from each other’s 12th and seek the most feasible cooperation in sectors five-year plan of economic development, seek such as water-recycling, digital science and cooperation in basic economic structure, micro-irrigation. encourage investment in each other’s He said in the past decade and a half, India country,and look for green economic China trade volume rose 3 billion U.S. dollars to cooperation. 74 billion U.S. dollars, largely driven by China’s Stressing that the two countries have huge project exports to India, particularly in potentials of cooperation, he regretted that the infrastructure sector. bilateral investment amounts to less than 2.3 Meanwhile, Chinese companies have taken billion U.S. dollars. significant share of Indian market in electronic “However, this also shows how great is the hardware, white goods, construction machinery potential for the economic cooperation potentials and power transmission, he said. of our two countries, “ he said. The First Meeting of China-India Strategic Zhang said China welcomes Indian Economic Dialogue was held in September last government’s efforts to carry out economic year in Beijing. Chinese Premier Wen Jiabao and reform, including opening retail sector to foreign Indian Prime Minister Manmohan Singh agreed direct investment (FDI), which he said would to launch such dialogue in 2010. NEWS FROM CHINA /DECEMBER 2012 21
China, India Share Broad Cooperation Prospects Despite Border Disputes
by Liu Chang
Beijing, Nov. 26 (Xinhua) — In ancient times, In terms of the two nations’s respective India in old Chinese writings was a holy land where advantages, China could learn how India develops the almighty and lenient Buddhas dwelled and its software industries and regulates its financial preached their benevolent teachings. sectors, especially in the rural areas, while India’s For centuries, the two oriental civilizations were ambitious infrastructure investment plan over the plainly peaceful with each other across the next five years could provide numerous opportunities Himalayas. Then came the Western colonizers who for experienced Chinese companies. trickily planted the seeds for territorial disputes The confidence the two countries have to between the two countries and even a brief border maintain their steadily booming economic ties comes war in 1962. from their common yet formidable tasks of boosting Nowadays, the lingering disputes and their own economies, bridging the widening wealth competition between the two countries, excessively gaps and improving people’s livelihood. covered by many Western media, seem to have When it comes to combating some of the world’s become what the two emerging powers’ relationship most pressing challenges such as climate change and is all about. promoting the representation of the developing Yet the true story of the dragon and the elephant countries in the International Monetary Fund and is that there are far more pages that could be written World Bank, the two BRICS members are also on the for cooperation rather than confrontation. That’s same page. while their disagreements have been unduly However, the two nations should also work exaggerated. together in a smart and sincere manner to resolve On Monday, China and India opened their their remaining differences over borders so that the second round of strategic economic dialogue in New territorial issue could be prevented from spiraling out Delhi. The talks are a key dialogue platform to promote of control. the two sides’ cooperation in a range of fields, including It is comforting that the leaders of the two nations infrastructure, high-technology and energy. are willing to negotiate on the border problem. They In fact, in just a few years, the fast expanding also agree that the world is big enough for China two-way trade has made China the largest trading and India to develop their own economies without partner of India. The two countries’ largely inciting conflicts. unexplored economic possibilities could mean huge But both Beijing and New Delhi should be well potential for sustained trade growth. aware and prepared that it might take years or even Meanwhile, China’s telecommunication decades to finally figure out a solution to their thorny equipment provider Huawei and ZTE began to invest territorial questions. in India years ago. That’s while a 1.75-billion-U.S. The leaders should also stay vigilant so that the dollar joint venture to produce Jaguars and Land China-India relationship would not be jeopardized Rovers, two famous luxury car brands, by Indian because of bombastic talk over the two nations’ automaker Tata and China’s Cherry is already differences and potential possibility for confrontation, underway. much of which originated in some Western countries. 22 NEWS FROM CHINA /DECEMBER 2012
III. EXTERNAL AFFAIRS
Wen Jiabao Meets with Russian President Vladimir Putin
On December 6, 2012, Chinese Premier Wen Jiabao met with Russian President Vladimir Putin in Sochi. Both sides held long cordial talks in an in- depth manner. Wen first conveyed the greetings from President Hu Jintao and Xi Jinping, general secretary of the Communist Party of China (CPC) Central Committee. Bilateral relations have made strides and showed strong momentum in recent years, said Wen. The two sides have firmly supported each other on issues concerning their core interests, tackled the international great peoples that used to make prominent financial crisis hand in hand, and made great contributions to human progress, and that both achievements in economic and trade cooperation, peoples are at crucial juncture of development and he said. The two countries have made close rejuvenation. Further promoting Sino-Russian coordination in big regional and international relations has strategic and long-term significance, issues and effectively protected their common which conforms to the two countries’ and their interests, which made great contribution to the people’s interests, Wen said, adding that the two world’s peace and development, said the Chinese sides should continue to deepen political and premier. Sound Sino-Russian relations owe strategic mutual trust, broaden mutually beneficial themselves to the efforts of the two countries’ cooperation, push for stronger roles of leaders and to support by the two peoples, thus organizations such as the United Nations, the having a solid political and social foundation, he Group of 20, the Shanghai Cooperation added. Organization and BRICS, and promote the Wen said under the severe and complex multipolarization and sustainable development of situation, the Russian government and its people the world. The new Chinese leadership will firmly protected national sovereignty and continue to attach great importance to and territorial integrity, strived for economic effectively promote the two countries’ cooperation development and made great success. He noted and communication in all fields, Wen said. The that Russia has successfully joined the World Trade Sino-Russian relationship is sure to have broader Organization and serves as a pole in the world. A and brighter prospects, he added. stable, prosperous and strong Russia benefits the For his part, Putin asked Wen to convey his whole world, he added. greetings to Hu and Xi. He said the comprehensive Wen said that both Chinese and Russians are strategic cooperative partnership between Russia NEWS FROM CHINA /DECEMBER 2012 23
and China has achieved an unprecedented height, and achieving an ever-increasing international forcefully boosting the socioeconomic development prestige, Putin said. The Russian president, of the two countries, pushing forward the meanwhile, warmly congratulated the successful settlement of a series of important issues, and conclusion of the 18th National Congress of the safeguarding world order, balance and stability. Communist Party of China. Putin said he cherished Russia is happy to see that China, in the past the working relationship and sincere friendship decade, has made great achievements in keeping with China’s leaders, calling on the two sides to economic growth, boosting social harmony, maintain close high-level exchanges and push the pursuing an independent foreign policy of peace bilateral ties to a higher level.
China, Maldives Pledge Strengthened Military Ties
Beijing, Dec. 11 (Xinhua) — Chinese Defense Minister Liang Guanglie on Tuesday held talks with Mohamed Nazim, the Maldives’ Minister of Defense and National Security, with both sides pledging strengthened military ties. They exchanged views on regional security as well as relations between the two countries and their militaries. Liang said during their talks that China and the Maldives enjoy a long history of friendship and sound development of bilateral relations. He said China will continue to develop defense minister added. friendly, cooperative and mutually beneficial Nazim hailed the two countries’ good relations with the Maldives under the principle relations and thanked China for its assistance to of building a good-neighborly relationship and the Maldives. non-interference in internal affairs. He said the Maldives will always adhere to “China has always positively developed its the one-China policy and is willing to cement military relations with the Maldives and hopes relations between the two countries and their to enhance communication and cooperation, militaries. promote the construction of both militaries and Prior to their talks, Liang held a welcoming safeguard regional peace and stability.”, the ceremony for Nazim. 24 NEWS FROM CHINA /DECEMBER 2012
Dry Port Construction to Begin at Nepal-China Border
Kathmandu, Dec. 12 (Xinhua) — Construction ing, cargo warehouse and litigation-warehouse of the much-awaited Larcha dry port that would will be constructed to ensure that customs clear- facilitate business between Nepal and China would ance is smooth and fast,” said Naindra Prasad begin on Dec. 21, officials said Wednesday. Upadhyay, an official at the ministry. The Ministry of Commerce and Supplies has The project will be accomplished with an esti- resolved all issues with the locals and will begin mated cost of 86.2 million yuan (about 13.8 mil- the construction in the stipulated time. lion U.S. dollars). It also involves the construction Nepal and China in May this year signed an of a parking lot with a capacity of accommodat- agreement on the construction of the dry port at ing at least 158 big containers and 33 cars. Tatopani, the main customs point between the two The Government of Nepal has already acquired countries. 4.2 hectares of land for the construction of the dry The government of Nepal has assigned the In- port, while a plan for upgrading road connectiv- ter-modal Transport Development Board to facili- ity from the Chinese side to Larcha is in the offing. tate all the construction work which will be done Once it comes into operation, the dry port by China’s Beijing Real Estate Group Company as- would significantly minimize the burden of the signed by the Chinese government. Tatopani customs point - the only effective trade “Under the project, a border inspection build- point between Nepal and China at present.
China Sticks to Peaceful Development Despite Squabbles, Military Advancement
by Huang Yinjiazi
Beijing, Dec. 12 (Xinhua) — Though territorial TRADE BOOMS DESPITE TERRITORIAL squabbles between nations are not uncommon, DISPUTES recent sea disputes between China and its Some Western media reports have rushed to neighbors have attracted worldwide attention, describe China’s recent squabbles with several with some even claiming an ever-growing China neighboring countries over its territories in the might be seeking “dominance.” South and East China Seas as a “swaggering giant This viewpoint is groundless. waving fist at its tiny and frightened neighbors.” China’s foreign policy, as outlined at the 18th However, words and actions, in China’s case, National Congress of the Communist Party of are rather defensive than offensive. China (CPC) last month, stresses peaceful Having benefited a lot from a peaceful coexistence and cooperation for win-win results environment in the past over three decades, China as the country knows well that nations are much is deeply committed to solving international intertwined. disputes by peaceful means and opposes the NEWS FROM CHINA /DECEMBER 2012 25
random use of force, and has never provoked any powers. of those maritime disputes. The relationship between China and the United Its disputes with Japan over the Diaoyu Islands, States, clearly one of the world’s most important an integral part of China’s territory since ancient dynamics, has been tested over the past couple of times, flared up only after the Japanese staged a years as Beijing and Washington try hard to series of provocations, including their government’s manage their differences and promote the China- move to “buy” the islands despite China’s strong U.S. cooperative partnership based on mutual opposition. respect and mutual benefit. Qu Xing, president of the China Institute of The CPC party congress vowed that China will International Studies, a think-tank affiliated with improve and grow its relations with developed China’s foreign ministry, said China is reluctant countries by expanding areas of cooperation and to see the situation spiral out of control, but that is properly addressing differences with them. totally up to the Japanese side. Analysts say the “new type of relations” China’s stand is to try to properly solve proposed by China is characterized by win-win territorial disputes through dialogue and cooperation, mutual trust and favorable negotiations. interaction, shedding the traditional idea of a Foreign Ministry spokesman Hong Lei has “zero-sum game” and the cold-war mentality. recently reiterated this stance, saying China “insists Qu, the expert, likened opportunities and that all relevant disputes with neighboring benefits yielded by such a new type of relations to countries should be resolved through friendly a feast attended by an increasing number of guests. negotiation and consultation.” China believes that more food should be cooked to Despite tensions at sea, trade and investment meet the expanding demands of the eaters, rather ties between China and other Asian countries have than leaving the eaters fighting with each other, boomed in the past decade. he said. Trade between China and members of the “The world is big enough to accommodate both Association of Southeast Asian Nations (ASEAN) China and the United States with their different soared by about four times from 2001 to 2011. paths of development,” he added. Meanwhile, during a series of East Asian Besides, experts say China has developed a leaders’ meetings in late November, ASEAN strong awareness of linking its own interests with members, together with China and five other Asia- those of the world, as manifested at the CPC party Pacific countries, announced the decision to launch congress: “Mankind has only one earth to live on, talks about what could be the world’s largest and countries have only one world to share.” regional free trade deal if completed. CHINA’S MILITARY ADVANCEMENT China actively supports the endeavor to build POSES NO THREAT the Regional Comprehensive Economic Partnership. The image of China’s J-15 fighter jet touching down on the deck of the newly-launched Liaoning CHINA-U.S. RELATIONS TESTED aircraft carrier testifies to China’s latest When Beijing and an Asia-pivoting advancement in military technology. Washington appeared at the same conference Some critics say China may intend, in the long venue at an ASEAN summit last month, some were term, to outspread its military power with an worried that the Pacific might be too small to increasing military budget. accommodate the ambitions of the two major But Ding Yifan, a researcher with China’s State 26 NEWS FROM CHINA /DECEMBER 2012
Council’s Development Research Center, said that national security and maintain a favorable external China’s expanding military budget is only environment is the precondition for China to reflecting its growing economy and is more like a achieve its strategic goal of building an all-round compensation for its neglect in the past years due well-off society, Geng Yansheng, spokesman of to insufficient funding. China’s Ministry of National Defense, once told a “The buildup is nothing sudden. Instead, it has press conference. been a consistent and phase-in-phase process,” Experts have also pointed out that the Ding said, adding China has never changed its goal advancement of China’s weaponry can contribute or direction of military development. to regional peace and stability as China has played Analysts have also noted that China’s military an active role in United Nations peace-keeping modernization is defensive in nature. As a global missions and joined international efforts to fight economic power, China has a tremendous number pirates off the coast of Somali. of economic sea lanes to protect. China is justified When China has a more balanced and to develop its military capabilities to safeguard its powerful army, the regional situation would be sovereignty and protect its vast interests around more stable, as various forces threatening regional the world. peace would not dare to act rashly, Ding, the At present, China’s national security faces researcher said. complex, diverse challenges. To safeguard its
How Will China Consolidate Friendly Relations with Neighbors and Ensure that Its Development Will Bring More Benefits to the Neighbors?
The Report of 18th National Congress of the most of its neighbors. Several regional and sub- CPC has made it clear that China “will continue regional cooperation mechanisms have been put to promote friendship and partnership with in place between China and its neighboring neighbors, consolidate friendly relations and countries. China’s trade volume with neighboring deepen mutually beneficial cooperation with them, countries increased fivefold from US$164.7 billion and ensure that China’s development will bring to US$885.7 billion from 2000 to 2010. From 2002 more benefits to its neighbors.” This fully embodies to 2011, China’s trade volume with ASEAN rose China’s consistent policy of good-neighborliness by 20% annually from over US$50 billion to and it is a reaffirmation of its solemn commitment US$362.8 billion, and its investment in ASEAN to its neighbors. All this demonstrates China’s jumped from less than US$100 million to almost commitment to common development with them. US$3 billion. From 2001 to 2011, the trade volume China, with its rapid economic growth in between China and other member states of recent years, has increasingly become a driver for Shanghai Cooperation Organization (SCO) was the growth of others. And neighboring countries up by 900% from US$12.1 billion to US$113.4 have been the first to benefit from this. China has billion. In 2010, China had a trade deficit of become the biggest trading partner and export US$95.5 billion with other Asian countries. Some market and an important source of investment for neighboring countries have registered a fast NEWS FROM CHINA /DECEMBER 2012 27
economic growth in recent years, which should Connectivity has been established. China will be attributed to the chain effect of China’s growth. strengthen institutionalized exchanges with When confronted with the Asian financial crisis relevant ASEAN organs to upgrade in and the international financial crisis, China, in the infrastructural connectivity and network in such spirit of helping each other and sharing weal and areas as transport, telecom, power grid and energy, woe together, adopted a host of measures to help so as to enhance regional economic integration and its neighbors, such as refusing to devalue the RMB the competitiveness of the region. China will and setting up the Asia Regional Cooperation Fund continue to work for greater connectivity with and China-ASEAN Investment Cooperation Fund. Central Asian countries and inject new vigor to China has made an effort to help neighboring the ancient Silk Road. countries out of the crises, and contributed China will further advance regional significantly to economic recovery and cooperation in its neighborhood. At the recently development in Asia and the world at large. concluded East Asia Summit (EAS) in Cambodia, Practice has proven and will continue to prove China proposed the Phnom Penh Declaration on that sustained development and prosperity in the East Asia Summit Development Initiative and China will bring significant development had it adopted. China will take an active part in opportunities to the neighborhood. China has no negotiations on the Regional Comprehensive ambition to covet its neighbors or expand its Economic Partnership (RCEP), increase input, interests at the expense of others’. On the contrary, promote practical cooperation within the China has all the sincerity to seek common frameworks of 10+1, 10+3, EAS, APEC and SCO, development with them. In the second decade of and work toward a multilevel and all-dimensional this century, China will develop its open economy regional cooperation structure. further, which will benefit its neighbors better. China will increase its assistance and support China will further deepen business cooperation to neighboring countries. In recent years, China with neighboring countries. During the Twelfth has given strong support to them by providing a Five-Year Plan period, China’s total import and large amount of grants and low-interest loans and outward direct investment are expected to exceed setting up cooperation funds to grant credit. As its US$10 trillion and US$500 billion respectively. national strength increases, China will have a China-Russia and China-ASEAN trade is greater capacity to help its neighbors with their estimated to reach US$100 billion and US$500 economic development and social progress. China billion respectively in 2015. China will further will, as always, provide various forms of assistance promote regional trade and investment for neighboring countries hit by major natural liberalization and facilitation, increase two-way disasters. investment with neighboring countries, expand China will continue to promote exchanges and practical cooperation in emerging industries, cooperation with neighboring countries in the finance, science and technology, health care and cultural, education, science and technology, health environmental protection, and cultivate new and other areas, take an active part in addressing cooperation highlights. regional hotspot issues, and safeguard peace and China will further step up connectivity with stability in the neighborhood. This is also another neighboring countries. Connectivity is an important channel through which China’s important foundation for deepening business development benefits its neighbors. cooperation and people-to-people contacts. The Political mutual trust is an important Chinese Committee on China-ASEAN foundation for stronger relations between China 28 NEWS FROM CHINA /DECEMBER 2012
and neighboring countries. China will continue consensus and deepen cooperation in various fields high-level exchanges and dialogue at various levels, with neighboring countries. China will continue exchange experience on governance, increase to settle disputes with relevant neighboring mutual understanding and trust, expand countries through dialogue and negotiation.
IV. DOMESTIC AFFAIRS
Solar Industry’s Critical Juncture — Confronted with massive anti-dumping measures, China’s photovoltaic industry will undergo healthier and more sustainable development by Lan Xinzhen
“Yingli won’t be daunted by the anti-dumping and countervailing duty investigations, or give up the American market. In the future, Yingli will focus on intensifying technological innovation and diversifying its business to improve profitability,” said Wang Zhixin, News Director for Yingli Green Energy, in response to the decision made by the United States International Trade Commission (ITC) to impose tariffs on photovoltaic (PV) products imported from China. IN THE PLANT: Workers in Hainan Yingli Group operate the assembly Since Yingli Group entered the PV line of solar cells. (GUO CHENG) power generation market in 1998, it has expanded its presence across 12 countries, including the United States, Germany, duty of 249.96 percent and an anti-subsidy duty Italy and Spain. With total assets of 36.6 billion of 15.97 percent on Chinese-made PV products yuan ($5.55 billion) and 26,000 staff members, on November 7. Controversial debate has ignited Yingli ranks among the top five globally, at Yingli over whether to abandon the U.S. producing PV products of nearly 3 gigawatts market. (GW). Yingli is not the only victim, as 500 Chinese Since the United States and the EU are the PV manufacturers face the same plight. On major destinations for most of Yingli’s output, and November 20, Guangdong Macro Co. Ltd. the prices there for PV products cannot be reduced declared a retreat from the new energy industry, any further, the U.S. market is now off limits to fearing that the American market may no longer Yingli after the ITC announced an anti-dumping be accessible. NEWS FROM CHINA /DECEMBER 2012 29
Following on the heels of the United States, returnee, came to the new district of Wuxi in the EU has just launched a similar but more Jiangsu Province and set up the company. The extensive investigation into China’s PV products, local government offered all-round support, which could be catastrophic for the Chinese PV helping Suntech go through various formalities industry. As 80 percent of China’s PV products and raise $8 million as start-up capital. Shi once go to EU countries, once the EU imposes heavy said, “Without the Wuxi local government, tariffs like the United States, Chinese PV makers Suntech couldn’t have been so successful.” will be driven into a corner. Support from local governments impelled The major tasks ahead for the Yingli Group China’s PV industry to develop by leaps and are to improve internal management, cut costs and bounds. By 2007, the production capacity of intensify independent innovation, exploring China’s PV industry had taken the lead in the downstream business like PV power stations to world. By 2011, China had 80 percent of the global improve profitability, said Wang. PV production capacity, and in the list of the top- “If our products remain competitive with anti- 10 PV manufacturers Chinese makers hold the top dumping and countervailing duties, we will be five. free from concerns over these protectionist Nevertheless, under government subsidies, the behaviors.” development of the PV industry has not necessarily led to desired results. The production of silicon Heavy Losses chips, solar cells and batteries is labor-intensive, As early as in the 1990s, the Chinese which means anyone who has enough funds to Government placed emphasis on energy security purchase manufacturing equipment can establish and environmental protection, encouraging the production lines. For this reason, businessmen exploration of clean energy. As technologies in the engaged in the trade of real estate, garment and PV industry edged toward maturity, private feedstuff rushed to invest in the PV industry. In capital began to invest in the industry. So far, the past five years, the number of PV makers has roughly 95 percent of Chinese PV producers are quintupled to over 500. privately funded. Such reckless development has resulted in In 1991, the German Government launched a excess capacity and disorderly competition. Last project to install 1,000 MW roof-mounted solar year, the total production capacity of Chinese PV panels, opening a new path for invigorating the producers was 30 GW, which already exceeded PV market through government subsidies. A the global market demand of 29 GW. To seize number of other EU countries followed suit. market share, manufacturers have fallen into As investments in the PV industry not only virulent price competitions.In 2011, Suntech’s facilitate the development of clean energy, but also output reached 2.1 GW, ranking first in the world contribute to GDP growth and employment, many for two straight years, up 34 percent year on year, local governments in China also put forward with its business revenue merely increasing 5 similar programs. Subsidized by the government percent.Zhang Shuguang, a research fellow with in the past decade, the PV industry has the Institute of Economics at the Chinese Academy experienced a period of explosive expansion. That’s of Social Sciences (CASS), noted that local the context for the success story of Yingli. governments, spurred by the need for economic Suntech, the global PV sales champion in 2011, growth, tended to provide a propitious grew even faster than Yingli. In 2000, with a laptop environment for PV enterprises to expand. Blind and a business plan, Shi Zhengrong, an overseas production expansion and rising asset-liability 30 NEWS FROM CHINA /DECEMBER 2012 ratios have put the PV industry on the verge of producers from November 1, allowing small and collapse.Now, the anti-dumping and medium-sized producers (less than 6 megawatts countervailing duty investigations initiated by the of installed capacity) to apply to the local power United States and the EU have inflicted a crushing grid company for connection to the national grid. blow to China’s PV industry. Wang Bohua, The on-grid power operation can be completed Secretary-General of China Photovoltaic Industry within 45 working days, and state grid power Alliance, argued that despite being the largest PV generators will purchase surplus power generated producer, overdependence on foreign markets has by PV power generation programs at 1 yuan made China’s PV industry vulnerable to external ($0.16) per kwh. The new policy is undoubtedly a factors. “This fatal weakness has haunted China’s boost to China’s ailing solar industry. PV industry for years. That’s why the accusations The Ministry of Finance also plans to unveil put Chinese makers on tenterhooks.” subsidy policies for PV power generation. After being subsidized with 0.4-0.6 yuan ($0.06-0.1) per Self-rescue kwh, solar power will be sold at the same price as Yingli is mulling plans to set up factories traditionally produced electricity. overseas and build its own PV power stations. At the 2012 New Energy International Summit “Diverting some investment abroad will improve & Exposition in November, experts and flexibility,” said Wang.Executives at Yingli agree that entrepreneurs discussed the current problems and only companies that are persistent can survive. The challenges faced by the PV industry, such as the crisis will come to an end in mid-2014, at which point consolidation of solar enterprises, the integration of the PV industry will achieve healthy and sustainable solar power generation and storage, connecting solar development.Suntech is allegedly pondering a power with a smart grid and micro-grid applications. nationalization plan to gain state funds. Suggestions Some producers are shifting from overdependence on overseas demand to exploring Zhang from the CASS Institute of Economics domestic markets. On September 12, the National believes mergers and acquisitions will shield the Energy Administration published the 12th Five- PV industry from collapsing.Qu Xiaohua, CEO of Year Plan (2011-15) for Solar Power Development, CSI Solar Power, contends that PV enterprises aiming to raise the total installed solar power should focus on making breakthroughs in capacity to 21 GW by 2015. Given the fact that developing technology and cutting costs rather the domestic installed capacity had only stood at than getting trapped in the low-price 3.6 GW by the end of 2011, potential in the Chinese competition.”The development of the PV industry market remains huge. should be decided by market demand. Local Others chose to undergo transformations by governments should not blindly support the shifting from the PV manufacturing industry to expansion of the PV industry,” said Zhou downstream businesses like PV power stations. On Junsheng, an independent financial November 20, Hareon Solar announced it would commentator.”The government should learn from invest 490 million yuan ($79 million) in building the side effects of pushing economic growth with two PV power stations, following similar decisions administrative power. Government bailouts can made by Zhongli Sci-Tech Group and GCL-Poly only help enterprises cope with a current Energy in late August. emergency. The best approach is to take market The State Grid Corp. declared it would provide factors into account,” Zhou said. a free connection service for qualified solar power (Source: China Renewable Energy Industry Association) NEWS FROM CHINA /DECEMBER 2012 31
Riding on a Green Dream — Despite cost-saving and environmental advantages, new-energy vehicles battle on to go mainstream by Hou Weili
Take a walk along the streets of Hefei and New-energy Trend chances are you will see a steady stream of new- At the 2012 International Forum on Chinese energy vehicles manufactured by Jianghuai Automotive Industry Development held from Automobile Co. Ltd. (JAC). August 31 to September 2 in north China’s Tianjin, “As the petrol price continues to rise, new- Wan Gang, Minister of Science and Technology, energy vehicles are much better options compared said that while the auto industry had become one with similar level petrol-powered cars for of the country’s pillar industries, China faced consumers in cities like Hefei,” said Mei Hanbing, chronic air pollution, carbon emissions, fuel owner of JAC new-energy cars in Hefei, capital consumption and traffic jams. “Currently, the city of east China’s Anhui Province. contradiction between huge demand for vehicles He estimated that having a new-energy car and severe energy shortage as well as strict would save consumers as much as 9,000-10,000 emission controls is becoming critical. So it is yuan ($1,431-1,590) on an average annual mileage imperative to boost the development of the new- of 20,000 km. energy auto sector,” Wan said. While JAC was not a pioneer in new-energy According to a report on the new-energy auto car development, it has been instrumental in industry released by Zheshang Securities Co. Ltd. spearheading efforts at commercializing the in March, the number of registered cars in China vehicles. JAC was focusing on new-energy vehicle soared from 11.8 million to 19 million during the research as early as 2002 and set industrializing 11th Five-Year Plan (2006-10), increasing by 10 pure electric cars as its priority in 2009. In December 2010, the Chinese homegrown automaker produced 585 first-generation J3 electric vehicles (EVs) for private ownership, claiming to be the first automaker to commercialize electric vehicles on a large scale. A year later 1,000 second- generation J3 EVs were made and sold, while on September 29, JAC produced 500 third-generation J3 EVs. Thanks to JAC’s achievement in commercializing electric vehicles, Hefei has rolled out of a demo project promoting new-energy vehicles for SHINING DEBUT: A customer checks out by a JAC plug-in hybrid car at private use in 10 cities across China. the 14th Shanghai Auto Show (PEI XIN) 32 NEWS FROM CHINA /DECEMBER 2012
percent year on year. However, only 54 out of vehicles in total, among which 2,661 were pure 1,000 people own cars in China, much lower than electric and 3,358 were hybrid models. the world average level, suggesting huge market To Buy or Not to Buy potential for automobiles. This also suggests massive pressure on fuel supplies. The truth is that favorable policies and huge The report said the consumption of vehicle fuels market potential are not adding up to would hit 25 million tons by 2020. What’s more, corresponding profits in this sector. China’s fuel consumption heavily depends on The sales of new-energy vehicles, especially imports. About 56 percent of crude oil used in pure electric ones, mainly depend on government China were imported in 2011, and by 2030, the procurement. Low recognition among consumers, number will reach 70 percent. insufficient charging facilities and sluggish Additional pressure on the auto industry comes industrialization are all obstacles to progress. in the form of stricter emission controls ,as the Compared with fuel-driven cars, new-energy Chinese Government pledged to cut carbon vehicles are economic, practical and energy- emission per unit of the GDP by 40-50 percent by saving. Taking the third-generation J3 EVs made 2020. by JAC for example, the car is priced at 150,000 “All of these pressures, as well as opportunities, yuan ($23,800), including the 57,000-yuan are urging auto makers to make significant ($9,000), 10,000-yuan ($1,590) and 5,000-10,000- breakthroughs in core technologies of developing yuan ($795 to $1,590) subsidies granted by the new-energy vehicles and boost their application,” Chinese Government, the Hefei Municipal said Jiang Min, a product programming engineer Government and JAC, respectively. Citizens in in JAC. Hefei can buy the car at only 75,000 yuan A rise in petrol price since March further ($11,900). The car consumes only 14 kwh of turned the spotlight on new-energy cars. electricity for every 100 km. “Driving an electric “In the context of increasingly soaring petrol car for 10 million km will save 750,000 liters in demands and a turbulent international situation, fuel and cut carbon emission by 900,000 cubic it is predictable that the price of petrol, a non- meters,” said Jiang. renewable resource, will go up for a long time in The advantages have not aroused mass market the future,” said Peng Wei, an analyst with Ping appeal, however. In August, Guangzhou, capital An Securities. Peng believes a sustained increase of south China’s Guangdong Province, introduced in the petrol price will inevitably transfer the a license plate lottery for new cars and allocated current consumption patterns on vehicles to an 1,090 license plates for new-energy and energy- energy-saving-oriented one. saving vehicles in the first round of the lottery— “New-energy cars are bound to be the future but only 186 were used. And so far, there is still no trend,” said Peng. private purchase on pure electric vehicles in Beijing The State Council pledged to boost the new- as preferential policies haven’t been introduced. energy auto sector in the next few years. A plan “I am planning to buy an electric car but worry released in April promised China’s accumulative about the charging problem,” Liu Lichuan from output of pure electric and plug-in hybrid electric Beijing said. Lack of charging facilities is the biggest vehicles would reach 500,000 units by 2015. challenge in the new-energy auto sector and there According to statistics from the China is still no clear answer to who should be responsible Association of Automobile Manufacturers, from for building such infrastructure. “The government January to August, China sold 6,019 new-energy should support and introduce a unified standard NEWS FROM CHINA /DECEMBER 2012 33
to establish infrastructure, like charging stations kinds of charging cable are available for the car, in order to promote the industrialization of the matching with charging points built by the State sector,” said Jiang Min. Grid and household outlets respectively. According to the nation’s development plan “It can travel at least 100 km in one charge, for new-energy and energy-saving vehicles, a enough for short-trip transportation in cities,” said network covering 2,000 charging stations and Jiang. She owns a third-generation J3 EV and 400,000 charging points in more than 20 pilot cities expects charging stations to be established in as and their nearby areas will be established by 2015. many cities as possible before too long, adding to JAC has taken the lead in solving the power customer cost saving and environmental charging issue. For the third-generation J3 EVs, two preservation for the future.
No Big Money Exit — China is still the most attractive destination for foreign investment by Lan Xinzhen
The international media is once again drawing estimation was made by deducting the monthly attention to China’s capital flight. In an October trade surplus of goods and the actual increase of 22 article, The Wall Street Journal, using figures monthly foreign direct investment (FDI) from on trade and foreign exchange reserves issued by outstanding monthly funds in foreign exchange. the National Bureau of Statistics, the central bank Zhang Yongjun, Deputy Director of the and the General Administration for Customs of Department of Research at the China Center for China, concluded that in the past 12 months through September, about $225 billion of capital left China, equivalent to about 3 percent of the nation’s economic output last year. Some Chinese scholars also believe in the outflow of capital. Zhang Ming of the Chinese Academy of Social Sciences (CASS), estimates that from the fourth quarter of 2011 to the second quarter of 2012, $182.8 billion flowed out of China, with a monthly average of $20.3 billion. Compared with the monthly average outflow of 14.1 percent from the fourth quarter 2008 to the first quarter 2009, the present capital flight is even more serious than the CASH AT HAND: A clerk at the Industrial and Commercial Bank of China situation following the outbreak of counts U.S. dollars. Growing capital outflows have stirred a panic over capital flight in China (HU GUOLIN) the U.S. sub-prime crisis. Zhang’s 34 NEWS FROM CHINA /DECEMBER 2012
International Economic Exchanges, says that in the flight refers to the unapproved and illegal outflow second quarter foreign exchange reserves of capital beyond the actual control of the decreased despite the trade surplus and that there government. Capital flight exists in both developing was a sharp decline in FDI, proving that capital is and developed nations, with the aim of avoiding flowing out of China, likely because of the foreign exchange control, country-specific European debt crisis and of capital returning to economic risks and political instability, or for tax the United States and Europe. evasion, money laundering and transferring assets. Accompanying capital flight are ominous According to a statement by the SAFE, not all messages from the international media, which hold capital outflow is necessarily capital flight. Most out little hope for the Chinese economy with lurid flight is legal and includes approved repayment of headlines like “China Doomsayer Sees Crash foreign loans and interest, overseas direct Coming” and “China’s Economic Situation in Its investment, purchase of foreign securities, trade Most Critical in 30 Years.” credit, etc. Even among capital outflows that Is there really capital flight in China? The Global counter regulations, some are used for legal Investment Trends Monitor report released by the investments and business operations, simply to United Nations Conference on Trade and evade the overly complex approval procedures or Development (UNCTAD) on October 23 takes a reduce other transaction expenses. different view. In the first half of 2012, China With an analysis of calculations on China’s absorbed $59.1 billion of FDI inflows, surpassing capital flight by The Wall Street Journal and some the United States for the first time and becoming scholars, it can be said that such capital outflows the world’s largest recipient country. follow the normal flows of investment and should In the foreign exchange market, owing to the not be a cause for panic. third round of quantitative easing (QE3) being The decline of FDI is a worldwide trend. carried out in the United States, the Chinese yuan According to UNCTAD figures, in the first half of faces pressure to appreciate again. The spot 2012 global foreign direct investment inflows exchange rate of the renminbi hit a record high of reached $668 billion, a decline of 8 percent 6.2422 per dollar in morning trade on October 25, compared with the same period in 2011. There was almost reaching the 1-percent appreciation limit steep drop in capital to the United States and a per trading day allowed by the central bank. moderate decline in flows to the EU. The slow and When a large amount of hot money eyes China bumpy recovery of the global economy, weak again, no investor is willing to transfer money out global demand and elevated risks related to of China and abandon the opportunity for big regulatory policy changes continue to reinforce the gains while the renminbi is appreciating. wait-and-see attitude of many transnational China’s foreign exchange administration does companies toward investing abroad. not seem concerned about capital flows. An official In recent years, China’s overseas investment from the State Administration of Foreign Exchange has grown rapidly. According to figures from the (SAFE) who wished to remain anonymous told Ministry of Commerce (MOFCOM), in the first half Beijing Review that they have a strict foreign of 2012, China’s overseas investment grew more exchange monitoring system and did not detect rapidly than FDI. These statistics show that such any circumstance that needed special attention. normal overseas investment causes a decline in foreign exchange reserves. Normal Flows The SAFE figures may be more convincing. In According to the SAFE’s definition, capital the first half of this year, China’s cross-border NEWS FROM CHINA /DECEMBER 2012 35
payments increased 24 percent from a year ago. Liu Yuanchun, Vice Dean of the School of Of the total, overseas direct investment grew by Economics at Renmin University of China, says 74 percent, while capital withdrawal such as although the Chinese economy is slowing, the withdrawal of FDI and securities investment and economic situation is improving. Furthermore, the remittance of investment income grew by just 15 balance sheets of the real economy, the financial percent, meaning that most of China’s “capital sector, the central and local governments as well flight” is for investment abroad. as overseas investment and the foreign trade sector Certainly there is capital flight in China, but indicate that the Chinese economy is still healthy. the volume is small. Huge fortunes seized from Doomsday reports are unfounded. illegal activities such as corruption, bribery, Still Attractive smuggling and tax evasions are a major source of capital flight. According to figures released by the MOFCOM Given China’s strict approval on overseas on October 19, in the first nine months this year, investment, some companies and individuals seek the number of newly approved foreign-invested to transfer or retain their capital abroad without enterprises and the amount of paid-in capital both approval with the aim of making investments. declined, but in some sectors, foreign investment Some other companies transfer funds abroad and grew remarkably. For example, foreign investment then bring them back to China as foreign in the retail and wholesale sectors rose by 6.7 investments in order to enjoy favorable policies. percent, in the construction sector by 27.8 percent Wu Xianghong, an independent economics and in the information transmission, computer commentator, says capital flight has not yet service and software industries by 32.8 percent. become a trend in China, at least for now. Because Given that most foreign investment in the past of QE3, the U.S. dollar faces depreciation in the was in manufacturing, the above-mentioned short term, and currencies such as the renminbi industries will be major growth points for China’s are appreciating. This has to some extent curbed paid-in capital. depreciation of the renminbi and capital outflows However, most foreign investors still choose from China. China’s eastern regions as a top investment Wu says QE3 is an indefinite blank check destination. From January to September, paid-in issued by the U.S. government to expand the dollar capital to the east amounted to $70.22 billion, supply. Therefore in the next six to 12 months, the accounting for 84.2 percent of the national total, dollar supply will be eased. During this period, while that to the central and western regions stood Chinese authorities should be concerned about at $6.99 billion and $6.22 billion, or 8.4 percent asset appreciation caused by the pouring of dollar and 7.4 percent respectively. assets into China, instead of capital flight.
When Will Protectionism End? — Excessive protection of the bicycle industry weakens EU’s competitiveness By Lan Xinzhen
“The Chinese Government is subsidizing its passers-by in Beijing, you might be considered in- bike producers.” If you made such a statement to sane. Bicycle producers are neither hi-tech enter- 36 NEWS FROM CHINA /DECEMBER 2012
prises nor a pillar of the healthy and strong indus- local economy. try. Therefore, the EU No government at shouldn’t carry out such any level would throw measures against WTO money at an industry or- rules,” Liu said. dinary people care very The Longest Punitive little about. Furthermore, Tariff bike production does not need a large investment The EU has imposed or special fiscal support. anti-dumping tariffs Bike production has been against Chinese bikes even a market-oriented indus- after several sunset reviews. try in China, so it is During the latest sunset re- strange to suggest the in- view carried out in October dustry is subsidized. 2011, the EU decided to ex- The European Union tend the then-19-year-old (EU), however, holds tariff by five years to 2016, such a view. Its trade pro- with the anti-dumping tar- tectionism measures iff rate standing at 48.5 per- against Chinese bikes— cent. for reasons of dumping The European Commis- and government subsi- sion announced in April dies—have lasted 20 that it will begin an anti- years. RIDE TO DEVELOP:Customers try carbon fiber subsidy investigation bicycles, the country’s first model of its kind with In 2011, Chinese bikes independent intellectual property rights, in against Chinese bikes. On exported to the EU ac- Lianyungang, Jiangsu Province (CFP) September 25, it said that it counted for a mere 3 per- would launch an anti-cir- cent of total bike sales in that market, with no cumvention investigation into imports of bicycles dumping or other damage brought to the Euro- originating in China and shipped through Indo- pean bike-producing industry. The United States nesia, Malaysia, Sri Lanka and Tunisia. and Japan have both opened their markets to Chi- The EU argues that evidence proves the anti- nese bikes, leaving the EU as the only developed dumping measures on imports of bicycles originat- economy behaving as an outlier. ing in China are being circumvented by means of “China used to be a big bike producer. Twenty shipment via the above-mentioned countries. Ac- years ago the EU protected its enterprises by block- cording to EU figures, in 2009-10, EU’s imports of ing Chinese bikes from entering its market,” said bicycles from Sri Lanka doubled, accounting for 5 Liu Pengxu, Deputy Director of the Legal Service percent of the market share. Department of China Chamber of Commerce for The EU suspects Chinese bike makers are Import and Export of Machinery and Electronic evading anti-dumping tariffs. Authorities will Products (CCCME). decide within nine months whether to raise anti- “The EU’s anti-dumping measure has contin- dumping tariffs. Once any decision is made, the ued 20 years on. Any industry after such lengthy involved products in the above regions will be protection can solve its problems and grow into a subject to anti-dumping tariffs. NEWS FROM CHINA /DECEMBER 2012 37
The EU has already adopted a number of trade in the late 1980s. Since 1992, the EU, Argentina, remedy measures, including anti-dumping, anti- Mexico, Canada, the United States, Japan, South subsidy and anti-circumvention measures, with Korea and Turkey have all initiated anti-dumping only safeguard measures left unused. Safeguard and safeguard measures against Chinese bikes. measures are defined as an “emergency” action in Among these countries, the EU has ardently which a particular import threatens to cause sustained its limitation. serious damage to the local industry. When satisfying the demand of consumers, After nearly 20 years of anti-dumping bikes originating in China are also sanctioned by measures, it would be difficult for bicycles imported various countries. A report released by the CCCME from China to Europe to proliferate in a short time. suggested there are two major reasons for these Tu Xinquan, Deputy Director of the China sanctions. Institute for WTO Studies at the University of First, some countries have not yet accepted International Business and Economics, said the China’s status as a market economy and are reason the EU has imposed anti-dumping tariffs calculating the prices and costs of Chinese against Chinese bikes is due to the strong products by choosing a third country as a competitiveness of the Chinese products. The EU surrogate, putting China in a passive position. is concerned about the impact on its industry Second, many Chinese enterprises give up should anti-dumping tariffs be suspended, and responding to trade proceedings because of high therefore has turned to protectionism to shield itself. costs and complicated procedures, thereby creating According to Tu, two decades of anti-dumping an image to the world of having a guilty conscience. tariffs against Chinese bikes is related to the Some Chinese enterprises do indeed act expansion of the EU itself. Tu said that as long as inappropriately. In previous anti-dumping cases, the EU continues to expand, it can maintain the some enterprises were found to write receipts at tariffs under the excuse that it must conduct markedly low prices at the request of importers in interim reviews every time it extends membership order to maintain business ties. or considers extending membership to another “Are all trade barriers caused by discrimination country. and irrational behavior against us? Of course not. He added that the EU’s limit on bike imports To exploit the market, Chinese enterprises should from China is actually unfair to EU consumers first understand the market rules and customers’ because it deprives them of the right to buy bicycles habits. If Chinese companies are less focused on at favorable prices. low prices but pay more attention to offering products and services of high quality, and if we Bike Makers Spinning Wheels can act in accordance with international trade There are currently 1,800 bike producers in rules, it would be hard for foreign countries to China, of which 80 percent are foreign owned, joint restrict us so easily,” said the CCCME report. ventures or privately owned, and the other 20 The importers are also highly responsible. “Ev- percent are state-owned enterprises. In 2011 ery time we encounter anti-dumping charges, our China’s exports accounted for 60 percent of the immediate response is that we encounter trade world’s total trade volume of bicycles. barriers from the consumption nation. In fact, Fifty percent of Chinese bikes are sold to the when importers introduce our products in mas- United States and Japan, and its exports to the 27 sive numbers at low prices, they can also be a EU-member countries account for only 3.1 percent. source for why trade barriers are erected,” the re- The rapid growth of China’s bike exports began port said. 38 NEWS FROM CHINA /DECEMBER 2012
V. TIBET TODAY
Desperate Expat Doomed to Failure by Yi Duo China Daily, December 12, 2012
The police of Sichuan province have obtained However, now there is concrete evidence unambiguous evidence proving that the Dalai proving the Dalai Lama and his clique are the real Lama clique has been the organizer behind the self- organizers of the immolations, all the tricks that immolation incidents in the province. have helped them before will be unable to conceal The 14th Dalai Lama claims he quit politics one the truth. year ago, but this was merely a trick to start a new The Tibet Youth Congress openly declares that stage in his attempts to split the Tibet Autonomous only by winning “the complete independence of Region from China. But his latest ploy has only Tibet” can the immolations be finally stopped. And increased the internal conflicts in his clique, as he the self-proclaimed “Tibetan government in exile” is using one of the most inhuman acts for his has set Tibet’s self-governance as its practical personal political purpose by instigating, or even objective and independence as its principle threatening, innocent people to burn themselves objective. alive. After the immolations, the Dalai Lama clique Responding to the voices accusing him of unscrupulously require China’s State leaders to connivance in the deaths, he has tried to argue resume talks with the “Tibetan government in that if he said immolation is wrong it will hurt the exile” to solve the issue of Tibet. The illegal victims’ families and other people, so the best way government hopes the Chinese government will for him to deal with the issue is to observe accept it as dialogue partner and thus recognize neutrality. Yet, on Oct. 19 last year he presided its status. over a dharma assembly and praised and Given these objectives, it is easier to understand supported the “brave and fearless” self-immolators why the Dalai Lama and his clique organize the together with the heads of the so-called Tibetan immolations. They are taking people’s lives to government in exile. attract the attention of Western countries whose The Dalai Lama told the BBC on Nov. 26, 2011, support they want for their political objectives. that although the people committing self- One veteran Tibetan separatist wrote immolation are very brave, the effects of their disappointedly that the immolations had not been public suicide remain unknown, showing his only raised during the US presidential election. concern is the effects these horrific acts have in But as China’s interactions with the world support of his own agenda. have grown and people start to understand China To glorify the victims as heroes motivated by better, it is proving increasingly difficult for the noble and pure beliefs is a way of disguising his Dalai Lama to demonize China. He resorts to role in the process. It transforms the deaths into forcing his compatriots to kill themselves. Some US “sacrifices for Buddha Dharma and the blessing media reported that he even forces children in his of the people”. schools to pay tribute to the people conducting NEWS FROM CHINA /DECEMBER 2012 39
immolations. According to a US Strategic the Tibetan settlement’s economic growth is very Forecasting report in April, this clearly shows the weak and the dropout rate in middle schools is new leaders of the “Tibetan government in exile” about 50 percent. The settlement lacks any basic have diverted their attention from mobilizing costly social security and assistance systems and the local large-scale protests in Tibet to organizing individual agricultural production mainly relies on natural deaths by immolation in the bordering area rainfall. In contrast, the development of the Tibet between Tibet and Sichuan. autonomous region and the rest of China is stable, The US State Department’s Report on “Tibet fast and sustainable. Negotiations” this year says the Dalai Lama’s non- The separatist activities of the Dalai Lama and violent principle is the crux for a solution to the his clique started with absolute violence, and then “Tibet issue”. But what is more violent than the evolved into a combination of violence and non- Dalai Lama’s attitude and behavior is instigating violence. Now, they are resorting to pure violence people to kill themselves. Such an obvious again. But whatever measures they try are doomed distortion of “non-violence” indicates that certain to failure, because they are against history and foreign powers are still behind the Dalai Lama and humanity. Admitting his guilt to the Chinese his clique, despite the shrinking stage for their government and Chinese people is the only choice conspiracy. for him now. So the Dalai Lama and his clique are trying to The Dalai Lama’s actions can only be explained find new stages, partners and audiences. During by his hopeless hysteria, which carries him further the escalating tensions between China and Japan away from Buddhism. Taking people’s lives is a over the Diaoyu Islands this year, the Dalai Lama grave sin in Buddhist doctrine. It must then by an visited Yasukuni Shrine, where Japanese war even bigger sin for this religious leader to defend criminals are worshipped, and openly called his authority by encouraging or coercing people China’s Diaoyu Islands the Senkaku Islands, which to commit suicide. Some Tibetan people have no is their name in Japan. In return, Japan’s right- choice but to flee their homes to avoid the death wing activist senators set up a union to support by immolation the Dalai Lama clique has planned. the “independence” of Tibet. That the local governments make every But the other side of the Dalai Lama’s actions endeavor to save people trying to burn themselves is the sad life of Tibetan people in Dharamsala. alive presents a striking contrast to the Dalai The European Union’s report on Dharamsala says Lama’s hypocrisy.
Buddhist Doctrine Opposes Self-immolation
Eminent Tibetan Buddhist monks interviewed Choling, a monastery in Gonghe County of by Xinhua News Agency have expressed their grief northwest China’s Qinghai Province, said the most over the recent deaths of Tibetans who set severe violation of Buddhist doctrine is to kill, and themselves alight. Buddhists should do good. “They do not even protect their own lives, “It’s a pity to lose such young lives,” he said, which runs against Buddhist doctrine,” Rinchen adding that these suicide cases cannot represent Amgyal told Xinhua. Tibetans. The former abbot of the Tingkya Sangngak The Dalai Lama and his followers have argued 40 NEWS FROM CHINA /DECEMBER 2012
that self-immolation is lofty and respectable for inducing, encouraging or even praising suicides Tibetans who set themselves alight for the national as “an extremely severe crime.” cause instead of selfish ends. Committing suicide or goading others to do so However, Rinchen Amgyal said Tibetans are violates Buddhist tenets of mercy and compassion, people who do good and tell the truth. he said. According to media reports, several self- These self-immolations were due to others’ immolations have occurred recently in Tibetan- incitement, instigation and coercion, according to inhabited regions in west China’s Sichuan, Qinghai the Buddhist master, who advised followers to and Gansu provinces bordering Tibet. “discern good and evil.” Lorang Konchok, a 40-year-old monk from an Gumang Ngokse Gyatso, a lection teacher in ethnic Tibetan area of southwest China’s Sichuan Gyaltsen Monastery, said Buddhist doctrine says Province, was found to have goaded eight people people should do things that are conducive to social into setting themselves alight, three fatally, since stability and development and to the spreading of 2009. Tibetan Buddhism. He acted on the instructions of the 14th Dalai A group of backbone of younger monks has Lama and his followers, according to police, who formed in Tibetan Buddhism’s six sects, which has cited confessions and investigations. put the religion in a thriving position, said the In January, in an address that seemed to eminent monk of Tibetan Buddhism’s Gelug sect. encourage self-sacrifice, the Dalai Lama told his Jampa Chile, a lection teacher of Sera disciples in a prayer meeting in India that Monastery in Lhasa, Tibet’s regional capital, Sakyamuni Buddha, the founder of Buddhism, cut pointed to Tibetan Buddhists’ gains under the off his own flesh to feed seven starving tigers. He Chinese government and said, “I’ve benefited from died rescuing the tigers. the religious freedom policy.” However, self-immolation has nothing to do All monasteries in Tibetan-inhabited regions with the Sakyamuni story, according to Palden have access to radio, television, electricity and Donyu, the former abbot of Sagya Monastery in drinking water, he said. Tibet Autonomous Region’s second-largest city of Sera Monastery, one of the three important Shigatse, the key temple for Tibetan Buddhism’s temples of the Gelug sect, currently has 560 monks, Sagya branch. all covered by medical insurance, Chile went on, “Life is so precious,” he added, mourning those adding the government donated more than 100 who self-immolated. million yuan (about 16 million U.S. dollars) to The fact that many self-immolators were youths maintain the monastery this year. makes Donyu especially sorrowful, with the Palden Donyu likewise pointed out that the Buddhist urging the generation born in the 1980s Sagya sect of Tibetan Buddhism had enough to improve themselves inwardly in order to avoid resources to hold two assemblies, one in summer the emergence of severe problems. and one in winter. The Dalai Lama himself has publicly “Buddhism’s followers and disciples should applauded the “courage” of the people who died actively participate in building a harmonious or were injured in self-immolations. society, which is in line with Buddhist doctrine and However, Chuan Yin, president of the Buddhist conducive to religious development,” he added. Association of China, on Wednesday described NEWS FROM CHINA /DECEMBER 2012 41
Tibetan Children Benefit from Charity Projects
Chozin Family Welfare House in Lhasa, capital of Tibet Autonomous Region, is a nongovernmental welfare house for adopting orphans, disabled and poverty-stricken children. However, the death of its founder Chozin Dondrup at the beginning of 2012 made the children in the welfare house get into trouble for a time. In this October, the welfare house moved into an idle kindergarten after renovation by the concerted efforts of governmental departments and warm-hearted people. Now the 62 Photo taken on December 1, 2012 shows that children of Chozin Family Welfare House are reading in dormitory. children of the welfare house are enjoying healthy and happy lives with the help of volunteers and philanthropists.
Tibetan Buddhist Architecture Restored to its Original Glory Zhang Zixuan
Issued at China Daily, December 5, 2012
The Hall of Rectitude complex, the most the Forbidden City whole again.” concentrated Tibetan Buddhist architecture group Located at the northwestern part of the within the Forbidden City, has been successfully Forbidden City and the south of the Garden of the restored. It was destroyed almost a century ago, Palace of Established Happiness, the Hall of Rectitude during the Qing Dynasty (1644-1911). complex is composed of 10 Tibetan Buddhist The six-year restoration project was handled by buildings with the Hall of Rectitude at the center. the Palace Museum and the China Heritage Fund, a “The complex is the only area within the Hong Kong-based NGO that preserves and restores Forbidden City consisting only of Buddhist cultural relics throughout China. architecture,” says Wang Yuegong, deputy director “The restoration brought back to life an exquisite of the Palace Department and secretary-general of imperial ground,” says Shan Jixiang, director of the the Tibetan Buddhist Heritage Research Center of Palace Museum. “The blemish from the devastation the Palace Museum. of the previous century has been removed, making It used to serve as the site of Tibetan Buddhist 42 NEWS FROM CHINA /DECEMBER 2012
rituals and the storage space for Buddhist cultural relics, such as sutras, statues and thangka. Its function had been augmented since 1697, during Emperor Kangxi’s reign, when the Qing court established a specific organization within the Hall of Rectitude to take charge of all Tibetan Buddhist related activities. In 1923, a devastating fire that started in the Garden of the Palace of Established Happiness spread to the complex and destroyed all except the Pavilion of the Rain of Flowers, a section of the Hall of Precious Prosperity and two other smaller structures. From 2000-05, the Palace Museum and the China Heritage Fund have successfully restored the Garden of the Palace of Established Happiness. In 2006, the two organizations rebuilt the Hall of Rectitude complex based on historical documents, file photos and paintings. “The China Heritage Fund didn’t just invest the money but also considered the project as an The ongoing Tibetan cultural relics exhibition in the Hall of inheritance undertaking,” says Shan, director of the Rectitude complex features a gilt copper stupa made in the Palace Museum. Qing Dynasty (1644-1911). “The destruction of a nation’s cultural heritage The complex will recover its historic function to reflects the country’s decline and turmoil. But its serve as the Palace Museum’s Tibetan Buddhist restoration is a sure sign of the country’s rise and Cultural Heritage Research Center and as the prosperity,” echoes Ronnie C. Chan, founding exhibiting space for Tibetan Buddhist cultural relics. chairman of the China Heritage Fund. “I would be An exhibition featuring more than 100 relics is the biggest fool in the world if I didn’t do it.” ongoing at the complex to celebrate its completion.
Chinese Delegation Promotes Tibetan Culture in France
Paris, Dec. 1 (Xinhua) — A Chinese delegation which reflect the requirements of social promoting Tibetan culture gave France a closer advancement and the fundamental wishes of the look at the region during a visit that ran from Tibetan people. Tuesday to Saturday. Pubu attributed Tibet’s development to the care The delegation, sponsored by the Chinese State of the central government and the help of Chinese Council Information Office, introduced Tibet’s people of all ethnic groups. history, economy, society and culture by holding Tibetans now enjoy full freedom of religious discussions and seminars and giving reports and beliefs and the Chinese government respects and interviews. protects the religious freedom of Tibetans in Pubu Cering, a Chinese Tibetologist who accordance with the law, he said. headed the delegation, said Tibet has made great Francois Asensi, a member of the French achievements in economic and social development, National Assembly, told Xinhua after meeting the NEWS FROM CHINA /DECEMBER 2012 43
delegation that he was amazed by Tibet’s rapid delegation could let the West know more about economic development and achievements. Tibet. He added he has always hoped to know a real With the country’s development, China should Tibet, and it was a great opportunity to meet have more influence on international opinion, and directly with scholars from Tibet. deepen its friendship with western countries, the The delegates of Overseas Chinese said the delegation said in an interview.
Swiss Scholar: Tibet Now No Doubt a Better Place
by Mirenda Wu
Were there no comparison, was not that easy and witness or researches, it would be comfortable. Michael Henss hard for people to understand recalled that it was a hard thing how powerful the changes were to travel from the Lhasa airport in Tibet over the past half a to the downtown area 26 years century. But for Michael Henss, ago, not to speak of the basic who has been bending himself to urban infrastructure. He had to the study of Tibetan culture for share one room with other two some 20 years, contrasting images friends in a small hotel. showing the differences take He paid his last visit to Tibet shape easily in his mind. in 2006, three months after As an archeologist and running of the Qinghai-Tibet historian, Michael Henss has Railway. “That was really a made 24 tours to Tibet since 1980 wonderful trip. Things changed for field investigations in major Michael Henns greatly comparing with that Tibetan monasteries and cultural some 20 years ago.” “We see the relics. He pointed out some western media, for changes more from the outside not from the inside. political purpose or something else, always have And of course, things there, like people’s living critical and negative reports on Tibet. He said that condition, has been improved greatly.” western meida have neglected the fact that Tibet Great efforts have been endeavored over the is becoming better than ever and even Dalai Lama past 50 years to make Tibet a better society. Michael could not deny it. Henss said the changes owed to the help of the Chinese government. In March, 1980, the 1st Social Changes National Conference on Work in Tibet was held. In 1980 when China just opened its door to The central authorities decided at the meeting to the world, Michael Henss made his first visit to bring all active factors into full play to help build a Tibet together with other two friends. Because of new Tibet, especially in the improvement of high elevation and poor transportation, that trip people’s living conditions. As a result, the fixed 44 NEWS FROM CHINA /DECEMBER 2012
subsidy from the central government increased to 496 million yuan per year. Besides, between 2006 and 2010, China has invested a total of 1.378 billion yuan to start 188 livelihood improvement projects, including education, medical system, social insurance program and tourism. Religious Prosperity
Michael Henss, who is about to publish a new book titled “The Cultural Monuments of Tibet” in 2013
based on his 24 visits to Tibet, is glad Tibetan people in northern Tibet are celebrating Tibetan Losar (Tibetan to see many major or once been New Year) with tourists. neglected monasteries are now under good protection and inheritance with proper He also pointed out Tibetan people were very renovations since 1980s. He said:”I have a feeling glad with the material improvement, but material that much traditional Tibetan culture and practices life is only a secondary thing for them. What are have survived.Tibetan monks and ordinary more important is the spiritual life, so they give a Buddhists can carry out religious ceremony without lot of money to the monasteries and do something any problem.” “There is no harm and no problem good for the next life. “Now the situation there is with Tibetan religion,” said the old man. definitely getting better. Even the Dalai Lama couldn’t deny it. We have to accept that it is no doubt with the help from the government.” “Tibet needs changes. It is no more the one under feudal serfdom system before 1959.” Biased Western Reports
Moreover, Michael Henss thought some western media were sometimes very critical toward China’s policies on Tibet, trying to discover its negative points. Taking Tibetan nomads’settlement program for example, some western media said A grand Buddha Painting Unfolding Ceremony in Tibet. that China attempted to change NEWS FROM CHINA /DECEMBER 2012 45
Tibetan nomads’ lifestyle to make it a copy of other Chinese cities, which provoked grumbles among Tibetan nomads. Michael Henss pointed out, however, this is not the case. “I know from my friend who is making researches among Tibetan nomads in Qinghai Province that Tibetans are happy about it. They see the improvements in many aspects, so all the nomads are appreciating it,” said Michael Henss. He emphasized that people always tried to conserve the tradition and local lifestyle, but no The housing project in Nagri Prefecture, western Tibet. one can stop the times.
Famous Trekking Routes in Tibet
by Mirenda Wu
Tibet is probably the only destination among allow the sunshine to strike the earth with unusual the Himalayas that is not well-known for the intensity. To protect your eyes and skin, you’d adventure circuits as the other regions do. better bring a sunscreen with the lowest sun But do not underestimate Tibet as just another protection factor of 15; and sunglasses are also trans-Himalayan area of the Himalayas. There’s useful. Lip creams and balms with SPF ratings, much more in Tibet besides the Buddhism, zinc, oxide creams provide ideal block-out. monasteries and cold desert-like weather. Generally speaking, the period from April to October is the best season for a tour in Tibet. Climate & Trekking Season in Tibet Howver, a winter tour in Tibet could be The high altitude and atmosphere in Tibet comfortable as well, which depends on the route. In winter, Tibet has less tourists, so you can enjoy the beautiful scenery freely. Following are some major trekking routes in Tibet. Mt. Qomolangma Area Trekkers have explored numeorus trekking routes towards Mt. Qomolangma, the world’s highest peak. Still, if you like trekking in the unexplored zones, then you can opt the routes to the Mt. Qomolangma range from the Tibetan
Breathtaking landscape around the Namtso Lake in north Himalayas side. Tibet Autonomous Region One of the trek tour routes is from Kathmandu 46 NEWS FROM CHINA /DECEMBER 2012 to Tibet. You can drive across the beautiful for centuries. Nepalese countryside to the Chinese boarder town Mt. Namjiagbarwa Trek of Zangmu, on which you will negotiate the road up through deep gorges of the Sunkoshi River and Mt. Namjiabarwa is an excellent short trek for pass the Tingri village in Tibet. nature lovers and amateur botanists.
The majestic Mt.Qomolangma The splendid Namjiagbarwa Peak
On the trip from the ancient village Tingri to base camp, you can see the magnificent and huge It includes the delightful Nyima La and the dimensions of Mt. Qomolangma. lushly forested Rong Valley. The route begins in Pei, a small village that is also the staging post of Kailash & Mansarovar the trekkers to the great bend of the Tsangpo River For over a thousand years, pilgrims have via Pelma Kochung and to Metog. You can take a journeyed the Mt. Kailash and Lake Mansarovar ferry to cross the river to Timpe on the north river to pay homage to the mountain’s mystery. bank, which is the site of a revered Guru Rinpoche cave and monastery. A splendid trail leads north to the Nyima La through some of the finest virgin forests and flower gardens in southeastern Tibet. The idyllic walk passes a nomad camp and groves of flowering rhododendrons along the way. Many plant species abound on the open moorlands near the pass. On the far side of the Nyima La is the Rong Valley, a heavily forested scenic valley that is luxuriantly carpeted with primulas and violet irises from May to July. The beautiful Mt. Kailash The best time for this trek is from May to October. Circulating the two is a ancient ritual of Trekking Permits in Tibet devotion that has been kept to today. People have been visiting the Mt. Kailash and Lake Mansarovar There are two requirements for foreign tourists NEWS FROM CHINA /DECEMBER 2012 47
travel in Tibet. One is the Chinese Visa, which you can apply for in Chinese Embassy in your place. Another is the Alien Travel Permit, which is issued by Tibet Tourism Bureau.
The beautiful scenery in the Yarlung Zangbo Grand Canyon areas.
guest in high altitude. The effect of high altitude sickness usually remains 2 days till the body has acclimatized to Tourists pass by a shabby wood hanging bridge in the Yarlung Zangbo Grand Canyon areas. the climate and the height. Headache, nausea, vomiting and short breath are the common There are no independent trek tours allowed symptoms. in Tibet. You should join an organized group or To avoid the high altitude sickness the tourist have the local travel operator arrange a trek tour could take garlic soup and drink more water for you. frequently. High Altitude Sickness (Tibettours.com contributes to the this story) High altitude sickness could happen to any
A Good Menpa in the Eyes of Tibetan People
by Tang Zhaoming
By day, she bustles around the operating table at Bejing Anzhen Hospital. She is also the first in a thick anti-radiation vest. At night, she has to female awarded the Prize of Youth Research by rest on a chair because of her pulmonary edema. Japan Children’ Heart Association. In 2004, she On the Qinghai-Tibet Plateau, a place where the gave up her excellent job and life abroad and congenital heart disease occurs at a higher rate, returned home. Since then, Gu Hong went on her she, by her hard work, sustains a hope of survival dauntless way to heal nearly a thousand Chinese for the children with congenital heart disease. and Tibetan children with congenital heart disease Parents call her good Menpa (Menpa means in her consummate technique. doctor in Tibetan) , and her colleagues call her Up to the Highland Seven Times workaholic . Her name is Gu Hong, a doctor from overseas As a leading figure in the field of pediatric heart 48 NEWS FROM CHINA /DECEMBER 2012
disease, Gu Hong was assigned to take charge of the cooperation with the People’ Hospital in Tibet Autonomous Region when she returned, responsible for the general care and treatment of the children with congenital heart disease in Tibet. In the past five years, Gu Hong has organized a number of professionals from the U.S. Pittsburgh Children’s Hospital, Japanese Tokyo Female Medi- cal University and Beijing Anzhen Hos- pital. She entered Tibet seven times to carry out the associated general survey and treatment on children with congeni- tal heart disease. Up until now, the team Gu Hong (left) was instructing Nyima Yudron (a Tibetan doctor in on- has made health examinations and heart the-job training in Anzhen Hospital)about the medical situation of a child ultrasonic inspections on 9,350 children with congenital heart disease. in Lhasa, Lhoka, Shigatse, Nagqu and some other areas, diagnosed 171 and sent about short two days, they sifted seven children from 140 in groups to receive operations at Beijing among more than 800. At Nakartse, Gu Hong and Anzhen Hospital. her colleagues worked hard, while they fought Last October, I followed the China-U.S. medi- against altitude sickness by taking oxygen and cal team headed by Gu Hong to Nakartse County medicine. in Tibet which is as high as 4,450 meters. In the No matter how tired she is, Gu Hong always has a smile on her face when she talks to the children. She says, “ We hope we could examine as many children as possible. The earlier the children can be diagnosed, the faster they can be healed. Once the chance missed, one day some ill child will lose its life due to cardiac failure caused by endocarditic failure affected by bac- terial infection or pulmonary artery hypertension.” Guard Children’s Tomorrow When the Tibetan children come to Beijing for treatment, their parents inevitably encounter language barri- ers and feel lost in the strange place, Gu Hong giving medical information to the mother of a child with congenital heart disease. especially for those not only suffer- NEWS FROM CHINA /DECEMBER 2012 49
ing congenital heart disease, but also hepatitis, pneumonia, cephaledema, and so on. Every time upon such an occasion, Gu Hong would extend her favor without hesitation. In the recent five years, Gu Hong has asked distinguished surgeries from Beijing Ditan Hospital and Tiantan Hospital many times to consult together for over 10 chil- dren like Losang Palmo, Ngodrup Wangmo and Losang Tashi, in order to have their other diseases healed before proceeding with heart operations on them. In the recent five years, no one knows how many children’s lives have been saved by Gu Hong. Once in Lhasa, she led her medical team to keep working from eight a.m. to seven p.m. in her anti- radiation vest that is as heavy as 10 kilograms. In total she performed seven intervention operations for children with congenital heart disease. After that, she was exhausted, but she still didn’t put down her scalpel and went on give another op- eration when she was told a seven-year-old girl was awaiting urgent treatment. Now, the girl lives a normal life and goes to school everyday. “Effort Gu Hong re-examines the health situation of Ngodrup, living means the hope of survival.” Gu Hong’s words in the inpatient department of the People’s Hospital of Tibet. enhance her colleagues. Together they set the his- torical record for giving the greatest number of does not take a penny, instead, she herself pays to interventional congenital heart disease operations buy toys, crackers and stationeries for the children.” at high altitude within a day. One of Gu Hong’s colleagues at the operation On Jun. 2nd, 2011, she guided her medical table, Luo Yi,Vice President of Beijing Anzhen team to the snowy highland once again and Hospital, Director of Pediatric Department, said, worked for nearly 12 hours to successfully open “Last year,when she was back from Tibet, she got operations on 13-year-old Tseten Samdrup and an- edema on her face, we all begged her to have a other five Tibetan Children in the soft-running rest for a few days, but she came back to work the cardiac catheterization laboratory of the People’s second day. Gu Hong is always praised for her Hospital, Tibet Autonomous Region. The spirit with medical ethics to serve the patient with all her which she devoted herself to the work in the high heart.” altitude area moved every medical worker at the To be a Good Doctor spot. Up to now, the Tokyo Female University in The Tibetan female doctor,Nyima Yudron, who Japan and the State University of New York in the follows Gu Hong for advanced study, told me that, U.S., where Gu Hong has studied and worked, both “ Menpa (means doctor in Tibetan) Gu often does reserve a position for her, expecting she would re- not go back until midnight. Some parents present turn back and work for them. her with money reward to show gratitude, but she 50 NEWS FROM CHINA /DECEMBER 2012
Takao Atsuoshi, a world famous professor on After returning to Beijing Anzhen Hospital, her pediatric heart disease, has been Gu Hong’s tutor long familiar place,Gu Hong started a national since she worked for her doctorate degree in Ja- course on the diagnosis and treatment of congeni- pan. He was childless and saw Gu Hong as his tal heart disease combined with pulmonary artery own daughter. Takao died of illness in 2006. His hypertension for over 300 medical workers from wife, who was 77 years old, actively studied how all over the country, teaching them advanced over- to get on the Internet in order to contact Gu Hong seas experience and methods. She also guided her and persuade her to return to Japan. team to make studies on medical therapy for chronically cardiac dysfunctional children, diag- nosis and treatment of congenital heart disease combined with pulmonary artery hypertension, and the relationship between the congenital heart disease and the 40 abnormal junctionnull genes. The adult congenital heart disease system has not been set up in China. Gu Hong’s office, the Department of Pediatric Heart Disease, often re- ceives some special patients.They have been the children with congenital heart disease in their child- hood, when they grow up, they feel uncomfort- able again, but they cannot find the relevant medi- cal department offering professional treatment for their cases. “Mrs. Gu is depending on herself to push China to establish the adult congenital heart disease treat- ment system. We sincerely respect her spirit.” De- clared Mike Lansburg, Director of Department of Adult Congenital Heart Disease, Boston Children’s Hospital, in the U.S. Seeing that Gu Hong often works overtime without complaints upon her low salary and harsh conditions at home, many people are confused and
Gu Hong (front) and Dr. Bradley Keller (Director of ask her, Why do you do it? Gu Hong smiles and Department of Adult Congenital Heart Disease, Boston says: A son never dislikes his mother if she is ugly Children’s Hospital, USA) giving medical checks to students or his family poor. What I want is to repay the of Complete Primary School at Nakartse County, Tibet. kindness that my motherland has shown me.
Singing Soundly with Gratitude
by Li Hui
Before seeing Asgen, I had imagined a girl CCTV (China Central Television) many times for who has been on the stage of various parties on such a young age. She might have the air of a NEWS FROM CHINA /DECEMBER 2012 51 star but when I saw her the first time, my former forever. As they had expected, Asgen’s life is suspicions all vanished right away. Before me, really full of auspiciousness and luck. was a Tibetan girl who is so pretty, nice and easy Asgen grew up in a simple environment of going. singing and dancing, so she inherited the skill of Tibetan people at song and dance. She said, I have loved singing since I was little. My family support me, especially my grandma. I have a good voice and some local fame. I was encouraged to pursue the road of music. Because of her wonderful voice, she was often asked to give shows. When she was in primary and junior high school. Later, she applied for a major school of
Asgen is singing in Tibetan. When Asgen did the interview with me, the sunshine shone through the window and it was warm and peaceful in the room. As she spoke to me,her eyes were attentive and her voice seemed to penetrate one’s heart with enchantment. Out of the Mountains for Her Beloved Singing
Asgen was born in the Aba Tibetan-Qiang Autonomous Prefecture, Sichuan Province. The scenic mountains and waters in Sichuan bring Asgen up to be a pretty girl. The secret and solemn snowy highland gives Asgen a voice as broad and clean as a prairie. Asgen means auspicious glory of Buddha in Tibetan. Asgen’s parents might have hoped that fortune and auspiciousness would surround their daughter 52 NEWS FROM CHINA /DECEMBER 2012
vocal music under the advice of her family upon her graduation from the senor high school. At that time, Asgen didn’t know that vocal musicians have to be trained by professionals; neither did she know that she should find someone to teach her. “I was lucky. The Central University for Nationalities admitted me because of my original singing. During the college study, my teachers did not dismiss my method. Instead, they taught me according to my merits and added Singing together with Tseten Drama, the famous singer. scientific techniques to my original singing so as to enhance my music girl who loved singing to a bright,Tibetan base. Now when I recall the past, the original military singer. singing might be my trait.” Sing Passionately to Bless Good Fortune Entering the Central University for Nationalities made it possible for Asgen to escape Asgen has always striven to make progress her former, isolated small town to the big stage since she joined the Art Troupe of the Political of Beijing. Then, when she was enrolled into the Department of Air Force. Every year she follows Art Troupe of the Political Department of the the troupe to convey gratitude to the grass roots Air Force, Asgen began to transform from a little army, presenting her wonderful singing to the soldiers in the basic military units. For three successive years, she has been specially invited to take part in the Beijing New Year Concert held in the People’s Great Hall. The haunting rhythms of Tibetan music always capture the audience’s hearts. As the first Tibetan singer to sing in the National Theatre, she has participated in the performance of the opera Sister Jiang. Being a messenger helping pass on the plateau culture, she has followed the state leaders to visit a dozen of countries and regions. The most distinguished achievement is that she opened her personal solo concert Snow Lotus of Mount Qomolangma in Baoli Theatre during the sixtieth anniversary of National Day and also NEWS FROM CHINA /DECEMBER 2012 53
the sixtieth anniversary happy life of the Tibetan of the establishment of people. After a long the Air Force. To preparation, Asgen’s celebrate the birthday of first solo album, How our country and the air Far is it to Get to Lhasa force, Asgen performed a , was released to face number of sweet songs in the world in 2010. The her loud and broad voice production team is very in Tibetan costume at the professional, gathering concert. many important figures Asgen said, As a who I respect much in young Tibetan singer, it is the contemporary a challenge for me to sing domestic music circle, so many songs of such as Yan Su, Zhang different nationalities Qianyi, Yin Qing, Meng and styles. In Qingyun and Lei addition,there is a lot to Yuansheng. do for a The album has concert,including thirteen songs of costumes, props, and so different styles, such as on. I had to do everything How Far is it to Get to by myself. So I went On a charity performance for Yushu’s disaster relief, Lhasa, Heart of through an anxious time Asgen donated 20,000 Yuan Fragrance, China , My while I was busy with my Dear Mother, every concert. For me, it was a hard time. Fortunately, song is so beautiful in its lyrics and rhythm. I succeeded in getting it done. Now when I recall When I sing them, images from the Tibetan areas it, I feel that the first thing I want to say is thanks, seem to appear before my eyes, as if I had first to give thanks for the good times that gave returned to my beloved hometown. Especially me the opportunity to stand on the stage singing the theme song, How Far is it to Get to Lhasa , is the best songs from my heart, and express the also the theme music for the movie The Qinghai- passionate patriotism of Tibetan people in the Tibet Railway , directed by the famous director form of a concert. With these words, Asgen gave Feng Xiaoning and also one of the best works a smile of pride, her eyes shining and sparkling. created by Zhang Qianyi in recent years after his other songs, The Qinghai-Tibet Plateau, Enter Praise for the Times with Lyrics Tibet , On the Peak of East Mountain . Asgen The inspiration from the concert planted expresses that song perfectly in her special and another seed of hope in Asgen’s heart: to enable graceful voice, presenting a scroll of spiritual more and more people hear her voice,experience paintings containing the essence of her culture. the charm of Tibetan music and get to know the When we talked about the album,Asgen 54 NEWS FROM CHINA /DECEMBER 2012 seemed to become a chatterbox, from which I Central State Organs,member of the Youth could see that she loved her record very much. League of Sichuan Province,and so on. In 2010, “I want to make more people understand how she was assigned membership of China pure and holy Tibetan music is, and to let Association for Preservation and Development everyone feel kinship with the big national of Tibetan Culture. In her eyes, to be worthy of family. “If you listen to her, you can detect her all these honours awarded by the state and party, enthusiasm and gratitude for the people and the she has to try her best to do what she can. She world. “More and more youngsters are getting said: “Since my country and party give me so to like Tibet, the art and culture of Tibet, and many honors, I have to shoulder the mission especially Tibetan music. The national art shall behind them, to better inherit and spread the be globally acknowledged. As a Tibetan excellent Tibetan music and culture, because I daughter, I have to try my best to do anything believe that national art should be globally related to my nationality well, to tell the world acknowledged. I will also devote all my efforts about our fine and happy life.” Upon these and energy to do the music I like, to develop words,Asgen grew attentive and serious. all sides of the art. Otherwise, I feel I am disgracing my country and party unless I Pay Back Society with Gratitude foster and favour them, and deserve my In her life of more than twenty years, Asgen people’s love for me.” has been endowed with luck and happiness. During the interview, what Asgen said most That’s why she is always grateful for all she has is good luck and thank you. It is true that Asgen achieved. In her heart, to participate in various is fortunate.She is an eyas rushing into the shrine public charities is the most important thing of art and ready to fly high with her wings. Han except for her singing career. These days, Asgen Hong, Assistant Chief of the Art Troupe of the subsidizes students in her hometown in order to Political Department of the Air Force,was full of let more children have the opportunities to get praise when she talked of Asgen. Gold will shine to know the outside world and to go out for sooner or later just as the glory of highland’s further study. She also went to see the aged at glory goes through the clouds and mist. Asgen’s the Seniors’Homes both in Beijing and the success stems from her affection for both the suburbs, giving shows for them; She took part music and the snowy highland. She has been in the benefit performance for victims of the awarded the second medal for singing in the 3rd earthquake which was held in Wenchuan of National Minorities Art Festival of Sichuan Sichuan and Yushu of Qinghai. She is Province, first medal for performance in the enthusiastic about charitable causes, and would National College Art Festival, Honourable like to help those who are in need with all her Mention in the professional group of the 6th efforts from singing songs in various benefit National Military MTV Competition. Behind this events. accumulation of honors is a history of This young Tibetan girl has a lot “titles”: painstaking effort, which helps Asgen to member of China National Minority Vocal Music progress further and further along the road of Association, member of the Youth League of art.
Postal Regd. No. DL-SW-16/4034/12-14 R.N.I. No. 47440/88 December 2012
The made-in-China MOCVD (metal organic chemical vapor deposition) equipment, the key equipment to produce high- brightness LED chip, rolled off the production line in Shanghai, which can represent the international advanced level. Therefore, the domestic LED production costs is expected to significantly decline. The picture shows that guests and experts were inspecting the MOCVD debugging on December 6, 2012.
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