<<

A CHINESE WEEKLY OF NEWS AND VIEWS On their way to the downtown market, Photo by Xu Yimin HIGHLIGHTS OF THE WEEK BeijingR^-

VOL. 34, NO. 14 APRIL 8-14,1991

Foreign Minister Qian Meets ttie Press CONTENTS

D During the annual National People's Congress session, Chinese Foreign Minister , at a televised news NOTES FROM THE EDITORS 4 5 conference, explained 's foreign policy and its position on a number of internatioiial issues (p. 11). The Forigin of the —Is Tibet a 'Fully The Origin of tlie 14th Dalai Lama Functioning State'?

• This article by our Guest Commentator Bu Wen cites EVENTS/TRENDS 6 10 numerous historical facts to prove that Tibet has been under the sovereignty and administration of China's central govern• People's Motivation; Key to ment since the Yuan Dynasty in the 13th century. For exam• Success ple, the installation of the Dalai Lama as Tibet's leader had to Democratic Parties: Colleagues, be reported to and approved by the Central Chinese Govern• not Puppets ment and when the National Assembly of the nationalist Economic Tasks for 1991 government was held, Tibet, like other Chinese provinces and Outlined regions, sent representatives to attend the conference (p. 4). China's 1991 Budget Grim but Hopeful Scientific Exchanges to Be People's initlathres Key to Success Expanded

•During the ongoing plenums of the National People's Con• gress and the National Committee of the Chinese People's INTERNATIONAL Political Consultative Conference, human factor, including people's initiative and development, was stressed by many Foreign Minister Qian Meets the Press 11 participants and state leaders. They agreed that the key to the Towards Better International fulfillment of the country's economic objectives is to bring the Trade 15 initiative of the masses into full play (p. 5). CHINA SEZi Establishment and Development Development of China's SEZ 16 a China's special economic zones (SEZ) have since their Everlasting Friendship 23 establishment ten years ago experienced fast expansion both in Friendship Studies: Goals and area and business. A review of their establishment and devel• Prospects " 26 opment (p. 16). FROM THE CHINESE PRESS 28 29 Towards Better International Trade Environment BUSINESS/TRADE 30 31 • Trade protectionism and non-tariff barriers erected by de• veloped countries have become a major obstacle to the devel• CULTURE/SCIENCE 32 34 opment of international trade. Therefore, China hopes the Conference on Trade and Development and COVER: The Development Centre the United Nations Development Programme will give addi• Building in Shenzhen City. tional technical assistance to developing countries, (p. 15). Photo by Chen Zonglie

General Editorial Office Published every Monday by REVIEW Subscription rates (1 year): Tel; 8314318 24 Baiwanzhuang Road, Beijing 100037 Australia.. ..A.$33.60 TU<: 222374 FLPDA CN The People's Republic of China New Zealand NZ.$45.00 FAX: 8314318 Distributed by China International Book UK 18.00 English Dept. Tel. 8315599 Ext. 546 Trading Corporation (GUOJI SHUDIAN) USA US$33.80 P.O. Box 399, Beijing, China Canada Can.$33.80 NOTES FROM THE EDITORS

The Origin of the 14th Dalai Lama —Is Tibet a "Fully Functioning State"?

by Our Guest Commentator Bu Wen

rw^he British Observer reported March 17, the three soul boys, a ceremony of drawing lots I "The Dalai Lama disputes the British For- should be held and that,in order for the confirma• -•- eign Office claim that Tibet is autonomous. tion to be widely accepted, the central government In his opinion... (Tibet) from 1911 to 1950 had should send people to participate." In the report, been a fully functioning state." Radreng also said that the central government was In making this remark, the Dalai Lama forgot requested to order the Qinghai provincial govern• his own origin and how Tenzin Gyatso, son of a ment to urge Buddha Keutsang Rimpoche to ac• peasant in China's Qinghai Province, became what company the Qinghai soul boy, referred to Tenzin he is today, the 14th Dalai Lama. Gyatso, the current 14th Dalai Lama, to go to After the death of the 13th Dalai Lama in Tibet. The nationalist government ordered Ma Lhasa on December 17, 1933, a soul boy, the rein• Bufang by telegram to provide the soul boy with carnation of the Dalai Lama, was being sought in an armed escort for his journey to Tibet and accordance with the accustomed religious rites. At allocated 100,000 yuan for the escorted mission. that time, three soul boys were found. Accord• Tenzin Gyatso and his party set off from Xin- ing to the regulations of the Qing government ing in July 1939 and arrived in Lhasa without (1644-1911), the chosen soul boy had to be rati• incident in early October. The. Tibetan Kasha fied by the Qing Court. The Regulations Concern• immediately sent a telegram to Chiang Kai-shek ing the Administration of Tibet, formulated by of the nationalist government reporting their safe the Qing government in 1792 in order to streng• arrival in Lhasa and indicated that the required then the administration of Tibet, clearly stipulat• ceremonies, such as having the soul boy's head ed that after the death of the Dalai Lama or Bainqen Lama, the soul boy should be decided In February 1940, Wu Zhongxin (left), special envoy of the through the drawing of lots if more than one were nationalist government, presided over the Potala Palace ceremony during which the 14th Dalai Lama was officially found. The names of all the soul boys discovered installed. were to be written on tags in Chinese, Manchu and Tibetan languages and put into a special gold urn. The Qing government commissioner to Tibet would draw lots from the gold urn in the presence of representatives of both ecclesiastics and secular people; the chosen tag would hold the name of the reincarnation of the Dalai Lama or Bainqen Lama. This would then be reported to the Qing government for approval. This was the system of "drawing lots from the gold urn." The gold urn used at that time and in previous times is still intact today. The reincarnation of the 13th Dalai Lama was thus chosen through the drawing of lots from the gold urn. For this. Regent Radreng of the local Tibetan government, in the winter of 1938, wrote a report to Wu Zhongxin, chairman of the Commission for Mongolian and Tibetan Affairs of the nationalist government, then the central government. The report said, "With regard to the method of parti• cipation of the representatives sent by the central government, it has been decided by the Kasha (the local Tibetan government) that after the arrival of

4 BEIJING REVIEW, APRIL 8-14,1991 NOTES FROM THE EDITORS shaved, conferring upon him his title and having distinguished himself by his extraordinary intel• him officially installed should be held on chosen lect, it being established through investigation auspicious days, and that reports on each activity that he is the incarnate 13th Dalai Lama and the would be immediately sent to the central govern• confirmation formalities having been omitted, he ment. is allowed to succeed as the 14th Dalai Lama and Thereafter, the local Tibetan government head. the order to this effect is hereby issued." Regent Radreng, reported to the central govern• On February 22, 1940, when the 14th Dalai ment, saying that the Qinghai soul boy had distin• Lama was officially installed, the nationalist gov• guished himself by his extraordinary intellect and ernment, in accordance with previous regulations proposed that the formality of drawing lots from and the request of local Tibetan government, sent the gold urn could be omitted. On January 26, Wu Zhongxin, chairman of the Commission for 1940, in his letter to Wu Zhongxin, Regent Rad• Mongolian and Tibetan Affairs, to attend the reng declared that the Qinghai boy was warmly official installation ceremony. accepted as the reincarnation of the 13th Dalai The above-mentioned experience of the 14th Lama by the Tibetan ecclesiastics and secular Dalai Lama points out that the birth of the Dalai people and by the upper and the lower classes. Lama as a local Tibetan leader at that time had to Since the masses were unanimous in their accept• be reported to and granted ratification by the ance, there was no need to perform the ceremony Central Chinese Government. It is therefore ridi• of drawing lots from the gold urn, the soul boy culous to claim that Tibet had been a fully func• should have his head shaved according to tradi• tioning state from 1911 to 1950. Facts fully prove tion and a report about the activity would be that since the Yuan Dynasty in the 13th century forwarded to the central government for the re• to 1911, after the overthrow of the Qing Dynasty cord. After receiving the letter from Regent Rad• in 1911, Tibet had always been under the sover• reng, Wu Zhongxin sent a telegram the following eignty and administration of the Central Chinese day to the Executive Yuan of the nationalist gov• Government. ernment, then headed by Chiang Kai-shek, who Many other facts also prove that Tibet was a in turn submitted a document on January 31 to region under the administration of the Central the nationalist government, requesting the govern• Chinese Government between 1911 and 1950. For ment to issue an order agreeing to omission of the example, when the National Assembly (similar to confirmation ceremony, approve Tenzin Gyatso a Western parliament) was convened by the na• to be the 14th Dalai Lama and allocate funds for tionalist government, the Tibet region, like other the official ceremony. On this basis, on February Chinese provinces, also sent representatives to at• 3, 1940, Lin Sen, chairman of the nationalist tend the conference. According to the archives of government, issued an order by the nationalist the former nationalist government Commission government which read as follows: for Mongolian and Tibetan Affairs, there were frequent exchanges of letters and telegrams be• "Order of the Nationalist Government tween Tibet's Kasha and the office of the nation• The Qinghai soul boy Tenzin Gyatso having alist government in Tibet in re• Eampus of Tibet in Nanjing presented a document to the nationalist government. gard to the dispatch of represen• tatives in 1931, 1936, 1940 and 1946. These are all on record and supported by evidence. For ex• ample, historical archives in• dicate that when Regent Radreng and Dazha assumed office in suc• cession after the death of the 13 th Dalai Lama, their appoint• ment was reported to the central government. The current Dalai Lama might not know these his• torical facts because he was too young at that time, but he can consult the relevant materials to have first-hand knowledge of the situation. On the basis of such historical facts, it is thus ground• less for him to casually say that Tibet had been "a fully function• ing state" after 1911. •

BEIJING REVIEW, APRIL 8-14,1991 5 EVENTS/TRENDS became dijfsatisfied with their People's Motivation: Key to Success lot. But they have not only pro• posed; they have also disposed. With their resourcefulness and the sweat of their brows, they have made their lives better than before. The human factor has been a much talked-of topic at the on• going plenums of the National Peopl's Congress (NPC) and the Chinese People's Political Con• sultative Conference (CPPCC). Uppermost in the minds of the delegates and state leaders has been how the initiative of the people can be brought into full play. , a member of the Political Bureau Standing Com• mittee of the Central Committee of the Communist Party, said on NPC deputies from Hubei Province putting their heads together on how to improve March 28 that the key to the productivity of large and medium-sized enterprises. XUE CHAO fulfillment of the second-step strategic objectives in China's hen a group of peasants attribute the success of the past modernization drive is to give in Anhui Province in• decade to the initiative of the full rein to the initiatives of the W troduced a new farming people. The belief for many masses. One of the strategic ob• system in the late 1970s, simply years, they said, has been that jectives is to quadruple the coun• to stave off starvation, little did "Man proposes, God disposes." try's 1980 GNP by the year 2000. they realize they were in fact The Chinese experience shows Li, the one-time mayor of, kindUng the flames of an econo• that the people proposed — they Tianjin, told NPC deputies from mic revolution in China's under• introduced a new value and em• the city, "It is an arduous task to developed countryside. ployed a new method when they achieve the objectives. Neverthe- The new approach, under the guidance of Education in areas inhabited by minority nationalities is a priority item on the agenda of NPC deputies from Yunnan Province. the Party's policies of XUE CHAO reform and opening to the outside world, later evolved into what is now known as "household contract responsibility sys• tem." The system, which links remuner• ation with output, helped increase prod• uction and deliver millions of farmers from poverty. It was at this point that China initiated a modernization drive that allowed the coun• try to double its GNP during the 1980s. Many people today

BEIJING REVIEW, APRII>8-14, 1991 EVENTS/TRENDS less, the difficulties can be over• Year Plan (1991-95) to be adopt• key to activizing those enterpris• come and the goals can be at• ed at the NPC session are con• es lies in stimulating the initia• tained so long as all members of cerned with the second-step stra• tives of the workers. society work hard with one heart tegy, and are the crystallization Chen Bingquan, a members of and one mind." of the wisdom of the people, the CPPCC, on behalf of 58 Providing full scope to the ini• said Li. other delegates, introduced mea• tiatives of the people, Li said, An NPC deputy from Guang• sures in line with Shen's sugges• means to pool the wisdom and dong Province said: "We must tions. Chen said: "Leaders of en• strength of the masses in such a let it be known that the pro• terprises must take care of and way as to allow them to produce grammes we are currently dis• protect their workers. If a man• outstanding social and economic cussing are for the people, and ager wants his workers to love results. by the people." Only by knowing their company, as many mana• Li said the fundamental exper• that they can gain something, he gers have said, he himself should ience in achieving the first-step said, will people exert themselves first love the workers." Chen objectives has shown that success to their greatest potential. pointed out that the workers lies in motivating the people as Shen Minkang, an NPC depu• have a vast reservoir of enthu• much as possible, and rationally ty from , said that the siasm for socialism. "This is the integrating the motivation with economic goals cannot be real• force we must depend on to over• the objectives. The 10-Year ized unless large and medium- come difficulties and invigorate Development Programme sized enterprises are really invi• our enterprises." (1991-2000) and the Eighth Five- gorated. According to Shen, the by Staff Reporter Li Haibo

China Revolutionary Committee Democratic Parties: Colleagues, not Puppets of Kuomintang; the China De• mocratic League; the China De• hinese democratic parties Jing and the leaders of four mocratic National Construction — non-Communist parties other democratic parties who Association (CDNCA); the C — are comrades-in-arms of were present at the conference China Association for Promotion the Communist Party of China agreed that China's democratic Democracy; the Chinese Peas• (CPC). They are, in fact, col• parties are playing an important ants' and Workers' Democratic leagues, not puppets. role in the country's political life Party; the China Zhi Gong Jing Shuping, vice-chairman and exerting an increasing influ• Dang; the Jiu San Society; of the All-China Federation ence on the decision making pro• the Democratic Self- of Industry and Commerce, cess. Government League. The All- stressed this point at a press con• There are eight democratic China Federation of Industry ference in Beijing on March 28. parties in China. They are: the and Commerce is often regarded Five non-Communist leaders at a March 28 press conference held by the National Committee of the CPPCC (from left): Peng Qingyuan, the China Revolutionary Committee of Kuomintang; Wan Guoquan, the China Democratic National Construction Association; Fang Rongxin, the Chinese Peasants' and Workers' Democratic Party; Jike, the China Zhi Gong Dang; Jing Shuping, the All-China Federation of Industry and Commerce. XUE CHAD EVENTS/TRENDS er ministers who ate Communist Party members. Feng said his opinions and voice carry weight in the work of the ministry, founded in 1987 to supervise the govern• ment functionaries and fight corruption. "I'm not a Com• munist," said Feng, "but I have been in• vited to attend all the meeting of the min• istry's CPC leading group, except those concerning the CPC's internal affairs." Beijing Review reporter Li Haibo raises a question at the conference. XUE CHAO Many of the meetings as yet another democratic party. the country's supreme legislature are held to discuss im• Almost all democratic parties body — the National People's portant issues, added Feng. Feng were founded during the War Congress — and they will contin• said he was confident he and his of Resistance Against ue to recommend members for colleagues would win the anti- (1937-45) and worked in close government posts and to streng• corruption campaign. "The CPC co-operation with the CPC in the then their influence on and ties leadership and the State Council struggle against the reactionary with the public, Yang added. support me," he said. Kuomintang rule. Recent statistics show that Wan Guoquan, vice-chairman Yang Jike, vice-chairman of nearly 1,200 individuals, either of the Central Committee of the the Central Committee of the democratic party members or CDNCA, told those attending China Zhi Gong Dang, said, those without party affilitation, the press conference that "demo• "The allegation that the demo• have been promoted to posts at cratic supervision" is one of the cratic parties are puppets is the county level and above. At principles guiding China's multi• groundless." many as 18 non-Communists are party co-operation. Wan said Yang said the democratic par• serving as vice-ministers or lieu• that while supervision is mutual, ties maintained their unique sta• tenant provincial governors. supervision of the CPC by the tus and function by conducting Feng Tiyun, a member of democratic parties is even more mutual consultation and supervi• CDNCA and vice-minister of su• important since the CPC is the sion just as the CPC. The parties, pervision, said that he found it ruling party. he said, are duly represented in quite easy to co-operate with oth- by Staff Reporter Li Haibo

development of the national Economic Tasks for 1991 Outlined economy. Among the goals for this year, hina is to raise its total out• (1991-95). said, top priority will be giv• put value of agriculture In his report to the Fourth en to agriculture to ensure anoth• C and industry by 3.5 per• Plenary Session of the Sev• er good harvest. cent and 6 percent, respectively, enth National People's Con• To achieve this main goal, the over last year's figure and also gress (NPC), , min• central government will invest in raise its gross national product ister of the State Planning Com• agriculture an additional 1 bil• (GNP) by 4.5 percent in 1991, mission, outlined China's key lion yuan over last year's figure. the first year of the coun• tasks for 1991, focusing on a sus• He urged all local authorities to try's Eighth Five-Year Plan tained, stable and coordinated muster more financial and ma-

8 BEIJING REVIEW, APRILjS-M, 1991 EVENTS/TRENDS

performance. linked to essential cost of living This year, China and do a good job in keeping the will continue to prices of daily necessities stable. control the total in• On foreign trade, the minister vestment in fixed said that China will increase its assets, giving pre• exports of machinery and elec• ference only to tronic products as well as high projects in agricul• technology. In return, the coun• ture, water conser• try will raise moderately its im• vancy, energy re• ports of foreign advanced tech• sources and tran• nology, key equipment and im• XUE CHAO sportation. portant raw materials while The country's to• tightly controlling imports of terial resources for agriculture tal investment in fixed assets this high-grade consumer goods, ci• production and actively guide year will be 500 billion yuan, a garettes and alcoholic beverages. and encourage the farmers to 10 percent rise or 54.9 billion Talking about the implementa• make a greater investment. yuan more than last year. tion of the 1990 plan, Zou said The planned grain output is The total social retail sales this Chna had seen good social and 425 billion kilograms, slightly year are expected to reach 905 economic development last year, more than the average of the billion yuan, an increase of 9.6 fulfilling every projected task. two consecutive good harvests of percent. The country's GNP reached 1989 and 1990. Meanwhile, Zou also stressed 1,740 billion yuan last year, an Other major products such as the need to strengthen price con• increase of 5 percent over the cotton, oil-yielding and sugar- trol in the market, systematically previous year, and its national bearing crops, meat and aquatic establish and improve a manage• income was 1,430 billion yuan, products are all set to see increas• ment system of price indexing up 4.8 percent. • es in output this year. Zou predicted that this year's target for industrial growth will China's 1991 Budget Grim but Hopeful be fulfilled because supplies of energy resources and raw mater• hina's top financial official (US$62.39 billion), 100.3 percent ials will be improved and invest• has pointed out that the of the budgeted amount, and to• ment and consumer demand will C country is confronted with tal state expenditures amounted rise. acute deficits in the implementa• to 339.521 billion yuan, 102.1 Dramatic growth will be seen tion of the 1990 budget and the percent of the budgeted figure. in the production of coal, crude draft 1991 budget. The solution This resulted in a deficit of oil and electricity. The coal out• to the financial problems is to 15.043 billion yuan. put this year is expected to be bake a bigger "cake" by develop• Wang said that expenditures 1.11 billion tons, 30 million tons ing production, improving effi• surpassed the budgeted amounts more than last year; crude oil ciency and increasing public in quite a few spheres of endea• output is set to reach 138.8 mil• wealth, he said on March 26. vour, such as capital construc• lion to 139.3 million tons, an in• Speaking at the ongoing tion, tapping the potential of crease of 0.8 million to 1.3 mil• Fourth Session of the Seventh existing enterprises, upgrading lion tons; and the output of elec• National People's Congress, Finance Financial Minister addresses the NPC. tricity will be 645 billion kwh, a hj/ XUE CHAO rise of 27 billion kwh. Minister Wang But the target for steel produc• Bingqian reported tion this year is set at 65 million on the implemen• tons, slightly lower than last tation of the state year's figure due to rising inven• budget for 1990. tories. According to pre• sent estimates, he In order to meet the targets, said, total state re• the planning minister called for venues in 1990 a better job in readjusting the came to 324.478 product mix, improving product billion yuan quality and enhancing economic

BEIJING REVIEW, APRIL 8-14,1991 EVENTS/TRENDS technology, subsidizing trial- meant higher state expenditure abroad to attend seminars or manufacture of new products, to compensate for more expen• trade research. aiding rural production. The sive imports and to service for• In addition, the State Council same was true with operational eign debt, Wang said, but added is expected to approve 20 expenses for culture, education, that the net saving for the state new high-technology develop• science and public health and ad• would be more than 5 billion ment zones, which will enjoy ministrative expenses. yuan. preferential treatment similar to On the draft state budget for — Some 19 billion yuan worth coastal special economic zones. 1991, Wang revealed that the to• of treasury bonds will be issued In recent years the Chinese tal revenue and expenditure are this year to cope with an immi• scientific circles have made re• expected to reach 343.81 billion nent peak debt repayment per• markable progress as a result yuan and 357.156 billion yuan iod. of multi-channel academic ex• repectively, leaving a deficit of — The state will continue its changes and co-operation with 13.346 billion yuan. tight money supply policy. foreign counterparts. He said China expects to have — The central authorities will Statistics from the State 35.237 billion yuan in domestic exercise stricter control over al• Science and Technology Com• and foreign debt on top of the location of funds to the prov• mission reveal that China has budget deficit this year. inces. signed agreements on technolog• Wang, also a , Despite a continued tight ical and economic co-operation said that the state faces difficul• money supply policy, Wang not• with 57 foreign governments and ties as it is not expecting a ed, the state will increase expen• forged collaborative relations marked increase in revenue but diture on national defence, cul• with 108 countries and regions. has large funding demands in ture, education, science and China is a member of more certain sectors which "must be public health. than 30 scientific organizations guaranteed." The 1991 budgeted figure for affiliated with the United Na• For instance, he said, "expen• culture, education, science and tions. diture for servicing domestic and public health is 67.604 billion Non-governmental scientific foreign debt and maintaining the yuan, an increase of 5.998 billion exchange is also on the rise, with state grain reserve alone will in• yuan over the estimated figure Chinese academic institutions crease by more than 10 billion for last year. And 32.51 billion now participating in more than yuan over the 1990 figure." yuan has been budgeted for na• 280 international academic or• This and other factors will tional defence, 3.477 billion yuan ganizations. make it "impossible to signi• more than the 1990 figure. • For example, the Chinese Aca• ficantly reduce the deficit within demy of Sciences, China's au• a short period of time," he said. thoritative research body, has But the State Council has decid• signed co-operative agreements ed on six measures to keep the with research institutions in 50 deficit within an acceptable Scientific Exchanges countries. limit. The China Association for — The state will increase the To Be Expanded Science and Technology has sent business tax rate on retail sales representatives to 39 organi• from the original 3 percent to 5 rTTlhe Chinese government will zations attached to the Inter• percent. This will potentially in• I vigorously promote its in- national Council of Scientific crease revenues by nearly 7 bil• ternational scientific ex• Unions, while the State Founda• lion yuan. changes during the next decade tion for Natural Sciences has es• — The state has decided to in a bid to increase both its im• tablished relations with 12 for• change prices of some products ports and exports of technology. eign foundations. in a bid to cut price subsidies The policy of opening to the In recent years, more than and support for losing enterpris• outside world will continue, with 40,000 researchers have gone es. This will enable the state trea• the emphasis placed on the abroad each year to conduct col• sury to reduce expenditure on development of export-oriented laborative research or attend price subsidies by 5 billion yuan. technological enterprises, espe• training courses. In addition, — China has put an end to its cially in high-tech areas. over 30,000 returned scholars foreign trade subsidy system be• To facilitate scientific ex• have played an important role in ginning this year after devaluing changes, the state will simplify the country's scientific research, the Renminbi yuan against the the red-tape for scientific per• especially in the field of high US dollar twice. The devaluation sonnel in high-tech fields to go technology. •

10 BEIJING REVIEW, APRIV8-14,1991 INTERNATIONAL

Foreign Minister Qian iWeets tlie Press On March 27, at the invitation of Yao Guang, spoi

BEIJING REVIEW, APRIL 8-14,1991 INTERNATIONAL Now both sides are actively mak• ing efforts to improve and devel• op diplomatic relations. Recently it is reported that French Foreign Minister Roland Dumas and Prime Minister Michel Rocard will visit China this year. What's your comment on this? Will China take similar steps to furth• er resume and develop Sino- French relations? Qian: Not long ago, Zou Jiahua, Chinese State Councillor and con• currently Chairman of the State Planning Commission, visited France and conveyed Premier Li Peng's invitation to Prime Minis• The news conference. XUE CHAO ter Rocard to visit China. Rocard accepted the invitation. French willing to discuss with relevant culties since June 1989, we are in Foreign Minister Dumas will countries the joint development contacts. In December 1989, Bri• soon visit China and attend the of these islands. But so far there tish Prime Minister Margaret opening ceremony of French has been no such discussion and Thatcher sent her special envoy. Consulate-General in Guang• the time is not ripe for such a Sir Percy Cradock, to China. zhou. We are looking forward to meeting. The fact that Taiwan oc• Francis Maude, British minister the visits. cupies the Taipin Island best il• of state of the Foreign and Com• Radio : Soviet Foreign lustrates that the Nansha Islands monwealth Office, and Chinese Minister Alexander Bessmert-t. are a part of China's territory. Vice-Foreign Minister Tian nykh will visit China in a few Asian TV (Hong Kong): Will Bri• Zengpei exchanged visits. I met days. What are the main topics of; tish Foreign Secretary Douglas many times with the then Bri• the talks? Will this visit promote' Hurd prepare for British Prime tish Foreign Secretary John Ma• Sino-Soviet relations? \ Minister John Major's visit to jor and the incumbent Foreign Qian: Heretofore I have had noi China when he tours China, and Secretary Douglas Hurd at inter• chance to meet with new Foreign? does China's senior leader of state national conferences. I believe Minister Bessmertnykh. This plan to visit Britain? As for the that Sino-British relations will time I will have an opportunity to building of a new airport in Hong continue to develop. As for the get acquainted with him. His visit Kong, we know that the Central discussions on the construction of is to be a working one. As per• Government wants to leave suffi• Hong Kong's new airport, I do manent members of the United cient money for the future Hong not think it will affect the admin• Nations Security Council, China Kong Special Administrative Re• istrative ability of Hong Kong and the Soviet Union bear major gion government, but some Hong authorities, because, according to responsibilities for world peace. It Kong-based opinions criticize this Sino-British joint declaration on is natural for the foreign minis• action as it may affect the Hong the question of Hong Kong, ters of the two countries to dis• Kong government's flexible use of China and Britain should closely cuss international affairs. Ad• fund during the transition period. co-operate on important questions ditionally, we will discuss prepar• What do you think of this criti• during the transition period of ation of General Secretary Jiang cism? Hong Kong, especially those that Zemin's visit to the Soviet Union. Qian: The coming visit by British span across 1997.1 think this kind China TV Co. (Taiwan): On the Foreign Secretary Hurd will cer• of co-operation is conducive to reunification of both sides of the tainly help promote Sino-British Hong Kong's stability and pros• Taiwan Straits, the Taiwan side relations. His visit marks the nor• perity. makes it a precondition to have a malization of relations between European Times (France): France space to act internationally, while China and Britain. When we suc• is among the first countries in the has cessfully settled the Hong Kong Western Europe to establish di• consistently muffled Taiwan's ac• problem in 1984, Sino-British re• plomatic relations with China. tivities. Does this affect the reuni• lations reached their height. Al• However, relations between the fication? Does the Chinese Com• though relations between the two two countries have fallen to the munist Party prevent Taiwan countries have experienced diffi• lowest point since June 1989. from joining the GATT?

12 BEIJING REVIEW, APRIL 8-14,1991 INTERNATIONAL Qian: We welcome Taiwan au• importance to Sino-US relations. advocates human rights, but it thorities' stand that China should The restoration and development has neither ratified two inter• be reunified. Taiwan has exten• of the Sino-US relations must be national conventions on human sive international economic con• based on the principles contained rights nor signed conventions nections. But the demand for an in the three Sino-US joint com• against racial discrimination and international "living space" as a muniques and, if the principles apartheid, on banning torture political entity is not conducive to are observed, Sino-US relations and discrimination against wom• the reunification of the mother• will develop smoothly. en, because the United States land, rather the result will be a Sing Pao Daily News (Hong argues that the human rights is• split China. So we hope Taiwan Kong): Now China and Japan sue comes under domestic jurisd• authorities will think it over and have put aside the issue of Dia• iction and some articles in these do more things to benefit the de• oyu Island. However, we saw last conventions are in conflict with velopment of relations between October Japan's right-wing forces domestic laws of the United the two sides of the Straits and again taking a very stiff position States. If there are any interna• state reunification. Taiwan is not on the sovereighty over Diaoyu tional standards on human rights, qualified to attend the GATT be• Island, showing that as long as the they should be embodied in inter• cause it is not an independent issue is not settled, it is easy to national conventions. Any sover• country. Only with the assent of touch off new conflict. So how eign state is free to be a party to China can Taiwan attend as a re• does the Chinese government these conventions, with or with• gion of China. hope the issue will be resolved out reservation, or not to be a Reuters: Yesterday i^ Jerusalem, and what is the optimum oppor• party to these conventions. In any a senior Isreali official told the tunity for the settlement? case, the standards of one country radio that the next few months Qian: Diaoyu Island is a part of or a group of countries must not will bring about a very positive China's territory. This is our pos• be imposed on other countries as development of relations between ition and we know Japan thinks international standards on the hu• China and Israel and he said, "We otherwise. China and Japan have man rights issue. aie talking about normalization." reached an understanding to set Time Magazine (the United Could you please talk about the aside the issue and not make the States): A Chinese thinker once process of normalization of rela• situation more tense. We hope Ja• advised that to win victories, it is tions between Israel and China? pan can abide by the understand• important to know one's ene• And how will it affect your re• ing. mies and one's friends. In rapid• lationship with the Palestinian The New York Times: The visit in ly changing times who are Chi• State? December of the US Assistant Se• na's enemies? Who are allies? Is Qian: China and Israel have set cretary of State for Human the old theory of "three worlds" up an office in each other's coun• Rights is still of interest. Is it cor• still valid? If not, what philoso• try: office of Israel's Academy of rect that China now believes it is phy guides China's foreign policy Sciences in Beijing and office of acceptable to discuss its human now? China International Travel Ser• rights situation with foreign Qian: Any country in the world vice in Israel. There are no polit• countries? Is it now a topic that it wants to have more friends and ical ties between China and Is• is willing to address in bilater• fewer enemies. The existence of rael. An Israeli official visited al and multilateral discussion? the third world is a reality and it China in an unofficial capacity Thank you. is composed of the overwhelming not long ago. However, at present Qian: Exactly, China is willing majority of the countries in the there are no diplomatic relations to discuss the human rights issue world. China will continue to de• between China and Israel. with other countries bilaterally or velop relations of co-operation China Central TV: How do you multilaterally, but not only dis• and unity with other developing evaluate the state of Sino-US re• cuss China's human rights issue. countries. It is also the poli• lations, and what obstacles do Though some people advocate cy of China to develop good- you think should be removed for that human rights knows no neighbourly relations with its Sino-US relations? boundary, China considers that neighbours. China does not hope Qian: Premier Li Peng stated in this view does not tally with facts. that any country opposes her. If his government work report that In terms of international law, hu• any country stands against China, China attaches great importance man rights can only be translat• we would be left with no choice. to Sino-US relations and hopes ed into reality or guaranteed by On whether there are super• the relations will be restored and means of statutes in a given coun• powers in the world, some coun• developed. US President George try and the principle of observing tries claim themselves to be su• Bush has repeatedly stated that a country's sovereignty must not perpowers, so I think there are the United States also attaches be ruled out. The United States superpowers. As for China's posi-

BEIJING REVIEW, APRIL 8-14,1991 13 INTERNAtlONAL tion to oppose hegemonism, I Qian: China's attitude towards Newsweek: In the wake of the want to explain that hegemonism the issue of Japan's northern ter• Gulf war there has been a great does not refer to a country. In• ritories has not changed. Howev• deal of concern about weapons stead, it refers to behavior under• er, now is the time for Japan and proliferation around the world, mining norms governing interna• the Soviet Union to start negotia• particularly about sales to third tional relations. Both Sino-US tion. Japan and the Soviet Union world countries. Does China have and Sino-Soviet joint commu• issued one formula and some• any plan to limit its own wea• niques contain content on oppos• times a second. Sometimes it is pons exports in the future? Se• ing hegemonism and seeking no said that Japan would use an cond, will China abide by the mis• hegemonism. amount of money for the territo• sile technology control regime? UPI: Mr. Minister, now that the ries. Therefore, it is difficult for Qian: An international confer• Gulf war has ended, does China us to express our concrete views ence on missle technology control have any second thoughts about on this issue. regime was recently held in Tok• being the only major nation that China Times (Taiwan): Just now yo with 15 nations present. China was too nervous to support the Foreign Minister Qian mentioned did not attend the meeting, so it coalition in removing Iraq from that Taiwan is not an indepen• is not committed to implement• Kuwait? Do you think that in re• dent country and is not qualified ing the agreement concluded by trospect this will, in fact, hurt to join the GATT. I think that a number of countries. China China's ability to be a player in you neglect to realize that before adopts a serious and responsible the Middle East and the world in the relations between the two attitude towards its arms sales general? sides of the Taiwan Straits are and only sells a very small Qian: We need not make such co-ordinated, the Republic of amount of arms. China in Taiwan and the People's introspection, because the norms Proliferation of nuclear arms is of international relations state Republic of China on the main• banned by the internaional com• that all international disputes or land are both states or political munity and there is a convention regional conflicts should be set• entities respectively recognized banning biological arms. A con• tled through peaceful means and by the international community. vention banning chemical wea• the use of force should be avoid• What difficulties or pressure has pons is still under negotiation, but ed. The Gulf war can in no way Taiwan's pragmatic foreign poli• there is no stipulation on the sale change the norms of international cy brought upon Chinese foreign of conventional weapons. relations. On the contrary, after policy? China hopes that the large the Gulf war the parties con• Qian: The Taiwan authorities ad• arms-exporting countries will cerned had to return to the ne• vocate too that there is but one take restrained attitude and effec• gotiation table to resolve their China. The People's Republic of tive measures to exercise restraint disputes.This shows that the use China is universally recognized of force can in no way solve all by the international community, over their arms sales. problems and that the Gulf war the United Nations and other in• Saneki Shimbun (Japan): In his cannot be made a precedent for ternational organizations. There• speech on March 25 Premier Li settling international issues by fore, I want to correct you here Peng said there is a tendency to the use of force. that it is wrong for you to say revive Japanese militarism by a Economic Daily (Hong Kong): I there are two Chinas. very tiny number of people. What would Uke to ask Foreign Minis• Le Figaro (France): Mr. Minister, is the specific meaning of Ja• ter Qian, do you feel that you was it easier to conduct China's panese militarism that Premier Li are qualified to be vice-premier foreign policy when there were referred to? or state councillor ? two superpowers than it is today Qian: Since World War II Ja• Qian: I think in all the countries in the world? I'd like to know panese militarism has been hated citizens are running for parlia• also, for China is it better to have and discarded by the broad mass• mentarians or representatives, a Soviet Union that is weak on es of the Japanese people. Howev• but not for ministers. Ministers or the international scene as it is er, it is also true that a very tiny vice-premiers are all appointed. now, or does China wish a stron• number of people in Japan are Hokkaido Shimbun (Japan): ger Soviet Union? attempting by hook or crook to When a Japanese minister visited Qian: I think whether there is one negate the historical crimes com• China, you told him you under• superpower or two superpowers in mitted by Japanese militarists stood and sympathized with Ja• the world, they cannot monopoliz and expand arms beyond self- pan's position on the northern ter• wworld affairs. I hope that the defence. People in both China ritories. I am not clear about how Soviet Union, as our neighbour, and Japan should guard against China understands and sympath• its situation will be stable and the attempt to revive Japanese izes with Japan's position? perestroika successful. militarism. This is natural. •

14 BEIJING REVIEW, APRIL 8-14, 1991 INTERNATIONAL

Towards Better International Trade

Lu Tailai

Lu Tailai is China's deputy representative to the 47th session of the Trade and Development Board of the United Nations Conference on Trade and Development (UNCTAD) recently held in Geneva. Following are excerpts from his speech made at this meeting. — Ed.

lthough protectionism Chinese delegation hopes that essential to consider their spe• and structural adjust• the establishment of trading cial conditions and needs and A ment had been on groups will result in concern give them more favourable the Trade and Development for economic and trade in• treatment. The Chinese dele• Board's agenda for many terests of developing coun• gation hopes that there will years, the progress had been tries. be an early resumption of the slow. In current international Since the early 1980s, struc• substantive negotiations of the trade, protectionism from the tural adjustment in the devel• Uruguay Round and that the developed countries, instead oped countries has proceeded negotiations would bring posi• of decreasing, has increased. slowly, while the difficulties tive results in line with the Protectionism has become the resulting from the structural terms of reference and goals major obstacle to develop- adjustment have been shifted, defined by the Ministerial De• u ment of international trade, to a large extent, to the devel• claration. fi If it went unchecked, world oping countries. Developed The Chinese delegation ex• trade, in particular export countries should speed up the presses appreciation to the '•' trade of the developing coun- structural adjustment process United Nations Conference - tries, would come to a halt. to eliminate trade protection, on Trade and Development In the Final Act of United thus promoting fair competi• and United Nations Devel• Nations Conference on Trade tion based on comparative ad• opment Programme (UNDP) I and Development (UNC- vantage. for the technical assistance. In view of the fact that the Urug• ' TAD) VII, developed coun• In recent years, the consi• tries committed themselves uay Round has not been com• deration of protectionism by pleted and that there would to curbing protectionism and the Trade and Development promoting structural adjust• be follow-up negotiations af• Board has been linked with ter its completion, the Chinese ment in developing countries. the Uruguay Round because These commitments, howev• delegation believes that devel• the two forums touched upon oping countries need the help er, have not always been hon• the same substantive issues. oured. Of more importance, of UNCTAD. Therefore, it Up to now the progress in the hopes that UNCTAD and developed countries have Round has been unbalanced. UNDP would render addi• failed to adequately respond On the one hand, very slow tional technical assistance. to the measures taken by de• progress was made in the Like other developing coun• veloping countries and relax market access of agricultural trade restrictions. Their ac• tries, China has suffered from products, textiles and natural trade protectionism, especial• tions against developing coun• resources, which many devel• tries have increased, parti• ly, non-tariff barriers. Chinese oping countries have a major products are subjected to even cularly in areas where de• stake. On the other hand, ne• veloping countries had gained harsher limitations of a discri• gotiations of interest to the minatory nature in the mar• comparative advantage. All developed countries exceeded this adversely affected the ex• kets of certain developed the mandate of the Ministerial countries. Such unjust prac• port trade of the developing Declaration. Thus developing countries. tices cause grave concern. countries are faced with read• China is therefore ready to Developing countries are justment difficulties. For de• join others in creating a fa• understandably worried about veloping countries to benefit vourable and just internation• regional trade groups. The from trade liberalization, it is al trade environment. •

BEIJING KEVIEW, APRIL 8-14, 1991 15 CHINA

Development of China's SEZ

by Taihe

the basis of self- reliance and arduous struggle. It decided to open the door, ex• pand economic con• tacts with foreign countries and import foreign funds, tech• nology and advanced managerial expertise to quicken the coun• try's economic con• struction. The decision by the CPC Central Commit• tee enjoyed the sup• port of the peoplt throughout China and was answered by local authorities. In June 1979, and Fujian provinces in CAI ZHONGZHl southeast coastal Party General Secretary (front, second left) with President at the areas handed in their tenth anniversary celebration of the founding of the Zhuhai SEZ. reports to the central ^ stablishing special economic and develop at a steady rate of government, asking for special zones (SEZ)has been Chi• approximately 15 percent. policies and flexible measures for E na's major steps in imple• After its founding in 1949, their foreign economic activities. menting the nation's policies of China's econoitiic contact with In accordance with Deng Xiaop- reform and opening to the out• foreign countries was narrow and ing's suggestion, they put forward side world. Over the past decade, limited in scale for many years. a proposal that Shenzhen, Zhu• the area of the special economic Economic construction was in a hai and Shantou cities in Guang• zones has expanded nearly 100 closed or semi-closed state, ad• dong Province and Xiamen in times. During this time, US$3.82 versely affecting the national Fujian Province be built into spe• billion in foreign investment had modernization. cial economic zones in line with been attracted and hundreds of international practice, where ov• thousands of Sino-foreign joint erseas Chinese, Hong Kong and ventures, co-operative and sole• A Great Decision Macao compatriots as well as for• ly foreign-owned enterprises es• In 1978, the Third Plenary Ses• eign businessmen could invest or tablished. The industrial output sion of the 11th Central Commit• establish joint ventures and de• value in the zones has increased tee of the Communist Party of velop tourist undertakings. more than 21 times and the total China was convened. The meet• Close to Hong Kong and Ma• export value 32 times. The aver• ing, based on the international cao, the two provinces have many age annual per-capita income for political and economic situation people living overseas, and also workers and staff members in in the 1970s and the experience have good transport facilities. the zones has increased 5.3 times. China gained over the previous They had been China's most ac• The zones will further improve 30 years, formulated the policy of tive regions in trade with foreign their investment environment opening to the outside world on countries and also had favour-

16 BEIJING HEVIEW, APRIL 8-14,1991 CHINA able conditions to take tiie lead in carrying out the policy of open• ing to the outside world. There• fore, their reports were imme• diately approved by the Central government. This was closely fol• lowed by a series of work on the choice of the special economic zones' address, the formulation of poUcies and the establishment of management organs. In August 1980, the Standing Committee of the National Peo• ple's Congress approved the issue of China's first law on special economic zones—Regulations of Special Economic Zones in Guangdong Province. The regu• lations were promulgated along with the decision that the Chinese government would esta• blish special economic zones. In their early days, the four special economic zones including SSienzhen, Zhuhai, Shantou and Xiamen covered an area of about 338.4 square km. Afterwards, the • State Council approved the ex• pansion of the Zhuhai, Shantou and Xiamen special economic zones. As a result, the total area of the four special economic inspects Shenzhen in January 1984. XINHUA zones has been expanded to 632.1 square km. cided to further open 14 coas• belt has 291 cities and counties In order to speed up construe- . tal port cities including Dalian, and covers an area of 320,000 tion and development of Hainan, Tianjin, Shanghai and Guang• square km. The special economic China's second largest island, the zhou as well as the Yangtze and zones in the belt are pioneers in Seventh National People's Con• Zhujiang (Pearl) river deltas and implementing the policy of re• gress held in April 1988 approved the triangular area in southern form and opening to the out• it be turned into a special econo• Fujian Province. This made east side world. Therefore, establish• mic zone too. The island covers China coastal areas an open belt ing special economic zones was an area of about 34,000 extending 1,000 km. The open China's great decision in carrying square km. The establishment of special China's Special Economic Zones economic zones has accumulated Area Population Time of experience for China's reform establishment and opening up. In January 1984 when the Shenzhen SEZ was August three years old, Deng Xiaoping Shenzhen 327.5 sq. km. 1,020,000 1980 inspected the city and wrote August words of encouragement:"Shen• Zhuhai 121 sq. km. 190,000 1980 zhen's development and experi• August ence indicate that our policy Shantou 52.6sq. km. 60,000 1980 of estabhshing special economic August zones is correct." The CPC Cen• Xiamen 131sq. km. 370,000 1988 tral Committee, in line with April Deng Xiaoping's suggestion, de- Hainan 34,000sq. km. 6,540,000 1988

BEIJING REVIEW, APRIL 8-14,1991 17 CHINA

Preferential Policy Special policies formulated for China's special economic zones include: The zone governments enjoy greater economic management power. For example, they enjoy the same authority as the prov• incial governments in examining and approving projects. Enter• prises in the zones have more decision-making power in opera• tion and management; they are allowed, in line with the market situation, to plan production and marketing of their products inde• pendently. The special economic zones en• joy tax reduction and exemption. The enterprise income tax rate stands at 15 percent, far lower than in any other parts of the country. Foreign-funded enter• prises engaged in production arid scheduled to operate for a period of ten years or so are exempt from income tax in the first and Premier Li Peng inspects the Haicang Foreign Investment District in LlXiame KAIYUANn in second profit-making years and February 1990. allowed a 50 percent reduction of income tax in the ensuing three out the policy of reform and mic activities, the market me• years. Export-oriented enterpris• opening to the outside world. chanism is brought into full play es and those with advanced tech• under the guidance of the state nology enjoy more preferential Several Features plan for economic development. treatment. Regulation through the market is When foreign businessmen re• China's special economic zones more flexible and wider in scope mit abroad their share of prof• have adopted certain internation• than in other domestic areas; it obtained from ventures with al practice and absorbed the suc• 2) Construction and develop• their investment, they are exempt cessful experiences from foreign ment in the zones mainly depend from income tax on the remitted countries which are successful in on attracting and using foreign amount. running export-oriented process• funds; Equipment, instruments and ing zones and free trading re• apparatus imported by enterpris• gions. In the meantime, a series 3) The zones seek all-round de• es in the special economic zones of special policies were formu• velopment of an export-oriented for their use and raw materials lated in light of China's specif• economy including mainly indus• for producing export products ic conditions, forming a unique try, agriculture, commerce, fi• are exempt from the import du• style of feature. These special nance, tourism, real estate; ties; the export of products are economic zones have the follow• 4) The zones maintain close exempt from export duties. ing characteristics: economic relations with other A proportion of products made 1) These zones are not a spe• parts of the country instead of by foreign-funded enterprises are cial administrative divisions fol• adopting isolation administrative permitted to be sold on the lowing the principle of "one measures; and Chinese market. country two systems." They still 5) The zones serve as the coun• Temporary port visas are insti• implement socialist system and try's trial centre for reform by tuted in the three special econo• adhere to the socialist orientation actively exploring reform mea• mic zones of Hainan, Shenzhen for development. In the econo• sures. and Zhuhai. Foreign workers and

18 BEIJING REVIEW, APRIL 8-14, 1991 CHINA staff members may use a one- was a five-storey building. The economic zones. During this per• year entry-exit visa for several total annual output value of over iod, they concentrated resources journeys. 200 small enterprises was only on land development and con• In addition, some government more than 60 million yuan. Ex-- struction of infrastructure in• departments including the Minis• port products were only fresh cluding roads, houses, water and try of Foreign Economic Rela• agricultural products, the annual electricity supply systems, flood tions and Trade, the General export value of which was less control and drainage systems, te• Administration of Customs, the than US$10 million. The Zhuhai lecommunications and transmis• State Bureau of Taxation and Special Economic Zone used to sion networks. By the end of banks, in accordance with the ge• be a small fishing town, with low 1985, all the four zones had bas• neral policies formulated by houses and narrow roads; its total ically completed the construction the Chinese government for the industrial output value was only on the designated 60 square km zones, respectively have worked 40 million yuan. In the ten years of land. Foreign business people out certain specific management since the two zones were esta• were satisfactory with the invest• measures as well. blished, great changes have taken ment environment there. In the place in Shenzhen and Zhuhai. first five years, the four zones Current Situation signed contracts for 1,665 pro• Both have become the beautiful jects with foreign firms. Nego• All of the special economic cities in China. Their production tiated foreign investment was zones had a poor economic foun• increased by more than 100 times US$4.52 billion, with US$1.17 dation and backward commun• what it was in the year before billion actually made. Of these ication and telecommunications their establishment. This achieve• projects, non-production projects facilities. For' instance, when ment won the admiration of accounted for 45 percent and the Shenzhen Special Economic many Chinese and foreigners productive ones 55 percent. The Zone was established in 1980, it who had been there before. majority were small, labour- was only a small county town, The period between 1980 and intensive processing projects. By with an area of less than three 1985 was a construction phase for 1985, the four zones, by import• square km. The highest building Shenzhen and three other special ing foreign funds and with the co-operation of other places, had A packaging workshop of the Pepsi Cola Beverage Factory in Shenzhen. xuE CHAO built more than 900 factories. Their total industrial output val• ue reached 4.86 billion yuan, a six-fold increase over that of the pre-establishment period. Their export value came to US$810 million, an increase of seven times. By the end of 1985, the State Council held a national working conference of the special econo• mic zones, which analysed and summed up the construction and development of the zones over the past five years and formulat• ed policies for development in the next five years. The confer• ence acknowledged that a good job had been done in building these special economic zones and during the next phase of develop• ment, they should strive to de• velop an export-oriented econ• omy based on industrial devel• opment and the combination of industry and commerce. Since 1986, the zones have strengthened management over

BEIJING REVIEW, APRIL 8-14,1991 19 CHINA Zhuhai and Xiamen. The special economic zones' economy developed by leaps and bounds. The proportion of the se• cond and tertiary industries in these zones is far larger than the whole country's. Over the past decade, more than 3,100 industri• al enterprises have been built and put into operation. They form electronics, textile, light industri• al, building materials, food pro• cessing, chemical industrial and machinery and other trades with advanced equipment and tech• nology. Their industrial produc• tion increased at an average an• nual rate of 37 percent and, in XU£ CHAO 1990 their total industrial output The No.1 Workshop of the Magnetic IMsc Factory of the Zhnhai Changhna value reached 28.55 billion yuan, Electronics Industrial Co. Ltd. 25 times more than their pre- establishment period. Agricultur• the flow of the investment and in more than ten countries. Each al production has developed from the choice of imported projects. of the four zones has set up its a self-supporting management to •Efforts have been made to devel• own airports, harbours and trad• export-oriented intensive farm• op industrial production and ex• ing ports, established various ser• ing, with production benefits pand the export of products while vice departments for foreign in• raised greatly. When compared constantly improving their in• vestment and formulated many with the year of their establish• vestment climate. As a result, laws and regulations related to ment, their output value in• these zones have become places foreign businessmen. By 1990, creased 2.6 times, the financial where the economy develops these zones approved 6,489 pro• income of local authorities in• most rapidly and the standard of jects involving foreign invest• creased seven times, and the an• living is the highest in China. ment, accounting for 26 percent nual income of workers and staff Major aspects of the develop• of the country's total foreign- members rose 5.3 times. There ment are as the follows. funded projects approved in the has been much improvement in With the improvement in in• same period. Some US$4.5 bil• people's living standards. vestment environment, the spe• lion in foreign funds have been With the fast expansion of for• cial economic zones have become used, making up 27 percent of eign trade, an export-oriented China's "hot spots" in attracting the country's total. Businessmen economy has taken shape in the and using foreign capital. By from more than 30 countries and special economic zones. In 1990, 1990, the Shenzhen, Zhuhai, regions have come to invest and the export value in Shenzhen Shantou and Xiamen special eco• foreign-funded productive pro• and three other special economic nomic zones had, with a total in• jects have increased steadily to zones amounted to US$4.46 bil• vestment of 35.1 billion yuan, de• make up 90 percent of the total lion yuan, 41 times that of the veloped 88 square km of land and number of the foreign-funded en- pre-zone period. More than 50 completed construction of over terprisesin these zones. Many of percent of the zones' products are 50 million square km. During the these projects are technology- for export, accounting for 60 per• period, their electricity output in• intensive ones, compared with cent of their total export value. creased by 1.1 million kw, their mainly labour-intensive in the Of the 800 export items, house• daily water supply capacity by past. Many large enterprises from hold electrical appliances, light 820,000 cubic metres, and the the United States, Japan and industrial products and textiles number of telephones installed Western Europe and transnation• enjoy brisk sales on the interna• by 200,000. They have also start• al corporations have begun to tional market. Some large enter• ed call-phone and mobile te• enter China's special economic prise groups in the zones have to lephone services. People in these zones. Some have built large in• set up production and marketing zones can directly call a dozen or dustrial projects armed with adv• networks abroad. so large and medium-sized cities anced technology in Shenzhen, Foreign-funded enterprises

20 BEIJING REVIEW, APRIL 8-14,1991 CHINA play a leverage role in the zones' uction. A favourable environ• ages observe China's reform and economy. In 1990, the foreign- ment has been created for inter• opening to the outside world. funded enterprises accounted for national capital. Domestic provinces and de• 63 percent of the total industrial With the increase in contacts partments under the State Coun• output value in the Shenzhen and with countries and regions cil have set up more than 300-odd Shantou special economic zones, throughout the world, the special offices and over 5,500 enterpris• 53 percent in Xiamen and 35 per• economic zones have become an es in the special economic zones. cent in Zhuhai. Except for the important window on China's Many inland areas, which have Shantou Special Economic Zone, opening to the outside world and no chance of contact with for• the others have all set up foreign a bridge between China's hinter• eign countries, also obtain in• investment banks, totalling 28, to land and the international mar• ternational market information deal with international credit op• ket. These zones have good trans• through them and hold talks with erations; this enables economy in port facilities. Particularly, the foreign businessmen. All this has the zones to keep close contact Shenzhen and Zhuhai special allowed these zones to play a pos• with international financial cir• economic zones border on Hong itive, promotional role in the in• cles. Kong and Macao and travellers land reform and opening to the In order to guarantee the law• and vehicles can directly reach outside world. ful rights and interests of foreign the two citiesby land. Every day, Since its establishment two businessmen, various special eco• about 100,000 people and more years ago, the Hainan Special nomic zones, according to the than 10,000 vehicles pass through Economic Zone has made great state's policy of opening to the the Wenjindu, Luohu and achievement in developing indus• outside world, have formulated Huanggang ports in Shenzhen trial and agricultural production many economic rules and regula• and the Gongbei port in Zhuhai. and construction of infrastruc• tions. They have also acted ac• In 1990, Shenzhen attracted 37 ture facilities including high• cording to international practice million overseas visitors and ways, harbours, power plants and ip economic management and op• Zhuhai 25 million. During the microwave communication sta• eration. These enable the foreign period between 1986 and 1989, tions. Investment made in these businessmen to gain from their more than 2,100 foreign groups projects over the past two years investment in the zones. Several composed of some 150,000 people exceeded the total of the past sample surveys indicate that 80 came to visit Shenzhen and ex• eight years. The island's invest• percent of the foreign-funded en• perience the changes brought ment environment has been im• terprises in the zones make prof• about by China's policies of re• proved dramatically. Hainan Is• its. They remit their profits earn• form and opening up. The special land has more than 30 varieties ings abroad or re-invest them in economic zones have become a of mineral ores for mining as the zones for expansion of prod- window by which foreign person• well as many tropical cash crops,

The Shantou Longbu Industrial District. XINHUA

BEIJING REVIEW, APRIL 8-14, 1991 21 CHINA

Major Economic index, of tiie SEZ for 1990

Name Unit Shenzhen Zhuhai Shantou Xiamen Hainan Total industrial output value bil. yuan 16.13 4.2 1.5 6.45 2,75 Total industrial output value of foreign-funded enterprises bil. yuan 10.52 1.6 1.23 3.22 0.29 Total investment in capital construction bil. yuan 4.943 1.099 0.68 0.468 2.2 Total value of export trade bil. yuan 2.8 0.488 0.419 0.772 0.41 Number of foreign-funded 757 411 174 272 220 enterprises Total amount of negotiated investment US$ bil. 0.671 0.303 0.148 0.513 0.155 Amount of foreign funds used US$ bil. 0.51 0.108 0.084 0.073 0.075 which are attractive for for• First, there is no change in the the outside world will be brought eign businessmen. Some entre• basic international environment into full play. preneurs from Japan, the United faced by these zones and the in• Third, the special economic States, Europe, Hong Kong, Ma• dustrial readjustment of the de• zones have become stronger econ• cao and Taiwan have visited the veloped countries has not ended. omically when compared with a island province to look into pas• International financial and trade decade ago. sive investment. activities are still brisk. The pol• In the future, these zones will itical situation in East Asian re• further improve their investment gion is stable and its economy is Prospects environment to attract more for• now developing rapidly. eign investment. Efforts will }m What prospect is there for the Second, China's policies of re• made to speed up construction ffl" development of China's special form and opening to the out• the Shenzhen Airport, the Sa#- economic zones? I think it is side world enjoy more popular• ya Airport of Hainan, Zhuhair^ ity among the Chinese public. bright. My reasons include: Shenzhen- Expres*/ Reform and open• way, the Yantian deep-water har** A workshop of the Haikou Tyre Factory. ing up has become XU bour and a batch of power plants:^ XIANGJUN a basic feature of China's socialist and water works, which are ex• modernization con• pected to be completed before struction. Chinese 1995. The Haicang area of Xia• leaders have de• men, the west coast of Zhuhai clared many times and the Yangpu area of Hainan that China's poli• will be further developed so as cy of reform and to provide foreign businessmen opening to the out• with more investment opportuni• side world will ties. In addition, these zones will remain unchanged speed up their formulation of and that basic mea• economic regulations and deepen sures adopted in reforms. the special econo• In the 1990s, the special econo• mic zones and coas• mic zones are expected to go tal open areas will a step further, developing their unchange either; economy at an annual rate of 15 further efforts will percent, and catch up with the be made to run moderately developed countries the special econo• mic zones better by the end of the century. Giv• and their role as a en the current development si• window and base in tuation, the attainment of the tar• China's opening to get will be out of question. •

22 BEIJING REVIEW, APRIL 8-14, 1991 r

CHINA

A series of books on China's foreign friends has recently come off the press in Beijing, an indication of the continued friendship between Chinese and foreigners.—Ed.

Everlasting Friendship

by Our Staff Reporter Wei Liming

n October 1990, Gao Liang, old and in poor health, she con• Foreign Friends Book Series, co- vice-chairman of the China tinues to write,'hoping that one published by the China Society I Smedley, Strong and Snow day China would publish her for People's Friendship Studies, Society, made a special trip to works and memoirs, and that the Chinese People's Association Madison, Connecticut in the Un• through them the young people for Friendship With Foreign ited States to visit Helen Foster of China could learn more about Countries, the Foreign Lan• Snow, wife of and China's revolution and history. guages Publishing and Distribu• an old friend of Chinese people. Helen's wishes have so far been tion Administration and 15 other Although Helen is now 83 years partly fulfilled. The first part of publishing units, has come off Some of the books on display (from right to left): My First Sixty Years in China, Ma Haide, Fighting in a Chinese Land, Hans Muller.

BEIJING REVIEW, APRIL 8-14, 1991 23 CHINA tion and construction. Some laid down their lives. They are the most worthy sons and daughters of their native peoples, said Gao. Though dif• ferent in nationality, colour of skin and language, they sym• pathized with and respected the Chinese people, regarding the cause of the Chinese people as their own. "The Chinese people feel very proud of their many foreign friends and we publish this series of books to remember them forever." said Gao. Gao said the reasons behind the current publication are many-sided. In June 1988, a symposium discussing , the work of Edgar Snow, a famous American cor• respondent and writer, was held in Beijing. The symposium was held on the 50th anniversary of the publication of the Chinese LIAO NING edition of the book (published In 1983 Deng Xiaoping attended the reception celebrating Ma Haide's 50th year in in 1938). At the symposium, cd^ China. sponsored by Beijing University/ the Chinese People's Association the press in Beijing. The first tional sympathy and support. for Friendship With Foreign^ part includes 12 books, nine of They worked their hearts out Countries and other units, many' which were first distributed on and devoted their precious life to Chinese and foreign experts and- March 1 and the remainder will the construction of New China. scholars read out their articles. be published in the first half of Many of them made significant Many veteran Chinese revo• the year. lutionaries had expressed their Gao Liang, editor-in-chief of contributions to China's revolu- the book series, said that many foreign friends gave their sup• Sam Ginsburg tutors graduate students. ZHONC QING port to China beginning with the war of the Taiping Heaven• ly Kingdom in 1851 (a peasant uprising against the feudal rule of the Qing Dynasty) and dur• ing the anti-fascist struggle un• der the leadership of the Chinese Communist Party and China's revolution and its construction period. Regardless of the poten• tial danger to their own lives, they directly participated in Chi- "a'r revolution. Taking risks, they supported or actively joined the Chinese people's struggle against foreign invaders and, by telling China's real situation to the outside world, some helped the Chinese people win interna•

24 BEIJING REVIEW, APRIL 8-14, 1991 CHINA hope to attend the commemora• tive activities. Meanwhile, Red Star Over China and Me, an ar• ticle solicitation by eight newspa• pers, drew a response from many people throughout the country. Many old people said that Snow's book had given them a new understanding of the Chinese Communist Party and China's Red Army and that, af• terwards, they joined the revo• lution. Some young people said that they learnt more about Chi• na's past, its revolution and his• tory from the book. Many foreign friends have left their autobiographies, diar• ies and letters, and some Chinese and foreign scholars have written SHAN DONG biographies and memoirs. These The Hans Shippe Stature in the Huadong Martyrs Cemetery, Linyi City, Shandong works record their experiences in Province, was completed in October 1989. China, reflect the deep friend• ship and expectation of people Gao. "We publish these books years. from foreign countries towards with a sense of responsibility." My First Sixty Years in China the Chinese people and record The first book was published in by Sam Ginsburg, a Jew of Rus• the achievements made by the September 1990. sian descent and a professor at Chinese people as they strove for The nine books published to Shandong University, describes national liberation and progress date include: his experience in China. The of mankind. "We publish these Ma Haide', written by Ma book's ending is moving. The au• books not only to express our Haide's wife Su Fei, records the thor says, "I choose this beauti• long-standing gratitude and re• entire life of Ma Haide, an ful, rich and vast country as my membrance of these foreign American doctor who came to motherland. Here, on this land, friends but also to educate Chi• China in 1933 and served the I've never felt I'm a Jew. I feel a na's younger generation," said Chinese people for more than 50 Chinese citizen. The country at• tracts me because it makes me President Yang Shangknn (flrst left) attends Hans Muller's 70th birthday celebra• feel I belong to Ching. I live as tion. one with the Chinese people." UAO NINC Life of Red Aristocrats is a me• moir narrated by Saionji Kinkat- su and written by Minamimura Shiro. It depicts the significant contribution made by Saionji Kinkatsu, a former senator who was born into a Japanese noble family, to the maintenance of world peace and the restoration of diplomatic relations between China and Japan. The Rugged Way I Passed is a memoirs by Jiro Yokogana, a Ja• panese expert who once worked in the Foreign Languages Pub• lishing and Distribution Admin• istration. It describes how a Ja• panese intellectual changed his belief in bourgeois democracy.

BEIJING REVIEW, APRIL 8-14,1991 2S CHINA

Friendship Studies: Goals and Prospects

by Israel Epstein

would like to make a few the peoples of China and other scope from the shining examples remarks bearing on the pur• countries. on which we had concentrated I pose and long-term prospects People's friendship is on-going. —Agnes Smedley, Anna Louise of our organization. Contacts between peoples are in• Strong and Edgar Snow—to oth• The friendship between the creasing. Knowing the history ers in the glorious tradition of peoples of China and other coun• and roots of people's friendship friendship. tries has a history that deserves will help deepen people's friend• The subject is large, both in to be known, understood, and ship today—such knowledge is time and space. Some examples. commemorated in order to necessary both for the general As early as the Taiping revolu• strengthen their links for further public and, in particular, to those tion there was an Englishman, mutual progress. doing friendship work. Augustus Lindley, who not only People's friendship is based in People's friendship has a fu• told a story—making him the reality—real persons, real acts. ture—to be carried forward by "Edgar Snow" of the Taipings The reason we study our foreign new generations in China and —but served in their ranks when friends is not only that we do not abroad. To understand and hear the British government was want to forget them. It is also the voices of friends of the past fighting against the Taipings. to learn how their society came is to add strength and life to Also with the Taipings were an about, to learn about the history understanding and friendship in Italian, Major Moreno, a num• of China and to understand the both the present and the future. ber of Indian soldiers in the Bri• history of other countries. These Friendship has a vast expanse. tish army who came over to the goals are in the best tradition of As Chairman Mao said, the Taiping side and other foreig• coming together to promote the Chinese people "have friends all ners. Some Americans such as long-standing friendship between over the world." Therefore we the famous writers Mark Twain have long planned to widen, and and Stephen Crane stood up for A veteran journalist and Chinese ci• actually have been widening, our the patriotic Yihetuan, even as tizen, Israel Epstein first came to China work. Some years ago, with the their government supported its as a young man. Later, his residence and suppression. Before and during work alternated between China and the enthusiastic participation of our the 1911 Revolution there were United States. He is now a. member of late beloved and honoured col• the Standing Committee of the Nation• leagues Rewi Alley and Ma Americans, Englishmen, Canadi• al Committee of the Chinese People's Haide, we gathered together the ans, Japanese, Filipinos and In• Political Consultative Conference and a names of several hundreds of dians who helped Sun Yat-sen vice-chairman of the China Society for —just as he had helped the na• People's Friendship Studies, predeces• China's close friends from many sor to the China SSS Society. lands in order to expand our tional revolutionaries of other accepted and parti• ly esteemed by the Chinese peo• during China's War of Res• cipated in China's revolution and ple. istance Against Japan. socialist construction until the Fighting in a Chinese Land is Hans Muller is a biography end of his life. a collection of a dozen of works describing Muller, a doctor who Right in Her Soul by Tracy by Hans Shippe, a German who came to China in 1939 and Strong and Helene Keyssar and paid close attention to China's worked longer than any other Biography of Smedley by Macki- revolution beginning in the foreigners in the frontlines. He is non and his wife of the United 1920s, along with memoirs writ• now an adviser to Beijing Medi• States are two books which de• ten by Chinese who fought cal Sciences University. pict the legendary and colourful shoulder to shoulder with him. It People's War by Isreal Epstein lives of Anna Louise Strong and narrates the whole life of this was published in 1939. The book Agnes Smedley, foreigners high• internationalist fighter who died describes China's Anti-Japanese

2« BEIJING REVIEW, APRIL 8-14,1991 CHINA

Asian nations. In the Great Re• land, a world renowned historian Spanish yoke, the independence volution of 1924-27, there was a of Chinese science, was active for of the Philippines and other great deal of help from the So• decades in friendship work in his Southeast Asian countries, in the viet people, friends and sympath• own country. Many noted jour• ranks of the anti-fascist fighters izers in Eastern countries, in• nalists supported China through in in the 1930s, and, of cluding Korea and Viet Nam, their writings. course, in the ranks of the So• and from friendly Westerners, Some friends of high merit are viet October Revolution. More not only from the major well known, others less known, research has to be done to high• countries. The anti-imperialist and still others unknown, yet to light these valuable contribu• "Hands off China" movement of be discovered. It is a field where tions. that time was worldwide. In the we can work fruitfully with The economic field should Anti-Japanese and Liberation council members, scholars and also be stressed. Foreigners have Wars the scope of people's publicists. We can make our or• helped build China's economic friendship widened more and ganization an umbrella one—the development and independence more as many more individuals SSS will continue as one part. We and Chinese labour and enter• prise have brought great econo• and organizations became in• are, for example, in touch with mic benefit to the Americas, volved. These were the seeds the friends in the USA and in Southeast Asian and many other from which the still wider friend• about a special study places. ships of New China have grown. of the friendship for China of We have had some successful Not only did they come from General Joseph Stilwell. There is exhibitions, for the SSS, on Rewi many countries but they were work to be done with every coun• Alley and Ma Haide in Beijing, also from many fields. Some died try and in every field—by our• Shanghai and Chongqing. We for China's revolutionary and selves, in co-operation with have sponsored videotapes. For national struggle. Doctors cared friends abroad and with friend• both, more work can and should for the wounded and the sick and ship organizations both within be done. relief workers delivered supplies and outside China. Personally, I look forward to a amid difficulties and dangers. We have promoted, through time, though the limit of human Among scientists, the American friends in the publishing field, and financial resources may Nobel prize winner Dr. Linus the printing and reprinting of prevent it from happening soon, Pauling, who was against US in• works by foreign friends, in both when there is a Museum of Peo• tervention on behalf of Chiang the original languages or in a ple's Friendship in Beijing. Such Kai-shek, sent the liberated areas Chinese translation. You will a museum could bring to life their' first samples of penicil• hear more about this and be able people's friendship through pic• lin along with instructions for to get some examples here. tures and objects which the publ• producution. Staunch friends of The historic people's friend• ic could see and touch, helping China's progress came from the ship includes not only that of thus to inform and educate diplomatic and military services foreign friends for China, but young Chinese in both patriotism of other countries, even though also of the Chinese friendship and internationalism and remind policy shifts exposed them to toweards people of foreign lands. visitors from abroad of the roots slanders and career hardships. Chinese people have fought for of people's friendship between Dr. Joseph Needham of Eng• the liberation of Cuba from the their countries and China. •

war and was once praised by All the above-mentioned ple's Congress (NPC), is presi• Soong Ching Ling. books will be published in for• dent of the society. The society Daughter of Earth, the work of eign languages. will conduct research on foreign Agnes Smedley and Inside Red Gao Liang said that the name friends who have contributed China by Helen Snow, are two of the Smedley, Strong and Snow to China's revolutions and con• books whose Chinese edition Society established in 1984 was struction in every historical per• were once published in China changed to the China Society for iod and publish their works. In and which are now being re• People's Friendship Studies as of printed. The book Red Star Over March 1 this year. , addition, the society will contin• China and Me is a collection of a veteran diplomat and former ue efforts to promote China's articles by many Chinese and vice-chairman of the Standing friendship towards peoples ar• foreign scholars. Committee of the National Peo• ound the world. •

BEIJING REVIEW, APRIL 8-14, 1991 27 FROM THE CHINESE PRESS

Economic Reform: practical feasibility. is better. It is more correct to From the point of Liu, the make a concrete analysis of con• A Long Way to Go new theoretical frame for the crete conditions. For example, reform of state-owned economy we should have a clear picture ZHONGGUO JINJI TIZHI GAIGE ~ (China's Economic Structure Reform) should include three basic as• of what functions of the govern• pects—separate the govern• ment should be large and what hina has undergone broad ment's function as manager should be small, what it should and deepening reforms in from its function as owner of interfere with and to what ex• C its state-owned economy enterprises, establish an ulti• tent, and what it should not put over the past 11 years and pro• mate ownership and a legal per• its finger in. Through such an gress has been made both theo• son system, and enable enter• analysis, we know the govern• retically and practically. Even prises to effectively exercise ment should administer what so, China still has a long way to their autonomy in management. should be administered and go, points out Liu Guoguang, (Issue 11, 1990) have its hands off what should vice-president of the Chinese not be interfered with. Academy of Social Sciences. (Issue 11, 1990) Liu makes a concrete analysis Should a Government as to how to separate the owner• Be'Large'or'Small'? ship from the managerial rights Rural Education in the reform. This analogy ZHONGGUO XINGZHENG GUANLI On the Rise (China's Administration) is undoubtedly a significant breakthrough in the traditional r • there has been a long- ZHONGGUO TONGJIXINXI BAO (China Statistical Information) state-ownership theory. Actual• I standing controversy as to ly, it has become a major theo• whether the state should 'th the development of retical basis for various reform have a "large government" or a the rural economic and experiments such as the con• "small government." Weducational undertak• tract responsibility system. These theories are not acci• ings, the overall education level However, the effect is not as dental, for each is closely relat• in China's countryside has risen evident as the designers have ed with the development of steadily. In 1989, the farmers' expected, and some reforms social productivity and the re• average education level reached have even resulted in side- lations of production in a parti• 6.03 years, up 0.43 year over effects. cular time as well as other social that of 1985, or a rise of 7.7 The deficiency in the analo• relations that are based on prod• percent. Meanwhile, the illitera• gy finds expression in three as• uctivity. When new production cy rate dropped. Illiterate and pects. First, it fails to touch on relations emerge due to the de• semi-illiterate persons account• the institutional roots of admin• velopment of a particular prod• ed for 22.57 percent of the total istrative interference in state- uctivity, less interference by the rural manual labourers, down owned enterprises, that is, the government is expected. When 5.3 percentage point compared government concurrently plays the development of productivi• with 1985. the function as both owner and ty is hampered by difficulties or The sample survey team of manager of enterprises. This is production relations confront the State Statistical Bureau ana• the root cause of why it is diffi• challenges, more government lysed materials collected from cult to separate ownership from interference is to be expected. 67,000 rural households. In managerial rights. Second, the The former case means a "small 1989, manual labourers with analogy fails to solve the prob• government" and the latter a a primary school education or lem of how to ensure the dom• "large government." In history, above accounted for 77.43 per• inant position of state owner• both "small government" and cent of the rural population. ship. Third, the analogy fails to "large government" have prom• Among them, 38.67 percent at• get to the question of efficient oted the development of prod• tained a primary school educa• operation after the managerial uctivity. The crux lies in the tion, 31.43 percent have a mid• rights are separated from the social and historical conditions dle school education, 6.81 per• ownership. Generally speaking, during a particular time. This is cent received senior middle the theory proves more the ne• an indication that no theory has school training, 0.45 percent at• cessity of separating ownership a perpetual application. tained a technical secondary and managerial rights than the It is of no use to argue which school education, and 0.08 per-

28 BEIJING REVIEW, APRIL 8-14,1991 FROM THE CHINESE PRESS cent attended a community col• a high salary, have less chores, display. lege or university. These fi• spacious homes and are close to Body building, popularized in gures, compared with those of downtown. They prefer to look film and TV, is now common in previous years, are indicators of after seniors instead of looking farm houses. When Lu Hong- the rise in the quality of rural after babies and prefer not to mei, a young woman in Guan- education. work with illiterate individuals. dong Village, took a liking to The rise in the education level It is common knowledge in body-building exercises, her of farmers has subsequently in• the Beijing household labour husband at first did not sup• creased their income capabili• market that babysitters receive ties. According to the survey, two days off monthly to satisfy port her and neighbours gos• the households with someone sightseeing and travelling. siped. However, a year later, af• holding a technical secondary Some babysitters came to Bei• ter she had become slender and school education earned an av• jing also with the aim to learn healthier, her overjoyed hus• erage net income of 740.9 yuan practical techniques. The larg• band and neighbours admired annually, up 300 yuan from est family service market in Bei• her very much. Many women 1985. They are the households jing—Beijing March 8 Family joined in and soon a 37-member enjoying the largest and quick• Labour Service Co.—has re• women's body building team est increase in income level. The cently opened hair styling and was set up. The team has even average net income for illiterate tailoring classes, which are free performed on the Shandong TV households in 1989 was 442.84 of charge for the babysitters. Station. yuan, an increase of 139 yuan as Many of them have become the There are more sports activi• compared to the figure for 1985. backbone in assisting their fel• ties throughout the county. Liu Clearly, those farmers with a low villagers to prosper after re• Qingguan, a basketball fan in higher education level tend to turning to their hometowns. Nanguan Village, encouraged earn more than those who have A manager with the Chong- his sons and nephews to take less education. In 1989, the wen District labour market stat• part in basketball matches, farmers with at least seven ed, "Beijing is a social universi• while his wife and younger years of education earned an ty. After a few years of working children cheered the players on. average net income of 696.29 here, many young women have His action helped stimulate the yuan. Meanwhile, those with improved their individual qual• village's sports activities. In the four years education or less av• ities." past two years, a 200-member eraged 427.39 yuan annually. (November 13, 1990) "sports family" has emerged. (October 8, 1990) Those who regularly exercise Farmers'Cultural Life numbered more than 2,000, Babysitters in Beijing some 50 percent of all village JINGJI CANCAO BAO residents. ZHONGGUOQINGNIAN BAO (Economic Reference Daily) Paying increased attention to (China Yoath News) ith the improvement of the cultural activities, the coun• uring the 1980s, many living standard and the ty government created conven• young countrywomen W enhancement of educa• ient conditions by which farm• Dfound their way to Bei• tional level, farmers in Zouxian ers could enrich their cultural jing as babysitters. At first, they County, Shandong Province, came from , Anhui and have found a variety of ways to life. It holds song, photograph Henan provinces, but now their enrich their cultural life. They and calligraphy competitions numbers expand to more than a now find much enjoyment and has set up cultural centre in dozen provinces. in calligraphy, photography, many cities and towns, training The purpose of their trip to stamp collecting, horticulture, more than 700 farmers. Beijing was at first to experi• caring for fish and birds, land• Today, Zouxian County has ence the big city's life, visit Bei• scaping, knitting and sculpture. some 500 households which jing's scenic spot, while making The young farmers' cultural life boost "special cultural feature" a net income of 70-80 yuan is more colourful than previous and more than 300,000 farmers monthly. Originally it didn't years. They closely follow po• who can show their special tal• matter what type of family they pular songs and disco dancing. ents in family cultural activi• served. However, now they do One day they would hold a bil• ties. choose those families who enjoy liard match, the next an artistic (January 5, 1991)

BEIJING REVIEW, APRIL 8-14,1991 29 BUSINESS/TRADE cial Training Centre in Wuhan. ment Programme (UNDP) will Training Classes for The three-month classes will en• be responsible for their round- Foreign Technicians rolled 26 students each from trip fare to China. English- and French-speaking The Chinese government and To help developing countries countries. Classes are scheduled UNDP jointly ran three training strengthen their ability to devel• to commence in July of this year. classes for rice-planting tech• op agriculture and utilize natur• The technical training class niques and for maintenance of al resources, the Chinese govern• will cover the cultivation of food small farm machines in 1990. ment continues to run training grains other than wheat and rice A total of 46 students from 25 classes for technicians from de• in arid areas. The 20 students countries including Gambia, Ye• veloping countries in 1991. will come from French-speaking men, Zambia, Fiji, Sri Lanka, This year China plans to hold African countries. The three- Niger, the Congo, Cameroon and seven technical training classes, month class will start on July Zaire took part in the classes. according to an official from the 5 at the Northwest Agricul• After three months training, all Ministry of Foreign Economic tural University in Yangling, students thought that China's ex• Relations and Trade. They in• Shaanxi Province. perience in agricultural develop• clude two classes for training The class on application of so• ment was a help to their coun• middle- and high-ranking man• lar energy and firewood-saving tries and its technology in rice- agerial officials of agricultural technique and the class, on the planting and the use of small economy. Fourteen students for use of marsh gas will be held by farm machines was worth popu• each class will come from the Gansu Natural Energy Insti• larization. English- and French-speaking tute in Lanzhou and the Cheng• by Yang Shuzeng developing countries. The one- du Asian-Pacific Area Marsh month classes will start on May Gas Training Centre in August 24 and May 26 at the South and September respectively. Two Fasliion Sliow to Be China Agricultural University classes of 25 and 16 students will Held In Beijing in Guangzhou and the Central be taught in English with a term China Agricultural University in running from three weeks to one In order to show off China's Wuhan respectively. month. clothes and ornaments and pub• Two rice-growing training The official also stated that the licize them on the internation• classes will be organized at the Chinese government will cover al market, the Huaxin Fashion South China Agricultural Univ• the trainees' accommodation and Show Festival will be held in Bei• ersity in Guangzhou and the Hu- food and their governments or jing from April 20 to May 3 this bei Agricultural University Offi• the United Nations Develop• year. Sponsored by the China Huaxin Corp., the Beijing Foreign-Funded Enterprises Ser• vice Centre and other units, the show will include academic ex• changes, exhibitions, talks and live performance. Fang Weiguo, secretary- general of the show's organizing committee, said that in early April about 100 domestic and in• ternational clothing experts and scholars will gather in Beijing to discuss the development trend in the world and the designing and production of China's clothes. Some 200-300 clothing produ• cers (including Sino-foreign joint ventures) will display a variety of high-grade clothes and orna• ments. During the festival, fashion models from China, the Soviet

30 BEIJING REVIEW, APRIL 8-14,1991 BUSINESS/TRADE

Union and other countries will received applications from over tional Chinese Pharmaceutical show off their skill. In addition, 4,000 Chinese businesses and 300 Factory in the Zhuang a special group of models from firms from 23 countries and re• Autonomous Region, has caught universities in Beijing will also gions to participate in the exhibi• the attention of Singapore, Thai, display recent fashions they de• tion. The main products include Hong Kong, Macao and Tai• signed and tailored themselves. machinery, electrical and te• wanese businessmen. Huang De- The styles are certain to depict lecommunication equipment, jian, deputy director of the facto• the elegance and current fashion computers, automatic office ry, said that exports had reached flavour of China's university stu• equipment, precision instru• 800,000 yuan in 1990 and are ex• dents. ments, metallurgical materials, pected to reach one million yuan by Li Ming energy technological equipment, this year. textile materials, light industrial machinery and their products, The Fuyanjing capsule, Huang Haikou Branch of arts and crafts and furniture. said, is made with Chinese med• Chartered Bank Opens Some 106 companies from icinal herbs using up-to-date Hong Kong are expected to take technology. In 488 clinical cases The Standard Chartered Bank part in the fair. Their main in five hospitals in the region, of Britain officially opened its theme at the exhibition will the medicine eased pain and branch in Haikou, Hainan Prov• be Hong Kon§—China's Trade cured leucorrhoea and boils in ince, on March 12, the third Window. In conjunction with the 98 percent of cases observed. In banking institution in the city fair they will hold fashion shows, 1989, it won the scientific run by foreign businessmen since sales and trade talks. and technological achievement Hainan Province was established This fair will be held once ev• awards from the region and from in 1988. ery two years. At the first fair the State Traditional Chinese The opening of the Standard in 1989, some US$400 million in Medicine Administration. Chartered Bank, Haikou Branch, business was conducted. • To meet the great demand was approved by the head office of both domestic and foreign of the People's Bank of China. clients, the state has decided to The solely foreign-owned branch News in Brief expand its production. The aim handles foreign exchange loans, remittances from abroad. Hong • Under guidance from the is to increase the present yearly Kong and Macao, cash collec• city of Shanghai, the Foreign In• output of 1.5 million bottles to 3 tion, bank savings as well as vestment Work Committee on million bottles. international import and export March 10 published a catalogue • A set of informative Beijing trade. of enterprises and products for maps for domestic and foreign So far, the Standard Chartered attracting foreign funds in 1991. businessmen and tourists will be Bank of Britain has opened 11 The catalogue includes 220 prod• published in August of this year. branch offices on China's main• ucts of seven trades, such as The maps will provide useful land. Expanding its business ter• machines, electrical appliances information on industries, com• ritory to Haikou is a demonstra• instruments and meters. Foreign merce and trade, scenic spots, tion of its confidence in China's investment is restricted for more science, education, public health, future and determination to play than 100 products including mo• and communication and tran• a role in Hainan's moderni• torcycles and air conditioners sportation facilities in the cap• zation. • and is prohibited in news pub• ital, clearly showing roads and lication and foreign trade deal• addresses of enterprises, govern• ings. Beijing Hosts 2nd ment offices and organizations. The catalogue points out that They will be of great help to vis• International Fair foreign businesses may run fin• itors and residents alike. ancial companies, real estate bus• The 2nd Beijing International iness, retail commerce and the They are being edited and pub• Fair, sponsored by the China tertiary trade in the Pudong New lished by the Nanfengchuang Council for the Promotion of In• Development Zone. Previously, Periodical Development Centre ternational Trade, will be held the investment in financial com• in Guangzhou. The English edi• from April 8 to 15 at the China panies was not allowed. tion is now being drafted and is International Exhibition Centre. • The Fuyanjing capsule, a scheduled to come off the press It is the largest of its kind or• new gynaecological medicine by the end of this year. ganized by China so far and has produced by the Wuzhou Tradi• by Yao Jiangno

BEIJING REVIEW, APRIL 8-14, 1991 31 CULTURE/SCIENCE visits to hospitals. When Soong Ching Ling was in danger be• cause of her severe attack on Chiang Kai-shek, her two sisters TV Series Depicts the Story offered help many times. Such detailed depictions have been seldom been seen in previous Of the Soong Sisters film or TV productions. Pan Xia directed the series. She believes that credibility of biographical productions is rw^he 12'episode TV series, China for over two decades. Af• achieved from the faithful repre• I Soong Ching Ling and Her ter their marriages, the close re• sentation of important historical Sisters, entertained Bei• lationship among the three sis• events and the environment in jing TV viewers this past Fe• ters became subject to political which they occurred. For exam• bruary. It is the first TV series upheavals. ple, one part of the series dealt whicl;! centred on the lives of and Soong Ching Ling is the with the re-burial ceremony of relations between the Soong sis• heroine of the TV series. In the Sun Yat-sen after his body had ters, Soong Ailing, Soong Ching series, her outstanding personal• been transported from Beijing to Ling and Soong Mailing, all ity and celebrated revolutionary Nanjing. Such a scene has never great and influential figures in spirit are portrayed against a appeared in film or TV. Pan ins• modern Chinese history. Apart complicated family and political isted that the props including the from portraying their individual background. Soong Ching Ling costumes of the pall bearers, the disposition and charm, the TV loved her sisters, but she put the funeral flags and the coffin all production also focused on their national interest above her fam• be in authentic detail; and relat• ideological conflicts resulting ily relations. Li Ling, who ed scenes were filmed using real from their different political be• played Soong Ching Ling in the landscapes. Another important liefs and their marriages. series, was outstanding in her scene in the series—the wedding The film, creative both in sub• ability to portray the complicat• ceremony of Soong Meiling and ject and form, became an instant ed inner feelings of Soong Ching Chiang Kai-shek, was filmed ex• success and caused a sensation Ling who was caught between actly according to the descrip• among the viewers and critics. family love and political beliefs. tion written in historical records. The series starts with the life Li Ling is a young actress of the Soong sisters as teenagers. who has played several success• Critics praised the TV series as At the beginning of this centu• ful leading roles in film and TV one of the best TV productions ry, the three sisters, daughters productions. Although she re• combining romanticism with of Soong Jiashu, a wealthy busi• sembles Soong Ching Ling in realism. Although it emphasized nessman in Shanghai, finished physical features, she did not character and feelings, it did not their studies in the United States stop there. She was able to suc• avoid important historical ev• and returned home. All three sis• cessfully reveal the admirable ents in the first half of this cen• ters all chose their ideal hus• inner qualities such as elegance, tury. Through the historical ev• bands. Soong Ailing, the eldest generosity and gentility of this ents, it demonstrated how per• daughter who was interest in fi• great Chinese woman. sonal fate can be closely connect• nance, married Kong Xiangxi Wang Fuli (Soong Ailing) and ed with that of the nation. "This (who would later hold many im• Zhang Xiaomin (Soong Meiling) is history in an artistic form. The portant positions in the Kuomin- both demonstrated their acting image of Soong Ching Ling is of tang government), son of a fin• talents in the series. Different great significance in the educa• ancier; Soong Ching Ling, the from other productions, the ser• tion of our children," said one second sister, paying no heed to ies gave a more detailed and critic. her family's strong opposition, realistic revelation of the two sis• The success of the Chinese TV married Sun Yat-sen, the leader ters' important roles in historical series has attracted attention of of the 1911 Chinese Revolution events. For example, there were artists and businessmen abroad. whom she admired from her ear• many scenes depicting their ac• Japan and Singapore have ly childhood, and Soong Meil- tive participation in the Anti- bought the copyright of the TV ing, the youngest, married Japanese War. The sisters made series. Chiang Kai-shek who ruled speeches, raised funds and paid by Cui Lili

32 BEIJING REVIEW, APHIL 8-14,1991 CULTURE/SCIENCE

CHENG ZHIXI On February 25, Xie Jun defeated Alisa Marie of Yugoslavia to win the right to challenge reigning women's world champion. well before the matches which contributed to her vitality during The Chinese Challenge in Women's Chess competition. Xie started playing Chinese hinese grandmaster Xie world chess." chess at the age of seven and Jun defeated Alisa Marie The last three games held in transferred to play chess at ten. C of Yugoslavia in the sev• Beijing were all stiff compe• She excelled quickly in the new enth of the eight-game world titions. Xie Jun reacted better to game and became a national chess finals in Beijing last month chance. When the situation was master at 14 years of age and to win the right to challenge favourable to her, Xie would in• world grand master at 18. reigning women's world cham• stantly seize the opportunity and Seasoned by long years of ex• pion Maya Chiburdanidze of the carry it onto her final victory. perience in important national Soviet Union, thus making her When she was in difficult situa• and international competitions, the first non-Soviet to have a tions, she would take it easy and Xie has developed a calm, self- shot at the world crown. turn peril into safety. confident attitude. When asked The finals attracted great at• Marie, though showing strong how she prepared for the games, tention from world chess circles. power in defense, was somewhat Xie answered, "I always try my For the past 40 years, the right conservative. She avoided head- best. I am satisfied with whatev• to challenge the world champion on confrontation with her rival, er the result may be so long as I has remained a domestic affair preferring to win the game by have tried my best." When asked among Soviet players. her unusual persistence. Such a how she dealt with unfavourable Commenting on Xie's success, tact led to her final downfall. situations, Xie said calmly, "I of• Florencio Camponanes, presi• Apart from her aggressiveness ten prepare for the worst and dent of the International Chess in playing, Xie Jun is able to fight for the best." However, the Federation, said, "This is histor• maintain her mental and physi• game usually comes out in her ically significant. Xie's success cal equilibrium under pressure. favour. symbolizes the rapid progress of She had a good appetite and slept by Cui Lili.

BEIJING REVIEW, APRIL 8-14,1991 33 CULTURE / SCIENCE

Evidence of China's Maritime Culture

t the International level during the Warring professor of the Southeast Seminar on the Mar• States period. Asian Research Institute of A itime Silk Route held In recent years, China's Singapore, said his coun• recently in Quanzhou, a ancient boats unearthed in try discovered over 300 coastal city in China's various countries along the Chinese cultural relics southeast, latest archaeo• silk route show that China, made in the 13th or 14th logical reports made by bordering on the west coast centuries, which include scholars from various coun• of the Pacific Ocean, like porcelain and pottery tries show that China, like the ancient countries along items, coins and ornaments. the Mediterranean coun• the Aegean Sea, began to The most interesting dis• tries, is also a birthplace use primitive boats and covery was the cooking of,maritime culture in the rafts 7,000 years ago. charcoal. Professor Chion world. China, a large coastal coun• also pointed out that cer• A Japanese scholar said try in the east, and the Ar• tain maritime nationalities, at the seminar that about abian empire, a power re• such as the Thais, Burmese 350 pieces of Chinese lying on navigation in the and Malaysians, originate bronze bells from the west, pushed maritime from the boat people of Spring and Autumn period trade to a new height. southern China who came (770-476 BC) discovered Ships of the Song Dynasty to these countries in an• in Japan's western coastal (960-1279) unearthed from cient times via sea routes. areas of Yamakage and China's Quanzhou and These people continue to Hokuriku are similar to Ningbo cities are consi• preserve their Chinese cul• those unearthed in Korea. dered to be the heaviest and tural traditions. These discoveries prove best built ships in the world Professor Wolfgang that China opened a route at that time. from Shandong Peninsula Franke from Hamburg to Japan via the Korean K. Mcpherson, an Aus• University, , and Peninsula 2,700 years ago. tralian professor at the Ho Chui Mei from the Centre for Indian Ocean Field Museum of Natural Archaeological discover• Regional Studies, said that History in Chicago, said in ies also show that during their reports that in re• the Warring States per• during the Han Dynasty iod (475-221 BC), China (206 BC-220 AD), Chinese cent years, many discover• opened a route to Japan's traders and navigators ies found in Southeast Kitakyushu via Tsushi• ma3e frequent visits to Asian countries came from ma Island. Archaeolo• Southeast Asian countries China, such as epitaphs gists from various countries as far as the Malay Penin• dating back to 1264 discov• have discovered bronze sula. China's trade activi• ered in Brunei, big bells swords of the Warring ties spread to Sumatera Is• from 1469 found on Suma• States period along the land, the Bay of Bengal and tera Island, hundreds of route from the Korean Pen• northern India up until the Chinese tombstones dating insula, Tsushima Island, Tang Dynasty (618-907). back to the 17th century Hakata Bay to Kitakyu• The Chinese oceangoing found in Malaysia and In• shu. They have also found vessels made, up the largest donesia, as well as large knife-shaped copper coins fleet on the Indian Ocean numbers of Chinese por• among the relics of the sites at that time. celain and pottery articles of the Warring States per• Scholars from various found in Thailand. These iod. In order to navigate countries have also offered discoveries prove that the the rapid waters, Chinese evidence of China's naviga• Chinese people sailed to navigational technology tion to Southeast Asian Southeast Asian countries had reached a sophisticated countries. Chion Sin Min, long ago. •

34 BEIJING REVIEW, APRIL 8-14, 1991 ART PAQE \

Opera Facial Makeup by Li Jiqing Peking Opera is of a unique and local style among all of China's traditional operas. The painted faces used in the opera are also valued as pieces of art highlighting China's rich tradition. The facial makeup portrays the various roles, types, natures, qualities and ages of the characters in colourful and elaborate patterns. These works were created by opera makeup artist Li Jiqing, a teacher of the Beijing Opera School who was born in Tianjin in 1949. BEIJING REVIEW A Window on China

Beijing Review, China's only weekly foreign language current affairs magazine, was first launched in English in March 1958. It is now available in English, French, Spanish, German and Japanese. As well as the regular English edition, a North American edition is printed and distributed in the USA. In January 1988, Chinafrique, a monthly in French, was published by Beijing Review for distribution in African countries. The six editions are essentially similar in content but vary to cater for the readership in different regions of the world. The magazine aims to • provide information on political, economic, cultural and social developments and trends in China; • offer insight into the theories, lines, principles and policies of the Chinese Communist Party; • acquaint readers with Chinese views on major, international issues. Beijing Review is an important source of information for overseas government officials, experts, scholars and business people interested in recent developments in China. It is often quoted by foreign media and is used by professors as a source of reference for students of overseas universities. The back cover of Beijing Review carries colour advertisements. Beijing Review is airmailed to over 150 countries and regions. It is distributed by the China International Book Trading Corporation (Guoji Shudian), P.O. Box 399, Beijing, China.