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systems, as well as navigation and early OPINION warning satellites, could be among the targets of attacks designed to ‘blind and deafen the enemy.’” In the 2019 version of the report, defense officials said that China “continues to de- Behind the CCP’s Fervent Denial velop counterspace capabilities and related technologies, including kinetic-kill mis- siles, ground-based lasers, and orbiting of Interfering in the US Election space robots, as well as expanding space surveillance capabilities, which can moni- tor objects across the globe and in space Zhong Yuan didn’t directly mention election in- and enable counterspace actions.” terference, but took the initia- Left unchecked, China could shut down An eye-catching report published on tive to address the topic—a mistake the United States. All of it. Including our Dec. 17 on the homepage of the Chi- on his part. This question wasn’t military. nese Communist Party (CCP)-run arranged in advance, as is often the media Xinhua website stated, “The case with Chinese journalists who Ministry of Foreign Affairs Refutes attend the regime’s press briefings. Influencing U.S. Presidential Elec- Instead, Wang just blurted out tions: Completely Fabricated.” those words without preparing a Dethroning the United States Chinese state media reports on the script. The reporter’s question suc- as the world’s prevailing U.S. presidential election—and their cessfully caught something big. expressed attitudes toward the two Wang’s response was a slip of the superpower has long been an candidates—have fluctuated greatly. tongue, although as long as no one ambition of communist China. Of course, the Party has its eyes on mentions it deliberately, the moment And, over the last decade they’ve Democratic Party candidate Joe will pass. However, what’s strange is Biden. But as allegations of election that Xinhua made it the focus of an stepped up efforts to bring this fraud and Chinese interference have article, and deliberately emphasized dream to fruition prior to 2049, surfaced, the Party is worried that the statement. On the surface, it the year that marks the 100th the truth could be revealed soon. seems illogical, but in essence, it re- CCP media has been cautious in flects real concerns of the CCP lead- anniversary of the founding of general in its coverage, for fear of being ership. Wang’s response was clearly the People’s Republic of China. implicated in election fraud, which the result of repeated warnings by would attract a strong U.S. reaction. the CCP’s high-level officials: You However, Xinhua’s denial of CCP must categorically deny intervening interference in the U.S. election, at in U.S. elections at all times. What’s at Stake around the same time the Senate While Wang naturally kept this Steven Kwast, a retired Air Force lieuten- Committee on Homeland Security in mind, he accidentally “copy and ant general, spoke at Hillsdale College in and Governmental Affairs held a pasted” the answer to the wrong November 2019 and delivered a powerful hearing on election irregularities, is, question. lecture on what’s at stake in the race for in fact, indirectly hinting at its guilt. A growing list of U.S. sanctions on The Space Force logo. space dominance. The core of Xinhua’s report can Chinese companies and officials “The power of space will change world be summarized with these words CCP media has must have triggered fierce debates power forever,” Kwast said. from Foreign Ministry spokesperson been cautious within the Party, as regime leader “It’s like America is a race car that has Wang Wenbin: “China is committed in general in its Xi Jinping’s authority is again being OPINION been winning races for 70 years since World to the principle of non-interference. challenged. And the U.S. counterat- War II. We’re going 90 miles an hour, and Claims about China influencing U.S. coverage, for fear tack hasn’t ended. This is what the we’ve done it that way since World War II. presidential elections are completely of being implicated CCP leadership is most worried It’s our entire mindset, our entire lives the fabricated.” in election fraud, about. They cannot stop the United Chinese Communist Aggression same way. China is in a car right behind Wang was responding to a Bloom- which would States from counterattacking, but us. The car isn’t as good, but it’s going 120 berg reporter’s question during a the top officials don’t want to take miles an hour.” regular press briefing. attract a strong U.S. responsibility for the consequences. Kwast holds degrees in astronautical The reporter asked, “A statement reaction. Wang’s panic-stricken denial re- engineering and public policy, is a former from the Office of the U.S. Director flects the Party’s internal state. Is Why the US Space Force Is fighter pilot, and was a commander of the of National Intelligence John Rat- People within the CCP know that Air Education and Training Command at cliffe said on Wednesday night that such moves are part of the Party’s Joint Base San-Antonio Randolph. a deadline to submit a classified playbook to deflect attention from He also presents the nightmarish reality report to Congress on foreign efforts their mistakes: blame the United that China is “building an entire method of to sway the November 3rd election States for the continued deteriora- Imperative being able to have a blanket of power over will not be met. That’s because di- tion of U.S.–China relations; incite America in space that can bring directed rector Ratcliffe is said to be refusing nationalism, and play tough to energy to paralyze our power grids, para- to sign off on the report unless it maintain the CCP’s authority in the lyze our cars, paralyze our military, disrupt more fully reflects the national se- country. Adrian Norman of economic, technological, and military disruptor. our markets.” curity threat posed by China. Does Wang’s gaffe and the Party media’s hegemony in perpetuity. As it stands, the “There is evidence that the arrival of “We can say today, we are dominant in the ministry have any comment on overly zealous denial only expose In 2018, President Donald Chinese are aggressively positioning to high-speed internet access, if it spreads space. But the trend lines is what you have this situation?” how the CCP leadership is running Trump directed the U.S. secure this role for themselves. widely enough, can enhance productiv- to look at. And they [China] will pass us in The reporter carefully thought out out of ideas about how to deal with Department of Defense “Chinese military writings state that the ity and transform local economies,” wrote the next few years if we do not do some- how to phrase the question to elicit the United States. (DoD) to create a sixth goal of space warfare and space operations science journalist Chris Baraniuk for the thing. And they will win this race, and then an impromptu answer from the branch of the U.S. Armed is to achieve space superiority,” states a BBC. “In India, for instance, farmers and they will put roadblocks up to space,” he spokesperson. And indeed, that ap- Zhong Yuan is a researcher focused Forces, now known as the 2019 report called “Global Counterspace fishers using mobile phones to check prices said. “Because once you get the ultimate pears to have happened. on China’s political system, the U.S. Space Force, which was Capabilities” by the Secure World Foun- and weather conditions increased profits high ground, that strategic high ground, Wang said, “Not long ago, the U.S. country’s democratization process, formally established in December 2019. dation. by 8%.” it’s curtains for anybody trying to get to Director of National Intelligence human rights situation, and Chinese Though some have poked fun at the new “Space superiority is defined as ‘ensur- Wider connectivity means expanded eco- that high ground behind them.” called China “national security citizens’ livelihoods. He began writ- military branch after it recently revealed ing one’s ability to fully use space while at nomic opportunity and the chance at a bet- China under the Communist Party is a threat No. 1,” referring to Ratcliffe’s ing commentaries for the Chinese- that its troops would be called “Guard- the same time limiting, weakening, and ter life for millions of people. But, a hostile nation that has gross human rights viola- op-ed for the Wall Street Journal. language edition of The Epoch Times ians,” the circumstances necessitating our destroying an adversary’s space forces.’ It nation with control of the space domain tions, carries out forced organ harvesting, Then Wang said, “China is com- in 2020. Space Force are no laughing matter—the not only includes offensive and defensive could be able to interdict technologies like and went so far as welding people into their mitted to the principle of non-inter- president’s directive was pursuant to a operations in space against an adversary’s space-based internet access and prevent own homes as the CCP (Chinese Commu- ference. Claims about China influ- Views expressed in this article are the growing threat posed by two of America’s space forces, but also air, ground, and naval anyone they choose from accessing those nist Party) virus (commonly known as the encing U.S. presidential elections opinions of the author and do not adversaries. operations against space assets.” services. novel coronavirus) broke out in early 2020. are completely fabricated.” necessarily reflect the views of The China and Russia are already formidable According to the report, Chinese plan- Our own U.S. Department of Energy These are not the actions of a friendly na- The reporter’s question actually Epoch Times. enemies of the United States. But China, ners recognize that whoever controls space has signaled the possibility of a future tion wielding its authority in a moral way. in particular, has methodically taken will control Earth, and that “outer space where Earth’s energy needs are provided Kwast believes the ethics and integrity meaningful steps in its acceleration toward is the new high ground of military opera- We can say today, by space-based solar power. This concept of the nation that first deploys and man- countering U.S. military and economic tions. They assert that the center of grav- we are dominant in involves groups of satellites harnessing ages these emerging space technologies Greg Baker/AFP via Getty Images dominance on the global stage. ity in military operations has transitioned space. But the trend energy from the sun and beaming energy is critical. Dethroning the United States as the from the sea to the air and is now transi- back to Earth, technology that has already “So the next hundred years, the values world’s prevailing superpower has long tioning to space.” lines is what you been under development by the U.S. Air that will rule the next hundred years will been an ambition of communist China. The report cites a textbook published have to look at. And Force and the U.S. Navy. be defined by this next 10 years and who And, over the last decade they’ve stepped by the Chinese Academy of Military Sci- they [China] will This could provide the entire globe with dominates space,” he said. up efforts to bring this dream to fruition ences (AMS), which states: “Whoever is power that has zero emissions, allowing “For 30 years, [China has] met every sin- prior to 2049, the year that marks the 100th the strongman of military space will be pass us in the next the planet to be far more sustainable with gle milestone of their space program. And anniversary of the founding of the People’s the ruler of the battlefield; whoever has the few years if we do a minimal carbon footprint. Vehicles, air- in the next 10 years, they will have solar Republic of China. advantage of space has the power of the not do something. planes, ships, homes, and businesses could and nuclear power generation space sta- initiative; having ‘space’ support enables all be powered by this clean energy. tions on orbit. They broadcast that they will victory, lacking ‘space’ ensures defeat.” Steven Kwast, a retired Air There would be no need to try to mini- be used for peaceful purposes, that those Another publication by AMS, the Science Force lieutenant general mize our footprint on the planet with radio waves will bring energy to anybody of Military Strategy, concludes that “with- wealth-destroying programs like the Green on planet Earth without the need for power Though they could, how likely is it out space superiority one is at a disadvan- New Deal, which impose extremely high lines or power plants,” he explained. that a rogue nation would malignly tage in all other domains,” according to taxes and crushing regulatory burdens. “But in a millisecond, that dominance the report. This is Overton-window-shifting, par- of the electromagnetic spectrum can be use space-based assets? adigm-shattering innovation that would directed energy that could paralyze any National Security, radically alter our planet. However, a des- part of our power grid and freeze any Space Supremacy Economic Implications potic country bent on global domination military might that America builds on Means Terrestrial Hegemony Understanding the need for the U.S. Space could exploit such technologies for their the spot. Every carrier battle fleet is a cork “China wants to be the dominant economic Force requires an understanding that bur- own gain, to the detriment of every other in the water. Every fleet of fighters is dead and military power of the world, spreading geoning technologies and revolutionary nation on Earth. on the ramp, can’t even turn the wheel, its authoritarian vision for society and its innovations will permanently alter the way But, though they could, how likely is it because of our vulnerability. China has corrupt practices worldwide,” U.S. Secre- human beings live, how we travel, how we that a rogue nation would malignly use openly stated they are weaponizing ev- tary of State Mike Pompeo said during a defend ourselves, how we produce, receive, space-based assets? erything.” 2019 news conference in The Netherlands. and store energy, and that many of the tec- A 2018 report by the U.S. DoD confirmed However, projecting global power into tonic shifts taking place within technol- that “China is developing multiple coun- Adrian Norman is a writer, political com- the 21st century, and beyond, will require ogy sectors will either be space-based or terspace capabilities to degrade and deny mentator, and author of the book “The more than strong conventional armed involve space. adversary use of space-based assets.” Art of the Steal: Exposing Fraud & Vulner- forces. In this era, global preeminence will Currently, half the world is not connected The report also noted that Chinese abilities in America’s Elections.” be inextricably tied to command, control, to the internet. But, there are multiple com- scholars “stress the necessity of ‘destroy- and denial of space. panies close to reaching the milestone of ing, damaging, and interfering with the Views expressed in this article are the In other words, the first nation to conquer being the first to offer the internet beamed enemy’s reconnaissance ... and commu- opinions of the author and do not neces- the space domain will be the beneficiary from space, which will be a major global nications satellites,’ suggesting that such sarily reflect the views of The Epoch Times. Chinese Foreign Ministry spokesman Wang Wenbin takes a question during a briefing in Beijing on July 24, 2020. 4 | CHINA INSIDER Week 53, 2020 Week 53, 2020 CHINA INSIDER | 5

Nicolas Asfouri/AFP via Getty Images CCP VIRUS Deception and Suppression: A Year of Beijing’s Virus Coverup

Nicole Hao other COVID-19-like conditions. International experts and local residents they detected virus strains on imported In the early weeks of the epidemic, the view such glowing accounts with skepti- frozen salmon, shrimp, pork, beef, and round this time last year, Chinese au- Chinese regime continually downplayed cism. A day after authorities made that other foods from a range of countries, such thorities acknowledged that an “un- the crisis and denied that the disease announcement, some residents told The as Norway, Russia, Indonesia, Brazil, and known” form of pneumonia was could be transmitted among humans. Epoch Times that they hadn’t yet received Germany. spreading in the city of Wuhan. The World Health Organization repeated their test results. The WHO states that the possibility of But it was already too late. Beijing’s claims, and would wait until Jan. Local governments also continued to infection from contact with food and food AWhat we now know as COVID-19 had al- 30 to declare the outbreak a global health cover up the scale of new outbreaks. The packaging is slim. Disease experts also say ready broken out across the city and pos- emergency. Epoch Times has on several occasions it’s unlikely the virus can spread through sibly beyond. Chinese authorities didn’t implement obtained internal government data that frozen food. In the months that followed, authorities containment measures until Jan. 23, with revealed figures much higher than what bungled prevention measures and covered a lockdown on Wuhan. However, by then, 5 had been publicly reported, such as in Bei- Censorship up the number of infections. They enacted million people had already left Wuhan, jing, and , Jilin, and Heilongjiang From the beginning, Wuhan authorities travel restrictions weeks too late—as Chi- amid a typical peak season for domestic provinces. silenced whistleblower doctors such as nese travelers seeded outbreaks around and international travel for the Lunar New Governments typically shared little in- Ai Fen and Li Wenliang, who were first the world—and prevented international Year holiday. formation with citizens. In one classified to note on social media that their hospi- researchers from visiting the country to in- document issued in February, Chinese au- tals were admitting patients with a new, vestigate the origin of the virus that causes Tight Control thorities explicitly stated that epidemic- potentially contagious, pneumonia-like COVID-19. Chinese authorities soon adopted a so- related documents were to be treated as disease. They were summoned by police A global pandemic ensued that has called “fire blanket style” procedure to top secret. and reprimanded. claimed millions of lives, brought econo- contain the disease domestically. “During the time period of combating Li, who later died of the disease himself, mies to a halt, and disrupted people’s live- Once a person is diagnosed with CO- the virus, all types of urgent documents, has been described as a martyr. lihoods. VID-19, the local government detects the urgent notices, urgent events … internally Fang Bin, Chen Qiushi, and other citizen As the virus spread around the world, patient’s recent close contacts and the shared sensitive information, and any in- journalists who documented the Wuhan the regime in Beijing began an aggressive places he has recently visited, via China’s formation that the [government] leaders outbreak, including visits to local hospi- campaign to spread disinformation claim- ubiquitous surveillance camera system. haven’t approved to disclose to the pub- tals and funeral homes, have gone miss- ing that the virus didn’t originate in China; One internal Chinese government docu- lic” would be considered state secrets, the ing. Fang and Chen’s whereabouts remain that propaganda offensive continues today. ment obtained by The Epoch Times shows document said. unknown. Meanwhile, the regime punished citizens that more than a million people nation- On Dec. 28, Zhang Zhan was sentenced who dared to publicize information that wide were being closely monitored for to four years in prison, becoming the first didn’t fit its narrative: that authoritarian their risk of contracting COVID-19 during known citizen journalist to be sentenced control had succeeded in containing the the month of May. The populace is getting fed up for providing first-hand information about People’s Liberation Army soldiers march in Beijing on May 22, 2020. disease. During lockdowns, people are prevent- the epidemic in China. But in interviews with The Epoch Times, ed from leaving their homes. Usually, au- with the way local authorities Netizens also reported being detained citizens tell of a different reality: draconian thorities mandate that only one person are handling the situation. by local police after they posted outbreak- lockdown measures have deprived them of per household can go outside every two related information on social media. OPINION basic rights, while authorities continue to to three days, and can only spend an hour Internal documents obtained by The Ep- suppress information about new clusters or two to shop for basic necessities. Disinformation och Times showed that propaganda au- around the country. Suspected patients are isolated at gov- The Chinese regime switched tactics thorities heavily suppressed information As a new wave now hits Beijing and parts ernment-designated quarantine centers, around March, as countries around the about the pandemic that didn’t align with Chinese Leader Xi Jinping Faces of northeastern China, locals are once including some that reportedly had unsani- world were responding to their own out- official narratives. again kept in the dark as authorities seal tary conditions and a lack of medical care. breaks. The populace is getting fed up with the off neighborhood after neighborhood. In areas with serious outbreaks, such as On March 12, a spokesperson for China’s way local authorities are handling the situ- Wuhan, Suifenhe, Beijing, and Shanghai, foreign ministry, Zhao Lijian, claimed in a ation. Pressure From Within the Military Coverup Culture authorities created makeshift hospitals Twitter post that the CCP virus was brought In March, residents under lockdown in China’s initial response was rife with mis- with only wall partitions separating one to Wuhan by the U.S. Army. His baseless Wuhan heckled a group of Chinese offi- steps. patient from another. Some complained claim, and other similar accusations by cials touring the area, shouting complaints Yang Wei has just been transferred to the po- was scheduled for Dec. 14 to 16. The meet- Wuhan health authorities only confirmed that the hospitals were “like death camps.” Chinese diplomats, sparked widespread from their apartments, such as, “It’s fake, litical commissar of the Strategic Support ing was held regularly since 1998 to discuss the outbreak on Dec. 31, 2019, after whistle- condemnation by Western officials. everything’s fake!” Chinese leader Xi Jinping attended a mili- Under Xi’s Force, one of the six major branches of the maritime and aviation safety and reduce blower doctors had shared information on A Year of Outbreaks On Nov. 29, the Chinese state-run Global Recently in the northeastern city of Da- tary ceremony on Dec. 18 at the People’s leadership, China military. He has been a political cadre for confrontation between the two militaries. social media. Despite the containment measures, new Times published an article suggesting that lian, college students were barred from Liberation Army (PLA)’s headquarters is becoming more many years. He was promoted to lieutenant Beijing’s refusal to attend the meeting is Government documents leaked to The clusters continue to emerge throughout the virus originated on the Indian subcon- leaving campus as the city reported new in Beijing. Four generals were newly ap- general in July 2016. another misstep for Xi, which is tantamount Epoch Times have since revealed that CO- China. tinent. Recently, Chinese state-run media COVID-19 cases. They complained about pointed and honored at the event. But it isolated from Wang Chunning has just been promot- to intensifying the military confrontation VID-19 cases may have surfaced months Authorities usually require mass nucleic misquoted scientists’ research to claim that the suddenly imposed quarantine. appeared as if Xi lacked enthusiasm, judg- the international ed to the commander of the armed police between the United States and China. earlier. Wuhan hospital data shows that acid testing soon after. During an outbreak the virus originated in Italy. “I believe if the Dalian government con- ing from the news video footage of Beijing’s community. force. His father Wang Yongming was a “The PRC’s refusal to show up to MMCA patients were hospitalized with symptoms in October in the eastern city of Qingdao, The Chinese regime and its media have tinues to insist on not allowing students mouthpiece Xinhua. What was behind the lieutenant general. After Xi came to power, [Military Maritime Consultative Agree- similar to COVID-19 as early as September authorities claimed that after testing all also been promoting the theory that local to leave, students could become restless. grim expression on Xi’s face and why wasn’t Wang transferred the armed police force to ment] is another example that China does 2019, while several people died in October 11 million residents, they found zero new COVID-19 outbreaks stemmed from fro- They could even join together to resist,” he in a celebratory mood? Perhaps he is the Military Commission. The move sug- not honor its agreements, and this should 2019 from pneumonia, lung infections, and infections. zen food supply chains. Authorities claim one student said. under a lot of pressure and is faced with gests that Xi has always been worried about serve as a reminder to all nations as they obstacles at home and abroad. a coup and wanted to surround himself pursue agreements with China going for- with loyal officers. ward,” said Adm. Phil Davidson, the Com- STR/AFP via Getty Images Xi Asserts His Authority mander for U.S. Indo-Pacific Command. Through the Military International Pressure The U.S. Navy recently announced that Amid the infighting among political factions At the press conference of the Ministry of U.S. warships trained with French and within the (CCP), Foreign Affairs of the Communist Party Japanese navies in the Philippine sea. Xi took the opportunity to show the Party of China on Dec. 18, a reporter from Re- On Dec. 9, Xi had a telephone conversa- that he commanded the military by appoint- uters asked: “The United States will add tion with President Emmanuel Macron of ing new generals. As the chairman of the around 80 Chinese companies, including France, but the Party media’s report was Central Military Commission (CMC), the chipmaker SMIC to a trade blacklist. ... Do very low-key. Perhaps Beijing is starting move would secure Xi’s authority and serve you have any comment on this report?” to feel isolated. as a warning to those who oppose him. Chinese Foreign Ministry spokesman China could be facing an energy crisis Xinhua reported that on Dec. 18, Xi pre- Wang Wenbin said that if the report was as coal imports from Australia have been sented the officers with certificates of order true, then the U.S. move would be “det- banned due to trade disputes between both at a ceremony held by the CMC at the De- Xi took the oppor- rimental to the interests of both Chinese countries. The Chinese regime recently fense Ministry’s Bayi building, located near and American companies, the normal took away iron ore projects from three Aus- Bayi lake in Beijing. Four senior officers tunity to show the technological exchanges and trade flows tralian mining firms. With a shortage in were promoted to the rank of general, the Party that he com- between the two countries and even on China’s coal supply, heating has become highest rank for officers in active service manded the mil- a global scale, and the stability of global a problem, especially in the winter, and in China. Around 30 people attended the industrial chains, supply chains, and value authorities have to limit power usage. ceremony which was held in a small con- itary by appoint- chains.” While the COVID-19 pandemic continues ference room. ing new generals. Wang’s response reveals that the latest to wreak havoc, Beijing is making head- The four officers who were promoted As the chairman of round of U.S. sanctions is unprecedented lines with its vaccines as experts question were: Guo Puxiao, the political commis- in scale. On Dec. 18, the U.S. Department their effectiveness. But China continues to sar of the Logistics Support Department the Central Military of Commerce announced that it had in- export vaccines to third world countries of the CMC; Gen. , the Commission, the cluded dozens of Chinese companies on while they order vaccines from the United commander of the Western Theater Com- move would secure a trade blacklist, including China’s largest States. Is China truly helping the interna- mand; Li Wei, the political commissar of chip manufacturer SMIC, and restricted its tional community to fight the pandemic the PLA Strategic Support Force; and Wang Xi’s authority and access to key U.S. technologies. U.S. Secre- as Xi has claimed? Chunning, the commander of the People’s serve as a warn- tary of Commerce Wilbur Ross stated, “We Under Xi’s leadership, China is becom- Armed Police. ing to those who will not allow advanced U.S. technology to ing more isolated from the international Guo Puxiao, a native of Yaoxian county, help build the military of an increasingly community. The state-run media recently Shaanxi Province, was transferred and as- oppose him. belligerent adversary.” touted that the CCP has achieved its goal of signed as political commissar of the Lo- “Entity List restrictions are a necessary poverty alleviation in 2020, but netizens are gistics Support Department of the CMC measure to ensure that China, through in disbelief. Under these circumstances, in December 2019. He has been a political its national champion SMIC, is not able how can the Chinese people continue to cadre of the Air Force for many years. He to leverage U.S. technologies to enable in- believe the CCP? The pressure continues was promoted to the rank of lieutenant digenous advanced technology levels to to build up for Xi. general in July 2018. support its destabilizing military activi- Zhang Xudong has just been transferred ties,” Ross added. Yang Wei has been closely following China and assigned to the commander of the The Trump administration’s consecu- affairs for many years. He has been con- Western Theater Command, one of China’s tive sanctions against the CCP should be tributing political commentary on China five military area commands. Xudong was directly related to the regime’s interference for the Chinese language Epoch Times also the deputy commander of the Joint in the U.S. presidential election. Xi has no since 2019. Command Headquarters of the 70th an- countermeasures and can only try to con- niversary National Day Parade in October ceal his missteps. Views expressed in this article are the 2019. He was promoted to lieutenant gen- The CCP’s army refused to participate in a opinions of the author and do not neces- A medical staff member treats a patient infected by the CCP virus at a hospital in Wuhan in China’s Hubei Province on Feb. 22, 2020. eral in July 2018. virtual meeting with the U.S. military that sarily reflect the views of The Epoch Times. 6 | CHINA INSIDER Week 53, 2020 Week 53, 2020 CHINA INSIDER | 7

STR/AFP via Getty Images OPINION one would dare to doubt Xi. Foreign Ministry Comes to the Rescue On the diplomatic front, China’s foreign minister came to Xi’s aide. On Dec. 13, Wang Yi delivered a keynote How Chinese Leader Xi, Insecure About speech at a forum on China’s foreign rela- tions in Beijing hosted by research insti- tutes. Wang praised Xi for “rising up to the chal- His Rule, Tried to Resolve Beijing’s lenges … become responsible to the coun- try and do its part for the world,” according to Xinhua reports on the event. Xi had to maintain the positive image Diplomatic Crises both domestically and abroad. He, of course, could not admit to any missteps or misjudgments. AP Photo/Andy Wong The series of Xinhua reports suggest that Zhong Yuan Xi has continued to gamble on maintaining power, but the piling sanctions imposed ith U.S. sanctions being by the United States has left him at a loss. announced against Chi- The attempt at saving face did not actually nese companies and of- help Xi to escape the crisis. Customers line up to get their reserved iPhone 12 at an Apple store in Shanghai on Oct. 23, 2020. ficials one by one, Chinese On Dec. 10, Wang Chen, vice chairman regime leader Xi Jinping’s of the Standing Committee in charge of Wattempts to recover after such diplomatic the CCP’s rubber-stamp legislature—who disasters seemed to have failed. Xi did not had just been sanctioned by the United appear in public for many days. States for his role in curtailing freedoms CENSORSHIP On Dec. 11, the Chinese Communist in Hong Kong—attended a dinner held Party’s (CCP) Politburo, comprised of top by the American Chamber of Commerce officials, suddenly met up and discussed in China. Apple Punished “security issues,” according to state media Wang still had to put on a show despite reports. This suggested that Xi had many the punishment by U.S. authorities. things to worry about. The reality is, with limits on tech trans- Employee for Just weeks ago, on Nov. 30, the Politburo fers, drastic changes to supply chains, had convened, while the Politburo Stand- and sanctions on Chinese companies, the ing Committee—the Party’s top decision- country’s economic recovery is hopeless. making body—met on Dec. 3. Having two Approving App Critical general meetings and one standing com- Lack of Security mittee meeting within 12 days is rather State-run newspaper People’s Daily ex- unusual. plained what top officials discussed during of Beijing: Lawsuit Was Xi trying to save himself from a big- the Politburo’s study session on “security ger political crisis within the Party? issues.” It accurately reflects Xi’s concerns about Cathy He Pham alleges that after the app his grasp of power at the time. was approved, Chinese authorities According to the report, Xi said that the A former Apple employee alleges in contacted Apple and demanded it Party was born at a time of “internal and a lawsuit that the company pun- be removed from the App Store. In Xi’s demands are to external troubles,” and it has “an unforget- ished him for approving an app criti- response, the company conducted protect both the Party table understanding” of the importance of cal of the Chinese regime, in order to an internal investigation and found and his personal power. It security during such times. appease Beijing authorities. that Pham was the reviewer who Xi said the Party must “persist in making The allegations were made by approved the app, the court com- seems that although he political security a priority and maintain Trieu Pham, a former app reviewer plaint stated. thought he had a way to the regime’s security.” for the tech giant, in a discrimina- He was called into a meeting with save himself, he is still Indeed, the CCP has always been con- tion and wrongful termination suit several managers to discuss the cerned about internal and external crises filed at the Santa Clara, California, Guo Media app in September 2018, extremely worried. throughout its history. To maintain its Superior Court in December 2019. during which the managers said ruling is its priority. And today’s crisis is In his complaint, Pham states the app should be removed from unprecedented. that in 2018, he was criticized by the App Store because it was criti- Self-Affirmation Xi’s demands are to protect both the Party his Apple managers for approving cal of the Chinese regime. Pham According to state-run media Xinhua’s re- and his personal power. It seems that al- an app by Guo Media because it argued that the app didn’t violate port, during the Dec. 11 Politburo meeting, though he thought he had a way to save was “critical of the Chinese gov- any of Apple’s policies regarding officials discussed the Party’s anti-corrup- himself, he is still extremely worried. He ernment.” Guo Media is a website app content, as it merely published tion investigations. refused to admit his mistakes, but he could created by Guo Wengui, a dissident claims of corruption in the CCP, Xinhua’s report quoted Xi as saying: not really resolve the internal and external Chinese businessman exiled in the and therefore should remain in the “Faced with a complex and volatile envi- conflicts. He could only use “security” as United States and wanted by Bei- store as a matter of free speech. ronment internationally and formidable an excuse to suppress the internal conflicts jing on alleged economic crimes, Pham also told managers at the tasks in promoting reform, development, Chinese Communist Party recent meetings, according to state media’s Raise the Anti-Corruption Issue Again ward new requirements for the compre- further. Can he really survive this crisis? who’s known for making allega- meeting that removing the app due and stability at home, especially the se- officials applaud as leader accounts. This abnormal phenomenon Xi’s remarks at the Dec. 11 meeting must hensive and strict governance of the Party, tions about massive corruption at to Chinese regime pressure would vere impact of the COVID-19 epidemic, Xi Jinping delivers his could be interpreted as either the Party serve another important purpose: to shut [how to] construct a … clean government, Zhong Yuan is a researcher focused on the highest levels of the Chinese be caving into censorship, accord- speech commemorating China has achieved progress that is sat- the 70th anniversary of could not come up with a solution, or the everyone up. And it takes the “big stick” and fight against corruption,” Xinhua re- China’s political system, the country’s Communist Party (CCP) leadership. ing to the complaint. He asked isfactory to the people and has attracted the Chinese army entering internal disputes were simply too big to of the Party’s anti-corruption agency, the ported. democratization process, human rights The claims illuminate how the repeatedly if the managers could global attention.” North Korea, at the Great be revealed. Central Commission for Discipline Inspec- Reading between the lines, officials at situation, and Chinese citizens’ livelihood. tech giant navigates its relationship provide a justification to block the Xi of course had to praise his own “high- Hall of the People in Xi also hosted a forum on Dec. 8 for non- tion (CCDI), to achieve this. all levels will understand that this means He began writing commentaries for the with the Chinese regime, which app based on the company’s own quality work.” It’s meant to ease any inter- Beijing on Oct. 23, 2020. Party members. But his comments at the fo- The interesting part about Xinhua’s re- anyone who dares to go against the Xi lead- Chinese-language edition of The Epoch notoriously forces Western firms to policies and procedures, but they nal complaints. rum were not published by Xinhua until Dec. port is that though a large portion of the ership will undoubtedly become a political Times in 2020. comply with censorship and sur- couldn’t. Interestingly, the biggest problems cur- 11—when the Politburo meeting took place. remarks was about the economy, anti- target. The phrases to describe CCDI’s tasks veillance requirements as a condi- He later had a meeting with his rently facing the CCP’s top leaders—un- His comments were along the same lines. corruption was outlined as the number have also changed from “anti-corruption” Views expressed in this article are the tion of market access. Apple relies supervisor about the same topic, doubtedly U.S.-China relations and inter- The timing suggests Xi had an ulterior one issue on the list. to “political inspection” and “investigating opinions of the author and do not neces- heavily on the Chinese market, its during which Pham reiterated why national relations—were not discussed at motive for this aside from the self-praise. The meeting emphasized “putting for- political issues.” With this great stick, no sarily reflect the views of The Epoch Times. third-largest market by revenue. the app should remain in the store. Pham also told co-workers about these meetings and that Apple was seeking to censor a Chinese dis- sident under pressure from Beijing, ANALYIS Apple regularly takes down the complaint stated. apps from its App Store The former employee believed in China at the request of that the real reason Apple created the coaching plan was to “appease” Sina’s US Stock Market Departure Could Herald Wave of Chinese Delistings Chinese authorities, and also the Chinese government. The plan proactively blocks hundreds was “Apple’s message to China that WANG ZHAO/AFP via Getty Images of apps that are politically it in fact did not approve an App Fan Yu the variable interest entity (VIE) struc- Weibo has been subject to intense regu- Other Chinese technology firms, includ- created by Guo,” the complaint The signage of Sina Weibo ture. U.S. investors would buy shares in a latory and censorship pressure. Recently, ing JD.com and NetEase, have pursued sensitive to Beijing, according said. The company then sought Chinese internet firm Sina Corp. agreed to displayed in Beijing on Cayman Islands or British Virgin Islands- influencers were forced to leave the plat- secondary listings this year in Hong Kong. to an analysis by the Tech to punish Pham for speaking out go private and delist from the Nasdaq stock April 16, 2014. Its parent registered holding company, which then form if their commentary was deemed to With the impending U.S. law, and with- against censorship, it added. company Sina, which was Transparency Project, a U.S.- market, 20 years after its landmark U.S. IPO listed on the Nasdaq stock contracted with China-domiciled entities be inappropriate by the Chinese commu- out an accounting and auditing disclosure based nonprofit. Pham was fired in March 2019. that led to a wave of Chinese companies exchange, will be going to earn revenue. nist regime. agreement between China and the United Apple didn’t immediately re- listing their shares in the United States. private. This practice was followed in subsequent, States, Chinese companies could be con- spond to a request by The Epoch Sina’s decision was crystallized after an more high-profile IPOs such as those of More Delistings May Be Ahead sidering consolidating their publicly traded The former employee said that his Times for comment. entity led by its chairman, Charles Chao, Alibaba, JD.com, and Baidu. Because of growing scrutiny from U.S. reg- shares in Hong Kong in the future. managers stepped up scrutiny of his A judge in November ruled that sweetened the acquisition offer to $43.30 The VIE structure allowed Chinese com- ulators, several Chinese technology firms The Chinese Communist Party doesn’t work after he lodged an internal dis- the lawsuit could proceed after Ap- a share. New Wave Holdings, the entity panies to bypass Beijing rules and enabled have delisted from U.S. stock exchanges allow U.S. regulators such as the Securi- crimination complaint in September ple sought to have some of Pham’s making the takeover bid, increased its of- entities to raise hundreds of billions of dol- or turned to other markets to raise capital ties and Exchange Commission (SEC) to 2017, according to the court com- causes of action tossed out. fer from its initial one in July of $41 a share. lars in U.S. capital and hundreds of millions in 2020. President Donald Trump signed perform audit inspections of U.S.-listed plaint. They later conducted an audit Apple has previously drawn of dollars in fees for U.S. banks and law into law a measure that would require Chinese companies. These audit inspec- of a sample of Pham’s app reviews criticism for bowing to the Chinese Inglorious End of a Trailblazer firms assisting in the IPOs. foreign companies to adhere to the same tions were set up in 2002 to prevent fraud, from July to September 2018, and regime’s censorship demands. Sina, which was founded in 1998 by a group Sina’s big break came in 2009 with its accounting and disclosure standards as after high-profile accounting scandals in gave him a “Documented Coaching Last year, the company pulled of software engineers, began as an internet launch of Weibo, a Chinese microblogging other public U.S. companies, or face delist- the early 2000s engulfed companies such Plan,” which included reviews that HKmap.live, an app used by Hong portal. website similar to Twitter. In the same year, ing from U.S. exchanges. Companies have as Enron Corp. and MCI WorldCom. were allegedly done in error. Kong pro-democracy protesters to Sina went public in New York in April Twitter was banned in China by commu- three years to comply. China’s Luckin Coffee is the highest-pro- The plan identified Pham’s most track the city’s police activity, from 2000 during the dotcom heyday, becoming nist authorities. At least a dozen New York-listed Chinese file Chinese company to be caught up in a serious error as approving the Guo its App Store. Protesters decried the the first Chinese company to list its shares After Weibo was taken public on Nasdaq companies have approved take-private fraud scandal, leading to it being delisted Media app, which was forbidden move as an example of the compa- in the United States. Its initial public of- in 2014, the child quickly overshadowed its deals to delist from the stock market, in- this year from Nasdaq. from the Chinese version of Apple’s ny caving to pressure from Beijing, fering was quickly followed by Chinese parent. Weibo’s market capitalization was cluding a few major names. Prior to the new law, for almost two de- App Store, according to the lawsuit. although Apple said the app was internet giants Sohu.com and NetEase in four times that of Sina, which owns about Sogou Inc. in July accepted a takeover cades, Chinese companies have been subject Apple regularly takes down apps removed because it was a risk to the same year. 45 percent of Weibo. bid from Tencent Holdings in a $2 billion to lower transparency and auditing stan- from its App Store in China at the public safety. The company was a pioneer, using an Over time, Sina’s other ventures, includ- deal, while China’s biggest classified ads dards compared to U.S.-listed companies. request of Chinese authorities, and Around that time, Apple also unusual structure to get around China’s ing social media and online finance, have website 58.com Inc. was bought out by a “This is China and the Chinese stock also proactively blocks hundreds of removed the Quartz news app laws prohibiting foreign ownership of its At least a dozen New York-listed Chinese companies have largely languished in the shadows of much group of private equity firms, including promotion, manipulation fraud machine apps that are politically sensitive to from its Chinese App Store after internet companies. Since Sina’s 2000 IPO, bigger rivals; the company itself became General Atlantic and Warburg Pincus, in laughing in the face of the SEC,” China Beijing, according to an analysis by receiving complaints from Beijing almost all of China’s technology companies approved take-private deals to delist from the stock market, something of a Weibo valuation arbitrage a deal that valued the company at close to short-seller Carson Block told Bloomberg the Tech Transparency Project, a over its coverage of the protests in followed a similar listing structure, called including a few major names. play in the eyes of investors. $9 billion. TV in a recent interview. U.S.-based nonprofit. Hong Kong. 8 | CHINA INSIDER Week 53, 2020

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