China, ASEAN Approve Sea Code

Nation Depth of Field Life Business Clean New desert Printing Gold reserves start roots the past to surpass 6 12-13 18 4,000 tons B1

www.globaltimes.com.cn VOLUME 9 • NO. 2359 • MONDAY AUGUST 7, 2017 PRICE 2 YUAN

Chinese Foreign Minister Wang Yi is surrounded by journalists at the 50th ASEAN Foreign Ministers’ Meeting and its dialogue partners, in Manila, Philippines on Sunday. Photo: AP  Important achievement in jointly managing differences: experts China, ASEAN approve sea code

By Cao Siqi jointly managing their differences and The framework, which was negoti- Bolivar had earlier said the frame- easing tensions in the disputed waters, ated by China and ASEAN, will help work is one of the major outcome docu- The approval of the framework of the Chinese experts said. both sides move forward in negotiating ments of the week-long ASEAN ministe- Code of Conduct (COC) in the South Foreign ministers from ASEAN an effective code of conduct, the Xinhua rial meetings that began on Saturday. China Sea marks an important achieve- and China approved the framework, News Agency reported Saturday, quot- Compared to the Declara- ment for China and the Association of Chinese Foreign Minister Wang Yi said ing Robespierre Bolivar, Philippine for-  2 tion on the Conduct of Par- Southeast Asian Nations (ASEAN) in on Sunday. eign affairs department spokesman. US ties in the South China Sea

Nation to be self-sufficient in organ transplants Inside

Top News: China’s FM calls for restraint 3 By Li Ruohan in Kunming tion Conference on Saturday in Martí Manyalich, president of Nation: Govt to regulate prime time broadcasts 4 Kunming, Southwest China’s the International Society For World: US ready to continue dialogue: Kremlin 7 China is expected to be self-suf- Yunnan Province. Organ Donation and Procure- ficient in organ transplants by “My prediction is [that in] ment, who has been involved World: Venezuela names new prosecutor 8 2030, an international expert 2020, China will be number in the training of around 500 Asian Review: Tillerson may not bring ASEAN, US closer 15 said at a press conference on one in the world in number organ coordinators the sidelines of the China Or- of organ donors, and in 2030,  2 in China during the Forum: Russia, US heading toward new Cold War? 16 gan Donation and Transplanta- you can be self-sufficient,” said Foreign past five years. Business: China’s level of debt remains ‘under control’ B2

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地址：北京市朝阳区金台西路2号环球时报社英文版 ● 邮政编码：100026 ● 国内统一刊号：CN11-0272 ● 国际标准刊号：ISSN 2095-2678 ● 邮发代号：1-181 2 Monday August 7, 2017 TOPNEWS Foreign experts blame US interests can’t manipulate cult for spreading other nations in region: expert baseless organ rumors Nation, from Page 1

China, from Page 1 be discussed,” Zhu said. and involve several interest groups. Facing a shortage of qualified transplant sur- What’s more important is that Therefore, it is difficult to arrive at geons and hospitals, which has led to a waste of (DOC) signed in 2002, the frame- the COC highlights the significance a consensus on how to refer to the donated organs, China has vowed to train more work’s approval is a substantial step and feasibility of China’s “dual-track disputes. But Zhang added he re- doctors and increase the number of qualified hos- toward making the declaration bind- approach,” which means that South mains optimistic about the upcom- pitals from the current 173 to 300 by 2020. ing, Zhu Feng, an international rela- China Sea disputes should be ad- ing communiqué as Southeast Asian The number of organ donors in China is ex- tions professor at Nanjing University, dressed through negotiations and countries have realized that resorting pected to rise to around 5,000 this year from 34 told the Global Times, adding that consultations among the countries to outside forces does no good to re- in 2010 when the voluntary donation system was this is an important achievement of directly concerned, and China and gional peace and development. introduced, said Huang Jiefu, a former Chinese China and ASEAN in the last 15 years. ASEAN countries should work to- Since 2016, the related parties vice-minister of health and current head of the The framework was agreed upon gether to safeguard peace and sta- have agreed to set up a senior diplo- National Human Organ Donation and Trans- in May during a senior officials’ meet- bility in the South China Sea, Zhu mat hotline to cope with maritime plant Committee. ing on the implementation of the added. emergencies and apply the Code for Around 300,000 patients in China are in need DOC in Guiyang, Southwest China’s Echoing Zhu, Zhang Yuquan, an Unplanned Encounters at Sea in the of transplant surgeries every year but only 16,000 Guizhou Province. Under the agree- expert on South China Sea studies at South China Sea, which would help of them are estimated to be able to receive surger- ment, all parties are obliged to reach a the School of International Relations cement trust and avoid unexpected ies this year, said Huang. final COC to build a South China Sea of Sun Yat-sen University, said ties issues. Also at the meeting, international organiza- of peace, friendship and cooperation. between China and the Philippines Meantime, US Secretary of State tions, including The Transplantation Society have improved in recent years, which Rex Tillerson is traveling to the (TTS) that once excluded Chinese surgeons from Code’s significance have laid the foundation for the Philippines, Thailand and Malaysia its membership and academic exchanges have However, some overseas me- COC’s approval. “This is a huge step from Sunday to Thursday, Reuters for the first time openly encouraged China’s india have raised questions about the forward and its practical significance reported. Tillerson will participate in volvement with global transplant activities and COC’s practical significance, quoting will surface in the near future.” meetings in Manila and discuss the scientific exchanges at the conference. experts as saying that the non-legally However, Southeast Asian foreign “denuclearization of the Korean Pen- “I have every confidence that the progress of binding document would be a politi- ministers failed to issue a communi- insula, maritime security, and coun- reform will be sustained, and the objective of cal agreement much like the DOC, qué at the end of Saturday’s meeting. terterrorism.” increasing the number of organs available for and is not a breakthrough between Bolivar gave no reason for the delay “It is a good reminder to the US transplantation are done equitably and fairly, and China and ASEAN on South China and said the statement would instead that its interests cannot replace other will be realized,” said Francis Delmonico, former Sea disputes. be released at the end of a series of countries’ interests nor can it ma- president of TTS and a Harvard Medical School “The COC was a pivotal milestone regional events hosted by Manila in nipulate others. The approval will professor. for further talks on South China Sea the next few days, Reuters reported. remind the US that it should view The change comes after China banned the use disputes. In the future, how to turn it Zhang said that South China South China Sea issues from a practi- of organs from executed prisoners in 2015. The into a binding international law will Sea disputes are very complicated, cal perspective,” Zhu said. practice was misinterpreted by overseas groups, such as the Falun Gong, to fabricate baseless rumors against China, international experts said Oh Canada! during a heated discussion at the Saturday press conference.

Cult’s cause “There’s no evidence of any Falun Gong prac- titioner being executed and having their organs removed,” Campbell Fraser, an international human organ trade expert from Griffith University in Australia, told the Global Times. The whole existence of Falun Gong is based on the so-called organ harvesting claims, which are based on falsified data, said Frazer, who also made the statement at a June hearing at the Aus- tralian parliament. Some practitioners complained of having their blood tested during detentions, but in reality blood testing is a routine practice in many countries to prevent the spread of communicable diseases, said Fraser. The baseless claim that China still uses organs from executed prisoners is still made by international media, as a Friday report by AFP shows. According to Frazer, the Falun Gong group is merely using people to “try and further a political A girl who illegally crossed the US-Canada border with her family, claiming refugee status in Canada, looks objective upon the request of a group of primarily through a fence at a temporary detention center in Blackpool, Quebec on Saturday. Canadian Prime Minister US-based political activists who are working to try Justin Trudeau has promised that his government would redouble efforts to handle the influx of migrants illegally and destabilize the Chinese government.” entering the country from the US to seek asylum. Photo: AFP Frazer said that his own experience of being attacked by the group, such as receiving three for- mal complaints at his university and protests at his house against his research about Falun Gong, China prepares for Trump visit: foreign minister makes it clear that Falun Gong is a cult. “Now no one up here has any evidence that supports the Falun Gong claims. If we had, we China is preparing for US President could help push Sino-US relations upcoming law enforcement and cy- wouldn’t be up here,” said Phillip O’Connell, for- Donald Trump’s visit to the country forward and maintain a healthy mo- bersecurity dialogue and the social mer president of TTS. within this year, Chinese Foreign mentum. and cultural issues dialogue. “The opaque transplant system before China Minister Wang Yi said on Sunday in Wang said he and Tillerson both launched the reform led to the spread of the ru- Manila. spoke positively about developments Global Times mor, as wild accusations become a possibility Wang told reporters after meet- and the result of the diplomatic and when people have no access to data. However, ing US Secretary of State Rex Tiller- security dialogue and the compre- Page Editor: since the reform, it’s become more open, and [email protected] son that both sides are working on hensive economic dialogue. He said openness brings reassurance and trust,” he add- Trump’s China visit and hope the trip both sides are looking forward to the ed. Monday August 7, 2017 3 TOPNEWS

US Ambassador Singapore strips to the UN Nikki Haley Chinese-American speaks after voting on a scholar of ‘green card’ US-drafted resolution imposing By Deng Xiaoci tougher sanctions Singapore has stripped a Chinese-American aca- on North demic of his permanent residency, accusing him Korea, at UN of influencing Singapore’s foreign policy and Headquarters public opinion, a move that Chinese experts said in New York, was “rare and odd” and showcases the new Sin- on Saturday. gaporean government’s poor strategic thinking The resolution ability. imposes a ban Huang Jing, 60, was the director of the Cen- on exports tre on Asia and Globalization and Lee Founda- aimed at tion Professor on US-China Relations at the Lee depriving Kuan Yew School of Public Policy (LKYSPP) of Pyongyang the National University of Singapore. He will be of $1 billion permanently banned from entering Singapore to- in annual revenue. Photo: gether with his wife, Shirley Yang Xiuping, the AFP Singaporean Ministry of Home Affairs (MHA) announced on its website Friday. The couple are US citizens, and the decision is the first to be made public in nearly two decades, the Strait Times reported on Friday. “Huang used his senior position at the LKYSPP to deliberately and covertly advance the agenda of a foreign country at Singapore’s ex-  pense. He did this in collaboration with foreign UN Security Council approves new NK sanctions intelligence agents,” the ministry said. “This amounts to subversion and foreign interference in Singapore’s domestic politics. Huang’s continued presence in Singapore, and China’s FM calls for restraint that of his wife, is therefore undesirable,” according to the MHA. The ministry has not identified the country Huang is working for. By Yang Sheng lution 2371 which imposed new sanc- and resumption of six-party talks are Such a public announcement expelling an tions on North Korea for ignoring important, and neither should be ne- academic is rare, as it often only applies to diplo- China stressed Sunday that sanctions previous resolutions and its recent in- glected, Wang said on Sunday. matic personnel, Zhu Lijia, a professor of public on North Korea and the resumption tercontinental ballistic missile tests, He added there are two major management at the Chinese Academy of Gover- of six-party talks are both important Xinhua reported. components in the resolution – one, nance, told the Global Times on Sunday. and should not be neglected, follow- The resolution would ban North to respond to North Korea’s constant It is also ironic, as Singapore is a country that ing the unanimous approval by the Korean exports of coal, iron, iron ore, missile tests, which have violated UN takes much pride in its freedom of speech and UN Security Council on Saturday of lead, lead ore and seafood. It would Security Council resolutions, to ef- open-mindedness, and the country’s policy can- a sanctions resolution on the North also prohibit countries from increas- fectively check North Korea’s nuclear not be simply influenced by a professor or his Korea on its most recent missile tests. ing the current numbers of North and missile development programs, “privileged information,” Zhu added. Perhaps Chinese Foreign Minister Wang Korean laborers working abroad, ban and two, to restart six-party talks. Huang said something which conflicts with Sin- Yi on Sunday called on North Korea, new joint ventures with North Korea The most difficult part in restart- gapore current political weather, Zhu said. the US and South Korea to exercise and any new investment in current ing six-party talks is building a su- Yang Rui, the host of a talk show on CCTV restraint and make the right choices, joint ventures, Reuters reported. pervisory mechanism under the UN News, said on his Sina Weibo account on Satur- the Xinhua News Agency reported. “It usually takes more time for the Security Council, Lü Chao, a Korea day that “it is not clear if Singapore is suppress- They should be accountable to UN Security Council to adopt a reso- expert at the Liaoning Academy of So- ing freedom of speech. But Huang’s speech their people and regional peace in lution, but this time the UN Security cial Sciences, told the Global Times must have antagonized the relevant government, making such choices, Wang noted. Council reached the agreement in on Sunday. leading to his deportation.” Yang referred to a He made the remarks during his just a week. And the sanctions are While the six-party talks failed Shenzhen TV station talk show program which meeting with his North Korean coun- much stricter, which proves that the to achieve a peaceful solution, both showed Huang criticizing Singapore for making terpart Ri Yong-ho on the sidelines international community shares a North Korea and the US have violated strategic mistakes between China and the US. of foreign ministers’ meetings in the higher consensus than before in op- the agreement, Lü said. Huang called the act “nonsense,” asking “why Philippines. posing nuclear proliferation in the The six-party talks, which involve didn’t Singapore identify which foreign country Wang also told Ri that North Korea peninsula,” said Wang Junsheng, a North Korea, South Korea, the US, it is referring to,” South China Morning Post re- should stay calm on the UN new res- research fellow on East Asian Stud- China, Russia and Japan, started in ported. olution, and avoid conducting further ies at the Chinese Academy of Social Beijing in August 2003, but have nuclear or missile tests. Sciences. stalled since December 2008. Page Editor: [email protected] The UN Security Council on Sat- Both sanctions against North Ko- North Korea dropped out of the urday, unanimously approved Reso- rean nuclear and missile programs talks in April 2009. China denies reports a foreigner will run world’s largest radio telescope

The Chinese Academy of Sci- Pingtang county, Southwest The US newsmagazine the cankaoxiaoxi report was no and Chinese scientists will use ences (CAS) denied US me- China’s Guizhou Province, and Newsweek reported on its web- longer accessible as of press it for early-stage research before dia reports that China plans that the post of FAST chief sci- site on Thursday that China is time on Sunday. it is opened to international sci- to hire a foreigner to run the entist was filled when the proj- offering a $1.9 million research The world’s largest radio entists, Peng Bo, director of the world’s largest radio telescope ect was launched in July 2016. grant and free housing plus telescope was completed in July NAO Radio Astronomy Tech- in Southwest China’s Guizhou However, the CAS has not other perks for the foreigner- 2016, when the remaining of nology Laboratory, was quoted Province. identified the chief scientist. only job. 4,450 panels were installed in by Xinhua as saying. The CAS said on its Sina We- CAS said it will continue An image of news site can- the big dish, the Xinhua News Scientists can also engage ibo account on Saturday that no to support, and encourage the kaoxiaoxi.com, which cited the Agency reported. in remote observations in other such recruitment exists for the participation of top Chinese report and translated it into In the first two or three years cities, Peng said. Five-hundred-meter Aperture and international scientists in Chinese, is attached to the post. in operation, the telescope will Spherical Telescope (FAST) in FAST-related work. However, the original page of undergo further adjustments, Global Times 4 Monday August 7, 2017 NATION  Entertainment programs with vulgar content face restrictions Govt to regulate prime time broadcasts

By Zhao Yusha not be broadcast during prime In April, Jinri Toutiao, or ple’s reputation. media expert with the Commu- time. “Today’s Headlines,” one of the Among the list is Zhuo Wei, nication University of China. China will restrict the broadcast Moreover, programs should most popular mobile news apps dubbed as China’s No.1 pa- “Without careful examina- of entertainment TV programs invite distinguished celebrities in China which claims to have parazzi. With 7 million follow- tion, these foreign programs and reality shows during prime with high artistic and moral more than 63 million readers ers before the account was shut could easily deliver negative or time, a move aimed at contain- standards, which will have an per day, was found to be regu- down, Zhuo created a wave on harmful messages about our ing vulgar contents on televi- educational value for the soci- larly sharing eye-catching pho- Sina Weibo in June by reveal- country, which will have a huge sion and spreading positive ety, said the report. tos of sexy girls that were linked ing that actress Bai Baihe was social impact,” said Luo. energy. TV programs which educate to a live-broadcasting platform “secretly dating” and “flirting” In its answer to a netizen’s China’s State Administra- the public about public wel- named Huoshan Zhibo, which with a young male model in question about why Canadian tion of Press, Publication, Ra- fare, culture and economy or was later found to contain por- Thailand. The “extramarital af- celebrity Justin Bieber was dio, Film and Television (SAP- those featuring Chinese culture nographic content, reported fair” soon dominated the enter- banned from performing in PRFT) issued a notice recently, should be encouraged to be China Central Television. tainment headlines. China, the Beijing Municipal saying that the time for broad- broadcast during prime time, Also, the hyping of pop stars Apart from these programs, Bureau of Culture said in July casting entertainment pro- said the SAPPRFT. is not in accordance with pro- SAPPRFT also said that pro- that “as far as we know, as a grams, such as variety shows “These policies are very nec- moting socialist core values as grams with foreign elements celebrity, he frequently mis- and reality shows, should be essary because they will effec- the paparazzi always highlight should also not appear during behaves in his social life and regulated in order to contain tively regulate China’s current the sexual, violent and immoral prime time. performances, which has ag- the hyping of pop stars, the chaotic entertainment market, side of these celebrities, said The government should grieved the public.” Bieber be- People’s Daily said in a report which prioritizes eye-catching Wang. scrutinize programs that pro- came controversial in China for on its WeChat public account contents,” said Wang Sixin, a In June, Sina Weibo closed mote foreign culture and pro- visiting the Yasukuni Shrine, a Saturday, adding that TV series law professor at the Communi- 19 accounts that fabricated ru- grams which are made in for- symbol of Japan’s militarism, with sensitive topics should cation University of China. mors and damaged other peo- eign countries, said Luo Ping, a in 2014.

Making salt at sunrise Democratic rights and Workers in a salt field begin their work as the sun rises in freedoms in West on Quanzhou, East China’s Fujian Province on Sunday. Photo: CFP decline: commentary

A commentary in the People’s Daily, the flagship newspaper of the Communist Party of China, said that the democratic rights and citizens’ freedom in Western countries have witnessed a continuous declination, in a bid to prove the superiority of socialism over capitalism. Luo Wendong, a scholar from the Chinese Academy of Social Sciences, wrote in the People’s Daily on Sunday that the political dilemma and retrogression of democracy in Western countries are no coincidence but a sign that the crises of modern capitalism have spread from economic fields to politics. Luo wrote in the article that the co-existence of both manipulation and rejection of populism has brought democracy in Western nations to a dead end. He noted that the multi-party system – with rotation in power, their fights over benefits and their attacks on one another – has caused continuous political instability. “From the perspective of the system of government, party competition often leads to political Tianjin vows to crack down on pyramid schemes infighting. The separation of powers has trans- formed into a system of political impediments. ‘Veto politics’ repeatedly takes center stage, ham- Tianjin has vowed to use all means legal pyramid schemes. And the city CV to a fake company on zhipin.com pering governments’ ability to respond to major to crack down on illegal pyramid will conduct checks on apartments on May 15, which only interviewed Li economic and social problems in a timely man- schemes after a college graduate, for rent to gather information about by phone and required him to report ner, or even causing government dysfunction,” who was reportedly hired by a pyra- pyramid scheme groups, read the re- to the company on May 20, education Luo wrote. mid scheme through a job site, was port. technology media JMDedu reported He further stated that the principle of “all men confirmed dead in Jinghai district in The media should publicize the on Wednesday. are equal before the law” has become a castle in Tianjin, media reported on Sunday. operation to encourage people to Zhao said that more pyramid the air, and that the despotism and rule of men Zhao Fei, secretary of the Commu- disclose information on pyramid schemes have been noticed in Jinghai with big capital in Western countries is dominat- nist Party of China Tianjin Municipal schemes, read the report, adding that district in recent years despite the lo- ing the democratic systems. Committee of Politics and Law, said the residents who offer tips to regula- cal government’s increased efforts to “The chaos in the West strongly contrasts the in an urgent meeting that the city will tors would get rewards. crack down on them. order in China. The socialist system has revealed launch a 20-day operation to crack The operation was launched af- “The incident of Li showed that great advantages in comparison with capitalism,” down on illegal pyramid schemes, ter Tianjin police confirmed that Li more should be done to clamp down he wrote. and it won’t rest until all of them are Wenxing was found dead in a puddle on pyramid schemes as the problem wiped out, local news site tjcaw.com in Jinghai district on July 14. Police has become serious … we should Global Times reported on Sunday. suspect Li was lured into a pyramid eradicate the problem in consider- Tianjin would organize a special scheme before he died. ation of social stability,” Zhao said. Page Editor: team from the public security bu- The 23-year-old graduate student [email protected] reaus to arrest those involved in il- of Northeastern University sent his Global Times 7 2 0 1

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Filipino workers sit outside in Central, Hong Kong in June. Photo: CFP

Clean Start

By Deng Xiaoci  workers waiting in the Philippines for Proposed plan for Filipino hire. According to their latest update, fficials have yet to verify wide- five workers, aged from 23 to 43, are spread media reports of a plan household helpers to work in China now available. Othat would allow Filipino maids Profile photos and video resumes and other domestic workers to be could boost ties, say experts include education backgrounds and employed legally in Chinese cities such employment history. as Beijing and Shanghai for higher surprise, said Zhu Lijia, a professor in the Chinese mainland, because they Most have college degrees and salaries. of public management at the Chinese think China’s economy is growing fast,” overseas work experience in cities and But Chinese experts welcome such Academy of Governance, because it is a Philippine national identifying only as regions such as Singapore, Dubai and a move, claiming it would help curb meeting market demand. “Diwan” told the paper. Hong Kong. the existing and often chaotic illegal “Filipino HSWs would fill a gap Diwan had worked as a HSW in “You should first ask your company labor market for Filipino household in China’s domestic services market, Hong Kong for 11 years before mov- to provide a work permit before you service workers (HSWs) in China while where domestic workers are in short ing to Beijing in 2008 and opening a make any reservation,” a company em- deepening bilateral ties between Beijing supply,” Zhu told the Global Times on household services training center. ployee told the Global Times reporter and Manila. Thursday. “Some would try their luck in China posing as a prospective employer on Five cities would pilot the proposed While market forces will most likely even without getting a job first, because Thursday. plan, including Beijing, Shanghai keep salaries to around the domestic they think they can make a fortune The minimum is a two-year contract and Xiamen, to hire Filipino HSWs, monthly average (between 6,000 and here,” she added. with a 7,800-yuan fee upon signing, the Dominador Say, deputy head of the 8,000 yuan), the plan will help shore Monthly salaries start between employee said. Philippines’ Department of Labor and up bilateral ties between Beijing and 6,000 and 8,000 yuan for inexperi- Li Sheng, another agent, told the Employment (DOLE) told The Philip- Manila following the South China Sea enced workers and can reach as high as Global Times he charges a 25,000 yuan pine Star on July 30. dispute in the past, Zhu added. 15,000 yuan, Diwan said. commission for any hires to cover tour- Monthly salaries would be around ist visa fees, while the HSW stands to 13,000 yuan ($1,932), Say told the Star, Perks to work Dirty deals make 7,500 yuan a month. adding a Chinese delegation would go Filipino HSWs, known as feiyong in As HSWs increasingly become an According to Professor Zhu, legal- to the Philippines to continue talks on Chinese, have long been sought out in affordable option for Chinese families, izing the industry would do much to the plan in September. Hong Kong for their work ethic and high demand has resulted in a black eliminate risk. However, Li Lingxiao, a spokesman professionalism. market plagued with intermediaries “Before HSW employment is legal- for the Chinese Embassy in the Philip- However, the majority are working and agents. ized, the market will be chaotic with pines, told the Global Times on July 31 illegally. “Favorite Employment Co,” a no standard rates, while the interests it was not aware of the plan. According to the Yangtze Evening WeChat account that claims to be a of both Philippine workers and their Say later insisted to the South China Post on August 2, almost all HSWs Beijing-based agency, targets Chinese Chinese employers will remain unpro- Morning Post that China is mulling initially enter China on a tourist visa, companies seeking to hire Filipino tected,” Zhu said. the employment scheme, but called the then overstay and work without the HSWs. “Chinese authorities would provide 13,000 yuan figure incorrect. legal permits. The agency updates the account oversight of the market to vet out shady Such a proposal should come as no “Most would love to come to work almost every month with profiles of or fraudulent agents,” Zhu added. China’s newest deep-sea submersible prepares for 4,500-meter dive

China’s first domestically- the new submersible. its maximum 4,500 meters. Jiaolong, is designed to explore Chinese scientists that were made manned submersible The submersible docked Tests are expected to last international waters and reach made in China. will be tested at sea in mid- with its mother ship, Explorer, three months. depths of 7,000 meters. China plans to build a August and is expected to be on Thursday, completing a The vessel, which has yet While both are similar in manned deep-sea submersible put into use next year, media three-day trip from Wuxi, Ji- to be officially named, aims appearance, the newest vessel capable of reaching 11,000 reported on Sunday. angsu Province to Guangzhou, to meet China’s ambitions to is equipped with five observa- meters by 2020. Technicians for the sub- China National Radio (CNR) explore and develop the South tion windows, two more than mersible, capable of reaching reported on Sunday. China Sea, as well as carry out its predecessor, and more Global Times a depth of 4,500 meters, are According to chief designer research of phenomenon such efficient battery systems. making final preparations Hu Zhen, the submersible as hydrothermal vents and cold Hu said that 90 percent of Page Editor: liucaiyu@ before it enters the sea, said Ye will be tested at 300, 1000 and seep, Hu said. the new vessel’s core com- globaltimes.com.cn Cong, deputy chief designer of 3,000 meters before diving to Its sister submersible, the ponents were developed by 7 WORLD Monday August 7, 2017 u Lavrov holds ﬁ rst face-to-face meeting with Tillerson after new sanctions US ready to continue dialogue: Kremlin

Russian Foreign Minister Ser- sian sanctions,” Lavrov said. in an interview to Russian TV logue. I think there’s no alter- see what impression the US gei Lavrov said on Sunday he The meeting was their fi rst on July 30, explained Moscow’s native to that,” Lavrov said. special envoy has on the cur- believed his US colleagues were since President Donald Trump need to retaliate to the US sanc- The two sides agreed that rent state of aff airs,” Lavrov ready to continue dialogue with reluctantly signed into law tions over its role in the Ukrai- Russian Deputy Foreign Minis- said. Moscow on complex issues de- the sanctions that Russia said nian crisis and recently expand- ter Sergei Ryabkov and Under Washington sent Volker spite bilateral tensions. amounted to a full-scale trade ed punishment of Russia for Secretary Thomas A. Shannon to Ukraine in July to assess Lavrov, who met US Secre- war and ended hopes for better meddling in the US presiden- would continue discussing the situation in the ex-Soviet tary of State Rex Tillerson on ties. tial election. complex issues on the bilateral republic, where a 2015 cease- the sidelines of an international “We provided an explana- Lavrov described his talks agenda. fi re between Kiev’s forces and gathering in Manila, said the tion,” Lavrov said, referring to with Tillerson as lengthy and Speaking on Rossiya-24 Russian-backed separatists in fi rst thing that Tillerson asked Russia’s decision to take over said they covered a wide range state TV, Lavrov also said Til- the eastern part of the country about was Russia’s retaliation a summer-house compound of topics, from the nuclear is- lerson told him the US’ spe- is regularly violated. to new US sanctions against in Moscow leased by the US sue on the Korean peninsula cial representative on Ukraine, Washington cites the confl ict Moscow. embassy and an order to slash to coordination plans between Kurt Volker, a former US envoy as a key obstacle to improved “He was primarily interested US diplomatic presence in Russia and the US to withstand to NATO, would meet a senior relations between Russia and ... in details of those decisions Russia. attacks. aide to Putin, Vladimir Surkov, the US. that we grudgingly made in re- Lavrov said he also cited “We felt the readiness of our “in the nearest future.” sponse to the law on anti-Rus- President Vladimir Putin who, US colleagues to continue dia- “We would be interested to Agencies uRemembering catastrophe Chinese tourists detained in Berlin for Hitler salute

Two Chinese tourists were detained in Berlin for making the straight-armed Hitler salute for photos in front of the Reichstag parliament building, a police spokesperson said on Sunday. These two Chinese tourists were spotted by offi cers on a routine patrol on Saturday snap- ping smartphone pictures of each other posing with the banned gesture outside the historic landmark in the heart of the German capital. “A probe on suspicion of using the symbols of anti-constitutional organizations was opened against the two Chinese men, aged 36 and 49,” the spokeswoman told AFP. The pair were questioned at a local police station and released after paying 500 euros ($589) bail each. Using the symbols of anti-constitutional organizations, a charge frequently leveled against Residents light incense sticks to off er prayers for victims of the August 6, 1945 atomic bombing at Hiroshima members of far-right groups, can carry a sentence Peace Memorial Park in Hiroshima, western Japan, in the early morning on Sunday before the memorial ceremony. of up to three years in jail sentence or a fi ne ac- Hiroshima marked the 72nd anniversary of the atomic bombing. Photo: IC cording to German laws. The spokesperson said the men could leave the country during the investigation and that if a fi ne is handed down, the bail money they had UK prepared to pay 40bn euro Brexit bill: report already paid would likely cover it. The Reichstag housed the assemblies of the German Empire, the inter-war Weimar Republic Britain is prepared to pay up to 40 bil- in Britain and the Irish border issue, Prime Minister Theresa May’s and Nazi Germany until it was destroyed by a sus- lion euros ($47 billion) to the EU to before any talks can start on a free government refused to comment picious fi re in 1933. settle its accounts when it leaves the trade agreement. Sunday on “speculation,” although In the wake of the blaze, Adolf Hitler consoli- bloc, the Sunday Telegraph newspa- EU Brexit negotiator Michel Bar- a source told AFP that Britain “will dated his power over Germany, eventually un- per reported. nier has warned that the trade negoti- meet our international obligations, leashing World War II, which claimed an estimat- It is the fi rst time the British side ations, which Britain hopes will start but not pay more than we need to.” ed 20 million lives in Europe, and the Holocaust, has put a fi gure even unoffi cially on in October, may be pushed back to Barnier has declined to publicly in which millions of victims including six million the so-called divorce bill, one of the December because Britain is stalling name a fi gure for Britain’s divorce Jews were systematically slaughtered. biggest sticking points in the Brexit on the bill, diplomats said last month. bill, which includes its share of EU Refurbished after Germany’s 1990 re- negotiations. However, it falls well British offi cials are looking at spending projects already agreed, as unifi cation by British architect Norman Fos- short of the 100 billion euro sum dis- proposing a transition deal where well as pension contributions of staff , ter, who added an iconic glass dome to sym- cussed in Brussels. Britain would continue to make net among other expenses. bolize open democracy, it has since 1999 The newspaper report, based on payments to the EU of 10 billion eu- But he said the “methodology” for housed the lower house of parliament, the unnamed government sources, said ros a year for up to three years after it determining how much Britain must Bundestag. Britain would pay this only if the EU leaves in March 2019, the Telegraph pay should be worked out during the agrees to negotiate the fi nancial set- said. fi rst phase of the Brexit negotiations AFP tlement as part of a future trade deal. This money, paid in return for – which is due to end in October, be- Brussels has said progress must continued access to Europe’s single fore trade talks begin. Page Editor: be made on the divorce bill, as well as market, would be a “partial down- [email protected] the rights of European citizens living payment” on the fi nal bill. AFP 8 Monday August 7, 2017 WORLD Mixed perception Police charge Australian after ‘IS-inspired’ plane plot raids

An Australian man who was detained during raids to disrupt what authorities described as an Islamic State-inspired plot to bomb an Etihad Airways flight has been charged with weapons offences and released on bail, police said on Sunday. The man was one of four detained during raids by counter- terrorism police in suburbs in Sydney, Australia’s largest city, a week ago. Two of the men were charged with terror-related offences late on Thursday. Police allege one of them sent his unsuspecting brother to catch an Etihad Airways flight from Sydney on July 15 carrying a home-made bomb, which was disguised as a meat mincer, built at the direction of a senior Iranian President Hassan Rouhani delivers a speech after being sworn in for his second term at the Iranian parliament in Tehran, commander in the militant Is- Iran, on Saturday. Rouhani warned the US against tearing up the nuclear deal. But he also faces challenges closer to home amid lamic State group. accusations he is rolling over to conservatives. Photo: IC The fourth man was released without charge after the raids. On Sunday, police said a  39-year-old man, who had been Assembly sacks sitting prosecutor for hitting ruling party held under special counter- terror laws, had been charged with possessing a prohibited weapon. He was released on Venezuela names new prosecutor bail to appear in court later this month. The man was identified by his lawyer as Khaled Merhi. Venezuela’s newly-installed Na- Ortega, who faces a trial on government and Ortega came countries – Argentina, Brazil, On Friday, police detailed tional Constituent Assembly charges of helping fuel opposi- to a head at the start of April, af- Uruguay and Paraguay – is- what they called one of Aus- (ANC) on Saturday dismissed tion violence, has had her as- ter the supreme court decided sued a statement in Sao Paulo, tralia’s “most sophisticated” the sitting prosecutor general sets frozen and has been barred to temporarily take on the leg- Brazil, announcing their de- militant plots and said the two Luisa Ortega Diaz, and named from leaving the country. Orte- islative powers of the National cision to suspend Venezuela men who had been charged her successor. ga was once a PSUV militant, Assembly, or Congress. in Mercosur. The five above- with terror offences had also In its first order of business but came to increasingly criti- In a bid to move past the mentioned countries are the planned to build a device to re- since being sworn in on Fri- cize President Nicolas Maduro political deadlock, Maduro in full members of Mercosur with lease poisonous gas in a public day, the 538-member ANC, the and his administration. May proposed the election of a Bolilvia and Chile as associate area. country’s new legislative body, ANC member Diosdado Ca- constituent assembly to draft a members. Both those men have been approved a proposal by the Su- bello, a close Maduro aide, said new constitution. The elections “It is a serious sanction of charged with two counts of preme Court of Justice (TSJ) to Ortega had not been stripped of were held on July 30. a political nature,” designed to planning a terrorist act. The suspend Ortega, who had be- her duties for political reasons. South American trade bloc politically isolate the country, charges carry a maximum come an outspoken critic of the “We have proposed not only Mercosur on Saturday voted to Brazil’s Foreign Affairs Minis- punishment of life in prison. ruling PSUV socialist party. that she be suspended [as the suspend Venezuela indefinitely ter Aloysio Nunes told reporters Neither applied for bail and Venezuela’s ombudsman TSJ recommended], but that for “breaching democratic or- at a press conference following they are scheduled to appear in Tarek William Saab was named she be removed as the investi- der.” their meeting. court again on November 14. “provisional prosecutor gener- gation proceeds,” said Cabello. Foreign affairs ministers al” by unanimous decision. Differences between the from Mercosur’s four founding Xinhua Reuters Kenya on edge as citizens vote in high-stakes elections amid fears of violence

Kenyans head to the polls Tuesday to vote down on protests left more than 1,100 too close to call, and turnout will be cru- tory, that Nic Cheeseman, professor of in a knife-edge contest between incum- dead and 600,000 displaced. cial to either side’s success in the 48-mil- African politics at Birmingham Univer- bent Uhuru Kenyatta and his rival Raila Kenyans will cast ballots in six differ- lion-strong east African nation. sity, warns they may have “talked them- Odinga which has heightened claims of ent elections, but all eyes are on what is The 72-year-old Odinga at the head of selves into a corner” in which defeat is vote rigging and fears of violence. set to be the last showdown of a dynastic the National Super Alliance (NASA) co- not an option. The final days of campaigning have rivalry between the Kenyatta and Odinga alition, is taking his fourth – and what “It seems almost inevitable that who- been marred by the murder and tor- families that has lasted more than half many suspect will be his last – stab at ever loses will question the result. The ture of a top election official, opposition a century. the presidency. He claims both elections question is not whether or not they will claims one of its vote tallying centers The men belong to two of the coun- in 2007 and 2013 were stolen from him accept the result but what they will do was raided by police and a feverish at- try’s main ethnic groups, Kenyatta from and the adamant Kenyatta’s Jubilee party when they don’t accept it,” he told AFP. mosphere of conspiracy and suspicion. the Kikuyu, the largest, and Odinga the is trying to do the same this time around. The August 8 election is seen as a Luo. Both have secured formidable alli- Mounting opposition distrust of the AFP crucial test of Kenya’s progress since ances with other influential communi- electoral commission has seen Odinga a disputed poll a decade ago led to two ties in a country where voting takes place crying foul and urging his supporters to Page Editor: months of politically motivated ethnic largely along tribal lines. “protect their vote.” [email protected] clashes, which along with a police crack- Polls are so tight the vote is seen as Both candidates are so certain of vic- Monday August 7, 2017 9 WORLD  Three marines missing after Osprey plunges in to sea Australia sends ships, divers after US crash

The Australian government said on Sun- Marine Expeditionary Force, based in after what she described as an “extensive rines, 23 other personnel aboard the day it would deploy its armed forces to Okinawa, Japan, said. search-and-rescue operation” was called aircraft had been rescued. Australian assist in recovery efforts after the US “As the sea state permits, recovery ef- off. emergency officials said one person had Marine Corps suspended a search for forts will be conducted to further search, “Our thoughts are with all those af- been taken to hospital in Rockhampton three marines missing since their air- assess and survey the area ...,” it said in fected by this tragic event and the Aus- in northeastern Queensland state but craft crashed off Australia’s northeast a statement. tralian Government stands ready to sup- gave no other details. coast a day earlier. The US Marines have described the port the US further in any way we can,” “All other personnel are accounted The marine Corps said earlier it had incident involving the MV-22 Osprey tilt- she said in a statement. for and safe,” the III Marine Expedition- shifted from a search-and-rescue effort rotor aircraft as a “mishap” and said it Payne said a Royal Australian Navy ary Force said on Twitter. to a recovery operation, which could was under investigation. survey ship was en route to the search The incident happened off the coast last several months, and had notified Ospreys have been involved in inci- area. A navy diving team would be of Shoalwater Bay in Queensland at the next-of-kin of the three missing dents resulting in deaths or injuries in sent soon and army aviation assets about 4 pm local time on Saturday, marines. recent years. were “at short notice readiness to sup- the Marine Corps said. It called off the “The transition comes after teams Australian Defense Minister Marise port any further requirements”, she search at about 3 am on Sunday. led continuous sustained search efforts Payne said the Australian government said. supported by aircraft and ships,” the III would assist the US-led recovery effort Apart from the three missing ma- Reuters UK govt issues rules to protect smart vehicles against hackers

The British government issued new guidelines on Sunday re- quiring manufacturers of Inter- net-connected vehicles to put in place tougher cyber protections to ensure they are better shield- ed against hackers. The government said it was concerned that smart vehicles could be targeted by hackers to access personal data, steal cars that use keyless entry systems, or take control of technology for malicious reasons. The new guidelines will also ensure that engineers seek to design out cyber security threats as they develop new vehicles, the government said. “Whether we’re turning vehicles into wifi-connected hotspots or equipping them A soldier takes position at the Lins de Vasconcelos slum complex in Rio de Janeiro, Brazil, during a crackdown on crime gangs on with millions of lines of code Saturday. Thousands of Brazilian troops raided Rio de Janeiro slums leaving parts of the city looking like a war zone. Photo: AFP to become fully automated, it is important that they are protected against cyber-attacks,” Martin Callanan, a minister in Brazil troops storm Rio slums to catch gang leaders the Department for Transport, said in a statement. “Our key principles give advice on what Thousands of Brazilian army By late afternoon, 24 adults ment that cash-strapped police was subjected to an identity organizations should do, from troops raided Rio de Janeiro and two teens had been arrest- have lost the ability to cope. check and search, with men re- the board level down, as well as slums in a pre-dawn crack- ed and two killed “in confronta- In Lins favela – one of the quired to lift their shirts. One technical design and develop- down on crime gangs Saturday, tions,” Rio state security chief many little-regulated, and often man was questioned at length ment considerations.” leaving parts of the city looking Robert Sa said. A police officer gang-plagued communities of about a scar on his stomach The new guidelines include like a war zone on the first an- was killed when a bus crashed working class Brazilians that and another man’s bag was making the systems able to niversary of the opening of the into his vehicle with two detain- rise on the city’s forest-clad searched only to find he was withstand receiving corrupt, Olympic Games. ees inside. hills – soldiers took positions carrying a large Bible. invalid or malicious data or Five favelas were targeted by Twenty-one vehicles, weap- at every crossroads and outside The orderly deployment and commands, and allowing users around 1,300 policemen and ons, drugs and goods stolen many alleyways. impressive firepower reassured to delete personally identifiable 3,600 troops in a sweep start- from trucks were impounded. Troops, backed by camou- some. At a time of political and data held on a vehicle’s systems. ing at 4 am local time, the Rio But the decision to flood flaged armored personnel car- economic turmoil in Brazil, Manufacturers must make state security service said in a some of Rio’s most danger- riers, stood guard with fingers the military is regularly cited plans for how to maintain and statement. ous streets with heavily armed on the triggers of assault rifles. as Brazil’s most trusted institu- support security over the life- Their main goal was to stop soldiers also reflected fears Units of soldiers and SWAT po- tion. time of the vehicle, the gov- gangs behind a surge in brazen that nearly bankrupt post- lice also roamed the streets in ernment said, and personal robberies of commercial trucks, Olympic Rio is spinning out of open Jeeps and sport utility ve- Reuters accountability for product se- with arrest warrants issued for control. hicles, pointing their weapons curity should be held at board 40 people. Rio state authorities The troops were part of out of car windows. Page Editor: level. wangbozun@ said there were 10,000 cases of 8,500 deployed to the city last Everyone entering and leav- globaltimes.com.cn cargo theft last year. month in a tacit acknowledge- ing the favela, in northern Rio, AFP 10 Monday August 7, 2017 WORLD poverty more than ever, even for former yuppies  hroughout the best part of one wants to come near you,” said public hospitals. But his pension Cabral, whose 2007-2014 admin- A post-Olympic Brazil realizes the need to alleviate A post-Olympic Brazil realizes the need to alleviate his life, Vilmar Mendonca Mendonca. payments were late and he ended istration was crucial to preparing Twas the human resources Like many in his situation, he up selling his belongings and giv- the World Cup and Olympics, was director for several companies in has not told anyone how far he ing up his rented apartment. convicted of embezzling millions Brazil. Now he is homeless. has fallen, still hoping it will be The tall, kind-looking man says of dollars and sentenced to 14 years Mendonca lost his job in 2015 temporary. he never had an easy life. At five, he in prison. and for a while, he lived off his sav- During the day, he exercises, was run over by a car in the street Part of the money recovered ings. But now, at age 58, he sleeps reads in cafés and book stores, and lost a leg. from him was used to pay back outdoors along with thousands posts on Facebook – where his Two months ago, he ended up wages to 150,000 retired civil of other victims of the country’s profile photo shows him in a suit on the street and the bag contain- servants. economic crisis. and tie – and goes to job interviews ing everything he owned was But the accounts are still in the His new home is a bench out- where he competes against hun- stolen. He was taken in by social red and help for the most vulner- side Santos Dumont Airport in Rio dreds of younger candidates. services and transferred to one of able is insufficient. de Janeiro. He leaves some of his By night, he puts on simpler the city’s 64 homeless shelters, “The swift increase in the stuff at a bank where he is a client, clothes and a hat to go unnoticed which have room for 2,200 people. number of homeless people in cleans up in public restrooms and and stretches out on a bench “I feel sad, humiliated, struck Rio is due mainly to the economic lives off food handed out by charity outside the airport, near its security down for having put in so many crisis, but also to the lack of public organizations. cameras. years and then being here because policy,” said citizens’ ombudsman “It is a terrible situation but I “I try to stay on my own so as to of this government,” said Alves, Carla Beatriz Nunes. have no choice,” said Mendonca, remain focused because if I start who shares a room with six people To fill the vacuum, networks a thin, divorced man who has no to hang out with others, I might of around his age. of volunteers from churches and children, as he looks at job offers get into things I do not want, like NGOs provide social services, serve on his laptop using the airport’s alcohol, drugs or filth,” he said. Bills to pay breakfast and some even offer yoga Wi-Fi. “The situation is critical,” said classes to homeless people. He wears stylish glasses, a dress Unappreciated civil servant Rio’s social aid secretary, Teresa “Those who are paying for the shirt and nice shoes. He does not The homeless population is an Bergher. crisis are the ones with less money at all look like one of the thousands especially common sight in Rio’s Many Brazilians came to Rio and less education,” said a 43-year- of other homeless people in this most popular tourist areas, includ- looking for work when the city old jobless construction worker, city of about 6.5 million. ing Copacabana and Ipanema. hosted the World Cup in 2014 surnamed Robson. In late 2016, Rio’s city hall said In the old quarter area of the and the Summer Olympic Games there were 14,279 people living on city, groups of up to 20 homeless in 2016. But today, oil-producing AFP the streets – triple the number in people take up entire streets every Rio’s state coffers are empty, hit by 2013. night, sleeping on cardboard and corruption, low global crude prices Page Editor: wangbozun@ Dozens of them have advanced wrapped in blankets. and the Olympic bill. globaltimes.com.cn degrees, including Mendonca, who Most are black and come from Former state governor Sergio studied business administration in poor backgrounds. Many are drug Sao Paulo. addicts, with psychological or fam- His plight reflects the sting of ily problems. a recession that has taken Brazil’s Among their ranks is a mix jobless ranks up to 13.5 million peo- of people, from street vendors to ple and tarnished Rio, a city that retired civil servants, like Gilson just a year ago hosted the Summer Alves. Olympic Games. Alves, 69, worked for 35 years “When you are like this, no as an X-ray technician in Rio’s Rio’s rising homelessness epidemic

A homeless man sleeps on the street in downtown Rio de Janeiro, Brazil, on July 21. Photo: AFP Monday August 7, 2017 11 MOSAIC

Restaurant busted for dis- No longer feeling the pinch counts based on bra size A local restaurant chain in Zhejiang Province Fishermen in was recently busted for a promotional event that Zhoushan, East involved giving discounts to female customers China’s Zhejiang based on their bra size. Province catch Supervision authorities in Hangzhou stepped crabs after the in to halt the promo they say was in violation of lifting of a three- advertising laws, thepaper.cn reported on Friday. month crabbing Kicking off Tuesday, the event offered ban, media discounts that ran from 5-percent for custom- reported Saturday. ers with A Cup measurements to a whopping Photo: CFP 65-percent-off the bill for a G Cup. Managers at the restaurant chain said they saw an immediate lift in business. “Once the promotion was on, customers increased by around 20 percent,” a branch manager told thepaper.cn. The event was lacking support from the Hangzhou Municipal Market Supervision Ad- ministration, which took down the restaurants’ posted advertisements for the promotion the same day for violation of advertising laws. thepaper.cn

Police send postcards with an edge to most wanted Mom jailed for covert contraceptive European police forces are know that life is best in la douce sending a series of cheeky France. We hope you will return “wish you were here” postcards to us soon,” says the card from A nurse in China who insert- son, Zhang Yang, in 2011. waitress. this summer in a bid to track the French police, adding in ed a contraceptive device in Yanzi only discovered the However, Zhang began down 21 of the continent’s most French “we miss you!” her son’s girlfriend’s uterus device years later while seek- encouraging Yanzi and Zhang wanted criminals. The picture shows the Eiffel without her consent was sen- ing treatment because she had Yang to get back together after “Dear Artur, Belgian fries are Tower, a man in striped T-shirt tenced to jail. been unable to conceive since. learning the former waitress the best and we know you miss and neck-scarf brandishing Zhang Xiuqin was handed Zhang told authorities had made a fortune. them. Come back to enjoy them a baguette next to a croissant six months and a 5,000-yuan she inserted the contracep- Zhang’s plot came to light – we’ll have a nice surprise in and a bottle of red wine, and is ($743) fine back in March tive device to sabotage their when Yanzi returned to the store for you,” says one postcard addressed to Farouk Hachi. 2015 for implanting the relationship and prevent them hospital with Zhang Yang for from the Belgian police. He was sentenced in absen- diaphragm while performing from marrying. a prenatal physical, the CCTV The card is addressed to tia in 2009 to 20 years in jail an abortion on the woman, Zhang said she had reported. Artur Nawrocki, who is on the for several violent, armed bank CCTV news reported. disapproved of their relation- The couple eventually run after being convicted of robberies and is believed to The woman, identified ship because at the time her broke up. drugs trafficking by a Brussels have lived in France, Belgium as “Yanzi” in reports, had son was a college-educated court in 2014. and The Netherlands. become pregnant by Zhang’s and Yanzi was working as a CCTV News The summer postcard cam- Since the launch of the paign by the European police “most wanted” list on www. agency, Europol, was unveiled eumostwanted.eu in January Man caught on video plundering Buddhist temple donation box Friday on its EU Most Wanted 2016, a total of 36 people have A man in Shanghai who stole eo showed Jiang waiting at the quickly pockets. website. People can click on the been found and arrested – 11 of money from a Buddhist temple temple prayer area and looking He repeats the process postcard, which will then link them as a direct result of infor- donation box is now in police around, police said. a number of times before them to the name and picture mation passed to Europol. custody. With nobody in his sight, attempting to leave. of the wanted person. Jiang Qiang (pseudonym) Jiang uses what appears to be Jiang told authorities he is “Cher Farouk, You must AFP was stopped while trying to a long stick with a sticky sub- struggling to repay a gambling leave the temple grounds on stance on the end and quickly debt. June 30, police said. plunges it into the donation He is now being held on No monkeying around, Indonesia task force vows He was found in possession box, the video shows. theft charges. Indonesia has deployed armed attacked are senior citizens who of more than 600 yuan ($90). The stick emerges with police and soldiers to help live alone in makeshift houses,” A review of surveillance vid- money stuck to it, which Jiang thepaper.cn villagers on the island of Java said Andhi. “They don’t really fight back against marauding have neighbors so when attacks Cheers for Qingdao monkeys that have been terror- happen it’s hard to get help.” izing their area, stealing food Among the 11 victims of and even attacking vulnerable monkey attacks was a fourth- elderly residents and a child. grade student, said Heru Suna- The long-tailed macaques rko, coordinator of the Natural have been growing increasingly Resource Conservation Agency bold in their interactions with in Central Java. humans in the Boyolali district Animal protection activists of Central Java. said the destruction of natural “The monkeys had started forest habitats was pushing coming here two months ago,” macaques into conflict with said police chief Aries Andhi. humans. “The reason why they “After we shot one of them, the are raiding people’s houses or rest didn’t come back. Now they gardens is because they need are back again.” food,” said Robithotul Huda of A task force set up to patrol International Animal Rescue the area will shoot monkeys Indonesia. “Their natural if necessary, he said, although habitat, teak or pine forests, traps will also be used to return have changed into commercial others to the forest. forest.” The patrols are comprised of villagers and local officials, Reuters supported by police, soldiers, and members of a hunting Page Editor: Revelers drink beers at Jinshatan Beer City in Qingdao, Shandong Province on Saturday during association, he said. [email protected] the 27th Qingdao International Beer Festival, which lasts till August 27. Photo: IC “Most of the villagers 12-13 Monday August 7, 2017 DEPTHOFFIELD

Clockwise from top left: Shi Shengcai herds sheep while riding a motorcycle.

Water wagons pump water from a spring deep in the desert.

An aerial view of workers watering newly planted trees.

Two women from Gansu Province water the sapling.

A small saxaul tree is watered as part of the efforts to reverse desertification in the NEWDESERTROOTS Photos: CFP area.

hree deserts dot the Alxa League, a but now they are 500 meters closer,” Shi trees as early as 2001, but a rare flood wiped 700 hectares of land. prefecture-level administration in said. out his saplings and left him with nothing. The sisters each make 150 yuan a day TNorth China’s Inner Mongolia Au- Shi works 1,443 hectares of grassland, In 2010 Pan restarted planting saxaul from watering or 200 yuan a day from tonomous Region. where he raises more than 300 head of trees with the help of government subsi- planting trees. They start before dawn and The moving sand dunes had almost sheep and seven donkeys. In a move to pro- dies. Now he grows 200 hectares of saxaul finish late, and take a long lunch break to joined the three deserts, until the local tect the environment, the local government trees, which also makes it possible to grow avoid working in the hot- government began to fight desertification capped the number of sheep Shi can raise other plants with medicinal value. With test time of the day. by curbing overgrazing and planting vegeta- at 350, and began incentivizing herders to the added profits, plus a 1,600 yuan ($238) Nian Xiuhua’s salary tion. shift to planting trees. per hectare government subsidy, Pan earns goes to her daughter, On a typical afternoon, Shi Shengcai Shi and his family set aside 133 hectares more than he did from herding. who is attending college rides a motorcycle to count his sheep graz- of land to plant saxaul trees, a shrub-like To cover the vast areas, Pan must hire in Lanzhou. ing on the vast grassland. The scorching tree that does well in arid climates, after others to tend the plants. Nian Xiuhua and Scan to read and share sun beats down on the slowly encroaching learning of the success of their neighbor, her sister Nian Xiufang from Gansu Prov- Global Times story on your phone dunes. Pan Jinze. ince have been watering Pan’s plants since “I’ve been living here for more than 40 Pan’s land is only half that of the Shi March. The saxaul trees need to be watered Page Editor: [email protected] years. When I was young, the sand dunes family, however, he has been planting trees three times a year. Water is fetched from were 1,000 meters away from my home, for years. Pan first stopped herding to plant a small spring, the only one in more than 12-13 Monday August 7, 2017 DEPTHOFFIELD

Clockwise from top left: Shi Shengcai herds sheep while riding a motorcycle.

Water wagons pump water from a spring deep in the desert.

An aerial view of workers watering newly planted trees.

Two women from Gansu Province water the sapling.

A small saxaul tree is watered as part of the efforts to reverse desertification in the NEWDESERTROOTS Photos: CFP area.

he UN Security Council unani- and how to resolve the issue from the make the Americans realize that with- than the US and South Korea as well mously imposed new and tough- US. Since solving the North Korean out addressing the security concerns of to blame for the nuclear issue, this ill- Ter sanctions on North Korea on nuclear issue requires the eff orts of all Pyongyang, imposing sanctions on it fi tting mindset will not help solve the Saturday. The resolution bans all ex- parties concerned, Washington, Beijing will never solve the nuclear issue. crisis. South Korea has not played a ports of North Korean coal, iron, iron and Moscow should respect each other, North Korea owns nuclear weapons constructive role in solving its northern ore, lead, lead ore and seafood. The instead of Washington dominating the and tested intercontinental ballistic neighbor’s nuclear issue, as shown by country is also banned from increas- whole process. missiles (ICBMs), which severely vio- its rash and foolish decision to deploy ing the number of workers it sends US President Donald Trump has late UN Security Council resolutions. the THAAD anti-missile system on its overseas. The sanctions could slash by expressed his gratitude to China and But the US only despises Pyongyang’s soil. a third North Korea’s $3 billion annual Russia for cooperating on the new UN mistake of developing nuclear weapons Seoul does not care about China’s export revenue, signifi cantly cutting Security Council resolution. As long as and missiles but does not care about feelings, and it does not bother consid- the country’s source of foreign curren- China and Russia faithfully implement what prompted Pyongyang to do so, ering Pyongyang’s concerns in helping cy. The country’s nuclear and missile the resolutions, Washington should ac- Pyongyang will continue its nuclear the US fl ex its muscles in the Korean activities have cost it dearly. knowledge their eff orts. If Washington and missile activities despite punishing Peninsula. There is no simple solu- If some Americans continue to be- continues to make a fuss, it is looking sanctions. It will get closer to owning tion to the complicated North Korean lieve the nuclear and missile activities for an alibi for its inaction to ease ten- ICBMs that could strike US soil. nuclear issue. Washington should seri- of North Korea are due to the lack of ex- sions in the Korean Peninsula. Western opinion often has an un- ously consider the “dual suspension” ternal pressure, they’re absurd. US Ambassador to the UN Nikki warranted moral superiority over the and “dual track” approaches China has Neither China nor Russia likes North Haley said on Saturday: “We have tried non-Western world. The West should proposed. The US should aim for peace Korea to develop nuclear weapons and to say multiple times that all options be reminded to exercise restraint. If it and co-existence rather than geopoliti- missiles, but they diff er on the causes are on the table.” It seems diffi cult to believes it is only North Korea rather cal dominance.

Voices Heavier burden

“I think the Chinese realized that the United States was going to push, but they responded and we appreciate how they cooperated with us during these negotiations.”

Nikki Haley, US Ambassador to the UN, on China’s eﬀ orts to cooperate with the US on the North Korean nuclear issue, quoted by Reuters Sunday. “The decision by the United States to withdraw from the

Paris Agreement is a major Illustration: Shen Lan/GT disappointment for global eff orts to reduce greenhouse BBC sees Wolf Warrior II through Western bias gas emissions and promote global security.” Also in the documentary, Stein By Su Tan BSERVER O said “In certain parts of industrial Stephane Dujarric, UN spokesman, The Chinese fi lm, Wolf Warriors II, China, dogs bark at the rare sight of on the US decision to withdraw from the Paris which grossed over 2.5 billion yuan the sun breaking through,” to mock Agreement, quoted by Xinhua Sunday. ($372 million) in less than 10 days, would be killed. China is made to China’s air pollution, while the Chi- has become a phenomenon. In the look like an irritable and brutal killer. nese idiom coined in the Tang Dy- fi lm, a Chinese soldier ventures alone “It’s aggressive,” my foreigner friend nasty was only meant to show one’s into a war zone in Africa to save his said. innocence in getting surprised at nor- Please send submissions to [email protected]. Pieces should trapped compatriots. It inspired its However, the original Chinese mal things. be no longer than 800 words. The opinion expressed in the published articles are those of the writer alone and do not necessarily refl ect the audience enormously, so much so words actually mean that anyone who The BBC, which is supposed to be position of the Global Times. The Global Times reserves the right to edit that many viewers said on social me- attacks China will be punished, how- fair and rational, unfortunately often the articles for length and clarity. Inquiry: (8610) 65367563 dia that they would want to join the ever far the target is. The misinterpre- provides biased reporting on China. army. tation of one word draws a totally dif- It seldom sees China’s progress, but Check out our mobile apps for iPhone, iPad and Android However, not all who saw the Hol- ferent picture of China and Chinese never lets negative things slip away. lywood-style movie enjoyed it. While people. It’s very likely that the BBC This will only taint the BBC’s image. US superheroes who save the planet intentionally used this translation to No wonder US President Donald from time to time are taken for grant- throw mud at China. Trump aide Sebastian Gorka called Follow us on ed, the Chinese action fi lm caught However, it is not unusual for the the BBC “fake news” earlier this year. Twitter the BBC’s attention, calling it a “na- BBC to stereotype China. The BBC’s China prejudice is just http://twitter.com/globaltimesnews tionalist action fi lm.” Furthermore, Last year, the BBC said in its docu- the tip of the iceberg, and is very com- the BBC highlighted a tagline of the mentary, Taste of Shanghai, that “As mon among Western media. When Facebook blockbuster and translated it this way: Confucius says, ‘The way you cut reporting on China and Chinese civi- http://facebook.com/globaltimesnews “Anyone who off ends China will be your meat refl ects the way you live.’” lization, they desperately need to do killed no matter how far the target is.” Yet Confucius was misinterpreted by some homework. Sina Weibo How bad-tempered China appears the host, Rick Stein, in a hilariously http://weibo.com/globaltimescn to be in this sentence. It seems that wrong way. Confucius actually said Page Editor: [email protected] The Global Times is published six times a week anyone who deals with China can that he didn’t eat meat that was not from Monday to Saturday. never be too cautious because they properly cut up. Monday August 7, 2017 15 ASIANREVIEW Tillerson may not bring ASEAN, US closer

By Ge Hongliang the South China Sea. In contrast, the Trump administra- S Secretary of State Rex Tiller- tion lacks a clear policy toward South- son is on a visit to the Philip- east Asia, while its security relations Upines, Thailand and Malaysia with the Philippines, Thailand and from August 5 to 9. Tillerson’s maiden Cambodia have been strained. trip to Southeast Asia comes after his In addition, Trump pulled the US first meeting with 10 ASEAN foreign out of the Trans-Pacific Partnership ministers on May 4 in Washington. (TPP), a proposal led by the Obama During the visit, Tillerson will administration to create the world’s discuss with his counterparts of other biggest trade pact, but failed to propose countries the denuclearization of the a substitute. Instead, Trump’s conserva- Korean Peninsula, maritime security Illustration: Liu Rui/GT tive attitude toward global economic co- on the South China Sea and regional ordination has invoked anxiety among counter-terrorism. In the end, however, Mattis will last in their posts. Within the China-ASEAN-US trian- some Southeast Asian countries. Tillerson’s visit to Southeast Asia is Tillerson most likely has two goals gular relationship, the three sides are In light of rising competition be- unlikely to change the status quo of the for his trip: to maintain the US policy of heavily intertwined with each other. tween China and the US and the imbal- “China-ASEAN-US” triangular relation- contact and appeasement on Southeast On the economic front, China and anced political situation in the region, ship since it won’t help change ASEAN Asia and to lay the groundwork for ASEAN are working to promote practi- ASEAN member states are ramping member countries’ mixed feelings Trump’s maiden visit to the Philippines cal communication and business coop- up efforts to build a community of toward the Trump administration. and participation in the Asia-Pacific eration. They have also increased focus common destiny and strengthen their The year 2017 marks the 40th Economic Cooperation (APEC) Eco- on the development of the 21st Century decisive role in regional affairs. anniversary of the founding of the US- nomic Leaders’ Meeting and the East Maritime Silk Road and negotiations Apart from conducting the freedom ASEAN dialogue partnership. However, Asia Summit. Undoubtedly, this trip concerning the Regional Comprehen- of navigation operation, the Trump bilateral ties are once again on the shows the US is paying more attention sive Economic Partnership. administration hasn’t placed the same rocks, just as they were 10 years ago. to Southeast Asia and it intends to im- In terms of security, Southeast Asian emphasis on Southeast Asia as the Today bilateral relations between the prove its relations with Southeast Asian countries like the Philippines, Thailand, Obama administration. US and ASEAN are beset by problems states like the Philippines and Thailand. Malaysia and Myanmar are gradually The US-ASEAN foreign ministerial and difficulties that have cropped up However, Southeast Asian countries are embracing China through means such meeting and Tillerson’s trip to South- after Donald Trump was sworn in as still waiting for the US to issue a clear as sealing arms deals with China and east Asia do indicate the US is not US president. stance on its policy for the region. establishing normal security dialogues going to ignore the region. However, The Trump administration’s unclear The US has not yet formed its policy and cooperative partnerships. The since this trip will not move beyond the attitude toward Southeast Asia has trig- on Southeast Asia as it is subordinate Framework of a Code of Conduct in the scope of contact and appeasement, the gered unease among ASEAN member to the US’ China policy, which is still South China Sea, which was approved chances that Tillerson will impact the countries, which can be seen from the at the exploratory stage. Under these by China and ASEAN member states in status quo of China-ASEAN-US trian- ASEAN Foreign Ministers’ Retreat held circumstances, ASEAN member May and endorsed by foreign ministers gular relations are low. on February 21 in Boracay, Philippines. countries are putting more emphasis from the ASEAN countries on Saturday In addition, recent upheavals among on developing a mutually beneficial during the 50th ASEAN Foreign Min- The author is a research fellow with the Trump’s team have caused doubt community and focusing on pragmatic isters’ Meeting, represents a remark- Charhar Institute and the College of among observers as to how long Tiller- dialogues and cooperative partnerships able achievement for security dialogue ASEAN Studies at Guangxi University for son and US Secretary of Defense James with China. between China and ASEAN concerning Nationalities. [email protected] THAAD deployment continues to haunt China-South Korea relations

By Cheng Xiaohe ing his presidency. his government’s calls fell on launchers’ deployment and a on the THAAD issue and give After winning the presi- deaf ears. thorough THAAD-related en- up their initial efforts to repair In response to North Korea’s dential election, Moon tried The North Korean govern- vironment assessment, which relations with China. latest intercontinental ballis- to deliver on his promises by ment has remained silent, thus could take more than a year to Without a doubt, Moon’s tic missile (ICBM) test, South reaching out to North Korea. effectively turning down the ol- complete. Moon did so in an ef- abrupt reversal of his THAAD Korean President Moon Jae-in He called to lift the ban on hu- ive branch extended by Moon. fort to mend fences with China, policy will ameliorate South abruptly reversed his govern- manitarian assistance to North The decision to allow a full de- which adopted a cautious “wait- Korea’s relations with Washing- ment’s initial decision to make Korea and publicly invited ployment of THAAD demon- and-see” attitude, but irked the ton, but will not benefit Sino- a thorough environment evalu- North Korea to take part in the strates Moon’s frustration with US, which wanted a full de- South Korean relations. China ation before deploying the US’ PyeongChang Winter Olympic North Korea’s stubborn passiv- ployment as early as possible. will not swallow this bitter pill. THAAD anti-ballistic missile Games next year. ism and escalated provocation Moon’s attempt to walk this It is sure to take further action system and gave the green light In the wake of North Ko- and signals a turnaround in his tightrope has not gone well, to express disappointment and to the tentative deployment rea’s ICBM test in early July, reconciliatory approach in deal- and North Korea’s latest ICBM strike a new balance of strate- of four additional THAAD Moon still pressed ahead with ing with North Korea. test disrupted his plan. gic stability in the near future. launchers by US Forces Korea his rapprochement campaign. The second change relates Moon’s intention to hedge The THAAD drama is not over (USFK) in Seongju. The dra- He gave a high-profile speech to the recent tense interactions his bets pleased neither China yet, and is sure to continue to matic decision certainly disap- in Berlin on July 6, announc- between South Korea, the US nor the US. Moon has now haunt Sino-South Korean rela- pointed China, which has been ing, “My Government will and China. China has opposed abandoned his tactics and or- tions and complicate the inter- opposing THAAD deployment consistently pursue nonpoliti- THAAD deployment for a long dered a full deployment of the national community’s efforts to for a long time. cal exchange and cooperation time on the grounds that the THAAD. The change clearly cope with security challenges in The decision may reveal two projects by separating them deployment would cause strate- shows that Moon wants to Northeast Asia. changes in Moon’s thinking. from the political and military gic instability in Northeast Asia end the ongoing dispute over The first change concerns inter- situation.” and pose a direct threat to Chi- THAAD and has caved in to The author is associate professor Korean relations. In the eras of He even entertained the idea na’s own national security. Last pressure from the US. at the School of International Lee Myung-bak and Park Geun- that he was willing to meet with year, South Korea and the US The decision may also indi- Studies, deputy director of Center hye, South Korea had been North Korean leader Kim Jong- ignored China’s opposition and cate that Moon and the Trump for China’s International Strategic locked in a head-on confronta- un under the right circum- partially deployed the THAAD administration may have Studies, Renmin University of tion with North Korea thanks to stances. As a follow-up to the system in South Korea. China forged some consensus on a China, and senior researcher North Korea’s repeated nuclear Berlin Speech, the South Kore- took countermeasures and Si- new shared approach to dealing with Pangoal Institute. opinion@ and missile tests. an government made concrete no-South Korean relations thus with North Korea’s nuclear and globaltimes.com.cn Moon wanted to change proposals to its north counter- quickly soured. missile threat as it is only under course. He made it clear that part to hold military-to-military Moon inherited this hot such circumstances that Moon Page Editor: yujincui@ he was willing to improve inter- and Red Cross talks. potato. He ordered a suspen- and his associates would be globaltimes.com.cn Korean relations before assum- Unfortunately, Moon and sion of the remaining four willing to change their position 16 Monday August 7, 2017 FORUM Russia, US heading toward new Cold War?

By Oleg Ivanov US sanctions impact the other, and instead focus on EU’s economic interests and areas where the two can work ast year many policymak- joint projects with Russia in together. ers and experts held the the energy field. The US lead- First of all, they can Lopinion that Russian-US ership is trying to pursue its cooperate on establishing de- relations had reached their interests by selling its supply of escalation zones in Syria and lowest point. liquefied gas to the European fighting terrorism. After Russian President market and push out Russian During the Cold War two Vladimir Putin and US Presi- gas. Another goal is to disrupt superpowers were competing dent Donald Trump met on the the construction of the North for influence and supremacy. sidelines of the G20 Summit Stream 2 pipeline. Today the US view is that the in Hamburg, there was hope These actions are an at- country does not face any one this situation could be reversed tempt to beef up the US’ single challenge. CIA Direc- for the better. energy position in Europe. By tor Mike Pompeo stressed However, this did not hap- doing so the US can kill two that while China, Russia, and pen. US authorities imposed birds with one stone. In other Iran were expected to pose new tough sanctions on Russia words, punish Russia and at significant problems in the that reminds one of the Cold the same time earn a profit at future, China is a greater threat War. the expense of its European al- because of its robust economy In light of this, we must ask: lies. Indeed, the ends justifies and growing military power Are Russia and the US head- Illustration: Liu Rui/GT the means. – both aimed at the US. This ing toward a new Cold War? BRICS and SCO, regarding Moscow that Trump would be Is further aggravation of means that the US’ next target Is Russia really a formidable them as new collective centers able to resist pressure from Russian-US relations in our is likely to be China. threat to the US? of power. Congress and the US media. interests? Of course not. Both Both China and Russia I tend to believe that despite It was not Russia that trig- However, that seems not to be countries have huge nuclear have a common interest in deteriorating Russian-US gered the current confronta- the case. arsenals and they play a major the stability of Russian-US relations it would be wrong to tion between Russia and the The basic principle of role in arms control and disar- relations as well as in Sino-US speak about a new Cold War. US. After 35 Russian diplomats diplomacy is reciprocity. That mament. relations. To this end, both Confrontation between Rus- were ordered to leave the US at is why Putin made a decision According to an opinion Russia and China should work sia and the US does not have the end of 2016 and diplomatic to reduce the number of the poll held in Russia after the on strengthening their coop- the global character it used to compounds were closed for US diplomats working in Rus- two presidents’ meeting in eration. have in the 20th century. Rus- Russian diplomats in the US, sia by 755 to reach parity with Hamburg, 48 percent of That was the goal of the sian policy is not driven by any the Russian leadership did not Russian diplomats working in respondents believed that the recent Sino-Russian joint naval ideology, unlike the US, which take any reciprocal measures the US and to suspend access meeting would be beneficial to exercises in the Baltic Sea aims to expand and impose US but instead decided to wait. to US compounds in Moscow. Russia, while 41 percent of re- and the symbolic participa- values. What is more, Putin invited The Russian leadership has to spondents did not expect to see tion of Chinese naval ships Some Western critics claim the children of US diplomats react, otherwise the country any change. Now the situation in the commemoration of the that Russia is a revanchist to take part in New Year fes- would not be respected in the is even more pessimistic. Russian navy holiday in Saint- power trying to destroy the tivities at the Kremlin and US world community. The pecu- My view is that US authori- Petersburg on July 30. existing world order, but that is diplomatic compounds were liarity of the situation is that ties should stop taking further not the case. not closed in Moscow. the consequences of the US’ steps in trying to punish The author is Vice-Rector of The world’s movement However, one can only wait hostile policy toward Russia go Russia, and both sides should Research, Moscow-based toward multipolarity is undeni- for so long. beyond bilateral relations and follow the principle of do- Diplomatic Academy. opinion@ able and Russia is acting with There was a hope in impact other countries. ing no more damage to each globaltimes.com.cn Why China cannot back down in the ongoing Doklam standoff

By You Dongxiao as it stands. It is hard to understand why of just when and why Thimphu invited tion Army remains unfinished; and that India has decided to abandon its previ- New Delhi to protect its interests there. India could play a key role in the US’ The military standoff between China ous position and challenge the Conven- So far, there is no evidence that any such China containment strategy. and India in the Doklam region has tion at this time. invitation was ever even made. China has absolutely no reason or de- lasted for almost two months now, and If China backs down now, India may Doklam is of huge strategic signifi- sire to enter into a war with its neighbor. there is still no end in sight. be emboldened to cause more trouble cance to India, due to its proximity to After all, a peaceful and stable environ- China has made it clear that there is in the future. Beijing and New Delhi the Siliguri Corridor – India’s sensitive ment is crucial for China’s economic no room for negotiation and the only so- still have a number of differences over “chicken’s neck” – connecting seven growth and current reform drive, but lution is the unconditional and immedi- undefined sections of the frontier, but northeastern states with the rest of the it is ridiculous to conclude that China ate withdrawal of Indian troops from the Doklam is not one of them. country. will allow its sovereignty and territorial region. Second, it is simply illegal for India India’s own security concerns cannot integrity to be compromised. China will The situation boils down to three to send military personnel into Chinese possibly warrant a military occupation never back down in the face of foreign main reasons why China will not, and territory, even under the pretext of “secu- of a neighboring country. If they did, military pressure and will defend its na- cannot, back down. rity concerns” or “protection” of Bhutan. then any country could send its military tive soil at all costs. First, Doklam is Chinese territory This is not a grey area. India has not pro- forces unbidden into any neighboring In sum, the only option for India is and there is no doubt or dispute about vided any legal basis at all for its action. country over purely internal security to unconditionally withdraw its troops this. The Doklam standoff differs from India contends that the building of concerns. from China and prevent any further es- previous military confrontations along some roads represents a significant Finally, China’s borders are not nego- calation of the crisis. Continued peace the China-India boundary in that this is change of the status quo with serious tiable. China has relentlessly stated that and tranquility in China-India border the first intrusion into the Chinese side security implications and, in coordina- it will never allow any people, organiza- areas is undeniably in the fundamental of this mutually recognized boundary. tion with Bhutan, the Indian military tion or political party to split any part of interests of all involved. The Doklam region belongs to China attempted to stop the work in progress. Chinese territory away from the country and has been under Chinese rule for a India is attempting to justify its action at any time, in any form. China’s posi- The author is an associate professor with very long time. This part of the boundary in the name of protecting Bhutan, argu- tion on such matters is crystal clear and the International College of Defense at the between the Tibet Autonomous Region ing that Doklam is Bhutanese territory, unwavering. National Defense University of the People’s and India’s Sikkim State is clearly delin- but even if that were the case, how does Some Indian strategists and policy- Liberation Army. The article first appeared eated in the 1890 Convention between that entitle India to send troops there? makers may be laboring under the mis- on Xinhua. [email protected] Great Britain and China Relating to Sik- Although India and Bhutan have apprehension that China will back down kim and Tibet. traditionally close relations, India rec- sooner or later, citing resistance from Page Editor: [email protected] Every Indian government since inde- ognizes Bhutan as an independent sov- vested interests in China’s ongoing re- pendence has confirmed the boundary ereign state. This raises the questions form; that reform of the People’s Libera- Monday August 7, 2017 17 VIEWPOINT Washington disarrayed over faction turmoil

By Clifford A Kiracofe supporters of a populist-nationalist bent replaced him with the highly respected were overlooked or locked out by the Es- Marine Corps general, John Kelly. Kelly an the turmoil in Washington tablishment faction. This meant that in promptly fired the bizarre and incom- and the crisis in governance the White House and in the administra- petent communications director Cbe overcome? Deep structural tion, these two factions generally came Anthony Scaramucci. The ineffec- issues in the US polity suggest that this to loggerheads over policy. The internal tive press spokesman Sean Spicer, a will not be easy or soon in coming. contradictions could not be overcome Priebus ally, was fired earlier. President Donald Trump won his and the result has been disarray and a Trump now must belatedly create election because the American people dysfunctional White House. an effective communications team rejected business-as-usual Establish- Trump attempted to appease the and an effective legislative relations ment politicians subservient to Wall Establishment by making the party- team. Additionally, he must weed out Street. It was the victory of Main Street savvy Reince Priebus his chief of any Establishment Republican opera- over Wall Street at the polls. staff. His choice of Mike Pence for the tives in the administration who seek to When they voted, Americans were vice president position also reflected undermine his policies. fed up with endless and unnecessary accommodation for the All this is a tall wars. The top issues were the economy, Establishment. order. Kelly, while a terrorism, illegal immigration and Trump thought proven manager, border control. Public opinion has not that these two would does not have changed on these issues and the politi- help him win support political experi- cal reality is that support for Trump is in Congress for key ence. But he does rising in Mid-Western and Southern legislative initiatives. clearly support states. But the catastrophe Trump’s policy So what is going on? over healthcare reform line, particularly in The most important fact to bear proved otherwise. It security matters. Con- in mind is that both America’s main also proved that he could versely, H.R. McMaster, political parties are split into factions not rely on Paul Ryan, the Trump’s present national under Establishment and Wall Street Republican Speaker of the House, and security advisor, is out of step Illustration: Liu Rui/GT domination and factions that are not. on Mitch McConnell, the Republican with Trump’s vision. Bernie Sanders represented the anti- Senate Majority Leader, who are both not transferrable to the political realities So after a very rocky half-year in Establishment faction in the Democrat- Establishment Republicans. of Washington, DC. office, it may be that Trump can finally ic Party and Donald Trump represented Trump compounded his political The second main reason for the bring some order out of chaos. But the anti-Establishment faction in the mistakes with Congress by harsh treat- disarray is that he had no political there are significant problems in both Republican Party. ment of his very own political base in experience and was unfamiliar with the his domestic legislative agenda and in But when Trump won the election, the House of Representatives. This is a complexities of the politics in Wash- his foreign policy. he tried to accommodate the Establish- group of about 25 populist-nationalists ington and the complexities of the vast Trump must get the White House ment faction of his party. He permitted called ‘‘the Freedom Caucus.’’ Executive Branch bureaucracy. act together and lead the US forward the all-important job of the head of Internally, the White House has be- Complicating and inflaming the out of its present political, social, and presidential personnel to fall into the come disordered for two main reasons. situation even more is the hostile media economic mire. hands of the Establishment faction. First, Trump as a businessman had a war against Trump conducted by the Thus, his transition team and then his very idiosyncratic management style of mainstream media, which is dominated The author is an educator and former administration team were flooded with creating rival groups in his organization by the Establishment and Wall Street. senior professional staff member of the people from the Establishment faction. and pitting them against each other. Trump finally has taken some Senate Committee on Foreign Relations. In the meantime, ardent Trump This chaos theory of management is decisive steps. He fired Priebus and [email protected] A peaceful neighbor: China will never seek aggression or expansion

China is an architect of world of the PLA Navy have patrolled (PRC) in 1949, China suffered made the first move. Not once it must, and ready to win. The peace, a stalwart of global devel- the Gulf of Aden and the waters at the hands of the Western has China been the aggressor. country will never compromise opment, and a staunch uphold- off Somalia, ensuring the safety powers. Through that, respect The path of peaceful de- on its sovereignty. er of the international order, of more than 6,000 domestic for independence and peace velopment means China will The latest military reform President Xi Jinping told a rally and foreign ships. have become what the Chinese never be the one to stir up trou- focuses on structural reforms, marking the 90th anniversary Chinese servicemen and people cherish most. ble or invade other sovereign aiming to build forces true to of the founding of the People’s women led the search for miss- “Do not do unto others what states. the Party. Should the PLA ever Liberation Army (PLA) on Au- ing flight MH370. Chinese you would not want others to “A belligerent nation is be forced into a fight, it will gust 1. forces stood their ground in the do unto you,” the foundation doomed to perish,” goes an an- fight to win. Xi announced cuts On Army Day, China, once fight to contain the Ebola virus. of Confucianism, which means cient Chinese saying. The iron of 300,000 troops in 2015, a again, chose to highlight peace, The water crisis in Male, capital the Chinese will never inflict on law of history is that countries process which is expected to an eternal theme of mankind, of the Maldives, was resolved others the agony we have gone which expanded by invading be completed by the end of this and reaffirmed that the nation with the help of the PLA. through ourselves. others are doomed to failure. year, according to the Ministry will never seek to expand be- China’s contribution to Confucius also said that the Our epoch must be one of National Defense. This is a yond its established borders. world peace has been widely virtuous always find friends – of win-win cooperation and sincere commitment to world Deeds speak louder than applauded by the international wisdom that should guide in- shared development. peace and prosperity. words. Of all permanent mem- community, said Jean-Pierre ternational relations as much “The Chinese people love With 90 years of service be- bers of the UN Security Coun- Lacroix, UN under-secretary- as it does interpersonal interac- peace. We will never seek ag- hind them, the common pur- cil, none has done more than general for peacekeeping options. gression or expansion, but we suit of peaceful development, China, with 35,000 personnel erations. Since the 1960s, through have the confidence to defeat benefiting all people from all dispatched across the globe to Peaceful development is negotiation and consultation, all invasions. We will never al- countries, is the PLA’s sincere defend basic human rights. In neither an expediency nor dip- China has delimited 20,000 low any people, organization or hope for the next 90 years and the line of this sacred duty, 13 lomatic rhetoric, but a choice kilometers of land boundary political party to split any part beyond. Chinese peacekeepers have lost China has made on analysis of with 12 out of its 14 land neigh- of Chinese territory away from their lives. historical facts, the present re- bors. A sincere good neighbor, the country at any time, in any This is a commentary of the With their passion and with ality and future opportunities. China’s commitment to mutual form,” Xi said. Xinhua News Agency. The their blood, China’s military China’s interests are inextrica- benefit has been a concrete con- Peace is bliss for the people. article first appeared on Xinhua. has actively fulfilled the na- bly intertwined with the inter- tribution to stability in Asia and Protecting peace is the duty [email protected] tion’s commitment to its own ests of the planet. beyond. of the people’s army. To ful- peaceful development and to a From the Opium War of Of the wars fought in the fill that timeless duty, China’s Page Editor: yujincui@ peaceful world. 1840 until the founding of the seven decades since the found- armed forces must be a world- globaltimes.com.cn Since 2008, over 80 vessels People’s Republic of China ing of the PRC, China has never class military, ready to fight if 18 Monday August 7, 2017 LIFE

A 3D printing machine Inset: A 3D printed statue of a Chinese lion Photos: IC

 A Chinese 3D print studio fuses ancient art with modern tech

that has been incorporated of time for the more elaborate into the country’s national pieces. manufacturing strategy. Once the prototype is complete, “In the last five years, 3D it will be mass-produced in a factory printing in China has grown using the same material – usually from a 1 billion yuan ($149 million) wood or copper – as the relic it was industry to a more than 100 billion modeled on. he small, ornate figurines look yuan industry,” Luo Jun, the head of University of Science and Technology “Our clients don’t buy our products like relics of a bygone age: a the China 3D Printing Technology professors brought the technology because of the 3D printing aspect, but Tserene Buddha’s head from the Industry Alliance, told AFP. back from the US. it does make things easier,” Xi said. Tang Dynasty (618-907), or a collec- Domestic development of the meth- For instance, if a customer decides tion of stone-faced soldiers from the Technological breakthrough ods were slow at first, but the industry that she wants an 80-centimeter el- Qin Dynasty (221BC-206BC) era. The use of 3D printing came to has gained momentum with govern- ephant instead of a 50-centimeter one, The creation process, however, is China in the 1990s, Luo said, after ment support. it’s a simple matter of programming decidedly modern. Tsinghua University and Huazhong The Chinese State Council’s “Made the 3D printer accordingly. In Shaanxi Province’s capital of in China 2025” industrial develop- Xi’s company also makes 3D Xi’an, home to such historic sites ment plan lists the promotion of “new printed molds for sculptors who use as the clay Terracotta Army and the breakthroughs in 3D printing” as a pri- them as models for their own hand- 1,000-year-old Giant Wild Goose ority for growth into the next decade, crafted artworks. Pagoda, a small studio and factory uses while the Ministry of Science and The final products – painted min- 3D printing technology to replicate Technology counts 3D printing among iatures sold for between 20 yuan and ancient art. its 13 priority projects for technological 500 yuan – are popular among the “All the intricate details of the innovation. tourists who flock to Xi’an, known as original design are preserved in a 3D “Now the scale of China’s 3D print- the oldest of China’s four great impe- mold,” Xi Xin, the president of the ing industry has surpassed those of rial capitals. Xi’an Chizi Digital Technology com- Europe and the US,” Luo said. The figurines are now being sold pany, told AFP. The Xi’an Chizi Digital Technology at the mausoleum for Qin Shi Huang, “Human workers may not be able company has developed its 3D design China’s first emperor, and his Ter- to produce everything we want in the technology over the last 10 years, using racotta Warriors. design, but the printer can do it all.” a stereolithography machine to print There, at the burial place dating The firm, whose products are sold carefully constructed digital replicas of back to 200 BC, visitors can hold the at museum shops and to personal col- historic artifacts. 3D “artifacts” of China’s future in the lectors, is among the businesses taking The design process can take palm of their hands. advantage of China’s foray into 3D between one to three months, while printing – a rapidly growing industry printing requires up to several weeks AFP China’s smaller cities attracting increasing number of foreigners

When Aziz Ullah returned to are no longer the only places to well. His products, from “He did not want to stay towns have also improved, China from Europe months live and work in for foreigners. household furniture to solar here for one more day,” Chen making life there easier. “For ago, he headed straight home Aziz came to China in 2003 panels, are exported to nine said. Tim was always com- example, people can use Alipay to Yiwu, a small city in East to make money. He chose countries. plaining about the pollution. [mobile payment], rather than China’s Zhejiang Province. Yiwu, well known as a produc- Improvements to small But the environment has cash, almost everywhere in the “I feel at home in Yiwu,” tion base for small commodi- towns are encouraging foreign- improved a lot. Tim and his town,” Tim said. said Aziz, 39, from Afghani- ties. Yiwu receives more than ers to come. wife now live there for several stan. He has lived in Yiwu for 400,000 overseas visitors each Five years ago, Austra- months every year. “We enjoy Xinhua 15 years. year and more than 10,000 lian Tim Clancy came to his the beautiful nature and tradi- As China’s urban and foreigners live there. Chinese wife Chen Shuang’s tional Chinese culture here,” Page Editor: weixi@ rural development balances, Aziz registered a company hometown Pujiang in Zheji- Tim said. globaltimes.com.cn metropolises such as Beijing in Yiwu in 2005, and has done ang, for the first time. Public services in small Monday August 7, 2017 19 LIFE

Promotional material for Step Photo: IC

‘STEP’ UP group of black teenage girls Stepping is not actually a dance, with their fists in the air, chanting “It girls aims for a 100 percent gradu- stomp, clap and shout in said Cori Grainger, one of the film’s could have been us.” ation and college acceptance rate, a Aunison in step dance routines, lead subjects, because it does not use “We began to use step as a plat- goal that challenges some of the film’s channeling their anger, frustration a beat. Instead, “you are the beat, you form to talk about things that were protagonists. and hopes into powerful performanc- are the music, you use your hands, most important to us, so we used our “I think a common misconcep- es in a new documentary Step, out in you stomp your feet, you clap, it’s spo- themes to educate people while we tion is that urban communities don’t US theaters this week. ken word,” Grainger told Reuters. entertained them,” Grainger said. really have kids in them who have big The journey of the founding class As the girls juggle their academics “There are just rampant misun- dreams and hopes,” Grainger said. of the step troupe at the Baltimore with competing in step tournaments, derstandings about the Black Lives “So many of us are capable of do- Leadership School for Young Women they visit Gray’s memorial where their Matter movement in this country and ing big things, but how can we make shows the girls’ struggles in the af- step coach tells them, “as African seeing these young women stand up a change in the world if we’re never termath of protests and rioting in the American women, we are consid- and say ‘it could have been me,’ it given the experience or the opportu- city where 25-year-old black man Fred- ered bottom of the barrel.” The visit feels different,” added the film’s direc- nity to?” die Gray died after suffering a broken inspires the girls to perform a Black tor Amanda Lipitz. neck in a police van in April 2015. Lives Matter routine, which they end The charter school attended by the Reuters

New ‘Game of Thrones’ Fox suspends TV host Eric Bolling amid allegations of texted lewd text messages episode leaks online A host on US cable network Fox News News spokesperson said in a statement. for seven years. through HBO partner has been suspended during an inves- The suspension followed a HuffPost His lawyer Michael Bowe said in The unaired fourth episode of the new tigation into allegations that he texted report Friday that Bolling sent an image a statement to HuffPost: “Mr Bolling season of HBO’s hit series Game of unsolicited lewd images to women co- of male genitalia to two colleagues at recalls no such inappropriate commu- Thrones has been leaked online, the workers, the company said Saturday. Fox Business and one at Fox News. nications, does not believe he sent any premium channel’s distribution partner It was the latest sexual harassment The report, citing multiple anony- such communications, and will vigor- Star India said on Friday. case to rock Fox News, the US’ most mous sources in and outside of Fox ously pursue his legal remedies for any “We take this breach very seriously watched cable news channel. News and Fox Business, said the mes- false and defamatory accusations that and have immediately initiated forensic “Eric Bolling has been suspended sages were sent several years ago, on are made.” investigations at our and the technol- pending the results of an investigation, separate occasions. ogy partner’s end to swiftly determine which is currently under way,” a Fox Bolling has worked at the network AFP the cause. This is a grave issue and we are taking appropriate legal remedial action,” a Star India spokesperson said in a statement. Techno band faces charges for Crimea concert: Ukraine envoy Star India is a subsidiary of Twenty- German techno band Scooter faces tion, but a serious crime that will be First Century Fox Inc. significant legal consequences for punished,” Melnyk told the newspaper The leak of the episode, titled The performing at a festival in the Crimea group. Spoils of War, was separate from a hack region of Ukraine that was annexed by The band was due to appear at the on HBO that was disclosed earlier this Russia in 2014, the Ukrainian ambas- ZBFest rock festival in Balaklava on week, HBO said in a statement. In that sador to Germany said in an interview Friday. incident, the company’s chairman, published Saturday. Scooter front man H.P. Baxxter Richard Plepler, told employees in an Andrij Melnyk, Ukraine’s envoy to told German media last month the e-mail on July 31 seen by Reuters that Germany, told the Funke Mediengrup- band was going to Crimea to perform the hackers had stolen “proprietary pe newspaper chain that the band’s music, not engage in politics. information,” including some program- decision to enter the Crimea region No comment was immediately ming. “illegally” on Thursday was “not only a available from the band. Entertainment Weekly reported on scandal, but also a crime with serious Monday that hackers stole 1.5 terrabytes legal consequences.” Reuters of data, including two unaired episodes Melnyk said Ukrainian prosecutors of the Game of Thrones series. had already begun legal proceedings Page Editor: Scooter frontman H.P. Baxxter against the band. [email protected] Reuters Photo: IC “This isn’t some minor infrac- 20 Monday August 7, 2017 LIFE

Chinese action star Wu Jing in a scene from Wolf Warrior 2 Photo: IC

Leading the pack

 films and TV dramas ‘Wolf Warrior set during World War II focus on a China that 2’ looks to kick is struggling to defeat invaders, “Wolf War- off new wave of rior 2 shows the strength of Chinese action today’s China around the world, which makes peo- films ple proud,” Yuan said. He emphasized that the film introduces a new By Wei Xi kind of Chinese hero to audiences. dependent on its strict adher- ers have fallen back to “In the past, people instantly ence to the conventions and imitate the film industry of n its second weekend in main- thought of Jet Li or Jackie Chan’s style of a typical Hollywood block- the 1990s. land theaters, Chinese action kung fu style when it comes to action buster,” wrote one report from the “Wolf Warrior 2 is progress, IfilmWolf Warrior 2 earned an films, but now audiences are seeing Beijing Daily. but we should not overpraise it,” estimated 1.1 billion yuan ($163.51 something different,” Yuan noted. Zhang noted. million) bringing its total earnings “I believe there will be many more Critical voices Yin Hong, a professor at Tsinghua at the mainland box office to.1 3 of this type of film in the coming Of course there are still those who University’s School of Journalism billion yuan (estimated). The film is years.” are not ready yet to jump on the Wolf and Communication is also taking a currently the second-highest earning A report from the Guangzhou Warrior 2 bandwagon. conservative stance. film in the Chinese mainland push- based Xinkuaibao newspaper echoes For example, in his review on “Wolf Warrior 2 is truly a high ing past The Fate of the Furious’ 2.66 Yuan’s opinion. Chinese media site Douban netizen quality military action film with its billion yuan and right below Stephen “China has veteran actors, young Forken Hwang calls the film “a male combat and actions scenes as well as Chow’s 2016 fantasy romance film beautiful faces and pop stars, but Mary Sue style fantasy” and gave the its plot and attention to detail. If only The Mermaid (3.39 billion yuan). lacks Hollywood style tough guys,” film two out of five stars. the film didn’t have such a subjec- The film’s success has come as a the report said, making reference to While he admits that Wolf Warrior tive viewpoint that doesn’t focus on surprise for many moviegoers since Hollywood action stars like Sylves- 2 has some of the best military ac- global universal values it would be it is only action star Wu Jing’s third ter Stallone, Bruce Willis and Tom tion scenes in Chinese film, direc- able to win a worldwide audience directorial work and doesn’t feature Cruise. “Leng Feng, the leading hero tor Zhang Yu said that he finds it like the 007 film series,” Yin posted any huge movie stars besides Wu. in both Wolf Warrior films... can be quite pathetic that Chinese films are on WeChat, pointing out that the seen as the Chinese version of Stal- always imitating others. film’s message of Chinese patriotism A hero made in China lone’s Rambo.” “Crazy Stone, which imitated the may alienate foreign audiences. Having seen the film before “I criticized Wolf Warrior two Coen Brothers’ style, started a new “Chinese audience love ‘fad’ its nationwide release in China, years ago... for its illogical plot. But era of comedy [in China]. Lost in films,” Yin noted. “This shows that Yuan Haibin, a cinema manager in this couldn’t stop me from loving Thailand, which imitated The Hang- people are not confident in Chinese Beijing, told the Global Times that Wolf Warrior 2,” Sima Pingbang, over, started another. Now Wolf War- films as a whole and so will go see he was confident it would be well a Chinese film critic, posted on rior 2, which imitates First Blood, is whatever film is being talked about received. Originally forecasting a take Chinese film site Mtime. “You can going to kick off a new era for action the most.” of 1 billion yuan, he never imagined clearly see Wu Jing, who is both films,” Zhang told the Global Times. “Of course, the most important it would be so successful. the director and lead actor of the “Why is that exciting? This is thing is that most Chinese films are Yuan said that the secret to Wolf film, and his team becoming more an out-dated style that has been still not that great, which means au- Warrior 2’s success, compared to mature. This is an example of a team abandoned by others. We are like a diences do not have many good films other action films, has nothing to do in the Chinese film industry getting student that is trying to make up for to choose from,” Yin added. with its action scenes, but rather is closer and closer to Hollywood action missing lessons.” the result of its emotionally uplifting films.” He added that while films in the Page Editor: weixi@ message. “As a mainstream commercial US and Europe are starting to get globaltimes.com.cn While a lot of Chinese military film, the success ofWolf Warrior 2 is more artistic, Chinese filmmak- Monday August 7, 2017 21 TEABREAK Garﬁ eld Horoscope

Happy birthday: Aquarius (Jan 20 - Feb 18) While it may be tempting to put off Emotional turmoil may lead some tasks for another day, you will to outbursts that come as a only be increasing your work load by surprise to even you. Try to doing so. Your best bet to freeing up keep your reactions to situa- your time is to tackle things as soon tions at home and work low key. Involve as you can. Financial investments will yourself with projects that require little pay off over the long run. Your lucky interaction with others until you feel numbers: 3, 5, 8, 11, 16. you are feeling more stable. ✭✭✭ Crossword Leo (Jul 23 - Aug 22) Pisces (Feb 19 - Mar 20) When others are in need You will attract more fl ies of help, you are usually the with honey than vinegar. ACROSS fi rst to lend a hand. How- You can be charming 1 Songs heard in December ever, if you do what comes when you want to. Today 6 Thing that could be a- naturally today, you are sure to become is the day to turn that charm up to 10! brewin’ mired in someone else’s emotional If you do so you will open the door to 11 First prime number drama. Red will be your lucky color. a number of interesting opportunities 14 Down the hatch ✭✭✭ ✭✭✭✭ 15 Olympic legend Comaneci 16 Sleeper Van Winkle Virgo (Aug 23 - Sep 22) Aries (Mar 21 - Apr 19) 17 Production that is both Someone seems to think Business or legal negotia- funny and sad that you are in their debt. tions will require quite a bit 19 Fodder for a smeltery This is not an issue of of your time and energy 20 Relative of a mudbrick money. They feel they have today. Don’t try to rush 21 Attic window, sometimes done you a favor and expect something through contracts or agreements. Time 23 More in shape in return. Navigate this challenge care- will be needed to do proper research. 26 Brain parts fully. The wrong move could lose you a ✭✭✭ 27 Clue direction valuable ally. ✭✭✭ 28 Land of Princess Grace Taurus (Apr 20 - May 20) 29 Moldovan currency Libra (Sep 23 - Oct 22) It may be diffi cult to under- 30 So-so, in water tempera- A falling out with someone stand why some people are tures has left you feeling uneasy. upset with recent changes. 32 Like moon rovers 3 Bit of in-fl ight info 43 Removes by vote Instead of letting this While you may be tempted 35 Thing for a beauty pageant 4 Smooth, in a musical score 46 Covered the same ground? feeling persist, it might be to ignore their reactions, it will be best contestant 5 Most uncomplimentary, as a 48 When many services take a wise move to go and make amends. to get to the bottom of why they feel the 37 Like forks remark place Admitting your mistakes will go a long way they do. ✭✭✭ 39 Largest Latvian city 6 Hoity-toity sort 49 Command to a pooch way towards mending broken bridges. 40 Praise or glorify 7 Broken, as a wild bronco 50 Taunt ✭✭✭✭ Gemini (May 21 - Jun 20) 42 Less sinful 8 “___ to Billie Joe” 53 Poker paying Think your plans all the 44 “Lanka” front 9 Like a racehorse 54 Pinocchio, infamously Scorpio (Oct 23 - Nov 21) way through before you 45 “___ Waldo?” 10 Certain city election 57 “___ be an honor” A friend can help you fi n- do something drastic. If 47 Like some suits 11 Musicians using slides 58 “Newhart” setting ish a project that is long you don’t you may end up 49 Thicker through the core 12 Cable-company employee, 59 “... and seven years ___ ...” overdue. Romance is in the crossing a line that you can’t uncross. 51 Numbered musical compo- often 60 Beatty of TV and fi lm air today. This will be the A moderate approach is more likely to sitions 13 Drama with lots and lots of perfect time to show your partner how succeed. ✭✭✭ 52 Sanction singing much you care with a little surprise gift. 53 Roswell crash victim, some 18 Waist-tightening undergar- ✭✭✭✭ Cancer (Jun 21 - Jul 22) believe ment Sometimes disputes are 55 “Dig in!” 22 Come to mind again Sagittarius (Nov 22 - Dec 21) simply situations in which 56 Certain inhabitant of a West 23 Bogus The order in which you views on certain matters Indies island 24 Mountaineer’s tool Today’s Solution tackle tasks will have a diff er. With a little fl exibility, 61 Grate expectations 25 Reliable and honest great impact on whether an agreement can be reached that will 62 Casual “have to” 26 Any software developer you succeed or not. make everyone happy. ✭✭✭ 63 “Tootsie” co-star 28 Without, mathematically Choose your priorities carefully and 64 B, E or G, e.g. 31 Man famously followed then stick to your schedule. ✭✭✭ 65 More eccentric by rats RATINGS ✭ 66 Church council 33 Correspond, in grammar Capricorn (Dec 22 - Jan 19) 5: Head for Macao! 34 Busts If you are unhappy with DOWN 36 Yawn-inducing 4: Ye gods! The planets align! something it is okay to 3: Things are looking up. 1 After-tax earnings 38 Lacking (with “of”) voice your complaints. 2: Don’t bet on things working out. 41 “Move on already, will 2 Blade that’s most eff ective Don’t worry too much 1: Watch out for black cats and ladders. when wet you?” about hurting people’s feelings. ✭✭✭

LearningChinese

Illustration: Xia Qing/GT Chat attack

Exciting good. They are really exciting! kind you like. You will probably 燃我一直泡在电影院呢！最近的电影 think they are too commercial and (r1n) 都太好看、太燃了！ mainstream. (w6 y~zh! p3o z3i di3ny@ngyu3n ne! 有啊。不过我猜那都不是你喜欢的 A: I haven’t seen a hint of you all zu#j#n de di3ny@ng d4u t3i h2ok3n\ 类型。你肯定会觉得太过商业和主 summer vacation. Where have you t3i r1n le!) 旋律了。 been? (y6u a, b%gu7 w6 c`i n3 d4u b%sh# 这个暑假都不见你的人影，你去哪 A: Really? Do you have any n@ x@hu`n de l-ix!ng. n! k0nd#ng hu#

了？ recommendations? ju0 de t3i gu7 sh`ngy - h9 zh^xu1nl_ (zh-ge sh^ji3 dou b%ji3n n@ de 是吗？你有没有什么推荐的？ le.) r9n y@ng, n@ q& n2 le?) (sh# ma? n@ y6u m9i y6u sh9nme tu~ji3n de?) Page Editor: B: I’ve been in the cinema! The [email protected] movies recently have been pretty B: Yup. But I guess they aren’t the 22 Monday August 7, 2017 SPORTS uJumping with joy RoundUp Arsenal’s Sead Kolasinac Boxing celebrates after scoring Lomachenko retains title the equalizer Ukrainian southpaw Vasyl in the 82nd Lomachenko retained his minute WBO junior lightweight title, during their Community fl ooring challenger Miguel Shield match Marriaga with one second left against in the seventh round en route Chelsea on to a technical knockout victory. Sunday in The 29-year-old Lomachen- London, ko outclassed Marriaga from England. After the opening bell, scoring two a 1-1 draw in knockdowns in making the 90 minutes, third defense of his 130-pound Arsenal won (59-kilogram) title. the shootout This was just Lomachenko’s 4-1. Photo: CFP 10th professional fi ght after he fashioned together one of the greatest amateur careers of all time. The two-time Olympic gold medalist (2008 and 2012) compiled a 391-1 record as an amateur and is now 9-1 as a pro with seven knockouts. Lomachenko turned professional in 2013. u Super Cup result unaff ected by VAR malfunction Cricket India clinch Test series Left-arm spinner Ravindra Jadeja broke the back of Sri German video review stumbles Lanka’s resistance after lunch to secure India’s series-clinch- ing victory by an innings and 53 runs in the second Test on The new German video review after regulation time ended 2-2. DFB and DFL cited offi cials become the fi rst top-level do- Sunday. ran into trouble on its fi rst seri- The play in question came as saying that, based on a sub- mestic league to implement The all-rounder claimed ous test, but despite the embar- when Christian Pulisic’s early sequent review of televised im- the system, while Germany and his ninth fi ve-wicket haul as rassment, offi cials insist it did goal for Dortmund was can- ages, the decision had been cor- Portugal are slated to test it this Sri Lanka, forced to follow on not decide the Bayern Munich celed out by Robert Lewan- rect and would have been the season. after being shot out for 183 in win over Borussia Dortmund dowski in the 18th minute. same with VAR. “We have always said that the fi rst innings, made 386 in in Saturday’s Super Cup. A referee was trying to de- VAR was used for the fi rst in the beginning of the VAR the second before collapsing The German Football As- termine if Bayern’s Joshua time in a senior international project, small problems could minutes before the tea break sociation (DFB) and German Kimmich was off side when he tournament during June’s Con- arise,” DFB’s chief referee in- on the penultimate day. Football League (DFL) said in made the assist. federations Cup in Russia. structor Hellmut Krug was It was a fi rst victory by an a joint statement that the still “The calibrated lines that the The system worked to vary- quoted as saying. “We will do innings or more for India in experimental video assistant video assistant normally has to ing degrees of success, with everything in our power to en- Sri Lanka and, following their referee (VAR) system had mal- support off side decisions were many incorrect decisions recti- sure, and are optimistic, that all biggest victory by runs in Galle functioned during Saturday’s not available in the fi rst half fi ed, but many critics accused the problems will be resolved a week ago, ensured an eighth match, stoking a debate about due to technical problems,” it of taking too long and being by the start of the Bundesliga straight series triumph under the new technology. they said, meaning the referee confusing for supporters. season on August 18.” Virat Kohli. Bayern Munich won the had to make the call without Australia’s A-League an- game 5-4 in a penalty shootout VAR,” the statement revealed. nounced in April that it would AFP Agencies Woeful Yeovil facing return to non-league if they can’t stop the rot

Played one. Lost one. A goal diff erence 27 matches. unacceptable.” This is his second full of minus six. To say that it was not a TALKINGBALLS It’s a downward spiral that they need season in charge and it is his squad. great opening day to the League Two to stop but Yeovil Town are unlikely He oversaw this summer’s spree that season for Yeovil Town would be an JONATHAN WHITE to get much chance in their next two saw the Glovers sign 10 players and lose understatement after they lost 8-2 away games. They face Championship side nine. Poor Jake Gray will maybe wish he at Luton Town. A year after that loss, Yeovil were Wolverhampton Wanderers at Moly- hadn’t joined – it will be a debut to forget It had all started off so well at promoted to the Championship – the neux in the newly named Carabao Cup for the former Luton player. Kenilworth Road for the visitors. They highest level the club have ever played midweek, before taking on Accrington While it’s certain to be a long season took the lead after seven minutes thanks – but that lasted just a season and one Stanley in their fi rst home league game for Yeovil, Luton – who Way said “should to a free kick from Otis Khan but that relegation was immediately followed by of the campaign. be the champions” ahead of the game – was as good as it got. By the time that another. Since returning to League Two No one should be sacked after one will likely be looking forward to it after the goal scorer had his penalty saved just they have struggled: The Glovers fi n- game of the season, but the fear that he becoming the fi rst team to score eight before halftime his side were 5-1 down. ished 19th on their return and then 20th will be the fi rst manager to be fi red this on the opening day of the season since To rub salt in the wounds, it was former last season. season must have been going through 1962. The last team to do so? Worryingly Yeovil keeper Marek Stech that stopped This is not the fi rst weekend that they Darren Way’s mind as the team trav- for Yeovil it’s Wednesday’s opponents it. have been bottom of the Football League eled back from Luton. His dismissal Wolves. By the time the fi nal whistle was table and Saturday’s performance sug- was likely a topic of discussion among blown the Hatters had helped them- gests that it won’t be the last. Based on the 258 fans who made their 150-mile The author is a Shanghai-based freelance selves to eight goals and Yeovil were the form of last season the fans would (241-kilometer) trip home as was the re- writer. [email protected] looking at their heaviest defeat in the be right to fear relegation. From being alization that they could be heading back Football League, matching the margin in sixth place in December, the club only to non-league 15 years after coming up. Page Editor: of the previous worst, a 6-0 loss to Steve- won three more games in a run that saw Way took full responsibility for a per- [email protected] nage in League One fi ve years ago. them take just 22 points from their last formance he described as “completely Monday August 7, 2017 23 SPORTS  Defending champion extends overall lead to 14 points Marquez seals 3rd victory in Czech GP

Honda’s Marc Marquez led a Span- negotiating his tire change early. took a big early lead but is now second before passing away. ish podium sweep at the Czech GP on The result leaves the overall standings after 10 of 18 races. Nieto sits second in the all-time list of Sunday to extend his MotoGP world on a relative razor’s edge as Marquez Having three Spaniards on the po- most motorcycling world championship championship lead with a second leads with 154 points ahead of Vinales dium was a fine tribute to 13-time world titles, two behind Italian great Giacomo straight win. on 140. Andrea Dovizioso is third on champion Angel Nieto, who popular- Agostini. Dani Pedrosa was second almost 13 133, Rossi fourth on 132 and Pedrosa has ized motorbike racing in Spain and was Only Agostini and current Italian seconds back ahead of Maverick Vinales 123 in fifth. killed aged 70 in a quad bike accident great Rossi have bettered his tally of 90 in third and nine-time world champion In his third win of the season the last week. Grand Prix victories. Valentino Rossi in fourth. defending champion Marquez was in Ahead of the day’s proceedings riders Nieto retired aged 39 two years after “I could have gone faster but there truly imperious form, starting from pole and teams from all categories gathered his final world championship in 1986. was no need to do so, I had it won and and dominating, holding his nerve dur- behind a banner saying “Gracias Mae- Earlier Swiss Kalex rider Thomas I’m not taking those risks anymore,” ing the tire change as he temporarily stro” (Thanks Master) and respected a Luthi emerged victorious from the rain- said the three-time world champion dropped down the field before gradually minute’s silence. interrupted Moto2 GP as champion- who however celebrated by standing on lap after lap extending his lead. Nieto was on a quad bike on Wednes- ship leader Franco Morbidelli finished his bike as he rode past the main stand After also winning in a similar fash- day when he “had an accident with a eighth. And Spain’s Juan Mir led a to an ovation. ion at the German GP last time out, Mar- tourism vehicle,” police said at the time. Honda sweep in the Moto3 race to reg- “These kind of races [mixed weather] quez has galvanized the defense of his He was rushed to hospital in a seri- ister his sixth win of the season from 10. can be very challenging and you have to title that was in danger of being a land- ous state where he remained in inten- remain focussed,” Marquez said after slide for the Yamaha tyro Vinales who sive care, but his condition deteriorated AFP

RoundUp All wet Spain’s Swimming Sebastian Martos falls Lochte back in pool at the water Ryan Lochte, the world and jump in the Olympic champion swimmer heats of whose false story about being the men’s 3,000-meter robbed at the Rio Olympic steeplechase Games brought a 10-month athletics ban, returned to the pool on event at Saturday at the US Open meet. the 2017 Two days after his 33rd IAAF World birthday, Lochte finished Champion- fifth in the men’s 100-meter ships at backstroke, clocking 55.16 the London seconds in a final won by two- Stadium time Olympic medalist Arkady in London Vyatchanin of Serbia in 53.91. on Sunday. Lochte made headlines Photo: AFP around the world when he claimed that he and three other US swimmers were robbed after a night of revelry during the Rio Games last year. Brazilian police later determined, in part based on surveillance video, that Lochte had largely fabricated the story. Tennis Zverev rips Nishikori Germany’s Alexander Zverev dominated Japan’s Kei Kenya’s Kirui wins men’s world marathon in London Nishikori 6-3, 6-4 on Saturday in a showdown of top-10 rivals to reach the Citi Open final. ATHLETICS don in glorious sunshine. goal will be to repeat it.” house in the marathon. Zverev, ranked a career-best “This is the best moment of Tola, the Olympic bronze “I was smart not to follow eighth last week, dropped only Kenya’s Geoffrey Kipkorir Kirui my career, easily,” said Kirui. medalist at 10,000 meters the Ethiopian,” Kirui said of seven points on his serve and won the men’s world marathon “I am so happy to win the and fastest in the field in Lon- Tola’s initial surge, with his never faced a break point in on Sunday, making up for his world title because it is my first don with his season’s best of rival blaming an old leg injury the 63-minute affair, extending country’s podium no-show in time at these championships. 2:04.11, led the field through for eventually falling off the ninth-ranked Nishikori’s ATP the last two championships. This was the best course and the halfway point in 1:05.28, Kenyan’s new pace. “When he title drought to 30 events over Kirui, this season’s Boston the best crowd I have seen at a accompanied by Kenyans Kirui tried to take off I knew I had to 18 months. The 20-year-old marathon winner, clocked 2 marathon. and Gideon Kipketer, with this hit my target at 35 kilometers from Hamburg will try for his hours 8 minutes and 27 sec- “I was not expecting to be a year’s London Marathon cham- then I started to move.” fifth career title and fourth of onds for gold, 1 minute 22 sec- world champion. I feared the pion Daniel Wanjiru a couple of Britain’s Callum Hawkins the year against 45th-ranked onds ahead of Ethiopian rival Ethiopian because he had such seconds back. finished fourth in a personal South African Kevin Anderson. Tamirat Tola. a fast time, so I just followed At the 1:38 mark, Tola best of 2:10.17, while Kipketer Alphonce Simbu of Tan- my plan to 35 kilometers and surged to open up a 20-meter claimed fifth in 2:10.56, a place Agencies zania claimed bronze, just 2 then felt my body to see how I lead on Kirui, but the Kenyan ahead of Italy’s Daniele Meucci, seconds adrift of Tola after was doing. Good for me it re- gradually reeled the Ethiopian given the same time, a personal Page Editor: 42 kilometers around a sponded well.” back in and spurted past him to best. wanghuayun@ globaltimes.com.cn 10-kilometer Thames river em- “Winning this title has been become the fifth gold medalist bankment loop in central Lon- my goal for so long. Now my from the east African power- AFP SPORTS 24 MONDAY AUGUST 7, 2017

Usain Bolt was left ruing a disastrous and left himself too much to do after record of 9.58 seconds in 2009 and now – I jumped in the crowd and went start as his failure to fire saw Ameri- finding himself behind Coleman. the 200-meter best of 19.19 seconds wild,” said the 35-year-old. “Usain can arch-rival Justin Gatlin poop what “It was rough,” he said. “I was a in the same year. said, ‘Congratulations, you deserve it.’ was supposed to be a party in his final little bit stressed. But I came out like “I’m sorry I couldn’t end it on a And that’s from the man himself. He 100-meter race at the world champi- at any other championships and I did winning note, but I want to thank you knows how hard I work.” onships on Saturday. my best. Thanks for the support. I for your support,” said Bolt after his Gatlin played down the jeering, “My start is killing me,” said Bolt, could never expect this from any other defeat on Saturday. “It’s been a won- perhaps summing up the difference who battled back up through the field crowd. They are what pushed me to do derful experience as always.” between him and Bolt perfectly by to claim bronze behind Gatlin and my best. Gatlin was loudly jeered by the sell- saying, “It’s not about the crowd. I silver medalist Christian Coleman. “The atmosphere was wonderful. I out 60,000 crowd at the London Sta- tuned it out through the rounds and “Normally it gets better during the knew they would come out. I’m just dium, where Bolt’s victory over him at stayed the course. I kept my energy rounds, but it didn’t come together. disappointed I couldn’t do better for the 2012 Olympic Games was hailed through the semis and came to the And that is what killed me. I felt it was them but that’s how it goes some- as triumph of “good over evil” given final to do what I do.” there.” times.” the American’s doping-tainted past. In 2004 Gatlin won the Olympic Gatlin, who has served two doping Although suffering a shock defeat “It’s just so surreal right 100-meter title before going on to bans, shrugged off the boos of the in his last appearance in an individual claim a world sprint double crowd to hail the great Jamaican, even sprint, his legend remains intact. He in 2005 and then falling dropping to his knees to bow to his won the 100 meters at the 2008, 2012 foul of doping laws. rival. and 2016 Olympic Games as well as Gatlin said Bolt had told him “you the 200 meters in those same years. AFP don’t deserve all these boos.” He was also 100-meter world “So I think for all that and inspiring champion in 2009, 2013 and 2015; Page Editor: wanghuayun@ throughout my career, he’s an amaz- 200-meter champion in 2009, 2011, globaltimes.com.cn ing man,” Gatlin said. 2013 and 2015. Bolt had complained about the For good measure, he starting blocks in Friday’s first round, set the 100-meter world

 Farewell party gate-crashed Bolt rues start in final 100m race

Usain Bolt kisses the track after his final 100-meter appearance at the 2017 IAAF World Championships in London on Saturday.Photo: CFP

Clear NATIONAL City Hi (ºC) Lo (ºC) Forecast August 7 Dali 26 18 Shower WEATHER Guilin 35 27 Cloudy Hangzhou 38 29 Cloudy Cloudy H: 35º H: 27º Kunming 27 18 Cloudy Beijing L: 24º Harbin L: 21º Lijiang 27 16 Shower H: 31º Urumqi L: 21º Humidity: 45% Macao 34 28 Cloudy Wind Scale: 3 Nanjing 36 28 Thunder Daily Air Pollution Index: Qingdao 32 26 Cloudy Overcast Low Sanya 34 27 Cloudy UV Index: Low Shenyang H: 28º Two-day forecast L: 20º Shenzhen 33 28 Cloudy Suzhou 37 30 Thunder

Rain H: 33º H: 28º INTERNATIONAL L: 23º L: 22º City Hi (ºC) Lo (ºC) Forecast

H: 34º Amsterdam 21 14 Overcast Tianjin L: 26º Bangkok 33 25 Rain Berlin 23 14 Overcast Shower Brussels 23 11 Overcast H: 28º H: 24º Hohhot L: 16º Xi’an L: 19º Cairo 41 26 Overcast Colombo 30 26 Rain H: 38º Frankfurt 24 13 Rain Shanghai L: 28º Thunder H: 29º Karachi 34 28 Rain Chengdu L: 22º Kuala Lumpur 29 25 Rain London 18 13 Rain Manila 32 25 Rain Melbourne 10 5 Rain H: 26º Mexico City 26 13 Rain Wind Lhasa L: 14º Moscow 24 12 Rain H: 36º Mumbai 31 25 Rain H: 39º H: 36º Taipei L: 28º Chongqing L: 24º Wuhan L: 28º Nairobi 23 14 Rain New York City 24 21 Rain Snow Paris 26 12 Rain Rome 33 22 Clear H: 36º Guangzhou L: 26º San Francisco 19 13 Rain Sao Paulo 22 9 Cloudy Seoul 31 26 Rain Smog Singapore 29 26 Rain H: 33º Hong Kong L: 28º Sydney 16 7 Rain Tokyo 32 26 Rain Washington 27 18 Rain Biz Update Biz Comment Biz Insight  Level of debt Biz Overview Risky overseas Illegal Foreign chipmakers cannot remains ‘under investments may fundraising hold down China B4-5 control’ B2 hurt nation B7 influxB8

www.globaltimes.cn BUSINESSMONDAY AUGUST 7, 2017 A salesperson sorts gold products in a store in Lianyungang, East China’s Jiangsu Province, in February. Photo: IC Gold reserves to surpass 4,000 tons  Risk aversion, global financial market prestige main reasons: experts

 ECONOMY “China’s central bank of Communications, told the Global cement China’s position in the global By Li Xuanmin Times on Sunday. financial market, as well as accelerate is apparently moving the yuan’s internationalization process China’s burgeoning gold reserves, Gold rush in the long run, Zhou Yinghao, a senior which some analysts estimated to have to increase the portion China has in its rapid economic analyst at the Beijing Gold Exchange surpassed 4,000 tons as of June, re- growth accumulated enough dollars Center, told the Global Times on Sun- flects the nation’s plan to diversify its of gold in its $3 trillion to maintain its trade account, and the day. reserves away from US dollars at a time foreign reserves.” country is now looking to diversify its He noted that one of the criteria that when the dollar’s value has plummet- portfolio to avoid potential risks, such determines whether a currency can ed, as well as to strengthen the coun- as the devaluation of US dollar, the qualify as “hard currency,” or globally try’s standing in the global financial Liu Xuezhi largest reserve currency in the domes- traded currency that serves as a reliable market, experts said. Senior analyst at Bank of Communications tic market, experts noted. and stable store of value, is the amount Although the People’s Bank of Chi- The value of US dollars has slipped of gold the country holds. na (PBC), the country’s central bank, by 9 percent in the first half of 2017, “For example, the influence of the has not publicly disclosed plans to The PBC claimed to hold 1,842 tons posting its worst-ever performance US dollar on the global economy is increase gold reserves since October of gold reserves in October 2016. In since 1985, news website wallstreetcn. partly because it has the biggest gold 2016, some market analysts, based on July 2015 and April 2009, the reserves com reported on Friday. reserves in the world,” Zhou explained. calculations on domestic gold output stood at 1,658 tons and 1,054 tons, re- The US Dollar Index was down 0.72 Still, China’s gold reserves only and imports in recent years, estimated spectively. percent at 93.37 on Friday’s close. represent around 3 percent of its total that the country’s above-ground gold Meanwhile, Chinese investors’ en- “Unlike credit currencies that are foreign exchange holdings, which is reserves totaled 20,193 tons as of June, thusiasm for purchasing gold remains subjected to market uncertainty, gold quite small, according to the cnfol.com according to a report published by do- unabated, as downward pressure on is a relatively safe and independent report. mestic industry website cnfol.com over the yuan continues and the property vehicle to hedge against fluctuating ex- The central bank may be fattening the weekend. market in first- and second-tier cities change rates and at least maintain the its gold reserves as it looks to increase While about 16,193 tons of gold are cools, said another report published by asset’s current value,” Liu said. the yuan’s share in the basket of cur- owned by Chinese citizens, the remain- the World Gold Council in July. The US Federal Reserve is expected rencies used to calculate the IMF’s Spe- ing 4,000 tons are held by the coun- In the first half, a total of 158.4 tons to raise its benchmark interest rate cial Drawing Rights, experts suggest. try’s central bank, said the report. of gold was sold in the domestic mar- again in December, which may prompt “The increase would be conducted The estimated number could mean ket, up 51 percent year-on-year, accord- the yuan to edge down, Liu said. in a gradual and stable manner, so as that China may have overtaken Ger- ing to data released by the China Gold At this time, increasing gold reserves to avoid exerting massive impact on the many as the second-largest holder of Association. could also serve as a cushion, buffering market,” Zhou said. gold in the world after the US, which “China’s central bank is apparently the yuan’s downward pressure and sta- has gold reserves of 8,133 tons based on moving to increase the portion of gold bilizing the yuan’s exchange rate, Liu Page Editor: [email protected] a report published by the World Gold in its $3 trillion foreign reserves,” Liu noted. Council. Xuezhi, a senior analyst at the Bank Abundant gold reserves could also

Send your tips, insights or photos to [email protected], or call our news line: +86 10 6536 7583 Address: The Global Times English Edition, 2 Jintai Xilu, Chaoyang District, Beijing 100026 B2 Monday August 7, 2017 BIZUPDATE  Nonperforming loan rate forecast to stay below 2 percent China’s level of debt remains ‘under control’

ECONOMY has not reached the average tries, which means that the risk at the end of 2016, represent- growth in the overall economy By Ma Jingjing level of developed countries, from debt is under control,” Xu ing 117 percent of the country’s and among SOEs is likely to said Xu Gao, chief economist at told the Global Times on Sun- GDP, according to Moody’s. slow down, according to a re- Experts say China is not at risk China Everbright Securities As- day. At the fifth National Finan- port Moody’s sent to the Global of a debt crisis, because the set Management. Also, debt levels vary among cial Work Conference that Times on July 21. country’s leverage ratio is not The leverage ratio is the government, corporate and concluded on July 15, top poli- The domestic banking sec- very high compared with devel- percentage of a country’s total household borrowers, with cor- cymakers emphasized financial tor’s operations remained oped economies and its debt is credit against its GDP. porate leverage ratios higher security and guarding against sound in 2016, with the rising supported by domestic depos- China’s total social financ- than that of other borrowers, systemic financial risks. They trend of nonperforming loans its. ing, a broad measure of credit Xu said, noting that authorities established a Financial Stability (NPLs) slowing, news site cnr. The comment came after in the economy, was 213 per- should cut capital flows into and Development Committee cn reported, citing a report re- The Telegraph reported on Sat- cent of GDP in 2016 and ap- hopeless companies burdened to oversee risk management leased by the China Banking urday that Harvard economics proached 217 percent of GDP with heavy debts, while sup- and coordinate the country’s Association on Friday. It said professor Ken Rogoff asserted a in the first half of this year, ac- porting promising companies financial reform, the Xinhua the domestic banking sector hard landing for China is inevi- cording to data from Moody’s through measures like debt-to- News Agency reported. will remain stable this year. table because of the country’s Investors Service in July. equity swaps to optimize debt With rising scrutiny from Industry insiders forecast heavy debt and reliance on in- “Moreover, the country’s structure and lower risks. the highest levels of China’s that the overall NPL rate of do- vestment-driven development. debts are supported by large Non-financial State-owned government on financial stabil- mestic banks will stay below 2 China’s leverage rate is not amounts of deposits rather enterprise (SOE) liabilities were ity in general and SOE leverage percent this year, which is a low very high, considering that it than loans from other coun- 87 trillion yuan ($12.9 trillion) in particular, the pace of debt level, the report said.

Lynked in Web finance added to risk assessment method

FINANCE China will explore methods to include large Inter- net financial businesses in its macro prudential assessment (MPA) of systemic risk, the Xinhua News Agency reported Saturday. The central bank will improve its oversight system and strengthen regulation of Internet businesses, let industry and local associations play a bigger role in oversight, and promote new technology, said the report. The development of Internet finance has helped broaden people’s financial reach, improved efficiency of financial services, given -Chi The inside view of a nese more investment options, and helped some Lynk & Co “01” concept small businesses get badly needed loans. car. The car was on The first peer-to-peer lending platform opened display during a signing in 2007. The platforms exploded in popularity, ceremony between Geely with their number increasing 18-fold between Holding and Volvo Cars, in 2012 and 2015. Hangzhou, East China’s Zhejiang Province, on Friday. The two firms Xinhua – Global Times have formed a joint venture called GV Automobile Technology Co to make the car. Photo: IC RoundUp

INDUSTRY Overseas use of domestic bank cards to be monitored Aesthetic medicine market soaring The aesthetic medicine market is booming, Cao Dequan, vice secretary of general of the BANKING card-issuing financial institutions Tan Xiaofen, vice director of the Chinese Association of Plastics and Aesthetics, said at a recent forum in Beijing. By Dong Feng shall report information on all over- International Finance Research Cen- seas withdrawals and single deals ter at the Beijing-based Central Uni- Cao said the legal consumption of injection Starting from September 1, all banks worth more than 1,000 yuan ($150) versity of Finance and Economics, products, including botox and hyaluronic acid, could are required to submit cross-border via domestic bank cards. told the Global Times on Sunday that reach 10 million units this year, up from 4 or 5 million transactions made with cards to the Statistics show that the total the measure aims to track repeated five years ago. He said the market size of the aesthetic State Administration of Foreign Ex- amount of overseas bank card trans- overseas transactions to verify they medicine industry has had an average growth rate of change (SAFE), according to a media actions by individuals surpassed represent real deals. The tracking sys- 15 to 25 percent per year in the past five years. report. Experts assure there’s no ac- $120 billion in 2016, the report said. tems might facilitate an ongoing anti- tions required by consumers. Liu Jian, a senior research fellow corruption drive, Tan said. REGULATION According to the Beijing Youth at the Bank of Communications, said In recent years, some enterprises Coal mine oversight improves Daily on Sunday, the SAFE published that consumers have nothing to wor- have been attempting to issue do- China improved its oversight of coal mine safety in the a circular on reporting overseas bank ry about as this is a backend opera- mestic bank cards under employees’ first seven months of the year. card transactions in early June. tion by financial institutions. names for asset transfer, Tan said, From January to July, local authorities imposed Experts said this is part of a wider “Data collection might provide a adding this regulation will help iden- 3,967 administrative penalties, up 91.7 percent year- array of measures to fight money solid foundation for new technolo- tify asset transfer intentions. on-year, the Xinhua News Agency reported over the laundering and terrorism financing. gies such as big data,” Liu noted. weekend. Fines totaled 333 million yuan ($50 million), To improve the statistics on and “With the support of big data, ana- Page Editor: up 93.9 percent year-on-year. to monitor the propriety of overseas lytics results will be more accurate [email protected] bank card transactions, all domestic regarding questionable transactions.” Xinhua – Global Times Monday August 7, 2017 B3 BIZMARKETS  Capital lured from overseas by stable yuan and high onshore rates Foreign holdings of Chinese bonds up in July

Foreign investors increased vestors increased their holdings “In the early days, it’s mainly Since then, the program has spokeswoman at Hong Kong their holdings of Chinese of all Chinese bonds by 37.8 bil- the overseas companies of Chi- been slow to take off as many Exchanges and Clearing did not bonds for a fifth consecutive lion yuan in July to 841.5 billion nese institutions that are com- overseas investors adopt a wait- provide trading data, but said month in July. yuan. ing in [through Bond Connect]. and-see attitude to increased that 24 onshore institutions are Holdings of Chinese trea- For the first seven months Later, there should be real over- participation in the onshore participating in the program as sury bonds by overseas inves- of the year, foreign holdings of seas institutions. Overseas in- bond market. dealers, providing quotations to tors rose by 37.82 billion yuan Chinese debt rose by 62.6 bil- vestors need time,” said David The 7.05 billion yuan in ag- more than 150 overseas institu- ($5.62 billion) in July to 487 billion yuan. Qu, markets economist at ANZ gregate first-day trading vol- tional investors. lion yuan, according to Reuters’ While the monthly increase in Shanghai. umes through Bond Connect Market participants say that calculations based on data from in holdings of all Chinese Considered as a significant represented a small fraction the potential inclusion of Chi- China Central Depository and bonds was the highest since step toward increasing coopera- of trades in a market where a na’s $9 trillion bond market Clearing Co, the official bond September 2016, the numbers tion between capital markets single trader chat group can into major global bond indexes clearing house. appear to reflect Chinese mon- in the Chinese mainland and produce daily trade volumes of would prompt large inflows Increases in holdings of Chi- ey lured home from overseas Hong Kong, the Bond Connect 10 billion yuan. into the market, with some ar- nese treasury bonds and some by a stable yuan and relatively scheme began on July 3 with Regulators have not released guing that the Bond Connect corporate bonds offset a net high onshore rates, rather than the opening of “Northbound” additional Bond Connect data itself removes some barriers to decrease in holdings of policy significant new interest among trade, allowing eligible Hong since July 3. inclusion. bank bonds. foreign buyers prompted by the Kong and overseas institutions In an e-mailed response Data showed that foreign in- Bond Connect scheme. to buy and sell onshore bonds. to questions from Reuters, a Reuters – Global Times

Shanghai stocks post Stronger European trade seventh week of gains STOCKREVIEW

Shanghai stocks ended the last week higher, marking their seventh consecutive weekly gains. Over the past week, the benchmark Shanghai Composite Index gained 0.3 percent, supported by the continued strength in resources firms. The materials sector outperformed most sectors, with a gain of 5.5 percent last week, as the earnings of material firms benefited from the building frenzy amid China’s pursuit of supply- side reform. “The strong rally in cyclicals, including steel- makers and non-ferrous metals producers, is not over yet as valuations for those firms remain low,” analysts with Wuhan-headquartered Changjiang Securities said in a Reuters report. However, last Friday, major stocks in the Chi- nese mainland fell, with the Shanghai index end- The first freight train between Prague and Yiwu, a commodity distribution hub in East China’s Zhejiang Province, ing down 0.33 percent at 3,262.08 points. arrives at the Chinese city last Friday. It left the capital of the Czech Republic on July 19, carrying 82 containers The smaller Shenzhen Component Index fell with about $5 million worth of Czech goods. As of the end of July, a total of 214 trains had departed from Yiwu to 0.72 percent to 10,361.23 points. The blue-chip cities in Europe under the framework of the “Belt and Road” initiative. Photo: IC CSI300 index fell 0.54 percent to 3,707.58 points, notching a weekly loss of 0.4 percent. Tech-heavy start-up board ChiNext remained sluggish Friday, losing 0.78 percent to 1,719.62 China’s money rates ease as seasonal factors fade points as investors turned their backs on leading tech firms that have posted slumping profits. Market investors’ sentiment was hit after news China’s primary money rates eased Over the past week, the People’s tem liquidity by “cutting the peaks to circulated last Wednesday that the US may open last week as liquidity conditions im- Bank of China (PBC) drained a net fill in the valleys,” paying close atten- a probe into China’s intellectual property regime. proved following the month-end peak 40 billion yuan ($5.95 billion) from tion to changes in cash conditions in They are also awaiting economy data due in demand for cash and even as the cen- the market via its reverse bond repur- the market. the coming weeks that many expect will point tral bank drained funds. chase agreements, compared with Ming Ming, analyst at CITIC Secu- to a steady growth in the world’s second-largest The volume-weighted average rate a net injection of 280 billion yuan a rities, said in a note last Friday that he economy in July. of the benchmark seven-day repo week earlier. expects monetary policy and financial Many securities analysts have predicted that traded in the interbank market, con- Lu Zhengwei, chief economist at regulations to “stabilize” in the sec- the Shanghai index is facing pressure to pass the sidered the best indicator of general Industrial Bank in Shanghai, said ond half of this year. 3,300-level in the near future. liquidity in China, was 2.7725 percent the PBC’s switch to net cash drain via He said money rates would “hard- Last week, 46 new small and medium-sized last Friday, more than 8 basis points open market operations did not mean ly surpass the highs reached earlier enterprises debuted on China’s National Equi- lower than the previous week’s clos- a change in monetary policy. this year,” noting that tightened fi- ties Exchange and Quotation, also known as the ing average rate at 2.8543 percent. Banks usually shore up their cash nancial regulations and the country’s “new third board,” bringing the total amounts on Traders said cash conditions in the positions at the end of the month to deleveraging campaign had sent key the board to 11,313, official data showed Saturday. money market were balanced with a meet regulatory requirements, which money rates to two-year highs at the Analysts said that this may put some pressure on tightening bias. drains funds from the banking sys- end of April. the liquidity on the main board. One trader at a Chinese bank said tem. Cash conditions in the money Turnover on the new third board hit 3.67 bil- although seasonal factors had faded, market traditionally get tight during Reuters – Global Times lion yuan ($547 million) over the past week, up the central bank’s unwillingness to that period, but they ease at the begin- 5.17 percent from the previous week. inject net cash into the market over ning of the month. Page Editor: [email protected] the past week had driven market par- Some market watchers said the Global Times ticipants cautious. PBC had now managed banking sys- B4-5 Monday August 7, 2017 BIZOVERVIEW

u Figuratively Speaking growing concern over China’s heavy New York Times reported on August 1. Apart from the central government, trend for China to become a global Makingheadlines uPOLICY investment and policy support in the China’s eff orts, under its “Made governments in several Chinese prov- leader cannot be reversed with.” By Wang Cong semiconductor industry, and they are in China 2025” policy, to become a inces have also been investing heavily However, to catch up on global lead- Report on July foreign reserves while imports expanded 17.2 percent, which Internet users in China as of reportedly weighing countermeasures. leading manufacturer in such fi elds and supporting the chip industry, ac- ers in the semiconductor industry may Figures on China’s foreign exchange reserves left the country with a trade surplus of $42.77 751m June, which accounted for more Relentless eff orts by China in recent In South Korea, Kwon Oh-hyun, as semiconductors, driverless cars, ar- cording to Wang Yanhui, head of the take some time, given the standing of in July are scheduled for release on Monday. billion for the month. than 54 percent of the country’s years to develop its semiconductor in- vice chairman of Samsung Electronics, tifi cial intelligence and robotics, have Shanghai-based Mobile China Alli- the Chinese semiconductor industry The reserves ticked up $3 billion during June population and one-fi fth of all dustry to reduce reliance on imports one of the world’s largest chipmakers, caught the attention of US offi cials, ac- ance. in the global market, said Xu Xiaohai, to $3.057 trillion, compared with an increase of Money supply, loans data global netizens. for key technologies have drawn con- said that the country’s semiconduc- cording to the report. “We have seen some major eff orts an industry insider. $24 billion in May to $3.054 trillion. As of June, The People’s Bank of China, the central cerns from some foreign key players tor industry is facing a talent shortage The Chinese government has des- both on the central and local govern- “We are still behind these countries it was the fi rst time that reserves had climbed bank, is expected to release M1, M2 in the fi eld. because of an outfl ow of engineers ignated the semiconductor industry as ment levels in supporting the semi- in terms of market share … and tech- for fi ve months in a row since June 2014. and new loan fi gures for July. Dominant players in the global abroad, mainly to China, the Korea a crucial one for development and has conductor industry in recent years,” nologies,” Xu told the Global Times, Reuters expect China’s reserves to have Chinese banks extended 1.54 trillion yuan in Year-on-year sales growth in China semiconductor sector like the US, Times reported on August 1. thrown much support behind the in- Wang told the Global Times on Sun- adding that more investment and sup- increased slightly to $3.069 trillion in July from net new yuan loans in June. Broad M2 money 11.6% by Honda in July, to 113,803 units. South Korea and Japan feel threatened “China’s drive to boost its semicon- dustry, in an apparent move to reduce day. “I think that’s why some foreign port from the government is needed $3.057 trillion in the previous month. supply grew 9.4 percent in June from a year by China’s drive and are trying to block ductor industry is considered a threat heavy reliance on foreign countries as countries are increasingly concerned.” to further help the industry. “The gov- earlier, slightly missing Reuters forecasts for an it from acquiring the necessary tech- from the long-term perspective,” demand for microchips in China con- Those eff orts could really push for- ernments of the US, Japan and South Export, import statistics expansion of 9.5 percent and compared with nologies. Although such eff orts might Kwon said in a meeting with President tinues to grow. ward China’s semiconductor indus- Korea also off ered capital and policy China is expected to report another strong May’s 9.6 percent. Outstanding yuan loans slow China’s pace in making break- Moon Jae-in, according to the Korea Most recently, the State-owned In- try, said Xiang Ligang, chief executive support developing their IC industry.” month of exports for July when fi gures are grew 12.9 percent as of month-end on an an- throughs in the fi eld, they won’t stop Times report. “We will expedite tech- tegrated Circuit Fund announced in of domestic telecom industry portal From 2001-16, the value of China’s released this week. nual basis. the nation, given its government’s nological development and take extra mid-July that it would invest 20 billion cctime.com. “It is without doubt that IC market grew more than 23-fold to June exports rose 11.3 percent from a year Decline in sales of China’s top laser-like focus on the sector, Chi- care not to lose our technologies and yuan ($2.97 billion) into China Elec- China will one day become a global 1.2 trillion yuan. But the domestic earlier, beating Reuters analysts’ expectations, Global Times – Reuters three real estate companies in July. nese experts said on Sunday. human resources.” tronics Corp for the development of leader in chipmaking, just like the cell- industry share of IC design ac- 20.1% Government offi cials In the US, offi cials are reportedly the integrated circuit (IC) sector. The phone and computer industries.” counts for only 8 percent of Sales of the top 30 decreased by 42.2 percent. and business lead- considering a wide-ranging investiga- fund, which was set up in 2014, had Xiang told the Global Times that the world total, according ers in the US and tion into China’s trade practices, amid invested in 37 domestic companies it’s natural that countries like the US a report released by the Douban reforms budgets, weighs listing South Korea growing concerns over China’s bid to involving 50 projects as of the end of and South Korea are getting nervous China Semiconductor have shown become a global leader in microchips, June, the Xinhua News Agency report- because their current dominant posi- Industry Associa- and other crucial technologies, the ed on July 24. tion in the market is threatening, “the tion in March. uINTERNET ding, a Beijing-based independent tech- First-half retail sales in July in By Zhang Hongpei nology analyst, told the Global Times on 56.7b yuan Shanghai, surpassing Beijing for Sunday. the fi rst time. Douban, a Chinese social networking web- Douban, the Chinese Internet commu- site, said Saturday that it will implement nity where many young people can share independent budgets for each of its busi- and follow their tastes in books, movies ness lines during the second half of 2017 and music, was founded in 2005, and it and weigh an overseas IPO. had accumulated 150 million users by the Founder Yang Bo said in an internal let- end of 2016, with monthly active users Financing arranged by 13 vehicle ter that Douban will specifi cally focus on reaching 300 million, Caixin.com said. 12.8b yuan fi nancial service providers as of Focus on chips draws two goals -- accelerating the growth of app “Douban has defi nite advantages in the end of June this year. users and speeding up revenue growth, its user base and user stickiness as well domestic news outlet Caixin.com reported. as its infl uence, which should have been The company will also eliminate low- tapped,” Liu said. profi t products and operations. But Liu said the company’s problems concern overseas “Each business line will start an inde- lie in the operating team, which is a group pendent budget, managing each output of young people who love music and the u Dominant foreign players ‘won’t and cost … Priority should be put into tar- arts but are chasing a dream rather than Aroundtheworld gets and results instead of eff ort and ac- pursuing a business plan. succeed’ in blocking China tion,” Yang said in the letter. Since its foundation, Douban, “the spir- Work begins on Angola power station As the core brand and team for the com- itual corner” of the Chinese Internet as Construction of the Caculo Cabaca hydroelectric pany’s commercial transformation, Dou- labeled by its founder, has found it tough power station in Kwanza-Norte, Angola began on ban Time, an online product launched in to turn a profi t despite many remakes and Friday, the Xinhua News Agency reported. It is the March, has generated revenue by inviting transformations. largest project for a Chinese company in Africa. noted industry professionals to lecture on It raised $50 million in a round C fund- Under a contract worth $4.5 billion, Hubei-based some topics, for which listeners will pay. ing in September 2011 after several fund- China Gezhouba Group Corp is scheduled to com- Revenue of Douban Time, currently raisings. plete the project within 80 months, creating nearly including nine columns, reached 1 mil- Nonetheless, Liu predicted that Dou- 10,000 jobs for Angola. It said that the installed ca- lion yuan ($148,700) within fi ve days of its ban would conduct an IPO during 2018- pacity of the station will be 2.17 million kilowatts, launch, data from Douban showed, Caixin. 2019, which would be an IPO “window” which can satisfy more than 50 percent of the Afri- com reported. for several Chinese Internet companies in can country’s electricity needs. A IC solution provider in Shenyang, “Paying for valuable content online is the US. In addition, construction of the Amur gas pro- Northeast China’s Liaoning becoming increasingly accepted by more Douban’s market valuation could ex- cessing plant in Russia began on Thursday. With an Province in May Photo: CFP users, and in that sense, Douban is now ceed $1 billion, according to Liu’s assess- annual gas capacity of 42 billion cubic meters, the taking the right business path,” Liu Ding- ment. project is crucial to diversify China’s clean energy imports, said a report on the website of China En- ergy Engineering Group Co. plying power on a small scale to such as price and timing still to Muse, in northeastern Myanmar, China in talks to sell electricity some remote Myanmar towns be worked out. to Meiktila in the center of the Chinese bank IPOs in Hong Kong underperform broad index Chinese investor eyes Manchester United near their shared border, the talks Htain Lwin, spokesman of country, the documents show. A mysterious Chinese billionaire has expressed in- to Myanmar amid warming ties are the fi rst to discuss connect- Myanmar’s ministry of electric- The agreement was extended terests in buying a stake in the Manchester United ing the national grids of the two ity and energy, confi rmed initial for six months in May this year uMARKETS buying wealth management products Asset Management in Hong Kong. “It’s Football Club, The Sunday Times reported. countries to meet Myanmar’s ur- talks had taken place but declined and a feasibility study for the Smaller Chinese banks that have listed in the Chinese mainland are unclear. not that transparent what kind of in- Negotiators on behalf of the potential buyer have uUTILITIES nan Province. gent demand for electricity. to comment further. 500-kilovolt transmission line is in Hong Kong in the past year are un- Of the six banks that have listed in vestments they are making.” contacted some shareholders of the club in the past Myanmar is in initial talks to buy Three Chinese State-owned With only one-third of Myan- “Myanmar needs electricity, under way. derperforming the rest of the market, Hong Kong in the past 16 months, all Those concerns may dampen de- several weeks in an attempt to buy a holding in the electricity from China, according companies have proposed sepa- mar’s population connected to and if China off ers a compelling State-run China Southern and their exposure to China’s shadow are underperforming the benchmark mand for upcoming deals expected club, the report said. to offi cials and documents re- rate plans to plug Myanmar’s na- the grid and major cities experi- plan to provide more power, then Power Grid Co proposed a simi- banking system may be a major reason. Hang Seng index. From their IPO pric- from Bank of Gansu, China Bohai At present, the US-based Glazers control about viewed by Reuters, the latest sign tional power grid into Yunnan’s encing blackouts, buying electric- it ought to be considered,” said lar plan in June to carry power The lack of appetite for these shares es, their shares have moved between a Bank Co and Bank of Jiujiang. The 80 percent of the club and the rest is held by funds, of warming ties with the Chinese electricity network, according to ity from Yunnan could be a short- Jeremy Mullins, research director from Yunnan via a high-voltage is likely to make it more diffi cult for the gain of 7.5 percent, in the case of Jilin three banks to list so far this year (Jilin according to The Sunday Times, adding the inqui- government under leader Aung documents reviewed by Reuters term solution to boost its power at Yangon-based consulting fi rm cable, according to the docu- dozens of smaller Chinese banks that Jiutai Rural Commercial Bank, to a de- Jiutai, Guangzhou Rural Commercial ries came amid rumors that some members of the San Suu Kyi. and two people familiar with the supply, the two people familiar Myanmar Energy Monitor. ments. also wish to list, bankers said. Only if cline of 21.5 percent for Bank of Tianjin. Bank and Zhongyuan Bank) were all family would sell a stake, with an 8 percent share Since taking offi ce in April last talks. with the talks said. One proposal is from State- A third plan, proposed by they are able to sell a big portion of their The Hang Seng Index is up 20 percent priced toward the bottom of their in- off ered for sale last week, the report said. year, Suu Kyi has sought to re- Rural Yunnan, which gener- “China welcomes the plan, but owned China Electric Power CSG’s subsidiary Yunnan In- shares to cornerstone investors will since Jilin Jiutai went public in January dicative ranges, indicating that investor pair relations that were strained ates about 85 percent of its elec- Myanmar is still reviewing the Equipment and Technology Co, ternational Co, would use an they fi nd it easy to list. and has gained 35.3 percent since Bank sentiment remains weak. Global Times when a previous semi-civilian tricity from hydropower, already details,” said one of the people, a which signed a memorandum existing cable to carry power to Investors are wary of the levels of of Tianjin’s debut in March 2016. Hong Kong’s Securities and Futures government in 2011 blocked a sends surplus power to more de- senior Myanmar energy offi cial. of understanding with Myan- Meiktila from Yunnan via Muse, disclosure from the banks that have “You really fi nd it diffi cult to fi nd a Commission declined to comment Page Editor: China-backed dam, which was veloped eastern China, as well as The “government-to-government mar in March last year to build Reuters reported. listed in Hong Kong in the past year, catalyst at this moment to invest into about the banks’ level of disclosure. [email protected] supposed to send most of its elec- Vietnam and Laos. talks” are still at an early stage, a high-voltage transmission line bankers said. They said that the risks of the banks,” said Arthur Kwong, head tricity to Southwest China’s Yun- While China has been sup- the offi cial added, with details running from the border town of Reuters – Global Times the banks’ involvement in selling and of Asia-Pacifi c equities at BNP Paribas Reuters – Global Times B4-5 Monday August 7, 2017 BIZOVERVIEW

By Xiong Yuan system and out of the real economy is such as illegal online fundraising, tech- Risk prevention and regu- being facilitated by the use of leverage. nological failures, information leaks, ince mid-2016, the importance It’s thus understandable that after online fraud and peer-to-peer lending of risk prevention has gained latory tightening are more the annual two sessions earlier this firms whose bosses abscond with inves- Sfrequent mention at meetings at than just words on paper; year, many government bodies includ- tors’ money. various levels in China. The recently ing the central bank, the regulatory Given that Internet finance has concluded National Financial Work Con- they call for craftsmanship, agencies that oversee the banking, grown to be a new source of risk facing ference, held only once every five years, professionalism and the securities and insurance sectors, the China, it is expected that the industry clearly stated that the nation needs to art of wisdom. Ministry of Finance, the National will experience some hard times in guard against financial risks. Development and Reform Commission years to come. It’s envisioned that risk prevention and the Ministry of Commerce have all A vibrant financial sector can will remain a key issue in China in the Local government debt, as such, rep- moved to toughen oversight, primarily invigorate the economy and a stable years to come and there won’t be a regu- resents a huge threat to fiscal stability. over financial leverage. one can steady it. China is undergoing latory shift until there are signs that the The twice-a-decade financial meeting Fourth, Internet finance is a double- a critical economic restructuring and financial risks confronting the country clearly said that the country will curb edged sword when it comes to risk. It the importance of preventing financial have been fundamentally neutralized. additions to government debt and hold boosts competition in the financial mar- risks and ensuring financial stability Among the most-watched risks are officials responsible for life if they fail to kets, increases the efficiency of capital can’t be overemphasized. Regulators housing bubbles, the local government do so. It was by far the harshest regula- allocation, reduces the cost of financial and policymakers must seek a balance debt problem, high financial leverage tory statement on the local government services and explores the boundaries of between financial regulation and de- and woes concerning Internet finance. debt issue, and it also showed how seri- financial services. The Internet finance velopment and also between financial First, the risk of a property bubble is ous the problem has become. sector has gained tremendous popular- reform and innovation. Risk prevention the biggest “gray rhino” facing China. Third, financial leverage has ity in China since 2013. and regulatory tightening are more Home prices have soared in recent increased. Since the 2008 global However, there is still a large void than just words on paper; they call for years and people have used leverage financial crisis, China’s overall debt-to- in the country’s legal, regulatory and craftsmanship, professionalism and the to buy homes, even as mortgage rates GDP ratio – as well as the debt held by policy framework that has yet to put art of wisdom. went up, causing huge bubbles in the households, non-financial companies, Internet finance under effective scru- housing market. Statistics show that financial institutions and government tiny. The sector remains in a stage of The author is a research fellow at the household debt as a percentage of GDP departments as a portion of GDP – untamed growth, with varied problems International Monetary Institute (IMI) hit 45 percent at the end of 2016, 1.6 has been on an upward trajectory. In of Renmin University of China. times the level five years earlier and comparison, the US, Europe, Japan and [email protected] three times the level 10 years earlier. other developed economies have largely The rapid rise of the ratio can be ex- undergone deleveraging. plained simply by the fact that growth It’s especially noteworthy that in disposable income didn’t keep up there have been several rounds with higher home prices. of drastic swings in China’s Fortunately the government has capital markets since the stepped up property curbs since last Oc- second half of 2015. In all tober and moved toward a fundamental these cases, the “culprit” mechanism of long-term regulation is believed to have been of the housing market that both suits the use of leverage such the country and complies with market as margin lending and a rules. form of equity leverage Second, the local government debt financing known as risk is seen as a sword of Damocles umbrella trusts. hanging over the head of the Chinese Further, small and economy. In recent years, frequent medium-sized Chinese violations of the borrowing and col- banks have in recent lateral rules by local governments have years expanded their been uncovered and the scale of local assets at an annual- government debt has surged. There is ized rate exceeding 30 also a vast amount of hidden debt accu- percent. In addition, mulated by local government financing the tendency of many vehicles, unregulated public-private in the asset manage- projects and government investment ment sector to keep Illustration: Luo Xuan/GT funds. capital in the financial Aggressive economic, tax reform may be hurting India’s performance in short term

By Wang Jiamei YEONTHEECONOMY new system, which is economic fragility. Due to the for private investment to pro- E expected to affect sales large amount of bad loans in pel economic growth, which is It comes as no surprise that In- and production in the sectors such as power, infra- why the central bank cut inter- dian business activity contract- short term. structure and steel, India’s est rates by 25 basis points last ed sharply after the implemen- 53.1 in June to 45.9 in July, the Some media reports sug- banking sector is reluctant to week to the lowest level since tation of a new national tax in lowest since September 2013. A gested that demonetization last extend new loans these days. 2010. Whether the rate cut can July. Questions are being raised reading below 50 points to con- year was also in part to blame. That situation directly led to the help revive investment remains about whether the country’s re- traction. India’s GDP grew 6.1 percent slump in investment growth by to be seen. form program is too aggressive Analysts generally believe year-on-year in the first quarter, domestic companies, which hit Hopefully, it will inject suf- and how long the economic that these contractions were well below the median fore- a 25-year low in fiscal 2016-17, ficient momentum to help the sluggishness will last. caused by the implementation cast of 7.1 percent according to according to media reports. Indian economy sustain its ag- The Nikkei/IHS Markit In- of the Goods and Services Tax a Reuters report, as a result of Since the services sector con- gressive reform agenda. dia composite Purchasing Man- (GST), which led to disruptions the government’s decision in tributes more than 60 percent agers’ Index (PMI), which mea- to business activity. November 2016 to prohibit the of India’s economic growth and The author is a reporter with sures both manufacturing and The most ambitious tax re- use of 86 percent of its cash. the financial sector represents the Global Times. bizopinion@ services activity, plunged to 46 form for India in 70 years, the While “iron fist” reform an important share of the ser- globaltimes.com.cn in July, its lowest reading since GST is meant to unify the $2 measures seem to have caused vices sector, the Indian econo- March 2009, from 52.7 in June. trillion economy into a single the slowdown in India’s eco- my is expected to face pressure Page Editor: The PMI for India’s dominant market, but many companies nomic growth, the real reason amid a scarcity of capital. [email protected] services sector dropped from are still confused about the may have been the country’s Thus there is an urgent need Monday August 7, 2017 B7 BIZCOMMENT Risky investments may squander sweat of masses

Illustration: Luo Xuan/GT done. In term of policy design, the government should take full account of the occurrence of various problems, in particular, those capable of leading to serious consequences. In addition, as bodies with the responsibility of controlling risk, banks and other financial institutions should never recklessly be attracted by short-term profits. In such cases, the people responsible for the risky investments, especially the key person, must be held responsible for the risks and the results. It is important to empha- size that curbing irrational

By Tan Haojun ecently, conglomer- ates including Fosun, RWanda and HNA that were in the limelight for large-scale overseas investment have responded to new announcements by the government demanding rationality out, these in overseas investment. Guo companies Guangchang, chairman of are suspected Fosun, said he believes that of transferring assets the recent regulations aim- abroad while leaving the bur- ing to stem chaos in Chinese den of risk on China’s financial overseas investment are very system. necessary and timely. Wanda The government encour- CEO Wang Jianlin has also ages firms to expand over- worth the risks. taken the initiative to say that seas, and offers resources for These unreason- his company has decided to enterprises to pursue interna- able acquisitions violated the an increase in revenue or other investment will by no means make their main investments tionalization. However, blindly laws of economics. benefits, but leave the domes- discourage enterprises from in China. buying foreign companies is In face of this situation, tic financial system at great expanding overseas. Going Official data shows that dur- by no means the proper way to regulatory institutions have risk through highly leveraged global must bring good things ing the first half of this year, expand. If companies frantical- issued warnings about this mergers, such acquisitions to the country instead of ham- China’s direct foreign invest- ly buy businesses and assets, behavior. Wanda, Fosun and must be investigated thor- pering its development and ment was 331.1 billion yuan regardless of risk, cost, price other companies have all oughly. putting its foundations at risk. ($49.25 billion), down 42.9 and prospects, there must be announced they are paying Undoubtedly, some ir- It should benefit the public. percent from the same period severe hidden problems. Such down their debts. Wanda’s rational overseas investments China’s current prosperity and last year. Overseas investment acquisitions and investments behavior in particular could be slipped past regulators. These progress were created by the in real estate, culture, sports must be stopped. better described as responding companies often invested in sweat of the diligent Chinese and entertainment has fallen Over the past several years, to regulators rather than its foreign companies under the people. We won’t allow their by more than 82 percent, some overseas mergers and stated reason of applying an name of expanding overseas. wealth be stolen. To this we accounting for only 3 percent acquisitions have clearly asset-light strategy. We can’t help but ask, did the should attach the highest of total foreign investment – a violated the regulatory bottom In fact, if overseas invest- relevant authorities consider importance. stark contrast to the frenzy of line and the normal standards ments are not capable of the risk, the consequences the past several years . This for making an acquisition. The providing China with scarce and the possibility of irrational The author is a financial craze resulted in an extremely purchase prices deviate from resources, emerging technol- overseas investments? From commentator from Zhenjiang, high asset-liability ratio. As their fundamental values and ogy, advanced management to the current situation, obvious- East China’s Jiangsu Province. the authorities have pointed the expected proceeds aren’t expand domestic employment, ly, there’s much needed to be [email protected] Sogou IPO depends on close ties with Tencent for generating Wall Street heat

Baidu rival Sogou is planning an IPO in a year earlier. Comparable sales at Bai- for its second place in the market. That ter, up from 49 percent last year, Wang the US. But convincing investors to back du rose 5.6 percent. But this is from a translates to an equity value of about told investors recently. a distant No.2 in China’s mobile-search low base – Baidu’s search revenues are $2.7 billion. If Sogou can persuade investors We- market could be tricky. Sogou’s relation- more than ten times larger. And the Achieving more will require Sogou Chat will help deliver years of turbo- ship with backer Tencent will be key. dominance that Alphabet’s Google unit to play up its ties with Tencent, China’s charged growth, that would be a great On Monday, controlling shareholder enjoys in Western search shows this is most valuable technology company. The result. Sohu said it wanted to float the unit. something close to a winner-takes-all latter bought a stake in 2013 and folded While it did not give any financial de- market: the largest player typically en- in its Soso search unit. Sogou says a big The author is Alec Macfarlane, a Reuters tails, Sogou Chief Executive Wang Xiao- joys a virtuous circle where more users chunk of traffic now comes from Ten- Breakingviews columnist. The article was chuan told Bloomberg earlier this year means better data and more interest cent platforms, including the phenom- first published on Reuters Breakingviews. he expected a $4 to $5 billion valuation. from advertisers. enally popular chat app WeChat, and [email protected] That looks like a stretch. To be sure, Analysts at 86Research argue Sogou search results now include public We- Sogou, or “search dog,” is growing faster ought to be worth about 16 times next Chat content. Page Editor: than Baidu. Second-quarter revenues year’s earnings, adjusting for its cash Mobile sales made up 76 percent of [email protected] of $211 million were up 20 percent on holdings, and then applying a haircut total search revenues in the second quar- B8 Monday August 7, 2017 BIZINSIGHT

Transit Elevated Bus undergoes a test run on a road in Qinhuangdao, North China’s Hebei Province, last August. Photo: IC

An elaborate scam “Illegal fundraising platforms have evolved to be more complex, but still Illegal Illegalfundraising fundraising cases in China have been on the rise in recent years, partly due influxshare some similar characteristics: to the burgeoning online finance sector. A typical case study is the high-profile promised low risk of investment and  traffic-straddling Transit Elevated Bus project also known as “Batie,” developed high returns of at least 10 percent in Controversial by online lending company Huayingkailai, which folded in July after unlawfully a year, as well as extravagant offices in soliciting 4.8 billion yuan from 40,000 investors. The Global Times spoke with central business districts in areas such ‘Batie’ project several investors victimized by the scam as well as lawyers to investigate the com- as Guomao, Beijing to cover up their mon tricks employed by financing platforms and areas where governments could Ponzi schemes,” Li Shuang, a lawyer among the strengthen supervision. at Beijing Ruitian Law Office, told the Global Times Thursday. increasing moving slowly on its test track in And for investors like Beijing More importantly, most of these Qinhuangdao, [North China’s Hebei resident Xing Xilan, merely staying companies adopt aggressive yet savvy number of online Province], so I became gradually cautious did not mitigate potential marketing strategies through launch- convinced that the project would be a fraud risks. ing extensive, misleading advertising finance scams revolution in Chinese transport and The 63-year-old retired worker campaigns and then wetting investors’ had great market potential,” Wang told purchased 230,000 yuan worth appetites with so-called high-tech proj- duping senior the Global Times Wednesday. of financial products developed by ects, Li said, noting that seniors are But what prompted her and the oth- Shenzhen-based investing firm especially vulnerable to these intricate investors er 40,000 investors, mostly in their Yuecheng in February. A month later, hoaxes. 50s and 60s, to sign the investment the company’s website was shut down Such illegal online financing firms By Li Xuanmin agreement was the company’s claimed and senior managers became uncon- also take advantage of the authori- partnership with local governments. tactable, defaulting over 300 investors ties’ supervision loopholes, making or 56-year-old Beijing resident “The salesperson stressed that the with 15 million yuan in principals. it harder for investors to recover the Wang Yan, it only took less than project was being developed in a pub- In January, Xing noticed that the losses once a scam is ascertained. Ffour months for her lifetime sav- lic-private-partnership model whereby company’s advertisements often For example, “due to the lack of ings of 2 million yuan ($297,000) to governments play a leading role…so I showed up on major Chinese news comprehensive regulations, most evaporate into a financial black hole. thought the risk was very low,” another websites with slogans like “invest agreements signed between investors Wang invested money into finan- investor surnamed Li said. 100,000 yuan in futures trading and and the financing company are in the cial products sold by Huayingkailai, a After being introduced to the yielding of up to 3,000 yuan in five form of a loan contract, allowing inves- Beijing-based online lending company company by her friend, Li purchased days.” tors’ funds to be transferred to private which developed the high-profile and Huayingkailai’s wealth management Before Xing made the decision accounts instead of the company’s ac- controversial traffic-straddling Transit products for about 200,000 yuan in to invest, she carefully examined count, which are [of course] subjected Elevated Bus (TEB) project, commonly February. the company’s business record and to higher scrutiny,” Zhang Zhiyou, a known as “Batie.” Since April, both Li and Wang have license. “I found that the company lawyer at Beijing Zhicheng Law Office, In July, the company was probed by not received any monthly interest had a registered capital of 300 million said, adding that private lending out of the Beijing police for illegal fundrais- promised by the company. And their yuan and hired many well-educated one’s own willingness is legal under ing after owing investors about 4.8 attempts to withdraw their invest- employees, which alleviated my certain laws. billion yuan. A total of 32 company ments have failed. concerns,” Xing told the Global Times Against the backdrop, it is impor- employees, including CEO Bai Zhim- The two seniors did not lose com- over the weekend. tant for regulators to raise the thresh- ing, have been arrested and are await- plete faith in the company and its TEB “I had been so cautious, but still old of online financing and to tighten ing further investigation. project until early July when Beijing ended up losing all my pensions,” supervision, experts advise. Wang recalled that in January, a police announced that they had Xing said. In April, Chinese authorities vowed salesperson of Huayingkailai ap- launched a probe into the company for Illegal fundraising cases have been to step up a crackdown on illegal proached her when she was dancing alleged illegal fundraising. “skyrocketing” in recent years partly funding scams and considered a ban in the street and started explaining But at this point, it was already too due to the rise of the online finance on organizations and individuals, to her that the funds she could invest late for them to retrieve their money. industry, according to a report released except qualified financial institutions, in “would be used for the TEB’s test The investors’ funds “must have by the Beijing Academy of Social Sci- from publishing investment-related run.” Subsequently, she was promised been transferred into foreign accounts ences in July. advertisements. an annual return of 12 percent. after such a long time, which makes it From 2013 to November 2016, Bei- “Some companies merely did not Wang was, at the start, skeptical extremely difficult to trace them back,” jing authorities investigated more than follow regulations due to impunity. about the project. But after searching a lawyer familiar with the matter told 600 cases of illegal fundraising, with Maybe it’s time [the authorities] rolled for media coverage on Batie and visit- the Global Times on condition of 1,200 people being detained. out appropriate punishment measures ing the investing firm’s fancy office anonymity. During the January-November to ensure the rules are better en- in Galaxy Soho in Beijing’s Chaoyang period of 2016, the number of such forced,” Zhang suggested. district, she became interested. Can never be too cautious cases jumped 101.77 percent year-on- “During that visit, the staff there The TEB case is just the tip of the year in Beijing alone, compared to a Page Editor: explained the project in technical iceberg and sheds light on the com- lower 49 percent increase in 2015, the zhangye@ terms and showed me a video of Batie mon pitfalls of illegal fundraising. report noted. globaltimes.com.cn