CiCM 8th-9th March 2025

NEWS IN CHINA

Lawmakers to Focus on Research in Artificial Intelligence and Digital Economy: Chinese lawmakers will intensify their research on legislation in several emerging sectors like artificial intelligence (AI), the digital economy, and big data. The report which highlights the work of the Standing Committee of the National People’s Congress (NPC) was submitted before the ongoing third session of the 14th NPC for review. The report specifies that the Standing Committee plans to deliberate on more than 34 bills this year and promote efforts to advance high-quality legislative work. According to Chinese legislators, the report also focuses on high-tech fields with plans to formulate a law that will promote ethnic unity, foster a greater sense of national identity, and reinforce Chinese citizens as part of one larger cohesive community. The report also highlighted that the country will formulate a law to promote the private sector and a financial law with continuous efforts in compiling an environmental code.
Foreign Exchange Reserves Mark an Impressive Surge: As February came to an end, China's foreign exchange reserves reached nearly 3.23 trillion U.S. dollars marking an impressive rise of 0.57 percent, in comparison with January. According to a statement by the State Administration of Foreign Exchange, the national foreign exchange reserves increased due to a combination of factors like currency translation and changes in asset prices. The national gold reserves also increased to 73.61 million ounces at the end of February, marking a rise from 73.45 million ounces at the end of January. The surge of China’s foreign exchange reserves comes at a time with the falling of the US Dollar index, influenced by macroeconomic policies and data from major economies as well as monetary policies and expectations of key central banks.
China to Impose Additional Tariffs on Canadian Goods: China has announced that it will impose an additional 100-percent tariff on some imported products from Canada which include rapeseed oil, oil cakes, and peas. Additionally, it will also impose a 25 percent tariff on aquatic products and pork imported from Canada. The decision comes after an anti-discrimination probe into foreign countries and regions found that Canadian policies on certain Chinese products include discriminatory restrictions that can impact normal trade and harm the legitimate interests of Chinese companies. In 2024, China decided to conduct an anti-discrimination probe after Canada imposed tariff hikes on electric vehicles, and steel and aluminum products from China. Zhou Xiaoyan, the secretary general of the China Council for International Investment Promotion stated that the implementation of new investigative tools demonstrates China’s determination to take all the necessary measures to protect its national interests as well as the legitimate interests of its companies. The China Chamber of Commerce for Import and Export of Machinery and Electronic Products addressed the need for the Canadian side to maintain trade policy independence and a pragmatic, non-discriminatory environment for companies from both countries to engage in normal trade and cooperation.
Consumer Price Index and Producer Price Index Dips in February: According to the National Bureau of Statistics, the consumer price index (CPI) dipped by 0.7 percent, while the producer price index (PPI) dipped by 2.2 percent in February. Dong Lijuan, an NBS statistician attributed the fall in prices to the staggered shift of the Spring festival which led to a high base effect, favorable weather in February, and fluctuations in the prices of some international commodities. In 2024, the Spring Festival saw higher food and service prices, which led to a high comparison base. Since prices didn’t surge this year, it negatively affected the yearly CPI comparison. Mild weather in February also facilitated the growth and transport of fresh vegetables which led to the stabilization of food prices. On the industrial front, the PPI saw a 0.1 percent monthly and a 2.2 percent yearly decline. The PPI's decline was influenced by several factors such as the seasonal slowdown of production activities around the Spring Festival, reduced demand for building materials due to halted construction projects, and stable coal supplies which ensured ample reserves at power plants and ports.
China to Focus on Vocational Training and Employment Opportunities to Support Gig Workers: China is focusing on vocational training and creating employment opportunities for Gig workers as they deal with economic setbacks, demographic challenges, and external shocks. At the two sessions of the National People’s Congress (NPC), Human Resources and Social Security Minister, Wang Xiaoping stated that more than 30 million who have been pulled out of poverty need to be provided with jobs as 12.2 million university graduates join the labor market this year. She highlighted that amidst demographic changes and technological transformations, many people are anxiously searching for work as many job opportunities remain open. China also hopes that new employment opportunities also rapidly adopt Artificial Intelligence (AI). However, Wang stated that technology can also displace some workers and there is a need to create a balance between innovation and employment stability. Wang also added that China will support labor-intensive industries to absorb and stabilize employment during the period of transformation and upgrades. Additionally, China will also subsidize vocational training for 10 million people annually, with migrant workers, jobless university graduates, and unemployed individuals receiving priority. Training will focus on the skills needed in advanced manufacturing, new technology and areas such as elderly care.

SOCIAL MEDIA CHATTER

Domestic Cat in China gains Online Fame: A domestic cat at a Xiyuan temple in Suzhou has beed dubbed at “High five cat” because of the manner in which it greets tourists. The cat also wears a golden chain and greets tourists who visit the temple for good luck. A recent video of the cat outside the temple went viral on mainland social media and garnered more than 120,000 likes. Tourists are crowding at the temple just to interact with the, hoping for good luck. In Chinese folklore, cats are often associated with luck and prosperity, a belief that has further fueled the cat’s growing popularity. Many visitors now stop by the temple specifically to interact with it, hoping to receive a lucky high-five. Sensing the growing interest, the cat’s owner, Liu, has begun live-streaming the feline’s greetings, further amplifying its digital presence. However, not all viral fame comes without scrutiny. On March 1st, some viewers noticed that the cat appeared less enthusiastic about high-fiving visitors, joking that it might be “on strike.” This lighthearted speculation about the cat’s “work fatigue” has only added to the online discourse, reflecting a broader trend where internet culture anthropomorphizes animals, attributing them with human-like emotions and social roles. The case of the “High-Five Cat” showx the growing intersection of traditional beliefs, tourism, and social media virality in China. What began as a quirky moment at a temple has evolved into a digital phenomenon, revealing how online audiences engage with folklore, symbolism, and even the perceived moods of internet-famous animals.

INDIA WATCH

Article in Chinese Media Highlights the Recent Statements of S. Jaishankar on India-China Bilateral Relations: An article in the Chinese media focuses on the recent statements of Indian foreign minister, S Jaishankar regarding India-China relations. He pointed out that India is keen to maintain a stable relationship and is discussing various matters with China such as journalist exchanges and the resumption of direct flights. He stressed that maintaining peace and tranquility is the major objective of the bilateral relations but border instability will also affect ties between the two countries. The relationship between the two countries is also special because of the history and the large size of the two countries. He also highlighted that in 2024, both countries took the initiative to amend relations and resolve issues like the withdrawal of troops. Subsequently, National Security Advisor (NSA), Ajit Doval visited China and met Foreign Secretary, Tang Yongsheng, Indian and Chinese leaders met during the BRICS Summit in Kazan, and Jaishankar also met with his Chinese counterpart in South Africa. Qian Feng, a researcher at Tsinghua University stated that India is showing a pragmatic attitude towards Sino-India relations which is favourable for developing bilateral ties. The author also comments that Indian officials are moving beyond the border issue while emphasizing maintaining a stable relationship.

Prepared By

Ruchir Ketkar

Ruchir Ketkar is a First year student pursuing Masters in Diplomacy, Law and Business at OP Jindal Global University. After completing graduation in Political science, he found his interest in International Relations and Global Affairs. With a keen inclination towards security and conflict studies, he has also authored several articles and research papers. He also tries to keep himself updated with the happenings around the world and tries to analyse them using his perspective and understanding.