CiCM 14th March 2025

NEWS IN CHINA

Wang Yi Introduces Five-Point Proposal for the Iranian Nuclear Issue: On March 14, 2025, Foreign Minister Wang Yi Foreign Minister put forward China's five-point proposal on the proper settlement of the Iranian nuclear issue under the new situation. Wang Yi introduced this proposal during a trilateral meeting with Russian Deputy Foreign Minister Ryabkov and Iranian Deputy Foreign Minister Kazem Gharibabadi in Beijing. Firstly, Wang Yi highlighted the commitment to peaceful dispute resolution through diplomatic means. He noted that encouraging dialogue, promoting comprehensive and sustainable security, and avoiding actions that escalate tensions are key to promoting stability. Secondly, Wang Yi highlighted the importance of fulfilling nuclear non-proliferation goals while respecting Iran's right to peacefully use nuclear energy, and also urged Iran to honor its commitment to refrain from developing nuclear weapons. The third point underscores the necessity of achieving consensus on the Joint Comprehensive Plan of Action (JCPOA) by calling for all parties to resume talks promptly, while urging the United States to demonstrate political sincerity and resume negotiations. Wang Yi further warned against involving the UN Security Council and imposing sanctions hastily, emphasizing that such actions could undermine trust-building diplomatic efforts. Lastly, he advocated for a step-by-step, reciprocal approach, underscoring mutual respect and consensus-building as the most effective path forward.

Li Qiang Chairs State Council Plenary Session: On March 14, Premier Li Qiang led the eighth plenary meeting of the State Council to review and implement key directives from General Secretary Xi Jinping's speech during the National People’s Congress and to strategize the execution of the State Council's priority tasks for 2025. Li emphasized the need for the government to act as an effective implementer of the CPC Central Committee’s decisions, while navigating the increasing complexity and challenges ahead. The Premier outlined the strategic goals articulated in this year's Government Work Report, which include special actions to stimulate consumption, the establishment of a unified national market, the integration of artificial intelligence in various sectors and the transformation of the manufacturing industry. He also highlighted the importance of promoting new urbanization that prioritizes people’s needs, enhancing training for high-skilled talents and efficiently completing targeted initiatives. Li called for a more proactive approach in macroeconomic policies to foster a positive interaction among market forces, emphasizing the need for deeper reforms and improvements to the legal and credit environments. He urged enhancing safety and stability while pursuing ambitious goals in productivity and domestic circulation. Officials from National Development and Reform Commission, Ministry of Human Resources and Social Security, Ministry of Commerce and People’s Bank of China gave speeches at the meeting.

China Expands Cash-Pooling Pilot Program for Cross-border Financial Operations: China has announced plans to expand its pilot cash-pooling service, which combines domestic and foreign currency management for multinational companies. The initiative, currently active in 10 regions, will now extend to areas such as Tianjin, Hebei, Anhui, Fujian, Shandong, Hunan, Sichuan, Yunnan and Xinjiang, according to the People's Bank of China (PBOC) and the State Administration of Foreign Exchange. The cash-pooling service was initially introduced in Beijing and Shenzhen in 2021, later expanding to Shanghai, Guangdong, Shaanxi, and other regions in 2022, with further improvements made in 2024. The current expansion aims to enhance the efficiency of cross-border fund management, supporting multinational companies with smoother investment and financing processes. The updated policies will allow multinationals to use their domestic master accounts in China for centralized receipts and payments in both domestic and foreign currencies for overseas subsidiaries. Additionally, the initiative will simplify yuan-denominated cross-border transactions.

Education Ministry Issues Guidelines to Promote Employment for Fresh Graduates: The Ministry of Education has introduced the "Spring Employment Promotion Action" to support the class of 2025 graduates in securing job opportunities. This initiative, running from March to April 2025, outlines eight key measures to enhance employment services and create promising career pathways for graduates. A significant focus of the initiative is on enhancing the graduate employment market. Colleges and universities are encouraged to organize online and offline job fairs, sector-specific recruitment drives and targeted campaigns for private enterprises. This strategy aims to foster partnerships between educational institutions and industries to generate employment opportunities aligned with market demands. The notice also promotes campus recruitment as the primary medium and encourages secondary colleges and departments to organize recruitment activities. Additionally, public employment services will be brought to campuses, with financial support provided to facilitate these activities. The initiative also emphasizes expanding job opportunities through enterprise visits. Universities are encouraged to engage with industries and visit major business hubs to explore job prospects that meet regional economic requirements. Furthermore, the initiative promotes recruitment for policy-related positions by expediting entrance examinations and expanding hiring in public sectors, state-owned enterprises and social service programs. Graduates will also receive guidance on pursuing careers in the military and public service sectors, broadening their employment opportunities.

China Introduces New Financial Measures to Boost Consumer Confidence: China's National Administration of Financial Regulation (NAFR) has issued a notice advocating for the development of consumer finance by financial institutions to enhance the consumption market. This initiative is part of a broader strategy to implement decisions made during the Central Economic Work Conference and aims to bolster consumer spending and fulfil financial needs of the consumption sector. The NAFR emphasizes the need to improve financial products and services, focusing on expanding commodity and service consumption. In conjunction with this notice, the Supreme People's Court (SPC) also introduced its interpretations aimed at protecting consumer rights in prepaid consumption, addressing issues such as unfair contract terms and non-refundable payments and indicating its commitment to regulate practices detrimental to consumers. The measures follow recent initiatives from China's Ministry of Commerce to enhance domestic consumption, including issuing ultra-long treasury bonds worth 300 billion yuan ($42 billion) for consumer goods trade-in programs. The notice also highlights the importance of cultivating digital, green and intelligent consumption to meet individual diverse financial needs. Financial institutions are also promoted to expand credit issuance for consumer services while also increasing personal consumer loans through reasonable loan terms and due diligence exemptions.

SOCIAL MEDIA CHATTER

Chinese Netizens Expresses Anger Against Repatriated Telecom Fraudsters: China successfully repatriated 2,876 Chinese telecom fraud suspects from Myanmar's Myawaddy region with the help of Myanmar and Thailand since February 20, 2025. Several Chinese charter flights repatriated these telecom fraudsters to Nanjing and Shanghai in the last few days. Chinese netizens expressed their anger against these fraudsters. Some netizens voiced hope that these efforts will bring justice to victims and deter future crimes, while others emphasized the importance of sustained action to eliminate telecom frauds entirely. Some netizens also advised to not repatriate these criminals, but rather severely punish them wherever they get caught. One person also suggested that China and Cambodia need to cooperate on curbing these frauds as many of these gangs have shifted their base there amidst recent crackdown in Myanmar and Thailand. Others praised efforts by China’s public security organs to launch cross-border operations to bring back these criminals and ensuring strict punishment.

INDIA WATCH

Chinese Media Assesses Impact of U.S. Reciprocal Tariffs on India-US Trade Relations: Chinese media platform The Paper reported that the recent implementation of reciprocal tariffs by the United States has introduced new challenges in global trade, particularly affecting India-U.S. trade relations. The article highlights that the Indian government has been continuously negotiating with the US Administration at various levels to improve the trade environment. However, the article argues that these efforts have not been effective for India as it is estimated to incur annual losses of 7 billion USD due to reciprocal tariffs. The report cites Bloomberg, claiming that India will be one of the most severely affected countries due to huge gap in average import tariffs. Particularly with regards to agricultural products, the report argues that India has opposed lowering tariffs on these goods, keeping in mind the livelihood of millions of Indian farmers. It further notes that India has continuously opposed foreign investments in agriculture sector, fearing that opening up few products for US investments could set a dangerous precedent. The article also cites a report by an Indian think tank which estimates that India’s shrimp and dairy exports could face difficulties if the US expands reciprocal tariffs to more agricultural products. The article further assesses the impact of tariffs on India’s pharmaceutical exports to the US which could also affect availability of Indian generic drugs in the US.

Prepared By

Cherukuri Venkata Subramanya Sai Narayana

Cherukuri Venkata Subramanya Sai Narayana holds a Master’s degree in Police and Security Studies from the School of Police Science and Security Studies, National Forensic Science University, Gandhinagar, Gujarat, India. He has a strong academic interest in conflict and security studies, with a particular focus on maritime security. During his postgraduate studies, he authored a thesis on India’s Maritime Security: Dealing with Alliances and Conflicts in the Indian Ocean Region. He remains actively engaged in analyzing global events, applying his knowledge and expertise to assess geopolitical developments with a critical perspective.