CICM 1st October 2024

NEWS IN CHINA

People’s Republic of China Celebrates National Day on its 75^th Anniversary: Tuesday marked the 75th founding anniversary of China, and various events and celebrations are underway as a part of the National Day celebrations across the country. A flag-raising ceremony was held at Tiananmen Square, and over 120,000 spectators and millions of Chinese citizens watched the event on national television. Xi Jinping and senior leaders paid homage to the fallen soldiers at the Monument of People’s Hero. Moreover, 15 Chinese nationals, including teachers, scientists, medics and border patrolman were awarded medals. As part of the national day, various provinces all over China and Chinese embassies held huge celebrations. Tiananmen Square played a significant part in China’s history due to Mao Zedong's announcement of the birth of the People’s Republic in the same place 75 years ago. A recent speech by Xi Jinping, just a few days before the National Day, emphasised that China is on a path for its modernisation efforts in all sectors. He stated, “China, under the CPC's leadership, has achieved the twin miracles of rapid economic growth and long-term social stability over the past 75 years”. On the eve of China’s 75^th founding anniversary, leaders worldwide congratulated Xi Jinping and emphasised a better partnership in their diplomatic relations in the coming days.
Surge in China’s Inbound Tourism: Intensified international exchange and optimised policy has prompted rapid growth in China’s inbound tourism. According to official data released on Monday, in the first nine months of 2024, foreign tourists are expected to reach 95 million, a 55.4 % increase yearly. The figure was about 93.4 per cent at the pre-pandemic level in 2019. The recent reports show a recovery in tourism. According to the vice minister of Culture and tourism, there is a surge in foreigners visiting mainland China; 17 million foreigners visited the country through various programs, which is a 130 per cent increase from the same period in 2023. China has improved tourist payment convenience by diversifying its payment options through foreign cards, QR codes and cash. According to officials, China is currently working on a visa-free transit policy to expand visa-free countries and attract more tourists. With the national holiday starting on October 2nd, China has designated October as the Cultural and Tourism Consumption Month and has planned 24000 activities across the country. 500 million Yuan worth of tourism and cultural coupons will be available to consumers. For instance, Shanxi province plans to organise 100 noodle-making experts to create single noodles. Tourists are also advised to prioritise their safety while selecting the package. According to the China State Railway Group, the 10-day holidays are expected to see 175 million railway commuters.
Inland Water Transportation Routes Suspended Due To Super Typhoon Shanduoer: A Typhoon Warning was issued in China’s eastern coastal province, Zhejiang. Zhejiang is the 8^th most populated province in China, and was affected by typhoon Shanduoer, which led to the emergency response and suspension of the 71 water passenger routes along the coast of Zhoushan city, except for the route from Putuoshan to Zhujiajian. Around 7,000 passengers have also been evacuated from Zhoushan City’s Shengsi Island, including Sijiao, Gouqi, and Shengshan. The meteorological department forecast also showed that the wind force will reach level 10 or above due to the combined effect of the typhoon and cold air on the southeastern coast of Zhejiang. The Zhoushan City Maritime Department also inspected 155 ships to ensure the safety of passengers travelling on national holidays. Another southeastern city in Zhejiang, Wenzhou, and its Maritime Safety Administration issued a typhoon warning level three alert on October 1^st morning. The city administration also carried out typhoon prevention measures, suspended eight coastal routes, and reminded the coastal water-related units and projects to make typhoon prevention preparations in advance. Taizhou also issued a typhoon warning level three and evacuated 5236 passengers from the island, initiated emergency response measures, and coordinated with the emergency rescue ships for typhoon prevention measures.
Macao Unveils New Sea-Crossing Bridge For Better Connectivity: On Tuesday, Macao inaugurated its first eight-lane bridge, which coincided with China’s national day. The Macao special administrative region’s (SAR) newly constructed bridge is 3.08 kilometres long and has a lifespan of 100 years, which aims to ease the traffic and promote development in the Macao region. The bridge is located in the east of the Ponte de Amizade (Bridge of Friendship) and it provides an additional route for travelers using the Hong Kong-Zhuhai-Macao Bridge to reach Taipa and Cotai. The bridge was built by a consortium of Chinese construction companies, and it is expected to enhance the connectivity between the northern and southern parts of Macao and can impact the development of the Macao southern districts. The new bridge will also help reduce the peak traffic on the Bridge of Friendship by 30 per cent. The ongoing National Day holiday week from October 1^st to 7^th will see a surge in traffic, representing increases of 32.8 per cent and 30.9 per cent, respectively, compared to last year.
Beijing Housing Authorities Introduce Key Changes In Housing Policy: Beijing Municipal Housing and Urban-Rural Development Commission and six other departments introduced key housing and real estate policy changes. According to the new policy, measures have been introduced to reduce the burden of homeowners by reducing the interest rate for existing mortgage loans and encouraging commercial banks to lower the rate of mortgage holders to align with the rate of new loans. The first-time buyer down payment requirement has also been reduced from 30% to 15%, and the second-time buyer down payment rate has also been reduced from 35% and 30 % to 20%. The notice also said that families with two or more children can borrow an additional 400,000 yuan through the housing provident fund. Unlike in previous times, non-Beijing residents will now face fewer restrictions on buying homes by reducing social security or personal tax payments. The notice also suggests that it will have a unified housing policy for the Tongzhou district by removing earlier regulations. According to the notice, the changes will be applicable from October 1^st 2024.

SOCIAL MEDIA CHATTER

Chinese Netizens Amazed By Lotter Winner Story: The story of a Chinese dad who won 24 million yuan, equivalent to 3.4 million USD, has sparked a heated argument in Chinese social media. A man using the pseudonym Huang from Hefei, bought lottery tickets for the last seven years using the family's birthday number, which finally hit the jackpot. The story unfolded at the Chinese welfare lottery, Shuang se qiu, or Double Colour Ball, on September 10, where Huang was announced winner, He came to collect his prize money on September 12. He donated 100,000 Yuan (14000 USD) to the Anhui Provincial Charity Federation and said that he was inspired by the story of another lottery winner who used his family's birthday number to buy the lottery, and now he is planning to buy a new home. He said, “I’ve been buying lottery tickets for more than 10 years, never spending more than 20 yuan per draw”. Huang's story has triggered heated discussion among Chinese netizens. One of the users admired Huang's seven years of perseverance as admirable and his generous donation. Some users also expressed their jealousy by saying, “Why wasn’t it me who won?”. It is sure that Huang's story will also inspire other lottery buyers to try their luck by buying tickets for their family’s birthday. The social media users are appreciating Huang's act for his generosity and love for his family.

INDIA WATCH

Fire Breakout At Component Plant Will Disrupt Apple's Supply Chain In India, Says Chinese Media: Based on a report published by Reuters, Chinese media reported that the recent fire breakout at the Tata Group’s Apple component plant will affect iPhone production in India before the peak sales season, which will impact Apple sales in the country. Chinese media quoted the research firm Counterpoint’s analysis that the iPhone 14 and 15 will sell 1.5 million units in India during the Indian festival season from late October to early November this year. However, due to a recent fire breakout in the Southern Indian state of Tamil Nadu, Tata’s Hosur plant will face a supply gap of 15% and will also impact the older iPhone model supplies by 10% -15%. Chinese media underscores that the recent fire breakout and labour unrest will create challenges for the “Make in India” initiative. Apple reportedly has up to eight weeks of backplane inventory, which may temporarily solve the production issue. Still, if the production suspension persists, Apple may import components from China to mitigate the supply gap and set up an assembly line in China designated for the Indian market. The Hosur factory employs 20,000 workers, and another part of the plant was set to begin producing complete iPhones later in the year. Chinese media points out that Apple has been diversifying its supply chain away from China, with India playing an increasingly important role. However, the fire and other disruptions may slow progress of the “Make in India” initiative.

Prepared By

Athul T Dharan

Athul T Dharan is a Member of CTBTO Youth Group and is currently pursuing his Master's in Political Science from the University of Hyderabad, India. He was a research intern at the Centre for Air Power Studies, Delhi. His research interests include Chinese Studies, China’s Defense policy, Arms Control, Disarmament and Intelligence. During his undergraduate studies, he actively participated in the Model United Nations and served as the General Secretary of the Global Youth Ramjas Chapter. He is an active National Service Scheme volunteer and was part of the Enactus Team, working on rural development and slum rejuvenation projects. He can be reached at athul.t.dharan27@gmail.com