CICM 23rd October 2024

NEWS IN CHINA

China’s Economic Revamp: NDRC’s New Policies to Boost Growth and Private Sector Participation: China’s National Development and Reform Commission (NDRC) made multiple changes in the economic operations following the 4.8% growth in China’s economy in the first three quarters this year. The consumer goods trade-in policy will attract more consumption and strengthen exports. Special bonds used as capital will be expanded. The standard of student financial aid subsidies will be improved, with wide coverage to encompass more undergraduate and postgraduate student loans with an aim to lower the interest rate of loans. The future steps include accessible markets and the promotion of private capital for private enterprises to increase their participation in big infrastructure projects in energy, transportation and national technology. NDRC plans to coordinate with the Ministry of Commerce along with other departments to increase the efficacy of auditing, guide localities to streamline fund disbursement, act upon the public feedback on poor recycling of used home appliances and other products by improving recycling channels covering counties, townships and villages.
Guangdong, China's economic powerhouse, falls behind amid property crisis impacts: An article in the ‘South China Morning Post’ reported the drastic decline of Guangdong province’s national average in GDP due to the looming property market crisis leading to a divergent performance from its cities. While Guangdong province’s GDP grew by 3.4% in the first three quarters, it was still 1.4% below the national average which was estimated to be 4.8%. This initial gap of 1.1% in the first six months widened when the province’s growth was 3.9%. During the same period, the country’s growth was 5%. Retail sales grew by 0.7% which depicts a slower growth in comparison with the first half of the year when retail sales had grown by 1.2%. The vice president of the Shenzhen-based China development institute think tank, Guo Wanda, associated Guangdong’s underperformance with the real estate crisis’s negative impact on the region. Further justifying that cities reliant on real estate and traditional manufacturing like Guangzhou and Foshan are affected, whereas tech-oriented cities like Shenzhen are doing better.
Xi calls on China and Laos to establish a model for Belt and Road cooperation: The President of China, Xi Jinping, during the 16th BRICS Summit in Kazan, Russia, urged the strengthening of the China-Laos Railways development and promotion of the China-Laos Economic corridor. Xi Jinping recollected the developments between China- Laos the previous year by explaining the comprehensive strategic cooperation between the two along with their fruitful cooperation in areas of trade, investment, connectivity, and social and cultural exchanges. From a futuristic perspective, Xi stated that China wants to strengthen strategic mutual trust, mutual learning and cooperation in areas of education, culture and youth. Along with this China wishes to import more high-quality agricultural products from Laos. China’s neighbourhood policy favours the Socialist state of Laos, along the lines of which Xi states that China will always be a loyal friend and partner of Laos. This is visible in their bilateral relations and Laos’s President, Thongloun Sisoulith’s visit to China last year to attend the third Belt and Road Forum for International Cooperation where both the parties signed an action plan for building a China-Laos community with shared cooperation on different levels.
Tim Cook announces Apple's plans to boost investment in China: Apple CEO Tim Cook has announced plans to further increase Apple's investment in China, highlighting the company's commitment to enhancing the quality of its contributions to the country's industrial and supply chains. During a meeting with China's Minister of Industry and Information Technology, Jin Zhuanglong, Cook expressed Apple's eagerness to seize new opportunities as China continues to open up its economy. Jin welcomed this, underscoring how China’s telecom sector has been efficiently opened to foreign investment, creating opportunities for global companies to operate and grow in the country. Jin emphasized China's ongoing efforts to promote digital industrialization and the digitization of industries, offering even more avenues for foreign investors. He also encouraged Cook to explore further innovation in the Chinese market, fostering collaboration with local companies to share in the benefits of high-quality growth. In addition to these discussions, Cook and Jin addressed network data security management and cloud services. Cook also met with China Mobile Chairman Yang Jie to discuss enhanced cooperation in digital content and 5G technology, with both parties agreeing to work together to boost the efficiency and reach of 5G applications.
China set to launch its 14th manned space mission: The China Manned Space Agency announced China’s next manned mission with the launch of the StationShenzhou XIX spacecraft and its carrier Long March 2F rocket to the Tiangong Space Station. The Tiangong space station as of 2022 was one of the largest and complex structures established by mankind. The Chief editor of Aerospace Magazine has stated that the Shenzhou XIX crew will conduct scientific experiments and technological tests which are much more advanced compared to the tests performed by their peers. He further explains that this is because, at the initial stages of the Tiangong operation, the crews primarily focused on exploring living and work patterns in line with them while maintaining the functions of the station. But now after two years of exploration and understanding the long-term orbital flight pattern, the incoming crews will get to work on advanced tasks. The Shenzhou XIX crew will be the eighth group to inhabit the space station and will be taking over the orbital outpost from their peers of the Shenzhou XVIII mission who by the end of this month will have been there for six long months.

SOCIAL MEDIA CHATTER

Outrage on Weibo: Netizens Demand Crackdown on China’s ‘Cyber Water Army: A criminal gang controlling fake reviews and swiping orders across over 1,000 businesses has stirred outrage on Chinese social media, with netizens calling for a "strict investigation" into the so-called "cyber water army" on Weibo. The gang, responsible for manipulating online platforms to the tune of over 100 million yuan, recruits members nationwide by promising easy earnings. New recruits can secure their place by paying membership fees ranging from 199 to 2,999 yuan, and members in higher ranks profit from rebates generated by those in lower tiers, while the latter earn commissions from their own networks. This scheme, involving over 100,000 individuals, uses distinct IP addresses for each participant, complicating efforts by authorities to crack down on the "water army." Many online users expressed frustration, with some commenting that such operations represent the dark side of China’s digital economy, even referring to it as "digital life." The online uproar reflects growing public concern about the impact of fraudulent online activity and the need for stricter oversight of these digital fraud networks.

INDIA WATCH

Resolutions on China-India Border Disputes: The Global Times has reported that Chinese Foreign Ministry Spokesperson Lin Jian announced that China and India have made progress in resolving their border issues, with ongoing close communication through both military and diplomatic channels. India released a similar statement, confirming that both countries have agreed on new measures for border patrolling. Indian Foreign Minister Subrahmanyam Jaishankar added that the disengagement process with China has now been completed. These developments indicate a potential easing of the border standoff and pave the way for improved bilateral relations between the two nations. The author states that while some remain cautious about the full implementation of these resolutions, a series of high-level meetings have highlighted the commitment of both nations to explore peaceful solutions through dialogue, consultation, and compromise. Chinese Foreign Minister Wang Yi also recently held talks with India's National Security Advisor Ajit Doval in Russia, where both sides reviewed the progress achieved and agreed to implement the consensus reached in earlier discussions.

Prepared By

Aditi Khamkar

Aditi Khamkar is a third-year undergraduate student at FLAME University majoring in International Studies and minoring in Public Policy. Having completed an internship at International SOS, her interest in security has deepened, driving her to pursue a career as a security analyst. Passionate about making meaningful contributions, she aspires to write impactful analyses that address global security challenges.