CiCM 20th-21st January 2024

NEWS IN CHINA

China sets an ambitious agenda for 2024 with spacecraft launches and historic Lunar Probe Mission: China is set to achieve remarkable milestones in space exploration during 2024, with plans to launch an unprecedented number of spacecraft. In January alone, the country successfully launched the Kuaizhou-1A rocket and the world's largest solid rocket, Gravity-1, executed the docking of the Tianzhou-7 cargo spacecraft with its space station, and completed a vertical return test of a reusable rocket. Looking ahead, China aims to conduct two cargo spacecraft and two manned spacecraft launches to its space station. The Long March-2F carrier rockets are poised for two manned launch missions, and the Chang'e-6 lunar probe is undergoing tests for a historic sample collection mission on the far side of the Moon. The country's commitment to strategic emerging industries, including commercial spaceflight, is evident in the upcoming launch of China's first commercial space site in Wenchang, Hainan Province, and the accelerated construction of multiple satellite constellations.
Shanghai to accelerate drive towards financial powerhouse status: The Shanghai Standing Committee, in a recently held expanded meeting, underscored the imperative to strengthen the mission of aiding the construction of a financial powerhouse and unwaveringly pursue the path of financial development. Chen Jining, the Secretary of the Shanghai Municipal Party Committee, presided over the meeting. The meeting highlighted the need to enhance urgency, responsibility, and adherence to national strategies. Prioritizing institutional opening-up, the focus is on promoting high-level financial openness, coordinating onshore and offshore businesses, improving financial market connectivity domestically and abroad, and facilitating cross-border investment and financing. The committee also advocates innovation in financial products tailored to enterprise needs, particularly in supply chain finance with blockchain technology. To bolster international competitiveness, efforts include attracting foreign financial institutions and organizations to Shanghai. The meeting stressed the importance of adhering to environmental responsibility, enhancing the supervision system in tandem with high openness, and harmonizing financial opening with security.
Tragic Yingcai School fire prompts urgent Investigation and calls for school safety: Following a tragic fire at Yingcai School in Nanyang's Fangcheng county, Central China's Henan province, which claimed the lives of 13 students, authorities are calling for immediate investigations and accountability. The fire, extinguished on Friday night, led to the detention of the individual responsible for the private boarding school. The Ministry of Emergency Management dispatched a work team for guidance, and a safety teleconference was convened, urging a comprehensive safety inspection and rectification campaign. The China Association for Non-Government Education issued a safety management advisory emphasizing proactive prevention, system improvement, and transparency in safety measures. Several cities, including Luohe, Yichun, Panjin, and Xi'an, have initiated campus fire safety inspections and rectification efforts, focusing on key areas prone to accidents. These cities are addressing issues like unauthorized use of fire, irregularities in electrical wiring, and insufficient fire safety awareness.
Hebei province achieves record-breaking tourism revenue surpassing Pre-Pandemic levels: Hebei province in North China achieved a remarkable milestone in tourism as its annual revenue exceeded 1 trillion yuan ($139 billion) last year, surpassing pre-COVID-19 levels, according to the government work report presented at the annual session of the Hebei Provincial People's Congress. Governor Wang Zhengpu highlighted the success of tourism-promoting measures, including the "So Close, So Beautiful, Spend Your Weekends in Hebei" campaign, attracting visitors from neighboring provinces and cities. The report also commended Hebei's effective disaster relief and post-flood reconstruction efforts after severe rainfall and flooding in 2023. Economic development in the province demonstrated positive trends, with a 5.5 percent growth in GDP and significant investments in high-tech industries, particularly in the Xiong'an New Area. The overall coordinated development of the Beijing-Tianjin-Hebei region showcased breakthroughs in key industrial chains and collaborations with central enterprises, marking a historic achievement in the region's economic landscape.
China's Communist Party maintains silence on Lenin's Centenary: China's Communist Party remains conspicuously silent on the centenary of Vladimir Lenin's death, in stark contrast to previous commemorations for Karl Marx. While some attribute the muted response to Lenin's controversial legacy and the fall of the Soviet Union, others argue that Leninism is deeply ingrained in the party's DNA. Despite a lack of official commemorations, Leninism continues to influence the party's structure and ideology, emphasizing single-party rule and a "dictatorship of the proletariat." Analysts noted a return to Leninism under President Xi Jinping's restructuring efforts, reversing trends seen in the 1990s and 2000s. While Lenin's name remains familiar to Chinese youth, interest in his legacy pales in comparison to figures like Mao Zedong.
Central Organizing Department allocates 318 Million Yuan for grassroots party Education and Training: The Central Organizing Department has taken a significant step in reinforcing the Party's commitment to grassroots party building and the welfare of its members. Allocating a total of 318 million yuan from the party fees for central administration, the move is aimed at bolstering the education and training initiatives for party members. This directive, emphasizing the paramount role of the Party Central Committee with Comrade Xi Jinping at its core, underscores accounting, strict supervision, and dedicated utilization of party funds at all levels. The measure serves as a testament to the Party's dedication to nurturing and supporting its grassroots members and cadres.
CITIC Securities analyzes thermal coal dynamics: During the recent meeting, CITIC (China International Trust Investment Corporation) Securities discussed critical aspects impacting the coal sector. They highlighted the weakened supply and demand dynamics, leading to price shocks and a decline in plate sentiment. In the short term, coal prices are anticipated to maintain a high oscillating pattern due to weak downstream demand and disruptions caused by factors like snow affecting coal mine shipments. The "dual coke" fundamentals are expected to see a reduction in coke prices, while coking coal market sentiment has improved. High-frequency data indicates stable port coal prices, mid- and downstream depositions continuing, and a rebound in steel mill operating rates. The market performance witnessed plate adjustments and futures related to the sector experienced a rebound. The report emphasizes the short-term shock phase for the sector, influenced by uncertainties in profitability and market style shifts. The investment strategy advises caution and awareness of the ongoing market dynamics while emphasizing the potential for continued high coal prices amid safety supervision and pre-holiday supply influences.

SOCIAL MEDIA CHATTER IN CHINA

Peel Street's Urban Charm and Café Scene: A Hit Among Mainland Chinese Tourists Seeking Authentic Street Experiences in Hong Kong: Hong Kong's vibrant cafe culture and urban chic are captivating mainland Chinese tourists seeking an authentic taste of street life over conventional luxury boutiques. Peel Street in Central has emerged as a must-see attraction for these visitors, drawn by its distinctive graffiti-marked walls and charming cafes. The trend, sparked by the popularity of the Fineprint cafe in Xiaohongshu, showcases near-identical photos and videos of tourists enjoying coffee and food on the street. The relaxed atmosphere, as noted by a visitor from Shenzhen, creates an appealing urban vibe, attracting a growing number of tourists to this lively side street, and providing a unique experience away from traditional landmarks and shopping sprees. As mainland tourists seek more genuine encounters, Peel Street and similar locations are becoming favoured destinations, reflecting a shift in travel preferences toward smaller-scale, lesser-known city attractions.

INDIA WATCH

As the world emerges from the shadows of the pandemic, India is strategically repositioning its tourism which contributes around five percent to the GDP, drawing inspiration from the evolving dynamics in China. Eased travel restrictions, coupled with a rise in disposable income among Chinese consumers, have led to a surge in domestic and international tourism. China’s policies such as streamlined visa endorsements and travel endorsements have facilitated a steady "U-shaped" recovery, with the total number of inbound and outbound individuals surging by approximately 170 percent. India, inspired by this resurgence, is actively working to revamp its tourism industry. The government's support is evident through initiatives like 'Visit India Year' and the Draft National Tourism Policy 2022. The focus is on creating world-class infrastructure, aggressive marketing, and developing niche tourism areas. With India expected to become the fourth-largest global spender on travel by 2030, the growing middle class, with increased purchasing power, is set to play a pivotal role in steering change in travel preferences.The travel and tourism industry in India is also witnessing a significant boost in talent demand, with a 44% surge in job postings annually in August 2023. Tier-2 cities are offering more jobs, reflecting a positive hiring trend. The future of India's tourism sector looks promising, driven by factors such as the government's strategic vision, a youthful population, and the rising aspirations of the middle class. As India positions itself as a global tourism hub, the journey toward 2047, India@100, holds immense potential for unparalleled growth and appeal on the global tourism stage. Beyond the government-led initiatives, nearly 1500 tourism-related startups are injecting innovation and agility into the strategies for revamping Indian tourism. To enhance the tourism sector in India and address the challenges it faces, the government should adopt a multi-faceted approach. There is a need for sustained focus on infrastructure development, with continued investments in road, rail, and air connectivity to both popular and recognizing the critical role of the tourism industry, there is a call for granting it industrial status, elevating its importance and paving the way for strategic policy initiatives. The industry, responsible for supporting 50 million jobs annually and contributing almost 10% to India's GDP, requires focused attention from both the Finance and Tourism ministries. There is a plea for increased budget allocations, reaching beyond the current Rs 2,000 crore, to stimulate growth and innovation in the sector. By creating a favorable environment for the industry, India can leverage its incredible potential, leading to positive impacts on the economy and society at large.

Prepared By

Riddhima Singh

Riddhima Singh is a final year student at Jawaharlal Nehru University Delhi, pursuing Chinese Honours course. Through her degree she has had the opportunity to dive into culture, history and contemporary issues in Chinese society through language and research. Her research area surrounds the economic and fiscal policies of Communist Party of China and China's development model.