CiCM 8th March 2024

NEWS IN CHINA

Second Session of 14th National People's Congress Advances Key Resolutions in Beijing Meetings: The Executive Chairman of the Presidium of the Second Session of the 14th National People's Congress convened the first and second meetings at the Great Hall of the People on March 8th. The sessions focused on charting the future of China's economic and legislative endeavours. During the initial meeting, comprehensive reviews were conducted on the government work report, economic development plans, and budget allocations. Led by Zhao Leji, significant attention was devoted to the alignment of proposed plans with national objectives. The Financial and Economic Committee's endorsement of the 2024 National Economic and Social Development Plan and central and local budgets underscored their coherence with China's broader socio-economic aspirations. Subsequently, the second meeting spotlighted the accomplishments of the Standing Committee, stressing its adherence to the Party's directives and legal obligations. Noteworthy achievements included advancements in legislative quality, judicial efficiency, and prosecutorial vigilance, aligning closely with President Xi Jinping's directives on socialist modernization.
Hong Kong Introduces National Security Bill, Fast-Tracks Legislation: The Hong Kong Special Administrative Region (HKSAR) has expedited the enactment of the Basic Law Article 23 legislation, introducing a sweeping new bill that lists offences ranging from treason to espionage. The draft bill, gazetted and tabled to the Legislative Council for first and second readings on the same day, carries severe penalties, with life imprisonment for treason and insurrection. Other offences, including illegal disclosure of state secrets, could lead to up to ten years in prison upon conviction. Notably, the bill defines clear penalties for colluding with foreign elements, with up to 10-year imprisonment for seditious acts involving foreign interference. The legislation, comprising nine parts across 212 pages, aims to fulfil the constitutional duty outlined in Article 23 of the HKSAR Basic Law. The bill, titled the Safeguarding National Security Bill, complements the existing National Security Law, covering new offences such as espionage and sabotage. Hong Kong Chief Executive John Lee emphasised the urgency of enacting the law promptly, urging the Legislative Council to expedite scrutiny to complete the legislative process swiftly.
Consumer Prices in February increased by 0.7% year-on-year and by 1% month-on-month: In February 2024, China's Consumer Price Index (CPI) recorded notable shifts both year-on-year and month-on-month, reflecting diverse trends in various commodities and services. The year-on-year data indicated a 0.7% increase in the national consumer price, with urban areas experiencing a higher rise of 0.8% compared to rural areas at 0.5%. Notably, while food prices dropped by 0.9%, non-food prices surged by 1.1%, driving a nuanced balance in the overall CPI. Conversely, month-on-month analysis revealed a sharper uptick, with the national CPI rising by 1.0%. This increase was chiefly propelled by a significant 3.3% surge in food prices, particularly driven by a 12.7% spike in fresh vegetables. However, egg prices saw a 2.2% decline, mitigating some inflationary pressures. The report further highlights sectoral variations, including a 1.7% rise in education, culture, and entertainment prices, contrasting with declines in daily necessities and services, clothing, and other supplies and services.
China Slams US for Harassment and Deportation of Chinese Students: During the routine press briefing on March 8, Foreign Ministry Spokesperson Mao Ning addressed the trend of Chinese students encountering unjust treatment upon arrival in the United States. Mao Ning responded to a query regarding a recent incident at San Francisco International Airport where a Chinese student was subjected to prolonged interrogation and ultimately deported. Mao Ning expressed deep concern over the recurrent harassment, interrogation, and deportation of Chinese students by US border law enforcement agencies. The spokesperson characterised these actions as politically motivated, saying that such incidents not only infringe upon the legitimate rights of Chinese citizens but also severely disrupt normal exchanges between China and the United States. Highlighting the broader implications, Mao Ning accused the US of undermining the bilateral agreement aimed at enhancing peace and cooperation between the two nations' leaders. "The United States has consistently flaunted the rhetoric of openness and freedom, purportedly valuing cultural exchanges with China," Mao Ning stated. "However, its actions reveal a deep-seated Cold War mentality that selectively targets and discriminates against Chinese students." Mao Ning urged the US to cease its harassment of Chinese students under the guise of national security and to refrain from poisoning the public opinion environment between the two countries. He emphasised China's determination to take resolute measures to safeguard the rights and interests of its citizens studying abroad.
Alibaba Intensifies AI-Powered Global Trade Support Amid Fierce Competition from Temu and Shein: Alibaba International is ramping up efforts to equip merchants with AI tools for international trade through Alibaba.com, amidst escalating competition with Temu and Shein. The campaign aims to streamline global market access, offering new participants insights on approximately 50 potential buyers within the first two months. Alibaba's international e-commerce unit posted a robust 44% year-on-year growth to 28.5 billion yuan in the December quarter, signalling a strategic shift towards overseas markets amid domestic stagnation. As competition heats up, Alibaba's AI initiatives underscore its commitment to maintain a competitive edge in the global e-commerce landscape.

SOCIAL MEDIA CHATTER IN CHINA

Weibo hails pilot who helped deliver baby in plane toilet on Taipei-Bangkok flight: Commercial pilot Jakarin Sararnrakskul, with 18 years of flying experience, has captured hearts on Chinese social media after leaving the cockpit mid-flight to assist in delivering a passenger's baby. Flying a VietJet plane from Taipei to Bangkok, Jakarin sprang into action when alerted by cabin crew about a woman in labor. Despite his lack of prior experience in childbirth, Jakarin, nicknamed a hero by Weibo users, calmly delivered the newborn boy, dubbed "Sky baby" by the cabin crew. Facing the challenge of ensuring timely assistance at thousands of feet above ground, Jakarin left his co-pilot in charge and rushed to aid the mother. The mother and baby were safely transferred to a hospital upon landing at Bangkok’s Suvarnabhumi International Airport, thanks to the support of paramedics. Jakarin, proud of his impromptu role as a midwife, shared a photo on social media, reflecting on his unexpected experience. Jakarin's bravery has sparked admiration online, with social media users praising his actions and expressing hopes for the new-born’s future. According to a study by the International Society of Travel Medicine, such mid-flight births are rare but not unheard of, highlighting the remarkable nature of Jakarin's intervention.

INDIA WATCH

India's retail inflation witnessed a modest reprieve in January, easing to a three-month low of 5.1% from December's 5.7%, primarily attributed to a slight moderation in food prices. This figure, however, marginally exceeded the Reserve Bank of India's (RBI) projected average of 5% for the final quarter of 2023-24, signaling persistent inflationary pressures. The RBI anticipates inflation to hover around 5% until June, before converging towards the 4% target in subsequent quarters. While urban consumers experienced a decline in overall inflation to 4.92%, rural consumers faced a higher inflation rate of 5.34%, with food inflation remaining a significant concern for both segments. Notably, the Consumer Price Index (CPI) and the Consumer Food Price Index recorded month-on-month declines, indicating a downward trajectory from January 2023. Despite some moderation in food prices, inflation in essential commodities like spices, pulses, and cereals persists at double-digit levels, raising concerns about broader inflationary pressures. Economists, including Aditi Nayar and Rajani Sinha, point to factors such as reservoir storage levels and sustained high inflation in specific food categories as drivers of inflationary dynamics.

Aditi Nayar, chief economist at rating firm ICRA, highlighted the impact of factors like reservoir storage levels on the outlook for the upcoming rabi harvest. Meanwhile, Rajani Sinha, chief economist at CareEdge Ratings, expressed concerns about persistent high inflation in key food items, suggesting potential risks of broader price pressures and inflationary expectations becoming unanchored. Both economists foresee a gradual easing of monetary policy, with cumulative rate cuts of 50 to 75 basis points expected to commence in the August 2024 Monetary Policy Committee meeting, contingent on favorable monsoon outcomes and inflationary trends.

Prepared By

Aliza Mehdi

Aliza Mehdi is a final year student of Political Science at Indraprastha College for Women. Her academic areas of interest include Comparative Politics, Conflict Studies, Developmental Economics and Film and Television Studies, and is currently working as an Associate (Training and Development) at Pratarka - an education startup specialising in soft-skill development and pedagogical research for students. She is interested in politics, policy, design and writing, and is an active member of the DU varsity debating circuit.