Chinese Political Interference in Canada and Use of AI in Fraud Crimes
The 'Eye on China' newsletter features this week's most important developments on India-China relations, Chinese Domestic Politics and Foreign Policy, Economy and Tech, and the military!
Section A: India-China Relations
- Kingshuk Saha
This week, the major news is that State Councillor and Foreign Minister Qin Gang travelled to India to attend the SCO Foreign Ministers’ Meeting at Benaulim in Goa from May 4 to 5.
The NDTV Reports: Chinese Foreign Minister Qin Gang reiterated that the situation at the India-China border is generally stable and both sides should consolidate the present achievements and strictly abide by the relevant agreements while pushing for further cooling and easing of the conditions for sustainable peace and tranquillity at the frontier.
In his talks with External Affairs Minister, S. Jaishankar at Benaulim in Goa on the sidelines of the SCO Foreign Ministers on Thursday, Qin restated China's oft-repeated recent stance that the current situation on the China-India border is generally stable, in an apparent reference to the ongoing military standoff in Eastern Ladakh which brought the relations to standstill.
Qin said the two sides should continue to implement the important consensus reached by the leaders of the two countries, consolidate the existing achievements, strictly abide by relevant agreements, push for further cooling and easing of the border situation and maintain sustainable peace and tranquillity in the border areas, a press release on Qin-Jaishankar talks issued here on Friday said.
Qin after, his meeting with Jaishankar, said: “China is willing to work with India to carry out bilateral consultations and exchanges, enhance dialogue and cooperation under multilateral frameworks, deepen coordination and cooperation on international and regional issues, and push China-India relations back to a healthy and stable development track.”
Meanwhile, Jaishankar said: “Had a detailed discussion with State Councillor and FM Qin Gang of China on our bilateral relationship. The focus remains on resolving outstanding issues and ensuring peace and tranquillity in the border areas.”
The Global Times Reports: The ministers agreed on viewing and improving relations between the two countries from a historical perspective and strategic height, and to inject stability and positive energy into the world, while Qin urged that the important consensus between the two countries' leaders should be implemented.
The Chinese Foreign Minister expressed support to India in fulfilling its duties as the G20 President. China is willing to strengthen communication and cooperation to safeguard the common interests of developing countries and international fairness and justice and inject stability and positive energy into the world.
India and China are both great ancient civilizations and important partners, and the two countries have achieved many positive results in economic and trade cooperation, humanities exchanges and many other areas, Jaishankar said, noting that the two countries can continue to do so. Jaishankar thanked China for the support to India's presidency of the G20 and said that India is willing to maintain communication and coordination on multilateral affairs.
Professor Sreemati Chakrabarty, Chairperson of the Institute of Chinese Studies in New Delhi, said on the meeting: “Let's hope that it is the beginning of a new chapter in Sino-India relations, and Qin's visit has immense significance in the current context.”
My opinion, however, is that Qin's visit to India will not lead to any breakthrough but it keep the communication channel open between both countries.
Further, Qin will discuss the Ukraine conflict and the Afghanistan crisis with the SCO member countries.
Section B: Economy and Tech
- Amit Kumar
China's State Council stresses accelerating development of advanced manufacturing clusters
Chinese Premier Li Qiang chaired an executive meeting of the State Council on May 5 where it “deliberated and adopted a guideline on accelerating the development of advanced manufacturing clusters,” Xinhua reports.
The key talking points from the meeting are as follows:
A greater priority shall be given to the development of advanced manufacturing clusters, taking the whole country into account, guiding all localities to leverage their comparative advantage, and intensifying work related to specialisation and differentiation
Promote the transformation and upgrading of traditional industries, as well as the cultivation and strengthening of emerging industries
Facilitate technological innovation and application, advance the country’s high-end, smart and green transformation, and expand the number of high-quality enterprises
Combine an effective market with an active government in an improved manner, and create a sound ecological environment for industrial development
Hint: It’s a code word for government control over the country’s value generating economic processes!
Speed up the construction of charging infrastructure to better promote rural vitalization and new energy vehicles in rural areas
Focus on prominent bottlenecks restricting the promotion of new energy vehicles in rural areas, moderately advance the construction of charging infrastructure
Optimise government policies to support the purchase and use of new energy vehicles and encourage enterprises to enrich supply, and strengthen safety supervision to promote the healthy development of the new energy vehicle market in rural areas
Xi chairs the Financial and Economic Affairs Commission
On May 5, Xi chaired the meeting of the Central Financial and Economic Affairs Commission. The meeting touched upon a range of issues involving manufacturing, AI, population, technology, grain production, and so on.
Xi stressed that the work of the commission should be well carried out and underlined research and efforts on speeding up the building of the country's modern industrial system and advancing Chinese modernization with support from the high-quality development of the population.
Xi stressed that the newly grouped CCFEA should continue to play its role in formulating major guidelines for economic work and further strengthening and improving the centralized, unified leadership of the CPC Central Committee over economic work.
A modern industrial system is the material and technological foundation of a modern country, and the focus of economic development should be placed on the real economy to provide solid material support for China to realize its Second Centenary Goal, Xi said. Population development is of vital importance to the rejuvenation of the Chinese nation, and efforts must be made to improve the overall population quality so as to support Chinese modernization.
At the meeting, the National Development and Reform Commission, the Ministry of Science and Technology, the Ministry of Information and Technology, and the Ministry of Agriculture and Rural Affairs presented reports on accelerating the building of a modern industrial system.
While outlining the central task of the Party, Xinhua reports that the meeting noted “that economic development is the Party’s central work. It further noted:
Strengthening the Party's leadership over economic work is an integral part of strengthening the overall leadership of the Party.
The CCFEA bears heavy responsibilities and plays an important role as an important institutional arrangement of the CPC Central Committee to lead economic work.
To do a good job, the CCFEA under the 20th CPC Central Committee must fully and faithfully apply the new development philosophy on all fronts, accelerate the creation of a new development pattern and pursue high-quality development.
It is imperative to strengthen strategic planning, bolster systems thinking, promote coordinated implementation, and intensify investigations and research to put into good practice the national development strategy in a consistent manner.
The meeting examined and approved Work Regulations for the Central Commission for Financial and Economic Affairs and Detailed Regulations for the Office of the Central Commission for Financial and Economic Affairs.
The meeting stressed the need to “grasp the opportunity of the new scientific and technological revolution including AI to maintain and strengthen the advantages of a complete industrial system.”
The meeting resolved to “maintain the real economy as the mainstay and prevent it from being sidelined, take steady and incremental steps instead of going after what is big and foreign and maintain an integrated development of primary, secondary and tertiary industries and prevent them from being isolated and opposite to each other.”
It also urged to “keep promoting the transformation and upgrading of traditional industries rather than eliminating them as ‘low-end’ industries, and adhere to openness and cooperation instead of divorcing ourselves from reality.”
Referring to the industrial policies, it was noted that there was a need to improve them and better coordination under the new development strategy and that “top priority must be given to safeguarding industrial security, top-level design for strategic fields must be enhanced.”
The meeting stressed that “greater efforts should be made to achieve breakthroughs in core technologies in key areas and strengthen support for strategic resources, and the principal position of enterprises in sci-tech innovation should be ensured with institutional arrangements.”
It also talked about leveraging technology to enhance grain production and “breaking through the restrictions of natural conditions such as cultivated land on agricultural production. It is important to make full use of the advantage of the super-sized market, with efforts to integrate the strategies of domestic demand expansion and innovation-driven development, and promote opening up and cooperation of the industrial and supply chains.”
It called for making “vigorous efforts should be made to build world-class enterprises, cherish and care for outstanding entrepreneurs, and train master craftsmen and highly skilled workers.
The meeting also took note of the demographic changes taking place in China and pointed out:
The current population development in China is characterized by the trend of birthrate decline, population aging, and differentiation in regional population growth, so the new situation of population development in China must be fully understood and correctly viewed.
We should focus on the strategic arrangement of building a strong country and achieving national rejuvenation, perfect the strategy for population development in the new era, and understand, adapt to and guide the new normal of population development.
Efforts should be made to improve the overall quality of the population, maintain an appropriate birthrate and population size, and speed up the development of modern human resources with good quality, sufficient quantity, optimized structure and reasonable distribution, so that Chinese modernization will be advanced with support from the high-quality development of the population.
It is necessary to apply systems thinking in planning the population development, promote high-quality population development through reform and innovation, closely integrate high-quality population development with high quality of life for the people, and promote well-rounded development of individuals and common prosperity for everyone.
On the issue of deepening the reform and innovation of education and health services, the meeting underlined the need to “regard the construction of an education power as a strategic project for high-quality population development.”
Xi Jinping urges to seize opportunities in AI at the CCFEA meet
During the abovementioned meeting of the Central Commission for Financial and Economic Affairs chaired by Xi Jinping on May 5, the Chinese President urged the members “to seize opportunities presented by new scientific and technological breakthroughs, such as AI, to build a ‘holistic, advanced, and harm-free’ modern industrial system,” reports SCMP.
Xi Jinping had previously made similar remarks at the Politburo meeting on April 28, thus twice making a reference to AI in less than a fortnight. At the latest meet, Xi said, “Accelerating the construction of a modern industrial system bolstered by the real economy is crucial for us to gain strategic initiative in future development and international competition.”
The SCMP continues:
At a separate April 28 meeting of the Politburo, the decision-making communist party apparatus headed by Xi, Chinese leaders concluded that China must “pay attention to the development of artificial general intelligence (AGI), create an ecosystem for innovation but at the same time take risk prevention into account”.
It was the first time Beijing has included a reference to AGI in a Politburo statement, reflecting the country’s mixed signals to date on where it stands on ChatGPT-style services. It appears that while advancement of AI is desired, there are also concerns about the consequences of such actions.
Comment: Beijing’s worries lately with respect to AI are two-fold. The two sets of concerns are also in conflict with each other. The first entails ensuring that China does not fall behind too far in the competition with the West so far as generative AI technology is concerned. This fear has been accentuated in the backdrop of the remarkable success of US-based generative AI platforms, particularly ChatGPT has had in a short span of time. This effort thus requires creating an enabling environment to drive innovation. The second worry concerns the issues with the regulation of generative AI applications as the Party fears it can undercut its propaganda machinery and circumvent the party censorship on various issues. This effort would require stringent regulatory measures to ensure that any technology conforms to the Party standards. Thus, Beijing faces a dilemma as the two objectives/concerns run in conflict with each other.
To address the issues, China’s internet watchdog, Cyberspace Administration unveiled the draft AI rules in April 2023 which, while encouraging innovation in the sector, directed the developers to conform to the security concerns of the country and abide by the ‘socialism with Chinese characteristics’.
China doled out US$1.75 billion worth of subsidies to its semiconductor firms in 2022
According to industry data accessed by the SCMP, the Chinese government doled out more than 12.1 billion yuan (US$1.75 billion) in subsidies to 190 domestically listed semiconductor companies (only mainland) in 2022. The report informs that “other unlisted firms also received government support either through loans or direct investment”.”
Since US’s October 7 announcement to curb China’s access to advanced chip-making technology, China has stepped up its efforts to enhance its capabilities even as the efforts towards becoming self-reliant in the domain were already underway.
The report adds:
Since late last year, a number of municipal governments in China – including Chengdu in southwestern Sichuan province, Nanjing and Suzhou in eastern Jiangsu province, as well as Guangzhou and Shenzhen in southern Guangdong province – have answered Beijing’s call to boost the development of the country’s integrated circuit industry by setting aside millions or billions of yuan in subsidies.
Suzhou alone promised to foster the development of 10 “leading innovative companies” and add three more listed firms to its local semiconductor ecosystem this year.
It further reads:
In late February, YMTC, China’s top memory chip maker, received US$7 billion in fresh funding from a group of state-backed investors, including the National Integrated Circuit Industry Investment Fund, known as the “Big Fund”.
Hong Kong-listed Hua Hong Semiconductor, China’s second-largest chip foundry, also received state backing for its US$6.7 billion wafer fabrication plant in eastern Wuxi city, according to its stock exchange filing in January.
I would highly recommend our readers to read through the latest report by CSIS that discusses China’s responses to the US’ chip war.
In another setback to China, Korean chip company SK Hynix shelves plan to upgrade its Wuxi facility
According to a report by Taiwanese-based consultancy firm, TrendFonrce, the South Korean chip maker SK Hynix has “rowed back on plans to upgrade memory chip-making technology at its fab in Wuxi, Jiangsu province, due to pressure from the latest US tech restrictions on China,” the SCMP reports.
The report published on May 4 read that SK Hynix’s long-term strategy “invovles shifting its capacity expansion back to South Korea, while the Wuxi fab carters to domestic demand in China and the legacy-processor consumer DRAM market.”
Reporting on SK Hynix’s Wuxi facility, the SCMP added:
SK Hynix had planned to upgrade its Wuxi fab’s mainstream process from 1y nanometre (nm) to more advanced 1z nm, both classified as being in the 10-nm class.
The Wuxi factory is currently the largest foreign investment project in Jiangsu. This facility is also critical to the global electronics industry because it is responsible for about half of SK Hynix’s DRAM chip output and roughly 15 per cent of the world’s production.
Foreign-owned chip foundries in China – including SK Hynix’s 300-millimetre DRAM wafer fab in Wuxi – were granted a one-year grace period under the October clampdown during which they can continue to import equipment from the US. Samsung and Taiwan Semiconductor Manufacturing Co (TSMC) received exemptions around the same time.
Samsung, another South Korean chip giant, has already announced a review of its investments in China after the US’s trade sanctions.
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Section C: Military Developments in China
- Anushka Saxena
To begin with, there’s a lot of back and forth going on between Western and Chinese domestic media about the actual capabilities of China’s aircraft carriers.
To begin with, on May 5, Reuters published an article claiming that ‘China's aircraft carriers play 'theatrical' role but pose little threat yet’. It argued:
When China sailed one of its two active aircraft carriers, the Shandong, east of Taiwan last month as part of military drills surrounding the island, it was showcasing a capability that it has yet to master and could take years to perfect.
As Beijing modernizes the Chinese People’s Liberation Army (PLA), including its missile forces and naval vessels, such as cutting-edge cruisers, it is posing a concern for the US and its allies. However, it could take more than a decade before China can mount a credible carrier threat far from its shores, four military attaches and six defense analysts familiar with regional naval deployments said.
Instead, China’s carriers are more of a propaganda showpiece, with doubts about their value in a possible conflict with the US over Taiwan and about whether China could protect them on longer-range missions into the Pacific and Indian oceans, the attaches and analysts said.
The Chinese National Ministry of Defense did not respond to questions about its carrier program, although dozens of articles in state-linked journals reviewed by Reuters reveal awareness among Chinese military analysts about shortcomings in the country’s carrier capability.
While some regional press coverage, partially based on Chinese state media reports, portrayed the drills around Taiwan as active patrols and a military challenge to the US and its allies, the Chinese carriers are effectively still in training mode, eight of the experts said.
In a conflict, China’s carriers would be vulnerable to missile and submarine attacks, some of the experts said, adding that the Chinese People’s Liberation Army Navy (PLAN) has not perfected protective screening operations, particularly anti-submarine warfare.
“Unlike other parts of their military modernization, there is something politically theatrical about their carrier deployments so far,” said Trevor Hollingsbee, a former British naval intelligence analyst. “Carrier operations are a very complicated game, and China’s got to figure this out all by itself. It still has a long, long way to go.”
At times, China’s carrier pilots have relied on land-based airfields for takeoffs or landings, as well as for extra air cover and surveillance, the attaches said, speaking on condition of anonymity as they were not authorized to speak publicly.
Soon, this coverage made it to Taipei Times and even Indian platforms like ThePrint.
As expected, Global Times responded on 6 May, with a piece titled ‘Do Chinese carriers only play theatrical role? Shandong aircraft carrier fleet’s first Western Pacific drills effectively refute such smears’. It argued:
The Chinese People's Liberation Army (PLA) Navy on Saturday released videos and pictures of just-concluded combat readiness drills of the Shandong aircraft carrier fleet, saying that the fleet entered the Western Pacific for the first time in a systematic and large-scale manner, which according to Chinese experts, effectively refuted the Western media's smears that Chinese aircraft carriers only "play theatrical role but pose little threat."
These important real-world combat-like drills responded to the enemy's provocations, Song Zhongping military expert and TV commentator, told the Global Times on Saturday.
A military expert who requested not to be named told the Global Times that the recent drills conducted by the Shandong aircraft carrier fleet, based on the official release, demonstrate its joint combat capability with PLA forces including air forces as well as underwater forces, showing that Shandong's first far sea maneuvers started from a strong position.
Experts quoted in the Reuters report contended that in a conflict, China's carriers would be vulnerable to missile and submarine attacks, noting that the People's Liberation Army Navy has not perfected protective screening operations, particularly anti-submarine warfare. Responding that, Song said that admittedly, it would be a process for Chinese aircraft carriers to establish and hone their protective screening operations, and frequent drills in variety of sea areas prove that China was rapidly developing such capabilities.
From the commissioning in December 2019, to the first far sea training in the Western Pacific in April, it took Shandong more than two years, the same process took the US many years, Song said.
Next, China and Laos are preparing to hold joint military exercises similar to the ones China held with Singapore last week, in the backdrop of intensifying US military exercises with Thailand and Indonesia, and its deal with the Philippines on access to additional military bases.
The Chinese military released a statement on the exercises:
Based on the agreement of both sides, the China-Laos Friendship Shield-2023 joint military exercise will be held at the Kommadam Academy of the Lao People's Armed Forces (LPAF) in Laos from May 9 to 28.
The exercise will be set on the scenario of joint attacks on transnational armed criminal groups, involving more than 900 participating troops from both sides. The Chinese side will send over 200 troops from a combined-arms brigade of the 75th Group Army under the PLA Southern Theater Command to the exercise, along with more than 300 units (sets) of assault vehicles, various types of ordnance, and equipment for mine clearance, explosive disposal and epidemic prevention.
This exercise will include such contents as mixed grouping training, comprehensive drills, cultural exchanges and humanitarian assistance event, which is of great significance to strengthening military exchanges between the two militaries and maintaining regional peace and stability.
Reuters reported on the matter:
The drill marks a step up from previous "Peace Train" joint humanitarian medical rescue exercises between Chinese and Laotian militaries in Laos.
The exercise in Laos also comes as the United States increases military exercises in the region with annual war games in Indonesia and Thailand and the largest-ever annual drill last month with ally the Philippines involving more than 17,000 personnel.
Philippine President Ferdinand Marcos Jr said on Thursday that granting U.S. access to Philippine military bases is a defensive step that would be "useful" if China attacked democratically governed Taiwan, claimed by China as part of its territory.
Thoughts: China’s exercises with Laos, that begin tomorrow, along with its exercises with Singapore last week and with Cambodia earlier this year, seem to be part of a massive Southeast Asia outreach stepup programme amidst tensions in the South China Sea.
Before this, too, in February 2023, the working group of the Chinese Ministry of National Defense visited Laos, Vietnam and Brunei from February 8 to 15, held working talks with the defense departments of the three countries respectively, exchanged views on the relationship between the two militaries and regional security issues of common concern, focusing on bilateral defense cooperation mechanisms.
This defense and military outreach is headed primarily by the PLA Southern Theatre Command forces in cooperation with the MoND and the CMC.
To read more on developments concerning Chinese military forces, please refer to :
Interesting speculation in the Indian media about the Chinese PLA and CMC jumping at the opportunity to recruit Nepali Gurkha soldiers since Nepal refused to send any trainees to the Indian army for recruitment in 2023 (articles here and here);
Spacebattles (a more informal channel for public discussions)
Section D: Foreign Policy Watch
- Kingshuk Saha
Canada Summons Chinese Ambassador over allegations of political interference
Canada summoned Chinese Ambassador Cong Peiwu over the allegation that a Chinese diplomat had intimidated Conservative MP Michael Chong and his family for its criticism of China.
The BBC Reports: Canada has said it is considering expelling Chinese diplomats after Beijing was accused of targeting a member of parliament and his family. Foreign Affairs Minister Melanie Joly summoned China's ambassador on Thursday to discuss the issue.
It further adds: It follows a report that Canada's spy agency believes China sought details about the MP's relatives to deter "anti-China positions". The politician had previously accused China of human rights abuses. According to a Canadian intelligence report that first emerged in the Globe and Mail newspaper, Michael Chong, a Conservative politician in Canada, was targeted by the Chinese government after he put forward a motion in parliament in 2021 that declared China's treatment of its Uighur minority population a genocide. China has denied the accusations and sanctioned Mr. Chong shortly after in response.
Canadian Foreign Affairs Minister Melanie Joly tweeted:
Via @melaniejoly on Twitter The Global Times reported in response: China never has any interest in interfering in Canada's internal affairs, the Chinese Foreign Ministry said on Thursday, after a Canadian lawmaker called on the Canadian government to expel a Chinese diplomat accused of having sought to "intimidate" him and his family in Hong Kong region over the lawmaker's criticisms of China. The outcry followed a report on May 1 by the Globe and Mail claiming that the Canadian government turned a blind eye to China's interference in Canadian affairs.
Citing classified documents and an anonymous security source, the newspaper claimed that China's intelligence agency had planned to target Chong and his relatives with sanctions for having voted in February 2021 for a motion condemning China's policy in the Xinjiang region as "genocide."
The Chinese Consulate-General in Toronto strongly refuted on Thursday the baseless claims and groundless accusations hyped up by certain Canadian media outlets and politicians. The spokesperson of the Chinese Consulate-General in Toronto issued a statement saying certain Canadian media outlets and politicians recently have been intentionally hyping accusations that officials from the consulate-general were involved in "coercing" a Canadian member of parliament and his family, noting these claims are baseless, which the consulate-general strongly disagrees with and firmly opposes.
The spokesperson emphasized that the consulate-general has always strictly adhered to the Vienna Convention on Consular Relations and exercises its consular function under the Consular Agreement Between the Government of China and the Government of Canada. Consular officials have never engaged in any activities that are inconsistent with their official roles.
The incident highlights China’s attempt to muzzle any dissent internal or external using strong-arm tactics and the Canadian government's dilemma on opposition demands of strong action against China.
Chinese Foreign Minister visits Myanmar
State Councillor and Foreign Minister Qin Gang visited Myanmar on 2nd May before traveling India to attend the SCO Foreign Ministers’ Meeting.
The Diplomat Reports: China’s Foreign Minister Qin Gang stopped in Myanmar on May 2, en route to India for the Shanghai Cooperation Organization’s Foreign Ministers’ Meeting. In doing so, Qin further cemented Beijing’s willingness to work with the military regime that seized power via a coup in February 2021 – even though Myanmar has been wracked by civil for much of the time since then.
Beijing seems to be pretending that the coup, in effect, didn’t happen. Qin’s visit made clear that China expects to carry on with its previous plans for Myanmar. In particular, China will “deepen practical cooperation [with Myanmar] in such fields as economy and livelihood, and support Myanmar’s efforts to maintain stability, revitalize the economy, improve people’s lives, and realize sustainable development,” the Foreign Ministry spokesperson said.
In the context of ongoing armed resistance against the coup, the pledge to “support Myanmar’s efforts to maintain stability” is key, as it could hint at arms sales or other practical support to the junta’s brutal use of force against opposition forces (and civilians). Qin’s visit continues a steady trend of solidifying China’s support of and engagement with the military regime.
Last July, Qin’s predecessor, Wang Yi, visited Myanmar for the first time since the junta seized control. Wang’s trip was taken as a sign of China’s recognition of the military regime – by both the junta itself and its opponents in Myanmar, who sharply criticized the move. Earlier in the year, Wang had pledged that China would support Myanmar’s military government “no matter how the situation changes”
Commenting on the visit, Fan Hongwei, Director of the Center for Southeast Asia Studies at Xiamen University, said: “The visit comes against a backdrop where the political and security situation in Myanmar has not been fully resolved. Therefore, peace and stability are the top priority for Myanmar. The two sides can start with some livelihood projects, which are acceptable to all parties in Myanmar and take into account the complicated political situation in Myanmar.”
Qin's visit to Myanmar shows China’s support for the junta. Myanmar's importance is due to its strategic location and Chinese investments. During his visit, Qin also expressed China’s concern about the instability as it not only affects the investments but also has a spillover on China.
Mongolian Foreign Minister visits China
Mongolian Foreign Minister Battsetseg Batmunkh, at the invitation of Chinese State Councillor and Foreign Minister Qin Gang, was on a state visit to China from 1 to 2 May.
During the meeting, Qin, who was there to sell the strengthening of their Belt and Road Initiative partnership, made comments in a usual tone: “China always views China-Mongolia relations from a strategic height and a long-term perspective, and stands ready to work with Mongolia to implement the important common understandings reached between the two heads of state, support each other on issues concerning respective core interests and major concerns, constantly enhance political mutual trust and friendship between the two peoples, further synergize the development strategies, continuously deepen the cooperation on the Belt and Road Initiative, mining, connectivity and other fields, in a bid to build together a China-Mongolia community with a shared future featuring peaceful coexistence, mutual assistance and win-win cooperation”.
The CGTN Reports: For her part, the Mongolian foreign minister stressed the country's diplomatic priority remains to be developing a partnership that features stability, friendliness and comprehensiveness. She doubled down on the country's stance of adhering to the one-China principle, adding that the Taiwan question and issues related to Hong Kong and Tibet are purely China's internal affairs.
Meanwhile, Batmunkh said that “Mongolia-China relations are built based on such principles as mutual respect for sovereignty, territorial integrity and respective core interests, and mutual benefit and win-win results. Mongolia appreciates and supports the Global Development Initiative, the Global Security Initiative and the Global Civilization Initiative proposed by President Xi Jinping, and stands ready to deepen political mutual trust and expand practical cooperation with China, to enrich the bilateral relationship and make the bilateral relationship a model for the region.”
China's interest in Mongolia is part of its long-term strategy of deeper economic and strategic integration in the region.
Plus, the Mongolian Foreign Minister’s comments about Tibet, Taiwan, and Xi’s GDI, GSI and GCI signal a fearful assurance that China need not worry about its northern border with Mongolia.
Section E: Chinese Domestic Politics
- Anushka Saxena
To begin with, celebrations for the national ‘Chinese Youth Day’, which falls annually on May 4, were underway this week. It was established to honor the May Fourth Movement, launched in 1919 by Chinese students. Xi Jinping made comments about the importance of the youth to ‘rural revitalization’, and the domestic tourism sector reportedly received a major boost.
First, on May 3, 2023, Xi Jinping replied to a letter from students participating in a program at the China Agricultural University that dispatches students to the frontlines of agricultural production. Xi said he was gratified to know that the students went deep into the fields and villages to get to know about people's wellbeing and gain knowledge through serving rural revitalization.
Further details of the reply letter, as the Chinese government reported, are as follows:
He also called on the youth to help strengthen and accelerate the modernisation of agriculture in rural areas to comprehensively build a modern socialist country.
Replying to the students' remarks that they had learned to seek truth from facts and maintain close ties with the people only when they went deep into China's rural areas, Xi said that this is the spirit that Chinese youth in the new era should have.
The 20th National Congress of the Communist Party of China has made plans for building up China's strength in agriculture, Xi said, hoping the students will closely integrate textbooks with practices in rural areas, and devote their youth and strength to speeding up rural and agricultural modernization and the construction of a modern socialist country.
The program, known as "science and technology backyards," was started in 2009, aiming to study and solve practical problems in the development of agriculture and rural areas, train high-level agricultural talents, and serve rural and agricultural modernization. So far, the university has established 139 "science and technology backyards" in 24 provincial-level regions.
The Science and Technology Backyard is set up to provide the students with an opportunity for long-term hands-on practice in rural areas. Among their main tasks is to promote agricultural technology to the local farmers and provide suggestions to help increase production and incomes.
ChinaDaily also published anecdotes from professors and students on the ‘Backyard’ programme:
Jiao Xiaoqiang, an associate professor at the China Agricultural University and a coordinator of the projects, said that Xi's reply letter was a recognition of the program's efforts to serve farmers, agricultural production and rural development.
Samson Mofolo, a postgraduate student from Malawi and a participant in the program, said he never thought his research and work in China would receive attention from the top leadership. He described his experience while participating in the Science and Technology Backyard project in Quzhou county as "amazing".
Thoughts: To hear from a student from the African country of Malawi also tells us that Xi has gone global with this programme, especially with Chinese allies in the developing world, to project Beijing’s image as a peaceful innovator, and using the youth as a tool to peddle influence.
Of course, a lot of this narrative was also meant to emphasize how Xi himself was a sent-down youth during Mao’s reign in Liangjiahe village of Shaanxi province, and how he “has been known as a hard-working cadre,” and has “often encouraged the young generation to carry on this tradition.”
Before this, even as part of his report to the 20th Congress of the CPC in October 2022, Xi urged the country's young people to steadfastly follow the Party and its guidance, aim high but stay grounded, and dare to think big and take action but make sure to be able to deliver. As part of this message, Xi also amply clarified the need for young people to toe the party line and shoulder the responsibility of taking the nation forward in the ‘New Era’:
He said: "We will carry forward the long line of inspiring principles for the Chinese Communists that originated with the great founding spirit of the Party; put resources related to the Party’s heritage to great use; conduct extensive public awareness activities to promote the core socialist values; enhance commitment to patriotism, collectivism, and socialism; and foster a new generation of young people to shoulder the mission of realizing national rejuvenation.”
He also said: “All of us in the Party should regard our work concerning young people as a matter of strategic significance. We will equip young people with the Party’s theories, inspire them with the Party’s original aspiration and founding mission, and become their confidants, advocates, and guides for the future.
And finally: “Young people: You should steadfastly follow the Party and its guidance, aim high but stay grounded, and dare to think big and take action but make sure you can deliver. You should strive to be the new era’s great young generation, a generation with ideals, a sense of responsibility, grit, and dedication. As you endeavor to build China into a modern socialist country in all respects, your youth and vitality will bloom in full splendor.”
Next, as per a statement released by the Chinese Supreme People’s Procuratorate on 6 May, in the first quarter of this year, procuratorates across China have approved the arrest of 10,923 people suspected of committing fraud.
The SPP said in a statement that over the same period, prosecutors filed indictments against 18,146 suspects on relevant charges.
This number of prosecutions ranks fifth among all crimes in China for the first quarter of 2023.
According to the SPP, investigations have found that fraud cases related to elderly care and medical care insurance are on the rise.
It noted that over half of the fraud cases involved more than one perpetrator, and the illegal activities were well-organized, with the participation of multiple criminals.
Smart technologies, such as AI and big data, are often utilized by criminals to perpetrate relevant crimes, which can make them more challenging to detect, the statement said.
Procuratorial agencies will enhance communication with the police and strengthen cooperation with financial, telecommunications and market regulation authorities to form a synergy in cracking down on such crimes.
To analyze the nature of these fraud crimes that are on the rise, Chinese media platform NetEase presented three arguments from the SPP:
According to the Supreme Procuratorate, this type of crime mainly presents three characteristics. One is that it involves a wide range of areas and is closely connected with market demand. The forms of fraud crimes are constantly being refurbished. In addition to the traditional and frequent types of fraud, such as telecommunications and network fraud, financial fraud, and routine loan fraud, new types of fraud such as pension fraud, medical insurance fraud, and collectibles fraud continue to emerge with various names, affecting the people's sense of gain, happiness, security. Some defraud the elderly specifically in the name of providing "elderly care services", investing in "elderly care projects", selling "elderly care products", claiming "housing for the elderly", handling "endowment insurance" on behalf of them, and carrying out "elderly care assistance", violating the legitimate rights and interests of the elderly.
Second, the characteristics of organization and scale are obvious. Among the fraud cases prosecuted by the procuratorate, more than 50% were joint crimes. Fraud gangs are well-organized, have a clear division of labor, perform their own duties, have hierarchical management, and form their own system. Some set up specialized companies, use so-called "legal companies" as a cover, rent high-end office buildings, set up multiple departments or positions, use online platforms for publicity and recruitment, and adopt enterprise operation mode management.
The third is that criminal methods tend to be intelligent and highly concealed. Judging from the case handling situation, in the past, the scene of simply using the phone to carry out fraud has begun to shift more to the Internet, and artificial intelligence, big data analysis, etc. have been used in all aspects of fraud. Traditional cash delivery is gradually transformed into transfer using online banking and payment platforms. Some contact each other through a single line of the network, do not meet each other, and carry out assembly-line fraudulent activities. Fraudulent activities in the network environment have a wide range of spread, fast speed, many people deceived, low crime costs, and easy replication, which not only increases the cost of handling cases, but also increases the difficulty of fighting and preventing crimes.
Interestingly, Sina’s coverage of the issue has also featured a story about a Chinese pension insurance official who committed such fraudulent activity. It says:
For example, Fang Mouliang’s fraud case was handled by the People’s Procuratorate of Fuxing District, Handan City, Hebei Province. Since May 2016, Fang Mouliang has pretended to be the director of the pension office of a certain company, claiming that he can apply for the company’s pension insurance for those who have no jobs, and defrauded hundreds of employees. Those who need to apply for endowment insurance totaled 3.688 million yuan, in addition to paying 78.8 million yuan to some victims in the name of "retirement" and "living expenses". Except for 40,000 yuan, the rest are used for personal consumption and so on.
In light of the ‘third point’ made above by the SPP with regard to the fraud-conduction processes becoming more intelligent and techno-savvy, it’s worth reading a piece by the SPP from 2019 about the ‘triple dilemma of criminal liability for general intelligent robots’. The main argument of the article is that in the future, if a general-purpose intelligent robot can achieve a level of production and life that is completely like a human being, once it commits a "criminal act" that seriously endangers society, it will directly face the question of whether it should be investigated for criminal responsibility. Although there are currently claims to recognize the subject status of general intelligent robots as subjects of criminal responsibility, and to divide their criminal responsibility according to their identification and control capabilities, the criminal imputation of general intelligent robots faces multiple difficulties due to ‘three dilemmas’:
The first is that of the ‘unprovable free will’. It says: “Although the reasons for human beings to commit crimes include certain biological and social factors, the philosophical basis for pursuing criminal responsibility for criminals lies in the fact that the perpetrator has relative freedom of will, or the ability to choose freely, that is, the perpetrator can choose non-criminal behavior but choose He has chosen to commit a crime and therefore be held criminally responsible. No matter how advanced an intelligent robot is, it is still a human creation from the source. In this sense, it is difficult for artificial intelligence robots to completely escape the control of humans, let alone the free value of pursuing self-realization. Human beings are divided into various groups due to factors such as geography, culture, skin color, and race, and the subject of dispute resolution between these groups is also human beings themselves. If the subject status of general intelligent robots is recognized, it means that they can not only be judged, but also be judged to judge "similar" or even human beings.”
The second is that of ‘Incompatible Theories of Behaviour‘. It says: “There are many behavioral theories in criminal law, and various views have different opinions on how to define "behavior" in criminal law, and there are many differences. However, all kinds of behavior theories in criminal law are discussed with the natural person with vital signs as the core. In this regard, there is a point of view: within the scope of program design and compilation, intelligent robots commit criminal acts according to human consciousness and will, and intelligent robots should be regarded as "tools" for human beings to commit criminal acts, and intelligent robots that have developed to a certain stage. It is possible to go beyond the scope of the design and preparation of the program, and to carry out criminal acts in accordance with independent consciousness and will, so it is entirely possible to become the subject of the behavior and bear criminal responsibility. Compared with the definition of "behavior" in traditional theories, the behavior of intelligent robots outside the scope of the designed and compiled programs seems to meet the requirements of behavior theory except for the "human" element that does not meet the subject's need to have a living body. However, the behavior theory is precisely based on the understanding of human thinking and body activities.”
The third is that of ‘Applying Ineffective Punitive Measures‘. It says: “Crime and punishment are two basic categories of criminal law theory. The reason why crime is distinguished from general illegal acts is because it is an act that violates criminal law [and invites] the most severe form of sanctions. [But] can the penalty in the traditional sense set for a natural person be applied to a robot to produce a similar effect? Does the state's penal power, which is limited by the protection of human rights, still need to abide by certain principles and procedures? If the punishment against robots cannot produce pain and deterrence, is it still necessary to abide by a series of principles, procedures and systems derived from the protection of human rights? Because the criminal law is not only the punishment law of criminals, but also the protection law of criminals' rights. Therefore, the traditional penalties applicable to general intelligent robots are unlikely to have corresponding applicable effects, but setting special penalties for them is difficult to maintain a logical system consistent with traditional penalties in terms of the basis and process of application.“
This third one is a real clean-chit for the SPP to not torture robots.
It is unusual for justice-delivery bodies like China’s SPP to go in-depth about AI and jurisdiction over the “crimes” it may commit in the near future. Advanced and necessary thinking, in my opinion.
However, the article seems to suggest that the procuratorates have already made up their minds about how any AI-perpetrated “crimes” are to be treated – as purely responsible by their human creators and/or operators – leaving no room for doubt regarding human responsibility and therefore, meaningful human oversight.
Next, an educational mobilization meeting with the theme of "Concentrate your heart, build your soul, strengthen your foundation, unite and forge ahead on a new journey" was held in Beijing on 5 May. The meeting’s agenda was ‘Thematic Education of Democratic Parties, Non-Party Personnel, Non-Party Intellectuals and New Social Classes’.
Shi Taifeng, a member of the Political Bureau of the CPC Central Committee and head of the United Front Work Department of the CPC Central Committee, attended and delivered a speech. Subsequently, the CPC UFWD was required to answer three questions to deliver clarity on the work being done on ‘Thematic Education’ for non-CPC personnel. Here are elements from the report the UFWD published on it:
The first question is, “Why does the CCP carry out theme education within the party, and people outside the party also need to carry out theme education?” To that, the UFWD said:
Organizing and carrying out theme education is an important experience for all democratic parties, non-party personages, non-Party intellectuals, and people from new social classes to strengthen their ideological and political leadership.
Since the 18th National Congress of the Communist Party of China, the Central Committee of the Communist Party of China with Comrade Xi Jinping at its core has supported the democratic parties, non-party figures, non-Party intellectuals, and people from new social classes to carry out a series of themed education based on their own characteristics, strengthen ideological and political leadership, and continuously consolidate the common ideological and political basis of the CPC's united struggle, which has played an important role in the long-term development of the united front and multi-party cooperation.
With the theme of studying and implementing Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era, people from all walks of life will carry out education on the theme of "Concentrating their hearts and building their souls to strengthen their foundations and unite and forge ahead on a new journey". It is of great significance to gather wisdom and strength for the construction of a strong country and national rejuvenation.
The second question is, “What are the target and task requirements for themed education?” To that, the UFWD said:
It is understood that this theme education not only learns from the content and practice of the CCP’s theme education, but also fully reflects the distinctive characteristics of democratic parties, non-party intellectuals, and new social strata. "Foundation, duty performance, and new achievements" are the general requirements, adhere to the integration of learning, thinking and application, and the unity of knowledge and practice, focus on strengthening the theoretical armament and building the soul, stick to the original intention of cooperation, deepen political handover, promote self-construction, strengthen the foundation, and do a good job of learning and application.
Here, ‘theoretical armament’ refers to Xi Jinping Thought on Socialism with Chinese Characteristics for the New Era. Also, why there is an emphasis on ‘learning and application’ is because for China, this is its biggest flex – that it took the learning and theory of ‘socialism’ and put it into practice. Since then, the CPC has focused on stitching theory with practice almost everywhere - may it be military reforms, governance, etc.
The four main requirements are: “Take theoretical study as the primary task of themed education,” “Take investigation and research as an important content of themed education,” “Take boosting development as the focus of themed education,” and “Take inspection and rectification as the key starting point of themed education.”
The third question is, “When will the theme education start, what is the scope of participation, and how can it be carried out in a standardized and orderly manner?” To that, the UFWD said:
Development time: From the deployment of democratic parties, independents, non-party intellectuals, and new social strata to January 2024.
Participants: Focusing on the members and representatives of the leadership of organizations at all levels of the democratic parties, non-party representatives and representatives of new social classes, covering members of democratic parties, non-party figures and non-party intellectuals, and new social classes.
Working principle: There are four aspects to this – Stick to the right direction, Stick to self-education, Adhere to integrity and innovation, and Adhere to the unity of knowledge and action. These are similar to the four tasked requirements of themed education mentioned above.
Strengthen organizational leadership: The democratic parties formulate specific work plans based on their own actual conditions, and organizations at all levels establish leading and working institutions to conduct careful research and planning, carefully organize and deploy, strengthen research and guidance, and carry out standardized and orderly work.
The document, of course, ends by reiterating role of the UFWD: “The united front departments of party committees at all levels give full play to their leading and coordinating functions, contact and promote relevant departments, group organizations, and industry associations to give full play to their functional advantages, and strengthen the importance of institutions of higher learning, scientific research institutes, state-owned enterprises, cultural and health units, non-public economic organizations, and social organizations. The role of the front is to make good use of platform carriers such as the non-party intellectuals' advice and suggestions expert group, the non-party intellectuals' association, and new social class associations, service groups, and practice and innovation bases, focusing on three aspects: theoretical study, investigation and research, and development assistance.
Briefly, on elections and appointments:
Hu Yuting was elected governor of northeast China's Jilin Province by the provincial legislature on Saturday (6 May). The 14th Jilin Provincial People's Congress elected the governor at its second session.
Those interested may read this article, written in a very personal, anecdotal language by an overseas Chinese citizen from Jilin, about the conduction of the election process and what Hu Yuting’s victory means.
The State Council, China's cabinet, announced the appointment and removal of officials on Friday (5 May).
Wang Keqiang and Chang Jin were appointed vice presidents of the Chinese Academy of Sciences, and Gao Hongjun was removed from the post.
Lin Nianxiu no longer serves as deputy director of the National Development and Reform Commission.
A NetEase article reports: “On May 5th, the State Council's two-term and three-time exemption attracted the attention of many netizens. The official website did not disclose the reason for Lin Nianshu's dismissal. Some people speculated that he was suspected of violating discipline and law.”
And then it warned: “Based on the principles of helping the sick, helping the poor, and punishing corruption, the party and the state adopt a zero-tolerance attitude towards all corrupt acts, strengthening the supervision of cadres, and creating a fair, just, and clean society for the people.”
Chen Wenhui no longer serves as vice chairperson of the National Council for Social Security Fund.
According to the official website of the Council for Social Security Fund, in addition to Chen Wenhui who has now resigned, the National Council for Social Security Fund currently has one chairman and three vice-chairmen.
The chairman is Liu Wei, a member of the party group of the Ministry of Finance, and the three vice-chairmen are Wang Wenling, Wu Jianli and Jin Luo.
Eye on China is a weekly newsletter curated by the Indo-Pacific Studies Programme at The Takshashila Institution, a public policy think-tank based out of Bengaluru, India.
Contributors :
India-China Relations: Kingshuk Saha
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Military Developments in China: Anushka Saxena
Foreign Policy Watch: Kingshuk Saha
Chinese Domestic Politics: Anushka Saxena