Category Archives: China P.O.

M.P.O. The exhaustion of the Chinese Model

M.P.O. 

On China, the anti-corruption drive, and the latest developments.

The World was surprised by the sudden disappearance and the following reappearance of Mr Guo Guangchang the Chairman of Fosun, China’s self styled Warren Buffett.

Fosun has been on an acquisition spree abroad, and owns  quite a number of very well known companies in the West, and has substantial investments in Portugal.

The official explanation for the four days absence , and a face saving one, was ” four days out of sight while assisting a judicial investigation” (Financial Times).

Even if it is not uncommon in China for public and private officials to assist an investigation, no one is buying that version of the events.

Because Mr Guangchan was not charged of any wrongdoing, and Fosun said that the investigations had nothing to do with the Company.

This bizarre situation comes after Mr Guangchang having been advised, more than a year ago,  to get a second, and of different Country, passport.

But he said he did not need one because he had been “behaving well”…

A lot of private entrepreneurs have been “pested” by the various authorities since the Communist Party General Secretary Xi Jinping announced his anti-corruption campaign following the 18th National Congress which was held in November 2012.

And recently, in another article in this site, Mr Xu Ming, a former business ally of disgraced Chinese politician Bo Xilai has died in prison of illness, months before he was due to be released.

Probably he knew too much…

From The FT:

“The death of Xu Ming, founder of property conglomerate Dalian Shide Group, who testified against Bo’s wife Gu Kailai in 2013, is the second high-profile death in recent months of a person involved in the downfall of Bo and Gu, the biggest political scandal in China since the trial of the Gang of Four more than three decades ago.”

Then you have the military confrontation with the US, clearly provocative, the interference in Taiwan’s elections, with the “meeting of two gentlemen, the admission, (finally), that there is a serious pollution problem, the trial of lawyers including the famous and prominent Mr Pu Zhiqiang , the massive capital flight, the persecution of financial market players, blaming them because he market went down, etc, etc, etc.

The statement by Fosun saying that from now on , the Company was going to focus on China, clearly is in response to pressure by the authorities, that have been trying to control the massive capital flight.

And that have been pesting the companies that try to list abroad, because it is an obvious way to expatriate capital.

President Xi Jinping is a very astute person, and reportedly the most powerful Chinese leader since Mao Tse Tung.

Or even more powerful,some people say.

He knows that the growth model based on exports with  cheap labour and highly polluting factories is no more.

He also knows that the clean up is going to take decades.

He also knows that China , traditionally, has been a corrupt society, in part due to the very low wages.

He knows that his currency is devaluating and that he can do very little about it.

He wants to keep the power in the Communist Party.

And in consequence, and as usual in these kind of Countries (vidé Russia), he has to crackdown on anything that resembles power, and promote everything else that distracts the people’s attention from the fact that China is not growing what it used to in the past.

And that past growth was the people’s excuse to tolerate the system.

Which is under more and more scrutiny.

This is what all this is about, in my opinion.

Let’s hope it stays peaceful.

Francisco (Abouaf) de Curiel Marques Pereira

+++ P.O./V.I. (Xinhua) CPC solicits opinions on economic work

P.O.

…Can you imagine…?

…The Chinese Communist Government is soliciting opinions on the economy from…

…Non Communists…

…That’s how bad it must be…

…Regardless if they tell that the economy is growing at 7 % per year…

…Crap…

   In my opinion.

…You go and check if the sales of electricity, steel and cement are increasing accordingly…

   No statistics from China can be trusted, as it is well know…

   But one can take a sample from very large Companies, and extrapolate.

   But again, I doubt that there is 7 % annual growth of the economy in China.

   I will come up with another P.O. on China.

   Francisco (Abouaf) de Curiel Marques Pereira

(Xinhua – click to see) The Communist Party of China (CPC) Central Committee has held a meeting to solicit opinions from non-communist persons on the country’s economic work, according to a statement released on Monday.

While presiding over the meeting, which was held on Dec. 10, President Xi Jinping, also general secretary of the CPC Central Committee, said the country’s economic and social development, especially structural reform, would be arduous next year.

For the year ahead, China should focus on the development ideas featuring innovation, coordination, green development, opening up and sharing, and the economy would continue to adapt to the new normal for growth.

The country should continue to reform and open up, stick to the general guideline of seeking progress while maintaining stability and promoting the improvement of productivity, Xi said.

Xi made the remarks after Premier Li Keqiang briefed attendees on China’s economic situation and plans for next year’s economic work, according to the statement.

Attendees included Wan E’xiang, chairman of the Revolutionary Committee of the Chinese Kuomintang, Zhang Baowen, chairman of the Central Committee of the China Democratic League, and Li Daokui, an economist at Tsinghua University.

The group welcomed the CPC Central Committee’s plans for next year’s economic work and raised suggestions regarding deepening reforms, cutting enterprises’ financing cost and boosting cross-Strait economic cooperation.

China’s economy grew 6.9 percent in the third quarter from a year earlier, the weakest pace since the global financial crisis, prompting the central bank to cut interest rates six times in one year.

However, the latest macroeconomic indicators, including November’s industrial production, retail sales and fixed asset investment, have suggested stabilization in the economy. The country is on track to meet the government’s growth target of around 7 percent for 2015.

+++ P.O. and V.V.I. (FT) China must learn how to be a great power

P.O. 

Dear All

I call your attention to my October 8, 2015 M.P.O. below and all it’s links.

This is as important as it gets:

+++ M.P.O./V.V.I. (FT) US warships to challenge Chinese claims in South China Sea (click to see):

«I have written on this issue many times, calling everyone attention to what can become a major problem in the World.

There are no easy solutions, but please bear in mind that, in my opinion, if the worst comes to worst, this can turn into a World War.

Please check the links below, and read them carefully:

+++ V.V.I. (FT) Chinese activity on disputed islands raises doubt over halt claim (Click to see)

+++ (BBG) Slimmed Down Chinese Military to Help Xi Counter U.S. Dominance (Click to see)

+++ P.O./ V.V.I. (FT) Pomp, circumstance and combat vehicles at Beijing parade (Click to see)

+++ P.O./V.V.I. (FT) Chinese navy sails off Alaska coast as Obama visits Arctic (Click to see)

+++ P.O./V.V.I. (FT) China parades ‘carrier-killer’ missile through Beijing (Click to see)

+++ V.I. (FT) China set to parade its ‘carrier-killer’ missile through Beijing (Click to see)

+++ (BBG) China Military Parade Sets Spin Machine Into Overdrive (Click to see)

+++ V.I. (FT) Militarism is a risky temptation for Beijing (Click to see)»

Francisco (Abouaf) de Curiel Marques Pereira

 


(FT) China must learn how to be a great power

The nation has emerged in the space of a couple of decades as second only to the US.

When a US warship steamed through the South China Sea the other day China protested and her neighbours applauded. Washington said it was upholding freedom of navigation in the face of Chinese land reclamation projects that are turning disputed rocks into artificial islands. Beijing warned against provocation from an outsider with no claims of its own in the region. The rest of us were reminded of the dismal determinism of Thucydides’s account of the Peloponnesian war.

The demonstration of US naval power — the ship sailed in waters deemed territorial by China — pointed up the multiple collisions of competing historical claims, geography and shifting power balances fuelling an East Asian arms race. Some say there are now as many submarines prowling the waters of the western Pacific as there once were in the north Atlantic. Vietnam, the Philippines, Taiwan and Malaysia also contest the “nine-dash line” that asserts Chinese suzerainty over the South China Sea. Tokyo and Beijing are locked in a separate dispute in the East China Sea.

Just before the guided missile destroyer USS Lassen set its course, I joined the serried senior ranks of the People’s Liberation Army at China’s annual international security conference in Beijing. I have never seen so many starred epaulettes.

The Xiangshan Forum, hosted by the Chinese Association for Military Science, is another sign of the changing times. Not so long ago the PLA was, in the minds of westerners, an ineffably secret, some would have said sinister, organisation. The Xiangshan meeting, a competitor of sorts to Singapore’s long-running Shangri La Dialogue, speaks to a military establishment that now wants to be heard on the international stage.

China’s rise has come faster than its own leadership imagined, in part because of the immense damage inflicted on the west by the 2008 financial crash. Beijing now has to learn what it means to be a great power. This is not meant to sound patronising. Rather it is a description of reality. After two centuries, first as a victim of, and then largely a bystander at, global events, China has emerged in the space of a couple of decades as second only to the US.

This is not as easy as it sounds, especially since pretty much everyone else in the neighbourhood would have preferred things to have remained as they were. China is discovering that, like its neighbours, it too must adjust to China’s rise. I caught a small glimpse of this in the Xiangshan discussions. The PLA was founded as a land force to defend Chinese territory against external aggression. Now the generals are slashing troop numbers as they look to build expeditionary reach with naval and air power. This is what rising powers do. Yet I have the impression they are puzzling about how to make the transition.

Likewise, the nation’s civilian policymakers often struggle to find the balance between assertion of what they see as China’s rightful claims and recognition that rising powers need to reassure. To western ears, there is a dissonance between loud proclamations of inalienable sovereignty over disputed territory and quiet assurances, heard many times at the forum, that Beijing will never use military force in order to prevail.

What marks out President Xi Jinping from his predecessors is his determination at once to concentrate his personal authority at home — the old collective leadership has been dismantled — and project power abroad. The land reclamation works in the South China Sea are one manifestation of the latter aim; to my mind, the One Belt, One Road strategy to build Chinese influence across Eurasia is a still more ambitious one.

Mr Xi’s decision to hold talks with Taiwan’s outgoing president Ma Ying-jeou — the first such meeting since Taiwan broke from the mainland in 1949 — also suggests a leader willing to take risks. The meeting may be seen to have badly backfired if Mr Ma’s KMT loses to the more overtly nationalistic Democrat Progressives in January’s elections.

Beijing has a point when it says that things cannot stay the same. Its strongest argument is also the simplest: the world has changed. The range and complexity of China’s economic and security interests have multiplied. Like other great powers, it must assume a role in policing the global commons. To say that the old balance must not be disturbed is to defy the facts of geopolitics. You cannot look at the 21st century through the eyes of the 20th. Oh, and when last did a rising power not seek control over its coastal waters?

Yet it is equally natural that Beijing’s ambitions jar with the US. America’s presence in East Asia has been the guarantor of regional peace. What is more, the US is an East Asian power by invitation. China’s neighbouring states have been asking for a bigger not a smaller US presence. Vietnam is cross because Washington will not sell it sufficiently sophisticated weaponry. Think about it. The big criticism from most regional powers of President Barack Obama’s pivot to Asia is that it has been too timid.

East Asia will not stay the same for the simple reason that China’s rise has remade the landscape. America cannot hold on to a primacy that has already been lost. But nor can China claim its own hegemony. A new order must accommodate both. Any effort from either side to prove otherwise would tell us only that, like Sparta and Athens, they are doomed to collide.China-must-learn-how-to-be-a-great-power-FT

+++ P.O. (BBG) Merkel Loses Cool in China Before Crisis Talks With Coalition

P.O.

…The end is near…

…Typical of leaders who lost touch…

…And the notion of reality….

…It´s the 10-12 years syndrome…

…No way out…

…As per my M.P.O. (BN) Merkel Flirts With Failure as Greek Showdown Risks  Teflon Legacy (June 17, 2015) 

Francisco (Abouaf) de Curiel Marques Pereira

(BBG – click to see) Merkel Loses Cool in China Before Crisis Talks With Coalition

Angela Merkel lost her customary cool Friday as she responded curtly to a question about a party revolt over her handling of the country’s spiraling refugee crisis.

The German chancellor cut short a press briefing to wrap up her two-day trip to China after a reporter departed from the topic at hand, asking whether the time 5,000 miles away from Berlin had invigorated Merkel to return to the turmoil at home.

“This is an important trip, but the things at home are just as important,” Merkel responded before turning away from the cameras after a school visit in a village outside the eastern Chinese city of Hefei. She skipped an originally planned second question.

The moment of pique from the normally unruffled chancellor underscores the escalating political crisis as Merkel returns to Berlin for a series of emergency meetings this weekend to quell unrest over her open-door refugee policy. With the influx expected to reach almost a million this year, Bavarian Premier Horst Seehofer, a key coalition ally, has demanded that she stem the flow, threatening to take action himself if she doesn’t meet his Nov. 1 deadline.

Merkel meets with Seehofer, the chairman of the Bavarian Christian Social Union, the sister party to Merkel’s Christian Democratic Union, on Saturday. The two then plan to meet with Social Democratic leader Sigmar Gabriel, a coalition partner who opposes caps on refugees, on Sunday.

Creeping Isolation

Even as she faces accusations from party allies that her policies have triggered an unsustainable wave of migrants, Merkel is in no immediate political danger from lawmakers who don’t have any appetite to topple her and seek a successor. Still, the chancellor faces creeping isolation as a public initially lining up to welcome refugees begins to fret over the ever-mounting number of newcomers.

As a “super incumbent,” Merkel will be able to parry threats coming from the CSU and emerging from within her party, according to Andrea Roemmele, a political scientist at the Hertie School of Governance in Berlin.

“What she cannot lose is public support,” Roemmele said. “That is something she has to really be careful about and start worrying about — and she’s not doing enough to keep that public support.”

Popularity Hit

Polls show Merkel taking a hit. Support for her CDU-led bloc dropped two points to 36 percent this week, down from an August peak of 43 percent, according to a weekly poll carried out by Forsa.

While rumblings have been more muted from within the CDU, her chief critic has been Seehofer, whose state has been inundated by thousands of refugees pouring over the border from Austria. He said his government would take unspecified action if Merkel’s government didn’t meet his demands to curb the number of migrants by Sunday, while Merkel has rejected caps on asylum seekers.

Gabriel, Merkel’s vice chancellor, has turned on both, saying the Berlin-Munich quarrel was making the crisis worse.

“This type of mutual intimidation and abuse is unworthy and simply irresponsible,” Gabriel told Spiegel Online.

Squabbling

Merkel has sought to sidestep the domestic squabbling, focusing on the geopolitical dimension of the region’s biggest refugee crisis since World War II, which has been compounded by the civil war in Syria and exposed the 28-member European Union’s inability to settle on a strategy for responding to it.

After wading into an election campaign in Turkey this month to seek help in stemming the flow of migrants into the EU, Merkel this week even courted China’s leaders for assistance.

“We are deeply concerned about the refugee crisis currently taking place in Europe and particularly in Germany,” Chinese Premier Li Keqiang said in Beijing at a joint news conference with Merkel on Thursday. “We will continue to make our constructive contribution to the solution of the Syrian conflict.”

The global view will have to return to local politics as Merkel’s party gears up for three state elections next March, a precursor to 2017 national elections and a possible bid for a fourth term for the chancellor. For that, she’ll have to engage with voters whose welcome is wearing thin.

An illustration of Merkel’s awareness of the potential isolation came at a town-hall event this week in the Bavarian city of Nuremberg. As she fielded questions on education, a man broke off topic to say that although he was “never a friend” of her policies, Merkel’s stance on refugees was “simply all good” — and the same support came from a friend of his.

“Well that makes three of us,” Merkel responded.

+++ P.O. (DE) Presidente da Dagong: futuro Governo de Portugal deve seguir regra para crescimento e não interesses partidários

P.O./O.P.

É precisamente isto…

Os Chineses, têm, como é obvio, uma palavra a dizer sobre as políticas económicas seguidas em Portugal.

O problemas é que há pessoas que não entendem isto…

É só ver o que eu já escrevi…

Francisco (Abouaf) de Curiel Marques Pereira

(DE – click to see) Presidente da Dagong: futuro Governo de Portugal deve seguir regra para crescimento e não interesses partidários

O presidente da maior agência chinesa de ‘rating’ Dagong dia na entrevista à Lusa que não interessa se o novo Governo português é de direita ou esquerda, mas que o essencial é “seguir rigorosamente a regra” para o crescimento económico e não interesses partidários.

O presidente do Conselho de Administração da agência de notação financeira Dagong Global Credit Rating, Guan Jianzhong, falou, em entrevista à Lusa, sobre a actual situação política nacional e o investimento chinês, no âmbito da 11.ª edição da Horasis Chine Meeting, que decorre em Cascais e se apresenta como o mais importante encontro anual de líderes empresariais chineses e homólogos globais.

“Não interessa se o novo Governo é de esquerda ou de direita, a questão essencial é que o novo Governo deve seguir rigorosamente a regra que seja realmente benéfica para o crescimento económico e não apenas para o interesse político de um partido por si só”, sublinhou Guan Jianzhong.

Aliás, acrescentou, “isso [cor partidária do Governo] não interessa, seja em Portugal, na Europa ou na China, pois “estas regras aplicam-se a todo o lado”.

Convicto de que “a questão política não é a chave” e de que “as políticas para o crescimento económico é que o são”, Guan Jianzhong considera que a questão reside agora na capacidade que um novo Governo [português] terá para “encontrar uma maneira mais eficaz e eficiente” de gerir o desempenho económico da sociedade.

“Essa será a chave para a recuperação económica e sustentável e para a solução da dívida soberana para Portugal”, destacou, lembrando que o desenvolvimento económico português “sofreu sérios impactos” devido à histórica dívida soberana e antecipando que esta situação vai demorar “mais tempo a resolver”, tendo em conta a necessidade de encontrar melhores fontes de financiamento.

Guan Jianzhong invoca ainda que nos países ocidentais, onde a sociedade adotou um sistema democrático, “é como uma rotina a mudança regular de governo”, pelo que o importante “é ver que políticas vai [um novo governo] implementar, quão bem vai gerir os assuntos económicos e que direção vai querer dar ao país”.

Questionado sobre se o interesse de investidores chineses em Portugal se mantém, Guan Jianzhong é perentório: “O interesse dos chineses em investir no estrangeiro, incluindo em Portugal, ainda não foi reduzido, será um longo processo e haverá contínuos interesses chineses em investir, por exemplo em empresas e instituições financeiras”.

O responsável também não fecha a porta ao investimento em outros setores e diz que “os investidores chineses não têm limitações quanto a áreas de investimento”.

Colocando no topo da hierarquia para o futuro da economia, as decisões políticas económicas do Governo e a capacidade para atrair investimento externo, o presidente da Dagong considera também muito importante “escolher a forma de melhor informar os investidores sobre o estado da economia portuguesa”.

Guan Jianzhong aponta a este propósito “um problema de ausência de informação mais exata e clara” sobre ativos que os chineses pretendem adquirir em determinados países e que possa “corrigir pontos de vista às vezes mais distorcidos da realidade”.

“Um dos problemas é que os investidores chineses não estão muito esclarecidos sobre o estado dos ativos dos países onde pretendem investir. Se os investidores chineses tivessem acesso a informação sobre o verdadeiro estado desses activos e a situação da dívida, isso seria muito útil”, afirmou, sublinhando que a Dagong “poderá ser usada para facilitar o processo de decisão dos investidores”.

Guan Jianzhong é um dos muitos participantes da Horasis China Meeting, organizada pela entidade internacional independente Horasis: The Global Visions Community, juntamente com o Governo português e a Câmara Municipal de Cascais, em estreita colaboração com a República Popular da China e com o apoio da Federação Chinesa de Economia e Indústria.

+++ P.O./V.I. (FT) China poised to issue sovereign debt in renminbi in London

P.O.

As per my “+++ P.O/V.V.I. (FT) Draft EU rules pose threat to London’s China finance ambit” (click to see), published yesterday, it is obvious that the UK will never accept a situation in which the EU would regulate the City.

The City represents more than 25 % of the UK’s GDP.

So we arrive at two possible outcomes:

One – The EU back tracks, and revokes, or ammends any regulation that is interfering with the City;

The other – The EU does nothing, and the UK will vote, in all probability, to leave the EU.

Francisco (Abouaf) de Curiel Marques Pereira

(FT) China is set to issue government debt in renminbi in London, picking the city as the first overseas financial centre in which to open a sovereign debt market as it ramps up efforts to popularise its currency, officials familiar with the issue said.

The plan is to issue Chinese Treasury bonds in renminbi in London after laying the foundations with launches of short-term debt by the People’s Bank of China, the central bank, the officials said.

The scheme is likely to be a key announcement in the visit of Xi Jinping, the president, to the UK next week, they added. It will be hailed as a breakthrough by Mr Xi’s British hosts, who are preparing to give the communist party leader a five-star welcome in an effort to gain an edge over the European rivals in attracting Chinese investment.

“London has been chosen ahead of other financial centres in Europe and the US,” said one official familiar with Mr Xi’s visit. “This shows that Beijing has decided that London is the preferred location in which to build an offshore centre for renminbi exchange and investment in a non-Chinese timezone.”China-poised-to-issue-sovereign-debt-in-renminbi-in-London-FT

+++ P.O/V.V.I. (FT) Draft EU rules pose threat to London’s China finance ambit

P.O

This matter is very serious.

The EU, with it’s regulations, is hitting the City’s ability to do business.

And the City stands for more than a quarter of the UK’s GDP.

The City is still split between staying or leaving the EU.

If the City goes decisively to the “leave the EU” side, the likely outcome of the referendum will be “leave”.

The EU is, in my opinion, playing with fire and even if it backtracks on this issue, the UK will always remember that the possibility of another situation like this one exists and is real.

Francisco (Abouaf) de Curiel Marques Pereira


(FT) Concerns are mounting in the City of London that proposed European rules will stymie efforts to make Britain the principal offshore base for Chinese finance.

Europe’s banking and markets watchdogs are set to present an updated version of the draft standards on swaps trading by the end of this year, and banks are warning they will be prevented from trading certain types of derivatives with counterparties based in China.

UK Chancellor of the Exchequer George Osborne has outlined a number of measures to attract China’s offshore trading to London, which is the dominant financial centre in Europe. Such ambition, however risks being threatened as policymakers and banks wake up to the full implications of draft EU standards, designed to toughen derivative rules among leading countries.

Traders and lawyers are warning the standards, which will phase in from September 2016, will leave banks facing insurmountable costs and potential legal complications in seeking to trade swaps with counterparties based in China and some other emerging markets.

The problem poses a particular threat to London, the largest single global hub for foreign exchange trading. London is also the biggest market for renminbi-denominated swaps outside Asia while the Chinese currency has entered the top 10 of most actively-traded global currencies in recent years.

”We understand it to be a real issue that could potentially cover any over-the-counter derivative contract — so swaps, forwards, options, whether interest, FX, credit equity or other. This is a big problem,” Emma Dwyer, partner in the derivatives and structured finance group of Allen & Overy in London, said.

The European Commission and the European Securities and Markets Authority did not have immediate comment.

 

Draft-EU-rules-pose-threat-to-London’s-China-finance-ambitions-

P.O. and V.V.I. (FT) The ideas that divide China and America – Gideon Rachman

P.O.

Another superb article by Mr Gideon Rachman.

A must.

One has to read it, in order to understand the difficulties of dialog between the USA and China.

Francisco (Abouaf) de Curiel Marques Pereira

 


(FT) American and Chinese presidents do not really know how to talk to each other. They are like computers running on different operating systems.” That was the verdict once offered to me by a US official, who has watched many US-China summits from close quarters. So while both sides stress that last week’s meeting between Presidents Xi Jinping and Barack Obama was constructive, I have my doubts. For China and America have profoundly different ways of looking at the world. I see five big contrasts.

1. Cyclical v linear: China has a very long history. The US has a very short history. Mr Xi likes to point out that “China is an ancient civilisation. We have 5,000 years of history.” The US, on the other hand, has been in existence for less than 250 years. This difference in perspective has a profound effect on the way that the two countries’ leaderships think about the world. Broadly speaking, the Chinese think in cyclical terms, since Chinese history is defined by the rise and fall of dynasties. Good periods that can last centuries are followed by bad periods that can also last for centuries. By contrast, ever since 1776, the US has basically only travelled in one direction — towards greater national power and personal prosperity. As a result, US politicians tend to think of history in a linear fashion and to believe in progress as the natural order.

2. Universalism v particularism: America’s founding creed is that “all men are created equal” and have the same unalienable rights. From this flows the instinctive American belief in universal values such as freedom and democracy — that should, ideally, be applied everywhere. The Chinese, by contrast, are particularists. They believe that what is right for China is not necessarily right for the world, and vice versa. This difference in mentality underpins America and China’s contrasting approaches to intervention in foreign conflicts and the protection of human rights .

3. Ideology v ethnicity: The American state is built around the ideas embodied in the Declaration of Independence and the Constitution. Millions of people have become Americans by living in the US and embracing those ideas. By contrast, China has a much more ethnically based view of what it means to be Chinese. If I moved to the US, I could become “American” fairly swiftly and my children would certainly be Americans. But moving to China would not make me or my children Chinese. As a result, the Chinese and Americans tend to have rather different assumptions about crucial ideas such as nationhood, citizenship and immigration.

4. Individual v community: American leaders stress the rights of the individual. Chinese leaders stress the interests of the community. The difference between American individualism and Chinese communitarianism filters into their attitudes to the state. In the US, the ideas that the individual needs to be protected against an over-mighty state is built into the constitution and into political rhetoric. In China, it is more normal to argue that a strong state is the best guarantee against “chaos” that has led, in the past, to civil war and bloodshed. Many Americans assume that this Chinese rhetoric simply reflects the self-interest of the Communist party. But it also has deep historical roots. Americans might trace their emphasis on individual rights to the War of Independence in the 18th century. By contrast, in stressing the need for a strong state, Chinese leaders unselfconsciously refer to the “Warring States” period, which began in 476BC.The-ideas-that-divide-China-and-America-FT

+++ P.O./ V.V.I. (FT) Pomp, circumstance and combat vehicles at Beijing parade

P.O.

It is the first time that China celebrates the end of WWII with a military parade.

And with a massive display of very modern weaponry, that was previously classified.

Watch these events, and their eventual developments, very carefully.

They will tell you which path the World is going to take.

Francisco (Abouaf) de Curiel Marques Pereira

(FT) Pomp, circumstance and combat vehicles at Beijing parade

China on Thursday unveiled its grandest show of military might in years as 12,000 troops and 500 combat vehicles paraded through the symbolically resonant Tiananmen Square, a demonstration of China’s rise as a regional hehe hegemony and a blunt warning to the US.

China’s newest combat jets roared overhead, casting Beijing’s rarely azure sky in plumes of coloured smoke while attack helicopters buzzed in formation.

The parade opened with a 70-gun salute, and a speech by President Xi Jinping from a moving vehicle, who promised “China will never seek hegemony or expansion, it will never inflict its past suffering on any other nation”.

Mr Xi also pledged to push ahead with wide-ranging reforms intended to streamline China’s 2.3m-strong People’s Liberation Army and transform it into a modern, high-technology force, adding that it would be reduced by 300,000 personnel.

While billed as an ode to peace and reconciliation between former enemies on the 70th anniversary of the end of the second world war, the parade was more notable for the weaponry on display.

Intercontinental ballistic missiles, drones, advanced bomber tanks and assault helicopters were on display, the fruits of 20 years of double-digit increases in China’s annual defence budget.

“On the exterior this is a show to celebrate peace but it is really a demonstration to the west of China’s rise” said Qiao Mu, a professor at Beijing Foreign Studies University.

The timing of the parade also points to politically driven efforts to buttress President Xi Jinping’s rule, say analysts. Typically, such large parades are held to mark successive 10-year anniversaries of the 1949 communist revolution. China has not previously marked the end of the second world war with such a parade.

However, many believe Mr Xi, battling a slowing economy and seeking to buttress his authority, wanted to seize the opportunity both to demonstrate his political strength and deliver a morale boost to the People’s Liberation Army, upon which the Communist party is heavily reliant.Pomp-circumstance-and-c...Beijing-parade-FT

+++ P.O./V.V.I. (FT) Chinese navy sails off Alaska coast as Obama visits Arctic

P.O.

Please read very carefully the article in the attachment.

These developments, and their timing, are no coincidence.

Mark my words.

Francisco (Abouaf) de Curiel Marques Pereira

(FT) Chinese navy sails off Alaska coast as Obama visits Arctic

Five Chinese navy ships have sailed off the coast of Alaska in the Bering Sea, as Barack Obama made the first visit by a sitting US president to the Arctic.

The US confirmed that the vessels were sailing through international waters near Alaska, in the latest example of the growing reach of the Chinese navy.

“We are aware of the five People’s Liberation Army Navy ships in the Bering Sea,” said Commander Bill Urban, a Pentagon spokesman. “This is the first time we have observed PLAN ships in the Bering Sea.”

Taking place as Beijing staged a high-profile military parade on Thursday, and ahead of a visit to Washington by China’s President Xi Jinping later this month, the unprecedented demonstration of naval reach is a further reminder of
China’s rising global assertiveness.

China on Thursday also exhibited for the first time an advanced “carrier killer” ship-targeting missile, the DF-21D, said to be under development since 2011. The fastest missile in China’s arsenal, experts say the US possesses no reliable defence against it.

While three Chinese navy ships visited San Diego in 2014 on an official port call, the ships sailing near Alaska mark the closest the Chinese navy has come to the US mainland without an official invitation. The ships had just completed a joint exercise with the Russian navy which ended last week.

Analysts said the Bering Sea move was a provocative step for an increasingly adventurous Chinese navy.
Ian Storey, a security expert at the Institute of Southeast Asian Studies in Singapore, said the move was “an astonishing and unexpected development”.

“That this has happened during President Obama’s visit to Alaska can’t have been a coincidence, and is probably intended to send a message to the United States that China is intent on becoming a serious long-term player in the Arctic.”

There has been growing international interest in the Arctic in recent years. China has described itself as a “near Arctic state” and in a bid to further its polar agenda became an observer to the Arctic Council in 2013.Chinese-navy-sails-off-A...-visits-Arctic-FT

+++ P.O./V.V.I. (FT) China parades ‘carrier-killer’ missile through Beijing

P.O.

Again, please read very carefully the article in the attachment.

This military parade,the weaponry displayed, and it’s timing, is no
coincidence.

Again, mark my words.

Francisco (Abouaf) de Curiel Marques Pereira

(FT) China parades ‘carrier-killer’ missile through Beijing

A weapon so secret China would not reveal it for years made its first public appearance in a military parade on Thursday as China marked the 70th anniversary of the end of the second world war.

The Dongfeng (East wind) 21D “carrier-killer” missile, threatens to reshape the balance of power in the western Pacific, has been the subject of much speculation after a stray mention last week in a Communist party newspaper ignited excitement among China defence watchers.

The defence ministry in Beijing has been notably silent on the missile, other than to confirm in 2011 that it was in development. Western defence experts estimate that it has a range of 1,550km and that it may be able to travel at up to 10 times the speed of sound — faster than anything that could intercept it.

Like an intercontinental ballistic missile, the DF-21D goes into orbit, but after re-entering the atmosphere it manoeuvres on to a target, making it theoretically capable of landing a large warhead on or near a moving ship. China can also make about 1,200 of them for the price of a single aircraft carrier, meaning the missiles could easily overwhelm defensive countermeasures.

Some analysts say such missiles threaten to consign aircraft carriers — which form the basis of current US naval strategy — to the dustbin, just as aircraft carriers themselves did to battleships with Japan’s 1941 attack on Pearl Harbor.

“There is more potent symbolism in this missile than any other weapon in the Chinese arsenal,” said Ashley Townshend, a research fellow at the US Studies Centre at the University of Sydney. “This is the missile that really does potentially encroach on US capability to deploy military power close to Chinese shores. It significantly raises the risks and costs.”

The US and China are increasingly at odds over China’s efforts to assert its claim on territorial waters in the South China Sea. The missile is a stern reminder to Washington, ahead of a visit by Chinese President Xi Jinping later this month, that America’s undisputed maritime power may be under threat.

However, Richard Fisher, a missile expert at the US-based International Assessment and Strategy Center, pointed to another anti-ship missile recently developed by China, a supersonic air-launched cruise missile carried by the H-6K bomber. “You begin to see that decades of Chinese military investment are resulting in capabilities that are changing the balance of power in Asia against the United States,” Mr Fisher said.China-parades-‘carrier-k...hrough-Beijing-FT

P.O. (FT) ECB’s Vitor Constâncio sees ‘few signs’ of slowdown in China

P.O.

No comment.

Francisco (Abouaf) de Curiel Marques Pereira

(Financial Times) ECB’s Vitor Constâncio sees ‘few signs’ of slowdown in China

A top European Central Bank official has played down the slide in China’s stock market and fears over bubbles in equity prices, in a sign that eurozone policymakers are unlikely to respond to the volatility that unnerved investors around the globe this week.

Speaking at a conference in Mannheim, Germany, ECB vice-president Vitor Constâncio insisted there were few signs of a slowdown in the Chinese economy, adding that the country’s stock market was “not so big” and “not so connected” to activity on the ground.

While Mr Constâncio said it was possible that the recent fall in Chinese stocks was a “correction” of inflated prices, he rejected claims the ECB had induced bubbles in European equities. Stocks in the single currency area remained “fairly valued” he said, adding that the rise in European equities on Tuesday was a correction to the “knee-jerk reaction” seen earlier in the week.

The comments are a strong indicator that the ECB is unlikely to come to markets’ aid by unleashing more monetary easing as soon as next Thursday, when the bank’s governing council meets in Frankfurt. This is despite the slide in oil prices leading to a fall in inflation expectations1cee9c5e-4b2c-11e5-9b5d-89a026fda5c9-1

P.O. (AP) Chinese premier calls for deal to keep Greece in euro for sake of ‘world financial stability’

P.O.
In a very rare and unusual statement China has said were it stands in the Greece EU affair.
And quite wisely so, in my opinion.
China has a notion of history and strategy unmatched in the West.
And the EU should listen, in my opinion again.
It’s logical and makes sense.
And China is the EU’s second trading partner…
And usually shows it’s pleasure, or displeasure in a very effective way…
I would listen.

Francisco (Abouaf) de Curiel Marques Pereira

(AP) Chinese premier calls for deal to keep Greece in euro for sake of ‘world financial stability’

The prime minister of China, the European Union’s No. 2 trading partner, called Monday on Greece and its creditors to reach a last-minute deal that will allow Greece to remain in the eurozone.

“Whether Greece stays within the euro is not only a question that concerns Europe, but also concerns China and Europe,” Li Keqiang told reporters at the end of an EU-China summit meeting in Brussels. “In addition, this is also something that concerns world financial stability and economic recovery.”

Li noted his country is a major customer and supplier for the 28-nation EU, and a long-term holder of eurobonds. He said China is in favor of a united and prosperous EU, as well as a strong euro.

“That is why China wants to see Greece stay in the euro, stay in the eurozone, and we urge relevant creditors to reach an agreement with the Greek government at an early time,” the Chinese premier said.

Li’s visit marked the 40th anniversary of the establishment of official ties between China and the EU. According to EU officials, China is the bloc’s second most important trading partner behind the United States, accounting in 2014 for 14 percent of its total trade in goods outside the EU, compared to 9 percent in 2004.

One of Li’s hosts, European Commission President Jean-Claude Juncker, said two-way trade now surpasses 1 billion euros (dollars) a day, but added in a speech that “we have to do better to interconnect.”

One area where China and the EU haven’t seen eye to eye is restrictions on carbon emissions. Li told reporters China is making “strenuous efforts” and will inform U.N. officials by Tuesday of its proposed national contribution to reducing greenhouse gas emissions, in preparation for the international conference on climate change to be held in Paris this November and December.

In a joint statement, the EU and China pledged to work toward a “legally binding agreement” in Paris that would apply to all countries.

The statement borrowed language from a U.S.-China announcement last year on the sensitive issue of how to divide emissions cuts among countries in various stages of development, saying the deal should reflect “different national circumstances.” Many observers say that wording suggests developing countries should take on growing commitments as they evolve.

The EU and China pledged to step up their cooperation on climate research and carbon markets, which provide financial incentives to reduce carbon emissions.

The EU launched its Emissions Trading System in 2005 and China has created regional carbon markets, with the ambition of creating a nationwide system.

Turistas chineses são os que mais gastam em Portugal: 935 euros

O.P.

É exactamente o que eu esperava.

A “parceria” com a China é muito vantajosa para ambos os Países.

E Países amigos, e com uma amizade com 500 anos, não se arranjam todos os dias…

Por isso não entendo aqueles que falam de retornos, ou não retornos imediatos…

Na cultura Chinesa, a medida do tempo é diferente da que existe nos Países ocidentais.

E muitas vezes não é o lucro imediato que motiva os Chineses.

Muito bem sintetizou o Senhor Professor Eduardo Catroga ao dizer:

“A China, ao contrário da Rússia, tem aparecido como uma potência
estabilizadora. Estamos a assistir a novas rotas da seda, aplicadas ao século
XXI”, afirmou, alertando para o crescente peso da China nas relações
económicas com a Europa.”

Que a Sorte proteja ambos os Países e os seus Povos.

Francisco (Abouaf) de Curiel Marques Pereira

O turista chinês gastou, em média, 935 euros em Portugal por compra no ano passado. O valor é 3,2 vezes acima do da compra média dos turistas angolanos, de acordo com uma lista divulgada esta quarta-feira, 22 de Abril, pela Global Blue.
Jornal De Negócios