Cai Qi hosts Tech Experts at Beidaihe - Evolution of Xi Thought - H1 Opening Up - Support for MSMEs - MPS' Measures for High-Quality Development - PBOC Meets Private Players - William Lai's US Transit
Here are the key reports and articles that I found noteworthy from the People’s Daily's edition on Friday, August 4, 2023.
Page 1: One of the hallmarks of the People’s Daily is that there’s never really any bad news on the front page. It’s little wonder then that the floods in northern China do not find any mention on the front page today, and whatever coverage of the flooding that we’ve seen so far is basically around how the Party-state system and people have responded to them. This is again evident on Page 4 of the paper today.
Anyway, the lead news story (brief English report) today is about PBSC member Cai Qi meeting experts at Beidaihe. The report also mentions Li Ganjie, Shen Yiqin and Jiang Xinzhi as being present. The report says that this “is an important institutional arrangement to annually invite exceptional experts to Beidaihe for a summer vacation. This summer, the 57 invited experts are representatives from the frontiers of science and technology who have made significant contributions in their respective areas.”
Cai Qi said that: “General Secretary Xi Jinping and the Party Central Committee attach great importance to talent work. Since the 18th Party Congress, General Secretary Xi Jinping has made a series of important instructions on talent work from the strategic height of achieving national rejuvenation, and made major deployments for the in-depth implementation of the strategy of strengthening the country through talents in the new era, leading the talent work in the new era to undergo historic changes and make historic achievements. China's talent work stands at a new historical starting point, and China is becoming a hot spot for all kinds of talents to do well.” 蔡奇指出，习近平总书记和党中央高度重视人才工作。党的十八大以来，习近平总书记从实现民族复兴的战略高度，对人才工作作出一系列重要指示，作出深入实施新时代人才强国战略的重大部署，引领新时代人才工作取得历史性成就、发生历史性变革。我国人才工作已经站在一个新的历史起点上，中华大地正在成为各类人才大有可为、大有作为的热土.
“Cai Qi emphasized that this is the first year to implement the spirit of the 20th Party Congress, lending special significance to the vacation meeting with experts. With a spirit of innovation and courage to be pioneers, all the experts participating in the meeting have set a benchmark for intellectuals and expert talents. Currently, the entire Party is engaged in the campaign of studying and implementing Xi Jinping Thought on Socialism with Chinese Characteristics for a new era. I hope that all experts will thoroughly study and implement the Party's innovative theory, deeply understand the decisive significance of the two establishments, strengthen the four consciousnesses and four self-confidences and achieve the two safeguards, keep in mind the ardent entrustment of General Secretary Xi Jinping to the vast number of experts, be mindful of 国之大者, adhere to four orientations and actively shoulder the mission and responsibility entrusted by the times, make new and greater contributions to high-level scientific and technological self-reliance and Chinese modernization, and make new contributions to building a socialist modern country in an all-round way and promoting the great rejuvenation of the Chinese nation on all fronts.” 蔡奇强调，今年是贯彻落实党的二十大精神的开局之年，举办专家休假活动具有特殊重要的意义。参加休假活动的各位专家，锐意创新、敢为人先、勇攀高峰，为广大知识分子和专家人才树立了标杆。当前，全党正在深入开展学习贯彻习近平新时代中国特色社会主义思想主题教育，希望各位专家深入学习贯彻党的创新理论，深刻领悟“两个确立”的决定性意义，增强“四个意识”、坚定“四个自信”、做到“两个维护”，牢记习近平总书记对广大专家人才的殷切嘱托，心怀“国之大者”，坚持“四个面向”，主动担负起时代赋予的使命责任，为高水平科技自立自强和中国式现代化建设作出新的更大贡献，为全面建设社会主义现代化国家、全面推进中华民族伟大复兴再立新功.
The main article on the page is a feature piece on the Xi thought and its implications. This is actually more about Xi Jinping and his engagements, along with the evolution of the ideas within Xi’s thought, which has become modern-day Marxism. This article is an excellent example of the proverbial sawdust or rhinoceros sausage one must munch when it comes to Party discourse. I am not translating the entire thing, but will put together the key points:
Consciously applying the Marxist concept of contradiction to identify, analyze and solve problems is the inherent requirement of dialectical materialism; this is also the methodology our Party always adheres to. At the time when the entire country was shattered and people were in dire straits struggling to get by, we worked hard to address the ‘contradictions between imperialism and the Chinese nation, and between feudalism and the broad masses of the people’, in order to ensure that the nation ‘stands up’; in the process of socialist construction and reform and opening-up, efforts were directed at resolving the ‘contradictions between the growing material and cultural needs of the people and the backward social production,’ striving for the nation to ‘become rich’; as socialism with Chinese characteristics entered a new era, emphasis was placed on resolving the contradiction ‘between the people's ever-growing needs for a better life and unbalanced and inadequate development,’ driving the nation to ‘become strong’. Viewing things from the perspectives of contradictions, the masses, practice and development…the Communist Party of China has united and led hundreds of millions of Chinese people in applying the scientific truth of Marxism to sweep away the stormy dark night and illuminate the journey of national rejuvenation, completely transforming this ancient country, completely changing the destiny of the Chinese people, and completely rewriting the political map of human society. In the process of the great leap of the Chinese nation from standing up, becoming rich and becoming strong, the scientific nature and truth of Marxism have been fully tested, the people's character and practical nature of Marxism have been fully implemented, and the openness and modernity of Marxism have been fully demonstrated.” 自觉运用马克思主义矛盾观发现问题、分析问题、解决问题，是唯物辩证法的内在要求，也是我们党始终坚持的方法论。在山河破碎、民不聊生之时，着力解决“帝国主义和中华民族的矛盾、封建主义和人民大众的矛盾”，实现“站起来”；社会主义建设和改革开放过程中，着力解决“人民日益增长的物质文化需要同落后的社会生产之间的矛盾”，努力“富起来”；当中国特色社会主义进入新时代，着力解决“人民日益增长的美好生活需要和不平衡不充分的发展之间的矛盾”，推动“强起来”。矛盾观、群众观、实践观、发展观……中国共产党团结带领亿万中国人民，运用马克思主义科学真理，荡涤风雨如磐的暗夜，照亮民族复兴的征程，彻底改造了这个古老的国家，彻底改变了中国人民的命运，彻底改写了人类社会的政治版图。在中华民族迎来从站起来、富起来到强起来的伟大飞跃中，马克思主义的科学性和真理性得到充分检验，马克思主义的人民性和实践性得到充分贯彻，马克思主义的开放性和时代性得到充分彰显.
Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era is the ‘true philosophy’ of today’s era and the world, representing contemporary Chinese Marxism and 21st-century Marxism. It has achieved a new leap in the sinicization and modernization of Marxism. 习近平新时代中国特色社会主义思想，是当今时代、当今世界“真正的哲学”，是当代中国马克思主义、21世纪马克思主义，实现了马克思主义中国化时代化新的飞跃. Studying and implementing Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era is a new major learning endeavour currently being carried out across the entire Party; it’s a new great study being carried out by the whole Party, a new great mobilisation for constantly climbing new ideological peaks. 学习贯彻习近平新时代中国特色社会主义思想主题教育，是全党正在进行的一个新的大学习，是不断攀登新的思想高峰的新的大动员.
“To uphold and develop Marxism, it must be integrated with China's specific realities and with the fine traditional Chinese culture. Only by being rooted in the fertile historical and cultural soil of the country and the nation can the tree of Marxist truth take root and flourish.” 坚持和发展马克思主义，必须同中国具体实际相结合，必须同中华优秀传统文化相结合。只有植根本国、本民族历史文化沃土，马克思主义真理之树才能根深叶茂. “Since the 18th Party Congress, General Secretary Xi Jinping has traveled all over the country, inspecting cultural heritage and tracing the roots of civilization. He has put forward a series of new ideas, new perspectives, and new judgments on bolstering confidence and strength in Chinese culture, as well as ensuring the sustainable development of Chinese civilization. These efforts have guided the creative transformation and innovative development of Chinese culture. 党的十八大以来，习近平总书记的文化足迹遍及全国，考察文化遗产、追寻文明根脉，对中华文化自信自强、中华文明永续发展提出一系列新思想新观点新论断，引领中华文化创造性转化、创新性发展. The piece continues to emphasise the idea of the two integrations or combinations, i.e., Marxism and Chinese culture.
“In the new era and on the new journey, we must continuously advance theoretical innovation based on practice, further develop a systematic and theoretical framework, and make contemporary Chinese Marxism and 21st-century Marxism exhibit a stronger and more convincing power of truth. We should focus on studying and interpreting the theoretical achievements and original rationality of Xi Jinping Thought on socialism with Chinese characteristics for the new era, while grasping their intrinsic connections. In-depth research should be conducted into major strategic issues with far-reaching and fundamental implications, producing substantial research outcomes that are solid, resonant, and weighty. The principles, theories, and philosophies should be explained in plain and understandable language, presenting the lively ideas vividly and the thorough theories comprehensively.” 新时代新征程，我们要不断推进实践基础上的理论创新，进一步推进理论体系化、学理化，让当代中国马克思主义、21世纪马克思主义展现出更为强大、更有说服力的真理力量。要重点研究阐释习近平新时代中国特色社会主义思想中原理性理论成果，把握相互的内在联系；深入研究事关长远、事关全局、事关根本的重大战略课题，形成立得住、叫得响、有分量的研究成果；用通俗易懂的语言将其中的道理、学理、哲理讲清楚，把鲜活的思想讲鲜活，把彻底的理论讲彻底.
The article then ends with telling people what they need to use Xi’s thought for in order to face the complex challenges ahead:
Use Xi Jinping Thought on socialism with Chinese characteristics for the new era to condense the heart and forge the soul, constantly build the foundation of faith, replenish the calcium of the spirit, and stabilise the rudder of thought
Use Xi Jinping Thought on socialism with Chinese characteristics for the new era to enlighten and enhance wisdom, mastering the skills of Party leadership and national strengthening, and applying them appropriately
Use Xi Jinping Thought on socialism with Chinese characteristics for the new era to cultivate oneself and promote righteousness, truly gaining the wholehearted support of the people
Use Xi Jinping Thought on socialism with Chinese characteristics for the new era to ensure diligent practice and drive actions, creating new achievements in the journey towards a Chinese-style modernization
用习近平新时代中国特色社会主义思想凝心铸魂，不断筑牢信仰之基、补足精神之钙、把稳思想之舵...用习近平新时代中国特色社会主义思想启慧增智，把兴党强国的本领学到手、用到位...用习近平新时代中国特色社会主义思想修身正风，真正赢得人民群众的衷心拥护...用习近平新时代中国特色社会主义思想笃行促干，在中国式现代化新征程中创造新的伟业
Moving on, there’s an article on China’s opening up in H1. It informs that:
“In the first half of the year, China’s total goods imports and exports was 20.1 trillion yuan, up 2.1% year-on-year, showing strong resilience; 24,000 foreign-invested enterprises were newly established, an increase of 35.7%; the investment in high-tech industries increased by 7.9%, with its proportion rising by 3.9 percentage points to reach 39.4%. Many senior executives from multinational companies have visited China and are full of confidence in China's economic development prospects.” “上半年，我国货物贸易进出口总值20.1万亿元，同比增长2.1％，展现了较强的韧性；新设外商投资企业2.4万家，增长35.7%；高技术产业引资增长7.9%，占比提升3.9个百分点达到39.4%。众多跨国企业高管来华考察，对中国经济发展前景充满信心。
Some data points that are highlighted, which are rather underwhelming if you think about them, are:
On June 29, Merck announced an investment of about 70 million euros to expand production capacity for highly-purified reagents at its site in Nantong, China.
At the Consumer Expo, more than 3,300 consumer boutique brands from 65 countries and regions participated in the exhibition; at the Canton Fair, the on-site export turnover was $21.69 billion; the Summer Davos Forum was held successfully.
Auto companies exported 2.14 million vehicles in the first half of this year, a year-on-year increase of 75.7%.
In the first half of the year, the total export of ‘three new’ products – electric passenger vehicles, lithium batteries, and solar batteries – increased by 61.6%, driving the overall growth of exports by 1.8 percentage points.
Mars Petcare factory project in the Nangang Industrial Zone of the Tianjin Economic-Technological Development Area successfully underwent planning approval in April. Once completed, the project's annual production capacity can exceed 250,000 tons, making it Mars’ largest modern pet food factory in Asia.
At the beginning of this year, the Ministry of Commerce issued an overall plan for the comprehensive pilot program of expanding and opening up the service industry in six cities including Shenyang, Nanjing, Hangzhou, Wuhan, Guangzhou and Chengdu
At present, more than 280 top 500 and industry-leading companies have signed up to participate in the sixth CIIE, and the contracted area of the enterprise business exhibition exceeds 330,000 square meters.
Page 2: In the past couple of days, a bunch of new measures have been announced to support different segments of the economy. I’ll do a quick wrap here. But let’s begin with the report today that talks about the Ministry of Finance and the State Taxation Administration’s announcement on Wednesday extending support for micro, small and medium-sized enterprises as well as self-employed individuals.
Until 2027, for MSMEs and self-employed individuals with an annual taxable income of less than 2 million yuan ($280,000), personal income tax can be halved.
For small-scale value-added tax taxpayers, small-scale profitable enterprises, and individual businesses, the resource tax (excluding water resource tax), urban maintenance and construction tax, property tax, urban land use tax, stamp duty (excluding securities trading stamp duty), farmland occupation tax, education surcharge, and local education surcharge will all be halved
Small-scale profitable enterprises will have their taxable income reduced by 25% and will pay a corporate income tax at a rate of 20%.
为继续减轻小微企业和个体工商户税费负担，公告明确，2027年底前，对个体工商户年应纳税所得额不超过200万元的部分，减半征收个人所得税；对增值税小规模纳税人、小型微利企业和个体工商户减半征收资源税（不含水资源税）、城市维护建设税、房产税、城镇土地使用税、印花税（不含证券交易印花税）、耕地占用税和教育费附加、地方教育附加；对小型微利企业减按25%计算应纳税所得额，按20%的税率缴纳企业所得税.
The policy of exempting value-added tax for small-scale taxpayers will continue until the end of 2027, i.e., small-scale value-added tax taxpayers with monthly sales of less than 1 million yuan (inclusive) will be exempt from value-added tax. Small-scale value-added tax taxpayers subject to a 3% tax rate for taxable sales revenue will have their value-added tax levied at a reduced rate of 1%. Prepayment of value-added tax for projects subject to a 3% prepayment rate will be reduced to 1%. 与此同时，小规模纳税人减免增值税政策也延续至2027年底，即对月销售额10万元以下（含本数）的增值税小规模纳税人，免征增值税；增值税小规模纳税人适用3%征收率的应税销售收入，减按1%征收率征收增值税；适用3%预征率的预缴增值税项目，减按1%预征率预缴增值税.
“To continue promoting the alleviation of financing difficulties and high financing costs for small and micro enterprises and individual businesses, the announcement specifies that by the end of 2027:
interest income obtained by financial institutions from providing small loans to small and micro enterprises and individual businesses will be exempt from value-added tax
stamp duty will be exempted on loan contracts signed between financial institutions and small and micro enterprises
guarantee fee income obtained by taxpayers for providing financing guarantees for agricultural households, small and micro enterprises, and individual businesses through loans or bond issuances, as well as re-guarantee fee income obtained for providing re-guarantees for the aforementioned financing guarantees, will be exempt from value-added tax.”
为继续推动缓解小微企业和个体工商户融资难、融资贵问题，公告明确，2027年底前，对金融机构向小型企业、微型企业及个体工商户发放小额贷款取得的利息收入，免征增值税。对金融机构与小型企业、微型企业签订的借款合同免征印花税。纳税人为农户、小型企业、微型企业及个体工商户借款、发行债券提供融资担保取得的担保费收入，以及为上述融资担保提供再担保取得的再担保费收入，免征增值税。
In order to support entrepreneurial employment, the two departments also called for clearly continuing to implement the relevant tax policies for investing in startup technology companies until the end of 2027. For qualifying startup technology companies, the criteria will continue to include employment of up to 300 people, and total assets and annual sales revenue not exceeding 50 million yuan each. 为支持创业就业，两部门还发布了公告，明确延续执行投资初创科技型企业有关税收政策至2027年底，对于初创科技型企业需符合的条件，从业人数继续按不超过300人、资产总额和年销售收入按均不超过5000万元执行。
To support the entrepreneurial employment of key groups such as fresh college graduates, the announcement says from January 1, 2023, to December 31, 2027, individuals who have been lifted out of poverty or hold the ‘Employment and Entrepreneurship Certificate’ or ‘Employment and Unemployment Registration Certificate,’ engaging in individual business operations, can deduct their actual payable value-added tax, urban maintenance and construction tax, education surcharge, local education surcharge, and personal income tax for the current year, up to 20,000 yuan per household per year for three consecutive years, starting from the month of registration. The maximum limit can be raised by 20%, and the governments of all provinces, autonomous regions and municipalities directly under the Central Government can determine the specific quota within this range according to the actual situation in the region. Enterprises that hire these individuals will also enjoy corresponding tax preferential policies. (An English report adds: enterprises that hired these people with contract for more than one year and pay social insurance premiums will also be exempt from the tax as well as enterprise income tax within three years, with 6,000 yuan per worker each year) The announcement also specifies further tax policies to support entrepreneurship and employment for retired soldiers seeking self-employment. 为支持应届高校毕业生等重点群体创业就业，公告明确，自2023年1月1日至2027年12月31日，脱贫人口、持《就业创业证》或《就业失业登记证》的人员，从事个体经营的，自办理个体工商户登记当月起，在3年内按每户每年2万元为限额依次扣减其当年实际应缴纳的增值税、城市维护建设税、教育费附加、地方教育附加和个人所得税。限额标准最高可上浮20%，各省、自治区、直辖市人民政府可根据本地区实际情况在此幅度内确定具体限额标准。企业招用上述人员，也享受相应税收优惠政策。公告还明确了进一步扶持自主就业退役士兵创业就业的税收政策.
Also note: The Chinese government has paid out 40.2 billion yuan in insurance benefits to 6.2 million unemployed people in the first half of the year as China extends policies to expand the coverage of unemployment insurance, according to the Ministry of Human Resources and Social Security.
On Page 10, there’s a report on new PBOC chief Pan Gongsheng attending a symposium on financial support for the development of private enterprises.
The PD report says that the PBOC committed to “conscientiously implement the requirements of ‘Opinions of the Central Committee of the Communist Party of China and the State Council on Promoting the Development and Growth of Private Economy’, accurately and forcefully implement a prudent monetary policy, maintain reasonable and sufficient liquidity, strengthen the coordination of financial, fiscal and industrial policies, and guide more financial resources to flow to the private economy. It will formulate guiding documents for financial support for private enterprises, encourage commercial banks to optimize their internal control management systems, do a good job in policy propaganda and interpretation, and enhance the dissemination of typical experiences. The PBOC will support local governments to take the initiative to solve the problem of arrears of corporate accounts.” 中国人民银行主要负责同志表示，中国人民银行将认真贯彻《中共中央国务院关于促进民营经济发展壮大的意见》要求，精准有力实施稳健的货币政策，保持流动性合理充裕，加强金融、财政、产业等政策协调配合，引导金融资源更多流向民营经济。制定出台金融支持民营企业的指导性文件，推动商业银行优化内控管理制度，做好政策宣传解读，加强典型经验推广。支持地方政府主动解决拖欠企业账款问题.
It will “Promote the expansion and increment of bond financing support tools for private enterprises, and strengthen the financial market to support the development of private enterprises. Financial institutions should actively create a good atmosphere to support the development and growth of private enterprises, improve risk assessment capabilities, comprehensively sort out policy arrangements such as performance appraisal, business authorization, internal fund transfer pricing, due diligence and exemption, optimize the incentive mechanism for serving private enterprises, and enhance the willingness, capability and sustainability of lending.” 推进民营企业债券融资支持工具扩容增量，强化金融市场支持民营企业发展。金融机构要积极营造支持民营企业发展壮大的良好氛围，提高风险评估能力，全面梳理绩效考核、业务授权、内部资金转移定价、尽职免责等政策安排，优化服务民营企业激励机制，提升贷款的意愿、能力和可持续性.
Reuters reports that attendees included at least eight private firms from sectors including property, aluminium and agribusiness. The list thee reported included heads of three property firms Longfor Properties, Midea Real Estate Holding, CIFI’s property firm and diary giant Yili Group, aluminium products manufacturer China Hongqiao Group, electrical components manufacturer Chint Group, agribusiness firm New Hope and apparel products manufacturer Hongdou.”
Bloomberg, meanwhile, reported:
“China’s central bank said it would increase funding support for the private sector after meeting with executives from the property industry, identifying several companies by name in a statement that underscores growing urgency among regulators to boost market confidence. Newly appointed People’s Bank of China Governor Pan Gongsheng met with representatives from eight private firms, including developers Longfor Group Holdings Ltd., CIFI Holdings Group Co. and Midea Real Estate Holding Ltd. to hear about their difficulties and corporate financing needs, the PBOC said in a statement on Thursday. Banks like Industrial and Commercial Bank of China Ltd. were present as well.”
“Pan said the central bank will expand a support tool for private companies’ bond issuance and meet the reasonable financing needs of developers to foster the healthy development of the housing market. Last year, China’s financial regulators widened a bond financing program to about 250 billion yuan ($34.9 billion) for private companies including developers. The PBOC didn’t provide details on what the latest changes would entail…Sentiment in China’s property sector has been particularly fragile, with bonds of real estate companies including Country Garden Holdings Co., Dalian Wanda Group and Sino-Ocean Group Holding Ltd. coming under pressure in recent weeks. The three companies weren’t among those mentioned by the PBOC. ‘Developers have had some refinancing troubles again recently,’ said Ding Shuang, chief economist for Greater China and North Asia at Standard Chartered Plc. “Support will be targeted toward high-quality companies.”
Also on Thursday, the Ministry of Public Security announced 26 measures to support high-quality economic development, including boosting auto consumption with optimized government management and improved services. You can access the full list here; also, there’s a Global Times report on this. The items include:
improve the system of registering household registration with permanent residence, further relax the conditions for settlement, lower the threshold for settlement, and promote the agricultural transfer population who have the ability to work and live stably in cities and towns to settle in cities with their families…
Promote flexible household residence policies. For rural-origin college graduates, scientific and technological talents, and veterans who apply for residency due to actual residence, employment, or entrepreneurship, they can relocate to their original place of household registration or their place of employment or entrepreneurship, contributing to the integrated development of urban and rural areas.” 试点实施灵活落户政策。对农村籍大学生、科技人才、退伍军人因实际居住、就业创业等申请落户的，可以迁入原籍地或就业创业地，助力城乡融合发展.
“Provide convenience for foreign commercial personnel to obtain port visas and issue multiple-entry visas. For foreigners who come to China for business negotiations, commercial exchanges, installation and maintenance, exhibition participation, investment, and entrepreneurship, and are unable to apply for a Chinese visa overseas in time, they can apply for a port visa entry with an invitation letter from the enterprise and supporting materials. For those who need to travel to and from China multiple times due to business needs, a multiple-entry valid commercial visa for up to 3 years can be issued after entering the country.” 为外籍商贸人员来华办理口岸签证并提供换发多次签证便利。对来华商务洽谈、商贸交流、安装维修、参展参会、投资创业等的外国人，来不及在境外办理来华签证的，可凭企业邀请函件和证明材料申请办理口岸签证入境。因商贸业务需要多次往返的，入境后可以换发3年内多次入境有效商贸签证。
Foreigners who apply for a residence permit do not need to keep the original passport after verifying their valid passports according to the regulations, so as to facilitate foreigners to handle relevant matters with their passports during this period.
Explore the 'one industry, one license' reform in the hotel industry.
Facilitate maritime registration for vessels and personnel heading out to sea
Promote auto consumption and implement the so-called ‘One-Window’ service approach, under which applicants could submit only one set of materials to one window for handling various approval service items
Strengthen the safety supervision of key industries and key areas. Further improve and perfect the safety supervision system and mechanism with regard to firearms, ammunition, explosives, dangerous chemicals and precursor chemicals; vigorously promote source supervision, scientific supervision and precise supervision, and improve the efficiency of safety supervision.
Vigorously crack down on criminal activities such as market manipulation, online pyramid schemes, smuggling, illegal business operations, infringement of intellectual property rights, and the production and sale of counterfeit and shoddy goods, to maintain a fair competitive market order. Thoroughly combat various illegal and criminal activities that infringe upon enterprise property rights and the legitimate rights and interests of operators. Emphasize both asset recovery and investigation and case solving, aiming to minimize enterprise losses. Further standardize law enforcement actions related to enterprises, strengthen law enforcement supervision in aspects such as case reporting and filing, application of coercive measures, cross-regional case cooperation, and seizure and freezing of assets. Improve verification and supervision mechanisms. 依法保护企业产权和经营者合法权益。依法严厉打击欺行霸市、网络传销、走私、非法经营、侵犯知识产权和制售伪劣商品等犯罪活动，维护公平竞争的市场秩序。严厉打击侵害企业产权和经营者合法权益的各类违法犯罪活动，坚持追赃挽损与侦查破案并重，最大限度减少企业损失。进一步规范涉企执法行为，加强对接报案立案、强制措施适用、异地办案协作、查扣冻等环节的执法监督，完善核查督办等机制.
Additional information:
Earlier this week, Measures on Restoring and Expanding Consumption were issued. You can read my coverage of those here.
Also last week, we had the NDRC’s list of measures to support auto consumption and household appliances. You can read my coverage here.
Finally, here is the reporting on the Politburo's discussions on the economy in late July.
Page 3: Two bits to note. But let’s begin with comments from the Ministry of Foreign Affairs on specific issues.
First, the response to DPP’s William Lai travelling to Paraguay to attend the president’s inauguration on August 12, and his transit via New York and San Francisco. This comment is published in PD today.
“China firmly opposes any form of official interaction between the US and the Taiwan region, firmly opposes any visit by ‘Taiwan independence’ separatists to the US in any name or under whatever pretext, and firmly opposes any form of US connivance and support for ‘Taiwan independence’ separatists and their separatist activities. The Taiwan question is at the core of China’s core interests and a red line that cannot be crossed. China urges the US to abide by the one-China principle and the three China-US joint communiqués, act on its leaders’ commitment of not supporting ‘Taiwan independence’, stop official interactions with Taiwan, stop upgrading its substantive exchanges with the region, stop sending wrong messages to separatist forces seeking ‘Taiwan independence’, and refuse to let William Lai ‘transit’ the US. China will closely follow the developments and take firm and strong measures to safeguard our nation’s sovereignty and territorial integrity. We would like to tell the DPP authorities seriously that ‘Taiwan independence’ is a dead end, fawning on the US and selling Taiwan away will only harm the people of Taiwan, and any attempt to seek ‘independence’ and make provocation in collusion with external forces is doomed to failure.”
Second, the recent comment on the US decision provide around USD 345 million in military aid to Taiwan:
“US provision of military aid for China’s Taiwan region seriously violates the one-China principle and the stipulations of the three China-US joint communiqués, especially the August 17 Communiqué. Such moves seriously undermine China’s sovereignty and security interests, and harm China-US relations and peace and stability across the Taiwan Strait. China strongly deplores and firmly rejects this and has made serious démarches to the US side. The Taiwan question is the very core of China’s core interests and the first red line that must not be crossed in the China-US relationship. We urge the US to earnestly abide by the one-China principle and the three China-US joint communiqués, stop enhancing military contact with the Taiwan region or arming it by any means or under whatever pretext, stop creating factors that could heighten tensions in the Taiwan Strait, and stop conniving at and supporting the separatists’ attempt to seek ‘Taiwan independence’ by force. No one should underestimate the determination, resolve and capability of the Chinese people in safeguarding our sovereignty and territorial integrity.”
Third, MoFA’s criticism of the US blacklisting two Chinese firms over their forced labour practices.
“The allegation of “forced labor” in Xinjiang is nothing but an enormous lie propagated by anti-China elements to smear China. It is the very opposite of the fact that the labor rights of people of all ethnic backgrounds in Xinjiang are effectively protected. The US enforcement of the so-called “Uyghur Forced Labor Prevention Act” on the basis of such a lie is detrimental to international trade rules and the stability of global industrial and supply chains. The move to blacklist Chinese entities and go after more Chinese companies is aimed at undermining Xinjiang’s prosperity and stability and containing China’s development. We condemn and reject this and will take strong measures to firmly safeguard Chinese companies’ lawful rights and interests.”
Finally, MoFA’s reaction on reports that Italy will be pulling out of BRI.
“Over the past five years, bilateral trade has increased by 42 percent, reaching nearly USD 80 billion last year. Italy was the guest country of honor at the China International Import Expo and the China International Consumer Products Expo, and many Italian products can be found in the Chinese market. The two countries jointly built large-scale cruise ships and carried out third-market cooperation in Africa, the Middle East and Latin America. Italy has become the top European destination for Chinese tourists, and Italian art exhibitions and performances are quite popular in China. Some forces have launched malicious hype and politicized the cultural exchange and trade cooperation between China and Italy under the Belt and Road framework in a bid to disrupt cooperation and create division. This goes against the trend of history and will hurt others without benefiting oneself.”
Moving on, there’s an article by Dr. Dalal Iriqat from the Arab American University in Palestine. She writes that “China’s active actions on the Palestine issue will help maintain peace and stability in the Middle East.”
“The Palestinian issue lies at the core of the Middle East issue and is crucial to the long-term stability and prosperity of the region. Palestine and China are good friends and partners who trust and support each other. China was one of the first countries to recognize the PLO and the State of Palestine. China has consistently supported the just cause of the Palestinian people in restoring their legitimate national rights and has worked to expedite a comprehensive, just, and lasting solution to the Palestinian issue. In recent years, the role of the United States in the Middle East peace process has shifted towards being more assertive. Arab countries and China oppose all forms of hegemony and power politics, believing that the international community must fully listen to the legitimate and reasonable demands of the Palestinian side and take practical steps to fulfil commitments to the Palestinian people; otherwise, genuine political stability and economic development in the region cannot be achieved.” 巴勒斯坦问题是中东问题的核心，关系中东地区的长期稳定繁荣。巴勒斯坦和中国是相互信任、彼此支持的好朋友、好伙伴。中国是最早承认巴勒斯坦解放组织和巴勒斯坦国的国家之一，始终坚定支持巴勒斯坦人民恢复民族合法权利的正义事业，推动巴勒斯坦问题早日得到全面、公正、持久解决。近年来，美国在中东和平进程中的角色已转变为施压者。阿拉伯国家和中国反对一切形式的霸权主义和强权政治，认为国际社会必须充分倾听巴方正当合理诉求，采取实际步骤兑现对巴勒斯坦人民的承诺，否则就无法真正实现该地区的政治稳定和经济发展.
“The current international landscape is undergoing rapid adjustments, and the situation in the Middle East is also changing. With China's support, Saudi Arabia and Iran have restored diplomatic ties, and China's contributions have earned praise from Arab nations, attracting global attention. China is a reliable partner for Middle Eastern countries and has the ability to play a greater role in promoting peace and development in the Middle East. In recent years, practical cooperation between Arab countries and China has made new progress. This year marks the 10th anniversary of the BRI, which has provided a new platform for Arab-China cooperation. Twenty-one Arab countries and the Arab League have signed cooperation agreements with China under BRI. The initiative has not only promoted economic and social development and enriched cultural exchanges but also laid a solid foundation for deepening mutual trust between Arab countries and China. In December 2022, at the inaugural China-Arab States Summit, China proposed ‘Eight Major Cooperative Actions’ for practical cooperation between Arab countries and China, covering development, food security, health, green innovation, energy security, dialogue among civilizations, youth development, and security and stability. This has outlined a blueprint for upgrading bilateral cooperation. 当前，国际格局加速调整，中东地区形势也在发生变化。在中国的支持下，沙特阿拉伯和伊朗实现复交，中国贡献获得了阿拉伯国家的称赞，吸引了世界目光。中国是中东国家值得信赖的伙伴，完全有能力为推动中东和平发展发挥更大作用。近年来，阿拉伯国家同中国务实合作不断取得新进展。今年是共建“一带一路”倡议提出10周年，该倡议为阿中合作搭建起新平台。21个阿拉伯国家以及阿盟同中国签署了共建“一带一路”合作文件。共建“一带一路”不仅促进了经济社会发展、繁荣了文化交流、增进了民间交往，也为深化阿中互信打下了坚实基础。2022年12月，在首届阿拉伯国家—中国峰会上，中方提出支持发展、粮食安全、卫生健康、绿色创新、能源安全、文明对话、青年成才、安全稳定等阿中务实合作“八大共同行动”，为双方合作升级描绘了蓝图。
“Currently, the trend of world multipolarization is developing in depth, and unipolarity and hegemony are unpopular. Arab countries hope to get rid of the shackles of western hegemony and achieve independent development through close cooperation with China and other developing countries. Arab-China relations have always been guided by the principles of peace, friendship, mutual benefit, and win-win cooperation. With a focus on peace and sustainable development, the two sides have deepened economic and trade cooperation, actively aligned their development strategies, and committed to constructing a new type of international relations characterized by mutual respect, fairness, justice, and win-win cooperation. The cooperation between the two sides has become a model for South-South cooperation. In the future, the two great civilizations of Arabia and China will continue to contribute wisdom to promoting peace and development in the Middle East and inject vitality into exchanges and mutual learning among different civilizations worldwide.” 当前，世界多极化深入发展，单极霸权不得人心。阿拉伯国家希望通过与中国等广大发展中国家紧密合作，摆脱西方霸权的束缚，实现自主发展。阿中始终秉持和平友好、互利共赢理念，着眼和平与可持续发展，不断深化经贸合作，积极对接发展战略，致力于推动构建相互尊重、公平正义、合作共赢的新型国际关系，双方合作已成为南南合作的典范。未来，阿中两大文明将继续为推动中东地区和平发展贡献智慧，为世界不同文明交流互鉴注入动力.
Page 16: The lead story talks about exports of American-made guns fuelling violence abroad. It starts with this Bloomberg story as the base. There are also reports on Brazil’s central bank cutting interest rates and Eurozone inflation reaching 5.3% in July.