China & France Must Build 'Right Perception of Each Other - Agenda for Xi's Serbia Visit - Zhong Caiwen Series on Overcapacity
Hi folks,
Okay, so the trend of strange occurrences continues with regard to the People’s Daily, along with the PLA Daily and Guangming Daily. These were published today a bit before 12 pm Beijing time, which is a significant delay than the norm. Of course, it was much, much later yesterday that we saw them go online. I don’t have any good explanations, other than the fact that perhaps the approval authority for these is with someone travelling with Xi Jinping to Europe. If this is the case, then it is a new development, since this has never happened during Xi’s earlier travels.
In addition, I am not certain how much this is about coverage of Xi’s visits because all of the readouts have been covered by Xinhua in time and have been shared by the Ministry of Foreign Affairs. These were subsequently featured on the front pages of provincial and departmental newspapers, which were published early in the morning as usual. So I am not sure what’s so terribly unique that is being covered that requires delays.
Anyway, let’s look at the paper today, Wednesday May 8, 2024.
Page 1: The lead story is a report of Xi’s final engagements in France. Emmanuel Macron and his wife reportedly hosted Xi and Peng Liyuan in Hautes-Pyrenees in southwestern France.
Xinhua English captures the scene well: “Together, they watched a traditional folk dance performance by local villagers before lunch at L'Etape du Berger, which is located at Col du Tourmalet, a legendary climb in the Tour de France cycling race. With snowflakes flying outside and clouds stretching across the sky, the two presidents and their wives sat next to the window gazing at the mountains in the distance while tasting local delicacies. In a relaxing and cordial atmosphere, they had strategic communication on a number of important issues critical to the world.”
“Xi Jinping pointed out that Chinese civilization is the only ancient civilization in the world that has lasted for more than 5,000 years without interruption. Because of this, the Chinese people have a strong sense of a homeland and especially value and cherish national unity. Many overseas Chinese have lived abroad for many years and still harbour deep patriotic sentiments. They sincerely feel proud of the continuous development and growth of their motherland. During my visits, I often see many overseas Chinese, overseas Chinese students, and scholars waiting along the way to welcome me spontaneously. Now that China has achieved its first centenary goal, I believe that through the continuous struggle of the Chinese people, China will surely achieve the great rejuvenation of the Chinese nation. Although China and France belong to Eastern and Western civilizations and have different values and social systems, they both value exchanges and mutual learning between civilizations. The two sides should coexist in harmony without seeking uniformity, and make new contributions to world peace and development and human progress through dialogue and cooperation. China is willing to strengthen people-to-people and cultural exchanges with France and Europe, continuously deepen economic and trade cooperation, build the right perception of each other, and solidify and carry forward the stories of friendship between the Chinese people and the people of France and Europe.” 习近平指出，中华文明是世界上唯一延绵5000多年而从未中断的悠久文明。正因如此，中国人有着很强的家国理念，尤其重视和珍视国家统一。许多华侨在海外生活多年，仍怀有深深的爱国情感，对祖国不断发展壮大由衷感到自豪。我出访期间，经常看到很多华侨华人和留学生自发在沿途等候欢迎。现在中国已经实现了第一个百年奋斗目标，相信经过中国人民的接续奋斗，中国一定能实现中华民族的伟大复兴。中国和法国虽然分属东西方文明，价值理念、社会制度不同，但都重视文明交流互鉴。双方可以和而不同，通过对话合作，为世界的和平与发展以及人类的进步作出新的贡献。中方愿同法国和欧洲加强人文交流，不断深化经贸合作，增进相互正确认知，巩固好、传承好中法、中欧人民友好故事.
Xinhua adds: “Through in-depth exchanges with Xi, Macron said, he learned more about China's history, culture, philosophy, and development process and gained a deeper understanding of China’s position on important issues. Given the uncertainties in the current international situation, Macron said it is vital that Europe maintains strategic autonomy, solidarity and unity, adding that it is also critical that Europe develop a sound relationship with China and enhance their bilateral and multilateral cooperation. Noting France and China are both permanent members of the UN Security Council, Macron expressed his readiness to maintain close communication with Xi and play a positive role in upholding peace and stability in Europe and the world.”
After this, with a hug and kisses, Xi travelled to Serbia.
The Serbian Air Force sent two fighter jets to escort Xi's plane after it entered the country’s airspace. At the airport, he was greeted by Serbian President Aleksandar Vucic and his wife, Tamara Vucic. Prior to his arrival, an article attributed to Xi was published in Serbian media (English text).
Xi wrote that “Whatever changes in the international landscape, China and Serbia remain true friends and good partners. Our ironclad friendship is ever-growing, setting a model for state-to-state and people-to-people interactions.”
He added:
“Our two countries have always respected and trusted each other…We fully appreciate and respect the development paths that our respective nation has chosen. We uphold fairness and justice, firmly support each other on issues that bear on our respective core interests and are of major concern to us. We have kept close and smooth coordination and collaboration at the bilateral and multilateral levels. We have built an ever stronger comprehensive strategic partnership that is delivering tangible outcomes.”
“Our two countries have stayed committed to mutual benefit…Our thriving cooperation in trade and economic relations, industrial chain, and infrastructure development lends a great boost to our respective process of modernization.”
Our two countries have always helped each other. This deals with COVID-19-related support.
Our two countries have always been learning from each other. This covers cooperation between political parties, and cultural, sports, tourism and people-to-people exchanges.
Xi then made four points:
“We should always be good friends and treat each other with sincerity…China respects and supports the development path that the Serbian people have chosen of their own will. We support Serbia's efforts to uphold its sovereignty and territorial integrity, and oppose any attempt by any forces to interfere in Serbia's internal affairs.”
“We should always be good partners for win-win cooperation…We should deliver on the midterm action plan for Belt and Road cooperation, and build more flagship projects. We should expand cooperation in technological innovation, advanced manufacturing, green energy, digital economy, artificial intelligence and other emerging areas.”
“We should always play an exemplary role in promoting fairness and justice. As ironclad friends and defenders for world peace, China and Serbia hold similar positions on many major international and regional issues. Facing a fluid and turbulent world, we should step up coordination and cooperation in the United Nations and other international organizations, and advocate an equal and orderly multipolar world and a universally beneficial and inclusive economic globalization. We should practice true multilateralism, and endeavor to maintain world peace and stability and safeguard international fairness and justice.”
We should always strengthen the heart-to-heart connection between our two peoples.
And then he writes what most media outlets have picked up:
“Twenty-five years ago today, NATO flagrantly bombed the Chinese embassy in Yugoslavia, killing three Chinese journalists-Ms. Shao Yunhuan, Mr. Xu Xinghu and his wife Zhu Ying. This we should never forget. The Chinese people cherish peace, but we will never allow such tragic history to repeat itself. The China-Serbia friendship, forged with the blood of our compatriots, will stay in the shared memory of the Chinese and Serbian peoples, and will inspire us to march forward with big strides.”
Finally, we have the second article in the series of articles talking up the economy. This one makes the point that “since the beginning of this year, various localities and departments have regarded the real economy as the foundation for building a modern industrial system, promoted high-end, intelligent, and green development of manufacturing, and the quality and efficiency of the real economy have steadily improved.” 今年以来，各地区各部门把实体经济作为构建现代化产业体系的根基，推动制造业高端化、智能化、绿色化发展，实体经济质量效益稳步提高.
In Q1, the added value of industries above designated size nationwide increased by 6.1% year-on-year, the highest in eight quarters; out of 41 major industrial categories, 37 saw an increase in value added compared to the same period last year, expanding by 24.3 percentage points compared to the fourth quarter of the previous year. This has provided strong support for promoting economic recovery and improvement. 一季度，全国规模以上工业增加值同比增长6.1%，为8个季度以来最高值；工业41个大类行业中，37个行业增加值同比实现增长，增长面较上年四季度扩大24.3个百分点，为推动经济回升向好提供了有力支撑.
Some key data points highlighted in the first section are:
In Q1, the profits of industrial enterprises above designated size nationwide increased by 4.3% year-on-year, growing for three consecutive quarters; in April, China’s manufacturing PMI was 50.4%, staying in the expansion range for two consecutive months. 一季度，全国规模以上工业企业利润同比增长4.3%，连续3个季度增长；4月，中国制造业采购经理指数为50.4%，连续两个月位于扩张区间.
In Q1, the added value of high-tech manufacturing above designated size increased by 7.5% year-on-year, 2.6 percentage points faster than the fourth quarter of last year; the output of new energy vehicles increased by 29.2% year-on-year, and the output of charging piles, 3D printing equipment, and electronic components increased by 41.7%, 40.6%, and 39.5% year-on-year, respectively. 一季度，规模以上高技术制造业增加值同比增长7.5%，较上年四季度加快2.6个百分点；新能源汽车产量在前几年高速增长的基础上同比增长29.2%，充电桩、3D打印设备、电子元件产品产量同比分别增长41.7%、40.6%、39.5%.
In the first quarter, the value added of the equipment manufacturing industry increased by 7.6% year-on-year, driving a 2.3 percentage point increase in the growth of all industries above designated size. 一季度，装备制造业增加值同比增长7.6%，拉动全部规上工业增长2.3个百分点。
In the first quarter, the value added of the consumer goods manufacturing industry increased by 4.2% year-on-year, reversing the low-level operating trend since April 2022. 一季度，消费品制造业增加值同比增长4.2%，扭转了2022年4月份以来的低位运行态势.
The second section stresses the focus on innovation, saying that since the beginning of the year, several localities and departments have focussed on promoting the optimization and upgrading of industrial structure, and continuously enhanced the ‘gold content’, ‘innovation content’, and ‘green content’ of manufacturing.” 今年以来，各地区各部门积极培育和发展新质生产力，持续推动产业结构优化升级，不断提升制造业的“含金量”“含新量”“含绿量”.
It adds: “currently, China has nurtured 421 state-level intelligent manufacturing demonstration factories. There are more than 10,000 provincial digital workshops and smart factories. Also, technologies such as artificial intelligence and digital twinning have been applied in more than 90% demonstration factories.” 当前，我国已培育421家国家级智能制造示范工厂，万余家省级数字化车间和智能工厂，人工智能、数字孪生等技术在90%以上的示范工厂得到应用.
“Currently, at the national level, China has nurtured a total of 5,095 green factories, 371 green industrial parks, 605 green supply chain management enterprises, and over 500 specialised service institutions for green manufacturing.” 目前，我国已在国家层面累计培育绿色工厂5095家、绿色工业园区371家、绿色供应链管理企业605家，培育绿色制造专业化服务机构500余家.
The final section informs that while things have gotten off to a great start this year, “factors that restrict the recovery of the industrial economy, such as insufficient effective demand and greater pressure on corporate profits, still exist.” 一季度工业经济开局良好，景气水平和企业预期向好。但也要看到，有效需求不足、企业盈利压力较大等制约工业经济恢复向好的因素依然存在. It calls for building more resilient supply chains, focussing on core technologies and mentions the Implementation Opinions on the Innovative Development of Pilot Testing in the Manufacturing Industry, which was issued in April. If you are interested in this document, CSET has a full translation.
Page 2: The only useful report is the announcement by MoFA that China has decided to extend the current visa-free policy for 12 countries: France, Germany, Italy, the Netherlands, Spain, Malaysia, Switzerland, Ireland, Hungary, Austria, Belgium, and Luxembourg until December 31, 2025.
Page 3: Today, we have the third in the Zhong Caiwen series of commentaries discussing the issue of overcapacity.
Before I get to it, let me cover the second commentary, which was published yesterday. It argued that “China’s production capacity must be viewed from historical, developmental, and dialectical perspectives.” As blunt as one could be, it says “China’s production capacity did not fall from the sky. It is the result of a combination of objective factors and subjective efforts. It is in line with basic economic theory and the development laws of major developed economies.” 中国的产能不是天上掉下来的，是客观因素和主观努力共同作用的结果，符合基本经济理论和主要发达经济体发展规律.
TLDR: There are four points that the article makes.
China’s production capacity is a product of its market size and demand; this demand cannot be satisfied by imports
Production capacity is driven by technological innovation and improvements in production efficiency. This is the — we invest in R&D and have built a strong industrial base and that’s why we have strong production capacity — argument.
Multinational corporations contribute hugely to China’s production capacity
Everyone does industrial policy and so does China; it’s just that in China, production capacity has expanded because of a combination of market efficiency and effective government policies.
“First, China’s production capacity is rooted in the country’s ultra-large-scale market. As a large developing country with a population of more than 1.4 billion, the fundamental purpose of China’s production is to base itself on domestic demand and meet the people’s growing needs for a better life. Since the reform and opening up, China has shifted from a planned economy to a socialist market economy in an orderly manner, fully mobilising the enthusiasm of all aspects of production, gradually overcoming the economic scarcity dilemma, and significantly improving its product supply capacity. With the sustained rapid development of the Chinese economy and the gradual upgrading of industries, the potential of domestic demand has continued to expand and be unleashed, thereby driving the improvement of production capacity. This forms a virtuous cycle of mutual stimulation and promotion. Currently, China’s middle-income population is huge and growing steadily, with per capita GDP exceeding $12,000, forming a very large consumer market. In 2023, China's total retail sales of consumer goods exceeded 47 trillion yuan, an increase of 7.2% compared to 2022. The contribution rate of final consumption expenditure to economic growth has reached 82.5%. Consumption has become the main engine of economic growth and the primary engine of promoting the expansion of China's production capacity. In recent years, China has consumed the most automobiles, home appliances, clothing, gold jewellery, etc., in the world. This demand cannot be satisfied simply through imports and requires the support of a huge domestic production capacity. By 2035, China will have basically achieved socialist modernization, its per capita GDP will reach the level of moderately developed countries, demand potential will be further released, the driving effect of the ultra-large market will continue to be strengthened, and production capacity is expected to continue to expand.” 中国的产能植根于本国的超大规模市场。作为一个拥有14亿多人口的发展中大国，立足内需，满足人民日益增长的美好生活需要，是中国生产的根本目的。改革开放以来，中国有序从计划经济转向社会主义市场经济，充分调动各方面生产积极性，逐步走出了短缺经济困境，产品供应能力也随之大幅提升。随着中国经济持续较快发展和产业逐步升级，国内需求的潜力不断增大并释放，进而推动生产能力的提升，这是一个相互激励促进的良性循环。当前，中国中等收入群体规模巨大且还在稳定增长，人均国内生产总值超过1.2万美元，已形成超大规模的消费市场。2023年，中国社会消费品零售总额超过47万亿元，比2022年增长7.2%，最终消费支出对经济增长的贡献率已经达到82.5%，消费成为拉动经济增长的主引擎，也是推动中国生产能力扩大的主引擎。这些年，中国消费了世界上最多的汽车、家电、服装、黄金饰品等，没有国内巨大的产能支撑，靠进口是满足不了的。到2035年，中国基本实现社会主义现代化，人均国内生产总值将达到中等发达国家水平，需求潜力将进一步释放，超大规模市场的带动效应不断强化，产能也有望持续扩大.
“China's production capacity is endogenously driven by technological innovation and improvements in production efficiency. Innovation is the 'engine' of productivity. China has persisted with implementing an innovation-driven development strategy and has continued to increase investment in scientific and technological innovation. Its total R&D investment ranks second in the world. In 2023, 679 Chinese companies were listed among the top 2,500 in terms of global R&D investment. Technological innovation has improved production efficiency and created more comparative advantages. In recent years, the reason why China's ‘old three’ (mobile phones, computers, household appliances) and ‘new three’ (new energy vehicles, lithium batteries, and photovoltaic products) have become so popular in the international market owing to the continuous technological innovation and extreme efficiency improvement and painstaking efforts and excellence of Chinese entrepreneurs. In the ‘new three’, China has ranked among the top in the world in the number of patent applications; in some cutting-edge areas of science and technology, the number of patent applications has grown rapidly, and a large number of outstanding scientific research results have emerged. In particular, it is important to note that China is the only country that is home to all industrial categories in the United Nations industrial classification. Owing to the complete industrial support and leveraging market forces, technological innovation achievements can rapidly form high-quality production capacity. According to Bloomberg, the hope of global energy transformation is largely dependent on the low-cost and clean products provided by China. China is full of expectations for the new round of global scientific and technological revolution and industrial transformation. It does not try to find reasons to criticise, suppress and contain other countries just because they are leading in artificial intelligence, commercial space and low-orbit satellites. Instead, it sincerely learns from and draws lessons from others, contributing to the progress of human technology through mutual learning and exchanges. Likewise, developed countries should also maintain an open and fair attitude in areas such as new energy where China is leading in technology, taking into account the cause of improving the well-being of all mankind.” 中国的产能内生于科技创新和生产效率提高。创新是生产力的“发动机”。中国坚持实施创新驱动发展战略，持续加大科技创新投入，研发投入总量位居世界第二，2023年有679家中国企业入围全球研发投入2500强。科技创新提高了生产效率，锻造出更多比较优势。近些年，中国的“老三样”（手机、电脑、家用电器）和“新三样”（新能源汽车、锂电池、光伏产品）之所以在国际市场上广受欢迎，靠的是海量细分行业中持续的技术创新和极致的效率改进，靠的是中国企业家的苦心孤诣、精益求精。中国在“新三样”领域，专利申请量已居全球前列；在一些科技前沿领域，专利申请量快速增长，大量优秀科研成果涌现。尤其要看到的是，中国是唯一拥有联合国产业分类中全部工业门类的国家，产业配套完整，借助市场化力量，科技创新成果能够快速形成高质量产能。彭博社文章认为，全球能源转型之所以有希望，很大程度上归功于中国提供了低价、清洁的产品。中国对全球新一轮科技革命和产业变革充满期待，不会因别国在人工智能、商业航天、低轨卫星等领域处于领先位置，就千方百计找理由去指责批评、去打压遏制，而是真心实意学习和借鉴，在互学互鉴中共同为人类科技进步作贡献。同理，对中国技术领先的新能源等领域，发达国家也应从增进全人类福祉出发，秉持开放公允态度.
“A large part of China’s production capacity comes from multinational companies. Foreign-funded enterprises have contributed greatly to the development of manufacturing in China. As China became more deeply integrated into the global economy, numerous foreign companies made China as their primary production base, investing in manufacturing in the country while selling globally. Many of these are American companies. For example, Apple’s position as the world's second most profitable and highest valued company is greatly attributed to the hardworking Chinese labour force and efficient ‘Apple supply chain’ companies. Recently, Apple announced plans to expand its R&D labs in China to support manufacturing. Similarly, half of the 1.845 million new energy vehicles produced by Tesla last year were manufactured in its Shanghai factory, with Tesla’s exported vehicles accounting for nearly 30% of China’s total new energy vehicle exports. Multinational companies make decisions at their headquarters; the production takes place in China; sales target international markets, including China; and profits eventually flow back to the home country, creating a pattern of mutual benefit. In the future, with a series of major projects in chemicals, new energy vehicles, and others being launched in China by multinational corporations, their competitiveness and production capacity are expected to continue to improve.” 中国的产能很大部分来自跨国企业。中国制造能够发展壮大，外资企业功不可没。随着中国深度融入全球，众多外资企业把中国作为主要生产地，在华投资生产并向全球销售。这里面就有大量美资企业。比如，苹果能成为全球利润第二、市值最高的公司，离不开大量勤奋的中国工人和高效的“果链”企业，近期苹果公司宣布将扩大在中国的应用研究实验室，以支持产品制造。再如，特斯拉去年生产的184.5万辆新能源汽车中，一半诞生于上海工厂，特斯拉汽车出口数量占中国新能源汽车出口总量近30%。跨国公司决策在母公司，生产在中国，销售面向包括中国在内的国际市场，利润回流母国，形成多方受益的格局。这样的例子还有很多。未来，随着一批跨国企业的化工、新能源汽车等重大项目在华相继投产，其竞争力和产能有望持续提升.
Finally, “China’s production capacity benefits from the joint efforts of efficient markets and effective government.” The author says that throughout history, the success of developed countries is “inseparable from the role of the market and the guidance and support of government’s industrial policies. Japan, Germany, and South Korea achieved rapid economic development after World War II, largely relying on government policy support for leading industries. The United States has a long history of using industrial policies on a large scale. The CHIPS and Science Act alone plans to allocate more than $52 billion in subsidies. Since the reform and opening up, China has learned from the experience and practices of developed countries, relied on strong domestic demand, guided the flow of resource factors through industrial planning, and actively promoted the construction of a modern industrial system. Since joining the World Trade Organization, China has conscientiously abided by the relevant rules on subsidies and promoted the development and expansion of production capacity under market economy conditions. For example, in response to climate change, China has encouraged companies to increase R&D investment through tax incentives and other policies to support the development of the new energy sector. However, it must be noted that China's industrial policies do not violate market laws. They do not engage in ‘beggar-thy-neighbour’ 以邻为壑 practices by excluding competition from other countries, nor does it ‘pull up seedlings to help them grow’ 拔苗助长 through blind development of industries. China will continue to improve the level of marketization, implement industrial policies according to local conditions, let all industries compete in an orderly manner, and finally achieve a high-quality balance between supply and demand. 中国的产能得益于有效市场和有为政府共同作用。纵观产业发展史，发达国家能够成功实现产业升级，既离不开市场作用，也需要政府产业政策引导支持。日本、德国、韩国等在二战后实现经济快速发展，很大程度上靠的是政府对主导产业的政策支持。美国运用产业政策历史长、范围大，仅《芯片和科学法案》等就拟拨出高达520多亿美元的补贴。改革开放以来，中国参考借鉴发达国家的经验和做法，依托强大国内需求牵引，通过产业规划引导资源要素流动，积极推动建设现代化产业体系。加入世界贸易组织以来，中国认真遵守补贴相关规则，推动产能在市场经济条件下发展壮大。比如，为应对全球气候变化，中国通过税收优惠等政策鼓励企业增加研发投入，支持新能源产业发展。但要看到，中国的产业政策并不违背市场规律，没有通过产业政策“以邻为壑”，排除别国竞争，也没有“拔苗助长”，盲目发展产业。中国将持续提高市场化水平，因地制宜实施好产业政策，让各个行业有序竞争、优胜劣汰，最终实现高质量供求平衡.
Today’s commentary says that “the recent so-called ‘overcapacity’ argument in China’s new energy sector ignores the benefits that Chinese products bring to global consumers and how they promote global industrial upgrading. It also ignores the decisive contribution that China’s new energy production capacity can make to global carbon reduction. Asking China to reduce production capacity is a case of (醉翁之意不在酒) the wine-lover’s heart not really being in the cup (one has an ulterior, hidden motive) Those raising concerns are not worried about production capacity, but their own market share.” 近期所谓中国新能源“产能过剩”论调，无视中国产品给全球消费者带来的福利和对全球产业升级的推动作用，无视中国新能源产能为全球减碳作出的决定性贡献，要求中国压减产能，“醉翁之意不在酒”，他们关注的不是产能，而是自身的市场占有率.
TLDR: The core points made are:
Made in China products have helped global consumers through awesome and cost-effective products
Chinese manufacturing exports have helped boost the economies of other countries and key sectors, through industrial chain cooperation
China’s manufacturing capacity helps keep global supply chains running with stability
Chinese manufacturing has helped address climate change by reducing global carbon emissions.
The next paragraph talks about Chinese exports and says that “several studies have shown that Chinese goods have significantly lowered the prices of American consumer goods, and American consumers are the biggest beneficiaries of Sino-US trade.” 以美国为例，多份研究显示中国商品显著拉低了美国消费品价格，美国消费者是中美贸易的最大获益者. It adds that China’s massive export scale is a “reflection of the comparative advantage theory of economics and the result of global division of labour and market competition.” 需要强调的是，中国产品在全球市场中的高占比，源自先进生产能力和技术水平，是经济学比较优势理论的体现，是全球分工和市场竞争的结果. “Chinese companies continue to provide high-quality products at more competitive prices by optimising production processes, improving production efficiency, excellent cost control and economies of scale. They have consequently won widespread praise and recognition from consumers in different countries and at different levels in the international market.” 中国企业通过优化生产流程、提高生产效率、出色的成本控制和规模效应，持续以更具竞争力的价格提供高质量的产品，在国际市场上赢得了不同国家、不同层次消费者的广泛赞誉和认可.
The following paragraph argues that “Made in China has promoted global industrial technological progress and industrial upgrading…Since 2000, China’s R&D investment has increased by an average of 14.2% per year, almost twice that of South Korea and four times that of the United States, promoting the continuous development of industries in the direction of digitalization, intelligentization, and green development. In particular, China's manufacturing industry has driven global technological progress and industrial upgrading through intermediate product trade and cooperation in global value chains. Studies have shown that Chinese exports have significantly promoted the improvement of total factor productivity and led to an increase in the number of patent applications in countries participating in BRI. Made in China has generated a large demand for chips and other components, promoting the rapid iterative upgrading of integrated circuits and other related industries. For example, after the new energy vehicle company Tesla’s Shanghai factory was completed, it quickly contributed nearly half of its global production capacity and supported its subsequent product and technology research and development. As an important base for the global manufacturing industry, China has always adhered to openness and sharing, formed close industrial chain cooperation relationships with countries around the world, promoted the optimization and upgrading of the global industrial chain, and provided a strong impetus for global industrial development.” 中国制造促进了全球产业技术进步和产业升级。在改革开放40余年的历史进程中，中国制造业逐步实现了从“跟跑”到“并跑”甚至个别领域“领跑”的跃迁。自2000年以来，中国研发投入平均每年增长14.2%，几乎是韩国的2倍，是美国的4倍，推动产业不断向数字化、智能化、绿色化方向发展。特别是，中国制造业通过中间产品贸易和全球产业链合作，带动了全球技术进步和产业升级。有研究表明，中国出口能显著推动“一带一路”共建国家全要素生产率提升和专利申请数的增加。中国制造对芯片等零部件产生大量需求，促进了集成电路等相关行业的快速迭代升级。再比如，新能源汽车企业特斯拉上海工厂建成后，迅速贡献了其近一半的全球产能，支持了其后续的产品和技术研发。中国作为全球制造业的重要基地，始终坚持开放和共享，与世界各国形成了紧密的产业链合作关系，促进了全球产业链优化升级，为全球产业发展提供了强劲动力.
The next paragraph argues that China’s production capacity is the anchor for the stability of the global industrial and supply chains. It says that “China has a complete manufacturing industry chain and ranks first in the world in output of more than 220 of more than 500 major industrial products.” In addition, the “production scale and diversity” of China’s manufacturing sector provides a “guarantee for the stability of the global industrial chain and supply chain. It not only ensures the smooth operation of the global economy, but also promotes mutual benefit and win-win results for the economies of all countries.” 中国产能是全球产业链供应链稳定的锚。中国拥有完整的制造业产业链，在500多种主要工业产品中有220多种产量居全球第一。在全球经济格局中，中国制造覆盖了从原材料供应、零部件生产到产品组装、销售等各个环节，其生产规模和多样性为全球产业链供应链的稳定性提供了保障，不仅保障了全球经济的顺畅运行，更促进了各国经济的互利共赢. The example offered is the pandemic. It says that China’s “production capacity quickly responded to global demand”, playing an irreplaceable role in maintaining the continuity of the global supply chain. In particular, the export of large quantities of APIs strongly supported the global pharmaceutical supply chain. 例如，新冠肺炎疫情暴发后，中国率先实现复工复产，充沛的产能迅速响应全球需求，为全球供应链不“断链”发挥了不可磨灭的作用，尤其是大量原料药的出口，有力支撑了全球药品供应链.
The final argument is that “China's green production capacity is a key force in promoting global green and low-carbon development and addressing climate change. Since proposing the ‘double carbon’ goal in 2020, China has unswervingly fulfilled its commitments and made remarkable achievements in the fields of renewable energy, energy conservation and emission reduction. In 2023, the world's newly installed renewable energy capacity was 510 million kilowatts, with China contributing more than 50% of this.” 中国绿色产能是推动全球绿色低碳发展、应对气候变化的关键力量. 自2020年提出“双碳”目标以来，中国坚定不移履行承诺，在可再生能源、节能减排等领域取得了显著成就。2023年全球可再生能源新增装机5.1亿千瓦，中国贡献超50%.
“At the same time, China actively shares energy-saving technologies and products with the world. China's photovoltaic, wind power, new energy vehicles and other products have been exported to more than 200 countries and regions around the world. The country has also cooperated with more than 100 countries and regions on green energy projects. In 2022, China's renewable energy generation and exported wind power and photovoltaic products jointly contributed to reducing emissions by over 2.8 billion tons of carbon dioxide equivalent, accounting for approximately 41% of the global renewable energy carbon reduction during the same period.” 与此同时，中国积极和全球共享节能技术和产品，中国的光伏、风电、新能源汽车等产品已出口到全球200多个国家和地区，还与100多个国家和地区开展绿色能源项目合作。2022年，中国的可再生能源发电量与出口的风电、光伏产品，合计贡献减排量超过28亿吨二氧化碳当量，约占全球同期可再生能源折算碳减排量的41%.
Page 4: There’s a report covering remarks by Chen Wenqing, who heads the Commission for Political and Legal Affairs, at the opening of a seminar on the study and implementation of Xi Jinping Thought on the Rule of Law, held for leading officials in the judicial, procuratorial and public security domains.
Chen said that adhering to the Party’s absolute leadership is the fundamental guarantee for preventing and resolving major risks; it is necessary to deeply understand the decisive significance of the Two Establishments, strengthen the four consciousnesses and four self-confidences, and achieve the two safeguards. It is also necessary to integrate the Party’s leadership into the entire process of preventing and resolving major risks. 陈文清指出，坚持党的绝对领导是防范化解重大风险的根本保证，要深刻领悟“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”，把党的领导贯穿到防范化解重大风险工作各方面全过程.
He underscored the importance of grasping the responsibilities of judicial, procuratorial and public security organs, leveraging judicial and adjudicatory functions fully, strengthening legal supervision, punishing various illegal and criminal activities in accordance with the law, and intensifying efforts to identify and resolve problems and disputes. 陈文清强调，要扭住政法机关职责，充分发挥司法审判功能，加强法律监督工作，依法惩治各类违法犯罪行为，加大矛盾纠纷排查化解力度，推动各地区各部门落实好主体主管责任，有效防范化解重大风险.
He also called for solving new problems through scientific legislation, solving practical problems through strict law enforcement, maintaining social fairness and justice through impartial judicial processes, and maintaining social stability through the determination of legal relationships. 要加强法治建设，通过科学立法解决新问题，通过严格执法解决现实问题，通过公正司法维护社会公平正义，通过法律关系的确定维护社会的稳定.
Page 6: The Beijing government has issued a new document outlining tasks to optimise the business environment. The areas of work are:
optimize the regional industrial development environment and promote the coordinated development of Beijing, Tianjin and Hebei
strengthen the market to promote fairness and create an efficient and standardised market environment with equal competition;
enhance transparency and stabilising expectations, creating an excellent legal environment
boost openness to improve quality, and create a free and convenient investment and trade environment;
improve services to increase convenience, and create a warm and efficient government service environment;
enhance support to improve efficiency and create creating a smart and convenient digital social environment;
promote innovation to set benchmarks, and create an open and inclusive cultural environment
据介绍，该工作要点共包括优化区域产业发展环境，推进京津冀协同发展；强市场促公平，打造高效规范、平等竞争的市场环境；强公开稳预期，打造首善之区的法治环境；强开放提质量，打造自由便利的投资贸易环境；强服务增便利，打造暖心高效的政务服务环境；强支撑增效能，打造智慧便捷的数字社会环境；强创新树标杆，打造开放包容的人文环境等7大部分，计划年底前全部完成.
Page 7: There’s a report informing that the the Ministry of Human Resources and Social Security, the Ministry of Finance, and the State Administration of Taxation have issued a notice confirming the continuation of the unemployment insurance support for enterprises to ensure that people stay on payrolls. The key points are:
In terms of reducing burdens, the policy of temporarily reducing the unemployment insurance premium rate to 1% will be extended until the end of 2025.
The policy of stabilizing employment will continue to be implemented until the end of 2024 for insured enterprises that do not lay off or reduce layoffs. For small and micro enterprises, the refund proportion will not exceed 60% of the actual unemployment insurance premiums paid by the enterprise and its employees in the previous year, while for large enterprises, the refund proportion will not exceed 30%.
In terms of skills enhancement, the policy of expanding the scope of beneficiaries and extending the insured years for skills upgrading subsidies will continue until the end of 2024.
据介绍，通知明确延续实施3项惠企利民政策举措。在减负担方面，延续阶段性降低失业保险费率至1%的政策至2025年底。在稳岗位方面，对不裁员少裁员的参保企业继续实施稳岗返还政策至2024年底，中小微企业按不超过企业及其职工上年度实际缴纳失业保险费的60%返还、大型企业返还比例不超过30%。在提技能方面，继续放宽技能提升补贴政策参保年限并拓宽受益范围至2024年底.