Politburo Meeting on Economic Work - China says US-Israeli 'Illegal Military Actions' Cause of Hormuz Blockade - Wang Yi's Myanmar Visit
In today’s edition, I am covering some of the key reports from the paper, and some that were not covered in the People’s Daily. It’s a brief edition today, given that I’ve been traveling.
First, the key report on the front page today is on the April Politburo meeting, which discussed the state of the economy. It basically outlines the key immediate priorities. I didn’t notice anything particularly new in terms of the broad agenda that was outlined in March. But there are a couple of noteworthy points.
First, in terms of government investment, the focus appears to be on construction of water networks, new-type power grids, computing power networks, next-generation communication networks, urban underground pipe networks, and logistics networks.
Second, the war in West Asia and the situation with regard to energy supplies is reflected in a call to “systematically respond to external shocks and challenges, raise the level of energy and resource security guarantees…”
The meeting held that since the beginning of this year, the CPC Central Committee with Comrade Xi Jinping at its core has strengthened its comprehensive leadership over economic work, taking a holistic view and making forward-looking arrangements. All regions and departments have acted proactively and implemented comprehensive policies. China’s economy has made a strong start, with major indicators better than expected, demonstrating strong resilience and vitality. At the same time, there are also some difficulties and challenges, and the foundation of economic stabilisation and improvement still needs to be further consolidated. It is necessary to strengthen confidence and grasp economic work with greater intensity and more practical measures. 会议认为，今年以来，以习近平同志为核心的党中央加强对经济工作的全面领导，着眼全局、前瞻布局，各地区各部门靠前发力、综合施策，我国经济起步有力，主要指标好于预期，彰显强大韧性和活力。同时，也面临一些困难和挑战，经济持续稳中向好的基础还需进一步巩固。要增强信心，以更大力度和更实举措抓好经济工作.
The meeting pointed out that it is necessary to adhere to the general work principle of seeking progress while maintaining stability; fully, accurately, and comprehensively implement the new development philosophy; accelerate the construction of a new development pattern; better coordinate the two overall situations of domestic and international affairs; coordinate development and security; unswervingly deepen reform and opening up; promote self-reliance and self-strengthening in science and technology and independent controllability of industrial chains; precisely and effectively implement a more proactive fiscal policy and a moderately loose monetary policy; continuously expand domestic demand and optimise supply; improve incremental growth and revitalize existing stock; focus on stabilising employment, enterprises, markets, and expectations; strengthen the endogenous driving force of economic development; further strengthen the domestic circulation and optimize the domestic and international dual circulation, thereby striving to achieve a good start for the 15th FYP period. 会议指出，要坚持稳中求进工作总基调，完整准确全面贯彻新发展理念，加快构建新发展格局，更好统筹国内国际两个大局，统筹发展和安全，坚定不移深化改革开放，推动科技自立自强、产业链自主可控，精准有效实施更加积极的财政政策和适度宽松的货币政策，持续扩大内需、优化供给，做优增量、盘活存量，着力稳就业、稳企业、稳市场、稳预期，增强经济发展内生动力，进一步做强国内大循环，做优国内国际双循环，努力实现“十五五”良好开局.
The meeting emphasised that it is necessary to make full and effective use of macroeconomic policies. Continuously optimise the structure of fiscal expenditures, and firmly safeguard the bottom line of the ‘three guarantees’ at the grassroots level. Strengthen the forward-looking nature, flexibility, and targeting of monetary policy, and maintain ample liquidity. Maintain the basic stability of the RMB exchange rate at a reasonable and balanced level. Carry out consistency assessments of macroeconomic policy orientation. 会议强调，要用好用足宏观政策。持续优化财政支出结构，兜牢基层“三保”底线。增强货币政策前瞻性灵活性针对性，保持流动性充裕。保持人民币汇率在合理均衡水平上的基本稳定。做好宏观政策取向一致性评估.
The meeting pointed out that it is necessary to deeply tap the potential of domestic demand. Expand the supply of high-quality goods and services, and promote consumption upgrading. Deeply implement the action to expand capacity and improve quality of the service industry. Strengthen the planning and construction of water networks, new-type power grids, computing power networks, next-generation communication networks, urban underground pipe networks, and logistics networks. Promote the commencement of major engineering projects where conditions are mature. 会议指出，要深入挖掘内需潜力。扩大优质商品和服务供给，推动消费升级。深入实施服务业扩能提质行动。加强水网、新型电网、算力网、新一代通信网、城市地下管网、物流网等规划建设。推动条件成熟的重大工程项目开工.
The meeting emphasised that it is necessary to accelerate the construction of a modern industrial system and maintain a reasonable proportion of manufacturing. Push forward in depth the construction of a unified national market and deeply rectify ‘involution-style’ competition. Comprehensively implement the AI+ action, develop new forms of intelligent economy, and improve AI governance. Further deepen the reform of state-owned assets and state-owned enterprises. Systematically respond to external shocks and challenges, raise the level of energy and resource security guarantees, and use the certainty of high-quality development to respond to various uncertainties. 会议强调，要加快建设现代化产业体系，保持制造业合理比重。纵深推进全国统一大市场建设，深入整治“内卷式”竞争。全面实施“人工智能+”行动，发展智能经济新形态，完善人工智能治理。进一步深化国资国企改革。系统应对外部冲击挑战，提高能源资源安全保障水平，以高质量发展的确定性应对各种不确定性.
The meeting pointed out that it is necessary to effectively prevent and resolve risks in key areas. Strive to stabilise the real estate market, and solidly advance urban renewal. Resolve local government debt risks in an orderly manner, and focus on solving the problem of arrears owed to enterprises. Promote the reform of small and medium-sized financial institutions, and stabilize and strengthen confidence in the capital market. 会议指出，要有效防范化解重点领域风险。努力稳定房地产市场，扎实推进城市更新。有序化解地方政府债务风险，着力解决拖欠企业账款问题。推动中小金融机构改革，稳定和增强资本市场信心.
The meeting stressed the need to strengthen the employment-first policy orientation, and enhance the development of education, healthcare, childcare and other livelihood areas. Ensure agricultural production and stabilize the prices of agricultural products such as pork. Improve the normalised assistance mechanism to ensure against any large-scale relapse into poverty or the emergence of new poverty. Do a good job in work safety, disaster prevention and mitigation, food and drug safety, and other work. It is necessary to deeply carry out the study and education campaign on establishing and practicing the correct view of political achievements, and transform its results into real effectiveness in promoting high-quality development. 会议强调，要强化就业优先政策导向，加强教育、医疗、托育等民生建设。抓好农业生产，稳定生猪等农产品价格。完善常态化帮扶机制，确保不发生规模性返贫致贫。做好安全生产、防灾减灾、食品药品安全等工作。要深入开展树立和践行正确政绩观学习教育，把学习教育的成效转化为推动高质量发展的实效.
Another report on the front page informs that 2.99 million new urban jobs were created in China in the first quarter of this year. Thus far, 3.1 billion yuan in unemployment insurance job-stabilization rebate funds have been disbursed; 500 million yuan in one-time job expansion subsidies have been handed out; and 800 million yuan in skill upgrading subsidies have been disbursed.
Apart from this, I think it is important to note remarks by Fu Cong, China’s permanent representative to the UN, on the blockage of the Strait of Hormuz. He said:
“the root cause of the blockade of the Strait of Hormuz is the illegal military actions launched by the United States and Israel against Iran…despite the recently concluded ceasefire arrangement, the United States has stepped up its military deployment and imposed targeted blockades against Iran. This is dangerous and irresponsible behavior…”
Xinhua’s report adds:
“‘The solution to ending the blockade of the strait is to achieve a comprehensive and lasting ceasefire as soon as possible, so as to restore peace and stability in the Gulf region and the Middle East,’ he told a Security Council open debate on the safety and protection of waterways in the maritime domain. China commends Pakistan and others for their role as mediators, and urges relevant parties to resolve disputes and conflicts by political and diplomatic means. China opposes any moves that could undermine the ceasefire and lead to escalation and further confrontation. China will continue to play a constructive role in promoting regional peace and stability, he said. “The stability and smooth operation of international shipping routes are closely linked to peace and stability in the surrounding region, especially coastal states. Only through dialogue and consultation can we de-escalate hot-spot issues and create an enabling environment for the safety of these routes,’ said Fu. ‘Excessive use of military means cannot fundamentally resolve risks. Rather, it will exacerbate tensions and confrontation, and create even greater security crises.’ The UN Convention on the Law of the Sea, relevant international treaties and customary international law collectively form the foundation of today’s international maritime order. All countries should interpret and apply the convention fully, accurately, and in good faith, and refrain from selective application and double standards. Everyone should exercise the rights to freedom of navigation granted by international law in good faith, earnestly respect the sovereignty, security, and legitimate rights and interests of coastal states, and ensure the smooth flow of normal maritime trade and navigation, he said.”
Next, let me cover the readouts from Wang Yi’s visit to Myanmar. Wang met with President Min Aung Hlaing. The readout says:
“China’s policy toward Myanmar remains consistent and can be summarized as ‘three firm supports’:
China firmly supports Myanmar in following a successful development path that suits its national conditions and is supported by its people;
firmly supports Myanmar in safeguarding its national sovereignty, security and territorial integrity; and
firmly supports Myanmar in achieving national peace, reconciliation and social harmony.”
“This year marks the first year of the new Myanmar government’s administration, and both sides should take it as an opportunity to carry forward the traditional friendship, open up new prospects for bilateral relations, and achieve new results in building the China-Myanmar community with a shared future. Wang Yi stated that practice has proven that building a China-Myanmar community with a shared future perfectly aligns with the development and revitalization needs of both countries and serves the fundamental interests of both peoples, urging both sides to unswervingly follow this path. China supports the new Myanmar government’s five key priorities in governance, and is ready to maintain high-level exchanges with Myanmar, strengthen strategic coordination, advance bilateral cooperation centered on post-earthquake reconstruction, help Myanmar rebuild its economic system as soon as possible, and enhance its capacity for independent development. China is willing to cooperate with Myanmar to resolutely and thoroughly eradicate online gambling and telecom fraud. China will continue to speak up for Myanmar on multilateral platforms, and support Myanmar’s participation in more dialogue and cooperation mechanisms and the enhancement of its interaction with ASEAN.”
The readout of Wang’s meeting with Foreign Minister Tin Maung Swe says:
“Wang Yi stated that China firmly supports Myanmar in safeguarding its national sovereignty, security, and development interests. China is ready to strengthen strategic communication with Myanmar and conduct pragmatic cooperation centered on post-earthquake reconstruction. Both sides should enhance cooperation in electricity and oil and gas to jointly safeguard energy security; expand trade and investment to advance the construction of the China-Myanmar Economic Corridor; explore new areas of cooperation to help Myanmar enhance its capacity for independent development; deepen security cooperation to maintain peace and stability along the border; resolutely crack down on online gambling and telecom fraud to protect the lives and property of the people; and strengthen youth exchanges and training to consolidate the public opinion foundation for friendship between the two countries. China will continue to speak up for Myanmar on the international stage and closely coordinate with Myanmar under the frameworks of the UN, China-ASEAN cooperation, and the Lancang-Mekong Cooperation.”
As per the readout, Tin Maung Swe said that:
“Myanmar reaffirms its firm commitment to the one-China principle, and is willing to remain a trustworthy and friendly neighbor to China, maintain close high-level exchanges, and accelerate the construction of projects under the China-Myanmar Economic Corridor. Myanmar stands ready to deepen cooperation in various fields including talent training, infrastructure, railways, agriculture, and artificial intelligence, and work together with China to build a Myanmar-China community with a shared future. Myanmar will also make every effort to ensure the safety of Chinese projects and personnel in the country, and to work closely with China to resolutely combat online gambling and telecom fraud, so as to create a sound environment for bilateral cooperation. Myanmar fully supports the four major global initiatives proposed by President Xi Jinping and his important propositions on international affairs, and looks forward to receiving more support from China on multilateral platforms.”
The two countries’ space authorities inked an MoU as part of this visit.