On Chinese Media

FTZ 2.0 Explorer

Oriental Outlook Issue No. 15， 2016

Tianjins Gangqu Boulevard leads to a customs barrier and a signpost in front of the 10x3 km reclaimed peninsula marked Dongjiang Bonded Port Area.

Tianjin， Guangdong， and Fujian were approved in December 2014 as sites for the second batch of pilot FTZs in China， Shanghai having led the way. They signify the countrys 2.0 phase of FTZ development.

“Government reforms to streamline administration and delegate power will be intensified， so creating more opportunities for innovations to financial and business services that were formerly subject to excessive restrictions，” deputy chair of the management committee of Tianjin Binhai CBD Area Shi Jiping said. “FTZs do not signify policy lowlands but rather innovative highlands. They are intended to create a wholesome business environment that features rule of law， international rules and greater convenience.”

After Shanghais FTZ had been in operation for a year or more， the central government decided to introduce the municipalitys successful experience to the rest of the nation by establishing FTZs in Tianjin， Guangdong， and Fujian. This 2.0 FTZ phase is defined by greater openness and transparency. The Shanghai negative list initially covered 190 items， and one year later was abridged to 139. A further 17 items were cut when the three new FTZs commenced.

“More important than the length of the negative list is the underlying change of attitude towards government functions，” deputy chair of the management committee of the Shanghai FTZ Zhu Min observed.

In addition to helping the collective advancement of state-level institutional reforms， FTZs also have their respective missions at the 2.0 stage. Guangdong FTZ aims to deepen cooperation between the mainland and Hong Kong and Macao； Tianjins will synchronize development in Beijing， Tianjin and Hebei； that in Fujian will focus on economic cooperation between the mainland and Taiwan； and the Shanghai zone will spearhead facilitation of investment and trade， full RMB convertibility， efficient supervision， and legal regulation.

Is Leukaemia Incurable？

Xinmin Weekly Issue No.16， 2016

Although leukaemia research in China doesnt have a long history， its progress has been remarkable. Chinese medical workers and scientists are not only of a caliber equal to that of their foreign peers， but have also made notable innovations and breakthroughs in certain areas. Whats more， they have developed drugs and therapies based on traditional Chinese medicine that have been accepted internationally.

Xinmin Weekly reporters recently visited three leading leukaemia research and treatment institutions in China – Shanghai-based Ruijin Hospital， Peking University Institute of Hematology， and the Tianjin-based Institute of Hematology and Blood Diseases Hospital （IH）， Chinese Academy of Medical Sciences & Peking Union Medical College.

The reporters witnessed the pressure on these faculties to find better drugs and therapies for victims of this disease， and to eventually find a cure. This will obviously take time， firm resolve and courage. “Treating leukaemia is difficult， but we are doing our utmost to overcome it. Humankind would not have advanced to its present level if we had just given up in face of difficulties，” is the opinion shared by generations of doctors and researchers.

A Code War

China Economic Weekly Issue No.16， 2016

There is a new warfare at large， one beyond the sight and imagination of the average person， but whose destructive effects are devastatingly apparent： A computer virus crippled more than 1，000 power plants worldwide in 2014； the Black Energy malware brought down the power supply system in at least three regions of Ukraine in 2015； and Ukraines Boryspil Airport computer network was attacked earlier this year.

The industrial control system， until recently believed to be secure， is increasingly a target for hackers. Its vulnerabilities and possible ways of breaking into it are minutely scrutinized and relentlessly pursued on the international black market. The system is prone to even greater risks in light of the integration of conventional industries with information technologies. In 2014 the control systems of 28.6 percent of enterprises worldwide were attacked， and the networks of 19.1 percent of them brought down.

At a time of ever more intelligent devices， the industrial control system has become the new battlefield in the war against cyber-attacks and terrorism.

Craftsmanship

China Weekly Issue No.4， 2016

China needs craftsmanship more than ever as it strives to transform itself into an innovative and intelligent manufacturing power， and as its products find their way to all corners of the globe.

Last year Chinese consumers spent RMB 1.2 trillion abroad， an embarrassing fact that domestic manufacturers cannot simply explain away as blind worship of anything foreign. What attracts Chinese buyers away from local products and draws them to certain foreign goods is their uncompromisingly fine standard of craftsmanship， which is rarely found at home.

China actually has a long tradition of craftsmanship， which did not burgeon in the West until the Renaissance， and was for centuries the home of highly skilled workers in various crafts.

By reviving its craftsmanship China will rediscover the charisma of its old traditions and legacies， and restore the confidence and dignity of the workers that forged the countrys reputation for excellent quality products.

Truth behind Cutting Excess Housing Inventory

Investor Journal Weekly Issue No.15， 2016

Wind Data reports that， as at April 21， 98 public real estate companies had released their 2015 annual reports. Among them， 86 were shown to be in the black， and 12 in the red. The real estate industry average net profits grew 32 percent over the 2014 low water mark， but average profits from sales slipped from 11.86 percent to 9.16 percent， the seventh successive drop in as many years.

The reports also reveal severe regional imbalances in housing inventory and seismic shifts in the housing market. The policy to shed excess inventory has consequently exerted varying impacts on different regions and companies.

Last year， in efforts to stimulate the housing market the state rolled out several measures， including lowering loan interest， tax， fees， and down payment requirements. The beneficial effect of this is obvious in big cities， where both sales and prices have risen. But the result in smaller ones is just the opposite.

In view of this regional disparity， many listed real estate companies are returning in droves to major cities in search of an industry vantage point.