China
Satellite Hack Attempt Shows U.S. Blind Spot
Associated Press/U.S. Navy A U.S. Navy satellite launched in Kodiak, Alaska, in September. The commander of U.S. military space operations says he lacks sufficient data to determine who interfered with two U.S. government satellites through a ground station in Norway, as revealed in a report on China sent to the U.S. Congress on Wednesday. “The best information that I have is that we cannot attribute those two occurrences,” the Reuters news agency quoted General Robert Kehler, commander of the U.S. Strategic Command, as saying in a teleconference. “I guess I would agree that we don’t have sufficient detail,” he said. Gen. Kehler was speaking on the same day that Australian authorities said they had not consulted the U.S. before allowing China to use a ground station in Western Australia that is run by a Swedish state-owned company and is also used by NASA. The bipartisan U.S.-China Economic Security and Review Commission, which was created by Congress, said in its 2011 annual report that at least two U.S. environment-monitoring satellites were interfered with four or more times in 2007 and 2008. It didn’t say how, but earlier drafts of the report that were made public said the interfence was conducted through the Svalbard ground station in Spitsbergen, Norway. The ground station is owned and run by Kongsberg Satellite Services, which is owned 50/50 by a Norwegian state company and a private Norwegian defense company. Kongsberg Satellite Services has denied there was any such interference through its ground station. The 12-member commission said in the report released on Wednesday that the interference had not been traced directly to China, but that the techniques used “appear consistent with authoritative Chinese military writings” that have advocated disabling an enemy’s satellite control facilities on the ground in a conflict. “If executed successfully, such interference has the potential to pose numerous threats, particularly if achieved against satellites with more sensitive functions. For example, access to a satellite’s controls could allow an attacker to damage or destroy the satellite. The attacker could also deny or degrade as well as forge or otherwise manipulate the satellite’s transmission,” it said. The report also said that China’s military continued to play a central role in civil space activities, and directly controlled the manned space program, noting that “ground-based infrastructure enables all space operations.” It recommended that Congress mandate that the Pentagon and other government space operators to assess and report on their “preparedness for potential Chinese counterspace activities.” “To the extent that commercial entities provide essential services, assessments should also cover their systems,” it said. China has maintained that its space ambitions are peaceful and that it is often a victim itself of such intrusions. China’s embassy in Washington said in response that it was “obvious that the commission is entrusted with the mission of vilifying China’s image and spreading China threat theory by patching up unwarranted allegations against China,” according to Reuters. “We urge the commission to stop issuing such reports for the good of increasing mutual trust between our two countries while China will continue to play a responsible role in both the realistic and the virtual worlds,” the agency quoted Wang Baodong, the embassy spokesman, as saying in an email. – Jeremy Page
- Associated Press/U.S. Navy
- A U.S. Navy satellite launched in Kodiak, Alaska, in September.
The commander of U.S. military space operations says he lacks sufficient data to determine who interfered with two U.S. government satellites through a ground station in Norway, as revealed in a report on China sent to the U.S. Congress on Wednesday.
“The best information that I have is that we cannot attribute those two occurrences,” the Reuters news agency quoted General Robert Kehler, commander of the U.S. Strategic Command, as saying in a teleconference.
“I guess I would agree that we don’t have sufficient detail,” he said.
Gen. Kehler was speaking on the same day that Australian authorities said they had not consulted the U.S. before allowing China to use a ground station in Western Australia that is run by a Swedish state-owned company and is also used by NASA.
The bipartisan U.S.-China Economic Security and Review Commission, which was created by Congress, said in its 2011 annual report that at least two U.S. environment-monitoring satellites were interfered with four or more times in 2007 and 2008.
It didn’t say how, but earlier drafts of the report that were made public said the interfence was conducted through the Svalbard ground station in Spitsbergen, Norway. The ground station is owned and run by Kongsberg Satellite Services, which is owned 50/50 by a Norwegian state company and a private Norwegian defense company. Kongsberg Satellite Services has denied there was any such interference through its ground station.
The 12-member commission said in the report released on Wednesday that the interference had not been traced directly to China, but that the techniques used “appear consistent with authoritative Chinese military writings” that have advocated disabling an enemy’s satellite control facilities on the ground in a conflict.
“If executed successfully, such interference has the potential to pose numerous threats, particularly if achieved against satellites with more sensitive functions. For example, access to a satellite’s controls could allow an attacker to damage or destroy the satellite. The attacker could also deny or degrade as well as forge or otherwise manipulate the satellite’s transmission,” it said.
The report also said that China’s military continued to play a central role in civil space activities, and directly controlled the manned space program, noting that “ground-based infrastructure enables all space operations.”
It recommended that Congress mandate that the Pentagon and other government space operators to assess and report on their “preparedness for potential Chinese counterspace activities.”
“To the extent that commercial entities provide essential services, assessments should also cover their systems,” it said.
China has maintained that its space ambitions are peaceful and that it is often a victim itself of such intrusions.
China’s embassy in Washington said in response that it was “obvious that the commission is entrusted with the mission of vilifying China’s image and spreading China threat theory by patching up unwarranted allegations against China,” according to Reuters.
“We urge the commission to stop issuing such reports for the good of increasing mutual trust between our two countries while China will continue to play a responsible role in both the realistic and the virtual worlds,” the agency quoted Wang Baodong, the embassy spokesman, as saying in an email.
– Jeremy Page
After keeping its currency tightly linked to the US dollar for years, China in July 2005 revalued its currency by 2 % against the US dollar and moved to an exchange rate system that references a basket of currencies.
In 2009, the global economic downturn reduced foreign demand for Chinese exports for the first time in many years.
China has emphasized raising personal income and consumption and introducing new management systems to help increase productivity.
Available energy is insufficient to run at fully installed industrial capacity, and the transport system is inadequate to move sufficient quantities of such critical items as coal.
The disparities between the two sectors have combined to form an economic-cultural-social gap between the rural and urban areas, which is a major division in Chinese society.
The technological level and quality standards of its industry as a whole are still fairly low, notwithstanding a marked change since 2000, spurred in part by foreign investment.
The market-oriented reforms China has implemented over the past two decades have unleashed individual initiative and entrepreneurship, whilst retaining state domination of the economy.
On top of this, foreign direct investment (FDI) this year was set to “surpass $100 billion”, compared to $90 billion last year, ministry officials predicted.
” Although the figure is already “quite amazing,” the volume is “not large enough” considering China’s economic growth and local companies’ expanding demand for international opportunities, Shen said.
It also aims to sell more than 15 million of the most fuel-efficient vehicles in the world each year by then.
Although China is still a developing country with a relatively low per capita income, it has experienced tremendous economic growth since the late 1970s.
Agriculture is by far the leading occupation, involving over 50% of the population, although extensive rough, high terrain and large arid areas – especially in the west and north – limit cultivation to only about 10% of the land surface.
China is the world’s largest producer of rice and wheat and a major producer of sweet potatoes, sorghum, millet, barley, peanuts, corn, soybeans, and potatoes.
Horses, donkeys, and mules are work animals in the north, while oxen and water buffalo are used for plowing chiefly in the south.
Offshore exploration has become important to meeting domestic needs; massive deposits off the coasts are believed to exceed all the world’s known oil reserves.
There are large deposits of uranium in the northwest, especially in Xinjiang; there are also mines in Jiangxi and Guangdong provs.
Hydroelectric projects exist in provinces served by major rivers where near-surface coal is not abundant.
As part of its continuing effort to become competitive in the global marketplace, China joined the World Trade Organization in 2001; its major trade partners are the United States, Japan, South Korea, Taiwan, and Germany.
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Satellite Hack Attempt Shows U.S. Blind Spot
China
Outlook on Bilateral Trade and Investment between China and United Arab Emirates (UAE)
The UAE and China have a strong partnership, with the UAE being China’s top trade partner in the Arab world. Both countries collaborate on various sectors like logistics and technology, showcasing mutual commitment to economic growth and global cooperation. High-level trade and investments continue to drive their relationship.
The UAE and China share a robust partnership integral to both countries’ development and foreign policy goals, exemplifying a model of collaboration. Bilateral trade thrives, with the UAE as China’s top trade partner in the Arab world, while investments span key sectors like logistics and technology. This comprehensive strategic partnership continues to evolve, showcasing mutual commitment to economic growth and global cooperation.
The United Arab Emirates (UAE) holds a significant position in China’s trade and commercial connections within the Middle East, particularly in the Arab Gulf region. This partnership is integral to China’s broader strategic initiatives, including the Belt and Road Initiative (BRI), which the UAE actively supports.
Additionally, the UAE plays a crucial role in advancing China’s foreign policy objectives, such as enhancing South-South cooperation, particularly in technical collaboration among developing nations and the Global South in areas like resources and technology.
In this article, we delve into the dynamics of bilateral trade and investment between the UAE and China, exploring the key factors driving their economic relationship and the opportunities it presents for mutual growth and prosperity.
China and the UAE first established their diplomatic relations in 1984. While China has an embassy in Abu Dhabi and a consulate general in Dubai, the UAE has a consulate general in Hong Kong and an embassy in Beijing. China and the UAE have long been close partners, collaborating extensively on economic, political, and cultural fronts.
In 2018, Chinese President Xi Jinping went on a state visit to the UAE, making history as the first Chinese head of state to visit the country in the previous 29 years. The visit was instrumental in lifting bilateral relations to a ‘comprehensive strategic partnership’.
High-level trade has always been the foundation of bilateral ties. Bilateral commerce between China and the UAE reached new heights in 2021, surpassing US$75.6 billion. Additionally, as of 2022, about 6,000 Chinese businesses operate in the UAE, with a sizable Chinese population working primarily in the infrastructure and energy sectors. The UAE is also China’s second-largest economic partner in the Middle East, after Saudi Arabia.
This article is republished from China Briefing. Read the rest of the original article.
China Briefing is written and produced by Dezan Shira & Associates. The practice assists foreign investors into China and has done since 1992 through offices in Beijing, Tianjin, Dalian, Qingdao, Shanghai, Hangzhou, Ningbo, Suzhou, Guangzhou, Dongguan, Zhongshan, Shenzhen, and Hong Kong. Please contact the firm for assistance in China at china@dezshira.com.
China
2024 Tax Incentives for Manufacturing Companies in China
China offers various tax incentives to boost the manufacturing industry. The Ministry of Finance and State Tax Administration provide guidelines on eligibility and policies. VAT exemptions and refunds are available for companies producing specific goods or services, with a monthly refund option for deferred taxes.
China implements a wide range of preferential tax policies to encourage the development of the country’s manufacturing industry. We summarize some of the main manufacturing tax incentives in China and explain the basic eligibility requirements that companies must meet to enjoy them.
China’s Ministry of Finance (MOF) and State Tax Administration (STA) have released guidelines on the main preferential tax and fee policies available to the manufacturing industry in China. The guidelines consolidate the main preferential policies currently in force and explain the main eligibility requirements to enjoy them.
To further assist companies in identifying the preferential policies available to them, we have outlined some of the main policies currently available in the manufacturing industry, including links to further resources.
For instance, VAT is exempted for:
Companies providing the following products and services can enjoy immediate VAT refunds:
Companies in the manufacturing industry that meet the conditions for deferring tax refunds can enjoy a VAT credit refund policy. The policy allows companies to receive the accumulated deferred tax amount every month and the remaining deferred tax amount in a lump sum.
The policy is not exclusive to the manufacturing industry and is also available to companies in scientific research and technical services, utilities production and supply, software and IT services, and many more.
This article is republished from China Briefing. Read the rest of the original article.
China Briefing is written and produced by Dezan Shira & Associates. The practice assists foreign investors into China and has done since 1992 through offices in Beijing, Tianjin, Dalian, Qingdao, Shanghai, Hangzhou, Ningbo, Suzhou, Guangzhou, Dongguan, Zhongshan, Shenzhen, and Hong Kong. Please contact the firm for assistance in China at china@dezshira.com.
China
Exploring the Revamped China Certified Emission Reduction (CCER) Program: Potential Benefits for International Businesses
Companies in China must navigate compliance, trading, and reporting within the CCER framework, impacting operations and strategic objectives. The program focuses on afforestation, solar, wind power, and mangrove creation, offering opportunities for innovation and revenue streams while ensuring transparency and accuracy. The Ministry of Ecology and Environment oversees the program.
As companies navigate the complexities of compliance, trading, and reporting within the CCER framework, they must also contend with the broader implications for their operations, finances, and strategic objectives.
This article explores the multifaceted impact of the CCER program on companies operating in China, examining both the opportunities for innovation and growth, as well as the potential risks and compliance considerations.
Initially, the CCER will focus on four sectors: afforestation, solar thermal power, offshore wind power, and mangrove vegetation creation. Companies operating within these sectors can register their accredited carbon reduction credits in the CCER system for trading purposes. These sectors were chosen due to their reliance on carbon credit sales for profitability. For instance, offshore wind power generation, as more costly than onshore alternatives, stands to benefit from additional revenue streams facilitated by CCER transactions.
Currently, primary buyers are expected to be high-emission enterprises seeking to offset their excess emissions and companies aiming to demonstrate corporate social responsibility by contributing to environmental conservation. Eventually, the program aims to allow individuals to purchase credits to offset their carbon footprints. Unlike the mandatory national ETS, the revamped CCER scheme permits any enterprise to buy carbon credits, thereby expanding the market scope.
The Ministry of Ecology and Environment (MEE) oversees the CCER program, having assumed responsibility for climate change initiatives from the National Development and Reform Commission (NDRC) in 2018. Verification agencies and project operators are mandated to ensure transparency and accuracy in disclosing project details and carbon reduction practices.
On the second day after the launch on January 23, the first transaction in China’s voluntary carbon market saw the China National Offshore Oil Corporation (CNOOC), the country’s largest offshore oil and gas producer, purchase 250,000 tons of carbon credits to offset its emissions.
This article is republished from China Briefing. Read the rest of the original article.
China Briefing is written and produced by Dezan Shira & Associates. The practice assists foreign investors into China and has done since 1992 through offices in Beijing, Tianjin, Dalian, Qingdao, Shanghai, Hangzhou, Ningbo, Suzhou, Guangzhou, Dongguan, Zhongshan, Shenzhen, and Hong Kong. Please contact the firm for assistance in China at china@dezshira.com.
- Outlook on Bilateral Trade and Investment between China and United Arab Emirates (UAE)
- 2024 Tax Incentives for Manufacturing Companies in China
- Exploring the Revamped China Certified Emission Reduction (CCER) Program: Potential Benefits for International Businesses
- China Implements New Policies to Boost Foreign Investment in Science and Technology Companies
- Q1 2024 Brief on Transfer Pricing in Asia
- New Report from Dezan Shira & Associates: China Takes the Lead in Emerging Asia Manufacturing Index 2024
