China
Myanmar’s unsteady exit from China’s orbit
Author: Thomas Bernhardt, Vienna
When Myanmar’s military regime began opening up the country politically and economically in 2010, one motive was to alleviate the country’s overreliance on China. Ten years down the road, in the context of China’s Belt and Road Initiative (BRI) and the threat of new Western sanctions triggered by human rights violations against the Muslim Rohingya minority, China’s influence appears hardly diminished.
When the quasi-civilian government under former president Thein Sein took over from the military junta in 2011, it launched a plethora of reforms to liberalise Myanmar’s economy and its political system. Driven partly by the desire of rapprochement with the West, the new administration introduced free elections, restored civic and political rights and released political prisoners. In response, Western nations started to re-engage with Myanmar — lifting sanctions, writing off debt and disbursing development aid again.
On the economic front, signature reforms included the Foreign Investment Law of 2012, which facilitated the flow of foreign capital into Myanmar. The state’s monopoly in the telecom sector was ended and licenses issued to three foreign providers. In 2014, the Special Economic Zone (SEZ) Law was introduced to spearhead business environment improvements. The government also liberalised international trade by lifting state controls, easing licensing requirements and opening previously closed sectors to private sector trading.
The economic reform momentum slowed down when a new government led by the former opposition party, the National League for Democracy (NLD), took over in 2016. Under the leadership of State Counsellor Aung San Suu Kyi, its initial focus was on peace, national reconciliation and cementing the democratic transition. In October 2016, the humanitarian crisis in Rakhine State pushed economic policy-making further to the back seat, disenchanting the business community.
That same month, though, the parliament enacted the revamped Myanmar Investment Law, creating a level playing field between domestic and foreign investors. The Myanmar Companies Law followed in 2018. It allows foreigners to have stakes of up to 35 per cent in domestic enterprises without prior approval from the regulator while maintaining local status.
More recently, the insurance industry opened up and the wholesale, retail and banking sectors were further liberalised. In 2019, four new laws were passed to improve protection of intellectual property rights, addressing a key concern of Western investors.
Many of these reforms were partly driven by the desire to lure Western companies into investing in or doing business with Myanmar enterprises. Step by step, Myanmar was re-integrated into the international community and global economy. Its external trade took off and foreign capital started to flow in. Between 2010 and 2018, cross-border trade expanded by almost 20 per cent a year. Exports to the West grew even faster — by around 40 per cent annually to the European Union and more than 80 per cent annually to the United States.
But after the atrocities against the Rohingya became public, Western politicians turned sceptical. Both the European Union and the United States imposed sanctions against Myanmar military and police commanders and threatened to withdraw preferential market access. Germany suspended its development cooperation with Myanmar.
Yet the mood changed more slowly among Western businesses. Myanmar exports to the West continued to increase after 2016, although export growth to the United States decelerated. Western foreign direct investment (FDI) also kept flowing in, albeit in smaller amounts.
Despite this rapid trade surge, EU and US shares in Myanmar’s total merchandise exports — 17 and 3.2 per cent, respectively — pale in comparison to China’s, which accounts for around 30 per cent. China also supplies a third of Myanmar’s imports, compared to merely 4 per cent for the European Union and 2 per cent for the United States.
Myanmar’s tourism sector — which contributes 7 per cent to GDP — increasingly relies on Chinese visitors. Up until the outbreak of COVID-19, arrivals from China were booming thanks to relaxed visa rules. In 2018, as the number of European and North American tourists declined, Chinese travellers were the largest group to visit the country.
Moreover, over the last decade, close to a third of FDI into Myanmar came from China compared to only 6.6 per cent from the European Union and 0.63 per cent from the United States. Since…
China
New Report from Dezan Shira & Associates: China Takes the Lead in Emerging Asia Manufacturing Index 2024
China has been the world’s largest manufacturer for 14 years, producing one-third of global manufacturing output. In the Emerging Asia Manufacturing Index 2024, China ranks highest among eight emerging countries in the region. Challenges for these countries include global demand disparities affecting industrial output and export orders.
Known as the “World’s Factory”, China has held the title of the world’s largest manufacturer for 14 consecutive years, starting from 2010. Its factories churn out approximately one-third of the global manufacturing output, a testament to its industrial might and capacity.
China’s dominant role as the world’s sole manufacturing power is reaffirmed in Dezan Shira & Associates’ Emerging Asia Manufacturing Index 2024 report (“EAMI 2024”), in which China secures the top spot among eight emerging countries in the Asia-Pacific region. The other seven economies are India, Indonesia, Malaysia, the Philippines, Thailand, Vietnam, and Bangladesh.
The EAMI 2024 aims to assess the potential of these eight economies, navigate the risks, and pinpoint specific factors affecting the manufacturing landscape.
In this article, we delve into the key findings of the EAMI 2024 report and navigate China’s advantages and disadvantages in the manufacturing sector, placing them within the Asia-Pacific comparative context.
Emerging Asia countries face various challenges, especially in the current phase of increased volatility, uncertainty, complexity, and ambiguity (VUCA). One notable challenge is the impact of global demand disparities on the manufacturing sector, affecting industrial output and export orders.
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
Is journalist Vicky Xu preparing to return to China?
Chinese social media influencers have recently claimed that prominent Chinese-born Australian journalist Vicky Xu had posted a message saying she planned to return to China.
There is no evidence for this. The source did not provide evidence to support the claim, and Xu herself later confirmed to AFCL that she has no such plans.
Currently working as an analyst at the Australian Strategic Policy Institute, or ASPI, Xu has previously written for both the Australian Broadcasting Corporation, or ABC, and The New York Times.
A Chinese language netizen on X initially claimed on March 31 that the changing geopolitical relations between Sydney and Beijing had caused Xu to become an expendable asset and that she had posted a message expressing a strong desire to return to China. An illegible, blurred photo of the supposed message accompanied the post.
This claim was retweeted by a widely followed influencer on the popular Chinese social media site Weibo one day later, who additionally commented that Xu was a “traitor” who had been abandoned by Australian media.
Following the publication of an ASPI article in 2021 which exposed forced labor conditions in Xinjiang co-authored by Xu, the journalist was labeled “morally bankrupt” and “anti-China” by the Chinese state owned media outlet Global Times and subjected to an influx of threatening messages and digital abuse, eventually forcing her to temporarily close several of her social media accounts.
AFCL found that neither Xu’s active X nor LinkedIn account has any mention of her supposed return to China, and received the following response from Xu herself about the rumor:
“I can confirm that I don’t have plans to go back to China. I think if I do go back I’ll most definitely be detained or imprisoned – so the only career I’ll be having is probably going to be prison labor or something like that, which wouldn’t be ideal.”
Neither a keyword search nor reverse image search on the photo attached to the original X post turned up any text from Xu supporting the netizens’ claims.
Translated by Shen Ke. Edited by Shen Ke and Malcolm Foster.
Asia Fact Check Lab (AFCL) was established to counter disinformation in today’s complex media environment. We publish fact-checks, media-watches and in-depth reports that aim to sharpen and deepen our readers’ understanding of current affairs and public issues. If you like our content, you can also follow us on Facebook, Instagram and X.
Read the rest of this article here >>> Is journalist Vicky Xu preparing to return to China?
China
Guide for Foreign Residents: Obtaining a Certificate of No Criminal Record in China
Foreign residents in China can request a criminal record check from their local security bureau. This certificate may be required for visa applications or job opportunities. Requirements and procedures vary by city. In Shanghai, foreigners must have lived there for 180 days with a valid visa to obtain the certificate.
Foreign residents living in China can request a criminal record check from the local security bureau in the city in which they have lived for at least 180 days. Certificates of no criminal record may be required for people leaving China, or those who are starting a new position in China and applying for a new visa or residence permit. Taking Shanghai as an example, we outline the requirements for obtaining a China criminal record check.
Securing a Certificate of No Criminal Record, often referred to as a criminal record or criminal background check, is a crucial step for various employment opportunities, as well as visa applications and residency permits in China. Nevertheless, navigating the process can be a daunting task due to bureaucratic procedures and language barriers.
In this article, we use Shanghai as an example to explore the essential information and steps required to successfully obtain a no-criminal record check. Requirements and procedures may differ in other cities and counties in China.
Note that foreigners who are not currently living in China and need a criminal record check to apply for a Chinese visa must obtain the certificate from their country of residence or nationality, and have it notarized by a Chinese embassy or consulate in that country.
Foreigners who have a valid residence permit and have lived in Shanghai for at least 180 days can request a criminal record check in the city. This means that the applicant will also need to currently have a work, study, or other form of visa or stay permit that allows them to live in China long-term.
If a foreigner has lived in another part of China and is planning to or has recently moved to Shanghai, they will need to request a criminal record check in the place where they previously spent at least 180 days.
There are two steps to obtaining a criminal record certificate in Shanghai: requesting the criminal record check from the Public Security Bureau (PSB) and getting the resulting Certificate of No Criminal Record notarized by an authorized notary agency.
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.
- New Report from Dezan Shira & Associates: China Takes the Lead in Emerging Asia Manufacturing Index 2024
- Is journalist Vicky Xu preparing to return to China?
- Guide for Foreign Residents: Obtaining a Certificate of No Criminal Record in China
- China Unveils Plan to Upgrade Industrial Equipment
- China deepens engagement with new Indonesian president as top diplomat visits Jakarta
- New Publication: A Guide for Foreign Investors on Navigating China’s New Company Law
