China
Hong Kong’s future now lies with China
Author: Tim Summers, Chatham House
The past year and a half has transformed Hong Kong. Following prolonged, intense and often violent protest in 2019, COVID-19 drove activists off the streets in early 2020. This year’s passage of the National Security Law (NSL) by China’s National People’s Congress marked a new political phase. Opposition figures were put on the back foot and the central authorities in Beijing became more engaged in the city’s politics.
A year that began with a major protest march and the burning of HSBC Bank’s lion statues ended with opposition politicians fleeing into exile or facing prison sentences. What exactly has changed in Hong Kong and what are the implications? Two structural shifts stand out.
First, the balance of power within and over Hong Kong. The political momentum gathered by the protest movement weakened the city’s political institutions and from late 2019 Beijing began to fill this vacuum. It supported more restrictive policing of protests, appointed new officials to implement Hong Kong policy and widened its influence on the shaping of the policy environment within which the Hong Kong government operates.
Key to this strategy was the NSL. The boundaries of the crimes it outlaws — secession, subversion, terrorism and collaboration with foreign forces to undermine national security — will only become clear as more cases work their way through the judicial system. But claims that the law criminalises dissent look too simplistic.
Still, before the NSL was enacted it was already clear that Hong Kong’s government would be more assertive in using existing legislation to bring charges against opposition politicians. One consequence is the December imprisonment of political activist Joshua Wong and others on charges — to which they pleaded guilty — of organising an illegal siege of police headquarters in 2019.
Authorities pushed ahead with disqualifications of legislators from the Legislative Council (LegCo) who had been judged not to meet the requirements of conducting politics within the scope of Hong Kong’s Basic Law. The decision by the remaining 15 opposition legislators to resign in sympathy leaves only establishment camp figures to debate legislation.
This offers some space for the government to push forward its agenda in a way not possible since the current dysfunctional LegCo began its term in 2016. But much of the population remains critical of both the Hong Kong and central governments. Elections next autumn — postponed because of the pandemic — will likely show that Hong Kong’s politics remain polarised. Still, the balance of power has shifted in Beijing’s favour.
The second major change is in Hong Kong’s external relationships. Since the announcement of the NSL, Western governments have shifted their positions from concern about developments to strong opposition to the new legislation and to Beijing’s approach to Hong Kong.
Hong Kong’s separate trading status is no longer recognised by the United States and there are some calls for the United Kingdom to follow suit. A number of Western governments have withdrawn from Hong Kong extradition agreements and the United Kingdom announced a ‘pathway to citizenship’ for up to three million holders of British National (Overseas) (BNO) passports. This policy could transform some UK cities as much as it changes Hong Kong.
For all the insistence that the 1984 Sino-British Joint Declaration remains valid, a number of these measures (including the BNO scheme) are inconsistent with what was agreed. Some lobbying in the United Kingdom for foreign non-permanent judges to stand down from Hong Kong’s Court of Final Appeal targets another key feature of the handover settlement. Beijing has long said that the Joint Declaration had already done its job and now it looks like it is losing relevance on both sides.
How will all of this play out? Hong Kong’s political contestation will remain fierce through 2021. All the protagonists strongly believe they have right on their side, with both the Joint Declaration and China’s constitution held aloft to prove debating points. Beijing seems unmoved in the face of international and local pressure. It has geography, history and sovereignty on its side, plus Hong Kong’s economic reliance on mainland China. China’s leaders are willing to stay the course to shape Hong Kong according to their understanding of ‘one country, two systems’.
Political pressure in London is strong, boosted by the Hong Kong activists who chose to go into
China
China Unveils Plan to Upgrade Industrial Equipment
China unveiled a comprehensive action plan for upgrading industrial equipment, with a focus on driving technological innovation and economic growth. The plan, released on April 9, 2024, aims to enhance competitiveness and sustainability within the manufacturing sector through extensive investment and regulatory support.
China announced an ambitious action plan for industrial equipment upgrading, which aims to drive technological innovation and economic growth through extensive investment and regulatory support.
On April 9, 2024, China’s Ministry of Industry and Information Technology (MIIT) and six other departments jointly released a notice introducing the Implementation Plan for Promoting Equipment Renewal in the Industrial Sector (hereafter referred to as the “action plan”).
Finalized earlier on March 23, 2024, this comprehensive action plan addresses critical issues related to technological innovation and economic development. It reflects China’s proactive stance in enhancing competitiveness and sustainability within its manufacturing sector. The initiative underscores the recognition of industrial equipment upgrading as a top policy priority.
The scope of China’s action plan to upgrade industrial equipment in manufacturing, is extensive, covering various aspects such as:
In line with China’s ambitious goals for industrial modernization and sustainable development, the action plan outlines several key objectives aimed at driving substantial advancements in the industrial sector by 2027.
These objectives encompass a wide range of areas, from increasing investment to enhancing digitalization and promoting innovation, including:
The objectives and key actions proposed in the action plan are summarized below.
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
China deepens engagement with new Indonesian president as top diplomat visits Jakarta
China’s top diplomat met the outgoing Indonesian president and his successor in Jakarta on Thursday, as Beijing deepened its engagement with future leader Prabowo Subianto, amid a competition for regional influence with the United States.
The meeting with Chinese Foreign Minister Wang Yi was part of a joint commitment to advance the partnership between the two countries, said Prabowo, who visited Beijing in early April after his landslide win in the February general election.
“It is a great honor for me to welcome him [Wang] today. Thank you for the kind reception I received in Beijing a few weeks ago,” Prabowo said, according to an Indonesian defense ministry statement.
Chinese President Xi Jinping had invited Prabowo to visit, and the latter accepting the invitation raised eyebrows in Indonesia because no president-elect had made a foreign visit such as this one without being sworn in. China is Indonesia’s largest trading partner.
Wang, too, mentioned Prabowo’s Beijing trip, according to the same statement.
“We really appreciate and welcome Defense Minister Prabowo’s visit to China,” he said.
“We are committed to continuing to increase bilateral cooperation with Indonesia, both in the defense sector and other fields such as economic, social and cultural.”
Wang is scheduled to go to East Nusa Tenggara province on Friday to attend the China-Indonesia High-Level Dialogue Cooperation Mechanism, a process to support more effective bilateral cooperation. His Jakarta stop was the first of a six-day tour that also includes Cambodia and Papua New Guinea.
Prabowo and Wang discussed cooperation in the defense industry and sector, with potential measures such as educational and training collaboration, as well as joint exercises, said Brig. Gen. Edwin Adrian Sumantha, spokesman at the Indonesian defense ministry.
In fact, the ministry statement said that “China is Indonesia’s close partner and has had close bilateral relations, especially in the defense sector, for a long time.”
Of course, China has also invested billions of U.S. dollars in infrastructure projects in Indonesia, including as part of Beijing’s Belt and Road Initiative – the Jakarta-Bandung high-speed train, which began commercial operations in October 2023, is one such BRI project.
The two countries have drawn closer during outgoing President Joko “Jokowi” Widodo’s two terms, and Beijing would like that to continue as the U.S. tries to catch up with China’s gargantuan influence in Southeast Asia, analysts have said.
Indonesia, China call for ceasefire in Gaza
Both Indonesia and China shared the same position on Israel’s devastating attacks on Gaza, said Wang’s Indonesian counterpart, Retno Marsudi.
Israel’s air and ground strikes have killed more than 33,000 Palestinians following the Oct. 7 attack on the Jewish state by Palestinian militant group Hamas, which killed around 1,100 Israelis.
“We … have the same view regarding the importance of a ceasefire in Gaza and resolving the Palestinian problem fairly through two state solutions,” Retno told reporters in a joint press conference after meeting with Wang.
“Indonesia will support full Palestinian membership in the U.N. Middle East stability will not be realized without resolving the Palestinian issue.”
For his part, Wang slammed Washington for repeatedly vetoing resolutions calling for Israel to end the attacks on the Palestinian territory it occupies.
“The conflict in Gaza has lasted for half a year and caused a rare humanitarian tragedy in the 21st century,” Wang told the media at the same press conference, according to the Associated Press.
“The United Nations Security Council responded to the call of the international community and continued to review the resolution draft on the cease-fire in Gaza, but it was repeatedly vetoed by the United States.”
The conflict in the Middle East offered a strategic opportunity for China to further expand its influence in Southeast Asia, said Muhamad Arif, a lecturer in international relations at the University of Indonesia.
“China is trying to strengthen its position as a key player in the region,” Arief told BenarNews.
China could present an alternative approach to the conflict in Gaza, he said, which may find approval in Southeast Asia’s largest country, Indonesia, and other Mulism-majority states in the region, such as Malaysia and Brunei.
BenarNews is an RFA-affiliated online news organization.
Read the rest of this article here >>> China deepens engagement with new Indonesian president as top diplomat visits Jakarta
China
New Publication: A Guide for Foreign Investors on Navigating China’s New Company Law
The sixth revision of China’s Company Law is the most extensive amendment in history, impacting foreign invested enterprises with stricter rules on capital injection and corporate governance. Most FIEs must align with the New Company Law by July 1, 2024, with a deadline of December 31, 2024 for adjustments. Contact Dezan Shira & Associates for assistance.
The sixth revision of China’s Company Law represents the most extensive amendment in its history. From stricter capital injection rules to enhanced corporate governance, the changes introduced in the New Company Law have far-reaching implications for businesses, including foreign invested enterprises (FIEs) operating in or entering the China market.
Since January 1, 2020, the Company Law has governed both wholly foreign-owned enterprises (WFOEs) and joint ventures (JVs), following the enactment of the Foreign Investment Law (FIL). Most FIEs must align with the provisions of the New Company Law from July 1, 2024, while those established before January 1, 2020 have bit more time for adjustments due to the five-year grace period provided by the FIL. The final deadline for their alignment is December 31, 2024.
In this publication, we guide foreign investors through the implications of the New Company Law for existing and new FIEs and relevant stakeholders. We begin with an overview of the revision’s background and objectives, followed by a summary of key changes. Our in-depth analysis, from a foreign stakeholder perspective, illuminates the practical implications. Lastly, we explore tax impacts alongside the revisions, demonstrating how the New Company Law may shape future business transactions and arrangements.
If you or your company require assistance with Company Law adjustments in China, please do not hesitate to contact Dezan Shira & Associates. For more information, feel free to reach us via email at china@dezshira.com.
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 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
- Lingang New Area in Shanghai Opens First Cross-Border Data Service Center to Streamline Data Export Process
- A Concise Guide to the Verification Letter of Invitation Requirement in the China Visa Process
- Uyghurs remember 1990 Baren Uprising over China’s forced abortions
