CRISIS Grows in China as CCP Spins in...

CRISIS Grows in China as CCP Spins in Factional Chaos!

Posted in the China Forum

CHINA HUMILIATED by CCP

Port Moody, Canada

#1 May 6, 2013
Policy battle rages in China as slowdown feeds 'sense of crisis'

Anti-reform hardliners in China's Communist Party have become seriously alarmed by the sharp slow-down in economic growth, creating a "task-force" to crank up production.

China's Caixin Magazine reports that there is a growing "sense of crisis" not felt since the depths of the global banking crash in 2008-2009.

By Ambrose Evans-Pritchard

4:17PM BST 06 May 2013

China's Caixin Magazine reports that there is a growing "sense of crisis" not felt since the depths of the global banking crash in 2008-2009.

The State-owned Assets Supervision and Administration Commission (SASAC) has assembled a team to "protect economic growth" and pressure state companies to boost jobs at all costs.

SASAC is the bastion of vested interests and controller of 115 state behemoths with assets above $6 trillion and lock on much of the economy.

The move comes amid further signs that growth is faltering across all fronts. HSBC's gauge of Chinese services fell three points to 51.1 in April, the lowest in almost two years.

The broader composite index also dropped sharply to a six-month low of 51.1 and is now barely above the contraction line, with new orders trailing badly. The economy grew 7.7pc in the first quarter, slower than expected.

The Shanghai index of stocks rolled over in early March and has given up the half the gains since the rally started late last year. It has dropped almost 60pc since its peak in 2008 and is now trading at levels comparable to 2003.

China's downturn is rippling through commodity markets, led by a major sell-off of base metals this year. Credit Suisse said the short-covering rally over the last few days is likely to prove a "dead cat bounce" as China's structural slow-down and a weakening global economy overwhelm all else. It expects copper to "bite the dust", falling to 2009 levels near $6,000 a tonne.

China's authorities have been trying to stop property speculation with loan curbs but it is proving hard to pop the housing boom without popping the economy itself.

New so China's growth task-force comes amid reports that SASAC has ordered state firms to go for expansion and disregard other objectives such as investing in new technology.

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CHINA HUMILIATED by CCP

Port Moody, Canada

#2 May 6, 2013
...
The policy drive cuts across efforts by the reformist premier Li Keqiang to wean China off uber-growth and shift to a different development model. He has asked China's State Council to study ways to cut growth to 7pc next year, deemed the safe speed limit.

Resistance from SASAC is thwarting his efforts to reduce Beijing's stifling control over production. State firms have grown fourfold since 2003, meaning that the economy is being renationalised. The unreformed behemoths gobble up most of the available bank credit even though many are loss-making, or are grossly inefficient.

Mr Li was a key sponsor of a report last year by China's Development Research Council and the World Bank warning that the country has already picked the low-hanging fruit of catch-up growth and can no longer rely on cheap exports and imported know-how.

The report has become the policy Bible for reformers. It said China risks languishing in the sort of "middle income trap" that has ensnared much of Latin America and the Middle East at different times, unless it embraces the free market and fosters bottom-up thinking.

"The forces supporting China's continued rapid progress are gradually fading. The government's dominance in key sectors, while earlier an advantage, is in the future likely to act as a constraint on creativity," it said.

"The role of the private sector is critical because innovation at the technology frontier is quite different in nature from catching up technologically. It is not something that can be achieved through government planning."

Mr Li faces powerful resistance from entrenched interests and those in the Politburo who fear that China risks a social explosion unless it keeps the economy on steroids.

Pressure is building for yet another burst of easy credit, even though the "economic efficiency" of debt is collapsing. The output gained from each extra yuan of credit has fallen from a ratio of 0.8 to 0.35 since 2008, a warning sign that the cycle has played out.

Fitch downgraded China's debt in April, warning that credit has already jumped from 125pc to 200pc of GDP in four years, much of it in shadow banking. While another burst of loans may boost growth in the short run, it risks storing up ever greater problems.

President Xi Jinping has yet to tip his hand in what amounts to a civil war over policy and China's economic destiny. Experts say he tilts back and forth between the reformist and dirigiste wings of the party. The Standing Committee appears evenly split.

The International Monetary Fund warned last week that China is in danger of becoming "old before it is rich" as the demographic crisis hits. The work-force has already begun to shrink, contracting by 3.5m last year.

The IMF said China and other emerging economies in Asia must embrace the rule of law, sound institutions, credit reform, and "limited government involvement in the economy", or risk falling into the middle income trap.
CCP FACTION WAR IN CHINA

Port Moody, Canada

#4 May 6, 2013
"President Xi Jinping has yet to tip his hand in what amounts to a civil war over policy and China's economic destiny. Experts say he tilts back and forth between the reformist and dirigiste wings of the party. The Standing Committee appears evenly split. "
CCP FACTION WAR IN CHINA

Port Moody, Canada

#5 May 6, 2013
The CCP regime is in SUCH A PANIC now, their Chinese slaves must be forced to pretend a weekend is a workday! Check this latest desperate CCP idiocy out:

To Silence Discontent, Chinese Officials Alter Workweek

by Louisa Lim

May 04, 2013 4:05 PM

Police in Chengdu, China, announced a "virtual combat exercise" over the weekend, which coincides with a planned protest authorities hope to thwart.

Louisa Lim/NPR

How do you prevent protests in China? Move the weekend.
That's the Orwellian step taken by local authorities in the southwestern city of Chengdu, the capital of Sichuan province. May 4 is a sensitive date commemorating an influential student movement in 1919. It's especially potent in Chengdu, where it marks the fifth anniversary of a protest against the construction of a $6 billion crude oil refinery and petrochemical facility in Pengzhou, 25 miles away.
As text messages circulated calling for another protest, authorities decided to fiddle with the calendar: For many, Saturday became a workday, and the day of rest was moved to Monday, May 6. So as Saturday dawned, schoolchildren straggled reluctantly back to class, and employees at government-run work units discovered the day was taken up by urgent meetings.
The authorities are fearful of public shows of discontent ahead of the Fortune Global Forum in June. The conference is a coming-out party for the city, crowning the construction of a massive new district in the south of Chengdu. So the police announced a "virtual combat exercise" this weekend, neatly coinciding with the planned protest.
At the appointed hour and location for would-be protesters — a covered bridge at the city center — at least five different kinds of security forces were on patrol. Police patrolled in pairs, with plainclothes police out in force and a fire engine handily parked down the street. At a nearby teahouse, several dozen anti-riot police dozed in their full gear, plastic handcuffs dangling from their vests, ready to spring into action should the need arise. Trucks of paramilitary police circled the town, while police patrolled university campuses.
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CCP FACTION WAR IN CHINA

Port Moody, Canada

#6 May 6, 2013
...
Enlarge image i
Protesters demonstrate against plans for a factory to produce paraxylene, a toxic chemical used to make fabrics, in China's Yunnan province on Saturday. In nearby Chengdu, planned protests were thwarted.

STR/AFP/Getty Images

Protesters demonstrate against plans for a factory to produce paraxylene, a toxic chemical used to make fabrics, in China's Yunnan province on Saturday. In nearby Chengdu, planned protests were thwarted.
STR/AFP/Getty Images The main square — overseen by a huge statue of Chairman Mao — was closed to visitors, with police officers stationed every 20 feet around its periphery. Though China now spends more on domestic security than on its military, such a citywide show of force is unprecedented.
The tentacles of the stability-maintenance machine go deep, and all of them swung into action in Chengdu. A woman who'd forwarded a message about the protest on social media was forced to apologize on television earlier in the week. At least 10 dissidents were put under house arrest or forced to "go on holiday," according to a local human rights website. Meanwhile, employees at state-run work units were warned that they'd be sacked if they protested.
Then there was an enormous leafleting campaign. Households received letters from the government calling for "everyone to stand firm and not believe rumors, and not participate [in protests] in order to prevent people with other motives from seizing this opportunity to create turmoil." The letters had the unintended effect of bringing the Pengzhou plant to the attention of those who hadn't already heard about it, creating an even greater groundswell of suppressed discontent.
With China's environmental crisis gathering pace after three decades of breakneck development, huge protests against plants producing a highly toxic chemical — paraxylene, also known as PX — have caused the government to halt construction of the petrochemical factories in the cities of Xiamen, Dalian and Ningbo in recent years. In Sichuan, fears are multiplied by the plant's location close to a fault line that has produced two major earthquakes, including the Wenchuan quake five years ago, which left around 90,000 people dead or missing. The government says the plant's future is under review and promises strict tests before production begins, but the precedent — an assessment of its environmental impact five years ago that did not halt its construction — has not inspired much public confidence.
Since any attempt to protest would clearly have been unwise, some citizens protested in silence by wearing facemasks. Given the levels of pollution, however, this was ineffective. Others commented wryly that the police show of force represented a new "Chengdu model" of dissent, where the actual marching had been outsourced to the security forces.
Meanwhile, in the neighboring province of Yunnan, hundreds of protesters marched against a PX plant in the city of Kunming. The authorities there had neglected to take the precaution of moving the weekend, leaving residents with plenty of time in which to protest.
CCP Faction WAR in CHINA

Surrey, Canada

#7 May 6, 2013
CCP FACTION WAR IN CHINA wrote:
"President Xi Jinping has yet to tip his hand in what amounts to a civil war over policy and China's economic destiny. Experts say he tilts back and forth between the reformist and dirigiste wings of the party. The Standing Committee appears evenly split. "
The Chinese Communist Party is obviously in total chaos.
CCP are MASS-MURDERERS

Port Moody, Canada

#8 May 7, 2013
"The main square — overseen by a huge statue of Chairman Mao — was closed to visitors, with police officers stationed every 20 feet around its periphery. Though China now spends more on domestic security than on its military, such a citywide show of force is unprecedented."

All of the city hates the CCP and are held prisoner.

Ask yourself how long such a regime will last.
CHINA CRASH

Surrey, Canada

#9 May 7, 2013
"State firms have grown fourfold since 2003, meaning that the economy is being renationalised. The unreformed behemoths gobble up most of the available bank credit even though many are loss-making, or are grossly inefficient. "

This is a picture of China's sad and impoverished past. But the Chinese Communist Party wants to make it China's future, in order to save itself.
CHINA HUMILIATED by CCP

Port Moody, Canada

#10 May 8, 2013
"The authorities are fearful of public shows of discontent ahead of the Fortune Global Forum in June. The conference is a coming-out party for the city, crowning the construction of a massive new district in the south of Chengdu. So the police announced a "virtual combat exercise" this weekend, neatly coinciding with the planned protest.
At the appointed hour and location for would-be protesters — a covered bridge at the city center — at least five different kinds of security forces were on patrol. Police patrolled in pairs, with plainclothes police out in force and a fire engine handily parked down the street. At a nearby teahouse, several dozen anti-riot police dozed in their full gear, plastic handcuffs dangling from their vests, ready to spring into action should the need arise. Trucks of paramilitary police circled the town, while police patrolled university campuses."

China is just one big prison.

So sad.
JUNE FOURTH MASSACRE

Port Moody, Canada

#11 May 21, 2013
The dying CCP is now in total damage control!

China's New Governing Style: Crisis Management

As its recent experience in Kunming shows, Beijing can handle environmental protests. But is this approach sustainable in the long term?
Elizabeth Economy May 20 2013, 12:18 PM ET

Residents wearing masks hold papers written with slogans such as "PX get out of Kunming" and "I love Kunming", as they protest against a planned refinery which produces the chemical paraxylene (PX), at a square in Kunming, Yunnan province, May 4, 2013.(Wong Campion/Reuters)
Kunming, the capital city of Yunnan province, has become the latest city in China to be rocked by environmental protest. On May 4 and then again on May 16, 1,000 to 2,000 protesters took to the streets to demonstrate against the construction of an oil and chemical refinery in the nearby city of Anning by the state-run oil company China National Petroleum Corporation.

Kunming Mayor Li Weirong attempted to placate the protesters -- offering to open a personal Weibo account through which residents could communicate with him and even promising that the project wouldn't continue if "most of our people don't agree with it." The South China Morning Post offers a fascinating blow-by-blow account of the beleaguered mayor's interaction with the protesters.

It is tempting simply to add the Kunming protest to the growing list of Chinese urban environmental protests, and note once again that the Communist Party has not found the right balance between economic development and environmental protection. However, the real significance of these protests is that they signal the failure of Chinese institutions to adapt to the changing needs and demands of the people for a greater voice in the political process. Environmental politics has become a game of crisis management.
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JUNE FOURTH MASSACRE

Port Moody, Canada

#12 May 21, 2013
...

Formally, there are a few ways in which Chinese citizens can participate in environmental decision-making. For one, they can take part in reviewing environmental impact assessments for proposed large projects in their neighborhoods. As Chinese scholars have noted, however, there are a number of limitations to this process: only a small percentage of projects are subjected to compulsory public participation; the timing and duration of engaging the public is short; the method of selecting those who can participate is often biased; and the amount of information actually disclosed is often quite limited in an effort to prevent social unrest.

Chinese citizens also have the right to engage the system through a formal complaint system: writing letters to local environmental protection bureaus complaining of air, water, and waste-pollution. According to the 2010 Environmental Statistical Yearbook, in 2010, there were over 700,000 such complaints. During the 11th Five-Year Plan, the Ministry of Environmental Protection, itself, received 300,000 petitions on environmental matters. But complaining is one thing -- getting something done about it is another. All told, there were only 980 administrative court cases about environmental impact assessments and only thirty criminal cases from 2006 to 2010. It is estimated that not even 1 percent of environmental disputes are resolved in court.

Non-governmental organizations are an important force in pushing for transparency in China's environmental situation, but their success is limited. The Institute for Public Environment and the U.S.-based Natural Resources Defense Council have joined forces since 2009 to prod local officials to release the environmental data required by law, and publish an annual transparency ranking for 113 Chinese cities. Some local officials have gotten the message. One official from Hunan Province People's Congress uses his Weibo account to "name and shame" polluters, leading one named company to put in place new environmental clean-up technology. Many other officials, however, continue to ignore the NGOs' efforts.

Without effective political institutions, what is emerging in China at the local level is governance by crisis management. Local officials, petrified by these mass protests, simply bow to the will of the demonstrators. While this may keep the peace in the short-term, it is not a recipe for good governance over the longer-term. China need only look at the experience of Thailand, the Philippines, and South Korea to understand how failure to address people's calls for greater participation in environmental decision-making may contribute to far greater political challenges for the ruling government.
CCP is HATED in CHINA

Surrey, Canada

#13 Jun 12, 2013
"Without effective political institutions, what is emerging in China at the local level is governance by crisis management. Local officials, petrified by these mass protests, simply bow to the will of the demonstrators. While this may keep the peace in the short-term, it is not a recipe for good governance over the longer-term."

In other words, the CCP is spinning in confusion and desperation as it falls to pieces!

The dying CCP is losing control EVERYWHERE!
The CCP is DYING

Port Moody, Canada

#14 Sep 4, 2013
Update, from DW:

CHINA
China corruption probes reflect power struggle
After the fall of high-flying politician Bo Xilai, Chinese authorities have launched a series of investigations against top party officials. Experts say this is a reflection of power struggles within the Communist Party.
Beijing recently dismissed the head of a commission that oversees the country's major state-owned companies. Jiang Jiemin was removed as chief of the State-owned Assets Supervision and Administration Commission of the State Council because of "suspected serious disciplinary violations," state news agency Xinhua reported on Tuesday, September 3rd.
In a statement the commission expressed the support of its members for the dismissal, saying the decision represents "the fundamental requirements of the party to be strict with its members and demonstrates the party's steadfast determination to fight corruption."
A pedestrian walks past a signage of CNPC (China National Petroleum Corporation), parent company of PetroChina, in Shanghai, China, 28 August 2013.(Photo: dpa) Jiang was a former chief of CNPC and its subsidiary PetroChina, Asia's top oil and gas producer
Jiang is a former chairman of China National Petroleum Corp (CNPC) and its subsidiary PetroChina, Asia's top oil and gas producer and one of the world's most valuable listed energy companies. But he is also a member of the party's Central Committee, which is made up of its top 200 members, making Jiang the most senior official to fall since President Xi Jinping took over power last November.
A series of investigations
Xi has made the fight against corruption a priority of his new administration, in a bid to "clean up" the ranks of the 80-million-member Communist Party of China (CPC) amid growing public consternation over inequality and corruption.
Analysts argue the investigation, which involves four other top executives, is an attempt by Xi and Premier Li Keqiang (main photo, right) to assert their authority over powerful state-owned companies. "It's long been known that state-owned enterprises are a key part of the ecosystem of corruption. They have vast political influence, and their ostensible aim, unlike most other state organs, is to maximize profits," said China expert Rebecca Liao, adding that this combination enables China's state-owned enterprises to "pass off corruption as legitimate."
The Chinese newspaper 21st Century Business Herald cited unidentified "insiders" on Tuesday, September 3rd, as saying Jiang had been close to the former party secretary of the city of Chongqing, Bo Xilai, whose downfall was connected to a scandal surrounding the death of British businessman Neil Heywood in November 2011. The trial of the leftist politician ended in August, with the verdict being expected in the coming days.
....
The CCP is DYING

Port Moody, Canada

#15 Sep 4, 2013
...
Bo, Jiang and Zhou
But it seems that Jiang isn't the only high-ranking CPC member under investigation linked to both Bo and the oil industry. According to the Hong Kong-based newspaper South China Morning Post, China's top leaders have also endorsed a corruption probe into former security Chief Zhou Yongkang (main photo, left), who was once one of the country's most powerful politicians.
DW.DE
China's seven taboos and the revival of Mao
China's new party leadership has been feigning a Maoist approach to politics to win support among the country's 'New Left' while at the same time preparing economic reforms.(28.08.2013)
Bo Xilai case: showdown or show trial?
Bo Xilai's trial - last act of a major power play
Xi looks to Mao's legacy to tackle corruption
Zhou rose through party ranks, eventually becoming a member of the Politburo Standing Committee (PBSC), the top body of the CPC. He spent the early part of his career in the state-run oil sector, working for China National Petroleum Corp., the country's biggest oil and Gas Company. As a PBSC member, he was responsible for internal security and stability and wielded great influence over the country's police and security forces.
"Zhou was also Bo's most vocal supporter, a role that pitted him against President Xi and much of the current and former Politburo Standing Committee," Liao told DW. Zhou was widely believed to be grooming Bo as his successor and supporting Bo's bid for a seat on the PBSC. According to a New York Times report, he was the only member of the Standing Committee who opposed a decision to oust Bo in March last year.
Liao, a China law expert based in California, pointed out that although no direct evidence had been presented to suggest a solid connection between Zhou and the case against Bo, the timing was indeed of "some coincidence," given the relationship between Zhou, Bo, the current leadership.
...
The CCP is DYING

Port Moody, Canada

#16 Sep 4, 2013
...
'Bringing down political opponents'
China scholar Perry Link doesn't believe the campaigns against Bo, Jiang and potentially Zhou are truly aimed at fighting corruption: "For more than two decades there have been two reasons why top Chinese authorities launch "anti-corruption" drives, and in neither case is the goal to wipe out corruption," he told DW.
Ousted Chinese politician Bo Xilai speaks in court on the third day of his trial in Jinan, Shandong Province, in this still image taken from video shot on August 24, 2013. Bo Xilai accepted responsibility for 5 million yuan ($817,000) in funds he is accused of embezzling which ended up in his wife's bank account, saying he had let his attention wander, in testimony read out in court on Saturday. Bo, once a rising star in China's leadership, is facing charges of corruption, bribery and abuse of power. REUTERS/CCTV via Reuters TV (CHINA - Tags: POLITICS CRIME LAW IMAGES OF THE DAY) ATTENTION EDITORS � THIS IMAGE WAS PROVIDED BY A THIRD PARTY. NO SALES. NO ARCHIVES. FOR EDITORIAL USE ONLY. NOT FOR SALE FOR MARKETING OR ADVERTISING CAMPAIGNS. CHINA OUT. NO COMMERCIAL OR EDITORIAL SALES IN CHINA. THIS PICTURE IS DISTRIBUTED EXACTLY AS RECEIVED BY REUTERS, AS A SERVICE TO CLIENTS
Bo xilai was tried on charges of bribery, abuse of power and corruption
The expert from the University of California, Riverside said that corruption charges are used, on the one hand, as a "public cover for bringing down political opponents." On the other hand, he added, they are aimed at "making a show, to an increasingly Internet-savvy public, that 'we top leaders share your indignation, and are on your side.'"
"To strike out against such big fish as Zhou Yongkang and Jiang Jiemin suggests that in this case reason one is more likely than reason two. It would be dangerous to go after such big targets simply for the purpose of making a show," Link explained.
Any move against Zhou could be unprecedented since no sitting or retired Standing Committer member has been jailed for economic crimes since the Communists swept to power in 1949. This would cross a line, according to Link, which would show that the "stakes may be high in the struggle" inside the top leadership.
'No one is safe'
Some experts say that Bo's unexpected spirited defense at his trial late August ripped open the political divide within the Party that his arrest was supposed to have assuaged. "The attack on Bo has always been about political power, not "corruption," and it may be that Xi & Co. wants to bring down Zhou-Bo & Co." said Link.
Liao believes Xi cannot be an effective president as long as that factional struggle continues to be significant. His most important political moment to date is coming up in November at a meeting of the 18th Central Committee, where he will lay out his agenda.
China's newly elected President and chairman of the Central Military Commission Xi Jinping (L) talks with China's Vice Premier Li Keqiang during the fourth plenary meeting of the first session of the 12th National People's Congress (NPC) in Beijing, March 14, 2013.(Photo: REUTERS/China Daily) It is said that under Xi Jinping 'tigers and flies' will be subject to the rule of law'
"He must consolidate political power by then, and investigating Zhou goes a long way towards establishing his authority," she said.
She also stated that the CPC was sending out a message to its members that no one is safe: "The catchphrase has been that 'tigers and flies' will be subject to the rule of law."
While the leadership may eventually succeed in convincing cadres that rank is not a protector, they will have a much more difficult job making the case that political allies are also no guarantee. "Without outside controls on the party, self-enforcement turns into a struggle between political factions," said Liao.
The CCP is DYING

Port Moody, Canada

#17 Sep 4, 2013
The CCP is STUPID

Port Moody, Canada

#18 Sep 4, 2013
The CCP is DYING wrote:
"Some experts say that Bo's unexpected spirited defense at his trial late August ripped open the political divide within the Party that his arrest was supposed to have assuaged. "The attack on Bo has always been about political power, not "corruption," and it may be that Xi & Co. wants to bring down Zhou-Bo & Co." said Link.
Liao believes Xi cannot be an effective president as long as that factional struggle continues to be significant. His most important political moment to date is coming up in November at a meeting of the 18th Central Committee, where he will lay out his agenda.
China's newly elected President and chairman of the Central Military Commission Xi Jinping (L) talks with China's Vice Premier Li Keqiang during the fourth plenary meeting of the first session of the 12th National People's Congress (NPC) in Beijing, March 14, 2013.(Photo: REUTERS/China Daily) It is said that under Xi Jinping 'tigers and flies' will be subject to the rule of law'
"He must consolidate political power by then, and investigating Zhou goes a long way towards establishing his authority," she said.
She also stated that the CPC was sending out a message to its members that no one is safe: "The catchphrase has been that 'tigers and flies' will be subject to the rule of law."
While the leadership may eventually succeed in convincing cadres that rank is not a protector, they will have a much more difficult job making the case that political allies are also no guarantee. "Without outside controls on the party, self-enforcement turns into a struggle between political factions," said Liao."

CCP China is SO POLITICALLY PRIMITIVE AND BACKWARDS!!!!!
LOVE CHINA DESTROY CCP

Surrey, Canada

#19 Sep 5, 2013
Every day we hear of new murders and torture in the factional war between the competing gangs of Chinese Communist Party bandits, but China itself is kept ignorant.

Poor China. Humiliated again.
LOVE CHINA DESTROY CCP

Surrey, Canada

#20 Sep 5, 2013
The MURDER and CHAOS in the DYING Chinese Communist Party CONTINUES!!!

Update here on "China's biggest Purge since the Cultural Revolution"!

http://www.globalpost.com/dispatch/news/regio...

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