China Reform Monitor No. 1434

NEW CPC GUIDELINES EXPAND PARTY CONTROL OVER PRIVATE FIRMS
The CPC Central Committee has issued a statement requiring all private Chinese firms to advance the nation's development and "rejuvenation." The party will "strengthen the cultivation of young entrepreneurs and guide them to inherit and continue the great tradition of listening to and following the Party." To help the party expand its influence over the private sector, the Central Committee guidelines call for three measures: strengthening ideological and political guidance for entrepreneurs so they will be "politically sensible;" arming them with Xi Jinping Thought; and building a team of "high-quality" entrepreneurs whom the Party can rely on "at critical moments." (Quartz, September 16, 2020)

"DUAL CIRCULATION" POLICY TO BE ENSHRINED IN 14TH FIVE-YEAR PLAN
First announced in May, Xi Jinping's "dual circulation" policy, which looks to "make domestic consumption the driver of economic growth," will be incorporated into China's 14th Five-Year Plan (2021-25). To circumvent Western sanctions, the plan is for China to rely on "internal circulation" – that is, making domestic production, distribution and consumption the engine of economic growth. To expand innovative domestic manufacturing, Beijing will invest $1.4 trillion in high tech R&D to become self-sufficient in advanced high-end manufacturing and advanced chip production. To boost household consumption, "dual circulation" calls for expanding urbanization and turning migrant workers into city dwellers, which, in turn, will enlarge the middle-class and expand per-capita consumption. (CGTN, September 14, 2020)

GLOBAL TIMES: PLA SEEKING "A POLITICAL REASON" TO ATTACK TAIWAN
Eighteen People's Liberation Army (PLA) aircraft conducted real-combat military exercises in the Taiwan Strait. According to an editorial in the official Global Times: "The PLA is still restrained. Every time a high-ranking U.S. official visits Taiwan, the fighter jets of the PLA should be one step closer to the island. If the U.S. secretary of state or secretary of defense comes to Taiwan, the PLA should fly its aircraft over the island and conduct exercises above it." The outlet said the deployment "shows that the PLA has the ability to mobilize and organize a military action targeting Taiwan in a very short period of time. Through this exercise and the previous series of exercises, the PLA has accumulated experience in attacking Taiwan and mastered key data on Taiwan's defense system. They are rehearsals on taking over Taiwan. What is needed is a political reason that can turn them into real battle to smash Taiwan independence forces." (Global Times, September 18, 2020)

CHINA PICKS UP ASYLUM SEEKERS FLEEING HONG KONG FOR TAIWAN
China's authorities have arrested 12 pro-democracy Hong Kong activists picked up on August 27th on a small boat fleeing Hong Kong to seek political asylum in Taiwan after being charged under the National Security Law. "Rather than returning the individuals to stand trial in Hong Kong, the Chinese authorities have detained the activists in the mainland city of Shenzhen for over two weeks and have refused to allow them access to legal representation organized by their families," Hong Kong Watch said. Hong Kong chief executive Carrie Lam said the group was wanted for anti-government crimes and should not be mistaken for democracy activists. (Guardian, September 15, 2020)

DISNEY'S NEW "MULAN" FACES BOYCOTT
Disney faces a growing international effort to boycott its live-action remake of "Mulan." In Hong Kong, Taiwan and elsewhere, the hashtags "#BoycottMulan" and "#BanMulan" have been trending on social media. In Hong Kong, calls to boycott the movie seem to have been effective; at Mong Kok Broadway Theatre, Mulan sold only one-third of the tickets at its debut. The film also met with a chilly reception in mainland China, where authorities instructed media outlets not to cover its release amid the international uproar. Criticism has focused on the movie being filmed in Xinjiang, where China's imprisonment of more than one million ethnic Muslims has faced extensive criticism. The Hong Kong public was particularly angered over its star's comments in support for Hong Kong police during protests last year. (Reuters, September 17, 2020)