Category Archives: NEWS

China and US to Hold Trade Talks in Beijing Next Week

US President Donald Trump (C-R) and Chinese leader Xi Jinping (C-L) along with members of their delegations, hold a dinner meeting at the end of the G20 Leaders’ Summit in Buenos Aires, on Dec. 01, 2018. (Saul Loeb/AFP/Getty Images)


January 4, 2019 Updated: January 4, 2019

BEIJING—China and the United States will hold vice ministerial level trade talks in Beijing on Jan. 7 and Jan. 8, with the two countries under pressure to end a trade war.

For much of the past year, the trade war has disrupted the flow of hundreds of billions of dollars worth of goods and stoked fears of a global economic slowdown.

A team led by Deputy U.S. Trade Representative Jeffrey Gerrish will come to China to have “positive and constructive discussions” with Chinese counterparts, China’s commerce ministry said in a statement on its website.

In a separate statement on Friday, USTR said the delegation will also include Under Secretaries from the U.S. Departments of Agriculture, Commerce, Energy and Treasury, as well as senior officials from those agencies and the White House.

Neither statement provided more details about the talks, but in an interview with Fox News Business Network, White House Economic Advisor Larry Kudlow said the discussions will examine “the whole story,” including commodities, agriculture and industrial capital goods.

Pressure to strike a deal mounted this week after data showed slowing U.S. and Chinese manufacturing activity and as companies like Apple Inc and Cargill Inc said the trade battle was hitting earnings.

At a summit in Argentina late last year, U.S. President Donald Trump and Chinese leader Xi Jinping agreed to hold off on additional tariffs for 90 days while they attempted to negotiate a deal.

Now China and the United States face a March deadline for talks to end the damaging trade war, or Washington could proceed with a sharp hike in U.S. tariffs and Beijing could retaliate.

Trump has said talks are progressing well, but it remained unclear if Beijing will yield to U.S. demands for more open markets, forced technology transfer and industrial subsidies. Meeting some of those demands would require difficult structural reform.

“We know what sort of changes we need. Now, the question is can we negotiate these changes and can we do so with enforcement (and) with timetables,” Kudlow said on Friday.

USTR said the delegation will include USTR Chief Agricultural Negotiator Gregg Doud, USDA Under Secretary for Trade and Foreign Agricultural Affairs Ted McKinney, Department of Commerce Under Secretary for International Trade Gilbert Kaplan, Department of Energy Assistant Secretary for Fossil Energy Steven Winberg, and Treasury’s Under Secretary for International Affairs David Malpass.

By Michael Martina

Chinese Media Falsely Reports American Government Shutdown

One mainland Chinese news website claiming that U.S. President Donald Trump will close the government on December 24. The end of one sentences reads “The American government is facing the crisis of closing.” Posted on-line on Dec. 19, 2018. (Daniel Holl / The Epoch Times)


December 20, 2018 Updated: December 20, 2018

With the potential closure of the federal government on Dec. 21 due to the U.S.-Mexico wall budget, many nations are watching America intently—especially China. China’s state-run media attempted to use this as a chance to denigrate the American government, but they did not succeed due to inaccurate coverage of the story.

Chinese state-run media outlets China News Service and the Global Times reported that U.S. President Donald Trump is shutting down the government on Dec. 24, Hong Kong Economic Times reported on Dec. 19. What those media outlets didn’t realize is that this is a day when the president shuts down the government early in observance of Christmas.

The actual news is about the government possibly shutting down due to a $5 billion financing deal not yet being reached.

When the error was discovered, Chinese state-run media outlets quickly took down the story from their websites.

The Chinese Communist Party (CCP) bolsters itself as the keystone of modern China, often telling Chinese citizens that “without the Party, there would be no China.” This self-importance and communist political-thought often carries over to its perception of other nations, assuming that a country is collapsing if the government shuts down.

Losing Face, Ruining Reputation

This is not the first time the Chinese media has made such blunders, including running stories from comedy websites and presenting digitally edited images as truth. The CCP further uses the most widely used Chinese chat app WeChat to spread propaganda and false news, including fervent nationalism to Chinese diaspora communities in English speaking nations.

Generally, the state run media in mainland China uses media to agitate its citizens about foreign affairs, and thus will quickly attempt to capitalize on negative events abroad. In an Orwellian fashion, it does not acknowledge any error or issue correction, but instead deletes mistakes from existence.

The CCP’s media reach has gone beyond its own borders, disrupting elections in Taiwan, even leading a politician to suicide. It attempts to influence American elections, including running a 4-page editorial in an Iowa newspaper.

This media influence is a long term method of warfare employed by the CCP, wherein it subtly alters people’s perception of events, and further manufactures events to validate those altered perceptions. This goes along with its ultimate goal of defeating America.

Prisoners Tortured, Drugged, Killed by Injection in Xinjiang ‘Re-Education Camps,’ Ex-Inmate Reveals

Businesswoman Gulbakhar Jalilova, 54, a former Uyghur detainee in Xinjiang, China. (Gulbakhar Jalilova)


December 13, 2018 Updated: December 13, 2018

Uyghur women detained in China’s so-called “vocational training centers” are being psychologically and physically tortured, poisoned, and killed by injection, a former detainee has told The Epoch Times.

Uyghur and Kazakhstan national Gulbakhar Jalilova, 54, said she witnessed the atrocities during her 15-month internment in an all-female camp in the Xinjiang capital of Urumqi before she was released in September.

“There were girls from my room who passed out from being beaten so hard, and had nails put into their fingers to make blood pour out,” she told The Epoch Times in a phone interview from Istanbul, Turkey.

Gulbakhar, a businesswoman who was detained in May 2017, was accused of transferring $17,000 to a company called Nur. She was released after being found innocent.

While detained, her fellow inmate named Horiyat was “put to sleep … she was killed by injection.”

“She was injected but her body was still warm, and other girls were ordered to wash her body. She just died like that in front of me,” Gulbakhar explained.

The alarming reports come after Xinjiang authorities in October moved to legalize the detention facilities, saying that they were to “educate and transform” those that the Chinese Communist Party (CCP) deems at risk of the “three evil forces” of “extremism, separatism, and terrorism.”

Uyghurs, alongside other ethnic minorities like the Tibetans, as well as religious believers who remain outside state control, including house Christians and Falun Gong, have long been targeted by the ruling CCP for transformation through “re-education.”

At a U.S. Congressional-Executive Commission on China hearing on Nov. 29, U.S. Senator Marco Rubio said many observers believe the current wave of repression in China is the “the most severe since the cultural revolution.”

But Beijing has continued to push its narrative that what were its secret mass detention centers until October are actually facilities for further education in “vocational skills” such as baking and sewing—a claim which goes against multiple testimonies of former detainees, including Gulbakhar’s.

China’s ambassador to the U.S., Cui Tiankai, told Reuters last month that the CCP is trying to “re-educate” Uyghurs to try to “turn them into normal persons (who) can go back to normal life.”

Gulbakhar told The Epoch Times she “never saw a single classroom” while detained, saying that the education claims as “complete lies.”

Read More:

Ex-Prisoner Says China’s ‘Vocational Training Centers’ a Complete Lie

It is believed “upwards of 1 million” predominantly ethnic Uyghurs are being held in the mass internment camps, according to figures quoted by the U.S. Congressional-Executive Commission on China (CECC) and the United Nations.

Overcrowded, Dirty Conditions

After hours of interrogation over her money transfer, Gulbakhar was handcuffed, put into a yellow uniform, and taken to Urumqi’s SanKan, which she said was turned into an all-female camp a week prior to her arrival.

Conditions were overcrowded and dirty, Gulbakhar said, adding that there were “girls as young as 14—school children—and women as old as 80” in her room.

Gulbahar Jelilova,born in Apr 04,1964,Uyghur from Almaty,Kazakhstan,trader, deceived by Chinese police to Urumqi and taken to the camp named 三看 in May 22,2017. She detained for 465 days in total and secretly released one month ago: …

The women, whose wrists were bleeding from 5 kilogram (11 pound) handcuffs “rubbing against their skin,” took turns to sleep every night because there wasn’t enough space for everyone to lie down.

“In that small room, there were around 40 lying down and about 15 standing up,” she said.

And the food was “nothing that a human being should eat,” Gulbakhar said, referring to the bread as hard as stone and soup made of water and cornflour that she was fed. “It was hardly enough to survive.”

Gulbakhar and her fellow inmates were woken up at 5.30 a.m. every morning, and then forced to stand in two lines and stare at a wall until 8 a.m. “No talking, no looking sideways or else you would be punished.

“They attach your handcuffs to your ankle chains so you can’t walk.”

Uyghur women were confined to their rooms all day. “The door only opens to punish you, that’s it,” she added.

Psychological and Physical Torture, Drugs and Poison

Those in her camp were forced to ingest unknown medicine daily and were injected with a substance every month which “numbs your emotions.

“The injection makes you feel like you have no memory. You don’t miss your family, you don’t feel like you want to get out. You feel nothing—it’s a very strange feeling,” Gulbakhar explained.

Speaking to The Epoch Times, Louisa Greve, Director of External Affairs at the Uyghur Human Rights Project, said the medicine is “cleansing their minds of their personal identity” while “refilling their minds with these repetitive forced loyalty declarations [to the CCP].”

Camp officials are also putting poison in detainees’ food, Gulbakhar said, after she witnessed a 41-year-old restaurant owner fall to the floor while eating.

“There were bubbles and foam coming out of the lady’s mouth as if she were poisoned. She was paralysed.”

Gulbakhar said the woman was dragged out of the room and “never came back.”

A young nurse detainee named Mabret who rushed to the woman’s aid during the episode was immediately punished by camp officials.

“Troops came with big sticks and started beating her, dragged her out of the room and continued beating her.”

Mabret was then taken to a “black hole” room—an isolation cell—where she was chained to a “tiger chair” for 10 days, Gulbakhar recalled of what the nurse had told her. Mice had been placed in the room as a method of food and sleep deprivation.

“Mabret was so scared and had to fight to keep the mice off her body. She didn’t sleep because she didn’t want to get eaten alive.”

She was only released from the isolation cell after she apologised with a letter saying that she would “do better for the CCP,” Gulbakhar explained. But after the ordeal, Mabret was never the same again.

“It was as if she went insane—she didn’t act normal. It was as if something was wrong with her, from the way she looked to the way she acted.”

Oppression of Uyghur Cultural Traditions

Detainees were banned from touching their hair while washing their face as it imitates preparation for prayer, Gulbakhar said.

“In Muslim culture, when women or men wash before prayer, they usually touch their hair to make sure they clean-up properly. The camp officials don’t want people to be like that—to prepare for prayer.”

This oppression of Uyghur tradition—the majority of whom are Sunni Muslim—comes amid other testimonies from detainees, such as Omir Bekali, who in October told The Epoch Times he was forced to denounce his faith while praising the CCP.

Germany: “I Hope the Entire World Will Cherish Truthfulness-Compassion-Forbearance”


Falun Dafa practitioners held a large-scale parade in Frankfurt on September 1, 2018, to tell people about Falun Dafa and the persecution in China. It was a sunny day and the weekend happened to coincide with the Rheingau Wine Festival in Wiesbaden, a city located half an hour west of Frankfurt. Many locals and tourists alike were impressed by the practitioners’ performances.




The Tian Guo Marching Band led the parade during the Rheingau Wine Festival in Wiesbaden, Germany, on September 1

Led by the Tian Guo Marching Band and followed by a procession that mourned practitioners who died as a result of the suppression, another section of the parade called for an end to the persecution. The parade started in the business district, wound its way through historic old town, passed the opera house, and ended up at the train station in the centre of the city.

Remembering practitioners who lost their lives during the suppression

Practitioners also hosted two booths in the city centre to demonstrate the exercises and collect signatures on petitions calling for an end to the persecution in China. Following the parade, the Tian Guo Marching Band performed at several popular locations, where practitioners also talked with people and urged them to help end the persecution by signing a petition.

Passersby read the Falun Dafa information, signed petitions, and asked how to learn the exercises. Several of them said, “Thank you for all your hard work.”

Opposing the Persecution

Wilfried and his wife Ruth were disturbed by the banners about forced organ harvesting and asked how they could help. After both signed petitions, Ruth said, “I am German and my husband is from Austria. People in both of our countries support you.” She asked for the address of the Minghui German language website, saying she would read more about it.

Both locals and tourists ask about Falun Dafa and sign petitions calling for an end to the persecution

Josef from Malta said he ran a charity organization in Brazil and was travelling in Germany for a week. He was impressed with how well-organized the parade was and said he would read more about Falun Dafa. “I am surprised that such a tragedy still continues in China. Because of the totalitarian communist regime, people there do not have the freedom we do here,” he added.

“I hope the entire world will cherish Truthfulness-Compassion-Forbearance,” Josef remarked. “That will bring peace to our world. Wars, poverty, and corruption would no longer exist.” He said he would share what he saw with coworkers and friends.

Chinese: Like a Breath of Fresh Air

Mr. Yu and Mr. He, both from Wuhan City in China, live in Braunschweig, a city three hours away from Frankfurt. Mr. Yu was very happy to see the Falun Dafa events, because they would be unimaginable in China. He said several of his friends had been arrested in China for their belief in Falun Dafa. This is why he enjoys the freedom of belief in Germany, saying it is “like a breath of fresh air.” He also began practising the Falun Dafa exercises recently.

Another Chinese man, who was on a business trip to Frankfurt, said he had seen Falun Dafa activities in Hong Kong. After hearing about all the bad things the Communist Party has done, he resigned from the Party.

Pointing to a Falun Gong banner, he said he agreed with the message, “What that banner says is right. The Chinese Communist Party is different from the country of China. It cannot represent China, either.”

S&P Flags Credit-Boom Risks in China Amid Trade War

A CRH (China Railway High-speed) bullet train runs past Beijing’s central business area on Dec. 13, 2017. (Jason Lee/Reuters)


November 29, 2018 Updated: November 29, 2018

TOKYO—Standard & Poor’s on Nov. 29 expressed concern that China’s sovereign rating could face pressure if policymakers revert to rapid credit growth to shield the economy from the impact of a trade war with the United States.

The row between the world’s two largest economies over tariffs and market access is unlikely to trigger a downgrade for China next year, said Kim Eng Tan, S&P’s Asia-Pacific senior director of sovereign ratings.

However, the longer the conflict drags on, the more China’s policymakers will be tempted to loosen the reins on lending, Tan told Reuters in an interview.

“We have come to a point where (Chinese) policymakers are more worried about the economy and deleveraging is pausing,” Tan said.

“The longer the situation drags on, the more likely the government will U-turn on deleveraging to the point where we would get more concerned about the rating.”

Tan added that he did not expect S&P to downgrade China’s A plus rating with a stable outlook simply because the economy is slowing due to the threat of higher U.S. tariffs.

The United States has levied additional duties of between 10 percent and 25 percent on $250 billion of Chinese goods this year as punishment for what it calls the country’s unfair trade practices, with the 10 percent tariffs set to rise to 25 percent on Jan. 1.

Slowing trade flows will curb growth in other Asian countries, but fiscal indicators have been improving in many economies, so there is no great risk of downgrades, Tan said.

The threat of capital outflows has diminished after the Federal Reserve Chairman hinted that U.S. interest rates may not rise much further, which also eases pressure on sovereign ratings in Asia, he said.

Current account surpluses and ample foreign exchange reserves also serve as an adequate buffer for Asian countries in the event of financial turmoil, he said.

Tan did express concern about potential political stability issues in Malaysia in the future. Prime Minister Mahathir Mohamad has said he will keep the post only for two years.

If the current four-party coalition cannot work through a smooth transition, this would pose a risk to Malaysia’s A minus rating with a stable outlook, Tan said.

By Stanley White

China’s Peking University Tightens Communist Party Control, Curbs Activism

People enter and leave the gate of Peking University in Beijing on July 27, 2016. (Thomas Peter/Reuters)


November 14, 2018 Updated: November 14, 2018

BEIJING—China’s prestigious Peking University, historically a bastion of student activism, has moved to quash dissent and strengthen Communist Party control after a spate of protests across China on issues ranging from labor rights to #MeToo.

The clampdown comes amid an ongoing tightening of control over various aspects of Chinese society since Chinese leader Xi Jinping came to power in 2012, a period that has seen increasing censorship and shrinking space for protests, including on campuses.

Late on Nov. 13, the university, informally known as Beida, warned all students against taking part in demonstrations of support for recent labor-rights activism involving former students and said they would be held responsible if they “challenged the law.”

“The school believes that the majority of students are sensible, but if there are those near you who are spreading rumors or reactionary sentiments, regardless if they are your teacher or your friend or your schoolmate, please keep a firm stance,” students were told over instant messaging platforms.

On Tuesday, the Communist Party committee at Beida set up new bodies responsible for disciplinary inspection tours and campus “control and management,” according to a document released by the committee and seen by Reuters, moves that tighten enforcement of party discipline.

The committee also held a meeting for all campus members and told them that a recent graduate who was among those missing following weekend labor protests was working with an illegal organization, a source briefed on the meeting told Reuters.

A spokesman for Peking University contacted by Reuters on Wednesday said that they were not able to immediately comment on the meeting or warnings to students.

The campus attendees were told that the group in question, which was not identified, had a charter and “passwords” and the government had sanctioned the arrest of Zhang Shengye, the former student, the source said, declining to be named due to the sensitivity of the situation.

Beijing-based political commentator Zhang Lifan said the measures were likely in response to student activism. “The Communist Party is highly sensitive to any kind of organized movement on university campuses,” he said.

Activist History

Students at Peking University, set on a sprawling, leafy campus in northwestern Beijing, played a central role in launching the anti-imperialist May Fourth Movement in 1919 and the pro-democracy Tiananmen protests in 1989.

But campus activism has been increasingly marginalized in the Xi era, and a movement that saw students and recent graduates of universities including Beida team up with labor activists to support factory workers fighting the right to set up their own union has been dealt with harshly by authorities, attracting international media coverage.

Last month, the party announced that Qiu Shuiping, an official with little experience of running a school who has spent years in China’s legal system, including as head of the Beijing state security bureau, had been made party secretary of the university, an appointment seen by experts on Chinese politics as heralding a tougher disciplinary line.

Activist Disappearances

Over the weekend, at least 12 labor activists, mostly students and recent graduates, went missing in the cities of Beijing, Shanghai, Guangzhou and Wuhan in what a source close to them believed was a coordinated effort to silence them.

Five of those were recent graduates of Peking. One of them, Zhang, was grabbed by unidentified men and bundled into a car on the campus. The university told Reuters that the incident was a lawful seizure by police of a suspect and did not involve students.

The incident sparked a flurry of activity from a group of students, who call themselves a “concern group for missing Peking university graduates,” and handed out information about the abduction and other missing students in a university cafeteria on Sunday.

On Monday and Tuesday, students who had spoken out or supported the labor rights movement were warned by teachers, their parents and what appeared to be plainclothes policemen, according to one of the students, who declined to be named.

In the meetings, students were told that the university had previously protected them because they were “bewitched” by the group, but from now on anyone who demonstrated on behalf of those missing or handed out leaflets would not be protected, the student said.

“They did not say specifically which law had been broken or how, and they did not give an explanation of why they had unscrupulously seized people on campus,” the student said.

“Zhang Shengye was someone who was concerned about society, cared about the lower-classes and was close to workers. Why would someone like that be treated like this?”

By Christian Shepherd

APEC: Trudeau Urged to Call on Chinese Leader to End Falun Gong Persecution


While at APEC, Canadian Falun Gong adherents want Trudeau to intercede with Xi Jinping for their imprisoned fellow adherents in China


November 13, 2018 Updated: November 14, 2018

With Justin Trudeau heading to Papua New Guinea for the APEC summit this weekend, Falun Gong practitioners in Canada are asking the prime minister to intercede with Chinese leader Xi Jinping on behalf of their imprisoned fellow practitioners in China.

Canadian citizen Sun Qian has been detained in Beijing since February 2017. In addition, there are currently 10 family members of Canadians imprisoned in China because they practise Falun Gong, a traditional Chinese spiritual discipline.

The incarcerations are part of a far-reaching campaign of persecution launched in 1999 against Falun Gong adherents across the country, which has seen tens of thousands thrown in jails, labour camps, and brainwashing centres and resulted in unknown numbers being tortured to death.

The Falun Dafa Association of Canada is calling on Trudeau to urge Xi to free all practitioners unconditionally and to bring an end to the persecution.

“Canadians are deeply concerned about Sun Qian’s detention,” FDAC president Xun Li said in an open letter to Trudeau on the occasion of the Asia-Pacific Economic Cooperation meeting, taking place in Papua New Guinea’s capital Nov. 17 and 18.

“At the APEC summit, please help give voice to their concerns about Ms. Sun and the 10 Canadians’ family members incarcerated for their belief in Falun Gong. Please also urge the Chinese leader to end the persecution of Falun Gong. Your strong voice will make a difference in supporting Canadians’ desire to engage in a healthy relationship with China and the Chinese peoples’ wish for their country to become a more peaceful, free, and lawful society.”

Sun, a 52-year-old Chinese-Canadian businesswoman from Vancouver, is being held at a detention centre in Beijing, where she has endured abuse, torture, and brainwashing sessions with the aim of forcing her to renounce her faith in Falun Gong. The Epoch Times has previously reported that due to pressure from the authorities, Sun’s lawyers—11 in all—have stopped representing her.

Of the 10 family members of Canadians detained or imprisoned in China, sentences range between 2 and 13 years. Eight of the family members live in Toronto, one in Calgary, and one in Fort McMurray.

Falun Gong, also called Falun Dafa, is a holistic self-improvement practice that centres on the universal values of truthfulness, compassion, and tolerance. It swept China in the 1990s and by the end of the decade had an estimated 70–100 million adherents.

It’s non-political and was never a threat to the Chinese Communist Party (CCP). But fearful of its immense popularity, former Party leader Jiang Zemin launched his brutal campaign in July 1999 in an attempt to wipe out the practice.

“The persecution of Falun Gong is an illegal attack by the state that has been fuelled by hate propaganda, resulting in the horrific torture and killing of countless Chinese people for their belief in the principles of truthfulness, compassion, and forbearance,” said Li.

“The persecution has turned the nation’s morality upside down.”

To add insult to injury, investigators have found that large numbers of Falun Gong prisoners of conscience have died in the process of having their vital organs forcibly extracted to fuel China’s booming organ transplant industry.

This was described as “a new form of evil on the planet” by Winnipeg international human rights lawyer David Matas. In 2006, Matas and former cabinet minister David Kilgour were the first to alert the world that Falun Gong prisoners of conscience were being killed for their organs in China. In the years since, several books have been written and documentaries made that have shed more light on the atrocity. A February 2017 Freedom House report notes “credible evidence suggesting that beginning in the early 2000s, Falun Gong detainees were killed for their organs on a large scale.”

Meanwhile, the CCP’s overall campaign against Falun Gong continues. The 2017 annual report of the U.S. Congressional-Executive Commission on China states that Falun Gong practitioners continue to be subjected to “extreme physical and psychological coercion” and “coercive and violent practices.” These include electric shocks, forced feeding, beatings, forced drug administration, sexual abuse, and other forms of torture.

“The tens of millions of Falun Gong practitioners in China today live each day at risk of being taken away by Chinese authorities to be jailed, tortured—or worse,” Li said in his letter to Trudeau.

Huawei’s Reliance on Foreign Technologies Illustrates Shortcomings in China’s Chip-Making Industry


November 5, 2018 Updated: November 5, 2018

Recent remarks by two Chinese businessmen indicate how dependent that Chinese telecoms giant Huawei is on Japanese and U.S. technologies.

Michael Yu, CEO of New Orient Education and Technology Group, a publicly listed company that provides private educational services, shared what an unidentified vice president of Huawei once told him.

“More than half of our technologies regarding IC chips are American patented technologies. If the Americans were to refuse to allow us to use their technologies, we wouldn’t be able to make a single chip. In other words, China wouldn’t be able to manufacture a single smartphone, because we don’t have chips,” Yu recalled while speaking at an education conference in Beijing on Oct. 31, according to Chinese media that reported about his remarks.

An integrated circuit (IC) chip is an electronic device with many functional elements such as transistors, capacitors, and resistors, all fabricated on a semiconductor wafer, such as silicon. IC chips are used to power virtually all computers and electronic gadgets.

Yu added that he once spoke with unidentified Chinese IC engineers about China’s semiconductor industry and whether it had the capability to manufacture chips entirely within domestic assembly lines. They told him that the chips would be too large: Electronic gadgets packaged with entirely-Chinese-made chips would require a backpack to carry them.

Yu’s remarks came just a week after Xu Jingbo, head of a Chinese news website headquartered in Tokyo, told an audience at a manufacturing conference in China that Huawei’s development in smartphone manufacturing was the result of research done by Japanese experts, according to a report by Taiwan’s daily newspaper the Liberty Times.

As Xu explained at the conference, held in Tianjin City on Oct. 23, Huawei opened a research institute in Yokohama, the second-largest Japanese city by population, where more than 400 Japanese engineers are employed.

Huawei’s technological inadequacies exemplify a broader problem that China faces—the country is the world’s largest consumer of semiconductors, but continues to lag in developing domestic semiconductor technology. China’s dependence on foreign technology is reflected in 2017 trade data provided by the China Semiconductor Industry Association (CSIA). Last year, China imported integrated circuits worth about $260 billion—more than the value of crude oil imported by China.

Huawei has also established research institutes in Europe, India, the United States, Russia, and Canada, according to an article published on the Chinese-language site of the Semiconductor Equipment and Materials International (SEMI), an international industry association.

In Canada, Huawei established research institutes in Ottawa, Toronto, Montreal, and Waterloo, employing more than 400 researchers. Their research focus is developing 5G, the next-generation of wireless communication, according to SEMI China.

Huawei’s great strides in developing 2G and 3G technologies were due to the work that was done at the company’s research institute in Russia, according to SEMI China.

Why Is China Behind

There are many reasons why China continues to lag behind traditional powerhouses in South Korea, Japan, Taiwan, and the United States—despite the Chinese regime’s financial support for the industry, as laid out in economic plans such as the “13th Five Year Plan” (2016-2020) and “Made in China 2025.”

Hong Kong daily newspaper, Apple Daily, in an editorial published on Nov. 2, detailed the reasons. Firstly, the United States first invented the semiconductor about 70 years ago. Since the end of World War II, the U.S. industry has built up its own top-to-bottom semiconductor supply chain.

At the same time, China was in the middle of a civil war, and after the Chinese Communist Party (CCP) took over, the Party launched several political campaigns such as the Cultural Revolution, when intellectuals and scientists were deemed counter-revolutionary and severely persecuted. That hindered China’s progress in technology fields.

Within the multi-step production process for IC chips, which includes design, fabrication, packaging, and testing, China’s greatest weakness lies in IC design, according to Apple Daily. China is yet unable to develop its own design software, known as electronic design automation (EDA) tools. Such software development is currently dominated by U.S. companies such as California-based Synopsys and Cadence.

Without the ability to develop design software, China’s ability to design IC chips is limited. That subsequently affects the ability to optimize the assembly process for more advanced IC chips. China’s IC assembly process is also limited by the inability to acquire the necessary production equipment.

One of the production steps is the lithography process, a way of transferring IC circuit designs to semiconductors from which components such as transistors are made. As chips become smaller, more advanced lithography tools are needed.

Also, as chips get smaller, they deliver more performance-per-watt, meaning that they run at a faster speed while consuming less power.

A recent innovation in lithography involves the use of extreme ultraviolet light (EUV). The only company in the world that currently makes EUV equipment is Netherlands-based company ASML, according to Apple Daily. However, ASML prioritizes producing its limited EUV equipment for its stakeholders, including Taiwan-based contract manufacturer TSMC, Samsung, and Intel. Even if China orders EUV equipment from ASML now, it would be several years before taking delivery.

Dependence on US Imports

China’s dependence on U.S. tech imports is best illustrated by Chinese telecoms firm ZTE almost going out of business after the United States banned it from buying parts and technology from U.S. suppliers. The U.S. Department of Commerce slapped the ban against ZTE in April for failing to comply with stipulations, in association with violating U.S. sanctions placed on Iran and North Korea.

Three of 10 of ZTE’s suppliers are U.S. companies, according to an April article by South China Morning Post. For Huawei, in comparison, roughly a quarter of its 263 suppliers in 2017 are U.S. companies, compared to 41 percent of Chinese suppliers. The top two U.S. suppliers to Huawei were Flex, a contract electronics solutions provider, and U.S. semiconductor company Broadcom.

Currently, ZTE is still struggling financially. Chinese media reported that the company is expected to end the year with a financial loss of about 6.2 billion (about $893 million).

Future prospects for China’s industry aren’t optimistic.

At a technology conference held in the southern Chinese city of Guangzhou on Oct. 11, Chang Junfeng, secretary general of a semiconductor trade association based in the neighboring city of Shenzhen, said it will take five to 10 years for China to have a major breakthrough in IC design, according to Chinese business news site Yicai.

It would take about five to 10 years to narrow the gaps in assembling capabilities; and finally, 10 to 30 years to narrow the gap in semiconductor materials and equipment, he said.

China detains second Canadian despite plans for extradition pact

A Canadian citizen has been detained in Beijing for more than 2 1/2 months – held against her will, according to supporters, for being a follower of the Falun Gong spiritual movement that is banned in mainland China.

Sun Qian, 51, who was born in China and obtained Canadian citizenship in 2007, was arrested in February, say Conservative foreign-affairs critic Peter Kent and Xun Li, president of the Falun Dafa Association of Canada.

It’s the second high-profile case in the past few months of a Canadian citizen winding up in the custody of the Chinese government.

And it emerges during the middle of a national debate over whether the Trudeau government should have agreed to negotiate an extradition treaty with China, a pact that would commit Canada to transfer fugitive Chinese to a country known for biased courts and harsh interrogation methods and where the death penalty is routinely imposed, even for non-violent crimes.

Ms. Sun’s case came to light this week when Mr. Kent raised the matter with Canada’s new ambassador to China, John McCallum, when he appeared before the Commons foreign-affairs committee. Mr. McCallum acknowledged the detention, saying he had been briefed on it, but offered little else.

In the second recent case, Chinese-Canadian billionaire Xiao Jianhua mysteriously disappeared Jan. 27 from Hong Kong’s Four Seasons Hotel, reportedly spirited away to the Chinese mainland by a phalanx of plainclothes policemen. Chinese political analysts think Mr. Xiao was wanted by President Xi Jinping and supporters because they believe he possesses incriminating evidence against political enemies of Mr. Xi.

Asked for comment on the Sun case, a spokesman at the Chinese embassy in Ottawa could offer none. It also did not confirm the nature of Ms. Sun’s detention.

The Chinese embassy, however, urged Canadian media to distrust any information provided by practitioners of Falun Gong, including its information websites. “Falun Gong is an evil cult that is anti-humanity and anti-science in nature, having caused enormous harm to Chinese society. It was banned by Chinese government in 1999, according to law,” embassy spokesman Yang Yundong said.

Referring to a Falun Gong website, Minghui, which has written about the Sun case, Mr. Yang urged The Globe to “believe no tales from them,” calling it an “anti-China” tool “that consistently makes up stories and spreads rumours.”

Mr. Wang said he had “no information” about Mr. Xiao.

Falun Gong emerged in China in the early 1990s as an exercise discipline focusing on meditation. It was soon seen as a threat, prompting a crackdown by the Chinese government. In 1999, authorities harshly suppressed the popular movement when some 10,000 practitioners gathered to protest outside Beijing’s elite leadership compound. International human-rights groups have for years documented the mistreatment of Falun Gong adherents in China.

On the issue of Canadians detained in China, Mr. McCallum said he doesn’t think discussing the cases is a good idea. “That doesn’t always help the person in detention if we broadcast their own situation in public. I think in those cases, almost all the time it is better to proceed in a low-profile way in order to do the best we can to help those individuals,” he told the foreign-affairs committee this week.

Mr. Kent disagreed and urged the Trudeau government to speak out in defence. “By staying silent or being less enthusiastic about speaking out, they are designating those folks as second-class Canadians.”

The department of Global Affairs refused to discuss Ms. Sun’s case, saying it needs to protect her right to privacy.

“Consular services are being provided to the Canadian citizen who has been detained in Beijing, China. Consular officials are in contact with local authorities to gather additional information,” said Austin Jean, a spokesman for Global Affairs.

Falun Dafa’s Mr. Li, who called the Chinese embassy’s characterization of the movement “hate speech,” wrote a letter to Prime Minister Justin Trudeau Wednesday, asking him to press Beijing to release Ms. Sun. “For the past 18 years, Falun Gong continues to be the most severely and illegally persecuted group in China,” he wrote. “The Canadian government has an obligation to protect Canadian citizens in China and also protect the dignity of Canadian values from being eroded by this repressive regime,” he wrote of the Chinese government, which is controlled by the Chinese Communist Party with no substantial political opposition.

He said Ms. Sun is being held in the Beijing First Detention Centre. He said she is a vice-president at a Chinese biochemical firm based in Beijing called Beijing Leadman Biochemistry Co. and that a Canadian embassy official visited her recently.

Mr. Li also said he believes Ms. Sun entered China on a Canadian passport on her most recent trip to the country.

Unlike Canada, China does not recognize dual citizenship and refuses requests from foreign governments in cases where Chinese-born people have not formally relinquished their passport or used their Chinese documents to enter China.

Mr. McCallum, meanwhile, defended the extradition talks, which the Trudeau government agreed to last September, saying the Liberals are a “long, long, long way” from actual negotiations. He says right now they’re just talking. “We’ve agreed to talk about the issues that need to be addressed for China or any other country to meet our high standards. This includes things like the death penalty and the importance of high standards of evidence in court proceedings. We lose nothing by explaining our system and talking about the values we hold dear.”

China is forcing up to 90,000 prisoners to have organs removed for sale on the black market, despite denying claims they are harvesting body parts illegally, says new report

  • China says it performs 10,000 organ transplants a year
  • But shocking report says the real figure is closer to 100,000
  • Incarcerated followers of Falun Gong religion are targeted for transplants
  • Chinese Foreign Ministry spokeswoman said findings are ‘baseless’

China is forcing up to 90,000 prisoners a year to have organs removed, a shocking new report has claimed.
The widespread practice of removing organs from political prisoners has fuelled ‘organ tourism’ in China with foreigners paying for transplants.
Medical professionals and human rights advocates at The International Coalition To End Organ Pillaging In China have published a damning report which examines the transplant activity at hundreds of hospitals in China.
Co-author of the report Ethan Gutmann said in a video posted online:’If somebody goes to China to get an organ at this point, chances are they are getting it from a Falun Gong practitioner who was murdered on their behalf.’
‘Even if voluntary donations of organs have gone up, they can’t reach this level. This is live organ harvesting,’ he warned.

China has struggled to receive voluntary organ donations due to culture concerns so prisoners are primarily used to fill the demand for transplants.
The Chinese medical establishment claims that China performs 10,000 transplants per year but the report says the figure is closer to 100,000.
The report investigated the amount of transplant activity, surgical staff and beds in China and predicted an average of up to two transplants a day in China, over 100,000 transplants a year.
‘Many of the hospitals are relatively new or have new transplant wings or beds. This development would not have occurred without confidence in a continuing supply of organs for transplants,’ the report states.

An average of up to two transplants a day are carried out in China, over 100,000 transplants a year
An average of up to two transplants a day are carried out in China, over 100,000 transplants a year

‘The transplant business in China has developed with not only an abundance of available organs from 2001 on, but also with a confidence that this abundance would continue into the indefinite future,’ it continues.
Gutmann explained that removing organs from prisoners in China began in the 1980s but has dramatically increased in recent years.
‘By 2001, over one million Falun Gong incarcerated within the Laogai System were subject to retail-organ testing, and Chinese military and civilian hospitals were ramping up their transplant facilities. By 2002, it was select House Christians. By 2003, it was the Tibetans’ turn,’ he wrote on the End Organ Pillaging website.
Falun Gong is a Taoist-Buddhist sect that practices spiritual exercise and meditation regime. It has tens of millions of followers in China but in 1999 the Communist Party leadership initiated a nationwide crackdown to eradicate the practice.
Among the methods used to obtain the shocking transplant figures, researchers reviewed data from telephone surveys, hospital websites, and medical journals for the 865 hospitals in China which perform organ transplants (about 13 per cent of all hospitals).
They tracked 712 liver and kidney transplant centres and collected and analysed information about them and examined individually 165 hospitals approved by the Government of China to conduct transplantation.
On Thursday, Chinese Foreign Ministry spokeswoman Hua Chunying claimed the report’s findings are false.
‘The testimony and the published report, I want to say that such stories about forced organ harvesting in China are imaginary and baseless — they don’t have any factual foundation,’ she said.