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Business

Shirley Younger, Businesswoman and Cultural Diplomat to China, Dies at 85

Ms. Young’s ideas weren’t the only revolutionary thing about her. At the time, most employers offered severance packages to pregnant women on the assumption that they would never return to work after giving birth. When she was expecting and insisting on her first child in 1963, Gray Advertising had to invent her first maternity policy.

The company clearly thought it was worth it. In 1983, when a global recession forced the advertising industry to cut research budgets, Gray went the other way and founded an entire research subsidiary, Gray Strategic Marketing, with Ms. Young as president. She garnered a long list of Fortune 500 customers, including General Motors whom she hired in 1988 as vice president of consumer market development.

Almost immediately, she urged her new employer to invest in China and later moved to Shanghai to oversee the development of a billion-dollar joint venture with SAIC Motor, a Chinese company, to build Buicks.

For Ms. Young, many American companies failed to see the size of the cultural differences between the two countries and the ability to bridge them. She encouraged GM to expand its executives’ contact with the Chinese language and society through education and cultural exchanges, which they would later highlight in their artistic work.

As she continued to lead GM’s expansion in Asia, she became increasingly involved in cultural and charitable causes. After the Tiananmen Square massacre in 1989, Ms. Young, along with other prominent Chinese-Americans, including Yo-Yo Ma and IM Pei, founded the 100-member Committee, a group dedicated to shaping the Trans-Pacific Dialogue. She was the first chairperson, a position she also held at a spin-off organization, the US-China Cultural Institute.

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World News

China says it should reply to delisting of telecom giants

Flags of the United States and China are displayed on the booth of the American International Chamber of Commerce (AICC) during the International Trade Fair for Services in Beijing, China on May 28, 2019.

Jason Lee | Reuters

China on Saturday promised to respond to the New York Stock Exchange’s delisting of three telecommunications giants under an executive order signed by President Donald Trump in November.

The Ministry of Commerce said in a statement that China “will take the necessary measures to vigorously protect the legitimate rights and interests of Chinese companies,” according to the state-run Global Times.

The NYSE announced Thursday that it had acquired China Telecom Corp. Limited, China Mobile Limited and China Unicom Hong Kong Limited will delist. Trump signed an order in November preventing Americans from investing in companies alleged to be affiliated with the Chinese military.

The investment ban goes into effect on January 11, just days before President-elect Joe Biden is inaugurated. According to the NYSE, trading with the three companies may stop as early as Jan 7th or Jan 11th.

The Commerce Department said the US is “abusing national security and using state power to crack down on Chinese companies” and that the move “is inconsistent with market rules and logic, which not only harms the legitimate rights of Chinese companies,” but also the interests of investors in other countries, including the US. “

It added, “We hope that the US and China will work together to create a fair, stable and predictable business environment for companies and investors, so that bilateral economic and trade relations can re-emerge.”

Trump has pursued an aggressive economic agenda against China that has become even more restrictive since the emergence of Covid-19, which Trump derogatoryly called the “China virus” in Wuhan.

Biden is not expected to change US-China relations dramatically, and he said Monday he would “hold China’s government accountable for its abuses in trade, technology, human rights and other areas.”

The White House did not immediately respond to a request for comment on China’s statement on Saturday. The Biden transition team also did not respond to a request for comment.

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Business

U.S. Firms Face China Tariffs as Exclusions Expire

WASHINGTON – American companies have to pay higher taxes on some of the products imported from China as the tariff bans that protected many companies from President Trump’s trade war expired at midnight Thursday.

Mr Trump began imposing tariffs on Chinese goods valued at more than $ 360 billion in 2018, prompting thousands of companies to ask the administration for temporary exemptions exempting them from the duties. Companies that met certain requirements received a tax return that ranged from 7.5 to 25 percent. These included companies that import electric motors, microscopes, salad spinners, thermostats, breast pumps, ball bearings, forklifts and other products.

The majority of these exclusions, which could run into billions in revenue for US-based companies, automatically expired at midnight on Thursday. After that, many companies will again have to pay a tax to the government to import a variety of goods from China, including textiles, industrial components and other miscellaneous products.

The Trump administration’s lack of clarity on whether it would extend bans left many companies in the balance.

The United States had announced some extensions – on December 23, the sales agent announced that it would extend the exclusions for a small category of medical care products, including hand sanitizers, masks, and medical devices, to March 31 to help fight the US help coronavirus pandemic.

However, Ben Bidwell, the director of US Customs at freight forwarder CH Robinson, who has assisted customers with filing for exclusions, said “the vast majority” of those granted would expire by the end of the year and importers would either one depending on the product additional tariff of 7.5 percent or 25 percent.

The United States sales agent “remained fairly silent about any extension,” Bidwell said.

The legislature campaigned for the administration to extend the exemptions. On December 11th, more than 70 members of Congress, including Republican Jackie Walorski of Indiana and Democrat Ron Kind of Wisconsin, sent a letter urging United States sales representative Robert E. Lighthizer to extend all of their active bans to help businesses affected by the pandemic.

“Our economy is still in a fragile state due to the ongoing Covid-19 pandemic,” the letter said. “The extension of these exclusions provides employers with the security they need and helps save jobs.”

Mr Trump introduced tariffs to protect some American industries from foreign competition and encourage others to move their supply chains out of China. The tariffs have partially achieved these goals, although most of the companies have relocated their activities to other low-cost countries such as Vietnam or Mexico rather than the USA.

Updated

Jan. 1, 2021, 4:30 p.m. ET

However, most economists say these gains resulted in a high price tag and hurt American manufacturing as a whole, greatly increasing the cost of imported components and making US manufacturers less competitive with other companies overseas.

Some companies say the elimination process was particularly unfair. While large corporations have invested large sums of money in hiring Washington law firms to lobby the administration and request exemptions, some small businesses have stated that they lacked the resources to request and win disqualifications.

“The expiration of these exclusions – especially because the facts supporting their original purpose remain unchanged – shows how arbitrary and capricious the process was,” said Stephen Lamar, executive director of the American Apparel & Footwear Association, the makers of footwear and footwear represents clothing.

“These companies could poorly afford a tax on their imported intermediate consumption and US workers when they originally applied for these exclusions, and they certainly can’t now,” he added.

Two other long-term programs that have exempted imported products from tariffs also expired on Thursday.

The Various Tariffs Act, which temporarily suspends tariffs on some imported goods, including inputs used by American manufacturers, and the Universal System of Preferences, which gives thousands of products from developing countries duty-free access to the US market, are ending Year expired the year. There has been little momentum in Congress to revive the programs as public opinion has gradually turned against initiatives to give foreign companies cheaper access to the American market in order to encourage free trade.

Company executives are unsure whether the future administration will adopt a different tactic, but President-elect Joseph R. Biden Jr. is unlikely to make any material changes in the near future.

In a December interview with the New York Times, Mr Biden said he would conduct a full review of the United States’ trade relations with China and consult with allies in Asia and Europe to develop a coherent strategy before changes are made.

“I’m not going to take any immediate steps, and that goes for tariffs too,” he said.

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Business

New York Inventory Trade to Delist China Cell, Amongst Others

The New York Stock Exchange announced that it would delist the three major state-owned telecommunications companies in China by order of the Trump administration in order to symbolically end the longstanding relationship between the Chinese business community and Wall Street.

The exchange said in a statement late Thursday that it would cease trading shares in China Mobile, China Unicom and China Telecom until Jan. 11. She cited an executive order issued in November by the Trump administration that prevented Americans from investing in companies with ties to the Chinese military.

The U.S. Department of Defense had previously listed the three companies as having significant ties to Chinese military and security forces.

The company’s Hong Kong offices did not immediately respond to requests for comment on Friday, New Year’s Day.

The delistings were generally expected after the executive order was issued in November. The order was part of a broader effort by American officials to weaken the broad economic ties between the United States and China, including Chinese access to money on Wall Street.

The move is likely to have little impact on China’s military or security ambitions, which are generously funded by Beijing, or on the companies themselves, which can raise money from international investors by selling shares in Hong Kong.

The delisting of the three telecommunications giants, however, reflects China’s rise in power and prosperity, as well as growing alienation between the world’s two largest economies. It also underscores the hesitation in long-standing business ties between the United States and China, built over decades as China attempted to internationalize and reform its state corporate sizes.

All three companies are under the firm control of Beijing. They are ultimately owned by a government agency, the State Assets Monitoring and Management Commission, and are often directed to pursue Beijing’s goals. China’s ruling Communist Party sometimes mixes executives between the three companies.

They are the only three companies in China allowed to provide broad telecommunications network services, which Beijing regards as a strategic industry that must remain under state control.

Such large, state-controlled corporations have long been viewed by economists and even some Chinese officials as a drag on the country’s growth.

China Mobile, the largest of the three companies, first listed its shares in New York in 1997, at a crucial time for the Chinese economy. Reform-minded officials in Beijing sought to restart economic growth after China’s crackdown on the Tiananmen Square protests in 1989 deterred foreign investors and delayed overhauls officials deemed necessary.

One such overhaul had to do with bloated state-owned companies. China’s leaders forced them to lay off workers and focus on profit and productivity. Listing stocks in the United States, it was said, would make them more responsive to investors and more focused on the bottom line.

China Mobile was one of the first large Chinese state-owned companies to sell shares in New York. The other telecommunications companies followed, as did state banks, oil companies and airlines. Large private Chinese companies have also sold stocks there, including Alibaba, the online shopping giant that held the world’s largest IPO in New York in 2014.

Today, China’s need for money and expertise has diminished from Wall Street. The stock exchanges in Shanghai and Hong Kong are among the largest in the world. Alibaba underscored the shift, last year listing shares in Hong Kong, a semi-autonomous Chinese city where investors, unlike the mainland, can move money freely across its borders.

The Chinese leaders’ view of state-owned companies has also changed. Xi Jinping, China’s leading politician, spoke about making state-owned companies bigger and stronger than leaner. This has raised concerns among some economists and entrepreneurs that the Chinese government is playing a bigger role in private companies.

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Business

China Approves Sinopharm’s Covid-19 Vaccine because it Strikes to Inoculate Tens of millions

The Chinese government said on Thursday that it had approved a homegrown coronavirus vaccine after an early analysis of clinical trial results showed that it was effective. The announcements sent a positive signal for the global rollout of Chinese vaccines but lacked crucial details.

The manufacturer, a state-controlled firm called Sinopharm, said on Wednesday that a vaccine candidate made by its Beijing Institute of Biological Products arm had an efficacy rate of 79 percent based on an interim analysis of Phase 3 trials. Sinopharm said it had filed an application with Chinese regulators to allow the vaccine to be used broadly, and on Thursday the government said the vaccine had been granted conditional approval.

If supported, the interim results will bolster claims that Chinese officials have made in recent days that the country’s vaccines are safe and effective. Even before the government issued its official approval, the authorities had already moved ahead with mass vaccinations, defying industry norms. They plan to vaccinate 50 million people in China by mid-February, when hundreds of millions are expected to travel for the Lunar New Year holiday.

But Sinopharm’s announcement provided no breakdown of results and left many questions unanswered, adding to a lack of clarity that has dogged China’s coronavirus vaccine development for months. Wu Yonglin, Sinopharm’s president, said on Thursday that the company would publish details of the trials in major academic journals later.

China’s drive to develop a homegrown vaccine speaks to the country’s technological and diplomatic ambitions. A successful vaccine would support the country’s claim as a peer and rival to the United States and other developed countries in biomedical sciences.

The Sinopharm vaccine’s results show that it is less effective than others that have been approved in other countries. Still, the results are well above the 50 percent threshold that makes a vaccine effective in the eyes of the medical establishment.

Two other coronavirus vaccines, made by Moderna and Pfizer-BioNTech, have been shown to have an efficacy rate of about 95 percent. The Pfizer-BioNTech vaccine has received authorization in more than 40 countries. Moderna’s vaccine has been authorized in the United States, and other countries are evaluating its trial results. Russia has announced that its Sputnik V vaccine has an efficacy rate of 91 percent and has begun a mass vaccination campaign.

Beijing has leaned heavily on the promise of its vaccines to strengthen ties with developing countries deemed vital to China’s interests. Officials have toured the world pledging to provide Chinese vaccines as a “global public good,” a charm offensive that the United States may seek to counter, particularly when the campaign encroaches on its backyard.

The political stakes in the race for a vaccine are particularly high for China’s authoritarian Communist Party, which has been criticized for stifling information and playing down the virus when it first emerged in the city of Wuhan late last year.

A successful vaccine, if quickly made available to the world, could help repair the party’s image globally and that of its leader, Xi Jinping. The Chinese companies have said their vaccine would be cheaper and easier to transport, which if proven could give them significant appeal in the developing world.

Chinese vaccines may still be greeted with other questions. Scientists said that the headline figures released by Sinopharm were encouraging but that the lack of supporting data made it difficult for the results to be independently assessed.

Covid-19 Vaccines ›

Answers to Your Vaccine Questions

With distribution of a coronavirus vaccine beginning in the U.S., here are answers to some questions you may be wondering about:

    • If I live in the U.S., when can I get the vaccine? While the exact order of vaccine recipients may vary by state, most will likely put medical workers and residents of long-term care facilities first. If you want to understand how this decision is getting made, this article will help.
    • When can I return to normal life after being vaccinated? Life will return to normal only when society as a whole gains enough protection against the coronavirus. Once countries authorize a vaccine, they’ll only be able to vaccinate a few percent of their citizens at most in the first couple months. The unvaccinated majority will still remain vulnerable to getting infected. A growing number of coronavirus vaccines are showing robust protection against becoming sick. But it’s also possible for people to spread the virus without even knowing they’re infected because they experience only mild symptoms or none at all. Scientists don’t yet know if the vaccines also block the transmission of the coronavirus. So for the time being, even vaccinated people will need to wear masks, avoid indoor crowds, and so on. Once enough people get vaccinated, it will become very difficult for the coronavirus to find vulnerable people to infect. Depending on how quickly we as a society achieve that goal, life might start approaching something like normal by the fall 2021.
    • If I’ve been vaccinated, do I still need to wear a mask? Yes, but not forever. Here’s why. The coronavirus vaccines are injected deep into the muscles and stimulate the immune system to produce antibodies. This appears to be enough protection to keep the vaccinated person from getting ill. But what’s not clear is whether it’s possible for the virus to bloom in the nose — and be sneezed or breathed out to infect others — even as antibodies elsewhere in the body have mobilized to prevent the vaccinated person from getting sick. The vaccine clinical trials were designed to determine whether vaccinated people are protected from illness — not to find out whether they could still spread the coronavirus. Based on studies of flu vaccine and even patients infected with Covid-19, researchers have reason to be hopeful that vaccinated people won’t spread the virus, but more research is needed. In the meantime, everyone — even vaccinated people — will need to think of themselves as possible silent spreaders and keep wearing a mask. Read more here.
    • Will it hurt? What are the side effects? The Pfizer and BioNTech vaccine is delivered as a shot in the arm, like other typical vaccines. The injection into your arm won’t feel different than any other vaccine, but the rate of short-lived side effects does appear higher than a flu shot. Tens of thousands of people have already received the vaccines, and none of them have reported any serious health problems. The side effects, which can resemble the symptoms of Covid-19, last about a day and appear more likely after the second dose. Early reports from vaccine trials suggest some people might need to take a day off from work because they feel lousy after receiving the second dose. In the Pfizer study, about half developed fatigue. Other side effects occurred in at least 25 to 33 percent of patients, sometimes more, including headaches, chills and muscle pain. While these experiences aren’t pleasant, they are a good sign that your own immune system is mounting a potent response to the vaccine that will provide long-lasting immunity.
    • Will mRNA vaccines change my genes? No. The vaccines from Moderna and Pfizer use a genetic molecule to prime the immune system. That molecule, known as mRNA, is eventually destroyed by the body. The mRNA is packaged in an oily bubble that can fuse to a cell, allowing the molecule to slip in. The cell uses the mRNA to make proteins from the coronavirus, which can stimulate the immune system. At any moment, each of our cells may contain hundreds of thousands of mRNA molecules, which they produce in order to make proteins of their own. Once those proteins are made, our cells then shred the mRNA with special enzymes. The mRNA molecules our cells make can only survive a matter of minutes. The mRNA in vaccines is engineered to withstand the cell’s enzymes a bit longer, so that the cells can make extra virus proteins and prompt a stronger immune response. But the mRNA can only last for a few days at most before they are destroyed.

Sinopharm on Wednesday did not disclose the size of the trial population or provide detailed information about any serious side effects, data points that scientists look for in such releases. On Thursday, Mr. Wu, Sinopharm’s president, said at a news briefing that more than 60,000 people had been vaccinated as part of the trials.

“With each of these vaccines we’re dealing with bits and pieces of information, but the Chinese companies have provided even less information than the Russian companies have,” said Dr. Kim Mulholland, a pediatrician at the Murdoch Children’s Research Institute in Melbourne, Australia.

“At least with the Russian vaccines we were told the number of cases and the basis of evidence for why their vaccine was effective,” said Dr. Mulholland, who has been involved in the oversight of many vaccine trials, including ones for a Covid-19 vaccine.

Michael Baker, a professor with the department of global health at the University of Otago in Wellington who is an adviser to the New Zealand government, said that while the initial figures from Sinopharm looked promising, without more information it was difficult to know for sure.

“It’s pretty light on the details,” he said. “One question is: What markets do they propose to use these vaccines in? Because if they want to have a global market, they’re obviously going to have to supply all those details.”

Details about the efficacy of another Chinese vaccine candidate, made by Sinovac, a private Beijing-based vaccine maker, have also been released in a piecemeal fashion.

The absence of detailed information on the safety and efficacy of Chinese vaccines has not stopped officials in the country from administering them to the public. Officials in several provinces and cities say they are focusing on what China calls “key priority groups” — doctors, hotel employees, border inspection personnel and workers in food storage and transportation, as well as travelers — in an ongoing inoculation drive.

Chinese officials and companies had already administered Chinese-made vaccines, mostly made by Sinopharm, to more than a million people in China. The campaign drew criticism from overseas scientists who said they were concerned that the authorities did not closely monitor people after they received injections outside clinical trials.

To China, a vaccine that can help protect its 1.4 billion people is crucial to its plans to revitalize the economy.

The country has largely stamped out the coronavirus with a combination of restrictions on foreign arrivals, mass testing and tight lockdowns of neighborhoods whenever any cases are detected. But officials remain concerned that the winter could bring a new wave of infections and hope that a widely available vaccine can help prepare the country for when regular travel and trade resume.

Already, new local outbreaks were being reported in Beijing and the northern city of Shenyang this week, prompting the imposition of new measures. In Shenyang, officials declared that the city was in “wartime status” as they rolled out restrictions on large-scale gatherings including group meals, training sessions and end-of-year parties.

Sinovac and Sinopharm use inactivated coronaviruses to make their vaccines — a tried-and-true method dating back over 130 years. The companies use chemicals to disable the virus’s genes so that it cannot replicate. Yet the inactivated coronavirus can still cause the body’s immune system to produce antibodies against it. By comparison, Moderna and Pfizer are taking a revolutionary gene-based approach that had never before been approved for widespread use.

Experts say there are drawbacks to inactivated vaccines like the ones being made by Sinovac and Sinopharm. They require starting off with large batches of live coronavirus samples, which can pose a biosecurity risk. Once the live samples are inactivated, it takes an extra manufacturing step to ensure that none of them survive the treatment.

Another advantage of the vaccines produced by Moderna and Pfizer is that they are faster to make and said to be more stable than traditional vaccines. Pfizer projects that it will be able to produce up to 1.3 billion doses in 2021, while Moderna expects to be able to make 500 million to one billion doses.

The Chinese government has promised to produce 610 million doses by the end of the year and expects to make more than one billion doses next year. Several large countries like Brazil and Indonesia, where Chinese companies have been conducting trials, have each received shipments of more than a million doses of Sinovac vaccines. Turkey has ordered 50 million doses.

People who were previously vaccinated in China have said the two-dose regimen costs about $60 to $150. According to people who have received the Sinovac vaccine, the company is charging about $30 a dose. Sinopharm has said the cost of two doses should be lower than $150. Zeng Yixin, the deputy minister of the National Health Commission, said on Thursday that the vaccine would be provided to the Chinese public for free, a reversal of previous statements by Chinese officials.

Reporting and research were contributed byElsie Chen, Claire Fuand Amber Wang.

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Business

China and E.U. Leaders Strike Funding Deal, however Political Hurdles Await

The heads of state and government of China and the European Union reached an agreement on Wednesday It’s easier for companies to operate on each other’s territory. This is a major geopolitical victory for China at a time when criticism of its human rights record and handling of the pandemic have increasingly isolated it.

The landmark pact, however, faces political opposition in Europe and Washington that could ultimately fail it, highlighting the difficulty of dealing with an authoritarian pact Superpower that is both an economic rival and a lucrative market.

A large group in the European Parliament, which must ratify the agreement before it can enter into force, rejects the agreement on the grounds that it is not doing enough to stop human rights abuses in China. In addition, a top advisor to President-elect Joseph R. Biden Jr. has signaled that the new administration is not happy with the deal.

Chancellor Angela Merkel has made the agreement a priority because of its importance for German automobile manufacturers and other manufacturers with major activities in China.

The pact relaxes many of the restrictions placed on European companies in China, including the requirement that they operate through joint ventures with Chinese partners and share sensitive technology.

The deal also opens China to European banks and contains provisions to cut secret government subsidies. Foreign companies often complain that the Chinese government is secretly subsidizing domestic companies to give them a competitive advantage.

The agreement will “significantly improve the competitive environment for European companies in China,” said Hildegard Müller, President of the German Association of the Auto Industry, in a statement before the announcement. “It will give new impetus to a global, rules-based framework for trade and investment.”

China’s leader Xi Jinping also made reaching the deal a priority and empowered negotiators to make enough concessions to persuade Europeans to move on.

Wednesday’s announcement was preceded by a video call attended by Mr Xi and the President of the European Commission, Ursula van der Leyen, to seek an in-principle deal.

European officials said a breakthrough came in mid-December when China made a major concession to increase its commitment to international standards on forced labor. China also agreed to step up its efforts to combat climate change.

Valdis Dombrovskis, the European trade commissioner, said the deal was the “most ambitious” pact of its kind that China has ever agreed to.

“The value of the deal goes beyond euros and cents as it also anchors our value-based trade agenda with one of our largest trading partners,” Dombrovskis said in a statement on Wednesday.

The conclusion of the pact is a diplomatic victory for China, whose international standing has been damaged in terms of dealing with the coronavirus pandemic and crackdown in Hong Kong and the predominantly Muslim province of Xinjiang.

These issues – and the caution of China’s pledges to genuinely open up to foreign investment – became the focus of opposition to the deal as the final details were clarified. For the Chinese, the agreement has shown that the country is not exposed to any diplomatic isolation worth mentioning when it comes to dealing with human rights.

Economy & Economy

Updated

Dec. Dec. 23, 2020 at 8:59 p.m. ET

China also appeared keen to reach an agreement before Mr Biden took office in January. He reckoned that closer economic ties with the Europeans could prevent the new government from trying to develop an allied strategy to challenge China’s trade practices and other policies.

Speaking on Monday, Mr. Biden said the United States is “stronger and more effective on all issues that matter to US-China relations when we are flanked by nations who share our vision for the future of the world Share the world. ”

Right now, he said, there is “an enormous vacuum” in American leadership. “We need to regain the trust and confidence of a world that has begun to find ways to work around us or without us.”

The White House also opposed the deal, but had little leverage among Europeans to block it. The Trump administration has been trying to isolate China and its businesses for months. She announced new restrictions this week on those tied to the People’s Liberation Army, only to be rejected by countries that are still ready to engage the Chinese.

The decision by the Europeans to overlook objections from Camp Biden was an indication that relations with the United States will not automatically fall back on the relative bonhomie that prevailed during the Obama administration.

President Trump’s fondness for burning bridges with long-standing allies inspired Europe to largely ignore the United States in pursuing trade deals with countries like Japan, Vietnam and Australia. European diplomats said this week that while they hope for a more cooperative relationship with the Biden administration, they could not subordinate their interests to the US election cycle.

Members of the European Green Party, among others, say the deal is not enough to open up China’s markets, honor previous commitments on trade and the environment, or tackle human rights abuses, including forced labor and mass internment of Uyghurs and other Muslims in far west Xinjiang.

Opponents may be able to collect enough votes to block ratification in the European Parliament.

The negotiators for China and the European Union have been working on an agreement for nearly seven years, but progress suddenly accelerated after Mr Biden defeated Mr Trump in the elections.

Unlike Mr Trump, who has often been hostile to Europe, Mr Biden is expected to try to work with the European Union to curb Chinese ambitions. However, it could take many months for these efforts to materialize.

United States law prohibits members of the new administration from dealing directly with foreign officials until Mr Biden takes office on January 20. In an interview in early December, Mr Biden said he planned a full review of trade relations with China and consulted allies in Asia and Europe to develop a coherent strategy before making changes to US trade terms.

“I will not take any immediate steps,” he said.

In the meantime, Mr Biden’s advisers have used public statements to warn European officials against rushing to act and to convince them of the benefits of waiting for coordination with the new American administration.

The decision of Mr. Biden to serve as National Security Advisor, Jake Sullivan, wrote on Twitter this month that the new administration would “welcome early consultations with our European partners about our shared concerns about China’s economic practices.”

Chinese officials have been pushing to keep the deal on track in recent weeks, especially after the opposition became public in Europe.

When talks stalled last week, the Chinese Ministry of Commerce said in a statement that the deal “would be of great importance to the recovery of the world economy.” It was said that both sides had to be ready to meet “halfway”, but that China would protect “its own security and development interests”.

Despite the provisions of the treaty on forced labor, Chinese officials have repeatedly denied that the country is practicing in Xinjiang or elsewhere, despite evidence to the contrary. The vehemence of these rejections raises questions about how China can be expected to comply with obligations to protect workers’ rights.

“The so-called forced labor in Xinjiang is an outright lie,” said a Foreign Ministry spokesman Wang Wenbin recently. “Those responsible for such despicable slander should be convicted and brought to justice.”

Ana Swanson reported from Washington, Keith Bradsher from Beijing and Monika Pronczuk from Brussels.

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Business

China Has All It Must Vaccinate Hundreds of thousands, Besides Proof Its Vaccines Work

Hospitals across China have almost everything that is needed for mass vaccination: millions of doses. Refrigerators to store them. Health care workers trained to manage them.

Anything but evidence that one of their vaccines is working.

Unlike their Western competitors, the Chinese companies have not released late-stage clinical trial data showing whether their vaccines are effective, and regulatory agencies in China have not officially approved them.

This hasn’t stopped local governments across the country from launching an ambitious vaccination campaign. The aim is to vaccinate 50 million people – roughly the population of Colombia – before the New Year holidays by mid-February, when hundreds of millions of people are expected to travel.

China, where the virus first emerged a year ago, will be making great – and scientifically unorthodox – efforts to prevent the outbreak from recurring. Although Beijing has not officially announced the vaccination target, the government has signaled that the rollout will be similar to the outbreak, through a top-down approach that can mobilize thousands of workers to produce the shots, too send and manage. Local officials were told that the trip was a “political mission”.

The campaign will focus on what China calls ‘key priority groups’ including doctors, hotel workers, border control personnel, Food warehouse and transport workers and travelers. Irene Zhang, a 24-year-old college student, received a vaccine in Hangzhou on December 22nd before going to graduate school in the UK next month.

“Because my situation is pretty urgent and all the students around me going abroad have accepted it, I think it is relatively reliable,” said Ms. Zhang.

Even before this current campaign, more than a million people had lined up for vaccinations, confusing scientists who warned that taking undetected vaccines poses potential health risks. Their efforts, which are now larger in scope, are similarly implemented on an ad hoc basis.

The southern province of Guangdong has 180,000 people – mostly workers who are involved with food Storage and transportation, quarantine facilities and border controls – had been vaccinated by December 22nd. 281,800 people had been vaccinated in eastern Zhejiang Province. In Wuhan, where the outbreak was first discovered, the government said it had designated 48 vaccination clinics for its emergency program that began Thursday.

China, which is testing five vaccines in phase 3 studies, has not provided any information from this final phase to prove the effectiveness of these vaccines. In contrast, the United States and Great Britain began vaccination after reviewing and approving such experimental data.

Instead, Chinese officials have made extensive statements with few details to reassure the public that the vaccines are safe and effective. Three of the vaccines are only approved for emergency use. Last month, Liu Jingzhen, the chairman of Sinopharm, a state-owned vaccine maker that has two vaccines in late studies, said none of the roughly 1 million people vaccinated so far had side effects and that “few had mild symptoms.”

The dates and approval are expected to be available within weeks. While there have been promising signs, there are limitations.

The UAE and Bahrain said this month that a vaccine made by Sinopharm was effective, although they provided few details on how the conclusions were drawn. Turkey said a vaccine from Sinovac, a private vaccine maker based in Beijing, had an efficacy rate of 91.25 percent, a result based on preliminary results from a small clinical study. Officials in Brazil said the Sinovac vaccine had an efficacy rate of over 50 percent but had postponed the publication of detailed data.

The extent and speed of the vaccination campaign are the result of a centralized public health infrastructure in an authoritarian system. During the crisis, China showed how it can mobilize thousands of workers to reach millions of people. it tested 11 million people in 10 days in Wuhan.

Updated

Apr. 29, 2020, 6:59 p.m. ET

Chinese vaccine manufacturers have worked to increase production, both for the country’s own needs and for global exports. The Chinese government has promised to produce 610 million cans by the end of the year and expects to produce more than a billion cans in the next year.

“If they say 50 million, they probably will,” said Jennifer Huang Bouey, a senior policy researcher at RAND Corporation and an epidemiologist. “The question is how much it would cost and what effect that would have.”

The whole effort took months of preparation. Since June, hospitals in Guangdong Province have started building vaccination clinics, equipping them with refrigerators and installing cold storage systems.

Sinopharm was doing exercises this month. During the test run, workers loaded boxes of the vaccines and ice packs, while the company official tracked the temperature of the vaccines in real time as they were shipped.

China has some advantages in introducing it. Unlike the Pfizer vaccine, the vaccines made by Sinopharm and Sinovac are based on traditional methods that use inactivated or weakened forms of the virus, making them easier to store and distribute.

But the pitfalls are numerous, as the US experience has shown. in the In the United States, just over two million people have received Covid-19 vaccine, well below the government’s 20 million target for this month. Hospitals had to prepare the frozen shots and find staff to occupy the clinics.

While China was preparing, local officials asked the number of people in the “key priority groups”. According to a government document from Xinchang County in Zhejiang Province, they had to “make sure there were no omissions.”

As recently as two months ago, it seemed that demand might exceed supply. The eastern city of Yiwu had offered 500 cans that were used within a few hours.

Ms. Zhang, the student, said She had initially hesitated about getting vaccinated because everyone around her told her to “wait and see”. Nevertheless, she tried to register in Yiwu, but could not secure a place.

Then on December 21st, Ms. Zhang heard that Hangzhou was launching its own vaccination campaign. She took a bullet train that evening and signed a lease with her friend in town because local authorities required proof of residence. The next day, she paid $ 35 and was shot by Sinovac.

According to Ms. Zhang, four or five people were waiting for the vaccine in the hospital. The process took an hour. This included registering, getting the shot, and waiting 30 minutes to see if any side effects occurred.

“Everything was very calm and tidy,” she said. Before she left, the doctor warned her: don’t shower. Don’t stay up late. Do not eat foods that may irritate your stomach.

The government has emphasized that the vaccination campaign is voluntary and that people have to pay for the vaccinations. Yanzhong Huang, a senior fellow on global health at the Council on Foreign Relations and a health care expert in China, noted that the two-dose regime could cost about $ 70, making it inaccessible to the rural poor.

China may also have trouble convincing people to take the vaccine. Scientists warn that the lack of transparency could spark fears about taking a new vaccine, especially in an industry with a history of quality scandals.

Tao Lina, a vaccine expert and former immunologist at the Shanghai Center for Disease Control and Prevention, said he knew several health care workers who turned down the shots. “In the minds of doctors, they believe that any drug that fails Phase 3 trials is unreliable,” Tao said.

Mr. Tao, who received a Sinopharm vaccine Monday, said he was confident the vaccines were safe and effective, reiterating officials’ comments that there had been no reports of serious side effects. But he added that companies could do better with their news.

“If you say it’s safe, you should come up with all kinds of evidence to show it’s safe,” he said.

Hminem Zhang, a 27-year-old sales rep at an internet company, said he wanted to get vaccinated because he had traveled to work and feared that the virus could reappear if the virus recurs. But he is concerned about the ones made in China because “not many people received them,” he said.

“I would like to wait a month or two for some official data to be released,” said Mr. Zhang, who is from Chongqing, southwestern town. “And then if there’s no news about side effects, I’ll get a chance.”

Liu Yi, Amber Wang, and Elsie Chen contributed to the research.

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Business

Sailors Stranded for Months as China Refuses to Let Ships Unload Australian Coal

Jag Anand is owned by an Indian company, Great Eastern Shipping. While Great Eastern Shipping kept the crew busy, it said it could not unilaterally leave the ship because the ship was chartered to another company, Cargill, based in Minneapolis. It in turn had rented the Jag Anand to another company.

At the other end of the chain are the buyers of Australian coal on the Jag Anand: the Chinese company Tangshan Baichi Trading. It bought the freight from an Australian supplier, Anglo American. When contacted, Great Eastern Shipping and Cargill said it was the ultimate responsibility of the buyer to decide whether the Jag Anand could leave the port of Jingtang.

“It is a local law that you must get authorization from the port authority to depart. One of the conditions is that you must have authorization from the consignee,” said Jan Dieleman, president of Cargill’s maritime transportation business. He found that the recipient could have sold the cargo to others, which further complicates the approval process.

Phone calls over two days to contact Tangshan Baichi Trading went unanswered.

Anastasia is in a similar situation. It flies the Panamanian flag, but belongs to the Mediterranean shipping company from Switzerland, which has chartered the ship to the Chinese company Jiangsu Steamship. The intended recipient of its coal is E-Commodities Holding, incorporated in the British Virgin Islands and listed on the Hong Kong Stock Exchange.

Each company in the chain said it only communicated with one or two other parties it dealt with directly, and they often said they weren’t sure about the names of the other parties involved. According to Dean Summers of the Maritime Union of Australia, it is an intentionally complicated system.

“Everyone points to the person next to them and nobody takes responsibility,” he said.

A week ago, when China’s state-run Global Times reported that China’s National Development and Reform Commission had approved 10 major energy companies to import coal “with no release restrictions except Australia,” many in Australia interpreted this as formalizing the unofficial ban on China. (The Global Times article has since been deleted from its website.)

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World News

Alibaba shares fall after reviews of anti-monopoly probe by China

Alibaba Group’s signage will be displayed during the company’s December 11th Global Shopping Festival on November 11, 2020 in Hangzhou, Zhejiang Province, China.

Aly Song | Reuters

BEIJING – Alibaba’s shares fell in Hong Kong and extended trading in the US when reports surfaced that the Chinese government is conducting an anti-monopoly investigation into the tech giant.

China’s state market regulator said Thursday through official online channels that it had launched an investigation into Alibaba for monopoly practices. The main problem was a practice that forces traders to choose one of two platforms instead of being able to work with both.

The news follows mounting – and largely unexpected – pressure from Chinese authorities to curb their largest tech companies through regulatory action.

Alibaba confirmed the market regulator investigation, saying “business operations remain normal.”

Bloomberg first covered the news announced by the Chinese state news agency Xinhua.

Alibaba’s shares closed more than 8% in Hong Kong on Thursday and fell that amount in New York premarket trading.

The regulators meet with Jack Ma’s other company

Also on Thursday, the Chinese authorities said they would meet with Alibaba subsidiary Ant to monitor the financial technology company on issues such as market-oriented behavior and taking into account the rights and interests of consumers.

People’s Bank of China said on its website that the other participating regulators are the China Banking and Insurance Regulatory Commission, the China Securities Regulatory Commission and the State Administration of Foreign Exchange.

Ant confirmed that he received a notice from regulators for a meeting on Thursday. Last month, regulators abruptly suspended the company’s massive IPO a few days before the planned Hong Kong and Shanghai listing.

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Categories
Business

China Opens Antitrust Investigation Into Alibaba

“This is an important step in strengthening anti-monopoly oversight on the Internet,” said the article posted on the newspaper’s website Thursday morning. “This will have a positive impact on regulating an orderly sector and promoting long-term healthy development of platforms.”

Political insiders and investors in China have speculated for years that national leader Xi Jinping would be tempted to crack down on Alibaba and Mr. Ma. They feared that their influence could increasingly offend the Communist Party and undermine control over capital markets and the Internet. However, until recently, Chinese regulators had been cautious.

Two recent party leadership meetings indicated that Mr. Xi was considering action.

The Politburo, a council of the party’s top 25 officials that meets every month or so, called for stronger anti-monopoly efforts at its meeting this month, although the official statement from the meeting did not identify any company or sector. This call was followed a few days later by an even clearer demand from the party leadership’s annual meeting on economic policy, which suggested that companies with Internet platforms would be subject to closer scrutiny.

The Chinese government “supports the innovative development of platform companies and the improvement of their international competitiveness,” read the official summary of the meeting. “At the same time, the development must be regulated by law and the digital rules improved.”

The supervisory authorities should “take decisive action against monopolies and inappropriate competitive behavior”, it says in the summary of the meeting.

Mr Ma’s remarks on financial regulation, held at a conference in Shanghai in October, appear to have helped catalyze the official backlash against Ant and Alibaba.

“If you are a rich man in Chinese culture and have very strong economic power and social influence, you are politically dangerous and you need to be very restrained for security reasons,” said Gary Liu, an independent economist in Shanghai.

People in China see Mr. Ma and Ant as the main beneficiaries of the authorities’ cautious approach to regulating internet financing. “Still, he complained,” said Mr. Liu. “This type of person is not respected in Chinese culture.”

Chris Buckley and Keith Bradsher contributed to the coverage.