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Chinese Fund Managers Sentenced to Death after Cheating Investors out of 1 Billion USD

HANGZHOU – Two brothers and their father were sentenced to death on Monday for cheating 15,000 investors out of over $1.1 billion in east China’s Zhejiang province. Ji Wenhua, president of the Yintai Real Estate and Investment Group, was sentenced to death for the crime

Gold at $7,000 article goes viral in Chinese media

Dan Collins CMR “Gold going to $7,000”, an article today in the Chinese media is going viral and one of the most viewed articles in the financial press. The article references American Jim Rickards and his concept of comparing inflation-adjusted gold prices. Most Chinese economists

Western paper markets manipulate gold prices lower as China takes the real stuff off the market.

It’s not uncommon for the large Wall Street banks to combine in shorting an entire years supply of minded silver in a single day.The same goes for all commodities. Endless paper printing getting funneled to Wall Street has destroyed all real price discovery. Capitalism fails

“American Collapse Theory” Gaining Ground in China

Dan Collins CMR When I moved to China back in 1998 I was surprised to learn how highly the Chinese thought of America. Of course China was a much poorer place back then but coming from the Detroit area I couldn’t fathom where was all

Chanos is back….This is getting sad

Chanos is back! His short China thesis is very long in the tooth but as it goes with most ego maniacs he cannot accept failure or that fact that he might be wrong. Being wrong on an entire country where you have never visited and

China Car Sales Up 22.6% -The Chinese economy is collapsing?

You have to laugh at the whole “China will collapse crowd” on CNBC and even respected sites like Zero Hedge. Personally, I love the Zerohedge stuff. They understand the ponzi-financial fraud-money printing-welfare state economy that now envelops the West. But China is a real economy,

Cloud Computing in China booming as American giants are pushed out

D.Collins CMR China’s cloud computing market is expected to be worth 37.2 billion yuan (US$6 billion) in 2017 as demand for the service grows, the Chinese-language China Securities Journal reported on Friday. Some American tech companies are watching the largest and fastest I.T. market in

Oil rig dispute could see repeat of Sino-Vietnamese War: report

Breaking News today that a Chinese vessel as rammed and sunk a Vietnamese fishing boat. All countries in the South China Sea and East China Sea are using fishing boats in a game of cat-and-mouse to challenge each other on their respective areas. This time

China now runs 4 of the world’s 5 biggest banks

Stockswatch China has become a banking powerhouse. Four of the five largest banks in the world are Chinese, according to SNL Financial’s latest global bank rankings. It’s a big change from the past few years when only two Chinese banks made the top five. Beijing-based

France relents to China, Chinese police to help patrol Paris streets

Scared of losing the Chinese tourist dollar, France has relented to China and will allow Chinese police on the streets of Paris. More signs of the benefits of third-world immigration into the West to the point where cultural breakdown has occurred and law and order

People’s Bank of China will take down global gold price manipulation

Gold has been flowing East for a decade. When the West wakes up to the fact that their gold is gone, they will no longer have sound money with which to back a currency. The world has only been off a gold standard since 1971

China to lower reserve requirement ratio

From the China Daily… BEIJING – China will lower banks’ reserve requirement ratio (RRR) by 0.5 percentage points starting May 18, the country’s central bank announced Saturday. The cut, the second of its kind this year, will drop the RRR for the country’s large financial

Chinese Officials Falsify Data To Mask Slowdown, NYT Says

Is China tweaking its numbers on GDP? Probably. For twenty years Chinese GDP roughy came in right on the governments target. This would be an almost magical performance record considering economists in the West can predict absolutely nothing. For years, China most likely lowered GDP

Japan Learning the Hard Way, Destroying your Currency is Not an Economic Strategy

Japan will learn the hard way that destroying your currency is not an viable economic strategy. Shanghai Daily JAPAN posted a record 1.63 trillion yen (US$17.4 billion) trade deficit in January as rising exports trailed surging imports of crude oil and gas due to rising

Renminbi-yen trade growing strongly a year after launch

One year after the launch of direct trading between the renminbi and Japanese yen, the daily trading volume between the two currencies has reached 50-100 billion Japanese yen on the Shanghai market and 15 billion yen on the Tokyo market, a combined volume double that

China would join ISIS fight under UN framework: Duowei

Want China Times

China has indicated that it might be willing to join the fight against the Islamic State (ISIS) jihadist group in Syria and Iraq as part of an international coalition within the United Nations framework, according to Duowei News, a US-based Chinese political news outlet.

At a UN Security Council meeting Wednesday on the resolution of conflict in the Middle East and North Africa and countering the threat of terrorism in the region, Chinese foreign minister Wang Yi said China “advocates extensive and comprehensive international counter-terrorism cooperation within the UN framework.”

Wang noted that the key areas for cooperation are: “the fight against cyber-terrorism; prevention of violent extremist ideology; cutting off terrorist funding channels; blocking terrorist mobility; strengthening the exchange of information on terrorism; giving full play to the role of the Security Council.”
“Regional order should be based on the UN Charter,” Wang added.

Though Wang does not directly mention military support, Duowei believes the comments suggest that China could be willing to participate in strikes against ISIS provided that these takes place within the UN framework. This appears to go against comments Wang made just a day earlier at a meeting of the five permanent members (P5) of the UN Security Council — China, France, Russia, the United Kingdom and the United States — and UN secretary-general Ban Ki-moon.

During the meeting on Sept. 29, Wang repeated Beijing’s plea for the crisis in Syria to be resolved through diplomatic means. The P5 “should unite and seek the opportunity to politically solve the Syrian crisis as the parties are showing more willingness to do so,” he said, adding that “progress on the political solution will contribute to greater synergy on anti-terrorism efforts of all sides.”

Duowei notes that on the question of striking ISIS, China remains stuck between the Russia and the US. While both are carrying out attacks against the group, Russia supports Syrian president Bashar al-Assad, while the US-led coalition of 60 nations backs Syria’s rebel forces. Though Russia announced it would be striking ISIS targets, it soon became clear that Russia is targeting rebel groups including those that have received limited training from the US, something Moscow at first denied and later admitted.

As recently as last week, Russian president Vladimir Putin said Russia would continue to provide the necessary military and technical assistance to Syria to fight ISIS and urged other countries to join the efforts. US president Barack Obama, however, said Thursday that Russian airstrikes have been counterproductive because they are not distinguishing between ISIS targets and the so-called “moderate opposition” the group the US believes will be essential for Syria’s eventual political transition.

The British prime minister, David Cameron, joined Obama in criticizing Putin, stating that by “backing the butcher Assad” Russia is making the situation worse.

Russia is said to be actively seeking to entice China into joining its camp. At UN headquarters in New York last week, Wang and his Russian counterpart Sergey Lavrov both pledged to continue working to progress their coordination in international affairs within the UN framework. Lavrov even made special mention that Russia and China have a “similar position” on many international and regional issues and they share close communication and cooperation on UN affairs.

Several Russian media outlets have also published unverified reports claiming that China has already sent military advisers and will soon be deploying troops to help out the Syrian government in the fight against ISIS.

On the other hand, Chinese president Xi Jinping has just completed a state visit to the US, and US deputy secretary of state Antony Blinken is scheduled to visit Beijing from Oct. 8-10, during which it is believed that China will again invited to join the US-led coalition against ISIS.

Iraq’s foreign minister, Ibrahim Jafari, is reported to have said that Wang offered to assist in defeating ISIS when the two met at the UN’s anti-terrorism meeting last week, but noted that Chinese involvement would be independent from the US-led coalition. “I welcomed this initiative. I told him we are ready to deal with the coalition and also co-operate with countries outside this coalition,” Jafari said.

However, Beijing has declined to comment on Jafari’s comments, with Chinese foreign ministry spokesperson Hong Lei merely stating: “China has been fighting terrorism and has been providing support and assistance to Iraq, including the Kurdish region in our own way, and we will continue to do so within the best of our capabilities.”

Duowei states that there are observers who believe China should not get involved in the strikes against ISIS because it would be forced into choosing sides between the US and Russia. Another consideration for China is the religious consequences of tackling ISIS, which is mainly composed of Sunni Arabs from Iraq and Syria. Such a move could damage China’s ties with Arab League countries dominated by Sunnis and could also worsen tensions domestically as the Uyghur people of the restive northwestern region of Xinjiang are also predominantly Sunni Muslims.

Moreover, neither Iraq nor Syria are part of Beijing’s ambitious “Belt and Road” intiative to boost connectivity and cooperation throughout Eurasia, Duowei said, meaning that the stakes are not high enough for China to become involved.

Conversely, there are observers who believe China must get involved in strikes against ISIS one way or another. Given the rising number of terror attacks in China — almost all of which have been blamed on Islamic separatists from Xinjiang — there is the view that the longer the fight against ISIS continues, the worse the domestic security situation will be.

Accordingly, Duowei said, it makes sense that China would choose to join anti-ISIS efforts through UN mechanisms if the parties can agree to such a coalition. This would prevent Beijing having to choose sides and avoid the perception that China is interfering with the internal politics of other countries, Duowei added.

As support for this proposition, Duowei also points out that Xi recently pledged 8,000 troops to a UN peacekeeping standby force and US$1 billion to set up a China-UN peace and development fund.

Shock Upset: America Edges China in Math Olympiad

China has proven itself the greatest country in terms of math education.
The average American teenager is now totally ignorant in math compared to
others in the developed world especially when compared to the average
Chinese teenager. How to have time to study math when you have to keep
up with the Kardashians on social media.

In the last 20 years China has only lost the Math Olympiad 4 times and
in that space of time and have been crowed champion 16 times. China has
totally dominated the Math Olympiad. The only other countries who could
possibly challenge the Chinese were S.Korea or Russia both countries whom
have won the contest in the last 10 years.

Then this week something remarkable occurred.

The U.S. edged out China by four points, 185-181 to win the international
math Olympiad in Chiangmai, Thailand.

Five U.S. team members won gold medals: Ryan Alweiss, Allen Liu, Yang Liu,
Shyam Narayanan and David Stoner. A sixth member, Michael Kural, missed gold
by one point, settling for silver.

U.S. Mat Olympiad

File written by Adobe Photoshop¨ 5.2

File written by Adobe Photoshop¨ 5.2

U.S. Marines to relocate 30,000 Marines to Hawaii to counter China

In the face of China’s growing presence in the South China Sea, the United States Marine Corps is moving ahead with plans to eventually place nearly 15% of the service’s personnel in Hawaii and beyond, reports Duowei News, a US-based Chinese political news outlet.

Citing a report from South Korea’s JoongAng Ilbo, it is noted that the 190,000-strong US Marines Corp specializes in expeditionary warfare and is typically mobilized for regional conflicts or the rapid delivery of combined-arms task forces with the US Navy.

Experts believe the aim of of relocating nearly 30,000 marines is to reduce America’s reaction time in the Asia-Pacific and form a key part of US president Obama’s “Asia rebalancing” strategy.

The US-based Marine Corps Times notes China’s land reclamation activities and military constructions on disputed islands in the South China Sea as a primary reason for the personnel placement, along with the development of North Korea’s nuclear program and Russia’s increased activity in Japanese air space.

Meanwhile, South Korea’s Munhwa Ilbo has reported that America’s “four major strategic weapons” — nuclear powered aircraft carriers, B-2 stealth bombers, F-22 stealth fighters and nuclear submarines — will either be in South Korea or be stationed at the US naval base in Guam next month, possibly as a warning to a possible fourth nuclear test by North Korea.

The report states that three B-2 bombers were moved to Guam in August, while the advanced USS Ronald Reagan nuclear-powered aircraft carrier and two F-22 fighters will visit South Korea in October. The RQ-4 Global Hawk drone is also expected to make an appearance at the Seoul International Aerospace & Defense Exhibition from Oct. 20 to 25.

About 80% of diesel emissions data in China said to be false

Want China Times
Auto giant Volkswagen was recently caught cheating US pollution tests by installing software able to sense when emission testing was in progress, but China’s diesel carmakers have been using more serious cheating measures in terms of emission controls, reports Shanghai’s China Business News.

Volkswagen’s hidden technology allowed the car’s emissions controls to run at their maximum settings during official testing, but the cars emit 10-40 times the legal amount while on the road.

If a similar scandal happened in China, it would be covered by media for even longer than the scandal in the US news, said one unnamed industry analyst. However, producing false emissions data is already an open secret in China’s diesel car industry, the analyst said.

Putin: Do you realize what you have done?


Russian President Vladimir Putin told the U.N. on Monday that those who supported democratic revolutions in the Middle East are to blame for the rise of a globally ambitious Islamic State.

“Instead of the triumph of democracy and progress, we got violence, poverty and social disaster — and nobody cares a bit about human rights, including the right to life,” Putin said through a translator. “I cannot help asking those who have forced that situation: Do you realize what you have done?”

The Russian president added that the power vacuum following these revolutions led to the rise of terrorist groups in the region — including the Islamic State group.
He told the United Nations General Assembly it would be an “enormous mistake” not to cooperate with the Syrian government to combat the extremist group.

“No one but President (Bashar) Assad’s armed forces and Kurdish militia are truly fighting the Islamic State and other terrorist organizations in Syria,” he said.

In an earlier speech at the U.N., President Barack Obama said it would be a mistake to think that Syria could be stable under Assad.

Acknowledging some of the criticism lobbed at Russia’s proposal, Putin said his country is only proposing to help save the world from terrorism.


China Punishes 249 ‘Lazy’ Officials

Many officials preferred to “dither” over major projects to avoid being scrutinized by anti-graft officials.

BEIJING, Sept 29 (Reuters) – China has punished 249 officials for laziness, exemplified by failure to spend government funds, delays to projects and sitting on land earmarked for development, as the government wages war on graft, state news agency Xinhua said.

Spooked by China’s biggest-ever crackdown on corruption, many officials have preferred in the past 18 months to dither over approvals for major projects, so as to avoid drawing the scrutiny of anti-graft officials.

That has annoyed Beijing, which has scolded procrastinating local governments for their laziness and repeatedly threatened to punish them by recalling their untouched budgets.

Xinhua said the 249 officials in 24 provinces, regions or cities had been sacked, or given administrative demotions or warnings after an investigation running from the end of May until the middle of June.

As late as May this year, a food recycling project in the northern province of Shanxi had yet to start construction, even though the government had released funds for it in 2012, Xinhua said late on Monday, listing some of the most telling examples.

“The aim of holding these people accountable is to promote work and manage the issue of laziness in government and doing nothing … and ensure this year’s economic targets are on track,” the report cited an unidentified official as saying.


8 billion yuan bid – worth 20 times more than the existing deal


CCTV, IMG and Infront – all huge names in the sports industry – were among the suitors to buy the rights to produce and broadcast the Chinese Super League. But these three, and others, were obliterated by the bid submitted by the comparatively little known Tiao Power, worth a staggering 8 billion yuan over five years.

Reports say that Tiao’s 8 billion yuan bid – worth 20 times more than the existing deal – dwarfed the 4.3 billion submitted by Shanghai’s Great Sports channel, 4 billion from CCTVSE (the sports marketing wing of the broadcaster) and 1.75 billion from Guangdong’s GDTV. IMG, Infront and two other parties didn’t make it through to the final after failing to satisfy all of the CSL’s requirements in the submission process.

Under the terms of the deal, Tiao will pay 1 billion yuan in each of 2016 and 2017, followed by 2 billion yuan each year from 2018-2020. It’s a huge amount of money by Chinese standards for a product that, while improving, is still way behind the top European leagues, and Tiao is clearly gambling that losses in the first few years of the deal could be compensated by profits 4-5 years down the line.
The company, run by media mogul Li Ruigang (above) – also known as China’s Rupert Murdoch – won the broadcast rights to Chinese national team matches earlier this year for 70 million yuan, ending the CFA’s long association with CCTV. Of course, CCTV could still end up broadcasting both Chinese national team and CSL games, but that is far from certain, and they would have to pay handsomely for the privilege.

Ti’ao Power’s GM, Ms Zhao Jun, earlier this year dismissed talk of a pay-per-view model, citing previous failures in China, although English Premier League games are now available on a wide variety of online platforms, some of which cost 5.99 RMB (standard definition) or 9.99 RMB (HD) per game.

The CSL deal has been met with widespread disbelief, with few in the industry able to imagine that Tiao Power will see a return on its investment, but it was only five months ago that China’s far-reaching soccer reforms were announced, so who knows where the market will be in five years’ time?

One thing, though, is certain: the monopolistic days of CCTV are over, and that is surely beneficial to China’s sports industry as a whole.


George Osborne begs China to stump up cash for HS2 and ‘Northern Powerhouse’

GEORGE Osborne is today attempting to woo Chinese investors to give billions of pounds of cash to fund the High Speed 2 (HS2) project and inject life into the ‘Northern Powerhouse’ dream.


The Chancellor told Chinese investors that seven new engineering contracts on the controversial rail project are now open for bidding with a total combined value of £11.8bn.

Mr Osborne also announced a ‘HS2 partnering day’ between British and Chinese firms to explore joining up on bids for contracts on the high speed rail service running from London to the Midlands, and the North, with construction starting in 2017.

At the same time, the Chancellor wants Chinese cash to pay for a number of Northern infrastructure and regeneration projects, including the ‘Atlantic Gateway’ connecting the Port of Liverpool to the City of Manchester and Science Central in Newcastle.

Around £24bn worth of investment opportunities into the North of Britain are to be presented to investors in Chengdu, China later today.

The Chancellor is expected to say: “This Government is committed to rebalancing our economy and building a Northern Powerhouse, and improving transport links and launching HS2 is key to supporting long-term economic growth across the North and Midlands.

“That’s why I’m here in China today opening the bidding process for construction contracts worth £11.8bn, which will propel HS2 forward.

“We are truly entering a golden era of co-operation between our two countries, and it’s crucial that businesses and communities from across the UK feel the full benefit of forging closer economic links with China.”

This week Mr Osborne has already announced that the Chinese will provide £2bn worth of investment into the Hinkley Point C nuclear power plant in Somerset and a further £1.2bn to create 10,000 new homes in Manchester, Leeds and Sheffield.

He is currently on a five-day trade tour of China as part of efforts to build a ‘golden’ relationship between the two countries where he announced that wants to take China from Britain’s sixth largest trading partner to its second.

Mr Osborne is desperate to provide more links between Britain and China, and has urged universities and businesses in the North to reinvigorate cultural and education links.

Next month Chinese President Xi is to visit Britain in October in another display of economic cooperation.


Chinese property set to pop again

Prices in tier 1 cities in good locations are popping again. Tier 2 and 3
cities that are overbuilt will suffer for a decade.

You can still pick up a 3 bedroom luxury apartment for $600-700k in the
major cities such as Shanghai or Beijing. A similar property would cost
you $3-$5 million USD in London or New York.

Russo-Sino Military Alliance Goes Live-Chinese Military Personal to arrive in Syria

The Russian/Chinese military alliance that has been building has now
gone live and will be jointly-operating in the Middle East. With the
U.S. refusing to leave the region and continuing to topple governments
through Al-Queda backed proxies it looks like the Russo-Sino axis
is now countering with their own military adventures in the Levant.

Russian-Chinese forces will now face down ISIS and American backed
Al-Queda groups in Syria, meanwhile, U.S. administration is trying to
import people from the region as fast as possible.

The U.S. economy now consists of blowing up your country, importing people
and giving them printed money to buy consumer items from China.


The recent arrival of the Russian Marines and Air Force to the Syrian port-city of
Tartous has generated a significant amount of interest around the world, as the
possibility of Russia’s direct military intervention becomes the focal point of
the war on ISIS (Islamic State of Iraq and Al-Sham).

Should the Russians begin military operations in Syria, what role with the U.S.
led “Anti-ISIS Coalition” play in combatting the terrorist group? Will they
coordinate with one another? Will they avoid one another?

It seems both sides have their own strategy to combat ISIS, but the U.S. has had
far more experience fighting the terrorist group, despite their minimal success
in obstructing their growth and advance in Syria and Iraq.

Russia seems poised to take a similar approach to the U.S. led Coalition; however,
they are not seeking the assistance of the neighboring Arab countries to combat
the terrorist group.

Instead, the Russians appear to have a contingency that involves another world power
that was absent from the U.S. led Anti-ISIS Coalition: China.

On Tuesday morning, a Chinese naval vessel reportedly traveled through Egypt’s Suez
Canal to enter the Mediterranean Sea; its destination was not confirmed.

However, according to a senior officer in the Syrian Arab Army (SAA) that is stationed
inside the Syrian coastal city of Latakia, Chinese military personnel and aerial assets
are scheduled to arrive in the coming weeks (6 weeks) to the port-city of Tartous –
he could not provide anymore detail.

Russia has made it abundantly clear that they are taking an active role in this
conflict, but the news of the Chinese military to Syria provides more insight into
their contingency.

It appears that Russia is not going to combat ISIS alone: the plan is similar to the
U.S.’ idea of a “coalition” of air forces, but far more involved on the ground; this
is something the U.S. and their allies have avoided since the inception of their
war against ISIS.

Despite all of this, Russia and the U.S. appear to be at it again; however, this is
no space or arms race, they are actively flexing their muscles through their proxies
(U.S.: rebels and Russia: Syrian Army).


The Dreamliner is your dream. We want to build our own airplanes.”

A good example of nationalist company executives from China marching to
the same drum and lifting up their country. U.S. executive can’t move fast
enough to move jobs and profits offshore.

China Eastern Airlines wants to build more of its own airplanes, a company
executive announced this week. Liu Shaoyong, chairman of the airline and
president of China Eastern Air Holding Company, came to town during Chinese
President Xi Jinping’s visit to Seattle this week to speak as part of a panel
at a U.S.-China trade conference on Tuesday.

“The Dreamliner is your dream,” he told U.S. and Chinese delegates at the
conference. “In China, we want to fulfill our dream. We want to build
manufacture our own airplanes.”

While right now, Chinese aerospace manufacturers aren’t a big threat to Boeing
(NYSE: BA), that could change as the Chinese planes get more sophisticated in
their design and technology.
Liu called on the Federal Aviation Administration to support the Chinese-made
C919 aircraft. The single-aisle plane is built by the government-funded
Commercial Aircraft Corporation of China or COMAC to directly compete with
Boeing’s 737 series.Earlier this month, a Thai airline placed an order for 10
of the C919 planes to replace two leased Boeing 737-400s. The C919s aren’t quite
as technologically advanced as Boeing’s Renton-built 737s, but the planes use a
similar engine.

It’s a troubling trend for Boeing, which sees China as its largest future market.
Liu spoke on the eve of Boeing’s announcement about a $38 billion deal to sell
300 jets to China and build its first-ever overseas production facility in the
country. The facility will finish 737s destined for Chinese airlines. Chinese
airlines took delivery of about 30 percent of all of the Boeing’s single-aisle
planes this year, and the company is banking on that trend to continue.

Japan fears China could restrict vital shipping lanes

Want China Times

Japan’s access to maritime shipping lanes will be under serious threat if China is able to assert control over the entire South China Sea, according to a commentary by Yasu Ota, an editor of the Tokyo-based Nikkei published on Sept. 21.

Ota said that about a quarter of the 350 vessels that pass through the Strait of Malacca via Singapore every day belong to Japanese enterprises. The shipping lane extending from the Strait of Malacca through the South China Sea and the Taiwan Strait is considered Japan’s maritime lifeline, providing a shortcut for the country’s enterprises to transport strategic supplies such as oil from the Middle East, according to the author.

However, China claims both the South China Sea and the Taiwan Strait as its territorial waters. If China exercised control over these maritime areas, Japan’s economy would be under Chinese control, the piece said. To prevent this from happening, the United States is trying to bring Malaysia into its Trans-Pacific Partnership even though its economic policy is not as liberal as Singapore and Brunei, Ota said.

U.S. negotiating to send back 25,000 Illegal Chinese immigrants to China , keep $600m in stolen money and bring in 500,000 Muslims

The China Money Report

News leaked today from Duowei that the Chinese government is allegedly willing
to forgo returning US$600 million in illegal assets and take back 25,000 illegal
immigrants from the US in return for the repatriation of Ling Wancheng, the
younger brother of disgraced Chinese presidential aide Ling Jihua, reports Duowei
News, a US-based Chinese political news outlet.

One of the goals of Xi Jinping’s meeting with Barack Obama in Washington this
week is said to be finding a way to send Ling Wancheng back to China, Duowei said.

The younger Ling is believed to have been hiding in the US since around 2013 or
2014. His elder brother Ling Jihua, best known as the political “fixer” of former
president Hu Jintao, was placed under investigation by anti-graft authorities in
December 2014 and expelled from the Communist Party on July 20.

Duowei alleges that Beijing has been pressuring Washington to return Ling Wancheng
to China through months of secret negotiations. The reason Beijing wants Ling
Wancheng so badly is because he is believed to be in possession of a significant
amount of classified and top secret information, said to have been given to him
by his older brother as leverage. Duowei said it is likely that this rumor is true
as one of Ling Jihua’s alleged crimes outlined by state media is obtaining “a great
deal of the party and state’s core secrets.”

There is increasing speculation that the information held by Ling Wancheng includes
a list of Chinese spies on foreign soil, Duowei said. If that information is handed
over to the US it would mean far more than losing Chinese agents, as it also would
allow for targeted policies against China and provide Washington with an overwhelming
strategic advantage, Duowei added.

According to Duowei’s sources, Beijing made two concessions to entice US authorities
to hand Ling Wancheng over during negotiations. First, Chinese authorities will forgo
chasing down all the illegal assets he has stashed away in the United States, which is
said to total around US$600 million. Second, China will agree to take back 25,000
illegal immigrants living in the US.

In other news …John “the traitor” Kerry after having started the problems in Syria
by backing Al-Qaeda rebel groups in Syria against the Assad regime is now telling the
world of a new plan that the U.S. will bring in more than 500,000 war refuges by 2020.
Under the new plan, the limit on annual refugee visas would be increased to 85,000 in
2016. The cap would then rise to 100,000 in 2017.



China may have conducted test flight of world’s fastest aircraft

Want China Times

China may have recently conducted a successful test of the fastest hypersonic aircraft in the world, reports Hong Kong newspaper Ta Kung Pao.

According to a report released Friday on the official website of state-owned aerospace and defense giant Aviation Industry Corporation of China (AVIC), one of its test flight centers has completed an initial test flight on an unspecified high-altitude, super-fast aircraft with a “unique flying style.”

Though the report was deleted shortly after, military analysts believe it is likely that China is developing a new hypersonic aircraft that can travel at five times the speed of sound.

The Shanghai-based Guancha Syndicate said that while the AVIC report did not divulge the model of the plane or what missions it can carry out, it is clear from reading between the lines that the aircraft is a hypersonic demonstrator that can travel at record speeds. This means an aircraft that can travel faster than Mach 5, or 6,125 kilometers per hour.

A Chinese military expert who uses the online handle KKTT believes that AVIC is developing a new high-altitude, hypersonic unmanned aerial vehicle requiring a carrier aircraft such as an H-6 twin-engine bomber. The drone will be launched once it is carried to a high enough altitude and will climb by itself to cruising altitude before traveling at hypersonic speed, KKTT said, adding that the drone will be able to return to base itself.

And as reported today….

As the SR-71 should have been retired by the US Air Force already, a better point of comparison is the D-21 Mach 3+ reconnaissance drone, KKTT said. Also launched from an a carrier aircraft, the D-21 has a top speed of Mach 3.3-3.5, a service ceiling of 29,000 meters and a range of 5,550 kilometers. The UAV also has a length of 12.8 meters, a wingspan of 5.8m and a launch weight of five tons.

China is currently developing a Turbo Rocket Combined Cycle (TRCC) propulsion system that would enable top speeds between Mach 4.5-5. However, as the TRCC engine is still under development, it is more likely that the new drone is using a less advanced Rocket-Based Combined-Cycle (RBCC) engine, KKTT said.

For the moment, Chinese drones can probably reach cruise altitudes of 30,000m and speeds of Mach 3, which is sufficient for the purposes of regional strategic surveillance, KKTT added.

News of the secret drone comes amid suggestions that the Chengdu Aircraft Design Institute is also developing two high-altitude, high-speed UAVs. Leaked satellite photos revealed that one of them is about 10m long with a winspan of around 6m. Though the size is similar to that of the D-21, the external appearance is said to be closer to the America’s retired X-15 hypersonic rocket-powered aircraft.

In addition, China’s J-20 fifth-generation stealth fighter aircraft is also said to be close to being ready to enter into service. The highly touted jet is said to be capable of rivaling America’s F-22 and F-35 fighters. China’s new J-10B multirole fighter has also conducting test flights, while the J-11B jet fighter, whose airframe is based on the Soviet-designed Sukhoi Su-27, has already been performing at air shows and military parades.

Duowei believes that news of the secret UAV may have been intentionally leaked by the Chinese government as Xi’s “present” to Obama. Such a move is not unprecedented as the maiden flight of the J-20 stealth jet when then secretary of defense Robert Gates visited Beijing in 2011. Since Xi has already exhibited the PLA’s weapons at the Beijing parade earlier this month to celebrate the 70th anniversary of Victory over Japan Day, the news leak could be his way of showing off Chinese arms technology for the future, Duowei said.


China continues to build high speed rail in less developed countries, next project to connect Las Vegas and Los Angeles.

Want China Times

The first high-speed railway project in the United States with Chinese investment involved is expected to kick off as early as September 2016, according to a senior Chinese official on Thursday.

The 370-km Xpress West high-speed railway project, also named the Southwest Rail Network, will connect Las Vegas, Nevada and Los Angeles, California.

Last week, Xpress West agreed to form a joint venture with China Railway International USA, to build and operate the rail, according to Shu Guozeng, deputy head of the Office of the Central Leading Group for Financial and Economic Affairs.

China Railway International USA is registered by a Chinese consortium led by national railway operator China Railway.

With US$100 million in initial capital, the new high-speed rail line will create abundant jobs throughout the interstate corridor. Implementation of necessary regulatory and commercial activities will begin within the next 100 days.

“As China’s first high-speed railway project in the United States, the project will be a landmark in overseas investment for the Chinese railway sector and serve as a model of international cooperation,” said Yang Zhongmin, chairman of China Railway International.

Europe Under Siege

China’s Raw Economic Power

China makes 80 percent of the world’s air conditioners –
that’s 109 billion annually.

The country produces about 1.8 billion tons of coal
(oil equivalent) annually, taking up 48.2 percent of the
world’s total.

Pork bred by China contributes 49.8 percent of the total
worldwide, hitting 1.5 million tons annually.

China annually produces 1.8 billion tons of cement, which
accounts for 60 percent of the world’s supply.

The number of shoes made in China annually reaches
12.6 billion, taking up 63 percent of the world’s total.

China makes about 70.6 percent of global mobile phones,
1.77 billion annually.

Overall capacity of solar cells hits 21.8 million kW
annually, 80 percent of the world total.

The country’s 4.3 billion energy-saving lamps account
for 80 percent of the global total.

China produced 286.2 million personal computers in
2014, accounting for 90.6 percent of the world’s total.

Chinese Stocks Surge 4.9%

Stocks surged on Wednesday, with the benchmark Shanghai index jumping 4.9 percent after sliding below the 3,000 level.The rush in the last hour of trading coincided with a pattern that has become associated with State support, said Bloomberg.

The Shanghai Composite Index turned around a two-day loss, closing at 3,152.26, up 147.09 points, while the Shenzhen Component Index rallied 6.5 percent to 9,890.43.

RMB-denominated Islamic bonds coming soon: DIFC chief

Essa Kazim, the governor of the Dubai International Financial Center (DIFC), said during a recent visit to Beijing that the center is discussing the prospects for issuing a renminbi-denominated Islamic bond with a bank in China.

He declined to disclose which Chinese bank will be the issuer of the first renminbi-denominated Islamic bond, Shanghai’s China Business News reports.

Promoted by Beijing’s “Belt and Road” initiative, all Chinese banks with branches and representative offices in the DIFC are interested in issuing Islamic bonds in the renminbi, Kazim told the daily.

All Islamic bonds issued so far have been issued in the US dollar.

Asked when the first renminbi-denominated Islamic bond will be issued, Kazim said it is difficult to say but he expects it will be soon because the Chinese banks showing interest in the matter all want to be the one to makehistory.

Islamic bonds are an important part of sharia compliant finance, Kazim said, and are issued by several major economies and Muslim countries, including Hong Kong and Malaysia.

Chinese banks have been increasingly active in the global financial exchange of the DIFC. In July, the Bank of China issued a renminbi-denominated “Belt and Road” bond worth 2 billion renminbi (US$322 million) on the Nasdaq Dubai.

The Industrial and Commercial Bank of China and the Farmers Bank of China have also issued bonds in Dubai. Now the three major Chinese banks and the China Construction Bank either have opened or are setting up branches in the DIFC to facilitate their expansion in the region.

During his stay in Beijing, Kazim proposed a DIFC project that supports the implementation of the Belt and Road initiative.

As the world’s second-largest economy, China should have a presence in the Middle East, one of the world’s important trade and financial hot spots, to help Chinese enterprises connect western and eastern markets, he said.


Russia positioning tanks at Syria airfield: U.S. officials

WASHINGTON (Reuters) – Russia has positioned about a half dozen tanks at an airfield at the center of a military buildup in Syria, two U.S. officials said on Monday, adding that the intentions of Moscow’s latest deployment of heavy military equipment were unclear.

Moscow has come under increased international pressure in recent days to explain its moves in Syria, where the Kremlin has been supporting Syrian President Bashar al-Assad in a 4-1/2-year war.

The Pentagon declined to directly comment on the Reuters report, saying it could not discuss U.S. intelligence. But a U.S. Defense Department spokesman said recent actions by Moscow suggested plans to establish a forward air operating base.