MoU signed to revitalize TAZARA railway

Chinese President Xi Jinping, Tanzanian President Samia Suluhu Hassan and Zambian President Hakainde Hichilema on Wednesday jointly witnessed the signing of a memorandum of understanding (MoU) on the revitalization project of the Tanzania-Zambia Railway Authority (TAZARA) railway.

Hassan and Hichilema are in Beijing for the 2024 Summit of the Forum on China-Africa Cooperation (FOCAC), which is taking place from Wednesday to Friday.  

While meeting with Tanzania's Hassan on Wednesday, President Xi said that China is willing to take the summit as an opportunity to push for new progress in the revitalization project of the TAZARA railway and jointly improve the rail-sea intermodal transport network in East Africa. 

These efforts will help Tanzania become a demonstration zone for deepening high-quality Belt and Road cooperation between China and African countries, Xi said. 

The revitalization of the TAZARA railway holds important symbolic significance - it is not only a historical testament to traditional China-Africa friendship but also a key project in promoting regional connectivity in Africa, Song Wei, a professor at the School of International Relations and Diplomacy at Beijing Foreign Studies University, told the Global Times on Wednesday. 

The 1,860-km single-track railway was constructed through an interest-free loan from China and started operation in 1976. It links Dar es Salaam in Tanzania with New Kapiri Mposhi in Zambia.  

Song noted that the TAZARA railway has played a crucial role in transporting copper from Zambia to Tanzania for export overseas, significantly contributing to the economic development of both countries. 

However, the railway has encountered poor management, aging infrastructure and reduced capacity over time, Song said.

China has discussed how to update the TAZARA railway and enhance its role in promoting Africa's development. With the signing of the MoU, the three countries can make further efforts in its revitalization, analysts said.

Some have proposed developing the TAZARA railway into a tourist project, which would not only attract visitors but also promote Africa's green economic development, providing new growth opportunities for local communities. 

Song said the TAZARA railway could serve as a pilot to explore how to achieve sustainable operation after a project was handed overed to African countries. 

In this way, the TAZARA railway could continue to serve as a bridge for China-Africa friendship while offering new momentum for Africa's economic development and China-Africa cooperation, Song said.

US can pare trade gap by easing export curbs, not pursuing protectionism

The US trade deficit surged by 7.9 percent from the prior month to $78.8 billion in July, the highest level in more than two years. Some political elites may still have an irrational fear about a deficit in foreign trade, even though much of their anxiety is unnecessary.

Faced with a persistent trade deficit, the US has been overburdened by excessive anxiety and has adopted protectionist measures in recent years targeting certain goods imported from certain countries, including China, to whittle down imports and trade deficits. But clearly, political elites in Washington have failed to do so, as the US trade deficit continues to widen. It's a bit ironic: it is not the trade deficit that poses a risk to the US economy, but trade protectionism actions.

A closer look into the US trade deficit shows that growth in July was led by increases in US imports. US exports in July were $266.6 billion, $1.3 billion more than in June, while imports were $345.4 billion - $7.1 billion more than the previous month, official data showed. Obviously, the growth in imports exceeded that of exports, resulting in a widening trade deficit.

Analysts attribute the pickup in US merchandise imports to multiple factors. First, some importers want to get ahead of a potential dockworkers' strike as reported by some media outlets by shipping cargo into the US earlier than usual. Second, retailers have begun stocking up as they bet on a strong holiday season. That's led to a surge in imports. 

The ports of Los Angeles and Long Beach, in California, which account for roughly one-third of all US container imports, had their third-strongest month ever in July, according to Bloomberg. Retailers seem to be optimistic about American consumers' spending, especially in the holiday shopping season.

This is good news for the US economy. Consumption spending makes up two-thirds of the US economy on average, so a pickup in US merchandise imports serves, to some extent, as both a consumer confidence indicator and a leading indicator that bodes well for economic growth.

More specifically for trade between China and the US, official US data showed the US deficit with China increased by $4.9 billion to $27.2 billion in July. Exports to China fell $1.0 billion while imports advanced $3.9 billion.

Some US enterprises have been stockpiling products, components and parts from China, because of uncertainty over US tariffs. According to Reuters, the Biden administration on August 30 delayed an announcement of its final determinations for tariff hikes on some Chinese-made products including semiconductors, saying it will make a decision public in the "coming days." 

It seems US importers are trying to seize the time window to build inventories. It adds to evidence that made-in-China products are irresistible and irreplaceable. A complete economic "decoupling" between the two countries is impossible.

In general, a pickup in US merchandise imports is not necessarily a bad thing if it sends a signal that domestic consumption is recovering. The resulting trade deficit should not cause undue concern. If US policymakers seek to whittle down trade deficits and imports through protectionist trade measures, they will fail to solve existing problems but create new ones. 

They will also disrupt normal trade and economic activities, and force American importers to reduce their losses through various means, including building inventories. Excessive anxiety toward trade deficits and Washington's response to the issue - trade protectionism - may lead to bigger problems for the US economy.

A trade deficit is an indicator that a nation consumes more than it produces. The focus should be on increasing production and exports, instead of cutting consumption and imports. The US needs to further expand exports, especially those of high-tech, high-value-added products.

China does not deliberately pursue a trade surplus and the current trade imbalance between the two countries is a result of normal market operation, which is guided by the bilateral economic structure, industry competitiveness and the international division of labor. 

Based on the development of the international division of labor, the US has an advantage in the production of high-tech goods, but unfortunately, the country has in recent years embarked on a tightening of its export control rules when it comes to cutting-edge technology items such as chips. 

In this sense, the most effective way for the US to reduce its trade deficit is to ease export curbs and promote exports, rather than restricting imports by adopting trade protectionist measures.

US allies may push back against moves to restrict chip tools

The chief executive of Dutch semiconductor equipment maker ASML, which has been caught up in Washington's technology crackdown on China, said reportedly that US-led restrictions on the company's exports to China are becoming more "economically motivated" over time, noting that "there will be more pushback."

The remark shows the rising pressure imposed by the US on its allies in order to restrict chip equipment export to China. The restrictions have negatively impacted the profits of ASML and other similar companies, experts said on Thursday. 

The experts said that the serious disruption of global chip chains by the US will backfire on Western companies as they may lose the Chinese market in the long run.
"I think to make the case that this is about national security is getting harder and harder," Christophe Fouquet, the chief executive of ASML, said on Wednesday at a Citi conference in New York, Reuters reported.

"Most probably there will be more pressure for restrictions, but I also think there will be more pushback and I think we have to hope we reach a certain equilibrium, because as a business what we all want is a bit of clarity, a bit of stability," Fouquet said.

US pressure on its allies to restrict China's access to semiconductor manufacturing tools has directly affected companies like ASML, especially since they may lose the important Chinese market in the long run, Li Yong, a senior research fellow at the China Association of International Trade, told the Global Times on Thursday.

The market won't support the economic coercion by the US, while strong demand for mature chips has driven the rapid development of China's semiconductor sector lately, analysts said.

Fu Liang, a veteran industry expert, told the Global Times on Thursday that Western companies including ASML are unlikely to abandon the vast Chinese market, and they will walk a fine line of complying with US rules while still serving their Chinese clients.

State Grid strengthens operation, maintenance of mountainous area lines to ensure reliable power supply in Xinjiang

To further enhance the continuous power supply capacity of the large power grid and improve the power supply reliability from 220 kV Huanggong Substation in Jinghe county, Bortala Mongolian Autonomous Prefecture to Jilintai Hydropower Station in Yili Kazak Autonomous Prefecture, on August 16, staff members of State Grid Bortala Power Supply Company went to 220 kV Huanglin Line I and Line II to carry out inspection of the operation status of mountainous area lines and maintenance of pole number plates.

220 kV Huanglin Line I and Line II were put into operation in 2003 and 2005 respectively. They are important connecting lines between the power grid of Bortala Prefecture and the main power grid of Xinjiang region. Due to the complex terrain and high altitude, inspection is difficult. The inspectors adopted the traditional foot patrol inspection method and conducted a one-by-one inspection of foundation burial, tower material deformation, foundation scouring, geological cracks, ground clearance, and the integrity of pole number plates.

As an important sign of transmission lines, the pole number plate is the "identity card" of power lines. It not only shows the name and direction of the line but also undertakes the role of safety warning. Due to long-term sunlight and long-term rain washing, the color marks and fonts on most tower identification signs are blurred. Some are not firmly installed and get lost, bringing a lot of inconvenience to inspection work. For the pole number plates found to be faded, damaged, or missing, operation and maintenance personnel immediately carry out maintenance and replacement. 

"After replacing the pole number plates, we will continue to investigate potential line hazards and defects to ensure zero hazards and zero defects in power supply. In the later stage, the 'manual + drone' method will be used to increase the intensity of line inspection." said Liang Wei, the person in charge of the transmission maintenance class of State Grid Bortala Power Supply Company.

It is understood that the company has strengthened the inspection of the operation status of mountainous area lines of 220 kV Huanglin Line and the maintenance of pole number plates. A total of 168 mountainous area towers have been inspected and 295 pole number plates have been maintained.

China launches anti-discriminatory investigation into Canada’s decision of imposing additional tariffs against EVs, steel and aluminum imported from China

China’s Ministry of Commerce (MOFCOM) on Tuesday announced decisive countermeasures against Canada, including plans to initiate dispute settlement proceedings at WTO and launch anti-discriminatory probes, in response to Canada’s decision to impose hefty additional tariffs on Chinese products, including electric vehicles (EVs), steel and aluminum.

Chinese officials and experts stressed that the countermeasures are in line with Chinese laws and regulations as well as WTO rules, and slammed that Canada’s move in lockstep with the US and the EU is egregious in nature and violates WTO rules. 

Among the countermeasures is a decision to initiate dispute settlement proceedings against Canada’s additional tariff against Chinese EVs and other products at the WTO to safeguard the interests of its industries.

In addition, China will launch an anti-discriminatory investigation into Canada’s decision of imposing additional tariffs on Chinese EVs, steel and aluminum, based on the Article 7 and Article 36 of China’s Foreign Trade Law.

The Article 7 of China’s Foreign Trade Law clearly stipulates that in the event that any country or region applies prohibitive, restrictive or other like measures on a discriminatory basis against China in respect of trade, China may, as the case may be, take countermeasures against the country or region in question.

The Article 36 of China’s Foreign Trade Law states that the authority responsible for foreign trade under the State Council may give a notice to the public the activities in violation of this Law for impairing foreign trade order.

The MOFCOM said that it will take subsequent measures based on the actual situation. Industry insiders said that the anti-discriminatory probe is the first of its kind, and is in line with both Chinese laws and WTO rules.

Also on Tuesday, the MOFCOM announced that at the request of domestic industry, China will launch an anti-dumping investigation into canola seeds imported from Canada, in better responding to industry concerns and in order to safeguard the legitimate rights and interests of the domestic enterprises.

In 2023, Canada’s exports of canola seeds to China reached $3.47 billion, increasing 170 percent year-on-year, even as prices continuously dropped, according to the MOFCOM. Affected by Canada’s unfair competition, Chinese domestic industries continue to suffer losses, the ministry said.    

In addition, China also plans to launch an anti-dumping probe into relevant chemical products from Canada based on application filed by Chinese domestic industries, the MOFCOM announced.

“China’s attitude is very clear and it will take all necessary measures to defend the legitimate rights and interests of Chinese companies,” the MOFCOM said, while announcing the measures. 

Sports associations unite against toxic fandom culture

The Chinese Gymnastics Association and the Chinese Table Tennis Association issued statements on Saturday in support of law enforcement agencies cracking down on illegal activities related to toxic fandom culture in sports.

On Thursday, the Ministry of Public Security released details about four typical cases of illegal activities associated with toxic fandom culture in sports.

In one case, the police investigated an incident where an individual named Yang was found to have publicly insulted a gymnast on social media, causing significant public outrage and administrative actions were taken.

The Chinese Gymnastics Association condemned the spread of baseless rumors, the incitation of public outrage, and all slanderous attacks against gymnasts, coaches, and staff.

"These actions not only have a profoundly negative impact on the work, lives, and families of those involved but also undermine the long-standing tradition of unity and patriotism that has defined the Chinese gymnastics team," the association stated.

"The development of gymnastics in China relies on the support and care of the entire society, and we are deeply grateful to the many gymnastics fans who have stood by the team through thick and thin."

On Saturday, the Chinese Table Tennis Association also expressed its support for the crackdown, condemning all forms of illegal activity.

The association noted that toxic fan culture has severely disrupted the normal training and competition schedules of the Chinese table tennis team, affecting the work, lives and families of athletes, coaches, and staff, as well as causing harmful social consequences.

Chen Meng, 30, who won the women's singles gold medal in table tennis at the Paris Olympics, was asked about the recent actions taken by law enforcement against toxic fan behavior in sports.

"Fans always want to see their favorite athletes win, but there will always be winners and losers in sports. I hope fans will be able to face that reality," Chen said. "If someone follows sports, they must be mentally prepared to accept victory and defeat. That's the essence of competitive sports."

"I also hope fans focus more on the athletes' fighting spirit on the field and their courage in the face of challenges," Chen added.

Australia: ACE comics show in Shanghai builds a cultural bridge between artists and younger generations

The opening ceremony of the "ACE! Australian Comics Exhibition" hosted by the Australian Consulate-General in Shanghai, IllustrateYourLife studio, and Sinan Mansions, was held in downtown Shanghai on August 23.
The Australian Consul-General in Shanghai John Williams mentioned the comic traditions of both Australia and Shanghai, saying the purpose of this exhibition is to promote cultural exchanges and cooperation between China and Australia.

"The role of this exhibition goes beyond just the artistic; it also connects Australian art with the younger generation in China," hoping that the event would create opportunities for educational cooperation, he added.

"Through this opportunity, I have gained a deeper understanding of Chinese comics and also made friends with Chinese artists," said Australian cartoonist Ben Mitchell, the designer of the exhibition's mascot, Casey, in his speech.

Open until September 16, the exhibition features the works of 20 outstanding Australian cartoonists, drawing the attention of numerous comic enthusiasts and professionals.

Cartooning had a long tradition in Australia, dating well back into the 19th century. The Australian Cartoonists Association is one of the world's oldest cartoon organizations.

Shanghai, as the birthplace of modern comics in China, has also nurtured outstanding cartoonists like Feng Zikai, and important publications in the history of modern Chinese comics like the Shanghai Sketch.

"The ACE! exhibition series showcases the outstanding and original comic art from Australia. Australia's comic industry is booming, with the continuous rise of the global interest in 'graphic novels', and diverse comic themes and creators," said Williams, the consul general of Australia in Shanghai, at the opening ceremony.

2024 Norway Film Festival to be launched in cities across China, showcasing cultural history

The 2024 Norway Film Festival will be launched on August 30 across various cities in China and run until September 8. Featuring eight movies and 16 screenings, the festival is expected to showcase Norway's cultural history
The films to be screened are Songs of Earth, Titina (2022), Pathfinder, a-ha: The Movie (2021), The King's Choice, Out Stealing Horses (2019), Gunda (2020), and Utøya 22. juli (2018).

In Songs of Earth, the audience can follow the journey of a father to experience four seasons of a year with the mountainous landscapes of Norway providing a captivating backdrop for cinematic nature. A magnificent, existential journey with the filmmaker's parents as its human yardstick, and with the primordial forces of the earth looming in the bedrock. Titina (2022) tells the story of two nobles and a lap dog on a dangerous quest to the North Pole. Pathfinder is the first film in the world to be directed and starred in by the Sámi, an indigenous group from the Arctic. The movie will take the audience back to the folklore of Finnmark 1,000 years ago. a-ha: The Movie (2021) showcases three friends who want to conquer the world with their music, which their mega-hit "Take on Me" actually did. Even today the most successful band in Norway's history, a-ha, still plays worldwide.

MOFCOM blasts US sanctions on Chinese companies over Russia-Ukraine conflict as 'long-arm jurisdiction'

The Chinese Ministry of Commerce (MOFCOM) on Sunday blasted US sanctions on Chinese companies over their alleged involvement in the Russia-Ukraine conflict as a typical example of long-arm jurisdiction and unilateral sanctions, vowing "necessary measures" to safeguard the legitimate rights and interests of Chinese companies.

On Friday (US time), the US imposed sanctions on more than 400 entities and individuals for allegedly supporting Russia in the Russia-Ukraine conflict, including Chinese companies, Reuters reported, citing the US State Department.

It said the Biden administration's sanctions include measures against companies in China allegedly involved in shipping machine tools and microelectronics to Russia. The US also added 42 companies in China to its Entity List, forcing suppliers to obtain licenses before shipping to targeted companies, according to the report.

China firmly opposes the sanctions, a MOFCOM spokesperson said in a statement published on the ministry's website.

The practice is a typical example of long-arm jurisdiction and unilateral sanctions, which disrupt international trade norms and rules, impedes normal trade between countries, and affects the security and stability of global industrial and supply chains, said the spokesperson.

"We urge the US to immediately halt these misguided actions, and China will take necessary measures to safeguard the legitimate rights and interests of Chinese companies," the spokesperson said.

China's position on the Ukraine issue has been consistent and clear. The Chinese government is always neutral on the Ukraine issue and has never supplied weapons to either party, He Weiwen, senior fellow from the Center for China and Globalization, told the Global Times on Sunday.

"The US may continue to sanction Chinese companies and add more Chinese firms to its Entity List citing various excuses, for which we should be fully prepared and firmly oppose," He stressed.

The latest US move against Chinese companies comes as US National Security Advisor Jake Sullivan will visit China from Tuesday to Thursday, the Xinhua News Agency reported, citing the Chinese Foreign Ministry.

While continuously carrying out suppression targeting Chinese companies, especially in the high-tech sector, the US continues to enhance cooperation with China, He said. China-US economic and trade relations are showing a stable trend, as the value of bilateral trade so far in 2024 has slightly increased.

"As two large countries, it's difficult for China and the US to maintain sound relations but it's also hard for them to break up. The two will likely maintain cooperation despite competition," Gao Lingyun, an expert at the Chinese Academy of Social Sciences, told the Global Times on Sunday.