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Beijing Dispatch #12 – Two Sessions (两会) Wrap-Up and the Push for Getting Canadians Back to China

Jun 11, 2020CCBC Insights

Beijing Dispatch #12 – Two Sessions (两会) Wrap-Up and the Push for Getting Canadians Back to China

Jun 11, 2020CCBC Insights

It’s been a hectic few weeks here in Beijing. The Two Sessions wrapped up, Chinese domestic travel restarted, and schools have largely reopened for all ages. Some of our Canadian diplomats and their families are even beginning to return after several months back in Canada. A new Hong Kong-related National Security Bill was released, Hainan was announced as a new free trade port pilot, and US-China relations have never been more questionable. COVID-19 challenges and social unrest continue to rock North America domestically. A major topic du jour among the expatriate community, however, continues to be the very contentious question of when the Chinese border will reopen to foreign nationals who want to get back to their homes, jobs and lives here in China. More on that below, but for now, I’d like to share some takeaways from the Two Sessions parliamentary proceedings.

 

The Two Sessions had been lauded by many as a key indicator of China’s return to normal, after having been delayed by over 11 weeks post-COVID-19 outbreak. As I have previously maintained, there are generally no major surprises during this annual showpiece, but this year was unique by virtue of the effects of the virus, global trade uncertainty and much more. The main things most people will remember from the 2020 Two Sessions will certainly be the announcement of the abandonment of setting a GDP growth target for the first time and the national security bill on Hong Kong. Economic flexibility is a huge theme here, as China relieves some pressure from local officials to achieve high growth rates, and shifts spending from infrastructure projects that make up traditional baskets of spending to “new infrastructure” – projects like 5G, new-energy vehicles, renewables and other high-tech sector investment.

 

Furthermore, China did not abandon its 10-year priorities of doubling GDP growth and eliminating poverty– though this is not terribly surprising, given that by some measures, those goals had already been met or are very near completion. In my read of Premier Li’s “Work Report” and the professional analysis out there, employment is everything. Social stability is critical, and a high jobless rate is tinder for unrest – watch for lots of spending and programming in this area. Canadian firms operating in China would be wise to highlight any new hiring, especially of college graduates. An enlightening infographic I came across described word frequency within the report – a strong indicator of tone and focus. The top four words by repetition, from least to most used were “employment” (39 occurrences), “steady” (41), “development” (71), and the most used word by far, “ensure,” was employed by the Premier 85 times. For more on this fascinating and often misunderstood segment of China, I highly encourage our members to tune into next week’s CCBC Practical Tools Webinar Series, where we will be joined by the partners and founders of Plenum China, for a crash course on Chinese elite politics, the Lianghui results, and some discussion on next year’s Five-Year Plan – a key document for Canadian executives in China.

 

For all of our Canadian nationals still stranded around the world seeking to return to China, my heartfelt thoughts go out to you. Over the last couple of weeks since my last post on this topic, I’ve received communications from dozens of Canadian individuals and families who are in dire straits – financially and emotionally – having been separated from their families, jobs, and much more, sometimes for months on end. These are deeply affecting stories of parents being separated from very young children, sick elderly parents who can’t be attended to, and loss of employment and business ventures, among so many more. At the time of this writing, the complexity and onerous nature of re-entering (or leaving) China has made it near impossible for many foreign passport holders to come or go if they are outside the country, but we are seeing the establishment of some clarity – a welcome change. We at CCBC have had some success in pushing applications for special, single-entry visas for a very select few, and this challenge is one that we continue to experience every day as we navigate these files. If you are among this group of waylaid Canadians, please join myself and my colleague Edward Dai next week on a web session for some general information on what is required for readmittance, the realities of various national “fast lanes” being opened up, case study examples, and what we might expect for the near future.

 

Also of note, in support of the Canadian community and to provide a collective voice to the Chinese government, CCBC worked with our partners in the Canadian Chambers in Guangzhou and Shanghai to issue a letter outlining our position on allowing Canadian residents of China to return home as quickly as possible, while ensuring that domestic safety and public interest is maintained. Should you be interested in reading this letter, addressed to the Ministry of Foreign Affairs and delivered with assistance from the Embassy of Canada in China, please click here, to review this particular element of our advocacy work. While we do not presume that this correspondence will be game-changing at the outset, we feel it is extremely important that the Ministry is made aware of our position and intentions. Furthermore, some observations I made in the Globe and Mail (along with appearances from some members dealing with the stresses of being stuck) can be found in this article, published on June 9.

 

On a very positive note for our Canadians and friends of Canada in the local and expat community, I’m thrilled to (finally!) be able to announce the date for our upcoming Canada Day festivities in Beijing. On Friday, July 3, we’ll be hosting an intimate, rooftop summer garden party and BBQ on the outdoor patio of the China World Summit Wing hotel in Beijing’s CBD. Joined by our special guest Ambassador Dominic Barton, we’re looking forward to an evening of great food, signature Canadian cocktails, music and networking among friends after a very long period of quiet here in the imperial capital. Please save the date and contact me quickly if you’d like to join us as a sponsor or corporate table holder for Canada’s 153rd birthday.

Canada China Business Council (CCBC)