Parliament yesterday took up measures meant to bring Chinese law into line with a more open, capitalist-style economy by protecting private property and equalizing taxes for foreign and domestic companies.
The proposed property law is the most controversial measure to come before the National People's Congress (NPC) in recent years. Earlier versions prompted an outcry by leftists, who complained it would undermine state control of the economy and worsen the growing gap between an elite who have profited from China's reforms and the poor majority.
The NPC began considering a seventh draft yesterday that "strikes a balance between private property and state ownership," said the official Xinhua news agency. It said backers hoped to pass it when the NPC holds its next full meeting in March.
PHOTO: AP
The Chinese Communist Party amended the Constitution in 2004 to enshrine private property rights for the first time since its 1949 revolution. That followed two decades of reform that let hundreds of millions of Chinese lift themselves out of poverty.
The debate over legal changes meant to enforce such protections highlights enduring concern about the impact of rapid but uneven growth, which has set off protests over poverty, taxes and seizures of farmland for redevelopment.
The government of President Hu Jintao (胡錦濤) says it is committed to more reforms while trying to ease social tensions. Beijing has promised to spread prosperity from China's booming eastern cities to the countryside and urban poor.
The property law, first proposed five years ago, was withdrawn from parliament during its last full meeting in March in an unusual reversal by the government after lawmakers failed to agree on its wording.
Xinhua said opposition faded after a new draft enshrined government ownership "at the heart of the economic system."
Also yesterday, lawmakers took up a proposed law to equalize tax rates paid by Chinese and foreign companies, many of which qualify for lower taxes due to incentives meant to attract investment.
Finance Ministry Jin Renqing (金人慶) told lawmakers "a unified tax code will create a taxation environment that favors fair competition among all ventures registered in China," Xinhua reported.
Private businesses complain that breaks granted to foreign firms are hurting entrepreneurs. The proposed law would unify tax rates at 25 percent, Xinhua said. It said that when various tax breaks are taken into account, the average Chinese firm pays taxes at a 24 percent rate, while foreign firms pay 14 percent.
RETHINK? The defense ministry and Navy Command Headquarters could take over the indigenous submarine project and change its production timeline, a source said Admiral Huang Shu-kuang’s (黃曙光) resignation as head of the Indigenous Submarine Program and as a member of the National Security Council could affect the production of submarines, a source said yesterday. Huang in a statement last night said he had decided to resign due to national security concerns while expressing the hope that it would put a stop to political wrangling that only undermines the advancement of the nation’s defense capabilities. Taiwan People’s Party Legislator Vivian Huang (黃珊珊) yesterday said that the admiral, her older brother, felt it was time for him to step down and that he had completed what he
Taiwan has experienced its most significant improvement in the QS World University Rankings by Subject, data provided on Sunday by international higher education analyst Quacquarelli Symonds (QS) showed. Compared with last year’s edition of the rankings, which measure academic excellence and influence, Taiwanese universities made great improvements in the H Index metric, which evaluates research productivity and its impact, with a notable 30 percent increase overall, QS said. Taiwanese universities also made notable progress in the Citations per Paper metric, which measures the impact of research, achieving a 13 percent increase. Taiwanese universities gained 10 percent in Academic Reputation, but declined 18 percent
BULLY TACTICS: Beijing has continued its incursions into Taiwan’s airspace even as Xi Jinping talked about Taiwan being part of the Chinese family and nation China should stop its coercion of Taiwan and respect mainstream public opinion in Taiwan about sovereignty if its expression of goodwill is genuine, the Ministry of Foreign Affairs (MOFA) said yesterday. Ministry spokesman Jeff Liu (劉永健) made the comment in response to media queries about a meeting between former president Ma Ying-jeou (馬英九) and Chinese President Xi Jinping (習近平) the previous day. Ma voiced support for the so-called “1992 consensus,” while Xi said that although the two sides of the Taiwan Strait have “different systems,” this does not change the fact that they are “part of the same country,” and that “external
UNDER DISCUSSION: The combatant command would integrate fast attack boat and anti-ship missile groups to defend waters closest to the coastline, a source said The military could establish a new combatant command as early as 2026, which would be tasked with defending Taiwan’s territorial waters 24 nautical miles (44.4km) from the nation’s coastline, a source familiar with the matter said yesterday. The new command, which would fall under the Naval Command Headquarters, would be led by a vice admiral and integrate existing fast attack boat and anti-ship missile groups, along with the Naval Maritime Surveillance and Reconnaissance Command, said the source, who asked to remain anonymous. It could be launched by 2026, but details are being discussed and no final timetable has been announced, the source