Extracts.

China Protests Against US Over Military Plane Issue

China has made solemn representations with and protested against the US side
on US military plane's bumping into and damaging a Chinese fighter jet over
the South China Sea Sunday, according to the Chinese Foreign Ministry.
Assistant Foreign Minister Zhou Wenzhong made the representations and
protests during a meeting with US Ambassador to China Joseph Prueher Sunday
night. 
Sunday morning, a US military surveillance plane approached China's airspace
south-east of the island province of Hainan, and two Chinese military jets
scrambled to track it.
At 9:07 a.m., 104 km south-east of Hainan Island, the US plane suddenly
turned towards the Chinese jets, resulting in its bumping into and damaging,
and crashing one of the two Chinese jet.

The Chinese side is very much concerned about the missing Chinese pilot from
the crashed jet, and is busy searching for his whereabouts. Without
permission from the Chinese side, the US surveillance plane intruded into
China's airspace and made an emergency landing at Lingshui Airport on Hainan
Island at 9:33 a.m.
Zhou pointed out that it was normal and in accordance with international
practice for Chinese military jets to track the US surveillance plane over
China's water areas.
The direct cause of the damage and crash of the Chinese jet was that the US
plane suddenly veered into the Chinese jet, which was against flight rule.
Therefore, the US side should bear all the responsibility arising therefrom,
Zhou said. 
He noted that the Chinese people are demanding an explanation from the US on
the following questions -- Why the US military plane approached to a place
so close to China? Why the US plane took a sudden turn, then bumped into and
damaged the Chinese jet?
Zhou reiterated that the US plane's intrusion into China's airspace and its
emergency landing without permission from the Chinese side had constituted a
gross violation against China's national sovereignty.
China reserves its right to further negotiate with the US side on both the
losses resulted from the incident, and the US plane's intrusion into China's
airspace and landing at Chinese airport without permission, Zhou said.
According to the Foreign Ministry, Chinese Ambassador to the US Yang Jiechi
met with relevant officials from the US Department of State the same day and
made solemn representations and protests to the US side over the issue.

Searching for Missing Chinese Pilot Continuing
The searching and rescuing efforts are intensely underway for the missing
pilot of the Chinese fighter, which was bumped into and damaged by the US
military surveillance plane Sunday morning, according to Foreign Ministry
spokesman Sun Yuxi Monday evening.
Till 16:00 Tuesday local time since the incident, altogether 11 ships and
over 20 planes have been sent by both the army and the local government to
the site of the water area where the incident took place, Sun said.
However, after rigorous searching a day and night, the whereabouts of the
pilot is still unknown.
Sun said that leaders of the Party and government and army are very much
concerned about the security of the pilot and have made instructions to
relevant departments to go all out to organize the searching and rescuing
work. 
People throughout the country have also expressed their special concern
through various ways, he added.
According to the spokesman, the Chinese navy sent navy vessels and the
Guangzhou salvaging bureau sent rescuing ships to the incident water area
for searching and rescuing the pilot immediately after the incident took
place. 

****

Urgent Need to Guarantee Normal Economic Operation
In recent years, incidents of manufacturing and selling counterfeit products
that seriously endanger the security of people's lives are horrible to
people's minds, law-breaking criminal activities such as smuggling and
trafficking in smuggled goods, tax evasion and tax fraud and illegal
arbitrage of foreign exchange that disrupt social and economic order are
really shocking. People loudly appeal: Great efforts must be made to solve
the outstanding problem regarding rectification of the chaotic market
order.. 

HALT BE PUT to CHAOTIC ORDER
Law-abiding and faith-keeping enterprises are victimized by the rampage of
faked and shoddy products. A survey by the department concerned shows that
among the enterprises surveyed, at least 34.76 percent have seen their
rights being infringed by counterfeit products. Gao Yuwen, board chairman of
the Xinghuacun Fenjiu (a kind of spirit distilled in Fengyang) Group Company
in Shanxi, told this reporter that in 1998, the Shuozhou fake liquor case
caused great suffering to Shanxi's brewing industry, that year his company
alone suffered a loss of over 100 million yuan of profit and tax.
The huge amount, multiple variety and wide scope of fake goods have
seriously tarnished market reputation. Lu Guanqiu, board chairman of
Wanxiang Group, said that in its frequent contacts with clients, big and
small, in many countries around the world, for more than two decades, almost
no contract dispute has ever occurred between Wanxiang and its clients, the
various fraudulent conducts by domestic enterprises has caused his company
tens of million yuan worth of economic loss.
An expert working in the financial field said that the "Zheng Baiwen
incident" was not an individual phenomenon. The announcement on an
accounting information quality sample survey recently published by the
Ministry of Finance shows 155 of the 157 enterprises surveyed had the
problem of false report on their profits. It is thus clear how serious the
case of false figures and information is.
Breaking faith entails endless woe. Insufficient faith or credit crisis has
become a big obstacle to China's current economic development. According to
the analysis made by Zhao Haikuan, honorary director of the Financial
Research Institute of the People's Bank of China, the serious deterioration
of social credit has brought at least three negative effects on China's
economic development: Firstly, making it impossible for the normal
proceeding of the enterprise's commodity production and exchange. Secondly,
credit deterioration makes it impossible for the normal progress of banking
business. Without credit, it is impossible for the generation and
development of fictitious capital and for the market economy to advance to a
higher stage. When the case of cheating of export tax refund was serious
last year, the department concerned had to temporarily suspend the issuance
of export tax rebate, to some extent this affected China's export growth.
The problem of confused economic order has also damaged the country's
prestige and the image of reform and opening and thus directly affected the
attraction of foreign capital.

STRIKING at ACTS of DISRUPTING MARKET ORDER
The Party Central Committee and the State Council pay high attention to the
rectification of market order. In his report to the Fourth Session of the
Ninth National People's Congress (NPC), Premier Zhu Rongji put the vigorous
rectification and standardization of the market order in an important
position, he called for "vigorous promotion of honest and faith-keeping
professional ethics and accelerating the establishment of a sound social
credit system". This is an urgent, as well as a long-term, task.
It is the view of the department concerned that current rectification and
standardization of market order should be carried out at least in the
following eight aspects: 1. Persisting in striking at the manufacturing and
selling of fake and shoddy products, tax evasion and tax fraud, illegal
arbitrage of foreign exchange, smuggling and other criminal activities. 2.
Rectifying the non-standard practice of the construction market. 3.
Rectifying and standardizing financial order. 4. Enforcing strict financial
and economic discipline. 5. Strengthening auditing supervision work. 6.
Intensifying safety production management and safety supervision. 7.
Attacking local acts of protectionism. And 8. Breaking departmental and
professional monopoly and regional blockade. Establishing at the quickest
possible speed a sound, nationally unified, standard and orderly market
system featuring fair competition. Experts have pointed out that rectifying
and standardizing market order cannot be accomplished at one stroke, we must
first tackle problems which the masses strongly complain about and which is
most harmful to the country, and treating both its principal and secondary
aspects, this should be carried out step by step.
It should be said that there are many-sided reasons for the poor credit
state, there are both macro and micro factors, both the unsound and
imperfect aspects of system and mechanism, and loopholes in the management
and operation of enterprises; there are both the international problems of
enterprises and the problems of external environment. Solutions of these
problems need comprehensive analyses and overall treatment.
Some far-sighted entrepreneurs have pointed out that the key to establishing
a sound social credit lies in the self-discipline of enterprises. It is
necessary to overcome short-term actions and give thought to the long-range
development of enterprises. Liu Yonghai, vice-chairman of the All-China
Federation of Industry and Commerce, said during the "two sessions" that
credit has to be accumulated bit by bit, people and enterprises who keep
good faith will be successful in the end.
Experts have pointed out that it is necessary to deal heavy blows to
criminal acts of disrupting market order. It is imperative to rely on the
rule of law to create a desirable market economic order. In the link of
legislation, it is essential to establish and perfect a legal system for the
socialist market economy, set up standard for inflicting heavier punishment,
so that there is law to abide by when meting out severe blows; the link of
law enforcement should also be conscientiously strengthened, particularly it
is necessary to solve the problem regarding the weak and feeble
administrative law enforcement and the replacement of control with fine. To
rectify and standardize market order, it is also necessary to make
institutional explorations. It is necessary to further expedite reform of
the administrative examination and approval system, change government
functions, improve government management and service, intensify the exercise
of administration according to law and make administrative affairs known to
the public. Doing so is conducive both to improving work efficiency and
reducing unreasonable intervention in the market by government departments.
Rectification and standardization of market order affects the fundamental
interests of the people, the sound development of the socialist market
economy, the implementation of the "10th Five-year Plan and the attainment
of objectives. At the beginning of the new century, we should step up
efforts to do the work of rectifying and standardizing market order well and
take a solid step toward the establishment of a nationally unified, fair
competition, standard and orderly market system.
This is one of the commentaries written by Our Staff Reporter Wang Yantian
on the rectification and standardization of market order. It is carried on
the front page of People's Daily, April 2.

****

President Jiang Meets Qatar Prime Minister
President Jiang Zemin meets Tuesday with visiting Prime Minister Abdullah
Bin Khalifa Al-Thani of the State of Qatar.
This is Abdullah's first China trip since he became prime minister.

****

Survey: Students in US Have Access to Guns
Nearly half of the U.S. high school students have easy access to guns, and
more than one in five high school boys have taken a weapon to school in the
last year, according to a survey released Sunday.

Forty-seven percent of high school students said they could obtain a gun if
they wanted to, while 22% of middle school students said they could get a
firearm, according to a nationwide survey conducted last year by the
nonprofit, nonpartisan Josephson Institute of Ethics, based in Marina del
Rey, Calif. 

"The seeds of violence can be found in schools all over America," said
Michael Josephson, the institute's president. "Today's teens, especially
boys, have a high propensity to use violence when they are angry, they have
easy access to guns, drugs and alcohol, and a disturbing number take weapons
to school." 

Students who use drugs and alcohol at school are even more likely to obtain
and carry weapons, the survey of about 15,800 high school and middle school
students revealed. The survey has a margin of error of plus or minus 3
percentage points. 

The study revealed that 19% of high school boys and 9% of middle school boys
admitted to being drunk at school within the last year, compared to 12% of
high school girls and 5% of middle school girls.

While 14% of high school students and 11% of middle school students reported
bringing a weapon to school within the last twelve months, 48% of high
school students and 57% of middle school students who admitted coming to
school drunk said they brought a weapon to school during that period.

The prevalence of weapons in schools and a cavalier attitude toward violence
has taken its toll on students' peace of mind, the survey showed. More than
one in three high school students surveyed said they don't feel safe at
school. 

****


China to Launch Rural Education Campaign
China's Vice-President Hu Jintao
<http://www.peopledaily.com.cn/english/leaders/vpresident.html>  has
announced that the country will launch a campaign to educate rural officials
to protect farmers' interests and promote agricultural efficiency.

Hu, a member of the Standing Committee of the Political Bureau of the
Central Committee of the Communist Party of China (CPC), said in a keynote
speech here that the two-year movement will center on the study of President
Jiang Zemin <http://www.peopledaily.com.cn/english/leaders/jzm/jzmhome.htm>
's instruction on the Party's leadership.

"It will promote the rural economy and overall social advancement," he
stressed. 

Jiang's important instruction stresses that the CPC earnestly represents the
development requirements of China's advanced forces of social production,
the progressive course of China's advanced culture, and the fundamental
interests of the overwhelming majority of the Chinese people.

Hu said that the campaign will improve the cohesion of the grass-roots Party
organizations and the Party's leadership in the rural areas.

Party committees at all levels should understand how to make proper
arrangements for carrying out the campaign, Hu urged.

China's grain output rose from 113 million tons in 1949 to 508 million tons
in 1999, ranking the first in volume in the world. However, as China has 1.3
billion people, its agriculture sector is still in an unsatisfactory
situation. 

There is an over-supply of agricultural products, while farmers ' incomes
have been steadily decreasing, the agricultural structure is irrational and
the production efficiency is low.

Therefore, the increase of farmers' incomes and the promotion of
agricultural restructuring is the centerpiece of the Party's current work.

However, a number of village- or township-level officials lack a proper
awareness of the situation and the Party's task. This is why the Party has
decided to start this campaign, according to Hu.

He said that the farmers shoulder excessive burdens because of illegal fee
collections and fund raising, and other problems.

In addition, the farmers' cultural level is low, cults are rampant in the
countryside, and violent crimes occur constantly there.

Hu also criticized rural officials who show indifference to the farmers'
sufferings, and who even go so far as to take bribes and collude with local
gangsters. 

The grass-roots cadres in the rural areas must have an attitude of serving
the farmers wholeheartedly, and improve their democratic and legal awareness
through the campaign, Hu said.

The campaign will be carried out mainly through self-education, by combining
such education with the rur

****

S.Korean 2d Reshuffle Sweeps Out 21 of 41 Vice Ministers
South Korean President Kim Dae-jung replaced 21 vice minister-level
officials among 41 on Sunday, including those at the ministries of
unification, foreign affairs and trade and defense, completing the formation
of a new foreign affairs and security team.
Mr. Kim promoted Kim Hyung-ki, chief of the policy planning bureau at the
Ministry of Unification as vice minister; appointed Choi Sung-hong,
ambassador to Britain, as vice foreign minister; and replaced the vice
defense minister with Kwon Young-ho, head of the procurement bureau.
The replacement of vice ministers in the three ministries following the
March 26 cabinet shakeup marks a new line-up in the government's diplomatic
and security team characterized by a functional support to complement the
newly-appointed ministers.







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