{"id":8266,"date":"2021-08-02T07:00:59","date_gmt":"2021-08-02T07:00:59","guid":{"rendered":"https:\/\/focus.cbbc.org\/?p=8266"},"modified":"2025-05-08T09:44:45","modified_gmt":"2025-05-08T09:44:45","slug":"the-ccp-at-100-four-trends-that-will-define-the-next-decade","status":"publish","type":"post","link":"https:\/\/focus.cbbc.org\/the-ccp-at-100-four-trends-that-will-define-the-next-decade\/","title":{"rendered":"The CCP at 100: Four trends that will define the next decade"},"content":{"rendered":"<h2>Improved state capacity, deeper commercial and financial links with the outside world, and online activism will have an important impact on Chinese politics in the coming years, while many trends point towards more, not less cooperation between China and western countries<\/h2>\n<p>On 1 July 2021, China\u2019s ruling Communist Party celebrated the 100th anniversary of its founding in 1921 in Shanghai\u2019s French Concession. The official festivities included a massive show titled \u2018Great Journey\u2019 held at Beijing\u2019s Olympic Stadium. The performance was attended by the Party\u2019s top brass \u2013 including Chinese President Xi Jinping \u2013 and featured hundreds of dancers re-enacting some of the key moments in the Party\u2019s history.<\/p>\n<p>But the centennial celebrations were not confined to China\u2019s political circles. The Party\u2019s media apparatus has been in overdrive to remind absolutely every one of the anniversary\u2019s significance. The event has even sparked a thriving market for CCP themed souvenirs and decorations.<\/p>\n<p>For China analysts, the Chinese government\u2019s commemoration of past glory offers an opportunity not only to look back at the turbulent \u2013 and often tragic \u2013 history of a Party which has been in power for 72 years of its existence but also to wonder how the future might look. In this update, Torsten Weller outlines four important trends and developments that may shape Chinese politics and policies in the coming decade.<\/p>\n<p><a href=\"\/lp-cta-general\" target=\"_blank\" rel=\"noopener\"><img decoding=\"async\" class=\"aligncenter wp-image-7247 size-full\" src=\"https:\/\/focus.cbbc.org\/wp-content\/uploads\/2021\/03\/lp-general.png\" alt=\"launchpad CBBC\" width=\"4680\" height=\"786\" srcset=\"https:\/\/focus.cbbc.org\/wp-content\/uploads\/2021\/03\/lp-general.png 4680w, https:\/\/focus.cbbc.org\/wp-content\/uploads\/2021\/03\/lp-general-300x50.png 300w, https:\/\/focus.cbbc.org\/wp-content\/uploads\/2021\/03\/lp-general-1024x172.png 1024w, https:\/\/focus.cbbc.org\/wp-content\/uploads\/2021\/03\/lp-general-768x129.png 768w, https:\/\/focus.cbbc.org\/wp-content\/uploads\/2021\/03\/lp-general-1536x258.png 1536w, https:\/\/focus.cbbc.org\/wp-content\/uploads\/2021\/03\/lp-general-2048x344.png 2048w, https:\/\/focus.cbbc.org\/wp-content\/uploads\/2021\/03\/lp-general-1920x322.png 1920w, https:\/\/focus.cbbc.org\/wp-content\/uploads\/2021\/03\/lp-general-1170x197.png 1170w, https:\/\/focus.cbbc.org\/wp-content\/uploads\/2021\/03\/lp-general-585x98.png 585w\" sizes=\"(max-width: 4680px) 100vw, 4680px\" \/><\/a><\/p>\n<h4>Background<\/h4>\n<p>Communists steeped in Marx\u2019s concept of \u2018historic materialism\u2019 have traditionally been close followers of socio-economic macro trends and their political significance. It is therefore only fitting that we outline some key developments from the last decade and look at how they could shape China and its foreign relations in the near future.<\/p>\n<p>We will look at four major trends in the political, economic, business and social realms. On the political side, Beijing\u2019s growing reach into all walks of life and the improvement of China\u2019s state capacity is definitively the most important development of the last decade. Economically, the opening up of China\u2019s financial markets and the increasing importance of foreign capital in local debt markets is a second major development that is already shaping policy decisions worldwide. For businesses, the emergence of a truly innovative and competitive Chinese tech sector, and its expanding role abroad, is another important trend. Finally, the fragmentation and radicalisation of Chinese nationalism poses some challenges, not just for its foreign targets, but increasingly for China\u2019s leaders as well.<\/p>\n<div style=\"clear:both; margin-top:2em; margin-bottom:2em;\"><a href=\"https:\/\/focus.cbbc.org\/analysis-chinas-14th-five-year-plan\/\" target=\"_self\" rel=\"dofollow\" class=\"ued9ac287e851b1b3783a0c9bede5559d\"><style> .ued9ac287e851b1b3783a0c9bede5559d { padding:0px; margin: 0; padding-top:1em!important; padding-bottom:1em!important; width:100%; display: block; font-weight:bold; background-color:#eaeaea; border:0!important; border-left:4px solid #E74C3C!important; box-shadow: 0 1px 2px rgba(0, 0, 0, 0.17); -moz-box-shadow: 0 1px 2px rgba(0, 0, 0, 0.17); -o-box-shadow: 0 1px 2px rgba(0, 0, 0, 0.17); -webkit-box-shadow: 0 1px 2px rgba(0, 0, 0, 0.17); text-decoration:none; } .ued9ac287e851b1b3783a0c9bede5559d:active, .ued9ac287e851b1b3783a0c9bede5559d:hover { opacity: 1; transition: opacity 250ms; webkit-transition: opacity 250ms; text-decoration:none; } .ued9ac287e851b1b3783a0c9bede5559d { transition: background-color 250ms; webkit-transition: background-color 250ms; opacity: 1; transition: opacity 250ms; webkit-transition: opacity 250ms; } .ued9ac287e851b1b3783a0c9bede5559d .ctaText { font-weight:bold; color:#E74C3C; text-decoration:none; font-size: 16px; } .ued9ac287e851b1b3783a0c9bede5559d .postTitle { color:#000000; text-decoration: underline!important; font-size: 16px; } .ued9ac287e851b1b3783a0c9bede5559d:hover .postTitle { text-decoration: underline!important; } <\/style><div style=\"padding-left:1em; padding-right:1em;\"><span class=\"ctaText\">Read Also<\/span>&nbsp; <span class=\"postTitle\">Analysis: China's 14th Five Year Plan<\/span><\/div><\/a><\/div>\n<h4>Trend 1: Increased state capacity<\/h4>\n<p>In a vast country like China, getting central orders implemented locally has always been a challenge. Under Mao, most policies were carried out in a \u2018campaign style\u2019 whereby local Party members would mobilise officials and the broader population to put policy into practice. While there are still remnants of this approach \u2013 take, for example, the widespread tree planting to fight desertification \u2013 most of today\u2019s policies follow a much more institutionalised approach. As a result, government effectiveness has improved vastly. According to the World Bank\u2019s Government Effectiveness Index, China\u2019s score has improved continuously over the last ten years, jumping from less than 0.1 in 2010 to over 0.5 in 2019.<\/p>\n<p>Most of the reform initiatives that have enhanced China\u2019s state capacity preceded Xi, but it was under his leadership that they gained steam. Whether it was the landmark judicial reform starting in 2013 or the passing of China\u2019s first Civil Code in 2020, most laws passed over the last decade had been debated for years, rarely moving beyond the initial legislative stages. That so many of these reforms were finally brought to a conclusion could well be one of Xi\u2019s greatest achievements.<\/p>\n<p><img decoding=\"async\" class=\"aligncenter size-full wp-image-8272\" src=\"https:\/\/focus.cbbc.org\/wp-content\/uploads\/2021\/07\/Screen-Shot-2021-07-27-at-14.50.34.png\" alt=\"\" width=\"1007\" height=\"347\" srcset=\"https:\/\/focus.cbbc.org\/wp-content\/uploads\/2021\/07\/Screen-Shot-2021-07-27-at-14.50.34.png 1007w, https:\/\/focus.cbbc.org\/wp-content\/uploads\/2021\/07\/Screen-Shot-2021-07-27-at-14.50.34-300x103.png 300w, https:\/\/focus.cbbc.org\/wp-content\/uploads\/2021\/07\/Screen-Shot-2021-07-27-at-14.50.34-768x265.png 768w, https:\/\/focus.cbbc.org\/wp-content\/uploads\/2021\/07\/Screen-Shot-2021-07-27-at-14.50.34-585x202.png 585w\" sizes=\"(max-width: 1007px) 100vw, 1007px\" \/><\/p>\n<p style=\"text-align: center;\"><em>China\u2019s score on the World Bank\u2019s Government Effectiveness Index<\/em><\/p>\n<p>One of the major projects of this trend is the development of a nationwide Social Credit System (SCS). Often decried as an Orwellian surveillance tool, the SCS\u2019s main function is a standardisation and harmonisation of China\u2019s fragmented and inconsistent legal system. While far from complete, the improved exchange of information across departmental and even regional borders has made it much easier for China\u2019s central agencies to monitor both citizens and businesses.<\/p>\n<p>Alongside this reform has come the consolidation of many supervisory agencies. The major institutional reorganisation in 2018, and the merger of important regulatory bodies, like the one combining three different anti-monopoly bureaus into the single State Administration for Market Regulation (SAMR), streamlined the central government\u2019s decision-making process and thus enhanced effectiveness.<\/p>\n<p>The first results of the reform were seen in the financial sector, where the China Banking and Insurance Regulatory Commission (CBIRC) \u2013 itself the successor of two previously independent regulators \u2013 managed to clean up China\u2019s vast shadow banking sector.<\/p>\n<div style=\"clear:both; margin-top:2em; margin-bottom:2em;\"><a href=\"https:\/\/focus.cbbc.org\/why-has-shipping-between-the-uk-and-china-become-so-expensive\/\" target=\"_self\" rel=\"dofollow\" class=\"u58f80697912e176af371dd031295a322\"><style> .u58f80697912e176af371dd031295a322 { padding:0px; margin: 0; padding-top:1em!important; padding-bottom:1em!important; width:100%; display: block; font-weight:bold; background-color:#eaeaea; border:0!important; border-left:4px solid #E74C3C!important; box-shadow: 0 1px 2px rgba(0, 0, 0, 0.17); -moz-box-shadow: 0 1px 2px rgba(0, 0, 0, 0.17); -o-box-shadow: 0 1px 2px rgba(0, 0, 0, 0.17); -webkit-box-shadow: 0 1px 2px rgba(0, 0, 0, 0.17); text-decoration:none; } .u58f80697912e176af371dd031295a322:active, .u58f80697912e176af371dd031295a322:hover { opacity: 1; transition: opacity 250ms; webkit-transition: opacity 250ms; text-decoration:none; } .u58f80697912e176af371dd031295a322 { transition: background-color 250ms; webkit-transition: background-color 250ms; opacity: 1; transition: opacity 250ms; webkit-transition: opacity 250ms; } .u58f80697912e176af371dd031295a322 .ctaText { font-weight:bold; color:#E74C3C; text-decoration:none; font-size: 16px; } .u58f80697912e176af371dd031295a322 .postTitle { color:#000000; text-decoration: underline!important; font-size: 16px; } .u58f80697912e176af371dd031295a322:hover .postTitle { text-decoration: underline!important; } <\/style><div style=\"padding-left:1em; padding-right:1em;\"><span class=\"ctaText\">Read Also<\/span>&nbsp; <span class=\"postTitle\">Why has shipping between the UK and China become so expensive?<\/span><\/div><\/a><\/div>\n<p>Last year, the CBIRC\u2019s effectiveness spilled over into the tech sector, with <a href=\"https:\/\/focus.cbbc.org\/key-takeaways-from-the-samr-2021-legislative-plan-for-uk-companies\/\" target=\"_blank\" rel=\"noopener\">SAMR<\/a> getting more active, too. The ultimate clarion call came when <a href=\"https:\/\/focus.cbbc.org\/the-latest-on-chinas-anti-trust-crackdown\/\" target=\"_blank\" rel=\"noopener\">Alibaba<\/a>, China\u2019s largest online platform company, had to cancel the IPO of its fintech subsidiary Ant Group only days from its planned listing. Since then, a flurry of new regulations and investigations has engulfed China\u2019s tech sector, with ride-hailing giant <a href=\"https:\/\/focus.cbbc.org\/what-is-happening-to-didi-in-china\/\" target=\"_blank\" rel=\"noopener\">DiDi Chuxing<\/a> being just the latest \u2013 but surely not the last \u2013 target of central administrators.<\/p>\n<h4>Trend 2: The growing importance of foreign capital<\/h4>\n<p>The second trend which will become an important factor in Chinese policymaking in the coming decade is the country\u2019s increasing reliance on foreign capital. While foreign direct investment (FDI) has long played a crucial role in China\u2019s economy and rapid modernisation, the recent opening-up of the country\u2019s financial sector has triggered a veritable rush into China\u2019s <a href=\"https:\/\/focus.cbbc.org\/how-china-plans-to-increase-domestic-consumption\/\" target=\"_blank\" rel=\"noopener\">debt market<\/a> by foreign investors.<\/p>\n<p>FDI has seen steady growth over the last decade but has received a further boost from recent market liberalisation, for example in the <a href=\"https:\/\/focus.cbbc.org\/report-automotive-industry-opportunities-in-china\/\" target=\"_blank\" rel=\"noopener\">automotive<\/a> sector, and the lack of similar opportunities in western economies. In 2019, FDI into China surpassed \u2013 for the first time &#8211; the threshold of \u00a3100 billion and jumped yet again by 15.4%, reaching \u00a3117.8 billion in net inflows last year, according to data from UNCTAD.<\/p>\n<p><img decoding=\"async\" class=\"aligncenter size-full wp-image-8273\" src=\"https:\/\/focus.cbbc.org\/wp-content\/uploads\/2021\/07\/Screen-Shot-2021-07-27-at-15.01.30.png\" alt=\"\" width=\"1035\" height=\"532\" srcset=\"https:\/\/focus.cbbc.org\/wp-content\/uploads\/2021\/07\/Screen-Shot-2021-07-27-at-15.01.30.png 1035w, https:\/\/focus.cbbc.org\/wp-content\/uploads\/2021\/07\/Screen-Shot-2021-07-27-at-15.01.30-300x154.png 300w, https:\/\/focus.cbbc.org\/wp-content\/uploads\/2021\/07\/Screen-Shot-2021-07-27-at-15.01.30-1024x526.png 1024w, https:\/\/focus.cbbc.org\/wp-content\/uploads\/2021\/07\/Screen-Shot-2021-07-27-at-15.01.30-768x395.png 768w, https:\/\/focus.cbbc.org\/wp-content\/uploads\/2021\/07\/Screen-Shot-2021-07-27-at-15.01.30-585x301.png 585w\" sizes=\"(max-width: 1035px) 100vw, 1035px\" \/><\/p>\n<p style=\"text-align: center;\"><em>Foreign direct investment flows into China 2000-2020 in \u00a3 billions (source: UNCTAD)<\/em><\/p>\n<p>China\u2019s attractiveness for foreign businesses is hardly surprising, but the growing influx of foreign capital into China\u2019s debt market is an interesting development, given the country\u2019s opaque financial system and the debt-ridden public finances. Between January 2020 and March 2021 alone, the value of Chinese onshore bonds owned by foreign entities surged by over 61% from \u00a3253 billion to over \u00a3408 billion. Since 2014, the amount increased more than eightfold according to data from China\u2019s central bank.<\/p>\n<p>However, the overall share of foreign investment remains tiny compared to debt owned by domestic institutions. By the end of 2020, foreign entities held only around 3% of China\u2019s total onshore bond volume, according to calculations by Bloomberg. But the growing presence of foreign lenders nonetheless increases pressure on both debtors and regulators to handle debt in a far more consequential way than previously.<\/p>\n<p>While the additional incentive for better market oversight is welcomed by Chinese reformers, the growing influx of foreign capital also brings new risks. Chinese regulators have already warned about \u2018hot money\u2019 and the potential dangers which could be caused by a sudden reversal of capital flows.<\/p>\n<p><img decoding=\"async\" class=\"aligncenter size-full wp-image-8274\" src=\"https:\/\/focus.cbbc.org\/wp-content\/uploads\/2021\/07\/Screen-Shot-2021-07-27-at-15.03.45.png\" alt=\"\" width=\"993\" height=\"487\" srcset=\"https:\/\/focus.cbbc.org\/wp-content\/uploads\/2021\/07\/Screen-Shot-2021-07-27-at-15.03.45.png 993w, https:\/\/focus.cbbc.org\/wp-content\/uploads\/2021\/07\/Screen-Shot-2021-07-27-at-15.03.45-300x147.png 300w, https:\/\/focus.cbbc.org\/wp-content\/uploads\/2021\/07\/Screen-Shot-2021-07-27-at-15.03.45-768x377.png 768w, https:\/\/focus.cbbc.org\/wp-content\/uploads\/2021\/07\/Screen-Shot-2021-07-27-at-15.03.45-585x287.png 585w\" sizes=\"(max-width: 993px) 100vw, 993px\" \/><\/p>\n<p style=\"text-align: center;\"><em>RMB onshore bonds owned by foreign entities (in \u00a3 billions); Source: People\u2019s Bank of China<\/em><\/p>\n<p>More importantly, Chinese authorities will also have to find a sustainable solution for how to deal with insolvent debtors. Recent bond defaults \u2013 including by a rising number of SOEs \u2013 indicates a growing reluctance for Chinese authorities to bail out struggling companies. Nonetheless, it is uncertain whether China\u2019s financial system could withstand a major default by a large debtor like real-estate developer Evergrande.<\/p>\n<h4>Trend 3: Chinese companies abroad<\/h4>\n<p>A third trend is the growing global presence of Chinese private companies \u2013 both as investors and competitors. During the last decade, Chinese outbound foreign direct investment (OFDI) flows nearly doubled. After reaching an initial peak in 2016 at over \u00a3140 billion, Chinese investments abroad somewhat decreased to \u00a397.4 billion last year but still remained above the level of 2014.<\/p>\n<p><img decoding=\"async\" class=\"aligncenter size-full wp-image-8276\" src=\"https:\/\/focus.cbbc.org\/wp-content\/uploads\/2021\/07\/Screen-Shot-2021-07-27-at-15.05.17.png\" alt=\"\" width=\"1014\" height=\"467\" srcset=\"https:\/\/focus.cbbc.org\/wp-content\/uploads\/2021\/07\/Screen-Shot-2021-07-27-at-15.05.17.png 1014w, https:\/\/focus.cbbc.org\/wp-content\/uploads\/2021\/07\/Screen-Shot-2021-07-27-at-15.05.17-300x138.png 300w, https:\/\/focus.cbbc.org\/wp-content\/uploads\/2021\/07\/Screen-Shot-2021-07-27-at-15.05.17-768x354.png 768w, https:\/\/focus.cbbc.org\/wp-content\/uploads\/2021\/07\/Screen-Shot-2021-07-27-at-15.05.17-585x269.png 585w\" sizes=\"(max-width: 1014px) 100vw, 1014px\" \/><\/p>\n<p style=\"text-align: center;\"><em>Total Chinese outbound FDI from 2010 to 2020 in \u00a3 billions (source: MOFCOM, Statista)<\/em><\/p>\n<p>Yet more important than quantity is the changing quality of Chinese investment. Ten years ago, nearly all Chinese OFDI was carried out by State-Owned Enterprises (SOEs). For example, in 2011, only 7% of Chinese investment in the <a href=\"https:\/\/focus.cbbc.org\/interview-eu-ambassador-in-china-nicolas-chapuis\/\" target=\"_blank\" rel=\"noopener\">EU<\/a> came from private companies. By 2020, the situation was almost completely the opposite. Only 18% of Chinese capital invested in the EU and UK came from SOEs whereas private investors accounted for 82%, according to research by Merics and Rhodium Group.<\/p>\n<p>Gone are the days when Chinese firms only invested in oil fields in Venezuela or European football clubs. Today, Chinese investment focuses more on higher value-added activities &#8211; like a new plant for EV batteries in Sunderland together with Nissan or offshore wind farms.<\/p>\n<p><img decoding=\"async\" class=\"aligncenter size-full wp-image-8277\" src=\"https:\/\/focus.cbbc.org\/wp-content\/uploads\/2021\/07\/Screen-Shot-2021-07-27-at-15.07.01.png\" alt=\"\" width=\"1036\" height=\"474\" srcset=\"https:\/\/focus.cbbc.org\/wp-content\/uploads\/2021\/07\/Screen-Shot-2021-07-27-at-15.07.01.png 1036w, https:\/\/focus.cbbc.org\/wp-content\/uploads\/2021\/07\/Screen-Shot-2021-07-27-at-15.07.01-300x137.png 300w, https:\/\/focus.cbbc.org\/wp-content\/uploads\/2021\/07\/Screen-Shot-2021-07-27-at-15.07.01-1024x469.png 1024w, https:\/\/focus.cbbc.org\/wp-content\/uploads\/2021\/07\/Screen-Shot-2021-07-27-at-15.07.01-768x351.png 768w, https:\/\/focus.cbbc.org\/wp-content\/uploads\/2021\/07\/Screen-Shot-2021-07-27-at-15.07.01-585x268.png 585w\" sizes=\"(max-width: 1036px) 100vw, 1036px\" \/><\/p>\n<p style=\"text-align: center;\"><em>Share of private FDI in the UK and the EU from 2011 to 2020; Source: Merics, Rhodium Group<\/em><\/p>\n<p>Chinese outbound investment thus more and more resembles that from other advanced economies like the US, Germany or Japan. What\u2019s more, China\u2019s own government support for Industry 4.0 technologies could mean that Chinese firms will soon become global leaders in certain key technologies such as battery storage capacities, 5G and other advanced manufacturing and technology sectors.<\/p>\n<p>Keeping Chinese investment and high-tech firms out will therefore become a less viable strategy and could even be detrimental to other countries\u2019 own industrial development.<\/p>\n<h4>Trend 4: China\u2019s changing nationalism<\/h4>\n<p>The last trend concerns the changing nature of China\u2019s domestic nationalistic sentiment. In particular, extreme nationalists \u2013 who are mostly active on social media platforms such as Weibo and WeChat \u2013 are turning their ire and incriminations increasingly towards domestic targets, sowing division and risking a similar destructive polarisation of Chinese society as we have witnessed in some western democracies of late \u2013 most notably the US.<\/p>\n<p>Although nationalist outbursts are not a new phenomenon in China\u2019s public sphere, they were usually directed at foreign governments and \u2013 by extension \u2013 businesses from these countries. Most prominently, the dispute about the Diaoyu Islands (Japan) or the stationing of US THAAD Missiles (South Korea) all have in common that the targets of Chinese online vitriol were non-Chinese entities. Usually, they ebbed once the official discourse changed. But recent attacks by high-profile netizens suggest that this link has been broken.<\/p>\n<div style=\"clear:both; margin-top:2em; margin-bottom:2em;\"><a href=\"https:\/\/focus.cbbc.org\/do-chinese-consumers-still-want-to-buy-british\/\" target=\"_self\" rel=\"dofollow\" class=\"ue6284ad4e3722f34d2165f91fd645a3c\"><style> .ue6284ad4e3722f34d2165f91fd645a3c { padding:0px; margin: 0; padding-top:1em!important; padding-bottom:1em!important; width:100%; display: block; font-weight:bold; background-color:#eaeaea; border:0!important; border-left:4px solid #E74C3C!important; box-shadow: 0 1px 2px rgba(0, 0, 0, 0.17); -moz-box-shadow: 0 1px 2px rgba(0, 0, 0, 0.17); -o-box-shadow: 0 1px 2px rgba(0, 0, 0, 0.17); -webkit-box-shadow: 0 1px 2px rgba(0, 0, 0, 0.17); text-decoration:none; } .ue6284ad4e3722f34d2165f91fd645a3c:active, .ue6284ad4e3722f34d2165f91fd645a3c:hover { opacity: 1; transition: opacity 250ms; webkit-transition: opacity 250ms; text-decoration:none; } .ue6284ad4e3722f34d2165f91fd645a3c { transition: background-color 250ms; webkit-transition: background-color 250ms; opacity: 1; transition: opacity 250ms; webkit-transition: opacity 250ms; } .ue6284ad4e3722f34d2165f91fd645a3c .ctaText { font-weight:bold; color:#E74C3C; text-decoration:none; font-size: 16px; } .ue6284ad4e3722f34d2165f91fd645a3c .postTitle { color:#000000; text-decoration: underline!important; font-size: 16px; } .ue6284ad4e3722f34d2165f91fd645a3c:hover .postTitle { text-decoration: underline!important; } <\/style><div style=\"padding-left:1em; padding-right:1em;\"><span class=\"ctaText\">Read Also<\/span>&nbsp; <span class=\"postTitle\">Do Chinese consumers still want to buy British?<\/span><\/div><\/a><\/div>\n<p>In a recent interview with Guancha, a Chinese news website, the Chinese Ambassador to France, Lu Shaye, explained that the support and approval from Chinese netizens for aggressive public statements is more important than diplomatic etiquette.<\/p>\n<p>Although this attitude is not confined to Chinese diplomats, the permissive and even encouraging approach towards nationalist online influencers has created an environment where online attacks have shifted more and more from foreign governments and companies towards domestic individuals who \u2013 in the eyes of China\u2019s online warriors \u2013 are considered as not patriotic enough.<\/p>\n<p>That this trend also affects trade and investment became clear when nationalists called for a halt to plans by Taiwanese chipmaker TSMC to invest an additional USD2.87 billion (~\u00a32.1 billion) in its Nanjing plant, arguing that it would harm the mainland\u2019s own semiconductor industry.<\/p>\n<div style=\"clear:both; margin-top:2em; margin-bottom:2em;\"><a href=\"https:\/\/focus.cbbc.org\/british-business-leaders-meet-li-keqiang\/\" target=\"_self\" rel=\"dofollow\" class=\"u55905d61d00b31393544ddb1b758ad8c\"><style> .u55905d61d00b31393544ddb1b758ad8c { padding:0px; margin: 0; padding-top:1em!important; padding-bottom:1em!important; width:100%; display: block; font-weight:bold; background-color:#eaeaea; border:0!important; border-left:4px solid #E74C3C!important; box-shadow: 0 1px 2px rgba(0, 0, 0, 0.17); -moz-box-shadow: 0 1px 2px rgba(0, 0, 0, 0.17); -o-box-shadow: 0 1px 2px rgba(0, 0, 0, 0.17); -webkit-box-shadow: 0 1px 2px rgba(0, 0, 0, 0.17); text-decoration:none; } .u55905d61d00b31393544ddb1b758ad8c:active, .u55905d61d00b31393544ddb1b758ad8c:hover { opacity: 1; transition: opacity 250ms; webkit-transition: opacity 250ms; text-decoration:none; } .u55905d61d00b31393544ddb1b758ad8c { transition: background-color 250ms; webkit-transition: background-color 250ms; opacity: 1; transition: opacity 250ms; webkit-transition: opacity 250ms; } .u55905d61d00b31393544ddb1b758ad8c .ctaText { font-weight:bold; color:#E74C3C; text-decoration:none; font-size: 16px; } .u55905d61d00b31393544ddb1b758ad8c .postTitle { color:#000000; text-decoration: underline!important; font-size: 16px; } .u55905d61d00b31393544ddb1b758ad8c:hover .postTitle { text-decoration: underline!important; } <\/style><div style=\"padding-left:1em; padding-right:1em;\"><span class=\"ctaText\">Read Also<\/span>&nbsp; <span class=\"postTitle\">British business leaders meet Premier Li Keqiang<\/span><\/div><\/a><\/div>\n<h4>The CBBC view<\/h4>\n<p>The four trends outlined in this update will play an important role in Chinese policymaking over the next decade and maybe even beyond. Some of them support a more optimistic assessment of China\u2019s political trajectory than the one which is commonly presented in western media. In particular, the improved regulatory capacity of the Chinese central government should generally be welcomed as it reduces legal uncertainty, even though the security-focused approach by Chinese authorities towards many issues might suggest the opposite. As the case of the new Personal Information Protection Law shows, national security-oriented legislation can lead to better legal protection for all affected parties.<\/p>\n<p>The increasing interconnectedness of Chinese investment and financial markets with the rest of the world also points towards a more positive <a href=\"https:\/\/focus.cbbc.org\/hma-dame-caroline-wilson-on-trade-and-future-uk-china-relations\/\" target=\"_blank\" rel=\"noopener\">trade relationship<\/a> in the coming years. Despite frequent talk about decoupling, commercial links between China and the rest of the world are deepening. This means that it is not only western governments who are forced to adapt to China\u2019s growing role; Chinese policymakers, too, can no longer ignore global challenges and regulatory environments. China\u2019s role in global talks on climate change and its support for the planned 15% <a href=\"https:\/\/focus.cbbc.org\/why-china-supports-the-new-global-minimum-corporate-tax\/\" target=\"_blank\" rel=\"noopener\">global minimum tax<\/a> on corporate profits indicates that cooperation with China on these issues will have to deepen as well.<\/p>\n<p>The final trend of the turning inward of Chinese online nationalism highlights that Chinese society is changing, too; and the public statement of a leading Chinese diplomat that soothing public anger expressed online is more important than the guidance of a supposedly \u2018enlightened\u2019 technocratic Party leadership suggests that the \u2018democratic\u2019 element in Chinese politics has become far stronger than many analysts are willing to admit.<\/p>\n<p><a href=\"\/lp-cta-membership1\" target=\"_blank\" rel=\"noopener\"><img decoding=\"async\" class=\"aligncenter wp-image-7248 size-full\" src=\"https:\/\/focus.cbbc.org\/wp-content\/uploads\/2021\/03\/lp-membership1.png\" alt=\"\" width=\"4680\" height=\"786\" srcset=\"https:\/\/focus.cbbc.org\/wp-content\/uploads\/2021\/03\/lp-membership1.png 4680w, https:\/\/focus.cbbc.org\/wp-content\/uploads\/2021\/03\/lp-membership1-300x50.png 300w, https:\/\/focus.cbbc.org\/wp-content\/uploads\/2021\/03\/lp-membership1-1024x172.png 1024w, https:\/\/focus.cbbc.org\/wp-content\/uploads\/2021\/03\/lp-membership1-768x129.png 768w, https:\/\/focus.cbbc.org\/wp-content\/uploads\/2021\/03\/lp-membership1-1536x258.png 1536w, https:\/\/focus.cbbc.org\/wp-content\/uploads\/2021\/03\/lp-membership1-2048x344.png 2048w, https:\/\/focus.cbbc.org\/wp-content\/uploads\/2021\/03\/lp-membership1-1920x322.png 1920w, https:\/\/focus.cbbc.org\/wp-content\/uploads\/2021\/03\/lp-membership1-1170x197.png 1170w, https:\/\/focus.cbbc.org\/wp-content\/uploads\/2021\/03\/lp-membership1-585x98.png 585w\" sizes=\"(max-width: 4680px) 100vw, 4680px\" \/><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Improved state capacity, deeper commercial and financial links with the outside world, and online activism will have an important impact on Chinese politics in the coming years, while many trends point towards more, not less cooperation between China and western countries On 1 July 2021, China\u2019s ruling Communist Party celebrated the 100th anniversary of its founding in 1921 in Shanghai\u2019s French Concession. The official festivities included a massive show titled&hellip;<\/p>\n","protected":false},"author":26,"featured_media":8271,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"inline_featured_image":false,"_lmt_disableupdate":"","_lmt_disable":"","footnotes":""},"categories":[132],"tags":[367,2427,333,282],"class_list":["post-8266","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","tag-economy","tag-paywall","tag-politics","tag-society"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v26.8 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>The CCP at 100: Four trends that will define the next decade - Focus - China Britain Business Council<\/title>\n<meta name=\"description\" content=\"We examine improved state capacity, deeper commercial and financial links with the outside world, and online activism in the next decade\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/focus.cbbc.org\/the-ccp-at-100-four-trends-that-will-define-the-next-decade\/\" \/>\n<meta property=\"og:locale\" content=\"en_GB\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"The CCP at 100: Four trends that will define the next decade - 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