October 3, 2017                                   Issue No. 24
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Chinese President Xi Jinping has called for stronger reform, innovation and resource integration to improve integrated military and civilian development. Xi made the remarks while presiding over the second plenary session of the Central Commission for Integrated Military and Civilian Development, which he also heads. The session adopted a plan for the development of defense science, technology and industry during the 13th five-year-plan period (2016-2020), and guidelines on advancing integrated military and civilian development in defense science, technology and industry. Also adopted were guidelines on advancing highly integrated military and civilian development in military logistics during the 13th five-year-plan period, and a draft regulation on management of economic projects that are closely related to national defense.

China is looking to complete its national technology transfer system by 2025, said an outline on the system published by the State Council. Also, by 2020, a national technology transfer system that adapts to new circumstances is to be established. Improving the system is key to domestic innovation, economic and social development, and to supporting China's efforts to become a leading power in science and technology. A more unified and open technology market and exchange network on the national level should be set up, the outline noted. Channels for technology transfers should be expanded to increase the influence of the transfer system. For instance, sci-tech achievements from military departments shall be accessible to civilian departments, and vise versa, while cross-regional transfer should be encouraged. The outline also asked for a better policy environment and stronger logistical support to ensure efficient operation.

The Central Military Commission (CMC) signed military equipment procurement agreements with 13 agencies, Xinhua reports. The CMC published bidding information on its weapon procurement website this April in a bid to open the country's defense sector to enterprises and boost competition. A total of 13 enterprises, including AVIC International Trade & Economic Development and Dongfeng (Wuhan) Engineering Consulting were selected from more than 69 bidding applications. It is the latest move to upgrade civil-military integration, and more procurement projects will seek professional bidding services, according to the CMC equipment development department.

According to Tencent's "Internet Security Report: First Half of 2017," China suffers from a severe shortage of cybersecurity professionals. In the past few years, Chinese universities only graduated around 30,000 cybersecurity majors, while the current demand for such professionals has risen above 700,000--a number projected to top 1.4 million by 2020. The Chinese government does have a plan. On August 15 this year, the Central Cyberspace Affairs Leading Group and the Chinese Education Ministry issued a joint decree formalizing a set of rules on constructing first-rate cybersecurity schools. In 10 years' time, the plan seeks to establish four to six world-class cybersecurity schools in Chinese universities as training grounds for cyber-warriors. All resources at these institutions, from teaching staff to incentive structures, will be dedicated solely to fostering top-notch cyber-warriors. Universities must meet certain criteria before they can apply for state support.

The People's Liberation Army Air Force (PLAAF) officially inducted the J-20, developed and produced by the Chengdu Aircraft Industry Group. This was announced by Wu Qian, a spokesperson of China's Ministry of National Defense on September 26. China the first non-Western (and non-U.S.-ally) power to fully induct a 5th-generation fighter. In turn, the J-20 is also the first operational non-American 5th-generation fighter. It is not known how many J-20s the PLAAF intends to induct, but currently and in the near future, it is unlikely to factor significantly.

China's biggest arms manufacturer has tested a new instrument to detect stealth aircraft, technology that could be a military "game changer" if mounted on a satellite or plane, scientists say. China North Industries Group Corporation tested a device capable of generating terahertz radiation with unprecedented power at a military research facility in Chengdu, Sichuan province, last week, Science and Technology Daily reported. Terahertz radiation, or T-rays, can penetrate composite materials to reach underlying metallic layers and is widely used in industrial plants to spot product defects. Terahertz radars are already capable of finding a concealed weapon in a crowd from hundreds of meters away. A more powerful version is under development to put on an early warning aircraft or satellite to identify and track military aircraft, including the US F-22 and F-35 stealth fighters.

The Chinese stealth fighter jets will be capable of remotely controlling drones via satellite in the coming five years. Chinese J-20 and J-31 fighters will be capable of mobilizing the drones for battle by serving as their control platforms, Xu Yongling, a retired PLA chief test pilot and an expert at the Chinese Society of Aeronautics and Astronautics was quoted as saying at a recent defense seminar, Cankaoxiaoxi newspaper reported. "China could achieve the technology within five years. Chinese fighter jets will have the ability to control drones in real time in battles in the Indian Ocean, the west Pacific Ocean, and South China Sea," Global Times reported Xu as saying.

Two subsidiaries of China State Shipbuilding Corp, the primary contractor for China's naval force, halted stock trading on the Shanghai Stock Exchange on Wednesday as their parent company prepares a major asset reorganization, the group said on its website. The announcement said that whether the reforms take place would be decided in the next 10 trading days. CSSC Holdings Ltd and CSSC Offshore and Marine Engineering Co Ltd both acted upon the notices from their parent company about the potential asset reform by suspending their stock trading.

The first live demonstration of a call powered and securely encrypted using quantum technology marks a huge breakthrough in the realm of quantum communications, and shows the potential impact the technology could have on how information is transmitted and secured. The September 29 call is the result of a collaboration between researchers at the Chinese Academy of Sciences, the Austrian Academy of Sciences, and the University of Vienna. The call was encrypted by sending information embedded in particles of light (photons) generated by the Micius satellite. Micius was launched last year and successfully used quantum cryptography to send data to Earth back in August.

China is creating its own offload accelerator, based on digital signal processors. The Matrix2000 DSP accelerator, which was unveiled at the ISC16 supercomputing event last year and which is being created by the National University of Defense Technology, is finally ready and is being deployed in the upgraded Tianhe-2A system that the Chinese military built initially with Intel Xeon processors and Xeon Phi coprocessors. The Matrix2000 DSP accelerator came into being because the US government halted shipments of Intel's Xeon Phi coprocessors to China several years ago, since they are being used for strategic military purposes rather than for general scientific research.

China's land-based Long March space launch rockets have been the backbone of its space program for more than 40 years. It looks like that's about to change, as the nation is making moves to launch from aircraft and ships. Starting next year, China Aerospace Science and Technology Corporation will use 10,000-ton freighters as ocean-going launchpads for its Long March 11 launch rocket. The Long March 11 can carry up to 1,100 pounds into low-earth orbit. The plan is to bring the freighters to the equator, so the rockets require less fuel and can accommodate larger payloads. Another alternative is from the air. The China Academy of Launch Vehicle Technology announced this month that they're developing a solid-fueled space launch rocket to be dropped from the Y-20. The rocket itself is expected to weigh about 60 tons (the Y-20's payload is 66 tons) and has a low Earth orbit payload of 220 pounds.

Clocks that use cold atoms form the backbone of the international time system here on Earth. Now, scientists in China have successfully demonstrated a cold atom clock in space, an achievement that could lead to more accurate terrestrial timekeeping and better tests of fundamental physics. The Cold Atom Clock Experiment in Space involves trapping, cooling, and probing rubidium atoms within a box that could fit in the trunk of a car. In orbit at an altitude of 400 kilometers, the experiment was launched on board China's Tiangong-2 space laboratory last September. Now, a year later, it is performing just as expected, according to a paper posted to the arXiv server by scientists at the Chinese Academy of Sciences's Shanghai Institute of Optics and Fine Mechanics.

The China Aerospace Science and Technology Corporation (CASC) has signed a strategic agreement with the Export-Import Bank of China to support its expansion in domestic and foreign markets. CASC said that through the agreement, the bank will provide credit and finance services in support of activities including the development of "high-tech equipment," exports and foreign trade, major scientific research projects, and civil-military integration. CASC did not disclose the monetary value of the credit that will be extended to the corporation through the agreement.