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Baihang and the Eight Personal Credit Programmes: A Credit Leap Forward

“The personal credit era has arrived,” some netizens say.

Manya Koetse

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Baihang Credit has received ample coverage in Chinese press recently as it was launched as “the first unified personal-credit information firm” of the PRC. It joins forces with Alibaba, Tencent, and six other big companies in further building on China’s credit-based society. What’s on Weibo provides an overview of the developments that have led to the formation of this powerful credit platform.

Three years after eight commercial firms were granted permission by the People’s Bank of China (PBOC) to start their pilot programmes in operating personal credit systems in 2015, none of them have received a license.

Instead, they’ve now become shareholders and active contributors to a new unified platform that has access to an enormous number of personal credit data. At the so-called ‘trust alliance’ (信联) Baihang Credit (百行征信), state level and commercial organizations join forces in further developing China’s credit systems.

How they can share data without harming Chinese recent laws on privacy, however, remains vague.

Some background

An important moment within this development started over twelve years ago (to be precise: on March 20 of 2006), when the People’s Bank of China (PBOC) began operating its own independent Credit Reference Center. The goal of the brand-new center was to set up the reliable credit checking platform which China was still lacking at the time.

At its core, it was tasked with managing a national commercial and consumer credit reporting system, to enable financial institutions to assess borrowers’ creditworthiness.

Screenshot of The Credit Reference Center website.

In November of 2013, during the Third Plenary Session of the 18th CPC Congress, new plans were adopted to also “establish and improve a social credit system to commend honesty and punish dishonesty” (USC 2013), putting more pressure on the formation of a solid credit checking system in China.

Months later, in 2014, the Chinese State Council issued an official notice concerning the construction of a nationwide Social Credit System that was to be rolled out by 2020 (Creemers 2014).

 

Three Years of the “Credit Leap Forward”

 

It is perhaps no coincidence that not too long after the formal announcement of these plans, that would lead to a more credit-based Chinese society, the PBOC Credit Center opened its doors to eight Chinese companies to work on trial programmes to prepare for operating their own personal credit information businesses.

At the time, in 2015, the PBOC’s Credit Center had been around for nearly a decade, yet still ‘only’ covered 25% of the Chinese population, leaving ample risks in the control process of Chinese financial services (Yang 2017).

You could say that 2015 was an important year in which competition for China’s multi-billion personal credit investigation market really began, along with the flourishing of China’s Internet population and the growing demand for personal online data information (Jun 2015). A recent Caixin column by Xinhai Liu (刘新海), associate researcher at the Credit Reference Center, even calls the 2015-2018 period the “Credit Great Leap Forward” (“征信大跃进的三年”).

Besides that new personal credit rating tech firms started to pop up, the year 2015 was also the year when misconceptions arose in foreign media regarding these existing credit systems.* ACLU called it “nightmarish,” falsely claiming that all Chinese would be “measured by a score between 350 and 950, which is linked to their national identity card” and that “the government has announced that it will be mandatory by 2020.”

As explained in our recent article about this issue, these discussions – that continue in foreign media to this day – often blur the lines between the national Social Credit system and a number of private programs. (To understand more about the difference between the government’s Social Credit system and the commercial ones, please read the previous article we featured on this topic.)

These misunderstandings partly come from the fact that both the government’s plans on introducing their ‘Social Credit System’ (社会信用体系) and the Central Bank’s endeavors to build a stronger personal credit industry (个人征信行业) were major developments in the period from 2013-2015 up to the present.

 

The Eight Programmes

 

With such a strong demand for solid credit rating systems, why have none of the eight approved tech firms received their license, over three years after starting pilot operations?

One of the main problems with commercial services such as the well-known ‘Sesame Credit’ is, according to PBOC spokesperson Wan Cunzhi, that they are all “isolated islands” (“信息孤岛”) of non-shared data, that they are lacking in independence, and that their data management is not strong enough (Yang 2017).

The coming-together of these “islands” solves this problem and forms one solid platform under the ‘Baihang’ label. Which eight companies does this concern? An overview:

1. Sesame Credit (芝麻信用)

This is the best-known commercial personal credit score programme, implemented by Alibaba’s Ant Financial. Sesame Credit already had 520 million users as of 2017.

Sesame Credit example scores explained, from 385 being in the low range to 731 being in the ‘good’ range.

Sesame Credit was launched in 2015. Because it is part of the Alibaba family, Sesame Credit has an enormous amount of data at its disposal, from e-commerce sites to finance products (Taobao, Tianmao, Alipay, etc), through which it compiles users’ own scores, going from 350-950, for those who have opted into the program. The scores are based on a number of things, including people’s payment history, their contacts and network, and online behavior.

2. Tencent Credit (腾讯征信)

Since the Tencent company currently hosts 55% of China’s mobile internet usage on its platforms (Marr 2018), it has also an enormous amount of data at its disposal. Similar to Sesame Credit, Tencent Credit works with a 300-850 score system. It officially launched a trial of its score programme in January of 2018, but then took it down shortly after.

3. Kaola Credit (考拉征信)

Koala Credit is an independent third-party credit company established by the Shenzhen-based Lakara (拉卡拉) financial services company. Koala Credit was launched in May of 2015, around the same time as Sesame Credit launched its program. Lakara has strategic and powerful partnerships with China Unionpay, five major banks, and hundreds of other financial institutions. Lakara and Koala Credit jointly founded a pioneering lab in China that focuses on big data models. The University of the Chinese Academy of Sciences is involved in this project (Zhuo et al 2016, 299).

4. Pengyuan Credit (鹏元征信)

Established in 2005, Pengyuan Credit is amongst the oldest personal credit investigation firms of the eight selected by the PBOC. The company states on its website that its main goal since 2005 has been to “create a credit reporting ecosphere on the Internet,” shifting from traditional credit rating systems to online credit rating methods.

5. Sinoway Credit (华道征信)

The Beijing Sinoway Credit was established in 2013 by four large financial companies. As explained by BJReview (2016), Sinoway is among those companies (such as Zhima and Tencent) that accumulate data from their business rather than using traditional algorithms to collect financial and public data. They have exclusive access to enterprise data (Zhuo et al 2016, 299).

6. Qianhai Credit Service (深圳前海征信)

Qiu Han, CEO of Qianhai.

Another company established in 2013, Qianhai Credit is based in Shenzhen. It was launched by financial giant Pingan. The current CEO is the female big data specialist Qiu Han (邱寒).

7. China Chengxin Credit (中诚信征信)

The Beijing-based China Chengxin Credit company was founded in 2005, established by the China Chengxin Credit Management group. The firm provides personal credit information and companies and market research services. As described by the China Money Network, its database is connected to local administrations for industry and commerce, police, courts, telecom service providers to provide comprehensive credit information.

8. Intellicredit (中智诚征信)

Intellicredit is a Beijing-based independent, third-party credit registry. CEO Li Xuan (李萱) has previously expressed the company’s goal to handle any loopholes that let scammers get away with fraud in China’s online financial environment. The company is experienced in credit industries both in China and abroad, and its team has also worked on the establishment of the credit reporting system of the PBOC (Zhuo et al 2016, 299).

 

Baihang & Allies: An Abundance of Personal Data

 

The formal launch of Baihang Credit (百行征信), the “first unified personal credit information firm” of China, has become big news in Chinese media, with some calling it a personal credit industry game changer.

Lauch of Baihang Credit, May 23 2018 (photo via Weibo).

Baihang Credit is a joint establishment of the aforementioned eight and the China Internet Finance Association.* It received its license in February of this year. The firm officially opened for business on May 23rd of 2018.

While the China Internet Finance association reportedly holds 36% of the Baihang firm, the other eight shareholders each hold 8% (Zhang & Liu 2018).

^

The eight companies are not just financial investors, but also active contributors and sharers of technology, resources, and data for the Baihang firm. The launch of this joint establishment means that both state-level institutions and commercial enterprises combine their efforts in building a strong personal credit investigation and service platform; the new system now links data collected by these powerful firms such as Tencent to the state-level China Internet Finance Association, which in itself is an initiative by the People’s Bank of China.

Besides basic data including personal information, education level, salaries or employer, companies such as Sesame Credit or Tencent also have access to a rich collection of consumer data, ranging from social media, e-commerce purchases, online travel data, to location, phone records and even social connections.

The eight firms will also play an important role in Baihang’s management. Sesame Credit, Tencent Credit, Qianhai Credit, Sinoway and Koala Credit have all entered the company’s board of directors. The other three companies will join the board of supervisors (Sina Finance 2018). The 57-year-old Zhu Huanqi (朱焕启) will be Baihang’s CEO and president; he previously worked at Huida Asset Management.

The PBOC told Caixin Global that all parts of the eight companies that previously dealt with personal credit ratings will now be incorporated into Baihang. The other parts can continue to operate as data service providers. In the future, Sesame Credit, for example, will continue to research commercial credit services.

 

Many Questions Linger

 

While the recent alliance has received ample attention in Chinese media as an important moment in China’s transforming alleged ‘credit-based’ society, many questions still linger.

One Nanjing research institute writes on Weibo: “The joining of these companies means they can share big data. This also means that if a person is behind [in payments] on one platform, they will also have no access to loans on any of the others.”

But is it all about sharing personal financial credit information, or is this about the sharing of other data as well? What are the legal implications of Baihang operations? And to what extent, if at all, will the system link to the upcoming nationwide Social Credit System?

Caixin Global noted that Baihang Credit will face challenges regarding Chinese Cybersecurity Law, which imposes strict limits on ‘secondary uses’ of data beyond its original purpose, and requires individual authorization when personal data is transferred from one institution to another (Sacks 2018; Zhang & Liu 2018).

In this Caixin article, the PBOC’s spokesperson would not elaborate on how Baihang will collect and use personal data. He was only quoted in saying only that contributions to Baihang will be handled “according to market rules.”

 

“Personal Credit Era has Arrived”

 

Despite the many articles about Baihang in Chinese media, it has not become a much-discussed topic on social media; netizens discussing Chinese credit systems seem more concerned with the height of their Sesame Credit score.

One Weibo user, however, did write about the Baihang alliance, commenting: “The personal credit era has arrived” (“个人信用时代到来”).

Other people worry about the impact of this alliance, saying: “You’ll see that if you have a negative balance on your bank account, you won’t be able to use the public bathroom anymore.” (Recently, various cities in China are upgrading their public toilets, integrating AI features such as facial recognition for people to receive free toilet paper.)

Some commenters simply call the companies that have joined under Baihang “a pile of trash.”

Although Sesame Credit will not receive a license to operate its personal credit investigation business, it is highly probable that users of their credit programme will still be able to enjoy the perks of, among many other things, entering libraries for free or riding rental bikes without deposit with a high score.

“I’ve just arrived in Hangzhou and can do many things for free,” one person wrote: “I feel like my Credit Score is omnipotent.”

Baihang’s recent alliance is about to make Chinese personal credit scores even more omnipotent – the ‘Credit Leap Forward’ is well underway.

By Manya Koetse


Directly support Manya Koetse. By supporting this author you make future articles possible and help the maintenance and independence of this site. Donate directly through Paypal here. Also check out the What’s on Weibo donations page for donations through creditcard & WeChat and for more information.

 

* In an article from December of 2015, for example, The Independent suggested that “China has created a social tool which gives people a score for how good a citizen they are,” describing how “China” had put forward “a concept straight out of a cyberpunk dystopia” named Sesame Credit.

* The Chinese Internet Finance Association, also known as the NIFA (National Internet Finance Association) was established in March of 2015 upon approval by the Chinese State Council and Ministry of Civil Affairs. It is a state-level organization.

References (others linked directly within text)

Creemers, Rogier. 2014. “Planning Outline for the Construction of a Social Credit System (2014-2020).” China Copyright and Media, 14 June China https://chinacopyrightandmedia.wordpress.com/2014/06/14/planning-outline-for-the-construction-of-a-social-credit-system-2014-2020/ [10.6.18].

Creditchina. 2018. “百行征信入场,8家股东剥离个人征信业务.” CreditChina.gov, 4 June http://www.creditchina.gov.cn/gerenxinyong/gerenxinyongliebiao/201806/t20180604_117132.html [10.6.18].

Huang, Zhiling. 2016. “Six Obstacles to Producing Reliable Big-Data Credit Reports.” BJ Review, 15 December http://www.bjreview.com/Business/201612/t20161212_800074419.html [9.6.18].

Jun, Wang. 2015. “Road to Credit.” Beijing Review, 3 August http://www.bjreview.com.cn/business/txt/2015-08/03/content_698269.htm [9.6.18].

Marr, Bernard. 2018. “Artificial Intelligence (AI) In China: The Amazing Ways Tencent Is Driving It’s Adoption.” Forbes, 4 June https://www.forbes.com/sites/bernardmarr/2018/06/04/artificial-intelligence-ai-in-china-the-amazing-ways-tencent-is-driving-its-adoption/#5130d54b479a [10.6.18].

Sacks, Samm. 2018. “New China Data Privacy Standard Looks More Far-Reaching than GDPR” CSIS, 29 January https://www.csis.org/analysis/new-china-data-privacy-standard-looks-more-far-reaching-gdpr [9.6.18].

Sina Finance. 2018. “百行征信揭开面纱 芝麻信用腾讯征信等五家入董事会.” sina Finance, 4 January http://finance.sina.com.cn/money/bank/bank_yhfg/2018-01-05/doc-ifyqinzs8775295.shtml [10.6.18].

USC. 2013. “Decision Of The Central Committee Of The Communist Party Of China On Some Major Issues Concerning Comprehensively Deepening The Reform, November 12, 2013.” USC, 12 November https://china.usc.edu/decision-central-committee-communist-party-china-some-major-issues-concerning-comprehensively [10.9.18].

Yang, Felix. 2017. “Is Xinlian the answer to the Individual Credit Checking System in China?” Kapronasia, 25 Aug https://www.kapronasia.com/china-banking-research-category/item/886-is-xinlian-the-answer-to-the-individual-credit-checking-system-in-china.html [10.6.18].

Zhang, Yuzhe, and Liu Xiao. 2018. “Launch of Unified Platform Boots Private Firms From Personal Credit Business.” Caixin Global, May 28 https://www.caixinglobal.com/2018-05-28/launch-of-unified-platform-boots-private-firms-from-personal-credit-business-101258187.html [10.6.18].

Zhuo Huang, Yang Lei & Shihan Shen. 2016. “China’s personal c>edit reporting system in the internet finance era: challenges and opportunities.” China Economic Journal (9:3): 288-303.

Spotted a mistake or want to add something? Please let us know in comments below or email us.

©2018 Whatsonweibo. All rights reserved. Do not reproduce our content without permission – you can contact us at info@whatsonweibo.com.

Manya Koetse is the editor-in-chief of www.whatsonweibo.com. She is a writer and consultant (Sinologist, MPhil) on social trends in China, with a focus on social media and digital developments, popular culture, and gender issues. Contact at manya@whatsonweibo.com, or follow on Twitter.

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Backgrounder

Coronavirus on Chinese Social Media: The 8 Major Trends in Times of the 2019-nCoV Crisis

The 8 main trends defining the online responses to the Wuhan coronavirus on Chinese social media.

Manya Koetse

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Since the outbreak of the new coronavirus becoming big news in China and around the world, there have been few other topics going trending on Chinese social media than those related to 2019-nCoV. What’s on Weibo gives an overview of the most noteworthy online media trends in China regarding the corona-crisis.

 
By Manya Koetse, further research and news-gathering by Miranda Barnes
 

From panic to patriotism, the outbreak of the coronavirus has led to a wide range of different responses from Chinese netizens and online media outlets over the past few weeks.

Although the first reports on the emergence of a pneumonia-like illness in the city of Wuhan came out in late December, it wasn’t until mid-January that the new virus, belonging to the coronavirus family, started dominating the top trending lists on social media in China and beyond.

The hashtag “Nationally Confirmed Cases of New Pneumonia” (#全国确诊新型肺炎病例#) became one of the biggest news-related topics we have ever seen on Weibo, receiving eight billion views by January 25, and reaching a staggering 13,5 billion views by February 2.

As of February 6th, approximately 28,200 cases of the new virus were confirmed, with over 170 cases reported in countries outside of China. The death toll also became much higher than days before, rising to 564. With these numbers, the coronavirus has exceeded the scale of the 2003 SARS outbreak in terms of infected patients.

Along with the quick spread of the new coronavirus across the country, the general mood and direction of the discussions and trends in the Chinese online media environment have also been in constant flux.

At What’s on Weibo, we have been glued to our social media screens, but because editor-in-chief Manya Koetse has been flooded with daily media requests we have not been able to update the site with regular updates (meanwhile, @manyapan did post regular updates on Twitter).

Here, we will highlight some of the main social media trends we spotted during the outbreak of the new Chinese coronavirus, now and over the past weeks.

 

TREND #1:

Online Backlash against the Eating of Wild Game

As an online media panic broke out around January 20, when a third person had died of the new Wuhan virus, one of the main trends to come up on Chinese social media was an online backlash against the eating of wild game (as reported here by Jessica Colwell).

The backlash flooded Weibo after the downtown Wuhan Huanan Seafood Wholesale Market (武汉华南海鲜批发市场), selling a wide range of dead and alive wild animals – anything from snakes and crocodiles to rats, hedgehogs or bats, – was identified as the suspected source of the deadly coronavirus outbreak.

Image posted by Sina Parenting on February 1st.

Since Chinese researchers linked the novel coronavirus (nCoV-2019) to bats, videos and images of bat dishes and people eating bat soon made their rounds on social media.

Many of these videos were actually unrelated to Wuhan, but were used in condemning the practice of eating (illegal/unsafe) wild game in general.

Around January 23, hashtags such as “Support the Banning of Wild Game Markets” (#支持禁绝野味市场#), “Refusing Eating of Wild Game Starts with You” (#拒吃野味从我做起#), “Control Your Mouth, Refuse Wild Game” (#管住嘴拒绝吃野味#) went viral on Weibo.

As images or videos of people eating bats or other exotic animals soon also spread to Twitter and other non-Chinese social media, some English-language media labeled them as “xenophobic” or “racist” – ignoring the fact that the anti-wild game storm actually started in the Chinese online media environment.

Online information leaflet spread by People’s Daily, “Resisting the Consumption of Wild Game Starts with Ourselves”

State media outlets such as People’s Daily, for example, played a role in the online dissemination of information against the eating of wild game and actually hosted some of these hashtag pages on Weibo.

The main argument behind the backlash is that those eating (unsafe, illegal) exotic and/or wild animals could risk their own health and that of their community and that what you eat is also your responsibility in keeping others safe.

A news story of a man hunting wild animals for consumption made its rounds on Weibo this week.

The backlash against the eating of wild game and online anger against people hunting or illegally buying wild animals for consumption is still ongoing, with some directing their anger against Wuhan people in specific.

This has also triggered discussions on Weibo about discrimination – not against Chinese people in general, but against Chinese netizens discriminating against Wuhan people or even against people from the Hubei province.

 

TREND #2:

Fake News and Censorship

Chinese social media platforms such as Weibo are tightly controlled online environments. When certain sensitive topics pop up, such as the anniversary of the Tiananmen protests, the Hong Kong demonstrations in their early phases, or big political events, virtually all related posts and news sharing will sometimes be removed by online censors.

In the wake of the coronavirus outbreak, this was not necessarily the case. From the start, there was a lot of reporting, sharing, and discussion of the virus online.

However, there certainly has been ongoing censorship of the topic. This was mainly done in the case of netizens reposting videos of chaotic situations in streets or at hospitals, but also in the case of ‘fake news’ posts (mostly called “starting rumors”).

Posts that could potentially trigger unrest or panic also were censored. One hashtag that made its rounds around January 22 was “Escaping Wuhan” (#逃离武汉#), with people trying to leave Wuhan before the city would go on lockdown. That hashtag page was soon completely removed from Weibo.

The comments sections of some posts reporting on controversial or sensitive news were also completely turned off (such as this report addressing local authorities in Wuhan allegedly taking donated face masks).

One Weibo user (@魔女小稀), an alleged nurse, posted a video of people in a hospital hallway on January 24th, claiming that “three [dead] bodies” had been lying in a Wuhan hospital for the entire afternoon covered in white sheets without being removed.

The post and the Weibo user were completely removed from the platform on January 25. By that time, however, the video and allegations were already picked up and reposted internationally.

According to Sina News, the post had been completely false; there were no bodies lying around this Wuhan hospital. If there were people covered in white sheets, it was merely people sleeping in the hallway after waiting for a long time.

This is but one of many examples of ‘fake news’ floating around Chinese social media over the past two weeks, with images and videos being placed in a misleading context, people claiming that patient or deceased numbers were much higher than those reported by the official media, and some even bringing up conspiracy theories about the source of the coronavirus (e.g. that the Americans started it, that it leaked from a biolab in Wuhan, etc).

The problem in this issue is, of course, when do we call it ‘fake news’ and when do we call it ‘censorship’? Amid the chaos and uncertainty of the coronavirus outbreak, it is not always easy to separate the two.

This is also a contributing factor in the general distrust in official media reports that clearly surfaced on Weibo over the past weeks. “I don’t believe it,” is a sentence popping up everywhere on social media.

Spreading online “rumors” is a crime under China’s Criminal Law and is punishable by up to seven years in prison. Although some foreign media outlets, such as this one, make it seem as though it is illegal to share fake news about the coronavirus in particular, it is actually illegal in China to share fake news in general.

 

TREND #3:

Virus Vigilantism

Another trend we noticed on social media during the wake of the coronavirus outbreak is not just a distrust in official media and authorities, but also distrust in fellow citizens.

One clear example that blew up on Weibo is that of a young woman from Wuhan who posted about her traveling to France – and enjoying nice food – despite suffering from a fever and cough. Because she took fever reducers, she claimed to have passed airport temperature monitors without issue.

The post sparked great anger among Chinese netizens and triggered the so-called ‘human flesh search engine,’ with people digging into her personal details.

The incident even led to the Chinese embassy in France investigating the matter. The woman turned out not to have been infected with the virus.

But there are many examples of people exposing and doxing those who allegedly are hindering the collective goal of minimizing the risk of a further spreading of the virus, for example by not self-isolating after visiting Wuhan.

There’s also been widespread online condemnation of people stealing tissue paper from public elevators. Many apartment buildings around China now provide a box of tissue paper for hygienic reasons so that people do not need to touch the elevator buttons.

Surveillance videos of people stealing these boxes have been making their rounds on Weibo and WeChat, such as this lady in an elevator in Chongqing, with thousands of netizens expressing their anger over their behavior – and sometimes naming and shaming them.

 

TREND #4:

Social Media as a Practical Communication Tool

Soon after the scale of the coronavirus outbreak started to become clear, social media platforms such as Weibo were started to be used as practical communication tools for authorities, (medical) organizations, and individuals to spread information or to ask for help.

Social media is now widely used as a practical communication tool for very general matters in the coronavirus crisis (e.g. providing information on how to avoid getting the virus), but also for more specific issues.

Various hospitals in Wuhan, for example, spread digital leaflets online summing up their specific shortages in supplies (face masks, surgical gloves, etc), and how people and organizations can contribute.

Another example is how authorities at various times use social media to search for people who were on board of certain trains or where passengers were later diagnosed with the virus.

But we have also seen individuals reaching out through social media. One woman, for example, reached out to netizens online after she and her husband fell ill and needed someone to look after their children.

Through the help of social media, there are now also local volunteers who help taking care of people’s pets while they are unable to return home to feed them.

One of the hashtags increasingly receiving attention online since early February is “Rescuing the Pets Left Behind in Wuhan Homes” (#武汉滞留家中宠物救援#).

Since January 26, Tencent’s WeChat has also opened a special “epidemic supervision” channel within its app where WeChat users can go to get the latest local information about the virus in their area or ask for medical help.

 

TREND #5:

Propaganda, Pride and Patriotism in Times of Crisis

The outbreak of the coronavirus coincided with the most important holiday of the year in China: the Spring Festival. On Friday, January 24, the CCTV broadcasted its annual Spring Festival Gala (Chunwan), a 4-hour long show that has been airing since 1983. The show is the biggest live TV event in the world, with a viewership of one billion.

The show is usually meticulously planned up to every second – with rehearsals starting months before -, but this year, for the first time ever, it included a segment on the Wuhan coronavirus outbreak. It showed scenes from inside a Wuhan hospital, and the show’s main presenters paid their respects to all the medical workers working day and night.

The event became trending on Weibo under the hashtag “For the First Time in History, ‘Chunwan’ Includes a Non-Rehearsed Segment” (#春晚历史上首次没有彩排的片段#)

It was during this time, with twenty million people under travel lockdown, that the sentence “Jiayou Wuhan, Jiayou Zhongguo” (“Come on Wuhan, Come on China”) was propagated by state media and became widely used on Chinese social media.

By now, the hashtag “Go Wuhan!” (#武汉加油#, hosted by Party newspaper People’s Daily) has over 12 billion views on Weibo.

“1.4 billion Chinese salute you”

Starting from the Spring Festival weekend, Chinese state media began to propagate more positive, patriotic, and nationalistic messages online during the corona crisis, focusing on the unity of China and the dedication and resilience of common Chinese people, with a specific emphasis on medical and army staff.

It is not uncommon, or actually rather common, for Chinese authorities and state media to propagate nationalism in times of hardship (also see our article on online propaganda during the Hong Kong protests).

 

TREND #6:

Quarantine Boredom: From Panic to Humor

From late January, the first humorous memes and videos starting flooding Chinese social media in light of the coronavirus.

Around January 25, there were over forty confirmed deaths due to the new coronavirus and over 1380 known infected patients. Along with the travel lockdown, most of the major tourist attractions across China had shut down, and driving bans were implemented in the city of Wuhan to restrict people’s movements in efforts to contain the outbreak.

What was supposed to be a time of joy and reunion and entertainment (the Chinese New Year) turned into a time of fear and self-isolation for many families in Wuhan and beyond.

Practically locked up in their homes, some people used humor as a ‘defense mechanism’ in times of coronacrisis.

The videos embedded in the thread below are some examples of people making the most of their times in lockdown.

But besides the creative solutions of people avoiding boredom inside the home, there were also many memes going around WeChat and Weibo making fun of the extreme measures taken by people and authorities, such as this photo below that was allegedly taken at a station in Yiwu, Zhejiang, saying: “Some people got off the train in Yiwu but thought they’d ended up in Saudi Arabia.”

There was also this viral image below of an office canteen where people were self-isolating for safety reasons, saying: “Eating at the cantine of my unit now feels more like taking an exam.”

Videos and images of people using sanitary pads, bras, plastic bags, or even fruit to protect their faces due to a scarcity of face masks also continue to make their rounds on social media, with people sometimes mocking neighbors, their friends or family, or even themselves in the extreme and sometimes silly measures they are taking to avoid getting the coronavirus.

 

TREND #7:

Anger against Local Authorities and Illegal Lock-Ins

As panic over the spreading coronavirus has become bigger over the past few weeks, the voices criticizing local authorities and organizations for mishandling the situation have also grown louder.

While loud criticism of the central government is usually censored before triggering bigger discussions, there has been ample criticism of provincial, city, and county authorities and organizations – and not without consequence.

In Hubei, local authorities have been criticized for, among others, initially censoring reports of an emerging new illness in December of 2019.

The mayor of Wuhan, Zhou Xianwang, became a major target of netizens’ anger. In late January, Zhou admitted that he had failed in disclosing information in a timely manner and also “did not use effective information” to improve the local government’s work.

The Hubei branch of the Red Cross Society of China (RCSC, 中国红十字会) also received massive criticism online in early February when it turned out that, while the public donated medical supplies and money, most of it remained in the Red Cross warehouse.

On February 4, Chinese state media reported that the Hubei Red Cross deputy director had been removed from office and dismissed from the leading Party members group of the RCSC branch.

On village and prefecture-level, there has also been public condemnation of how authorities are handling the corona crisis.

Some videos going around social media showed how people, seemingly against their will, were locked up inside their own homes by local authorities after returning from Wuhan (“武汉返乡人员”).

China Youth Daily, the official newspaper of the Communist Youth League of China, also condemned these practices as “illegal” and “inhumane” in an article that has since been deleted.

Through a new WeChat function mentioned earlier in this post, Chinese netizens can now also report any mishandlings of the coronavirus situation.

At the time of writing, there seems to have been some increased censorship, but nevertheless, criticism on local authorities keeps flooding Weibo.

“While people are busy helping themselves and each other, what are the leaders of Hubei and Wuhan doing?”, some people wonder: “Supplies in the hospitals are still scarce, there are still people who are unable to receive help!”

 

TREND #8:

Corona Panic Buying

It was around January 21st when the coronavirus panic reached a peak in China; a third infected patient had died of the virus the day before, the first cases were confirmed outside of China, and several big travel platforms had started to offer refunds or change flights via Wuhan.

Similar to the SARS outbreak in 2003, news of the coronavirus led to waves of “scare shopping” – a trend that also became very visible on social media.

Medical face masks soon sold out in Chinese pharmacies and on e-commerce platforms: around 80 million face masks were sold on Alibaba’s Taobao platform alone on January 20 and January 21st. Those (online) shops still offering face masks exploited the shortage of face masks, and would only sell them at exorbitant prices.

Twenty dollars for a face mask?

Although Alibaba soon announced it would remove sales of face masks from shops that were selling them at unstable prices, the sales and availability of (disposable) N95 masks is still an issue across China, with netizens complaining about it on Weibo every single day.

Another example of consumer panic followed the Jan 31st reports by two medical research institutions on the TCM oral medicine Shuanghuanglian, which would allegedly be effective in combating the new coronavirus.

Shortly after the reports came out, the herbal remedy sold out in stores across the country.

Chinese state media now warn people against “irrational purchases,” saying that the effectivity of herbal remedies such as Shuanghuanglian is still unsure.

Panic buying is a trend that is not just visible on Chinese social media, it is a trend that also seems to be triggered through social media, with rumors and reports of existing shortages of certain products leading to panic.

A clear example is the February 5 run on toilet paper in Hong Kong after rumors spread that the coronavirus outbreak would lead to insufficient supplies.

 

As there are still many new developments and news reports coming out concerning the coronavirus, we will keep on publishing more on What’s on Weibo about what’s trending on Chinese social media. (Also read: Distrust and despair on WeChat and Weibo after the death of Wuhan whistleblower Li Wenliang).

If it’s quiet here, please also follow us on Twitter here and here.

By Manya Koetse, additional research and news-gathering by Miranda Barnes
Follow @whatsonweibo

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Backgrounder

‘Good Doctor’, Digital Hospitals: How Mobile Apps Are Alleviating China’s Healthcare Problems

With the rapid digitalization of China’s healthcare, Chinese patients now have more ways than one to receive medical assistance.

Manya Koetse

Published

on

China’s healthcare industry is facing some serious challenges. As Chinese society is rapidly digitalizing, mobile apps now provide innovative solutions to alleviate pressing problems in the country’s health services sector.

 
This is the “WE…WEI…WHAT?” column by Manya Koetse, originally published in German by Goethe Institut China on Goethe.de: “Good-Doctor Apps und Digitale Krankenhäuser.” 
 

Social Credit System, artificial intelligence, surveillance cameras; these are some of the hottest topics making headlines in mainstream Western media when discussing China-related developments recently.

With the rapid digitalization of Chinese society, these topics certainly have come to play a more important role in social media discussions within the People’s Republic of China (PRC). But if there is one issue that seems to concern Chinese social media users the most, it is not facial recognition nor their ‘Sesame score’: it is the topic of healthcare.

In December of 2017, a photo showing a crying mother kneeling down beside a toddler on the sidewalk in front of a Shanghai hospital went viral overnight. The moment was captured on camera by a reporter who was visiting Shanghai’s Children’s Hospital.

The photo of Guo Yinzhen and her son that went viral in China (image via NetEase, source: https://3g.163.com).

The mother, Guo Yinzhen, is a single parent who had traveled from a remote village to seek medical help for her 3-old-son, who was suffering from congenital hydrocephalus or ‘water on the brain.’ Already having traveled to the city multiple times and spending all her money on medical bills, Guo could not afford the additional 100.000 yuan (€ 12.600) for medical procedures needed to save her son’s life.

Guo’s story struck a chord with Chinese netizens, who continue to share the heartbreaking photo on social media to this day. It has become emblematic of China’s healthcare problems.

 

Crowded Hospitals and ‘Healthcare Disturbance’

 

The key to an adequate healthcare system, no matter where in the world, is that there is a right balancing in the “iron triangle” of efficiency/cost containment, high quality care, and patient access.[1] China, however, struggles with all three sides of this triangle.

Guo’s case is an extreme example, but many people in China dealing with less serious health issues and needing basic medical services also struggle to afford and access the healthcare they need.

Over 95% of people in China have health insurance, but people from different regions do not enjoy the same benefits and their out-of-pocket expenses can vary greatly. Uncovered medical costs can sometimes be catastrophic and simply unaffordable for patients and their families.

As more money flows are going to healthcare facilities in China’s cities, there is also the issue of varying levels of providers’ medical education and the overall healthcare quality, with the substantial majority of modern hospitals still existing in urban areas.

Easy access to the right kind of healthcare can be especially problematic for China’s rural population, as people often need to travel long distances and have to go through the lengthy process of registering and waiting for their doctor’s appointment, which sometimes requires them to stay in the city overnight.

For all of these reasons, China’s bigger public hospitals can get super crowded, sometimes resembling shopping malls on an end-of-season sales day. On social media, both patients and medical workers often complain about the stress brought about by the huge crowds and the shortage of doctors in hospitals across the country.

Perhaps it is no wonder that China even has a word to describe outbursts of violence between patients and doctors: ‘Yī nào’ (医闹, literally: “healthcare disturbance”).

Weibo user ‘Sunscreen’ complains about the crowds at Huashan Hospital.

One major problem within China’s healthcare conundrum is the lack of local family or primary-care doctors, which often makes bigger hospitals the first stop to any kind of medical treatment for Chinese patients.

The reasons for this issue are manifold. There is a general lack of trust in private and smaller local healthcare clinics, for example, and patients often choose to go directly to a bigger hospital to avoid making extra costs.

This makes it extra difficult for many community health care centers – that are already struggling – to make enough money and to retain qualified staff. In a society that is rapidly aging, the challenges facing China’s healthcare industry are only becoming more pressing.

 

A Doctor Today, Just an App Away

 

As China’s online environment is thriving, new innovative online apps are popping up on a daily basis. Some of these apps, that have found their ways into China’s most popular app rankings, are offering solutions to some of the country’s most pressing healthcare problems.

One of these apps is Ping’an Good Doctor (平安好医生), which was developed by health insurance provider Ping’an in 2015 and calls itself China’s “one-stop healthcare ecosystem.”

“Ping’an Good Doctor” promotional image by Ping’an.

Employing some 1000 medical staff in its in-house team, contracting over 5,200 external doctors, and collaborating with 3000 hospitals and thousands of pharmacy outlets across the country, the app is somewhat of an “online hospital.”

Through the app, users can look through an online database of medical professionals, order medicine at nearby pharmacies, get 24/7 online medical consultancy, search for information about both Western and Chinese Traditional Medicine, etc., but they can also use Ping’an Good Doctor as a fitness app to track their own health.

Screenshot of Ping’an app screen, by author.

When looking for a specific doctor for a one-on-one consult, the app first lets users select an area of expertise (e.g. dermatology or gynecology), and then offers a list of different specialists in various price categories.

Doctors from well-known hospitals, for example, or those with excellent ratings, have a one-time consultation fee of 100 yuan (€ 12,60). Other doctors can be consulted starting from 30 yuan (€3,70). All costs can be paid efficiently via online payment apps.

Doctors to pick from within the app’s various price categories.

Ping’an Good Doctor uses an AI-driven system to ask patients various questions about their symptoms and to automatically create a user’s medical record to save time. Based on the AI-generated record and the conversation with the patients – files such as photos can also be uploaded to the app -, the doctors can prescribe medicine or refer the patient to a hospital for an offline appointment if needed.

Ping’an recently announced that its number of registered users exceeded 300 million users, with 62 million monthly active users. Because the app keeps building on its AI-driven system, Ping’an Good Doctor can be expected to only become a ‘smarter’ smart health app the more popular it gets.

Although Ping’an is now leading within China’s medical app category, there are many other apps providing similar services, such as Chunyu Yisheng (春雨医生), Haodafu Online (好大夫在线), or DingXiang Doctor (丁香医生).

The emergence of these apps is just one of the many ways in which China’s digital developments, online media, and tech giants are impacting the healthcare industry, profoundly changing how patients receive healthcare information and access medical services now and in the future.

List of recommended medical apps in the Tencent app store.

In a way, China’s medical consultation apps fill the void in offline primary care. Patients who would otherwise turn to hospital care as their first stop can now  access medical consultations any time, any day, at a relatively low cost. Those who suffer from relatively harmless conditions could be diagnosed by a medical specialist via the app and get the medicine they need within a matter of minutes. With the growing popularity of these kinds of apps, many patients no longer need to visit a hospital at all.

Are smart health apps such as Ping’an Good Doctor the solution to China’s healthcare problems? No, they’re not. Struggling mums like Guo Yinzhen will not find the help they need there. But they do contribute to a more efficient healthcare environment where crowd flows in hospitals can be reduced, and patients do not need to spend a lot of time and money to stand in hour-long queues to get five minutes of their doctor’s time.

Although smart health apps could not help Guo Yinzhen and her son, social media apps could. As soon as their story went viral in late 2017, Shanghai Children’s Welfare Foundation Xiaoxingxin offered to cover medical treatments for the little boy, with a notable pediatric neurosurgeon operating the child. According to the latest updates, the boy’s situation was “looking good.”

Hopefully, the same holds true for the challenging sides of China’s healthcare industry.

By Manya Koetse
Follow @whatsonweibo

[1] Burns & Liu, 2017: 3-4.

References/Linked Sources

Burns, Lawton Robert, and Gordon G. Liu. 2017. “Introduction.” In China’s Healthcare Industry: A System Perspective, Lawton Robert Burns and Gordon G. Liu (eds), pp-1-116. Cambridge: Cambridge University Press.

Economist, 2017. “China needs many more primary-care doctors.” The Economist, May 11 https://www.economist.com/china/2017/05/11/china-needs-many-more-primary-care-doctors [20.10.19].

Zhou, Viola. 2018. “Does China Have Universal Healthcare? A Long (And Better) Answer.” Inkstone, Oct 10 https://www.inkstonenews.com/health/china-translated-does-china-have-universal-health-care/article/2167579

This text was first published by Goethe-Institut China under a CC-BY-NC-ND-4.0-DE license (Creative Commons) as part of a monthly column in collaboration with What’s On Weibo.

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