Largest Joint Chinese-Russian Military Exercise Begins This Week

State run media in both Russia and China are reporting that the largest naval exercise between the two nations will begin this week in the Pacific.

The operation, called Joint Sea 2015 II, will begin Thursday and run through August 28th in the Sea of Japan and off the coast of the Russian city of Vladivostok.  More than 20 naval vessels from the two nations will conduct “joint amphibious assault” drills.

The exercise will also include various air units including fixed-wing aircraft and helicopters.

“A source close to the operation said navies of the two countries will join forces to simulate anti-submarine combat and air defense and other relevant missions. A joint beach landing of troops is also planned,” read a report in the Chinese state-controlled Xinhua news service.

“The source said the drills ‘are not targeted at any third party and are not relevant to regional status-quo’.”

The state run news outlets called the event part of “an annual exchange program between Chinese and Russian militaries.”

The exercise is the first time the Chinese navy will conduct joint exercises in the Sea of Japan, bordering North and South Korea, Russia and Japan.

In November 2014, Russian Defense Minister Sergei Shoigu admitted the exercises are in response to the United States.

“We believe that the main goal of pooling our effort is to shape a collective regional security system,” Shoigu said in November.  “We also expressed concern over U.S. attempts to strengthen its military and political clout in the [Asia-Pacific Region].”

Rain Could Release Cyanide into Air after Tianjin Explosion

Environmental officials are warning the deaths from the explosion at the port of Tianjin may not end with the dousing of the fires that are still burning.

There are now fears that rain could release poisonous hydrogen cyanide into the air in the event of a heavy rain.  Also, more explosions could be possible as many of the chemicals still at the site violently explode when they come into contact with water.

“If there is rain, it will produce hydrogen cyanide, so we are monitoring it closely,” Bao Jingling, chief engineer for the Tianjin Environmental Protection Bureau told NBC News.  He added the nation’s anti-chemical warfare military divisions are on site.

Scientists also have admitted that they have found sodium cyanide in the waters of Bohai Bay.  Local officials say that they learned over 700 tons of sodium cyanide was stored at the site, 70 times the legal limit and that the chemicals had not been reported to Chinese customs officials.

The government has cleared a 1.8 mile area of the city with over 6,000 families forced from their homes.

The death toll from the blast has officially reached 114 and local rescuers say at least 90 people are still reported missing including many firefighters.  One firefighter told the NY Times that he doesn’t know the fate of 25 men from his brigade and “no one told [his crew] the fire involved chemicals.”

Some fire experts are speculating that the water from the hoses of the fire crews came into contact with explosive chemicals, causing the massive second explosion that had the force of 21 tons of TNT.

A 40-year-old man was found alive in the debris on Saturday and is hospitalized.  Thousands are now homeless because of the fire’s impact on surrounding buildings.

The city’s residents have taken to the streets to demand the government buy out their homes so they can begin a new life.  They say the toxins from the explosion are likely much worse than the government will admit.

Obama Administration Warns China Over Covert Agents in U.S.

The Obama administration has sent a harsh warning to Chinese officials about undercover Chinese intelligence agents coming to the U.S. and seeking out fugitives or immigrants.

The agents are working to bring home those the Communist government accuse of “corruption” after they gained asylum or resident status in the United States.

The declaration from the administration comes after officials discovered that Chinese hacking groups were infiltrating U.S. email databases.

Federal officials say they have found the undercover Chinese agents in the country illegally under tourist or trade visas.  These agents are using strong-arm tactics to force those the Communist government considers an enemy to return to China to be prosecuted.

Tactics include threats against family members still in China.

“Our principle is thus: Whether or not there is an agreement [with local law enforcement] in place, as long as there is information that there is a criminal suspect, we will chase them over there, we will take our work to them, anywhere,” Liu Dong, a director of Operation Fox Hunt, told the New York Times.

China and the United States do not have an extradition treaty, so the U.S. cannot force a Chinese national to return although in the past U.S. officials have returned suspected Chinese criminals.

Chinese Firefighter Rescued After Being Trapped 32 Hours

In what might be the only good news to come out of the massive explosion at a Chinese port late Wednesday, a lone firefighter was found alive after 32 hours of being classified as “missing” by Chinese authorities.

The 19-year-old firefighter, Zhou Ti, was quickly rushed to a local hospital where it was reported he has significant injuries to his face, chest and feet.  Fire officials said that they are continuing to search for other missing fire personnel.

“Forces from all sides are searching for the (remaining) missing firefighters,” Tianjin Fire Department head Zhou Tian said at a news conference Friday, according to The Associated Press.

Chinese government officials confirmed that 56 people have died because of the explosion including 21 firefighters.  Over 700 remain hospitalized because of blast related injuries.

Western officials are now asking if the firefighters contributed to the intensity of the explosions because many of the chemicals reportedly stored at the site react with water to form explosive compounds.

David Leggett, a chemical safety expert, told Reuters that calcium carbide reacts with water to form acetylene, a highly explosive gas.  That could have ignited ammonium nitrate that was stored at the facility. (By comparison, ammonium nitrate and acetylene were used by terrorist Timothy McVeigh in the Oklahoma City bombing.)

“In my mind, the presence of ammonium nitrate makes it easier to explain the level of devastation,” he told the news agency.

Chinese City Rocked by Massive Explosion

A massive explosion ripped through parts of the Chinese city of Tianjin Wednesday causing at least 300 reported injuries and seven deaths.

“The hospital cannot count how many patients we have received – there are too many of them and many of them have burn injuries,” an unidentified doctor told the London Guardian newspaper.  He said that doctors who had been in Beijing for a conference are being rushed back to the community because of the amount of injured.

The Chinese Seismological Network reported two major explosions, the first equivalent to the detonation of 3 tons of dynamite and the second which took place 30 seconds later equivalent to 21 tons of dynamite.

China’s state broadcaster, CCTV, reported that the explosions took place at a container port where flammable material was being stored.  The initial blast also triggered secondary blasts that residents reported feeling similar to earthquake tremors.

The blasts shattered windows and in some cases blew apart fish tanks in homes of nearby residents.

Chinese Public Security Ministry released information that they initially were called to the scene because of a fire and that the explosions took place after they arrived on the scene.  At least four firefighters are injured and two have been reported to have “lost contact” with Ministry officials.

China’s Currency Impacts World Markets for Second Day

China’s Central Bank cut the guiding rate for their national currency for the second day in a row, impacting world markets as the Chinese government attempts to boost exports.

Officials with the Central Bank tried to dampen the shockwaves being sent through world markets by saying the day’s move was not part of a sustained devaluation of the Chinese currency.

“Looking at the international and domestic economic situation, currently there is no basis for a sustained depreciation trend for the yuan,” it said in a statement.

The Yuan was down 1% Wednesday after a 1.9% devaluation Tuesday.  The total overall decline is the largest in two decades and comes after Chinese government reports showed exports from the nation fell 8% during July.

The currency is now going to be set based on market forces where it previously had been set solely by the People’s Bank of China alone.

“Greater exchange rate flexibility is important for China as it strives to give market-forces a decisive role in the economy and is rapidly integrating into global financial markets,” the International Monetary Fund said in a statement regarding the Chinese action.

Some U.S. officials were harsh in their comments toward China’s action.

“For years, China has rigged the rules and played games with its currency. Rather than changing their ways, the Chinese government seems to be doubling down,” New York Senator Chuck Schumer told the BBC.

The U.S. Treasury’s response was more neutral.

“We will continue to monitor how these changes are implemented and continue to press China on the pace of its reforms, including additional measures to transition to a market-oriented exchange rate and its stated desire to move towards an economy that is more dependent on domestic demand, which is in China and America’s best interests. Any reversal in reforms would be a troubling development.”

As of noon EST, the Dow Jones Industrial Average was down 160 points and all major markets around the world were lower.

China Jolts World Markets with Yuan Devaluation

China’s central bank announced they devalued the country’s currency by 2%, causing the biggest one day loss in the currency trade for the Yuan in decades and showing the second-largest economy in the world continues to struggle.

The move is causing major concern among traders around the world that other nations will begin to devalue their currencies in an attempt to gain advantage in a slower trade market.

“In terms of competitive forces, this raises the stakes. This isn’t a war per se but about maintaining competitiveness. A lot of significant emerging markets have been using this valve,” said Andre da Silva, global head of interest rate strategy at HSBC Holdings, referring to currency devaluations.

“The yuan exchange rate will be more market-oriented going forward,” Zhou Hao, an economist at Commerzbank in Singapore, wrote in a report. “Volatility of both the onshore and offshore rates will pick up significantly.”

The move by China caused the Dow Jones Industrial Average to fall over 200 points.  Apple fell more than 4 percent and Caterpillar fell more than 3.5 percent because of the Yuan’s impact on the profits of those multinational corporations.

Analysts say that Apple was a target of the move because the decline helps Apple’s Chinese rivals.

“Chinese tech companies across sectors are all pushing out into the world,” said Xiang Ligang, chief executive of Chinese telecommunications industry website cctime.com. “The yuan devaluation will make these products that much more competitive overseas.”

At Least 28 Dead from Typhoon Soudelor

Officials in China and Taiwan report that at least 28 people have been confirmed dead as a result of Typhoon Soudelor.  The death toll has been steadily rising since the storm roared through Taiwan into mainland China.

Taiwanese officials say that six people are confirmed dead including a mother and her twin daughters who were swept out to sea.  At least 379 people were injured by the storm and over four million homes were without power, a record for most homes without power at one time.

Chinese state news agency Xinhua reported the storm’s heavy rains caused mudslides which buried homes in the Wenzhou and Lishui areas.

Some areas reported 27 inches of rain in a 24 hour period, the most for that area in over 120 years according to state media.

Damage to crops from the storm is estimated at $644 million with overall damage estimated at $1.43 billion.

The western Pacific has experienced ten typhoons this year.

Intelligence Officials Admit China Has Hacked Obama Administration Emails Since 2010

Senior U.S. Intelligence officials are confirming that China has been hacking the emails of Obama Administration officials since 2010.

The National Security Agency (NSA) has confirmed the intrusions were first detected in April 2010 and that the hacking of various accounts is still taking place.  The NSA official said that all top national security and trade officials have been targeted by the attack including Joint Chiefs of Staff Chairman Adm. Mike Mullen and Chief of Naval Operations Adm. Gary Roughead.

Gmail accounts were specifically mentioned by the NSA official but other email providers were also confirmed to have violated by the attack.

NBC reported the hacks were first code-named Dancing Pandaand then Legion Amethyst.

“There’s no effective defense against these attacks and, as we’ve seen, there’s also no effective deterrence,” geopolitical expert Ian Bremmer told Business Insider in June.

“China isn’t trying to engage in ‘integrity’ attacks against the US they don’t want to destroy American institutions and architecture as, after all, they’re hugely invested in American economic success,” he added.

China Crackdown on Crosses Draws Backlash

“Aren’t you ashamed of what you have done?” a crying woman screamed at the security guards keeping the parishioners of Lower Dafei Catholic Church from protecting their church’s cross.

The woman was part of a dozen Chinese Catholics who tried to stop the government from cutting the cross off the top of their building.

“We have violated no law. We do not oppose the government,” said the parishioner, who gave his name only as Chen for fear of retaliation from authorities. “We have been good, law-abiding citizens.”

Tu Shouzhe told ABC News about the government ripping the cross from his church’s building.

“It was a surprise attack. We did not let them in, but they broke in by cutting off the lock. We demanded paperwork, but they showed us none. They cordoned us away from the church,” Tu said. “They had 60-70 people. We had just about a dozen or so. Everyone was crying. Our hearts ached. We felt powerless to resist, and only prayed and sang hymns.”

Chinese Christians are rising up against the government’s actions to the level that even some of the “official” churches are starting to rebel.  The Christian Associations in the nation – which was designed to ensure the Communist Party’s control over churches – has said that the government’s actions are out of line.  They warned the action could turn the faithful into “enemies of the party.”

“The crackdown has alienated the Christians in China, who are otherwise law-abiding citizens,” Yang Fenggang, an expert on China’s religions at Purdue University, told the Associated Press.