"Japan dethroned China as the top foreign holder of U.S. Treasury's for the first time since the financial crisis, following a wave of purchases by buyers shifting money to the U.S. as Japan's economic policies push down interest rates there. In reclaiming its status as the largest foreign creditor to America in U.S. official data, Japan is reasserting itself as Beijing holds its Treasury portfolio steady amid a weakening Chinese economy. U.S. debt bears higher yields than government bonds offered in other rich nations, thanks to the perception of stronger U.S. growth prospects and to central-bank bond purchases that have driven yields near zero across Europe and in Japan," writes The Wall Street Journal.
The New York Times reports, "China is building a concrete runway on an island in the South China Sea's contested waters that will be capable of handling military aircraft when finished, satellite images released Thursday show. The first section of the runway appears like a piece of gray ribbon on an image taken last month of Fiery Cross Reef, part of the Spratly Islands, an archipelago claimed by at least three other countries. Adjacent to the runway, work is underway on an apron for taxiing and parking planes. The runway, which is expected to be about 10,000 feet long - enough to accommodate fighter jets and surveillance aircraft - represents a game changer in the competition between the United States and China in the South China Sea, said Peter Dutton, professor of strategic studies at the Naval War College in Rhode Island."
According to Reuters, "China will ban water-polluting paper mills, oil refineries, pesticide producers and other industrial plants by the end of 2016, as it moves to tackle severe pollution of the country's water supply. The long-awaited plan comes as the central government steps up its 'war on pollution' after years of industrial development that have left one-third of China's major river basins and 60 percent of its underground water contaminated. Growing public discontent over the environmental degradation has led to increasing scrutiny of industrial polluters...last month [China National Petroleum Corporation] agreed to pay 100 million yuan ($16 million) in compensation after it was accused of leaking benzene into the water system in Lanzhou in northwest China."