Drug price controls go nationwide, and Beijing helps hospitals compensate – China politics and current affairs news from May 12, 2017

Caixin reports that “the central government will dole out 20 million yuan ($2.9 million) to each of 338 cities to launch pilot reform programs at their respective public hospitals” — this will offset the losses caused by healthcare reforms that will ban hospitals from marking up drug prices. Last month, the Beijing government became the first in the country to ban the 15 to 20 percent markups common on drugs sold in Chinese hospitals, and the National Health and Family Planning Commission (NHFPC) plans to enforce a similar ban nationwide by September of this year. Caixin notes that the offset program is only on a trial basis, and a NHFPC spokesperson “did not say how long the trial program — and the government funding — will last.”

• 8 dead, 29 injured in Xinjiang’s 5.5-magnitude earthquake / Xinhua
  A 5.5-magnitude earthquake occurred on May 11 in Taxkorgan County (aka Tashkurgan) in southwestern Xinjiang near the border with Pakistan and Afghanistan.
• Chinese rights lawyer ‘still positive’ despite 600-day detention ordeal, say supporters / SCMP
  “Li Heping 李和平 returned to his family this week after his detention in a massive crackdown on human rights activists on the mainland two years ago.”
• China on spying spree against Australia, defense secretary says / SCMP
  “Canberra’s most senior defense department official” made “a rare public accusation” against Australia’s largest trading partner.
• Kushner Companies backs out of Chinese investor events after furor / NYT (paywall)