Yesterday, 10 interceptors were handed prison terms in Beijing for beating and illegally detaining petitioners in a "black jail" last year, however, the officials who hired them were not sentenced in court, China Youth Daily and China Daily report.

BBC: China media: Pyongyang warned

During the meeting on the sidelines of the Asean regional forum, Mr Yang told Mrs Clinton that the US should "respect the interests and concerns of China", China Daily and People's Daily report.

BBC: China morning round-up: A US-China stand-off

Wang Tao, chief economist with UBS AG in China, told China Daily on Tuesday that extensions of local-government debt already started last year amid concerns that municipalities were hurting from a sharp decline in housing development and fixed asset investments from Beijing.

FORBES: One Way China Resolves State Budget Problems