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Chinese Leader's Hu Jintao is due to lead the main ceremony. He earlier swore in businessman CY Leung as the city's new leader. The main causes of tension is the system used to choose Hong Kong's leader, which many residents see as designed by Beijing's choice.
Police had to shield the Chinese Leader's from demonstrators, and they used pepper spray to disperse crowds who were demanding an investigation into the death of an activist Li Wangyang on June 2012
Hundreds of demonstrators, who tried to breach the giant blue and white barriers, were targeted with pepper spray as protesters chanted anti-Beijing slogans and unfurled a huge banner with the Chinese character injustice.