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First for those of you who know little about China: When they're escaping on the boat it's not heading out to sea, it's going along a river. That's why there's a rower. This is also a WWII setting so those are japs bombing the cities. For people who don't have WWII veterans or WWII survivors in their family it might be a bit hard to relate.
For the actual animation I have to agree with previous reviewers that it's a bit "off". Perpetual smiles while crying is not the way to go. They look like tears of joy while the text clearly contradicts it. I also recommend getting chinese voice actors (for a foreign film effect) or at least some voice actors so the reading's not as boring. I don't mind subtitles but without any voices at all it just feels like rolling text :P. The music could also be varied a bit, by adding a 2nd or 3rd song for the more dramatic or sad moments in the story could make this much better. The actual animation is alright since it's supposed to feel like a storybook but you need work on faces. Conveying emotion in emotional stories is key, it's much more important that background and settings (which I see a great amount of detail in).