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Monday, December 13, 2010

China’s Stability as a Growing World Power, Patrick London

         With a population of over one billion people and the world’s largest export market, China stands at the forefront of both technological and political development in a globalizing world. While all of this seems great on a theoretical platform, there lies within its foundation a support that is ready to crack, that of political unrest. While China continues to grow at such an unprecedented rate, the political structure both domestically and globally is struggling to keep up. Over the past six months, China has placed two prominent political figures under house arrest, refused to recognize one of its citizens as a Nobel Peace Prize winner, arrested a man for standing out against toxic food and fissured their relations with Japan over contested territory. Considering all of this, it sounds as if the current Chinese regime and its practices toward human rights are beginning to come under some heavy fire.
            In October of 2010 it was reported that Mr. Liu Xiaobo, a prominent human rights activist, was the winner of the 2010 Nobel Peace Prize. Upon hearing this, the Chinese government began discouraging its citizens as well as the Nobel committee not to revere this man for he was nothing more than a criminal. Several Chinese media services kept as quiet as possible about the announcement. Any data streams such those distributed from computers or cell phones that contained Xiaobo’s name were blocked. On top of all this Xiaobo’s wife Liu Xia was placed under house arrest whilst three armed guards stood outside her door blocking any visitors including several foreign dignitaries. If China is to be considered a stable political power, why should such behaviors be carried out against its citizens? Because China responded to this event with such militaristic strategies, one begins to wonder how internally stable the country really is.
September 2010 marked what was to become an international argument with China at the lead. When a Chinese fishing boat captain was arrested after running into two Japanese boats in the South China Sea, China was immediately on the defensive. They began by cancelling all high priority political meetings with Japan as well as imposing several new export tariffs that would slow down product flow. Japan of course took the stance that they were completely within their jurisdiction and China should apologize. After several weeks of arguments and no real apologies between the countries, Japan finally released the captain, spurring several protests. After the captain returned home, China began arguing the true matter of this debacle, the land rights of the area. Although Japan is officially recognized as having control over the area, China contends this and instead exerts their claims to the area. Within the area there is a string of islands known as the Senkaku. These islands are uninhabitable except for wild goats, however they just so happen to be right in the middle of an area with high oil potential. Therein lays the heart of the matter, China’s desire for more energy. Although energy is a staple in China’s economy, so is trade. The very notion of China hinting at severing ties with one of its largest trading partners seems strange for just a bit more oil.
            Although relations with Japan still remain defensive on either side, the two countries have begun working together once again. Because China relies so heavily on exports to fuel their economy, any drop may produce serious repercussions. As one of China’s largest trading and export markets, Japan seems to hold a fair amount of sway within the economic realm. Why then did China risk damaging such a relationship over a simple territorial dispute? It may be correlative as to why they placed Liu Xia under house arrest, control.
            When looking at macro trends throughout China, control often lies at the heart of many of the regime’s actions. Any threat to the credibility or questioning of control to the regime is seen as a threat and handled in a militaristic fashion. This paranoid control can still be seen in everyday conversations where Tiananmen Square has become a taboo subject. People are afraid of the regime and their melodramatic actions. A quote from famous political activist and artist Ai Weiwei states: "They cannot let anything happen if they don't understand it". Mr. Weiwei said this when he was placed under house arrest for attempting to hold a party in recognition of Liu Xiaobo’s accomplishment. This iron fisted rule however cannot last. While the regime has current control, several factors are acting against the likelihood of its continued success.
            With a population in the billions, and an exponential rate of economic growth, China’s regime has a lot on its plate. Although heavy media censorship is still carried out, such as internet firewalls, phone deactivation as well as news control, people are still finding ways to communicate and share their concerns. In 2009 the micro-blog service Twitter was banned from Chinese internet due to its power in connecting people on a wide scale. Since then another governmentally run and monitored service has been set in place. The bloggers however are beginning to find cleaver ways of getting around the censors by abstracting their type so as to not be flagged. This example goes to show that although the regime is treating symptoms of social unrest, it is not treating any of the causes. The very fact that the Tiananmen Square (or June 4th) incident is still such an underground topic of discussion in China shows that the people are discontent with such authoritative rule. Perhaps the people should not fear the regime but the regime should fear the billion people it is upsetting daily. When looking at the regime’s recent actions, this is likely the case. A party held by a bunch of artists would likely not get such attention if there was not some type of underlying concerns as to the stability of the regime’s control.
            Other than the less than compassionate focus on human rights, what are some of the benefits of the communist regime? Well as stated, China is growing exponentially year by year. They account for much of the U.S.’s imports and continue to be the majority exporter of rare earths. Within this type of system, a government that operates quickly and succinctly is very conducive to this type of growth. If there are not long winded processes to be carried out on every new tariff or tax put in place, then businesses are able to be more productive. Inherently this system does not however allow for any input from outside sources thereby making many decisions heavily biased.
Although operating at a quick pace, one must consider who the new business movers and shakers will be and how their restricted access to information may hinder them in a global market. If in fact Chinese businesses do wish to dominate the market, their top members need to be well informed on global topics. If the same censorship applies to them as it does to every other Chinese citizen, then they don’t even have access to Google, let alone the vast amounts of information it helps deliver. On a basic level this is a very sobering thought, giving power to a few individuals who have limited access to global information but are expected to operate on a worldwide scale.
            What then is the likely scenario for China within the next decade? It is likely that the censorship restrictions will go under heavy reformation to allow a wider access to information for citizens. This however can only happen if a change in overall attitude toward the people takes place. As it stands, China is likely going to be the next world power. If they do indeed hold this position, it seems an unlikely scenario that they would still be able to get away with arresting citizens for speaking out against lethal baby formula.
If China is to succeed, they also need to work on their foreign relations and public image. Threatening to sever ties with one of your top trade partners because you want access to ocean area they lawfully control is not a good way to present oneself. This coupled with threatening the Nobel Peace Prize committee makes China look like the grumpy old neighbor yelling at kids to get off the lawn. It is likely however that because China is a trade based economy, the influence of economics will take care of this vicariously by creating common goals for China and their trade partners to reach for.
With Xi Jinping as the upcoming prime minister, it will be interesting to see how the political future of China plays out. Recent attention to human rights brought about by Ai Weiwei’s house arrest, a citizen’s imprisonment for seeking retribution because his child consumed poisonous baby formula and the refusal to acknowledge Liu Xiaobo as the Nobel Prize winner, will definitely bring into question the current state of human rights in China within the next few years.
           
             

Tuesday, November 16, 2010

China's contaminated food, Patrick London


Last Wednesday a man by the name of Zhao Lianhai was sentenced to prison for speaking out against contaminated milk. Mr. Lianhai whose son was a victim of ingesting milk laced with melamine attempted to organize other parents who's children were affected by the contaminated product. He started a website which has now been blocked that promoted similar unification and demand for justice against the milk companies.

Melamine which is an organic compound often used in the manufacture of various plastics. The addition of melamine to milk or powdered infant formulas stemmed from the companies' desire to increase the perceived  protein content of their products. This is usually measured by nitrogen content. Melamine being a high producer of nitrogen tips the scales during these tests. This is how Chinese companies are getting around the fact that many of them water down their milk thereby producing lower protein counts.

According to the New York Times: "By the time the Chinese news media publicized the contamination in the fall of 2008, six babies had died and 300,000 others had been sickened, including 50,000 who were hospitalized with kidney problems."

It seems preposterous then that someone should go to jail for speaking out against this injustice. However Mr. Lianhai was tried and arrested Wednesday for creating social disorder. He reportedly tore at his uniform exclaiming "I'm innocent" when the sentence was handed down.


http://www.nytimes.com/2010/11/11/world/asia/11beijing.html?ref=asia

http://topics.nytimes.com/top/reference/timestopics/subjects/m/melamine/index.html?inline=nyt-classifier

Tuesday, November 9, 2010

"They cannot let anything happen if they don't understand it" Chinese artist under house arrest, Patrick London


This week Chinese officials detained famous artist Ai Weiwei at his home in Beijing. The officials were responding to a politically charged party the artist was planning to host in order to promote Liu Xiaobo's winning of this years Nobel Peace Prize. The party was supposed to take pace at Weiwei's newly built million dollar studio that is now scheduled to be demolished.

Ai Weiwei is not only a renowned artist in China, he is also a major political demonstrator promoting freedom of expression in China. Because of this, the artist has constant run-ins with Chinese authorities. Apparently on Friday an unmarked van without license plates pulled in front of Mr. Weiwei's driveway and forbade him from leaving. BBC reports that there were at least 10 men in the van. The officers were wearing plain clothes so as to not draw much attention. The party was still held, organized by hundreds of Weiwei's frineds. The artist said "the fact that the party was still held is a sign of how China is changing." As to his house arrest, he said:  "They cannot let anything happen if they don't understand it"

The newly built million dollar studio is planned to be demolished due to certain legal regulations that were reportedly not followed during its construction. "Ai's studio did not go through the application procedures, therefore, it is an illegal building," Chen Jie, the director of urban construction in the section the studio is located said to the Global Times. It seems quite convenient for the government that this application process was not filled out.

The Chinese government has also recently warned various governments that there will be "consequences" if any of them show favor or support toward Liu Xiaobo's Peace Prize. The ceremony however is still being planned for December 10th in Oslo. 



Video of Ai Weiwei's newest art piece: http://www.bbc.co.uk/news/entertainment-arts-11515658

http://www.voanews.com/english/news/asia/China-Releases-Dissident-Artist-Ai-106862354.html
http://www.bbc.co.uk/news/world-asia-pacific-11701725
http://www.bbc.co.uk/news/world-asia-pacific-11703775

Tuesday, November 2, 2010

China and the Great Firewall, Patrick London



Censorship is not a new topic to the political realm in China, but recently the outcry for greater personal rights is getting some global attention. Since the ban on Twitter in China last year several incarnations have sprung up, the most recent of which is called Weibo. Weibo is a domestic micro-blog service that the regime has allowed to operate under the condition that several hundred censors monitor it at all times. Although still heavily censored, this change in internet use policy brings with it a means for large numbers of Chinese citizens to connect widely and rapidly.   

Since the internet boom of the past ten years, several new sites and servers are allowing people to connect globally faster than ever before. Sadly this is not the case in China who has established heavy censorship on what can and cannot be accessed via the internet. This control is commonly reffed to as " The Great Firewall". This firewall is government operated and specifically targets certain key words that may emerge while someone is online. The government states that this is done in order to keep political activism and unrest at a minimum. The regime fears that open widespread information will undermine their political rule. While this is not the only media controlled by the government, it may be the most threatening.

Recent political activity has spurred some global news in China including the argument over governance of the South China Sea and the detention of Mr. Liu Xiaobo the winner of this years Nobel peace prize. From this global attention, many Chinese citizens are beginning to speak more openly on political matters, something that is aided by the use of the internet. Upon hearing of Liu Xiaobo's win, the economist reports that news spread very quickly through the use of these micro-blogs by users using codes or Latin characters to write Mr. Xiaobo's name, something the censors have difficulty tracking.

Journalists are also getting in on the idea when: "In September several tweeted live on the plight of two women who were hiding in an airport lavatory in Jiangxi province. Officials were trying to prevent them flying to Beijing to issue complaints to the central authorities."-Economist. This is free exchange of unadulterated information is a bold new step for personal speech in China and is sure to make some waves with the politically charged youth.


http://www.economist.com/node/17361444
http://www.economist.com/node/17309207

Video of Ai Weiwei, a prominent Chinese political activist and artist.
http://www.economist.com/node/21012193

Monday, October 25, 2010

China's Ever Increasing Grip on Rare Earth Minerals, Patrick London

The debates over China's rare earth minerals continued this week and the outlook for consumers does not look promising. Although China claims that the materials will continue to be exported, they will remain tightly controlled. This firm grip on the goods insures that China essentially has total say in a market they control 97% of.

Rare earth minerals are a group of metallic elements that are used in the production of several new technologies such as hard drives, television, catalytic converters and wind turbines.


Several quotas have been implemented on the extraction of minerals in order to assert control over when and how much is being used. The second half export quota for the minerals was reduced by 72%. China claims this reduction is is in response to the factories pollutant output and their desire to keep the levels low. It is no coincidence then that the prices of the rare earths have increased 15 fold since the quotas were imposed in July. According to Li Zhong a deputy manager of Inner Mongolia Baotou Steel Rare-Earth Hi-Tech Co. China may even plan to reduce the number of rare earth oxide producers to 20 from 90 by 2015.

China's Commerce ministry said in a statement 10/19/10: "The nation will continue to supply rare earth to the world while maintaining restriction on exports to protect exhaustible resources and ensure sustainable development".

An interesting factor to consider in this equation is that the U.S., Canada and Australia have a wide array of untapped resources from which to draw on. Actually the U.S. was completely self sufficient with rare earth minerals until the 1980s before the lower labor wages made China top dog.  As of 2002 a California based rare earth mine was shut down, but due to the influx of trade disputes will reopen this year according to Molycorp inc., the owners of the mine. This reopening could theoretically create more market competition but will likely not be enough to compete with China.

China is also still creating waves with Japan over their recent political relations ordeal. The exports of rare earths to Japan, one of the world's top importers have recently come under difficult customs duties and delayed shipments. Many speculate that this is directly linked to their recent debate over the governance of the South China Sea. This debate began when a Chinese fishing vessel ran into two Japanese boats and the crew was taken prisoner. China claimed this act to be unlawful and demanded the crews return. After several fiery debates, the crew and captain were returned to China. The question remains however, who has rights to these waters? While Japan has legal control, China still claims dominance. This would likely not be such a hot debate if the waters did not contain vast amounts of potential oil.

Not only has China continued to impose several customs and trade difficulties, they have also begun patrolling the disputed waters. On Sunday, several Chinese boats were spotted by the Japanese coastguard. There were also protests in China and Japan this past weekend over the matter.

Although China continues to be the top producer of these rare earth minerals, their actions may get them into trouble somewhere down the line. Considering their recently imposed quotas, decrease in producers and increasing tensions with one of their largest trade partners, China seems to be creating agitating ripples throughout the market.

Monday, October 18, 2010

Succession for China's political future, Patrick London


Monday marked a decisive moment for the future of presidential leadership in China when vice president Xi Jinping was elected to the position of vice chairman of the Central Military Commission. This move places VP Jinping as next in line for presidency after President Hu Jintao retires. Hu jintao was also given this position three years prior to his promotion. This choice in succession to the presidency has some worried however due to Xi Jinping’s unclear political positions due to past ambiguity.


At 57 years old, Xi Jinping is not a newcomer to the political realm having served in several high ranking political positions throughout China including being assigned as the governor of Fujian province in 2000 and later being assigned as the Party Chief in Zhejiang province.


Aside from his political experience, Mr Xi is considered a “princeling” by being the son of communist party veteran Xi Zhongxun who helped the party rise in the early 1900s. Xi is one of a series of so called “princelings” and is therefore expected to live up to his father’s legacy within the communist party and promote the regime’s standing within China. 


However, Mr. Xi is known for taking the middle ground on many political issues such as “the degree to which even small amounts of political liberalization should be tolerated” thereby making his political aims unclear. Although, BBC reports that many top political leaders have decided to concentrate their efforts:


“Instead of seeking a high rate of economic growth, China's leaders appear to want to close the gap between rich and poor and between coastal and inland areas.”


This shift in focus may be in response to the influx of Chinese citizens openly promoting a democratic takeover of the communist regime. One political activist in particular, Mr. Liu Xiaobo has received a great deal of recent media attention for being awarded the 2010 Nobel Peace Prize. The focus on blurring the boundaries between rich and poor comes at an interesting time considering the current debate over the Yuan’s low market value and China’s reluctance to increase it. If the political leaders do intend to create a more equal wealth basis in China, the decisions surrounding the Yuan will certainly play a critical role in the near future.



Video of Victor Chu chairman of First Eastern Investment Group speaking about Xi’s promotion: http://www.youtube.com/watch?v=tA8mvnnoIDI



http://www.bbc.co.uk/news/world-11564634

http://www.economist.com/blogs/asiaview/2010/10/succession_china

http://english.chosun.com/site/data/html_dir/2010/10/19/2010101900727.html

http://www.ibtimes.com/articles/73173/20101019/china-xi-presidency.htm

Monday, October 11, 2010

China's uproar about Nobel Peace Prize, Patrick London

On monday the Nobel Prize committee named Mr. Liu Xiaobo as the 2010 Nobel Peace Prize winner. It was awarded due to "his long and nonviolent struggle for fundamental human rights in China." The Chinese government however is furious over the decision because they feel Liu is nothing more than a criminal who undermines the Chinese communist regime.

Liu is a long time political activist in China, fighting for democracy and human rights. Last year he was arrested and sentenced to eleven years in prison. Although he had been detained and placed under house arrest several times in the past, his co-authorship of a political manifesto entitled Charter 08 which criticized empirical rule, was what eventually earned him his prison sentence. Liu was also present at the 1989 Tiananmen Square demonstrations in which protestors were fired upon by government troops.

After the announcement that Liu had won the prize, his wife Liu Xia was placed under house arrest. Not only was she detained but three armed guards stand outside her house denying entry to all who come by, including a group of foreign diplomats wanting to congratulate Mrs. Liu on her husband’s award. It is also reported that her phone and internet have been cut off. If Mrs. Liu needs to leave her home, she must do so in a police car.

The Chinese government has not taken this bit of news lightly and has stated that it may interfere with China Norway relations. They have also stressed that Liu getting the award goes against the very ideals the award stands for. Not only has the government issued several statements discouraging support of Liu, they have also been monitoring and banning anybody attempting to get together to celebrate his achievement. Time reports that many of the major cell phone companies have gone so far as to ban text messages containing Liu Xiaobo’s name.

Another major political figure, the Dalai Lama, voiced his opinion on the matter saying that the Chinese government does “not appreciate different opinions". He was also directly involved in the decision to give the award to Liu by co signing an article that applauded "his bravery and clarity of thought about China's future." When asked about her situation, Liu’s wife responded that she hopes the award will bring further awareness to the world and assist in spreading human rights in China.

Video of Liu Xia on her husband’s situation:
http://www.bbc.co.uk/news/world-asia-pacific-11500671

Time: http://www.time.com/time/world/article/0,8599,2024405,00.html

Associated Press: http://www.google.com/hostednews/ap/article/ALeqM5jy5n5CDcoNHrqOk6ZihXwoOSuHxgD9IPREGG2?docId=D9IPREGG2

BBC: http://www.bbc.co.uk/news/world-asia-pacific-11512775