Posts tagged ‘United States’

12/03/2014

China tries a new role in the missing plane saga—Asia’s policeman – Quartz

In the aftermath of the March 8 disappearance of a Malaysia Airlines plane with 239 people on board, 153 of them Chinese nationals, Beijing is flexing its muscles. The Chinese government has dispatched two warships, 10 satellites, over 50 marines to the South China Sea, and—although the Malaysian government didn’t formally invite them—a 13-member delegation to advise search and rescue efforts from Kuala Lumpur.

The assertive response marks a new stage in China’s ascension as a regional superpower, a role the country hasn’t fully embraced despite its expanding military and trade power in East Asia. While China has made claims over disputed territory (in the air, the sea, and in passports), it has rarely deployed its military and officials in such a public way.

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On March 10, Chinese officials said they had “a responsibility to demand and urge the Malaysia side to step up search efforts…and provide relevant information to China correctly and in a timely manner.” In response, the Malaysian government re-issued its pledge to fly Chinese relatives of the passengers on board to Malaysia.

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China’s show of strength may simply be an effort to show angry Chinese families that their government is actively pushing for answers and participating in, if not leading, search operations. Chinese officials have already been pelted with water bottles thrown by the frustrated relatives of passengers. But the crisis is also an occasion for Beijing to continue what has been a decade-long expansion (pdf) of militarily and diplomatic engagement in Southeast Asia, a region that’s traditionally been part of the United States’ realm of influence.

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Some observers have hailed the last few days of cooperation between the countries more accustomed to arguing over islands and shoals as a hopeful sign for future negotiations. But it’s not likely that China’s stance toward its neighbors has softened much over that time.

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Just last week, Chinese officials said that peace in the region could only be “maintained by strength.” Part of that strength, it seems, involves an aggressive Chinese response when disaster strikes.

via China tries a new role in the missing plane saga—Asia’s policeman – Quartz.

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06/03/2014

Opinion: China’s awkward banana slip – CNN.com

Editor’s note: Eric Liu is the founder of Citizen University and the author of several books, including “The Gardens of Democracy” and “The Accidental Asian.” He served as a White House speechwriter and policy adviser for President Bill Clinton. Follow him on Twitter @ericpliu The opinions expressed in this commentary are solely those of the author.

Watch this video

(CNN) — Have you heard about China’s banana slip?

A few days ago in Beijing, as Gary Locke wrapped up his tenure as United States ambassador to China, he was lambasted in a Chinese state media editorial. The piece called Locke a “guide dog.” It said he had stirred an “evil wind.” Worst of all, it called him a “banana.”

As in yellow on the outside and white on the inside. It’s a slur, akin to “Oreo” for African-Americans or “coconut” for Hispanics, used by people of a given ethnic group to judge another member of that group for being insufficiently, well, ethnic. The point of saying a person of color is “white inside” is to accuse him of being a race traitor, ashamed or in denial of his true heritage.

Eric Liu

In this case, the idea was that Locke, though of Chinese descent, wasn’t Chinese enough. Why? He couldn’t speak the language. Oh, and he apparently didn’t do the bidding of China’s leaders, choosing instead to go to Tibet, work with dissident human rights activists, point out smog levels in Beijing and generally represent the interests and values of the United States.

That’s what the editorialist meant when he called Locke a banana. Many Chinese citizens disavowed the slur, calling it an embarrassment. But what it revealed was that despite modernization and burgeoning wealth — or perhaps because of them — China still has a fragile identity. (And America still has some advantages.)

Let’s start with the fact that the editorial was published in an organ of state media. It got attention because in a country where the government controls the press, editorials are assumed to express the views of top national leaders. They may not, in fact. It’s quite possible this particular opinion writer was just an individual. But in the absence of a free press, who can really tell?

This is the price of propaganda: No one believes what you say, but they believe you meant to say it.

A second notable aspect of the banana rant was that it completely conflated ethnicity and nationality, and in a particularly Chinese way. The Han Chinese are the overwhelmingly dominant ethnic group of China, and their ethnocentrism frames Chinese political culture. (Just ask Tibetans.) It also fuels the nationalism behind China’s territorial disputes with Japan and other Asian nations.

So the premise of the banana comment was that someone of Chinese ethnicity, wherever he may live, should be considered Chinese to the core and therefore in the end loyal to the Chinese nation.

Of course, that’s a notion white Americans have often used to justify mistreatment of “indelibly alien” Chinese immigrants, whether during the era of Chinese exclusion in the late 19th century or the persecution of Wen Ho Lee at the turn of this one.

But it’s as wrong now as then and as wrong here as there. Even if Locke could speak perfect Mandarin, even if he could read the Chinese classics and write calligraphy, this Eagle Scout, child of public housing, prosecutor, state legislator, governor, Cabinet secretary and diplomat was made in America.

via Opinion: China’s awkward banana slip – CNN.com.

See also – https://chindia-alert.org/social-cultural-diff/uncanny-similarities/

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03/03/2014

China’s media says deployment of troops for war with Japan is now complete; waiting for opportune time to attack

Let’s hope this is mere “sabre ratling” rather than real. But given China’s past conflicts with neighbours around border/territorial issues (India, Russia, Vietnam – see https://chindia-alert.org/political-factors/chinese-tensions/) this may be genuine preparation.

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28/02/2014

India, the Best Customer for America’s Defense Industry – Businessweek

Once again, Indians are mourning after a tragedy aboard one of the navy’s submarines. After an accident on the INS Sindhuratna filled the vessel with smoke yesterday, two officers with severe burns died and seven other sailors suffering from smoke inhalation had to be flown to safety. Last year, an explosion aboard another Indian sub left 18 sailors dead. Shortly after Wednesday’s incident, Indian Navy Chief of Staff D.K. Joshi resigned, effective immediately.

Indian commandos from the Jammu and Kashmir Armed Police (JKAP) at the Sheeri training center, near Srinagar, on Feb. 24

Wednesday’s accident comes at a bad time for India’s embattled government. Indian Prime Minister Manmohan Singh’s Congress Party, facing a string of corruption scandals as well as a lackluster economy, will probably lose in the upcoming national elections due by May. The leader of the largest opposition party, Gujarat Chief Minister Narendra Modi, is a Hindu nationalist who argues that Singh hasn’t been tough enough, especially toward the country’s assertive neighbor to the north—China.

In his first major speech as the Bharatiya Janata Party’s leader last September, he accused the Congress-led government of not doing enough to protect India’s borders. “Unless there is a capable government, patriotic government, there cannot be any guarantee of security,” Modi said. Over the weekend, Modi criticized what he called China’s “expansionary mindset.”

via India, the Best Customer for America’s Defense Industry – Businessweek.

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25/02/2014

Stocks scale peaks, yuan drops most in three years | Reuters

World shares were at a 6-year high on Tuesday following a record peak on Wall Street, while moves by China to stamp out easy betting on the yuan triggered the currency’s biggest drop in over three years.

An office worker walks past the board of the Australian Securities Exchange building displaying its logo in central Sydney April 5, 2013. REUTERS-Daniel Munoz

The upbeat mood among equity investors in the United States as well as Europe helped steady markets in China after the sharp plunge in the yuan and talk of credit tightening had seen stocks in Beijing suffer their biggest drop since September. .SSEC.

Spot yuan has entered a dramatic weakening cycle in recent weeks, guided by a series of moves by the central bank, with the unwinding of yuan positions by banks and funds adding downward momentum.

China allows the yuan to move 1 percent above or below a midpoint set daily but traders believe the recent depreciation is intended to set the stage for a widening of that band to 2 percent or more this year to make it more free moving.

via Stocks scale peaks, yuan drops most in three years | Reuters.

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21/02/2014

* Even China’s Economists Are Singing the Blues – China Real Time Report – WSJ

It’s all relative.  To any developed nation, a GDP growth of just over 7% would look absolutely marvellous!

“China’s state media have long accused foreign analysts of being too bearish on the Chinese economy. Those analysts looking in from the outside are often said to be too eager to be “chanting decline”—chang shuai—when it comes to the economy’s prospects.

This time around, China’s own economists seem to be chanting a pessimistic tune about growth prospects. Perhaps they are not quite as negative as those pesky foreign counterparts—who according to at least one report China’s state media are being told to avoid—but they are increasingly outspoken about slowing growth and rising financial risk.

“We are now in a painful stage,” economist Wang Luolin told a seminar this week.  “Let’s not try to dress things up,” said the consultant to the Chinese Academy of Social Sciences, a government think tank.

Yu Bin, a senior researcher at the influential Development Research Center under the State Council, took a similarly pessimistic view.

“The fact is, China’s economic growth is facing substantial downward pressure,” he said. “I don’t think we should get our hopes up for this year’s growth.”

China’s growth has been slowing amid a recovering global economy coupled with weak domestic demand. The days of double-digit expansion are long gone. Economic growth slipped to 7.7% in the fourth quarter of last year from 7.8% in the third – and many economists see a further slackening ahead.

“We expect the economic growth rate to be just above 7% this year, and that’s about it,” Mr. Yu said. That would be well below the 7.7% expansion in all of 2013.

Mr. Yu added that all three big drivers of China’s growth — investment, consumption and exports— are looking weak.”

via Even China’s Economists Are Singing the Blues – China Real Time Report – WSJ.

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21/02/2014

India doubles Iran oil imports in Jan from Dec -trade | Reuters

India’s oil imports from Iran more than doubled in January from a month earlier, with one state refiner returning from a three-month break as a buyer after sanctions on Tehran were eased due to the interim deal on its nuclear programme.

Yet, the jump may not signify a sudden flood of Iran’s oil to the market as clients bump up imports. India was able to take more of the crude because it earlier cut its buys the most among Tehran’s top clients and more than what was needed under the Western sanctions aimed at Iran’s disputed nuclear ambitions.

India’s oil purchase from Iran in January surged to 412,000 barrels per day (bpd), up from 189,100 bpd in December and 44 percent higher than a year ago, data compiled by Reuters showed.

January shipments from Iran were the highest since February 2012, shortly after new toughened sanctions from the United States and Europe went into effect, the data also showed. Iran was also India’s second biggest supplier for a month for the first time since March 2012, the data showed.

The big jump last month brings India’s imports from Iran over April-January to about 201,000 bpd, still a decline of 26 percent from the same 10 months a year earlier.

That’s below a target of 220,000 bpd for the fiscal year that ends March 31, but if imports are held at close to the January levels, the earlier cuts could be wiped out.

via India doubles Iran oil imports in Jan from Dec -trade | Reuters.

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19/02/2014

Is China at Risk of a Debt Crisis? Not Really,Bank Says – China Real Time Report – WSJ

Compare this somewhat optimistic view with Robert Peston’s BBC2 programme – “How China fooled the world.” – http://www.bbc.co.uk/news/business-26225205

Is China headed for a debt crisis? That has emerged as a pressing question over the past year as the country’s overall debt level rises quickly and the recent specter of defaults in the shadow banking system rattles financial markets in China and abroad.

For economists at the Royal Bank of Scotland, the answer is “no” – at least not imminently. Comparing China to countries that have suffered recent debt crises – including the United States, United Kingdom and Spain in 2007, and South Korea and Thailand in 1997 – RBS finds that on two key metrics, the world’s second-largest economy is on safer footing.

For one thing, China’s loan-to-deposit ratio, which reflects the banking system’s resilience to a sudden drop in asset prices, is the lowest for all the countries tracked — half of Korea’s level and 43% of Thailand’s level when those economies melted down in the late 1990s.

Then there’s the current account, which reflects a country’s sensitivity to foreign investment. A current-account deficit can leave developing economies acutely vulnerable to a sudden exit of capital, as India, Indonesia and some other emerging-market stars found out last year.

Unlike nearly all the countries RBS examined, China runs a current-account surplus — a reflection both of its export dominance and, critics would say, its related determination to keep its currency undervalued. There’s also the fact that China’s capital controls make it difficult for investors to pull their money out of the country, even if they wanted to.

“It’s legitimate for people to worry about different kinds of financial risk in China,” Louis Kuijs, RBS’ chief economist for greater China, told reporters in Hong Kong this week. “But I still don’t really see a lot of room for the kind of macro meltdown or the type of serious financial crisis that we typically associate with emerging markets.”

That being said, Mr. Kuijs said investors can expect to see more defaults or near-defaults — like the one that rocked markets in January until the trust product in question was bailed out in fairly opaque circumstances.

“Policy makers are interested in changing people’s expectations and changing the moral hazard question, but they’re so careful and so risk averse still that it will take a while before they will just let these defaults happen without doing anything,” he said.

So if China isn’t prone to the type of debt-driven meltdown that has befallen other emerging-market economies, could it share the fate of Japan – the other current account-surplus country in the RBS study — which ran up so much debt during its boom years that it has bogged down the economy for the better part of two decades?

That’s also unlikely, Mr. Kuijs said.

“Japan had finished catch-up growth in the late 1980s, so it was much harder to grow out of the crisis,” he said. “China is more like Japan in the 1960s,” with years of strong growth still ahead of it.

via Is China at Risk of a Debt Crisis? Not Really,Bank Says – China Real Time Report – WSJ.

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11/02/2014

India to Fight U.S. Solar Protectionism Charge as Ties Fray (1) – Businessweek

India will dispute a U.S. complaint at the World Trade Organization that it unlawfully restricts imports of solar equipment, saying American panel makers such as First Solar Inc. (FSLR:US) have access to most of its market.

“We will give a reply,” Tarun Kapoor, joint secretary at the Ministry of New and Renewable Energy, said in a phone interview. “Most solar projects in India are allowed to import. We have sufficient quantities open for competition.”

India required about 10 percent of new photovoltaic projects permitted in the past year to use domestically made solar cells and modules. The rule violates international trade law and raises the cost of solar energy, U.S. Trade Representative Michael Froman said yesterday in a statement.

via India to Fight U.S. Solar Protectionism Charge as Ties Fray (1) – Businessweek.

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11/02/2014

UPDATE 1-India IT sector exports seen picking up pace in FY15-Nasscom | Reuters

IT services exports in 2014-15 are forecast to rise to as much $99 billion, according to the National Association of Software and Services Companies (Nasscom).

NASSCOM 2010

NASSCOM 2010 (Photo credit: markhillary)

The increase in growth rate compares with an estimated 13 percent rise in fiscal 2014, the lobby added.

“Clearly compared to what we saw in the industry 12 months ago to now, we are seeing a far more positive momentum in our major markets,” Nasscom Chairman Krishnakumar Natarajan, also chief executive of IT firm Mindtree Ltd, told reporters.

Last month, the International Monetary Fund raised its global economic growth forecast for the first time in nearly two years.

India’s biggest IT services outsourcing firms, Infosys and Tata Consultancy Services, have forecast stronger growth for IT spending in the next fiscal year by their main customers in Europe and the United States.

via UPDATE 1-India IT sector exports seen picking up pace in FY15-Nasscom | Reuters.

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