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Xi Jinping Signals that Jiang Zemin Still Has Significant Power

Xinhua reported that Xi Jinping, China’s Vice President and internally selected successor to Hu Jintao, gave two books as gifts to Chancellor Angela Merkel when he met with her. The two books were written by Jiang Zemin; they were on energy and information technology; and they had been translated into English. Xi also passed Jiang’s regards and wishes to her [Ed: Jiang has no prior personal or official relationship with Chancellor Angela Merkel: she was elected in 2005, while Jiang retired in 2004]. Xinhua also reported that when he met with German President Horst Koehler, Xi passed Hu Jintao’s regards to him.

Sources:
1. Xinhua, October 13, 2009
http://news.xinhuanet.com/politics/2009-10/13/content_12219581.htm
2. Xinhua, October 13, 2009
http://news.xinhuanet.com/politics/2009-10/13/content_12219586.htm

Ministry of Defense: US Actions Severely Interfered With Sino-US Military Relationship

According to Xinhua, Major General Qian Lihua, Director of the Foreign Affairs Office of the Ministry of Defense of China commented on the upcoming US visit of General Xu Caihou, the Deputy Chairman of the Party Central Military Committee. Qian specifically pointed out that in the past several years the actions of the US have created severe interference to and have had a negative impact on the military relationship between the two countries. These actions of the US included substantially increasing the military relationship with Taiwan, advancing weapon sales to Taiwan, the US Congress’ restriction of the Sino-US military exchange into twelve areas in the “2000 National Defense Authorization Act,” the questioning by the US of China’s military strategic intention and development, and the frequent activities of US airplanes and ships in the air and water space that China claimed as its own economic zone.

Sources: Xinhua, October 23, 2009
http://news.xinhuanet.com/mil/2009-10/23/content_12310337.htm

International Herald Leader: Russia’s Dilemma – Supplying Natural Gas to China

The International Herald Leader reported that Russia is facing a dilemma on supplying natural gas to China. On October 13, 2009. China and Russia signed a framework agreement for the building of two natural gas pipelines from Russia’s gas fields in the Far East to China. However, for the two countires to reach an agreeable price will be a challenge. China suggested $100-120 USD per thousand cubic meters, but Russia’s lowest price is $250-270 USD. Russia is afraid that asking for too high a price may drive China to Kazakhstan and Turkmenistan. Russia is also concerned regarding whether it will depend too heavily on China financially and will become just a “natural resource provider” to China.

Source: International Herald Leader, October 15, 2009
http://news.xinhuanet.com/herald/2009-10/15/content_12237118.htm

Wen Jiabao: Establish East Asia Foreign-Exchange Reserve Pool By Year’s End

Global Times reported that on October 24, 2009, Premier Wen Jiabao attended the 12th ASEAN Plus Three summit, or "10+3" summit (10 ASEAN member countries plus China, Japan, and South Korea). Wen Jiabao suggested establishing a regional foreign-exchange reserve pool by the end of this year and also speeding up the independent regional economic monitoring organization, and the Asian bond market. China is willing to provide $200 million for the regional credit guarantee and investment funds. Wen also promoted the expansion of regional trade and investment among the 10+3 countries and expressed that China is willing to take the lead in advancing 10+3 economic and trade cooperation.

Source: Global Times, October 24, 2009
http://china.huanqiu.com/roll/2009-10/612343.html

Study Times: Sino-Russian Relationship from the Natural Resources Perspective

Study Times published an article that suggests that China’s rise requires it to develop alternate natural resources despite its present favorable Sino-Russian relationship (continued friendly relations with China). Currently, China has access to a vast supply of natural resources from Russia, which may not be the case in the future. Therefore, China needs to develop alternatives to protect its supply of natural resources, including building the blue water naval capability to ship natural resources over the sea, before the Sino-Russian strategic relationship turns sour. At this time, the US has closed down any possible land route over which China could obtain oil from the Middle East, except Iran. China’s land route is limited to the Central Asian countries and Russia.

Source: Study Times, October 19, 2009
http://www.studytimes.com.cn/WebPage/ny1.aspx?act=1&id=3001&nid=10873&bid=12&page=1

National Defense University Professor: Strategic Partnership with Russia Has Reached a New High

On October 13, 2009, China and Russia signed an agreement regarding mutual notification when launching ballistic missiles and carriers. The People’s Daily published a commentary by Wang Baofu, a professor at the Strategic Institute of China’s National Defense University. Wang acknowledged that signing of the pact is a clear indication that the security collaboration between the two countries has reached a new high. The significance of this collaboration has reached beyond military security and trust. The development of the Sino-Russian relationship in all areas is the result of strategic trust between the two countries.

Source: People’s Daily, October 17, 2009
http://paper.people.com.cn/rmrbhwb/html/2009-10/17/content_361741.htm

Hunan Province Advances a New Internet Control Platform

Red Net, the Website for the Communist Party’s Hunan Province Committee and Hunan Provincial government, disclosed that Hunan will advance an Internet monitoring platform soon, as directed by the Ministry of Culture. The platform contains the traditional Internet Café monitoring software and a Hunan Culture Website, providing monitoring and servicing capabilities. This platform prevents users from accessing “harmful” information.

The provincial Cultural Inspection Team and municipal and county-level cultural inspection team will inspect Internet Cafés randomly and penalize businesses that haven’t installed, have stopped using or have removed the platform.

Source: Red Net, October 17, 2009
http://hn.rednet.cn/c/2009/10/17/1840624.htm