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Geo-Strategic Trend - 181. page

Qiu Shi: China’s African Investment Model Upgraded

Qiu Shi, a magazine of the Communist Party Central Committee, recently published an article discussing the strategy of investing in Africa. The author expressed the belief that China’s pace of entering the African market is speeding up. China’s primary investment focus has shifted from mines to infrastructure-building. In its plans for the future, agricultural and financial cooperation are the next steps. For the past five years in a row, China has been Africa’s largest trading partner. The trade volume in 2013 was over US$200 billion. China has been helping many African countries turn natural resources into economic power sources by spending money made in mining to develop hospitals, roads, the education system, and water processing facilities. Africa’s high speed economic growth is opening up many new market segments, such as communications. For example, Large Chinese companies such as ZTE, Huawei, and Shanghai Bell have already established footholds in the African communications market. With more and more Chinese investments pouring in, the Chinese currency has become the number one choice of reserve currency for Angola, Nigeria, Tanzania, Ghana, Kenya, and South Africa. 
Source: Qiu Shi, May 7, 2014
http://www.qstheory.cn/jj/jjyj/201405/t20140507_346875.htm
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Xinhua: China Imposes Taxes on EU Polysilicon as Punishment

Xinhua recently reported that China’s Ministry of Commerce announced, at the end of April, that China reached a final decision on taxing solar grade polysilicon imported from the European Union for anti-dumping and anti-subsidy reasons. The decision took effect on May 1 and will remain in effect for two years. The announcement suggested that the EU’s unfair dumping and subsidy behavior seriously damaged China’s polysilicon industry. However the Ministry accepted the pricing adjustment promise that a German company made, as an exception. At the same time, electronic grade polysilicon based semiconductor products such as integrated circuits and discrete devices were excluded from the scope of the investigation and the resulting taxes. Based on the decision that the Ministry of Commerce made, the Customs Tariff Commission of the State Council issued an order to implement the new policy.
Source: Xinhua, April 30, 2014
http://news.xinhuanet.com/world/2014-04/30/c_1110494176.htm
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Ministry of Foreign Affairs: Czech Adheres to the one China policy and Refuses “Tibet Independence”

According to the website of the Ministry of Foreign Affairs, at a regular press conference on April 29, spokesman Qin Gang announced that China and the Czech Ministry of Foreign Affairs issued a joint communique. The communique stated that the Czech side reiterated its adherence to the one China policy, respects China’s sovereignty and territorial integrity, insists that Tibet is an inalienable part of China, and refused to support any form of "Tibetan independence." "This is another important political document between the two countries following the 1999 joint government communique and the 2005 joint statement. It will play an important role in the healthy and stable development of relations between China and the Czech Republic."
Source: People’s Daily Online, April 30, 2014
http://world.people.com.cn/n/2014/0430/c1002-24963293.html
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China Review News: Solve the South China Sea Problem û If Not Now, When?

On April 29, 2014, China Review News published an editorial proposing to settle the South China Sea conflicts. According to the editorial, Russia’s occupation of Crimea shows that the "law of the jungle" still plays an important role in terms of national interests. The Western world is very weak and the United States cannot keep its promise of assuring justice in international conflicts. China should learn from Putin and take a tougher stance on the South China Sea issues and see how it goes.

Source: China Review News, April 29, 2014
http://hk.crntt.com/doc/1031/0/9/7/103109771.html?coluid=169&kindid=0&docid=103109771&mdate=0429002131

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Xi and Zuma Exchange Letters on Reciprocal China-South Africa National Theme Years

On April 27, 2014, Chinese President Xi Jinping and South African President Jacob Zuma sent letters to each other celebrating the launch of reciprocal China-South Africa national theme years.

In his congratulatory letter, Xi said that, in 2014 and 2015, China and South Africa will each launch the national theme year of the other nation. "This is a major event for the humanities for both countries and an important event in their friendly bilateral relationship. It will promote understanding and friendship between the two peoples and enrich the substance of the comprehensive bilateral strategic partnership. The Chinese side is willing to use the national theme year as an opportunity to work together with South Africa, elevating the bilateral comprehensive strategic partnership to a new level."

Zuma’s letter stated that, in recent years, the relationship between South Africa and China has advanced by leaps and bounds and that exchanges between the two peoples should be raised to a higher level.

Source: Xinhua, April 27, 2014
http://news.xinhuanet.com/world/2014-04/27/c_1110428929.htm

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China Completed and Handed Over $30 Million Road Project as a Gift to Sierra Leone

On April 26, in Regent, a suburb of Sierra Leone’s capital city Freetown, Chinese Ambassador to Sierra Leone Zhao Yanbo officially handed over the newly constructed Regent-Grafton Road to the Sierra Leone government.

China Railway Seventh Group (CRSG), a subsidiary of the construction conglomerate the China Railway Group, undertook the construction of the 11.26km road, including several bridges and 34 pipe culverts. The project started in April of 2012 and was completed on April 25, 2014. It connects Regent and Kossor Town and helped ease the burden of traffic in Freetown.

The Chinese government provided the funds for the construction, costing US$30 million, through their bilateral development funds. Other major projects of CRSG in this West African country include the 35 km Makeni-Matotoka highway, the 65 km Bo-Kenema Highway, the 62 km Port Loko-Lungi axis, and major urban thoroughfares, including the Wilkinson Road and the Spur Road.

At the ceremony, Sierra Leone President Ernest Bai Koroma praised the Chinese government and the Chinese companies for their active participation in these infrastructure projects.

Source: Xinhua, April 27, 2014
http://news.xinhuanet.com/2014-04/27/c_1110430819.htm

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“Ukraine Crisis May Bring China a Decade of Strategic Opportunities”

At a recent forum discussion, Major-general Wang Haiyun, a senior advisor at the China International Institute for Strategic Society, spoke on the Ukraine crisis. The following are excerpts from his comments.
"After the disintegration of the Warsaw Pact and the Soviet Union, Europe transitioned from a region related to the U.S.-Soviet confrontation to one of peaceful coexistence. In recent years, with the implementation of the United States’ ‘re-balance to the Asia-Pacific’ strategy, the confrontation seems to have shifted to Asia. However, the Ukraine crisis once again made Europe the frontier of the confrontation between Russia and the West."
"Since the Cold War, the Ukraine crisis has become a turning point for East-West relations. Russia and the U.S. are switching from strategic tolerance to strategic confrontation. The U.S. will have to strengthen its military and political presence in Europe."
"Given this circumstance, NATO’s ambitious global intervention may have to shrink to Europe. Its capacity to be involved in Central Asia and East Asian affairs will have to decline. In other words, the U.S.’s ability of strategic encirclement of China may be weakened; the hegemonic pressure that China is facing may be reduced."
"Because of the defamation, isolation, coercion, and suppression emanating from the Western powers, with its deterioration of the international environment, and especially its West border security environment, Russia has to rely on China, a booming power with similar strategic interests and strategic ideals to counterbalance the Western pressure."
"Not being a party of the dispute, China is relatively detached. As a result, many parties are looking at the reactions from China and hope that China is on their side. This places a high requirement on China’s diplomacy. If China handles it well, China can improve its international status and enhance its voice in the international community."
Source: People’s Daily Online, April 23, 2014
http://military.people.com.cn/n/2014/0423/c1011-24932194.html
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Qiushi: China Uses Move to the West Strategy to Break through U.S. Containment of China

On April 22, 2014, Qiushi, a journal of the Central Committee of the Chinese Communist Party, published an article on China’s “Move to the West.” It discussed a “balancing strategy” of how China is to deal with the U.S. return to the Asia-Pacific and to “break through America’s containment of China.”

According to the article, China has good trade and economic relationships with European countries, Central Asia (the former Soviet Union Countries), Pakistan, and Iran. However, China’s “Move to the West” plan involves seeking Russia’s understanding and support. Currently, the conflict between Ukraine and Russia is escalating and both sides want China’s support. China must implement projects involving cooperation with Ukraine and also stand with the Russia together against NATO’s eastward expansion. China will continue its involvement in the China-ASEAN Free Trade Area, the Shanghai Cooperation Organization, and the China-Russia strategic cooperation. Meanwhile, China will seek development in the Oceans as well. However, the United States always creates conflict so as to contain us. We must resolve the problems in the neighboring countries in terms of economic dependence on China, moving outward politically from China, and pressure from marine power.

Source: Qiushi, April 22, 2014
http://www.qstheory.cn/gj/gjsspl/201404/t20140422_342588.htm

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