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Wu Guoguang: Xi Jinping’s Reversal of the Course, Will China’s Transition be Peaceful or Marked with Bloodshed?

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Cheng Xiaonong: U.S.-China Strategic Relations Have Crystallized

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Xinhua Commentaries: “Exposing the Three Major Political Deficits of the U.S.”

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The CCP’s Performing Arts Troupes in the U.S.

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Li Keqiang: China Willing to Provide Financial Support to SCO Countries

On the afternoon of December 15, Chinese Premier Li Keqiang attended the 13th meeting of the Summit of the Shanghai Cooperation Organization (SCO) member countries in Astana, the capital of Kazakhstan. 

According to Russian media, Li announced at the meeting that China is willing to provide financial support to SCO countries to help them overcome the economic crisis.  The media also reported that Li further stated that China is willing to take such measures in bilateral cooperation with Kazakhstan and other SCO countries or partners, and that this effort will help these countries to deal successfully with the economic downturn and to modernize production. 
The SCO was founded in Shanghai in 2001. The SCO members are Russia, China, Kazakhstan, Kyrgyzstan, Tajikistan and Uzbekistan. Iran, Afghanistan, Mongolia, Pakistan and India have observer status. Dialogue partners include Belarus, Sri Lanka and Turkey. 
Source: China Enterprises Investment Association, December 16, 
2014 http://www.ceia.cn/show.php?contentid=47887

Briefings | | |   Geo-Strategic Trend

WANG Yiwei: China and U.S. Have Different Understanding of the New Model of Major-Country Relations

WANG Yiwei, Director of the International Affairs Institute at Renmin University of China, recently wrote an article that was published on Huanqiu (Global Times, a division of People’s Daily). In the article he discussed the differences between China and the United States as to how they each understand the new model of major-country relations. Below is an excerpt from the article: 

"From the perspective of historical experience and mankind’s responsibility, Sino-U.S. relations, unlike any other great power relations, may not pursue the best, but must prevent the worst. This is impossible without the new model of major-country relations. However, in the establishment of new relations between these big powers, China and the U.S. hold six different understandings of the new model of major-country relations.” 
"1. The Chinese side stresses the concept of "no conflict and no confrontation." The U.S. cannot promise to have no conflicts; at best it promises to avoid unnecessary conflicts and confrontations. Even making such a commitment is too difficult; it fears getting stuck and losing the trust of its allies." 
"2. How the nature of Sino-US relations is established will determine the direction of international politics in the 21st century. The U.S. is inclined to a "new type of relationship" that is more focused on new ways to continue the policy of engagement with China while maintaining the U.S. leadership position. The U.S. is worried that China’s emphasis on "mutual respect" may make the U.S. unable to interfere with China’s internal affairs and is contrary to the American values diplomacy. China, in asking for "respect," is hoping that the U.S. will respect China’s core interests and gradually recognize China’s ‘big country’ status." 　　 
"3. The Chinese side has focused on shaping the nature of the new model of major-country relations between China and the U.S. with no conflict, no confrontation, and mutual respect so as to achieve a win-win effect, but the United States understands it as a kind of cooperation for cumulative effects. For example, if China cooperates with the United States on the Issues of North Korea, Iranian nuclear power, as well as Afghanistan and the ‘Islamic State,’ it will enhance the confidence of the United States to establish the new relations between big powers. Meanwhile, the United States believes that since China publicly rejected ‘Sino-U.S. joint rule’ (G2) in the past and now China uses "win-win cooperation" to lure the United States, China’s purpose is to allow the United States to let down its guard and then catch up and surpass the U.S. without being noticed." 
"4. The U.S. is worried that the new relations are merely China’s transitional arrangement for the eventual replacement of the U.S. The intention is to shake the U.S. leadership. China has emphasized that the new relationship is to reduce strategic suspicion of each other, create strategic consensus, and gather strategic actions." 
"5. The United States believes that the task of the new relations is to manage the bilateral relations, while China believes the task of the new relations is to become a cornerstone to develop the world order. China believes that the Sino-U.S. relationship is the world’s most important bilateral relationship; the U.S. acknowledges that the U.S.-China relationship is only one of the world’s most important bilateral relationships. Compared to China, the United States is becoming more and more short-sighted and sensitive."
"6. The United States is very suspicious of the future of the new relations model and believes that whether such a model can be established does not really matter. The Chinese side fears that if the new China-U.S. relations cannot be established, it is likely to fall into another political tragedy among the great powers in history." 

Source: People’s Daily, November 6, 2014 
 http://opinion.people.com.cn/n/2014/1106/c1003-25985623.html

Briefings | | |   US-China Relations

Sino-Russia Trade Suffers from Ruble Depreciation

On December 17, 2014, China National Radio reported that the Russian Ruble was the worst performing currency with a 49 percent depreciation rate (against the dollar) this year and is damaging Sino-Russian trade. 

One issue is that, along the Chinese border at Heihe, Heilongjiang Province, the number of Russian tourists has significantly declined since the beginning of November. Another is that, according to Tian Chunsheng, the Secretary-General of the China and Russia Eastern Europe and Central Asia Economic Institute, Russian businesses have now resorted to defaulting on their payments for imports from China, thus damaging small and medium exporters in China. 
China National Radio noted that the China-Russia currency swap agreement signed back in October will be tantamount to China “giving money to Russia,” as the Russian Ruble continues to depreciate. It is because the Sino-U.S. agreement allows exchanges of currency based on a fixed exchange rate. 

Source: China National Radio, December 17, 2014 http://finance.cnr.cn/txcj/20141217/t20141217_517131147.shtml

Briefings | | |   Economy/Resources

PLA Daily: Anti-corruption Is a Life and Death Battle That We Cannot Afford to Lose

On December 17, the Chinese military flagship newspaper People’s Liberation Army Daily (PLA Daily) carried a high profile opinion article titled, "Anti-corruption Is a Life and Death Battle That We Cannot Afford to Lose." Some of the wording was strong and direct. 
"About corruption, there are two camps of arguments that are worthy of attention. One is whether the continual strikes on corruption will actually cost the support of the public; the other is whether the anti-corruption campaign can really continue."
"These concerns, to some extent, exemplify the ‘stalemate between the corruption and anti-corruption forces." If misconceptions are not clarified in a timely manner, if people’s thinking is not further unified, and if their faith is not strengthened, it is bound to be difficult to completely eliminate the pernicious influence of Xu Caihou (former Vice Chair of the Central Military Commission, put under investigation and expelled from the Communist Party in June 2014) and carry out the fight against corruption to the end."
"There is no special area for corruption and no taboo against anti-corruption. As ‘big tigers’ like Zhou Yongkang (Zhou is a former member of the Politburo Standing Committee; on December 5, 2014, state media announced Zhou’s arrest to face criminal charges, as well as his expulsion from the Communist Party of China.) and Xu Caihou are removed, who else can remain as an exception? The central leadership of the Party and Chairman Xi will not tolerate any corruption; they will surely investigate and punish violations of law and discipline."
"The military is holding the barrel of the gun. It is a strong pillar of the ruling party. If the military engages a corrupt army, the barrel of the gun will turn to rust and the pillar will collapse. Then what would be there to guarantee the stability of the country and the people’s happiness and peace? History has repeatedly proven that as long as the military is absolutely loyal, absolutely pure, and absolutely reliable, the country will not fall into big trouble. There must not be any hiding place for the corrupt. This is the Party’s special political requirement for the army."
Source: PLA Daily, December 17, 2014
http://www.81.cn/jmywyl/2014-12/17/content_6272590.htm
Briefings | | |   Government/Politics

Xi Jinping: Strictly Governing the Party in All Areas

On December 16, 2014, Xinhua published an article on the new policies that Xi Jinping, the Chinese Communist Party General Sectary, has proposed: Building a moderately prosperous society in all areas; deepening reforms in all areas; promoting the rule of law in all areas; and strictly governing the Party in all areas. Among the four “in all areas,” the last one “strictly governing the Party in all areas” is the new policy.

The article explained the different sub-areas of “in all areas” in terms of “strictly governing the Party.” “These include the Party’s ideological development, organizational development, mode of work development, anti-corruption development, and institutional development. All levels of the Party’s organizations must follow the requirement of strict governance of the Party and management of team members, and must normalize and institutionalize “strictly governing the Party.”

Source: Xinhua, December 16, 2014
http://news.xinhuanet.com/politics/2014-12/16/c_1113661816.htm

Briefings | | |   Government/Politics

Huanqiu: As Everyone Knows, China Does Not Want Russia to Fall”

On December 17, 2014, Huanqiu (the Chinese edition of Global Times) published an editorial titled, “As Everyone Knows, China Does Not Want Russia to Fall.” After an analysis of Russia’s situation and economic difficulties, the article said that Russia is still far away from any real danger of collapse. However, what Russia has to deal with is not a short-lived super storm either. “Sino-Russian relations are generally regarded as one of the key conditions for protecting Russia against strategic risks.” “China does not want Russia to fall; the whole world is clear about (China’s) stand.” According to the Huanqiu editorial, China must be clear about several points when dealing with Russia.

First, the China-Russia strategic partnership is no longer built on ideology but on the national interests of both countries. A Russia that does not show its weakness to the U.S. and the West is important to China in terms of China’s national interests. China and Russia mutually need each other with a back to back strategic relationship.

Second, although China has the ability to provide assistance to Russia in key areas at critical times, China may only do so upon Moscow’s request so as to avoid Russia’s misunderstanding of China’s intentions. China needs to have a high respect for Russia and to maintain Putin’s reputation in Russia. Third, it is only a hypothesis that Russia will be continuously getting closer to China because of its crisis. Many uncertainties exist.

Source: Huanqiu, December 17, 2014
http://opinion.huanqiu.com/editorial/2014-12/5248588.html

Briefings | | |   Geo-Strategic Trend

Xinhua: China’s Major-Country Relationships in 2014

Xinhua published an article reviewing China’s progress in developing major-country relations with Russia, the U.S., the E.U. and major developing countries.

Sino-Russia relations: "The relationship is the best it has been in the 65 years since China and Russia established diplomatic relations. The Sino-Russia comprehensive strategic partnership will be moving forward at a high level in 2015. In May 2014, the heads of the two countries signed the ‘Sino-Russian Joint Statement on the New Stage of Comprehensive Strategic Partnership in Coordination.’ The two countries finalized a gas supply treaty. The two countries are working on reaching the goal of bilateral trade at $100 billion in 2015 and $200 billion by 2020."

Sino-U.S. relations: "Although there was friction in the relationship in 2014, the waves didn’t stop the voyage. In 2015, the two countries will continue developing their relations while controlling their differences. Xi Jinping and Obama not only met twice in 2014, but also called and sent letters to each other multiple times. A highlight in 2014 was the continuous military relations development. Military exchanges frequently got interrupted due to issues of the Sino-U.S. relations in the past, but the exchanges were strong last year."

Sino-E.U. relations: "Xi Jinping’s visit to Europe in the spring of 2014 set the direction for Sino-E.U. relations, and thus European scholars largely viewed his visit as a ‘milestone in the Sino-E.U. relationship.’ The European Commission and European Council went through an election. The new leaders expressed a desire to push for an E.U.-Sino comprehensive strategic partnership."

China and major developing countries: "China has an outstanding relationship with Brazil, India, and South Africa. It can be summarized as frequent top leaders’ visits, the development of practical cooperation, support for each other’s discourse rights, the enhancement of strategic trust between the different countries, and substantive improvement in connecting each other’s development strategies."

Source: Xinhua, December 16, 2014
http://news.xinhuanet.com/world/2014-12/16/c_1113667231.htm

Briefings | | |   US-China Relations

BBC Chinese: Nicaraguans Protest China Funded Canal Construction Plan

BBC Chinese recently reported that the 16th protest against the Canal Construction Plan based on funds from China took place on December 10, which was International Human Rights Day. Thousands of Nicaraguans representing environmentalists, human rights protectors, women’s rights defenders, and other NGOs walked in the streets for a distance of 3 kilometers. The Canal is set to start construction on December 22. In 2013, the Nicaraguan Congress granted a China-owned company a contract to build and operate the Canal for 100 years. That decision triggered the numerous protests that have occurred since then. The protesters have called Nicaraguan President Daniel Ortega Saavedra a traitor. The primary issues of the Canal construction are the lack of an Environmental and Ecological Assessment Report for the nearby lakes as well as the compensation price for land expropriation. The anti-China atmosphere has continued to spread.
Source:  BBC Chinese, December 11, 2014
http://www.bbc.co.uk/zhongwen/simp/world/2014/12/141211_nicaragua_protest
Briefings | | |   Geo-Strategic Trend