China

The Spectator Podcast: time to make your own mind up about a no-deal Brexit

From our UK edition

Lorries backing up in Kent, a Mars bar shortage, and no more Rome city breaks – these are just some of the things that we have been warned about when it comes to a no deal Brexit. But what will really happen? In this week's cover piece, Ross Clark weighs up the pros and the cons. It's fairly neutral, but on the podcast, we hear from two people who are anything but. Lord Peter Lilley, Tory MP, has said that a no-deal Brexit would be better than the status quo; he's joined by Ian Dunt, editor of politics.co.uk, who thinks that it would be an 'unmitigated disaster'. It was a pretty fiery exchange from the two Brexit experts - the debate ranged from nuclear isotopes to Chinese kettles. Tune in to make your own mind up about no deal.

From the archives: Peregrine Worsthorne on Bush 41

Four years ago, Peregrine Worsthorne wrote about his various experiences with American presidents forThe Spectator magazine. He concluded with this anecdote about George H.W. Bush from the mid-Seventies... The only thing I remember about George Bush senior was an exceptional act of kindness. He was then the American representative in Peking — as it was still called — and had asked me to lunch. It was a scorching day. In the course of the conversation I mentioned I was going on to sleep that night in Mao’s favorite village in the south, a place of pilgrimage for the faithful. ‘Don’t forget to take a good overcoat,’ he warned. ‘It’s mighty cold down there.

george h.w. bush 41

The US and China are headed for a showdown. Do the American people care?

Know this: It doesn’t matter what happens during what can only be described as ‘dinner diplomacy’ between Donald Trump and Xi Jinping at the G20 — good, bad or breakthrough. That’s because the course of US-China relations — a complex relationship that blends cooperation, competition and geopolitical slugfest — is set in stone. The reasons are obvious. From tensions all around China’s near seas, to the final status of Taiwan, to the flow of hundreds of billions of dollars in trade to an arms race in Asia that will soon feature sci-fi like hypersonic weapons the future is frighteningly clear.

donald trump xi jinping showdown

Why China needs a deal with Donald Trump

From our UK edition

China’s leadership knows it has badly underestimated the Trump administration’s will to raise the stakes on the trade front. They therefore hope that today’s meeting between the president and Xi Jinping in Buenos Aires produces a return to the status quo ante. The ideal outcome for Beijing would be agreement to establish an on-going dialogue similar to the one conducted earlier this century in which China could dictate the pace of concessions in order to alleviate the pressure from sanctions. This would be based on making the most of the Trump’s positive evaluation of his personal relationship with the Chinese leader and concern in the administration at the impact of tariff escalation on US consumers and inflation.

The great Chinese power grab

From our UK edition

Five years ago President Xi Jinping gave a speech in Kazakhstan, launching the ‘Silk Road Economic Belt’, a wildly ambitious set of Chinese-backed infrastructure projects stretching through the steppes of central Asia to the Baltic Sea. Hundreds of billions of dollars later, this project more than any other has come to define China’s radical ambitions to upend a world order long dominated by Americans and Europeans. In 2015, Peter Frankopan, a dashing Oxford academic, wrote The Silk Roads, a weighty and widely acclaimed history of the ancient trading routes that once linked China to the world. It became a bestseller, partly because Frankopan, unusually for an academic, knows how to tell a yarn.

Can Dolce & Gabbana bounce back from its China disaster?

From our UK edition

Sitting in a bar in Shanghai, each person at our table is listing all the Dolce & Gabbana items they have in their closet. In a normal setting this would be crass, but today they’re deciding what to burn. Dolce is not cheap and my friends would have saved up to buy one of their pieces, yet the brand is now so unpopular that they are considering not just a boycott, but total incineration. From social media it’s clear that we are not unique in China, where the outrage against Dolce began with their adverts for their ‘Great Show’ fashion event in Shanghai. Short video clips, which were subsequently removed from Weibo, showed a docile Chinese girl attempting to eat Italian food with chopsticks with a male voice-over.

China’s crackdown on Muslims in Xinjiang is sure to backfire

From our UK edition

After repeated denials, Chinese officials finally admitted last month that they have set up internment camps in the far-western province of Xinjiang, where up to one million ethnic Uighurs, almost all of whom are Muslim, are being held. Under China’s anti-terrorism law and ‘religious affairs regulation,’ the government in the Xinjiang Autonomous Region publicly introduced the 'Regulation on De-extremification.' What it describes is a new gulag, where re-education and the suppression of Uighur identity is its main goal. There are approximately 25 million Muslims in China today, but these new draconian laws in Xinjiang are aimed solely at the ethnic Uighurs, of which there are just over 11 million.

The all-seeing state

From our UK edition

The bullet train from Beijing to Shanghai is the fastest in the world. It takes just over four hours to travel the 819-mile journey. From the train, it is impossible to ignore China’s economic success. There are cities the size of London that many westerners will never even have heard of. They are filled with glass towers and shopping centres, selling Cartier watches and Gucci bags. As the train sets off from each station, an announcement plays in both Chinese and stilted English: ‘Dear passengers, people who travel without a ticket or behave disorderly, or smoke in public areas, will be punished according to regulations and the behaviour will be recorded in the individual credit information system.

Peter Navarro slams Wall Streeters as ‘foreign agents’ hindering the White House

‘Wall Street and Goldman Sachs…here’s the most important thing,’ said Peter Navarro, the White House trade policy pointman, at a Washington think tank Friday. ‘When these unpaid foreign agents engage in this kind of diplomacy – so-called diplomacy – all they do is weaken this president and his negotiating position.’ The factionalism within the White House itself and the in-fighting over Washington’s China policy was on full display. The president’s encouragement of rival camps battling it out has often spilled over into plain view during the first two years of this administration.

peter navarro

The failure of globalization and the return of inflation

Most of today’s political debates are at heart about globalization. Terrorists, tree huggers, and Trumpists have their cultural complaints, but the great wave of Western populism is fueled by economic anger. Owing to the large amount of money that has been printed, financial asset prices have risen. But median incomes have stagnated. There is much truth in the claim that metropolitan elites have prospered, while the unvisited hinterlands have lost out, and much danger in the myth that all stakeholders benefit equally. Has globalization failed? On its economic merits, globalization can stand tall — not through increasing everyone’s income, though it has done this in many emerging economies, but by reducing everyone’s costs.

globalization

Chinese vaccine giant gets a taste of its own medicine

From our UK edition

A few months ago I wrote about the damning revelations surrounding one of China’s most trusted vaccines providers. Changsheng Biotech had been profiteering from the creation and distribution of useless vaccines for children. First, they mixed old vaccines with new ones when selling jabs meant to immunise against diphtheria, whooping cough, and tetanus (all three diseases are potentially fatal to infants); then, a year later, they faked the production dates and batch numbers of rabies vaccines. The punishment for the first drugs transgression was a mere 3.4 million yuan – less than £400,000, and only 0.0003 per cent of the company’s annual turnover. It was no more than a slap on the wrist.

Politics trumps trade

From our UK edition

‘What the hell is going on?’ That anxious wail of economic incomprehension has been heard ever since President Trump decided last January to impose tens of billions of dollars of tariffs on China and other countries, including Canada, Mexico and the member states of the EU. The wail went up another octave last week as the White House announced a further $200 billion in tariffs. Among the politicians and think tanks of Washington DC, where I have spent the past few days, there is talk of little else; talk rendered more feverish by the prospect of midterm elections in November. A hundred billion here, a hundred billion there — pretty soon we could be talking real money.

How China sees the trade war

What started out as one of those trade wars that Donald Trump believes are ‘easy to win’ has turned into a far broader confrontation between the US and China which is set to expand and deepen further. In his no-nonsense manner, the President has brought the era of ‘constructive engagement’ between the world’s two largest economies to a shuddering halt. Gone are the days when successive administrations thought economic growth would make the Chinese and their leaders ‘more like us’. Instead, the last major country ruled by a Communist Party is identified as a strategic competitor whose further economic political and military expansion has to be checked in America’s national interest.

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Trading blows

From our UK edition

Donald Trump campaigned as an unrepentant protectionist and, on the face of it, he has lived up to his word. He has torn up the US-Pacific free- trade partnership, threatened the European Union with trade wars and imposed tariffs on billions of dollars’ worth of imports from China. As you might expect, Beijing’s retaliation has been immediate — as has the damage. American cherry growers, for example, estimate that they have lost about $85 million after suffering retaliatory surcharges. Farmers are now having to be bailed out by the US government. Yet this week Trump has doubled down, introducing tariffs on another 6,000 Chinese imports. When China responds in kind, he says, America will move on to phase three.

The Vatican is strengthening its ties with China. But at what cost?

From our UK edition

In the last decade or so there has been a thawing of relations between China and the Holy See. Sure, China can still be harsh in its treatment of some Catholics and the Vatican continues to maintain diplomatic relations with Taiwan, but a change is coming. Earlier this year, there was talk of a potential deal between Beijing and the Vatican, which would see China recognising the Pope as head of Chinese Catholics, in return the Vatican would give the Chinese government a say in the appointment of bishops. This week, we hear from two sources close to the negotiations that the deal is to be signed imminently – before the end of September. It’s no secret that Pope Francis has designs on China.

Letters | 13 September 2018

From our UK edition

No debt without credit Sir: Liam Halligan and William Galston set out, convincingly, all the causes and effects of the 2008 crash, painting a doom-laden picture of the future of the world (‘The world the crash made’, 8 September). Not once do they mention China, which has to be the beneficiary of the consequential increase in global debt. Neither mentions that for every debtor there is a creditor. When I first worked in the financial world many years ago, the US was the world’s biggest creditor, Glass Steagall reigned supreme and, with growth slow but steady, everything seemed under control. But the Big Bang and Clinton’s repeal of GS opened the floodgates, allowing personal greed to determine the operation of the financial system.

The truth about China’s investment in Africa

From our UK edition

The Spectator’s leading article last week ended up saying ‘It is unrealistic to expect that we can achieve what China has in Africa over the past decade.’ If we were to have done that, I for one would wish to resign my British nationality. What they have done there for the past 30 years is to systematically rape and pillage the continent. China has insidiously worked its way into Africa by establishing ‘private’ contractors who then bid for building work and underbid all local opposition by being state-funded. Many local firms were thus put out of business. Their ‘aid’ projects — starting with the ill-fated TanZam railway — were funded not by grants but by loans accepted by weak and venal governments.

Letters | 6 September 2018

From our UK edition

Chinese burn Sir: Your leading article last week ended up saying ‘It is unrealistic to expect that we can achieve what China has in Africa over the past decade.’ If we were to have done that, I for one would wish to resign my British nationality. What they have done there for the past 30 years is to systematically rape and pillage the continent. China has insidiously worked its way into Africa by establishing ‘private’ contractors who then bid for building work and underbid all local opposition by being state-funded. Many local firms were thus put out of business. Their ‘aid’ projects — starting with the ill-fated TanZam railway — were funded not by grants but by loans accepted by weak and venal governments.

Books Podcast: How the 2008 crash changed the world

From our UK edition

In this week’s Books Podcast, I’m joined by the economic historian Adam Tooze, author of the new book Crashed: How A Decade of Financial Crises Changed The World. How are the subprime collapse in the US and the Eurozone crisis that came after linked? Why did a cartel of mega-wealthy businessmen do a good job at rescuing the US from disaster, and a group of well-intentioned political technocrats make such a hash of it in Europe? And how is the Balance of Financial Terror between the US and China holding up these days?

China’s child vaccine scandal spells big trouble for president Xi

From our UK edition

The word changsheng means ‘long life’. But Gao Junfang’s Changsheng Biotech has long been in the business of robbing its victims of just that. Since taking over the company in the nineties, Gao oversaw the privatisation of the state-owned big pharma and turned it into her personal dynasty. She secured majority shares and planted her husband, her children, and their partners into the meatiest roles in the company. For decades, Gao was the entrepreneurial poster child – from rags (sort of) to riches, a walking example of the possibilities of China’s economic growth, and an idol especially for women. But last month, Gao was arrested along with 17 other people in the company. As of 2017, Changsheng had sold 250,000 dud DPT vaccines.