TOP STORY: ISRAEL FREEZES ARMS DEALS WITH COMMUNIST CHINA
The BBC, citing Ha�aretz (Israeli) reported that Israel has �agreed to suspend sales of arms and security equipment to China at the request of the United States.� The arms sales suspension was reported mere minutes before this update was sent out. In 2000, Israel had agreed to a U.S. request not to sell PHALCON air radar systems to Communist China (see 6/12/00 update).
OTHER AMERICAN-RELATED NEWS
HUGHES CORPORATION, BOEING PARENT CHARGED WITH HELPING PRC MISSILE PROGRAM
The State Department leveled 123 charges on Hughes Satellite Corporation and its parent firm Boeing, all involving helping �the transfer of satellite and rocket data to Beijing� (BBC). The violations go as far back as 1995, during which Hughes was launching satellites off Communist Chinese missiles. Also reporting: Washington Post
HUMAN RIGHTS AND FREEDOMS NEWS
LIAOYANG LABOR ACTIVISTS FACE �SUBVERSION� CHARGES, POSSIBLE EXECUTION
Communist China has charged two labor activists still in jail for leading last year�s Liaoyang protests with �subversion,� (BBC) a charge that in the PRC includes the death penalty, according to China Labour Watch. Two other Liaoyang labor leaders were released last week � on the condition that they help the Communists gain evidence against other protestors (see 3/13/02, 3/20/02, 3/27/02, and 12/26/02 updates).
COMMUNIST CHINA SHUTS DOWN FIFTEEN THOUSAND INTERNET CAF�S
Over 15,000 internet caf�s have gone by the wayside in Communist China, shut down by the Communists themselves for what they called �safety measures� (BBC). The excuse for all the closings is a fire in an internet caf� last June (see 6/19/02 update), but many have already ripped the Communists for using the accident as a cover to intensify their anti-internet crackdown.
POLICE ON HIGH ALERT
Willy Wo-Lap Lam, CNN, reports that Communist police �have been given orders to raise their alert against criminal and destabilizing forces in the run up to the New Year and Lunar New Year.� While for the most part this deals with run-of-the-mill crime, Lam notes that the Communists are also concerned about Falun Gong and various �separatists.�
OTHER MAINLAND NEWS
MASSIVE WATER PROJECT GETS FINAL GO AHEAD
The $60 billion project to divert massive amounts of water from southern Communist China to the drought stricken north won final approval of the Communist regime last week. Roughly 400,000 people will be forced to move as a result of the plan. Critics are already raising the possibility of floods, polluted water, and the possibility of corruption on a �monumental scale� (BBC).
ANOTHER WIN FOR THE SHANGHAI FACTION
Jiang Zemin�s Shanghai faction scored another victory with the likely ascension of Hua Jianmin � a faction member � to the post of Secretary-General of the State Council, effectively the fellow who �oversees the day-to-day running of the State Council, or cabinet� (Willy Wo-Lap Lam, CNN).
Jiang, the outgoing PRC President and not-going-anywhere Chairman of the Central Military Commission, already has a majority on the Politburo Standing Committee (see 11/20/02 update).
PRC APPOINTS NEW CENTRAL BANKER, HENAN PARTY CHIEF
Zhou Xiaochuan is the new head of the People's Bank of China � the Communist central bank. The Communists appointed him to the post Monday (BBC). Meanwhile, Henan province, land of one million blood-drive AIDS victims, has a new party chief: 47-year-old �fifth generation� star Li Keqiang (CNN).
COMMUNIST CHINA SENDS FOURTH MODULE INTO SPACE
Following its launch of the Shenzhou IV spacecraft earlier this week (United Press International via Newsmax.com), Communist China announced plans to launch a manned spacecraft �in the second half of 2003� (BBC). Also reporting: CNN
INTERNATIONAL NEWS
COMMUNIST CHINA BLASTS U.S. ON NORTH KOREA
Communist China, through its mouthpiece China Daily ripping the U.S. for its attempts to prod its fifty-plus-year ally � Stalinist North Korea to drop its nuclear weapons program, and in particular for Secretary of Defense Donald Rumsfeld�s comments on the matter (CNN). Rumsfeld had earlier said the U.S. could fight Iraq and North Korea at the same time if it wanted to do so.
SOUTH KOREA LOOKING FOR HELP FROM COMMUNIST CHINA ON NORTH KOREA
Meanwhile, the South sent an envoy to the Stalinists� oldest ally � Communist China � in an attempt �to persuade China to get tougher with Pyongyang over its revived nuclear program� (CNN). The U.S. has also been pushing the PRC � North Korea�s ally for 50 years � to reverse course on the North. Outside of diplomatic rhetoric, it has come to naught. Also reporting: BBC, Washington Post, Newsmax.com.
For more on the actions by Stalinist North Korea and world reaction to it, sign up for the North Korea Report, sent every Monday
JAPAN RENTS DISPUTED ISLANDS FROM OWNERS
Japan has rented three islands in the Senkaku chain from their owners in an effort to strengthen their claim the disputed archipelago. Communist China, Taiwan, and Japan claim the islands. Report: CNN
REPUBLIC OF CHINA (TAIWAN) NEWS
COMMUNIST CHINA MAY TRY TO FORCE REUNIFICATION BY 2010
The Research, Development and Evaluation Commission, a Taiwanese government agency, chillingly warned its people that �Taiwan shouldn't rule out the possibility that China will set the timetable to unify with or stage military intimidation against Taiwan by 2010� (Washington Times). The Communists have never accepted the legitimacy of the ROC and have over 400 missiles pointed at it, adding 50 each year.
MA YING-JEOU RIPS INTO COMMUNIST CHINA ON HUMAN RIGHTS
Ma Ying-jeou, Mayor of Taipei and a possible Kuomintang (Nationalist) candidate for President against Chen Shui-bian next year, ripped Communist China for its human rights abuses, and flatly stated that �before the rehabilitation of [Tiananmen demonstrators] reunification cannot be discussed.� (National Review Online, Jay Nordlinger, third-to-last bullet).
It was the toughest statement on Communist China in quite some time from an office holder in the Nationalist Party, which has become much cozier with the PRC since President Chen � a Democratic Progressive � defeated its nominee in 2000.
No news was reported from Hong Kong or Tibet this week.
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