Yesterday�s outrage is certainly on the minds of all of you this morning.  It was despicable and sickening in the extreme.   We must deal with whoever committed this attack, but that does not make the People�s Republic of China any less evil, or less of a threat.  In fact, depending upon which group is responsible for the outrage, it may even be more so.

Sign the Boycott Petition: In reaction to the decision of the International Olympic Committee awarding Beijing the 2008 Olympic Games, the China e-Lobby has begun a petition for an American boycott of those Games.  Those who wish to e-sign the petition can do so at the following page (part of the China e-Lobby web site).

CHINA E-LOBBY UPDATE: SEPTEMBER 12, 2001

COMMUNIST CHINESE REACTION TO THE ATTACK: IT�S YOUR OWN FAULT
OFFICIAL CONDOLENCES MIXED WITH CRITICISM OF �UNILATERALISM�

While Communist China quickly joined nearly everyone else in the world in sending condolences to the U.S. for yesterday�s attack, academics in Communist universities had the audacity to blame the victims: us.  They cited �unilateralism� and �lack of political dialogue� when the issue of the attack came up.  Link:
CNN: Willy Wo-Lap Lam

Pang Zhongying, a well-known foreign affairs analyst in Communist China, said of the attack, �The U.S. is the only superpower in the world. Yet its main enemy is not the others but itself.�

TOP STORY: PRC SELLS ARMS TO ROGUE STATES

NORTH KOREA, IRAN, LIBYA, SUDAN, AND PAKISTAN ON COMMUNIST CUSTOMER LIST

A CIA report to Congress said Communist China sold or transferred weapons and /or military technology to nearly every �rogue state� on the planet from July to December of 2000.  The list of Communist sales included �missile technology and related goods to Pakistan, Iran, North Korea and Libya,� and  �advanced conventional arms to Pakistan, Iran, Sudan and other nations.�  Link: 
Washington Times

The report was made public over the weekend and detailed �missile-related technical assistance� to Pakistan, plus �dual-use missile-related items, raw materials, and/or other assistance� to Iran, North Korea, and Libya.  North Korea, the PRC�s Communist ally for over 50 years, is also a major arms supplier, despite the suffering of millions due to a famine caused by economic mismanagement.

OTHER AMERICAN-RELATED NEWS
FAMILY OF ANOTHER U.S. CITIZEN HELD IN PRC MAKE CASE TO PUBLIC

Fong Fuming, a 66-year-old engineering consultant and U.S. citizen since 1994, has been in a Communist jail without charge for 18 months.  Jerome Cohen, his U.S. attorney, said the family waited to go public in the hope that �a low-key approach might more effectively win his release.�  Despite �some of the technical and commercial documents� possibly being �state secrets,� he has never been indicted.  Link:
Washington Post

ANTI-BEIJING DEMOCRAT TAKES LEAD IN BATTLE FOR HOUSE MINORTY WHIP
California Congresswoman Nancy Pelosi, one of the most anti-PRC Democrats in Washington, has become the leading candidate to replace outgoing House Minority Whip David Bonior.  Pelosi is Chair of the Congressional Working Group on China, and has been a consistent critic of soft-on-PRC policies from both the Clinton and Bush Administrations.  She is running against Steny Hoyer of Maryland.  Link:
Washington Post

RUMSFELD SAYS PRC BUILDUP SHOWS �SERIOUSNESS OF PURPOSE� FOR GLOBAL POWER

Defense Secretary Donald Rumsfeld said the Communist Chinese missile buildup � including mobile ICBMs (See Other Mainland News) � reveals a �seriousness of purpose� behind its oft-stated ambitions for global power.  Rumsfeld also noted the �double-digit� increases in the PRC�s defense budgets in recent years.  Link:
Washington Times

COMMUNISTS DENY SELLING NUCLEAR MISSILE PARTS TO PAKISTAN

A �senior Chinese diplomat� denied U.S. charges that China Metallurgical Equipment Corp. � a state-run firm � sold missile parts to Pakistan.  Reports of the sale led to sanctions against the PRC (see last week�s update).  Link:
Washington Times

DISPUTE OVER U.S. INSURANCE FIRM MAY BLOCK WTO ENTRY FOR PRC

The Communist Chinese effort to enter the World Trade Organization � which included the U.S. granting the PRC Permanent Normal Trade Status last year � either hit or avoided another snag.  BBC reported that Communist assurances to the European Union that an American insurance firm would have to form a partnership with Beijing to open up new branches �could remove the last obstacle to agreement.�  Link:
BBC

CNN, however, reported that the American firm � American International Group � is already operating in Communist China, and as such feels it does not need to form a 50-50 partnership in starting new branches.  The firm �expected the U.S. government to defend that position,� which even BBC admitted could �inflame the row rather than ease it� (see above link).  Links: 
CNN, Washington Post

HUMAN RIGHTS AND FREEDOMS NEWS
FROM THE FALUN GONG WAR: BUSH ASKED TO HELP CHUNYAN TENG

Falun Gong practitioners have asked President Bush to help win the release of Dr. Chunyan Teng, a New York doctor arrested in the PRC for exposing Communist abuse of Falun Gong followers in psychiatric hospitals.  She has been missing since May 2000, but unlike other arrests, the Communists have denied ever arresting her.  Link:
Washington Times

JIANG DENIES HE�S �DICTATORIAL�

Communist President Jiang Zemin denied he was a dictator this week, insisting that the Politburo Standing Committee � which he chairs � makes all decisions.  While Communists rarely admit the grip in which they hold the country, Jiang was answering the �dictatorial� charge from an unusual source, the increasingly angry Maoist hard-liners upset at his decision to let businessman into the Communist Party.  Link:
CNN - Lam

OTHER MAINLAND NEWS

JIANG MAY REMAIN HEAD OF CENTRAL MILITARY COMMISSION NEXT YEAR

Willy Wo-Lap Lam (CNN) reports that Communist President Jiang Zemin may be staying on as head of the Central Military Commission after all.  The CMC Chairmanship is Jiang�s least publicized but possibly most powerful post.  He offered to retire from all his posts last month (see also previous update) but since then his military supports, including �a few dozen generals,� have asked for him to stay on.  Link:
CNN - Lam

COMMUNIST CHINA READIES FIRST MOBILE INTERCONTINENTAL BALLISTIC MISSILES

Communist China is about to deploy its first mobile intercontinental ballistic missiles (ICBMs) around the end of this year, according to a Pentagon assessment.  The ICBMs would be able to hit the Western United States.  Deputy CIA Director John E. McLaughlin has said the PRC will �increase its strategic warheads several-fold by 2015, though to levels still well below those of the United States or Russia.�  Link:
Washington Times

COURT ORDERS OVER $1 MILLION TO FAMILY OF AIDS SUFFERER

A court in Jiangsu province has awarded more than $1 million to the family of a deceased AIDS victim.  She was infected via a blood transfusion at a Communist hospital in 1998.  Her husband and daughter are also infected.  The court found the hospital liable for poor blood screening.  This could have a dramatic effect on AIDS victims from the 1980�s PRC blood drive, if the Communists pay up, a dubious prospect.  Link:
BBC

INTERNATIONAL NEWS
PRC PRIME MINISTER VISITS RUSSIA TO IMPROVE TIES

Zhu Rongji, Prime Minister of Communist China, visited his Russian counterpart Mikhail Kasyanov and President Vladimir Putin, to enhance already good relations between Beijing and Moscow.  Russia is already Communist China�s biggest supplier of military equipment, particularly naval vessels and planes.  Link:
CNN, BBC

REPUBLIC OF CHINA (TAIWAN) NEWS

MATSUSHITA BANNED FROM PRC FOR CALLING TAIWAN �REPUBLIC OF CHINA�

The Communists have banned Japanese mobile phone company Matsushita from doing business in the PRC.  The move comes after the Communists discovered the phones referred to Taiwan as �ROC� � or the Republic of China.  Sadly, Matsushita folded quickly and is �in the process of apologizing.�  Link:
BBC

Hong Kong was quiet this week.

TIBET NEWS

COMMUNISTS INVITE JIMMY CARTER TO TIBET

Communist China extended an invitation to former President Jimmy Carter to visit Tibet and, according to the BBC, �make recommendations on how to resolve its differences with the Dalai Lama.�  Carter said the invite came up �after he had raised American concerns about Tibet with the Chinese President Jiang Zemin.�  Carter switched diplomatic recognition from Taiwan to the PRC in 1979.  Link:
BBC

XINJIANG/EAST TURKESTAN NEWS

BRITISH PETROLEUM PULLS OUT OF PIPELINE DEAL

In another sign of just how hard it is to make a profit in Communist China, British Petroleum announced it was pulling back from a deal for a major gas pipeline in the restive region.  The deal, announce in February, fell through despite the offer of a majority stake in the pipeline from the PRC-run PetroChina.  Link:
CNN

The Communists are hoping for many things with this pipeline, which some are saying may not happen now.  One of them was using the economic development to cool off an anti-Communist independence movement that would call the region East Turkestan � the same strategy that has so far failed in Tibet.

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