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CHINA E-LOBBY UPDATE: JULY 14, 2004
Dragon in the Dark: How and Why Communist China Helps Our Enemies in the War on Terror is now available: here, at Amazon, or call 1-888-280-7715.
TOP STORY: COMMUNISTS TO STICK TO HARD LINE ON HONG KONG AND TAIWAN
JIANG ZEMIN�S NUMBER TWO IN CHARGE ON HK; HU JINTAO IN AGREEMENT WITH HIM;
DEMOCRATS IN THE CITY DIVIDED; JIANG ZEMIN LOOKS TO KEEP CMC CHAIR UNTIL 2007
CNN�s Willy Lam reports that Communist China�s tough-line on Hong Kong and Taiwan is not going away anytime soon. Lam notes �quite a unanimity of views within the CCP's top echelons on the need for tough tactics� (Jamestown Foundation via Epoch Times, HK) as the reason for the hard line being driven by People�s Republic Vice President Zeng Qinghong.
Zeng, the cadre fingered to be behind the shooting of Falun Gong practitioners in South Africa last month (see News of the Falun Gong War, plus 6/30 and last Updates), has been able to take the lead on Hong Kong thanks to the backing of his mentor Jiang Zemin, who as Central Military Commission Chairman remains the most powerful man in the PRC.
Zeng has also made sure People�s Republic President and Party boss Hu Jintao is in line with his actions, thus putting the lie to the notion of Hu as a �reformer� within the party.
Among Zeng�s triumphs, according to Lam, is his policy of �driving a wedge between the radical and moderate camps of (Hong Kong)'s still-fragile pan-democratic alliance.� Some pro-democracy politicians are trying to �open up new avenues of dialogue with the CCP leadership,� leading to criticism from those rightly more skeptical of the regime.
Lam also had this interesting tidbit of information: Jiang is now likely to keep his post until �late 2007.� That would be just long enough to reach the next Party Congress, during which many in Jiang�s faction are hoping to replace Hu with Zeng (see 11/20/02 Update).
Moreover, Zeng�s moves on Hong Kong reveal �that Beijing is no longer banking on a soft sell� to convince Taiwan of the joys of �reunification.� Instead, the Communists are now planning to use �military intimidation as well as boosting the island's economic dependence on the mainland,� in order to forcibly absorb the island democracy.
COMMUNIST CHINA LEANS ON RICE, BASHES U.S. POLICIES ON TAIWAN AND HONG KONG
Meanwhile, Communist China continued its rhetorical offensive against American arms sales to Taiwan and its criticism of the PRC�s heavy-handedness in Hong Kong, saying these things �would harm bilateral relations� (Washington Post). The Communists were particularly incensed about the Taiwan arms sales (Bill Gertz, Washington Times).
Both Jiang and Hu met with National Security Advisor Condoleezza Rice to demand the U.S. �adhere to the three joint communiqu�s, follow a one-China policy and oppose Taiwan independence� (United Press International via Washington Times). Note to watchers of the Jiang-Hu battle: Rice saw the CMC Chair first. Also reporting: BBC
OTHER AMERICAN-RELATED NEWS
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PRC MILITARY-OWNED FIRM SENDS DELEGATION TO U.S. FOR PRIVATE SPACE TALKS
Bigelow Aerospace hosted a delegation from Great Wall Industries for talks on �a joint U.S.-China space venture� (Newsmax). What�s wrong with that? Great Wall, owned by a PRC military-owned firm, �sold nuclear tipped M-9 missiles to Pakistan. In response, Great Wall was banned from purchasing U.S. controlled technology, including space technology.�
ANALYSTS AGREE: COMMUNIST CHINA WILL SOON BE A SUPERPOWER
Analysts attending a conference at the Carnegie Endowment last week agreed that Communist China would soon rise to superpower status. How they would then behave was a matter of disagreement, with many analysts convinced the Communists would become, in the words of analyst Russ Munro, �America's strategic adversary� (Washington Times).
LORAL CORPORATION HEAD STILL A MAJOR DEMOCRATIC DONOR
Bernard Schwartz, head of Loral Corporation, remains a major contributor to the Democratic Party despite his firm�s $20 million fine for �passing advanced military technology to the Chinese Army� (Newsmax). During those Clinton-era technology transfers, Schwarz was the largest personal donor to the Democratic Party.
VIAGRA PATENT REVOKED BY COMMUNIST CHINA
Communist China revoked its patent for Viagra�s key component: sildenafil citrate. The PRC claimed its maker � Pfizer � did not provide enough information on the component�s production. Pfizer angrily responded �that it was not asked for the information when the patent was granted, three years ago� (BBC).
American business groups ripped the move as �a mockery of (PRC pledges) to protect intellectual property.� Also reporting: Radio Free Asia via Epoch Times, Time Asia
PRC AID TO LOCAL SEMICONDUCTOR PRODUCERS DROPPED AFTER U.S. OBJECTIONS
Communist China has ended plans to offer �a sales tax rebate for Chinese-made semiconductors that made imported chips more expensive� (BBC) after the U.S. complained to the World Trade Organization. The complaint will likely be withdrawn.
MORE REPUBLIC OF CHINA (TAIWAN) NEWS
COMMUNIST CHINA TO CONDUCT MOCK INVASION, DEMONSTRATE �AIR DOMINANCE�
As if to emphasize the point above, the PRC military is planning �a dress-rehearsal, war-games assault on Taiwan for the later this month� (World Net Daily). It would be the first ever invasion exercise, although the Communists have committed numerous military exercises focused on Taiwan in thinly veiled attempts to intimidate the island democracy.
The exercises, which will take place just 150 nautical miles away from ROC territory, will also be used by the PRC to �demonstrate its ability to dominate air space over Taiwan, an essential element in any invasion of the island� (Agence France Presse via eTaiwan News).
COPS LOOKING FOR CHEN SHOOTING SUSPECT
Police in Taiwan have pointed to a suspect in the shooting of President Chen Shui-bian. The particular suspect was described as ��a gangster-like� supporter of the president had threatened to shoot him� (BBC), supposedly in the hopes it would earn Chen sympathy votes. Chen was narrowly re-elected (see 3/24 and 3/31 Updates).
It is all but certain that Chen�s �pan-blue� opponents will cite this as proof Chen�s election was due to the shooting, and thus try to undermine Chen�s legitimacy. The �pan-blues� have never come to grips with the fact that half the electorate rejected them because of their increasing coziness with Communist China after Chen�s first election win in 2000.
COMMUNISTS ANGRY AT SINGAPORE DEPUTY PM FOR VISITING TAIWAN
Lee Hsien Loong, Deputy Prime Minister of the island city-state of Singapore, visited Taiwan Saturday, meeting with President Chen Shui-bian during the trip. Communist China�s retribution was swift - central bank governor Zhou Xiaochuan cancelled a trip to Singapore two days after Lee�s visit (United Press International via Washington Times).
No news was reported on Tibet; for news on Hong Kong see Top Story.
NEWS ON THE FALUN GONG WAR
ONE THOUSANDTH DEATH RECORDED
Falun Gong lost practitioner number 1,000 to the Communist crackdown against the spiritual movement that began in July 1999. Liu Yuzhu was the 1,000th practitioner to die � of which we know. Some sources within the PRC put the actual death toll at closer to 5,000. Reports: China Support Network, Epoch Times
OUTRAGE OVER SHOOTING OF PRACTITIONERS IN SOUTH AFRICA CONTINUES
The world continues to express shock and rage at the Communist-ordered shooting of Falun Gong practitioners (see 6/30 and last Updates). Former British diplomat Lord Francis Thurlow ripped the Communists for �hiring hit men to conduct assassinations in other countries� (Epoch Times 1), and called on the world �to help put an end to the persecution.�
South Africa�s Embassy in Australia told the families that a �full investigation is under way by police officials� (Epoch Times 2), and an official at the embassy expressed sympathy for the practitioners �making many sacrifices, and in some cases the ultimate sacrifice to obtain their freedom of belief.�
Meanwhile, hundreds of protestors Australia called on Prime Minister John Howard to �do a through investigation, to find out who done this� (Epoch Times 3) in the words of shooting victim David Liang.
AS COMMUNISTS GO SILENT ON THE SHOOTING; TAIWAN OFFERS HELP TO VICTIMS
The PRC silence on the matter is, for many, more evidence of its role in the shooting (Epoch Times 1). The cadre sources finger as the man behind the attack was Zeng Qinghong (see last Update), number two in CMC Chair Jiang Zemin�s �Shanghai� faction. Jiang began the brutal Communist crackdown against Falun Gong in July 1999.
Meanwhile, in another example of the sharp differences on either side of the Taiwan Strait, the island democracy �offered the Falun Gong practitioners assistance and emergency aid.� Lin Cho-shui, a legislator from Taiwan�s ruling Democratic Progressive Party, noted that his people �will be in grave danger of similar persecution� (Epoch Times 2).
WEAPONS EXPERT SAYS SHOOTING WAS PROFESSIONAL
An unnamed weapons expert told the Epoch Times that the assailant in the shooting �received professional military weapon training,� and �was possibly hired by someone to deter the passengers from arriving at their destination, as well as send a �warning� to the passengers.� The weapon used was an AK-47 assault rifle.
EDUCATION MINISTER VISITS SOUTH AFRICA; PRACTITIONERS BARRED FROM EVENT
Communist Education Minister Chen Zhili, another mover, shaker, and Falun Gong killer from CMC Chair Jiang Zemin�s �Shanghai� faction, visited South Africa to take part in an event of Chinese culture. Naturally, some �local Chinese toughs� (Epoch Times) were hired to keep Falun Gong practitioners away.
OTHER HUMAN RIGHTS AND FREEDOMS NEWS
HELIONGJIANG PETITIONERS THREATEN SUICIDE IF THEIR PETITION IS NOT HEARD
A group of 23 protestors from Heilongjiang province took to the roof of a building in the PRC capital and threatened to jump if their petitions were not heard (Radio Free Asia via Epoch Times). Thousands of other petitioners voiced support from below in a street demonstration before police arrested the twenty-three.
POLICE ATTACK GUANGDONG EVICTEES
Communist attacked police a group of Guangdong evictees protesting against the sale of the land by local cadres without telling them (in Communist China, residents can own homes, but not the land under them). Warning shots were fired, and the police beat up several protestors. Report: Radio Free Asia via Epoch Times
HEBEI POLICE PROTEST SELLING OF THEIR JOBS BY LOCAL CADRES
Meanwhile, a group of police from Hebei Province held their own protest in front of the Beijing Ministry of Public Security. They were protesting �because the positions at their assigned work units after graduation were sold by the local government officials, which resulted in them losing their jobs� (Epoch Times).
CORRUPTION NEWS
JIANGXI TOP PROSECUTOR UNDER INVESTIGATION FOR CORRUPTION
Communist China has opened a probe into Ding Xinfa, the lead prosecutor in Jiangxi Province. A dissident from Jiangxi told RFA (via Epoch Times) that while Ding �made arrangements for his family� (his sons are at the center of the probe), the likely reason Ding is under suspicion is �all about power struggles,� not a desire to clean up the province.
�PRIVATE� FIRMS SUCCEED BY BUYING OFF CADRES
A leading cadre accidentally admitted the extent �private� businesses must go to survive in Communist China: a number of cadres charged with corruption have received �money, prestige and women� (Epoch Times) from �private� firms desperate for a patron.
EPIDEMIC NEWS
COMMUNIST CHINA FINALLY ADMITS TO BLOOD-DRIVE ROLE IN AIDS, BUT NOT IN HENAN
As reports continued to warn Communist China it could face an AIDS-infected population of over 10 million in just six years, the PRC-run Xinhua partially came clean about the horribly unhygienic blood drives of the 1980s, saying it could lead to �a surge in the number of full-blown AIDS patients� (RFA via Epoch Times) in Hebei province.
Unfortunately, the blood drives have already led to an AIDS surge in Henan, where the HIV-positive population is already at one million (see 9/4/02 and 9/25/02 Updates). The Communists continue to remain silent on the role of the blood scheme there.
WEN JIABAO ADMITS TO SPREAD OF AIDS; KEEPS SILENT ON BLOOD DRIVE�S ROLE
Meanwhile, PRC Premier Wen Jiabao �acknowledged that Aids has reached every level of society in China� (BBC), and said his regime �needed to make fighting Aids its top priority.� However, Wen said nothing of the aforementioned blood drive and its role in the epidemic.
OTHER MAINLAND NEWS
BEIJING CLOSES FACTORIES FOR A WEEK TO CONSERVE POWER
The Communist power problem has hit the capital, where over 6,000 plants will close �for one week to conserve electricity this summer� (United Press International via Washington Times). For more on the power shortage, see 12/10/03, 12/17/03, 3/31, 6/10, 6/23, and last Updates. Also reporting: Voice of America via Epoch Times
COMMUNIST CHINESE BANKS LOOKING TO UNLOAD BAD DEBT
Several of Communist China�s largest banks, including its central bank, are trying to sell their non-performing loans to cut down on bad debt. While Communist China admits to bad debt totaling 8% of all debt, outside analysts, including one cited by the Voice of America (via Epoch Times) put the bad loan figure at 50%.
NORTH KOREA NEWS
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COMMUNIST CHINESE POLICE SHOOT AND KILL NK REFUGEE
Communist police, in the process of arresting North Korean refugees trying to escape to Mongolia, shot at the refugees, killing one. While one refugee support group said the shooting was accidental, the cause of this tragedy is the PRC policy of returning to North Korea any refugee it can find (Broadcasting Corporation of China via Epoch Times).
OTHER INTERNATIONAL NEWS
JAPANESE SURVEY SENKAKU ISLANDS; COMMUNISTS ANGRY
Japan is conducting a geological survey of the Senkaku Islands, in part �because it feared that a new Chinese natural gas plant might draw supplies from Japanese territory� (BBC). The plant is less than 4 miles away from the islands. Communist China, which claims the Senkaku chain as its own (see 1/21, 3/24, and 3/31 Updates), blasted the move.
INDIA TO PASS PRC IN POPULATION BY 2035
India, longtime rival of Communist China, is growing in population to the point where it will pass the PRC and become the most populous nation in the world in 2035. This will come despite a very dangerous gender imbalance in India. Report: The Guardian (UK)
FOREIGN INVESTMENT UP AGAIN IN COMMUNIST CHINA AS UK FIRM BUYS IN . . .
Foreign investment continues to flow into Communist China, to the tune of nearly $8 billion in June of this year (BBC 7/13). One of the many foreign firms being lured into the mythical PRC market is the UK supermarket chain Tesco, which shelled out $260 million for their part of a joint venture with PRC firm Ting Hsin (BBC 7/14).
. . . AND MG ROVER SELLS PARTS BUSINESS TO POUR MORE MONEY INTO PRC
Meanwhile, British auto firm MG Rover �sold off its parts business for more than �100m� (BBC), which will go to its joint venture with Shanghai Automotive. Twenty-nine employees now must relocate to keep their jobs due to MG Rover�s pursuit of �one billion customers.�
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