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CHINA E-LOBBY UPDATE: JULY 17, 2002

TOP STORY: TWO REPORTS SHOW GROWING PRC BELLIGERENCE AND STRENGTH
PENTAGON SAYS COMMUNIST CHINA USING �COERCIVE STRATEGY� AGAINST TAIWAN
REPORT CITES BUILDUP ON MISSILES, ANTI-SHIP SUBS FOR USE AGAINST ROC
A Pentagon report released over the weekend analyzed Communist China�s missile buildup and acquisition of Russian submarines with high-tech anti-ship missiles and concluded that the so-called People�s Republic is conducting a �coercive strategy� against Taiwan (CNN).  The report states that Communist China is looking at �credible military options to force reunification on the ROC (BBC 1).

The report also noted the PRC�s danger to other nations, citing its $65 million military budget � the largest in Asia � and the aforementioned Russian acquisitions (
Willy Wo-Lap Lam (CNN)).  The report also noted that the Communist military forces �increasingly focus on the United States as an enemy.�  For more on Russia�s arms sales to Communist China, see the June 26 update.

According to
Bill Gertz (Washington Times), Communist China�s missile buildup threatens �Japan and the Philippines as well.� The report also cited the PRC�s advances in intercontinental ballistic missiles (ICBMs).  A Communist general once threatened to nuke Los Angeles if the U.S. came to Taiwan�s defense.  The PRC ripped the report (Cybercast News 1, BBC 2).

While Gertz put the number of missiles at 350, the
Taipei Times put the figure at over 400 (which would be more in tune with earlier reports of the Communists adding 50 missiles a year).  The ROC newspaper also reported two more tests of the PRC Dong-Feng-21A missile. Taipei Times Link Courtesy Ron Vogel: Member since 2000

In reaction to the Pentagon report, an ROC military spokesman said Communist China should �drop the idea of using force to settle the differences between the two sides,� and said the island democracy was prepared to defend itself if necessary (
Cybercast News 2).  ROC Foreign Minister Eugene Chien also ripped the PRC for its heavy missile buildup.
For more on the island democracy, see
Republic of China (Taiwan) News

CONGRESSIONAL COMMISSION EXPANDS ON PENTAGON REPORT, SHOWS PRC GROWING STRONGER AND MORE HOSTILE TO U.S. AND SELLING ARMS TO TERRORIST STATES
Meanwhile, the U.S-China Security Review Commission, a bipartisan commission created by Congress, called for the U.S to get tougher on Communist China as it continues to grow in economic and military power.  The commission noted that the PRC is �one of the world�s leading sources for missile-related technology and nuclear materials for terrorist-sponsoring nations.� (Washington Post).

The Commission ripped the �engagement� policy of the last 30 years, citing it with �a very substantial role in contributing to (the PRC�s) rise in military and economic strength� (
Fox News).  To counteract that, the Commission called for, among other things, blocks on access to U.S. capital markets for PRC-run firms, and identifying �imported goods made using prison labour in China� (BBC).

PRC PRESIDENT PRAISES COOPERATION WITH RUSSIA; MORE ARMS SALES MAY BE IN STORE
Just a few days after the reports were released, Communist President Jiang Zemin sent a message to Russian President Vladimir Putin praising �cooperation� between the two to establish �multi-polarity� � the Communist code word for building an anti-American coalition.  As the Pentagon report noted, the PRC is hoping Russian-made arms can shift the cross-strait military balance away in its favor.

Willy Wo-Lap Lam (CNN) also noted that the PRC is looking at more Russian weaponry, including more �Su-30 jet fighters, AA-12 air-to-air missiles and Kilo-class submarines.�  Lam first mentioned the Su-30s � along with joint Russian/PRC military exercises � in a story that can be found in this update�s International News Section.  Russia is Communist China biggest supplier of weaponry.

NEWS ON COMMUNIST CHINA AND THE TERRORIST WAR
COMMUNIST CHINA TRIES, AND FAILS, TO TIE UIGHURS TO OSAMA BIN LADEN
Communist China tried the anti-terrorist card again in East Turkestan, trying to tie the occasional lone violent act to Osama bin Laden and al Qaeda.  The Washington Post, however, found that no one in the East Turkestani independence movement had ties to the ethnic violence or to America�s enemies, and that the Communist crackdown has led to the execution of many innocent Uighur Muslims.

Communist China�s brutal treatment of the Uighur population has led many to support an independent state � called East Turkestan � in the region the Communists call Xinjiang.  The PRC has repeatedly charged the Uighurs � arguably the most pro-American Muslims on Earth � with ties to bin Laden, but has never shown any proof. 
This was the only news to come from East Turkestan (�Xinjiang�) this week.

BRITISH FM CALLS FOR PRC TO WORK AGAINST ARMS SALES TO IRAQ, NORTH KOREA
Jack Straw, Foreign Minister for the United Kingdom, in Beijing for bilateral talks with Communist China called on the Communists to help stop the proliferation of weapons to states such as Iraq and North Korea (BBC).  Of course, the PRC is one of the biggest culprits in this area, with a history of weapons sales to Iran, Syria, Libya, and Iraq; North Korea is the PRC�s oldest ally.
For more on the PRC and its links to terrorist states, see the
Communist China and the Terrorist War page.

OTHER AMERICAN-RELATED NEWS
PRESIDENT BUSH WANTS RENEWED MILITARY CONTACTS WITH COMMUNIST CHINA
President Bush has told Deputy Defense Secretary Paul Wolfowitz to have military ties with the PRC resumed.  According to the Taipei Times, Bush wants military exchanges, halted after the Hainan outrage (see April 5, 2001 and April 11, 2001 updates), resumed because he �believes it is important for America's security interest and the wider Sino-US relationship.�  Haven�t we heard this before, say, in the 1990s? Taipei Times Link Courtesy Ron Vogel: Member since 2000

HUMAN RIGHTS AND FREEDOMS NEWS
HONG KONG LEGISLATURE PASSES �ANTI-TERRORISM� BILL
The Hong Kong Legislative Council (LegCo) passed an �anti-terrorism� bill last week that immediately infuriated civil libertarians, human rights activists, and pro-democracy legislators in the city.  The law was passed by a 32-18 margin.  Opposition legislator Margaret Ng told the BBC that the law is so broad that anyone can be named a terrorist �if the government really wants them to.�

The new law has been in the works for a couple of weeks (see
June 26 and July 3 updates).  It defines terrorism, according to the BBC story, as �the use or threat of action to influence a government, or to intimidate or endanger the public, to advance a political, religious or ideological cause.�  Note that intimidation or endangerment is not required for the �action to influence a government.�
For More on Hong Kong, see Hong Kong News.

OTHER MAINLAND NEWS
UPCOMING RESHUFFLE CONSUMING JIANG ET AL, BLOCKING REFORM
The Chinese Communist Party is limping toward its major reshuffle this fall; its annual meeting of the party cadres at Beidaihe is likely to be all about jockeying for new positions and, for outgoing PRC President Jiang Zemin, cementing his impact on party policy.  According to Willy Wo-Lap Lam (CNN), Jiang is getting very worried about resistance to his efforts to shape party doctrine.

Meanwhile, Elizabeth Dugan, of the International Republican Institute, told the Congressional Executive Commission on China that the PRC�s �village elections� program is in the deep freeze due to the upcoming reshuffle (
Washington Times).  Fraud and the blocking of non-Communist candidates have marred the village elections, supposedly the cutting edge of democracy in the Communist China. 

COMMUNISTS TRY TO APPEASE LABOR
Remember when Communist China claimed to be a workers� state?  Well, it still does, but as Willy Wo-Lap Lam (CNN) notes, the Communists are having a harder time of it with Jiang Zemin�s plan to let �red capitalists� into the Party.  For an idea of what Jiang means when he talks about the �entrepreneurs� he wants in the Party, check out the Washington Post story on Zhou Wenchang in the July 12 Week�s Links.

PRC CLAIMS STRONG GROWTH, AGAIN
Communist China claimed it economy grew 7.8% in the first half of 2002, due to government spending and an export surge.  As to how accurate the claim, the BBC had this to say: �China's official growth figures are treated with a certain degree of scepticism (UK sp) by foreign analysts.�  Also reporting: CNN

COMMUNIST MILITARY INVITES FOREIGN REPORTERS FOR �CHARM OFFENSIVE�
Communist China welcomed a group of foreign reporters to two of its military bases last week in what the BBC called a �charm offensive.�  The journalists went on a tour of an army base and an air force base, and interview a few soldiers along the way.

INTERNATIONAL NEWS
COMMUNIST CHINA TO CONDUCT JOINT MILITARY EXERCISES WITH RUSSIA
Communist China announced that joint military exercises with Russia would begin next month, according to Willy Wo-Lap Lam (CNN).  Lam reports that the PRC is insisting the exercises are only for �signal communication,� and not �aimed at a third country.�  Russia is, and has been, the PRC�s biggest weapons supplier, including another 48 Su-30 fighters that the Communists will receive �in the coming year or so.�

THREE MORE NORTH KOREAN REFUGEES FLOWN TO FREEDOM IN SEOUL
Three more North Korean refugees who made it inside the South Korean Embassy in Beijing, including a member of the North Korean military, are free in Seoul, South Korea this week.  The PRC sends back any refugee from its Stalinist ally that it finds.  As a result, those who escaped starvation � made worse by the regime stealing international food aid for itself � are forced to hide from Communist police.  Report: BBC

The North Korea Report has the latest on the Stalinist ally of Communist China.  Sign up now to receive it every Monday.

REPUBLIC OF CHINA (TAIWAN) NEWS
TAIWAN POLITICIANS, MILITARY OFFICERS MEET WITH COMMUNIST MILITARY OFFICERS
For the first time in years, high-level ROC military and political officials met with Communist Chinese officers of the People�s Liberation Army last month, although �no ranking generals� attended (BBC).  The meeting comes on the heels of the Pentagon report on PRC intentions toward Taiwan (see Top Story), discussed �The development of Chinese naval power since the Sino-Japanese War of 1894.�

Chen Chung-shin, a member of the Democratic Progressive Party, attended the gathering.  The DPP is the party of President Chen Shui-bian, and supports Taiwanese independence. 
CNN reported that Chen Shei-saint of the opposition Nationalists was also there.  It should be noted that the war discussed led to a fifty-year Japanese occupation of Taiwan � barring an error in yours truly�s historical memory.

There is still time to
contact the President and tell him not to approve PRC sympathizer Doug Paal as de facto ambassador to Taiwan.

HONG KONG NEWS

HK LEGISLATURE PASSES CIVIL SERVICE PAY CUT
Hong Kong's majority-Coummunist-appointed Legislative Council passed a pay cut for the civil service this week, ignoring major protests against the bill (see last update).  The bill passed by a 32-26 margin � with opposition coming from labor-backed members and their pro-democracy colleagues, who criticized the undemocratic process in which the pay cut became law.  Reports: BBC, CNN

TIBET NEWS
TANAG JIGME SANGPO SET FREE, NOW IN U.S.
Tibetan activist Tanag Jigme Sangpo, imprisoned by Communist China �for most of the past 40 years� (BBC), has been released and is now in the United States.  Tanag�s last sentence was 15 years in jail in 1983 for �counter-revolutionary propaganda,� but the Communists extended his sentence twice � just for �pro- independence slogans during visits to his prison by foreign dignitaries.�

TIBET TO PRIVATIZE GOVERNMENT-IN-EXILE-RUN FIRMS
Tibet�s government-in-exile has decided to privatize �all the businesses it runs in India and Nepal� over the next three-and-a-half years.  The 22 firms could be worth about $10 million, according to the BBC.  Lobsang Nyandak, Finance Minister under the recently elected government-in-exile, said the planned privatization was due to �unsatisfactory performance.�

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