March 19:
Russia's Interfax News Agency has quoted Russian pipeline operator Transneft's president Nikolai Tokarev as saying after his company receives the first tranche of a $10 billion Chinese loan it will begin construction on a branch of the East Siberia-Pacific Ocean (ESPO) to China. Construction has been delayed since last year but is now slated to start in April. "Tenders have been called, and contractors have been selected," Tokarev said. Russian and Chinese officials agreed in February 17 to sign documents on China's $15 billion loan to Rosneft and $10 billion loan to Transneft in exchange for delivering crude to China for 20 years. China also provided $37 million in financing for the feasibility study of the Russian stretch and has conducted its own feasibility study for the 960-kilometer-long stretch from the Russian-Chinese border to Daqing, Heilongjiang. Rosneft, which will supply most of the oil along the Daqing branch, said it expects to receive the first tranche of its loan before summer 2009.
March 20:
The Press Trust of India has quoted Indian Foreign Secretary Shivshankar Menon as saying the recent and recurring incursions by the PLA over the Indian boarder do not constitute "a change the status quo." Menon said that Beijing and New Delhi have yet to set a date for talks on the border issue, although "Special Representatives" from both sides "have met and will keep meeting." Menon also responded to reports that China might Increase its role as a broker between India and Pakistan. He said that during a visit by a Chinese delegation in January, New Delhi had asked Beijing to contact Islamabad regarding the dossier on the Mumbai attacks, since it had only received denials from Islamabad at that point.
March 23:
North Korea’s reclusive leader Kim Jong Il has invited President Hu Jintao to visit North Korea prior to its launch of a ballistic missile. Kim Jong Il conveyed his invitation through North Korean Cabinet Premier Kim Yong Il, who recently visited China. In response, the official Hong Kong-based news agency Zhongguo Tongxun She reports that the Communist Party of China’s International Department has established “a practicality study group to discuss the possibility.” The visit would reportedly focus on “broadening high-level visits.”
[Editor’s Note: One common interpretation of North Korea’s efforts to launch a ballistic missile is to pressure Washington to begin bilateral talks. Such efforts would certainly undermine the so-called six-party-talks framework hosted by Beijing. This invitation may be an effort to calm Chinese nerves on this account.]
March 24:
One of South Africa’s top newspapers, Business Day, has published a scathing criticism of its foreign ministry’s decision to rescind an invitation to the Dali Lama issued by Archbishop Emeritus Desmond Tutu and former president F.W. deKlerk. The Chinese embassy has confirmed that it pressured the government of Africa’s largest economy not to allow the Tibetan spiritual leader’s entry. The decision also came days after China established a new Johannesburg office to disburse 50 billion Rand ($5.2 billion) in funds it has allocated for investment in Africa, the paper reported. It urged “foreign affairs employs” to recognize that “China needs S.A. more than we need them” and noted that “China is not a particularly large investor in S.A.” which accounts for over 20 percent of China’s exports to Africa. It also supplies commodities to China.