China Reform Monitor: No. 812

Related Categories: Democracy and Governance; Energy Security; International Economics and Trade; China; South Asia; Southeast Asia

February 11:

China’s Ambassador to Russia, Li Hui, met with Russian officials at the headquarters of the Russian Atomic Energy Corporation in Moscow to discuss the possibility of further cooperation on nuclear energy. Both sides appear satisfied with their ongoing cooperation at Tianwan Nuclear Power Plant, in Jiangsu. The Russian side is currently working on the first two of four total units at the plant, the Zhongguo Xinwen She news agency reports.

February 18:

The Philippines’ Department of Energy has approved the conversion of British firm Forum Energy’s geophysical survey and exploration contract to a full service and exploration contract, clearing the way for the company to begin drilling at the Reed Bank Basin about 250 km west of Palawan. In 2006, a seismic survey on the area confirmed at least 3.4 trillion cubic feet proven liquefied natural gas reserves with significant upside potential. Manila had been cautious in approving Forum Energy’s application to drill to avoid conflict with Beijing and Hanoi since the agreement would have violated an agreement on the joint search for petroleum resources all three signed on March 2005. That agreement lapsed in July 2008, The Philippine Star reports.

An editorial in the Beijing-owned Wei Wen Po has highlighted the worryingly strong tone of national victimization that has grown common in the Chinese press. “We should heighten our vigilance over the formation of a new Western alliance against the influence of China's growth. The current friction is only the beginning. In 2010, particularly during the first half of this year, other Western countries may join the ranks.” The article also placed blame for U.S.-China friction squarely on Washington claiming that “each up and down has been caused by U.S. bullying China,” and accusing the U.S. of “creating agents to curb China.” The article quoted Major General Qiao Liang who singled out the South China Sea dispute and India boundary claiming “the U.S. has pulled India and Southeast Asian countries to its side.” The article suggested “China heighten its vigilance over Western countries.”

February 22:


During his 5-day visit to China officials have told Pakistani foreign minister Makhdoom Shah Mahmood Qureshi that to help facilitate the India-Pakistan peace talks China will avoid investing in Pakistan-occupied Kashmir. Indian officials have picked up similar signals suggesting that China doesn’t favor a deterioration in India-Pakistani relations at this time. Qureshi, who also had talks with foreign minister Yang Jiechi and premier Wen Jiabao, is consulting with his Chinese allies about the upcoming London conference on Afghanistan and the peace talks with India. Beijing is particularly concerned about instability in Pakistan and Afghanistan because the Taliban are known to offer training and resources to Uighur separatists in Xinjiang. This is one reason China maintains a close relationship with the both political and military leadership in Pakistan, the Times of India reports.

February 23:

Vietnamese authorities are developing tourism on the Spratly islands claimed by China, said Nguyen Viet Thuan, deputy head of the administration of Vietnam’s Spratly island district in comments carried by Hanoi’s Lao Dong newspaper. The islands have great tourism potential and Vietnamese authorities have already built at least one guesthouse on the archipelago, Thuan noted. In 2004, Hanoi discontinued a tourist boat service carrying Vietnamese tourists to the Spratlys after Beijing complained. Meanwhile, in Paris, French President Nicolas Sarkozy held a Lunar New Year banquet for the ambassadors of China, Vietnam, Singapore, Laos and Cambodia. French arms dealers expect to sell weaponry to Vietnam, which is modernizing its army amid rising territorial tensions with China in the South China Sea, the Tin Tuc newspaper reported.

[CORRECTION FROM CRM 811: The character assassination in the China Youth Daily was against Li, not Bo. Second, the last line should have read "Fu Yang, the head of he powerful law firm Kang da and the son of another CPC another revolutionary hero, Peng Zhen."]