US-China Commission Report - Fatal System Error

More documents

Recommendations

Info

114 208. Mao Lijun, ‘‘Central Huijin Bails Out Everbright Bank,’’ China Daily, November 8, 2007. 209. ‘‘China Everbright Agrees to Capital Injection Plan,’’ China Daily, November 28, 2007. 210. Xin Zhiming, ‘‘$200b Investment Firm Starts Operation,’’ China Daily, October 1, 2007. 211. According to CCB’s (China Construction Bank’s) Web page [www.ccb.com], Central Huijin owns 70.69 percent of CCB’s shares, including 9.21 percent owned by its subsidiary, Central Jianyin Investment Company. According to the ICBC’s (Industrial and Commercial Bank of China’s) Web page [www.icbc.com.cn], Central Huijin owns 35.33 percent of ICBC’s shares. 212. ‘‘China Investment Co. to Invest a Third of Its 200 Bln USD ‘Cautiously’— Official,’’ AFX News Limited, November 7, 2007. 213. Yidi Zhao and Janet Ong, ‘‘Chinese Banks to get $67 Billion from Sovereign Wealth Fund,’’ International Herald Tribune, November 8, 2007. 214. ‘‘Agricultural Bank of China to Receive $20 Billion Injection,’’ ChinaStakes.com, August 15, 2008. 215. Xin Zhiming, ‘‘Huijin to Inject $20b into China Development Bank,’’ China Daily, December 31, 2007. 216. ‘‘State Investment Arm to Shore Up Three Chinese Lenders’ Shares with Stock-Buying Plan,’’ Xinhua, September 18, 2008. 217. ‘‘China Cancels Stamp Tax on Stock Purchase to Support Equities Market,’’ Xinhua, September 18, 2008. 218. Luo Jun, ‘‘ICBC, China Banks Rise by Limit on Government Support,’’ Bloomberg, September 19, 2008. 219. Jamil Anderlini, ‘‘CIC to Buy Stake in HK Rail Group Float,’’ Financial Times, November 21, 2007. 220. Michael J. de la Merced and Keith Bradsher, ‘‘Morgan Stanley to Sell Stake to China Amid Loss,’’ New York Times, December 19, 2007. 221. Michael J. de la Merced and Keith Bradsher, ‘‘Morgan Stanley to Sell Stake to China Amid Loss,’’ New York Times, December 19, 2007. 222. Louise Story, ‘‘As Stock Falls, Morgan Looks to Japanese Bank,’’ New York Times, October 11, 2008.. 223. Zhou Xin, ‘‘China Wealth Fund Buys into Visa IPO,’’ Reuters, March 25, 2008. 224. George Chen, ‘‘China’s CIC to Launch $4bln fund with JC Flowers,’’ Reuters, April 3, 2008. 225. Sebastian Tong, ‘‘China Talks with 8 Firms on Emrg Debt Mandates— Source,’’ Reuters, June 10, 2008. 226. ‘‘China Sovereign Fund Spreads Wealth,’’ Forbes.com, July 9, 2008. www.forbes.com/markets/2008/07/09/cic-investment-strategies-markets-equity-cxltw l0709markets03.html. 227. Miles Weiss and Belinda Cao, ‘‘China’s CIC May Have $5.4 Billion Frozen in Money-Market Fund,’’ Bloomberg, October 13, 2008. 228. Jamil Anderlini and Deborah Brewster, ‘‘US Crisis Freezes China Sovereign Funds,’’ Financial Times, October 14, 2008. 229. Jamil Anderlini and Deborah Brewster, ‘‘US Crisis Freezes China Sovereign Funds,’’ Financial Times, October 14, 2008. 230. Miles Weiss and Belinda Cao, ‘‘China’s CIC May Have $5.4 Billion Frozen in Money-Market Fund,’’ Bloomberg, October 13, 2008. 231. China Investment Corporation. ‘‘Clarification on CIC’s Investment in the Reserve’s Primary Fund,’’ news release, October 15, 2008. www.china-inv.cn/cicen/resources/resources.html#enzt. 232. Miles Weiss and Belinda Cao, ‘‘China’s CIC May Have $5.4 Billion Frozen in Money-Market Fund,’’ Bloomberg, October 13, 2008. 233. Michael Pettis, ‘‘China’s Sovereign Wealth Fund,’’ China Financial Markets blog, September 24, 2007. http://piaohaoreport.sampasite.com/china-financial-markets/blog/Guest-blog-2.htm. 234. Xin Zhiming, ‘‘China’s State Forex Investment Company Debuts,’’ China Daily, September 29, 2007. 235. U.S. Department of the Treasury, ‘‘Major Foreign Holders of Treasury Securities,’’ September 16, 2008. www.ustreas.gov/tic/mfh.txt; Brad Setser, ‘‘Too Chinese (and Russian) to Fail’’ Follow the Money blog, July 12, 2008. blogs.cfr.org/setser/ 2008/07/12/too-chinese-and-russian-to-fail/; Judy Chen and Kim Kyoungwha, ‘‘China, Stung by Fannie, May Reduce Dollar Holdings, CICC Says,’’ Bloomberg, September 11, 2008.
115 236. U.S.-China Economic and Security Review Commission, Hearing on the Implications of Sovereign Wealth Fund Investments for National Security, written testimony of Michael F. Martin, February 7, 2008. 237. Jamie Freed, ‘‘Fortescue Surges on Report Chinese May Buy $2.9b Stake,’’ Sydney Morning Herald, February 5, 2008. 238. ‘‘China Investment Denies Involvement in Alleged Rio Tinto Bid,’’ CNN, November 26, 2007; ‘‘China Investment Denies Rio Tinto Bid,’’ Xinhua, November 27, 2007. 239. U.S.-China Economic and Security Review Commission, Hearing on the Implications of Sovereign Wealth Fund Investments for National Security, written testimony of Brad Setser, February 7, 2008. 240. U.S.-China Economic and Security Review Commission, Hearing on the Implications of Sovereign Wealth Fund Investments for National Security, written testimony of Brad Setser, February 7, 2008. 241. U.S.-China Economic and Security Review Commission, Hearing on the Implications of Sovereign Wealth Fund Investments for National Security, written testimony of Robert Dohner, February 7, 2008. 242. U.S.-China Economic and Security Review Commission, Hearing on the Implications of Sovereign Wealth Fund Investments for National Security, written testimony of Robert Dohner, February 7, 2008. 243. U.S.-China Economic and Security Review Commission, Hearing on the Implications of Sovereign Wealth Fund Investments for National Security, written testimony of Linda Chatman Thomsen, February 7, 2008. 244. Congressional Research Service, China’s Sovereign Wealth Fund (Washington, DC: January 22, 2008), p. 17. 245. Congressional Research Service, China’s Sovereign Wealth Fund (Washington, DC: January 22, 2008), p. 18. 246. Mark Kleinman, ‘‘HSBC Edges Closer to Shanghai Listing,’’ Sunday Telegraph, July 20, 2008. 247. Mark Kleinman, ‘‘HSBC Edges Closer to Shanghai Listing,’’ Sunday Telegraph, July 20, 2008; Vivian Wai-yin Kwok, ‘‘HSBC Sees CIC as Portal to Mainland China,’’ Forbes.com, July 21, 2008.www.forbes.com/markets/2008/07/21/hsbc-cic-investment-markets-equity-cxlvkl0721markets02.html. 248. Congressional Research Service, China’s Sovereign Wealth Fund (Washington, DC: January 22, 2008), p. 18. 249. Christopher Cox, ‘‘The Rise of Sovereign Business,’’ Gauer Distinguished Lecture in Law and Policy at the American Enterprise Institute’s Legal Center for the Public Interest (Washington, DC: December 5, 2007). 250. U.S.-China Economic and Security Review Commission, Hearing on the Implications of Sovereign Wealth Fund Investments for National Security, written testimony of Karen Shaw Petrou, February 7, 2008. 251. U.S.-China Economic and Security Review Commission, Hearing on the Implications of Sovereign Wealth Fund Investments for National Security, written testimony of Linda Chatman Thomsen, February 7, 2008. 252. U.S.-China Economic and Security Review Commission, Hearing on the Implications of Sovereign Wealth Fund Investments for National Security, written testimony of Linda Chatman Thomsen, February 7, 2008. 253. U.S.-China Economic and Security Review Commission, Hearing on the Implications of Sovereign Wealth Fund Investments for National Security, written testimony of Linda Chatman Thomsen, February 7, 2008. 254. U.S.-China Economic and Security Review Commission, Hearing on the Implications of Sovereign Wealth Fund Investments for National Security, written testimony of Linda Chatman Thomsen, February 7, 2008. 255. U.S.-China Economic and Security Review Commission, Hearing on the Implications of Sovereign Wealth Fund Investments for National Security, written testimony of Linda Chatman Thomsen, February 7, 2008. 256. U.S.-China Economic and Security Review Commission, Hearing on the Implications of Sovereign Wealth Fund Investments for National Security, written testimony of Linda Chatman Thomsen, February 7, 2008. 257. U.S.-China Economic and Security Review Commission, Hearing on the Implications of Sovereign Wealth Fund Investments for National Security, written testimony of Michael F. Martin, February 7, 2008. 258. U.S.-China Economic and Security Review Commission, Hearing on the Implications of Sovereign Wealth Fund Investments for National Security, written testimony of Brad Setser, February 7, 2008. 259. U.S.-China Economic and Security Review Commission, Hearing on the Implications of Sovereign Wealth Fund Investments for National Security, written testimony of Peter Navarro, February 7, 2008.
Page 1 and 2:
USCC 2008 ANNUAL REPORT
Page 3 and 4:
1 2008 REPORT TO CONGRESS of the U.
Page 5 and 6:
U.S.-CHINA ECONOMIC AND SECURITY RE
Page 8 and 9:
CONTENTS Page TRANSMITTAL LETTER TO
Page 10 and 11:
INDEX OF TABLES AND FIGURES 2008 RE
Page 12 and 13:
2 economic, security, diplomatic, a
Page 14 and 15:
4 China’s Capital Investment Vehi
Page 16 and 17:
6 • Antidumping penalties imposed
Page 18 and 19:
8 rities of other nations and cause
Page 20 and 21:
10 Conclusions China’s Current En
Page 22 and 23:
12 other countries that rely on Chi
Page 24 and 25:
14 vein, there appears to be a stro
Page 26 and 27:
16 lator of all financial services
Page 28 and 29:
18 • Identifying substandard ship
Page 30 and 31:
20 During the year, China continued
Page 32 and 33:
22 U.S. inspections of prisons to e
Page 34 and 35:
24 to the uncertainty during the su
Page 36 and 37:
26 U.S. exports to China were 20 pe
Page 38 and 39:
28 currency for RMB to obtain forei
Page 40 and 41:
30 of supply and demand in the fore
Page 42 and 43:
32 troversial is whether the treaty
Page 44 and 45:
34 erty (IP) rights holders from en
Page 46 and 47:
36 New Currency Rules China’s und
Page 48 and 49:
38 brought in 2006 by the United St
Page 50 and 51:
40 sectoral talks on farm trade. In
Page 52 and 53:
42 tinue buying foreign exchange, t
Page 54 and 55:
44 difference between temporary, th
Page 56 and 57:
46 The Administrative Structure and
Page 58 and 59:
48 U.S. dollar and has appreciated
Page 60 and 61:
50 Development Committee and other
Page 62 and 63:
52 drawn some fairly conventional l
Page 64 and 65:
54 demonstrates the great length to
Page 66 and 67:
56 cent revelations of the activiti
Page 68 and 69:
58 of China by way of the investmen
Page 70 and 71:
60 Ltd. attempted to acquire the U.
Page 72 and 73:
62 not be applied necessarily in th
Page 74 and 75: 64 economy—from ports and telecom
Page 76 and 77: 66 asset allocations, benchmarks, a
Page 78 and 79: 68 the investments, viewing them as
Page 80 and 81: 70 and printed circuits in order to
Page 82 and 83: 72 2006, R&D spending in China from
Page 84 and 85: 74 tios—two of Asia’s technolog
Page 86 and 87: 76 The last time the United States
Page 88 and 89: 78 pendent players. However, this m
Page 90: 80 aviation industry and has a role
Page 93 and 94: SECTION 4: A CASE STUDY OF THE LOCA
Page 95 and 96: 85 The rise of industrial fish farm
Page 97 and 98: 87 According to the Southern Shrimp
Page 99 and 100: 89 the increasing import base. The
Page 101 and 102: 91 nated fish are discovered after
Page 103 and 104: 93 At the time this Report was comp
Page 105 and 106: 95 port with the hope it will be ad
Page 107 and 108: 97 Restaurants also are exempted by
Page 109 and 110: 99 entire dusted product is from Ch
Page 111 and 112: 101 written and approved, which is
Page 113 and 114: RECOMMENDATIONS The U.S.-China Trad
Page 115 and 116: 105 gress could enable consumers to
Page 117 and 118: 107 26. ‘‘China Central Bank to
Page 119 and 120: 109 82. USTR, ‘‘2008 National T
Page 121 and 122: 111 121. U.S.-China Economic and Se
Page 123: 113 173. ‘‘China’s Stake in B
Page 127 and 128: 117 282. International Working Grou
Page 129 and 130: 119 323. U.S.-China Economic and Se
Page 131 and 132: 121 361. Food & Water Watch, ‘‘
Page 133: 123 Louisiana and the U.S. Gulf Coa
Page 136 and 137: 126 While witnesses concluded that
Page 138 and 139: 128 China’s Nonproliferation Comm
Page 140 and 141: 130 State during the interdiction o
Page 142 and 143: 132 Northwest National Laboratory
Page 144 and 145: 134 UN Security Council resolutions
Page 146 and 147: 136 ployment, this change would inf
Page 148 and 149: 138 ing Iran’s missile program on
Page 150 and 151: SECTION 2: CHINA’S VIEWS OF SOVER
Page 152 and 153: 142 ficing the principle behind it.
Page 154 and 155: 144 baseline. Other states enjoy ov
Page 156 and 157: 146 India, Vietnam, Taiwan, and oth
Page 158 and 159: 148 as, ‘‘What constitutes a sp
Page 160 and 161: 150 The proposed PAROS treaty itsel
Page 162 and 163: 152 enhance China’s assertions of
Page 164 and 165: 154 Media and Public Opinion Warfar
Page 166 and 167: SECTION 3: THE NATURE AND EXTENT OF
Page 168 and 169: 158 Today, China’s space program
Page 170 and 171: 160 The Management Structure for Ch
Page 172 and 173: 162 • Launching geostationary orb
Page 174 and 175:
164 bility to conduct cyber operati
Page 176 and 177:
166 tions between the NIPRNet and t
Page 178 and 179:
RECOMMENDATIONS China’s Prolifera
Page 180 and 181:
170 ENDNOTES FOR CHAPTER 2 1. U.S.-
Page 182 and 183:
172 41. U.S.-China Economic and Sec
Page 184 and 185:
174 80. Janice E. Thomson, ‘‘St
Page 186 and 187:
176 112. Reinhard Drifte, ‘‘Jap
Page 188 and 189:
178 149. U.S.-China Economic and Se
Page 190 and 191:
Page 193 and 194:
CHAPTER 3 CHINA’S ENERGY AND ENVI
Page 195 and 196:
185 A growing share of energy deman
Page 197 and 198:
187 pleted. Without the discovery a
Page 199 and 200:
189 A Survey of China’s Interests
Page 201 and 202:
191 projects that imports of natura
Page 203 and 204:
193 and design of the units. 71 Chi
Page 205 and 206:
195 dioxide, nitrous oxide, mercury
Page 207 and 208:
197 sions are realized and producti
Page 209 and 210:
199 ferent interests that motivate
Page 211 and 212:
201 the oil, gas, coal, and power i
Page 213 and 214:
203 fluential figures in business a
Page 215 and 216:
205 The Terminology Used to Describ
Page 217 and 218:
207 velop international and domesti
Page 219 and 220:
209 that growth must occur in an en
Page 221 and 222:
211 servation. Officials highlighte
Page 223 and 224:
213 grated Gasification Combined Cy
Page 225 and 226:
215 Obtaining sufficient movement f
Page 227 and 228:
217 nology and finding ways to make
Page 229 and 230:
219 • As the negotiations for a p
Page 231 and 232:
Page 233 and 234:
223 tent.aspxdata=EmergingMktlconte
Page 235 and 236:
225 13, 2008. These tools include s
Page 237 and 238:
Page 239 and 240:
229 ergy Group, Environmental Energ
Page 241 and 242:
CHAPTER 4 CHINA’S FOREIGN ACTIVIT
Page 243 and 244:
233 China will seek to displace the
Page 245 and 246:
235 China to help resolve them. 22
Page 247 and 248:
237 presenting itself as an accepta
Page 249 and 250:
239 China’s infrastructure invest
Page 251 and 252:
241 IMF. The Angolan government exp
Page 253 and 254:
243 China’s Conventional Arms Sal
Page 255 and 256:
245 Kurlantzick testified that Chin
Page 257 and 258:
247 pendent of their legislatures a
Page 259 and 260:
249 diplomacy and in the internatio
Page 261 and 262:
SECTION 2: CHINA’S RELATIONSHIPS
Page 263 and 264:
PART 1: TAIWAN The Significance of
Page 265 and 266:
255 PRC pressure directed against T
Page 267 and 268:
257 this end. 150 (Additional infor
Page 269 and 270:
259 Discussions Regarding Arms Sale
Page 271 and 272:
261 ernment is committed to set ann
Page 273 and 274:
263 • Arms purchases from the Uni
Page 275 and 276:
265 China, appreciation of the RMB,
Page 277 and 278:
267 Days later, although they did n
Page 279 and 280:
Introduction PART 3: THE REPUBLIC O
Page 281 and 282:
271 South Korean officials emphasiz
Page 283 and 284:
273 mount among the ROK’s diploma
Page 285 and 286:
275 Even after approving these grad
Page 287 and 288:
277 exercising undue influence—be
Page 289 and 290:
RECOMMENDATIONS China’s Expanding
Page 291 and 292:
Page 293 and 294:
283 42. UN Conference on Trade and
Page 295 and 296:
Page 297 and 298:
287 134. Calculation performed by C
Page 299 and 300:
289 184. ‘‘Factbox: Key facts o
Page 301 and 302:
CHAPTER 5 CHINA’S MEDIA AND INFOR
Page 303 and 304:
293 The central role of the Propaga
Page 305 and 306:
295 thoritarian post-Soviet governm
Page 307 and 308:
297 Some of the measures taken by C
Page 309 and 310:
299 Images of ‘‘Jing-Jing’’
Page 311 and 312:
301 Legislation was introduced duri
Page 313 and 314:
303 In addition to promoting a powe
Page 315 and 316:
305 Chinese Government Restrictions
Page 317 and 318:
307 search engine and the servers s
Page 319 and 320:
309 media, the Internet, popular en
Page 321 and 322:
311 ENDNOTES FOR CHAPTER 5 1. David
Page 323 and 324:
313 image-of-internet-police-jingji
Page 325:
Page 328 and 329:
318 China’s prison labor system,
Page 330 and 331:
320 most literal sense, the term la
Page 332 and 333:
322 treatment of Falun Gong practit
Page 334 and 335:
324 lowing its signing. According t
Page 336 and 337:
326 granted just three of 18 prison
Page 338 and 339:
328 Mr. Marck, who is the partial o
Page 340 and 341:
330 complaints involving internatio
Page 342 and 343:
RECOMMENDATIONS • The Commission
Page 344 and 345:
334 28. U.S. Department of Homeland
Page 347 and 348:
COMPREHENSIVE LIST OF THE COMMISSIO
Page 349 and 350:
339 gram. By expanding this volunta
Page 351 and 352:
341 27. The Commission recommends t
Page 353 and 354:
343 43. The Commission recommends t
Page 355 and 356:
345 ADDITIONAL VIEWS OF COMMISSIONE
Page 357 and 358:
347 ADDITIONAL VIEWS OF COMMISSIONE
Page 359 and 360:
APPENDIX I UNITED STATES-CHINA ECON
Page 361 and 362:
351 (iii) make all subsequent appoi
Page 363 and 364:
353 (2) Information. The Commission
Page 365 and 366:
355 In each Section and Subsection
Page 367:
357 ecutive Schedule under section
Page 370 and 371:
360 member of the Academic Advisory
Page 372 and 373:
362 nomic, defense, and foreign pol
Page 374 and 375:
364 formulated by the Committee suc
Page 376 and 377:
366 Commissioner Shea is an attorne
Page 378 and 379:
368 than twenty years, leaving his
Page 381 and 382:
APPENDIX III PUBLIC HEARINGS OF THE
Page 383 and 384:
373 May 20, 2008: Public Hearing on
Page 385 and 386:
APPENDIX IIIA LIST OF WITNESSES TES
Page 387 and 388:
377 Alphabetical Listing of Panelis
Page 389:
379 Alphabetical Listing of Panelis
Page 392 and 393:
382 REPUBLIC OF KOREA, JAPAN AND TA
Page 395 and 396:
APPENDIX V LIST OF U.S. SANCTIONS I
Page 397:
387 Date Imposed Entity/Person Cont
Page 401 and 402:
APPENDIX VII ABBREVIATIONS AND ACRO
Page 403:
393 UNGA UN PKO USD USDA USITC USTR
show all

US-China Commission Report - Fatal System Error

You also want an ePaper? Increase the reach of your titles

Delete template?

Save as template?