How is North Korea’s political system currently changing, pending the Great Transformation with the USA and South Korea, wanted and carefully directed by Kim Jong-un?
In the future the Great Leader wants to have a new ruling class suitable for the economic and strategic changes which will affect North Korea in the coming years.
Far-reaching military and economic changes, with the support of Iran, the Russian Federation, China and other countries.
According to Kim Jong-un, without prejudice to the regime’s structure, everything else must change.
In the framework of this change, the State and the Party must be turned into quick and agile tools in the hands of the Leader and of his partly-renewed inner circle.
Kim Jong-un’s primary goal is to control the initial phase of North Korea’s economic transformation, as well as to keep the grip on the Armed Forces and the Party, and to finally create a new ruling class for managing denuclearization and the economic transformation.
In the case of North Korean Armed Forces, the new appointments have mainly concerned the Ministry of People’s Armed Forces, the Chief of Staff Department of People’s Armed Forces – with new appointments also in the Directorate of Operations – and, finally, the Director of the General Political Bureau of the Armed Forces.
In the specific hierarchy of the North Korean military system, these are the three most important posts.
Furthermore, each of the three above mentioned roles implies the alternating or fixed presence of the Workers’ Party of the Democratic People’s Republic of Korea in the Political Bureau.
Therefore the new appointments are No Kwang Chol, former first vice-Minister of the Ministry of People’s Armed Forces, replacing Pak Yong Sik, while Ri Yong-gil replaces his former boss, Ri Myong-su.
Ri Yong-gil was Commander of the North Korean Armed Forces, as well as member of the Party’s Central Committee, but he was later removed from office in February 2016.
As early as 2013 he had been Chief of Staff of the Armed Forces and, despite the recent events, he had a stable and secure military career.
From 2014 to 2018 Ri Yong-gil was also Head of the Pyongyang Committee of the Workers’ Party.
From 2012 to 2013 he accompanied Kim Jong-un on many visits to nuclear and bacteriological-chemical sites.
Considering the symbolic relevance of the North Korean power, he is probably one of the true leaders of the nuclear and bacteriological-chemical program of the North Korean Armed Forces.
Ri Yong-gil was at first Party’s official and later became officer of the North Korean Armed Forces, while always keeping political and party positions rather than technically military ones.
Moreover, Kim Jong-un is still playing many of his cards on the Defence Ministry.
It is a source of foreign currency and of excellent profit in relation to the friendly powers, as well as of social control and of real and effective foreign policy.
Under the current leader, Kim Jong-un, six new Defence Ministers have been appointed.
Pak Yong-sik is one of the Ministers removed from office.
Probably he had some business roles, but we cannot rule out that in the future he can start again his career, interrupted on the basis of unpleasant news about his role as businessman in the phase of the Sunshine Policy with South Korea.
He had been member of the Council of State, of the Central Committee and of the Political Bureau of the Workers’ Party of Korea, as well as of the Central Military Commission and finally of the Political Committee of the Pyongyang Defence Command.
Clearly Kim Jong-un is measuring his potential enemy lobby.
And he is certainly planning the generational and political change of all the important positions of the People’s Democratic Republic of Korea.
As we will see later on, the new Minister No Kwang Chol was Head of the Second Economic Committee, which is in charge of the defence industry and hence connected with North Korea’s supervision and construction of conventional and nuclear weapons.
He is an excellent manager loyal to Kim Jong-un.
He held various posts in the North Korean political system.
These newly-appointed people have certainly been selected due to their absolute loyalty to Kim Jong-un and the Party,but we must better analyse the decision-making process of the North Korean Armed Forces, as well as their specific role.
The naive analysts who think that Kim Jong-un is “prisoner” of his ruling class have understood nothing of North Korea’s political and economic mechanism.
For the Leader, both loyalty and professional skills are needed. He is willing to get over some affectation or groveling too much, but Kim Jong-un wants the best of his technocracy, subject to loyalty to the Party and to himself.
And, above all, subject to the absolute non-involvement in any financial and commercial activity having even the slightest hint of irregularity.
Corrupt people are always at the mercy of the enemy’s blackmail.
The Ministry of People’s Armed Forces, however, is currently placed under the dual and symmetrical control of the State Affairs Commission of the People’s Democratic Republic of Korea and of the Central Military Commission of the Workers’ Party of Korea.
Nevertheless the Ministry deals mainly with the logistics and training of the Special Forces and operates with approximately 36 external organizations.
The Ministry acquires the orders, requests and notes from the basic military units and later organizes and distributes them between the Central Military Commission, the General Staff and the Party’s Ammunition Department.
The Ministry also deals with military finance and operates with commercial companies and production units which can export goods and hence supply the country with hard currency.
In fact, as already noted, at least 36 commercial companies operate in the field of export and internal distribution.
But someone talks about 50 of these companies.
The naive Western analysts were wrong in believing that the People’s Armed Forces were a “terrible cost” for the people and a huge obstacle to economic development.
The opposite was, and is, true.
Therefore the military system operates, above all, with the 44thBureau of the People’s Armed Forces, in controlling most of North Korea’s hard currency flows.
The Technology Transfer Department has also relations with both the companies owned by the Party and by the Ministry’s Ammunition Department.
In particular, it deals with the acquisition of information technology and advanced weapon systems.
The General Department of Logistics deals above all with the network of factories and farms supplying food and clothing to the People’s Armed Forces.
Sometimes they operate for the civilian and foreign market of food and clothing.
The Ministry, however, is subject to the control of the State Affairs Commission, which originates both from the Government and the Party, as well as from the Central Military Commission, which anyway results from the Party-government link only.
It is worth recalling that as early as 2000, the Ministry of People’s Armed Forces directly controlled the Political Department, the General Staff, the Military Security Command, the Reconnaissance Bureau and the Coast Guard Command.
Later, around 2007, all these structures became an integral part of the Ministry itself, which was placed under the control of the National Defence Commission.
In 2016 the latter saw its powers restricted and was placed under the State Affairs Commission’s control.
It should also be noted that, unlike Kim Jong-il, Kim Jong-un has revolutionised the People’s Armed Forces more than any other predecessor.
For example, there was the handover in February 2009 – just before Kim Jong-un’s role as heir to Kim Jong-il was officially declared.
As you may recall, this happened in September 2010.
At that stage, only seven of the most important positions in the North Korean military system were changed. It was the beginning of Kim Jong-un’s grip on power.
The North Korean Leader had carefully analysed all the military and economic positions well before his full rise to power.
From July to November of that year, the Political Committee (PC) of People’s Armed Forces was combed through by the North Korean leadership.
It was, in fact, the first scrutiny carried out by the Organization and Guidance Department after 1996.
There were some surprises: for example, the PC ships that secretly fished in Japanese waters; some military promotions in exchange for “bribes”; some accounting problems and some suspicions of corruption.
As is typical of his political role, Kim Jong-un has been very harsh in putting an end to these situations and punishing these behaviours.
In fact, in 2017 many executives of the Political Bureau of People’s Armed Forces were removed, with repercussions on the military forces that,as can be easily imagined, affected also the Ministry for Foreign Affairs.
Only after this long “purge” did Kim Jong-un focus on negotiations with South Korea and the USA.
In November 2017 Son Chol Ju, one of the officers promoted with the position of Colonel entrusted “with upper management and tasks”, was appointed as Head of the Organizational Affairs Department of People’s Armed Forces, but his appointment was made public only in May 2018.
As already noted, Son Chol Ju has replaced Jon Nam Jin and, most likely, also Kim Wong Hong.
Until that date Son Chol Ju had been the Director of the Political Bureau with the portfolio for organizational affairs, where he had spent his entire career.
Before taking this post, Son Chol Ju was political Director of the Air and Anti-Air Force, in addition to being Head of the respective political committee.
Probably Son Chol Ju was Head of the Political Bureau with the Propaganda portfolio, especially in the Pyongyang region.
In the meeting held on April 2018 Kim Jong Gak was elected to the Political Committee of the Workers’ Party of Korea.
These changes of the North Korean ruling elite, however, show the extreme and non-negotiable power now reached by Kim Jong-un, unlike what claimed by the most naive, but very widespread, Western analyses.
This is one of the signs that, in a North Korean extremely important phase, the Party wants to control its “separate bodies”, with a view to avoiding “political advantages” and the systems of influence – even the foreign ones – as well as all the grey and black areas of finance which must currently be transformed and be directly controlled by the Party and its ruling class.
In this phase we need to study the careers of important personalities such as Jo Kyong Chol, the Director of the Military Security Command since 2009, as well as full member of the Central Committee of the Workers’ Party of Korea and member of Kim Jong-il’s Funeral Committee.
Jo Kyong Chol was essential in strengthening Kim Jong-un’s power – a member of the “old guard” that wanted continuity, independence and military power for North Korea.
Hence he has accepted the new system of international relations in North Korea.
Currently Kim Jong-un certainly wants the regime’s continuity, but also and above all the emergence of a ruling class capable – by training, background and political culture – of organizing the North Korean stability in a phase of opening to the world market.
Ri Song Guk, another fer de lance of Kim Jong-un’s current political and military system, currently leads North Korea’s Fourth Army Corps – after leading the 39th Division – a very special military structure deployed near the Yellow Sea and the Northern Limit Line.
He is the current Director for Special Operations of the Central Command.
Yung Jong-rin is serving as the Commander of the Supreme Guard Command – therefore he is responsible for Kim Jong-un’s personal safety, but he had the same post with Kim Jong-il and is hence the Commander of the most technologically advanced security service in North Korea.
He has been member of the Central Military Commission since September 2010, as well as member of the Party’s Central Committee, and General since April 22, 2010.
Hence Kim Jong-un is preparing the ruling class that will defend North Korea’s interests in its new, gradual and slow globalization.
Will China bubble burst owing to authoritarianism?
In his book The Age of the Economist, Daniel R. Fusfeld tells how economics governs our life today. In today’s market or quasi-market economies, no country can live in economic isolation (sakoku). India, USA and their `satellites’ are trying to isolate China in economic field. Already, they have hung isolationist Financial-Action-Task-Force Sword of Damocles over China’s all-weather ally Pakistan’s head. Through its economic relations and defence purchases, India scuttled Pakistan’s effort to draw world’s attention to Kashmiris in prison. India’s defence ministry approved purchase proposals amounting to an estimated Rs 38,900 crore. Heretofore is a bird’s-eye view of her shopping itinerary. Procurement of 36 Rafales and 12 Su-30 MKI aircraft and 21 MiG-29. Upgrading Indian Air Force’s existing MiG-29 aircraft. The MiG-29 procurement and upgradation from Russia will cost Rs. 7,418 crore. Producing the Su-30 MKI at the Hindustan Aeronautics Limited will cost Rs. 10,730 crores.
In Sri Lanka, india, through its underhand machinations, managed to remove Mahinda Rajapaksa from office 2015. Rajapakse had leased out strategic Hambantota port to China and allowed docking Chinese submarines in in Sri Lanka. Now Sri Lanka has handed over control of Humbantota to India. India gave Sri Lanka $45.27 million aid to develop KKS harbour (Jan 12, 2018).
India extended 2.1-billion Nepalese Rupee (NR) aid to Nepal as reimbursement of the first tranche of housing support to 42,086 governments of India- supported beneficiaries in Nuwakot and Gorkha districts. It pledged Nepal US $1 billion aid and soft loan (25%) for Nepal’s post-earthquake. India bears pension liability of Gorkhas equivalent to Nepal’s annual budge. But, offended at occupation of Kala Pani territory by India, Nepal enacted law to affirm its territorial sovereignty. Nepalese prime minister Oli is tottering because of India’s underhand effort to topple him.
India has no border at Doklam with China.yet it, like a super power jumped in `at Bhutan’s request’ to stop China from constructing a road there. It pledged to contribute Rs 4,500 crore to Bhutan’s twelfth five-year plan (2018 to 2023). It completed Mangdhechu Hydroelectric project and Ground Earth Station for South Asia Satellite and launch of RuPay card in Bhutan. Besides, it committed assistance of Rs 4,500 crore for implementation of development projects and Rs 400 crore for transitional Trade Support Facility during Bhutan’s 12th Five Year Plan (2018 – 2023). Under the 12th 5-Year Plan, 51 large and intermediate projects and 359 Small Development Projects (SDPs)/High Impact Community Development Projects (HICPDs) are being carried out. India’s commitment to the 12th Plan constitutes about 14.5 per cent of the Plan outlay which is around 38.75 per cent of the capital outlay and 71 per cent of the total external assistance.
To Bangladesh, India extended three $8 billion loans. A total of 1.16 Gigawatts of power is now being supplied by India to Bangladesh. The increase, in the reckoning of the Prime Minister, signifies a “quantum jump from megawatts to Gigawatts and is symbolic of a golden era” in bilateral ties. Markedly, Mamata Banerjee has pledged to raise the power supply to Bangladesh to 1,000 MW. Though electricity will not be a substitute for Teesta water, the plan to boost power supply is on anvil.Bangladesh is however annoyed at dillydallying at Teesta Accord, and India’s inability to brief her about Glawan situation (rebutted by India).
Launching the ‘Act Far East’ policy, India’s Prime Minister Narendra Modi announced (September 5, 2019) that India will give a line of credit worth US$ 1 billion to Russia for the development of the Far East.India provided Lines of Credit worth $ 96.54 million to Niger for projects in transport, electrification, solar energy and potable drinking water. It granted $15 million to Niger for organising African Union Summit.
India and Japan have launched their own joint initiative in the shape of Asia-Africa Growth Corridor (AAGC) vis-a-vis China’s Belt-Road Initiative for undertaking development and cooperation projects in the African continent.
India’s knee jerks to Malaysia and Turkey: Malaysian prime minister Mahathir Mohammad had said in September last that India had “invaded and occupied” Kashmir. He was joined by Turkey’s President Recep Tayyip Erdogan, who said that India had virtually imposed “a blockade” on Kashmiris.Their views on Kashmir and the Citizenship (Amendment) Act (CAA) irked India.India punished
Turkey by not allowing it to bid for construction contracts. Import of palm oil from Malaysia was truncated.
Will China’s economic bubble burst for lack of institutions and authoritarianism: The spectacular economic growth in China in the past four decades has inspired a large strand of research to understand China’s unconventional growth path. China is expected to suffer a sudden economic collapse because of lack of inclusive institutions, debt policies, and authoritarianism. Daron Acemoglu and James A. Robinson in their book Why Nations Fail argue that without economic institutions particularly private property , and competition, nations fail to promote economic growth and alleviate poverty. Powerful people should not seek to grab complete control over government undermining broader social progress. It is freedom that makes people rich. Without political change, even sensible economic ideas and policies are doomed to fail.
To strengthen his rule, Xi Jinping has allegedly assumed an absolute control over all the institutions of country in guise of national rejuvenation and reforms.
Norwegian political scientist stein Ringen in his book “The perfect dictatorship: China in the 21st Century calls XI’s rule as “Controlocracy”. Xi chairs, roughly, eight of the leading small groups including national security commission. He also handles internal security directly, thereby reducing any possible chance of mutiny.Tai Ming Cheung a professor at the school of global policy and strategy at UC San Diego alleges “No other Chinese Communist Party leader, not even Mao Zedong, has controlled the military to the same extent as Xi does today. Mao had to share power with powerful revolutionary-era marshals.” To show how “hands-on” he is, Xi has taken the new post of commander-in-chief of the PLA Joint Battle Command.
This view is debatable. Discussion papers are included in in Allen, Franklin & Qian, Jun & Qian, Meijun, 2018. “A Review of China’s Institutions,” CEPR Discussion Papers 13269. Their paper focuses on the recent development of China’s institutions, financial markets, innovations and government-business relations in the context of their roles in supporting China’s growth. Alternative financing channels and governance mechanisms, rather than the markets and banks, continue to promote growth in the most dynamic sectors of the Chinesed economy.
Pro-China view: Tom Orlik, chief economist – Bloomberg Economics and David Dollar, senior Fellow, Foreign Policy, Global Economy and Development, John L. Thornton China Center, do not agree. They trust China would tide over economic crises through out-of-box thinking and ingenuity of mind. Klaus Muhlhahn in aking China Modern: From the Great Qing to Xi jinping highlight role of institutions in China’s rise. During the nineteenth century, China suffered humiliation of defeats in the Opium Wars at the hands of Western imperialists. Like a sphinx, China rose from ashes to baffle the world, we live in, through its flabbergasting if not unprecedented economic growth and participation on the geo-political state as a powerful player.
Charismatic leaders (Sun Yat Sen, Mao to Xi Jinping) did contribute their effort in transforming China. China’s rise, per official line began with Deng Xiaoping’s rule in 1978. But a dispassionate look at history reveals that China’s recovery was in the making for about a century. Historical legacy, cumulative experience a desire to see a better tomorrow and resilience in overcoming adversity contributed to China’s emergence as a conundrum or a miracle during twentieth or twentieth century.
China’s rise is not an overnight exploit or legerdemain of some leaders. Its present status is cumulative product of its institutions in early modernity or late imperial period (mid-seventeenth through eighteenth century). Beginning in 1644 during the Qing dynasty reign, many core institutions were developed and the empire achieved its zenith. The social and cultural institutions of this period account for China’s brilliant trajectory into nineteenth and twentieth century. The institutions of yesteryears, about three centuries , relate to key areas of government economy sovereignty, border security and exploitation of natural resources.
Inference: In cahoots with USA, India wants to get China declared a pariah state. The aim is to impose economic sanctions, or aid or trade embargo on China. The USA uses a flexible format to dub or delete a country as axis of evil, money-laundering conduit, sponsor of terrorism or pariah (Tamil paraiyar, outcastes), or rogue (Iran, Sudan, North Korea, Cuba, Venezuela). Ottoman Empire was persecuted as an outcast by European States since the Treaty of Westphalia in 1648 until the nineteenth century on a religious basis’.
Deon Geldenhuys. points out multifaceted criteria for declaring a state pariah_ having ‘artificial borders’ (Iraq), siege mentality, anti-West sentiments and desire to subvert the international status quo, or not being a considerable `world power’(“Pariah States in the Post-Cold War World: A Conceptual Exploration, March 5, 1997). So far, China has eluded pariah label proving it to be a `world power’.
Why India is hostile to China? Indian prime minister Modi himself told an all-party conference, “Neither have they [Chinese] intruded into our border, nor has any post been taken over by them (China)”. Even former defence minister AK Antony and former foreign secretary Shyam Saran denied China had taken over 640 sq km of Ladakh territory. Even, “The Indian army denied that Ladakh had shrunk. Change in the river course was cited as a reason for the loss of 500-1,500 meters of land annually”. Then, why the storm in a teacup.
Talk of Chinese bubble bursting appears to be a propaganda tip.
China’s new strategic positioning
While China is “narrowing” its production lines at national or international levels, a very important signal is the new relationship established between Turkey and the United States to replace China as a supply chain.
Obviously the new “cold war” between China and the United States cannot but create good opportunities for countries such as Turkey which aspire to establish their hegemony over Central Asia and hence to reduce China’s weight both in global and regional trade.
This is the price that Turkey pays happily and without particular problems to the United States for affording its autonomous policy in the Maghreb region, in the Eastern Mediterranean, in the Balkans and in Central Asia, up to supporting the Xinjiang Muslims in China above all to nip the Chinese Belt & Road Initiative in the bud.
Meanwhile Botas, the state-owned distributor of Turkish natural gas, has proposed the construction of a pipeline from its Northern Turkish coast to Nakhicevan, Armenia, so as to reduce Armenia’s imports from Iran and thus slowly distancing from Iran. This is music to American ears.
Therefore, Erdogan’s Turkey also bets on the new “cold war” between the United States and China, thus proposing itself as a third wheel and hence as the basis for the technical and commercial replacement of the production networks from China itself to the area controlled by Turkey.
There is a “but”, however: Turkey has a public deficit of 5.6 billion U.S. dollars (according to April 2020 data), but so far only Chinese capital and funds have arrived to support a 400 million swap between the renmimbi and the Turkish Lira.
A Chinese company bought the Kumport Terminal, on the Sea of Marmara, for 940 million, and in November 2019 Turkey saw the first train arriving from Xi’an, through the Maramay tunnel built and funded by China, which allows to have a non-stop line from China to Europe. An asset not to be overlooked.
The Turkish e-commerce platform, Trendyol, was later acquired by Alibaba but, as all Turkish finance experts say, it would require a further and probably strong devaluation of the Turkish lira which, however, needs substantial “fresh” investment from abroad.
Therefore, it is unlikely for an economy such as Turkey’s to take harsh and definitive action against Chinese interests.
Nevertheless, what does Donald J. Trump’s America really want from China?
The US Presidency’ Strategic Approach to China, published on May 26, 2020, maintains that the threat posed by the CPC to U.S. economic, military and strategic interests, as well as to its “values” is a primary danger.
If we look at the history of such statements, only in the days of the harshest “Cold War” with the USSR were such terms used.
As to economic competition, the United States accuses not the State, but directly the CPC, of overtly “protectionist State policies that have harmed American workers and businesses”.
With damage caused also to global markets, the environment and global trade law. Nevertheless,the sanctions imposed by China on U.S. goods in 2019 were anyway adopted by the WTO, whose negotiation system has been called into question by the United States itself.
In fact, Trump’s America accuses particularly the CPC of “taking advantage of its WTO membership to become the world’s largest exporter, but systematically and harshly protecting its domestic market”.
What is the United States doing? The U.S. real and deep accusation is against the Belt & Road Initiative: the United States interprets this great commercial-strategic operation as an attempt to reshape the world market according to the internal needs of the Communist regime in China.
Moreover, as the United States always maintains, China wants to use not the international networks, but its own courts, as arbitration courts. Is it true or false? Obviously there is the ICC, but other courts of reference are also formally possible, based on UN-type commercial law.
As to the Chinese challenge to American values, the U.S. document states that “China is engaged in an ideological competition with the West”.
The U.S. current idea is based on President Xi Jinping’s old statement (dating back to 2013) whereby China must prepare for a “long phase of cooperation and conflict” with the capitalist West, and it is always stated that “capitalism is dying and Socialism will triumph”. It could not be otherwise considering his Marxist background and ideas.
Obviously so, since President Xi does not certainly come from a salon in Manhattan.
Moreover, the United States never wants China to project itself as a world leader and a country of great global influence. Here again it wants the fight against corruption to stop, since for the United States it was only and exclusively a way to eliminate president Xi’s opponents.
Is it true? Yes, but obviously not only so. One and a half million corrupt people punished by the State, but many of them are real, while others are certainly “enemies” of President Xi’s policy line.
The U.S. Presidency, however, is mainly afraid of the Chinese Military-Civil Fusion and hence of the commercial-security blockade that, in the very long run, could put an end to the traditional U.S. hegemony in the Pacific.
Moreover, the two military games made by the RAND Corporation, about a year ago, concerning a clash in the South Pacific between U.S. and Chinese-Russian forces, demonstrated that the United States would soon be defeated.
Hence, as usual, for the United States once again it is primarily a matter of “protecting the People, the Homeland, the American way of life”. There is great fear for Chinese “propaganda” in the United States, as if it could not be opposed at all. A sweeping analysis was made for Chinese students, the largest foreign community in the United States, and a regulation called Foreign Investment Risk Review Modernization Act was enacted. In January 2020 the United States and China signed also the “Phase One” of a major trade agreement that, according to the United States, is expected to change Chinese business practices significantly. In fact, the agreement provides that the CPC cannot force or orient foreign companies to transfer their technology to keep on producing or selling in China. It also strengthens the rules on the protection of intellectual data in China and finally opens up Chinese markets to U.S. agricultural products, on which it has much relied for its foreign policy.
On the military level, the U.S. Administration (and it would be anyway the same if there were another President) wants a new relationship with “similar” and “friendly” countries so as to counter the Chinese military build-up and develop the Indo-Pacific Strategy Report. In other words, obviously the U.S. block of every “One China Policy”, but hence implicit support to internal factionalism, in Hong Kong and Taiwan, as well as proposing a stop to the Chinese expansion between Xinjiang and Pakistan’s maritime network.
Furthermore, as to the ideological struggle, support for Religious Freedom, the usual fight for “human rights”, the U.S. protections for “minorities’ liberties”. That is all. But we do not think it will be enough.
Certainly, Chinese infrastructural investment is currently designed to competing with the United States and better controlling civil society.
The 55-kilometre bridge going from Hong Kong to Macao, with two artificial islands that allow the road to sink 7 kilometres into a very long underwater tunnel is an eminently political and strategic project.
Obviously, it is in fact a matter of building a Unified Commercial Zone, like the one in New York or Tokyo.
But it is also a matter of creating a strategic control zone to currently protect those coasts, which are currently more economically important than China. However, it is precisely in this area that as much as 4% of the regional and national GDP is dedicated to the construction of quantum computer networks and encryption. The classic civil-military dual objective.
Currently China is already a leading country in quantum communications between Space and Earth. It has already built a Quantum Computing Laboratory in Hefei, Anhui Province, with 10 billion U.S. dollars, while the China-U.S. Economic and Security Commission has established that, as early as 2000, China had bridged the technological gap with the United States with regard to quantum computing.
Is it true? We do not know for sure, but this is certainly where the real economic and intelligence war between China and the United States is developing.
As Krugman maintained in an old article for Foreign Affairs, nations are not corporationsand they do not compete one another as companies always do. Nations, however, certainly compete for market outlets, for financial resources, for technologies and for cultural or influence operations.
There is nothing else. Nevertheless, we must never forget that the major countries’ strategic “policy line”, to which Italy adapts in a sheep like way, envisages variables – also for the small and medium countries – which are not at all negligible.
Also at military level, China’s operations in Ladakh and Tibet are an example of the interest – dating back to Mao Zedong’s times – in using Tibet as “the palm of the Chinese hand” to expand China’s influence throughout South Asia, which is a primary strategic axis.
It is a matter of encircling India and later stable geo-economic blocs are built, just against India, with the Chinese expansion in Myanmar, Sri Lanka and Pakistan.
There must always be a spatial logic – we would classically define as geopolitics – which follows the definition of a country’s primary interest. When it knows how to evaluate it,however, which certainly does not happen currently in Italy.
In any case Tibet would have been India’s first natural defence line, if China had not already taken itas early as 1950.
Hence Tibet, with its strategic “five fingers”, i.e. Ladakh, Sikkim, Nepal, Bhutan and Arunachal Pradesh, will be China’s checkpoint from the South, and we do not believe it will be easily opened by India’s collaboration with other countries, such as the United States.
Without Tibet available, economic, military and intelligence operations against the Belt&Road Initiative will be largely blocked.
Furthermore, President Xi Jinping – who knows the Party and State apparatus very well – has recently launched a campaign of “Security Apparatus Clean-up”. Since November 2012, President Xi Jinping has also marginalised the old leader of the Chinese security apparatus, Zhou Yongkang, directly acquiring an assignment from Politburo and not from Politburo Standing Committee.
Nowadays, China’s security apparatus budget is officially estimated at 183,272 million yuan, equivalent to 26.6 billion U.S. dollars.
While Zhou Yongkang, a man of Hua Guofeng and later of Deng Xiaoping, was arrested in 2012, Hu Jintao himself sent as many as 3,000 Intelligence Service executives to re-education camps.
3,000 executives in a total of 1.97 million officials and operatives.
Nevertheless, this year the turning point has been the establishment of the Safe China Construction Coordinating Small Group, now led by Guo Shengkun.
Later Lin Rui came. President Xi Jinping still trusts him and, however, he is a computer engineer.
Nevertheless, the “clean-up of the security apparatus”in Xi Jinping’s hands will most likely be completed next year.
A new “Yan’an Rectification Movement”, like the one that Mao Zedong promoted.
Rectification campaigns, collection of Xi Jinping’s sayings to “set the policy line”, with the collection of the “four consciences” (ideology, the whole country, principles and policies) and the four trusts (Socialism with Chinese characteristics; trust in a system that proposes the nature of Chinese Socialism; trust in its own culture and values).
Hence this will be the intellectual and operative scenario with which Xi Jinping will fight against the United States. A fight which will not be easy, but not even with a predictable result.
Here is How China Responds to US in Indo-Pacific
Trump administration recognizes the Chinese style of war with the term of “Unrestricted Warfare,” unlimited war on all fronts, not merely a matter of arms war. Therefore, Trump continues to try to bulldoze China from various sides, the economy, corporation, media, education, the military, etc. How China sees war is not a new things. James Burnham in his book “The War We Are In“, half a century ago, has very clearly been explained. I argue, in addition to continuing to enjoy the “Thucydides trap” theory, the way how China has been looking at war is also crucial in determining the Chinese style of facing America in the South China Sea. China clearly hopes to play with a long-term strategy, given its very long leadership period. Unlike the American President, who will always be threatened by his position once every four years.
So China most likely will not fight America openly in the South China Sea, but continue to increase its power. While on the other hand, China begin to undermine America’s strategic partners one by one. Such as, South Korea, Japan, India and Australia. That’s why, China certainly needs North Korea to disrupt. Why? Based on the American “island line” strategy, South Korea is the center of the first “island line”. There are approximately 28,000 more American troops in South Korea. Moreover, North Korea’s nuclear warhead can reach Japan, even reaching the center of America’s second “island line” on Guam. Providing dangerous threats in America’s first and second “island line” circles will make Taiwan easier to seize and then disrupting the coordination lines of American power in South China Sea with its closest partners
While in the East, China continues to press and is ready to have a military dispute with India on the Line of Actual Control. Without much public attention, China has surrounded India for the past several years. China already has military bases in Djibouti and possibly in Gwadar Pakistan, both thanks to the cooperation of the Road and Belt Initiative, where Djibouti was finally unable to pay debts, then its port was diverted to China and made a military base. The same thing happened with Gwadar. And most likely, China will be very able to convince Russia not to get involved by offering economic benefits from the war between India and Russia, because both countries –China and India — are consumers of Russian weapons.
On the other hand, China will continue to wreak revenge on trade war with America to Australia, to the maximum extent that losses can be received by the land of Kangoroos. Especially after the involvement of the Australian Frigate in the American international navigation convoy on South China Sea and after Australia reacted on China about covering up Covid 19. China is Australia’s biggest trading partner. China seems to be quite sure, with the application of high tariffs for many Australia’s export commodities will weaken the country’s economic capabilities. And all the shock therapy will give a bad signal to the countries around the South China Sea.
The same way will be played with Canada that has imprisond Meng Wanzhou, CFO Hua Wei, at the request of American extradition law. And don’t forget, slowly but surely, the Belt and Road Initiative has also divided Europe, Africa, and slowly in the Middle East. Now, when it comes to Chinese matters, the European Union does not all agree that China is a threat (just competitor even after Covid 19 and Hong Kong Case), since the fast train line and any infrastructure projects have split the blue continent.
Then at the American domestic level itself, China will probably continue to intervene and infiltrate elections, ride various issues that have the potential to weaken Trump’s position. Although China said, it is very happy if Trump was re-elected because Trump has the potential to damage the American alliance with many countries. But, it’s pretty sure to translate that China really want Joe Biden to win. It’s easier for China if democrats are enthroned.
Is America likely to lose? I still believe, the Chinese war is not for today. Today, militarily and economically, America still has the upper hand. However, Xi is a marathon runner, Xi may be the president for life. But the signals of the threat of Unrestricted War are already visible. Today, on the other hand, geostrategically America has long made an alliance to surround China. In South China Sea, America still has Taiwan, Vietnam, the Philippines, Malaysia, Singapore (maybe Indonesia) even though South Korea and Japan are intimidated by North Korea. Also in economic side, for example, though China stay growing 6 percent stably and America is only 1-2 percent stably, China still needs decades to catch up to America’s GDP per capita.
Therefore, China will play long and pay in instalments one by one the target. China will probably not focus on South China Sea with hard power, but on Taiwan first, after Hong Kong was successfully acquired without war, by continuing to spread threats in the South China Sea to divide American concentration. After Tse Ing Wen came to the power, peace unification with China had failed. The offer of “one country two systems” was rejected by Tse Ing Wen and the people of Taiwan. As a result, China will boast more power around Taiwan, while preoccupying South Korea and Japan with North Korea’s actions, and still looks aggressive at South China Sea.
This is one form of “Omni-dimensional war” of China, as Burnham wrote. But China will really need a lot of energies and patience to play long, more over after pandemic which has been throwing them to the corner of international order. Meanwhile, in short, US will be more aggressive in South China Sea to get more attention from Trump’s domestic supporter till the next election day. So, the more successful Trump in making Americans angry (hate) at China is one of the keys to Trump getting a majority of votes in the elections later. I’m pretty sure, Trump will continue to play this Chinese card in the next few months ahead, until the election comes. And the medium term result is that South China Sea will just be provocative theater for both.
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