That all started to change when the U.S., early in the first term of President George W. Bush, taunted the Chinese by flying a spy plane into Chinese airspace, damaging a Chinese fighter jet that flew up to intercept it, and getting forced down itself on Hainan Island. That incident aroused a lot of anger among ordinary Chinese who felt that the U.S. was pushing their country around... Now, the Tibet uprising, which has garnered global support, particularly in Europe and the U.S., has further inflamed Chinese nationalism, with most Chinese seeing Tibet as part of China's historic imperial realm, and the global backing for Tibet nationalists as a throwback to 19th Century and early 20th Century imperialist attacks on China by the West.

In a way, the Tibetan riots have been a golden opportunity for China's sclerotic Communist Party leadership, which has been feeling growing pressure to open up the political system, but which can now ride a wave of unthinking nationalism and push those democratic pressures aside, at least for a time (much as 9/11 allowed Bush and Cheney to do the same to democratic traditions and the rule of law in the U.S.). [More] . . read more

THE Rudd Government knows it's got a real perception problem with China, thanks to the ill-timed bumbling of and carelessness of Joel Fitzgibbon.

The Defence Minister's undeclared trips to China come as China is doing everything it can to take a huge stake in Australia's natural resources; after Kevin Rudd's "secret meeting" with China's propaganda chief has made a bad impression; as the Prime Minister's longstanding Sinophilia makes people suspicious; and as Australia is championing Chinese efforts for a greater say within the IMF.

But ill-timed bumbling doesn't mean Labor is handing over Australian sovereignty to China nor that Rudd is the Manchurian candidate with a Chinese chip in his neck and Harold Holt in the backyard of The Lodge.

The disclosure of the Defence Minister's failure to declare two trips to China paid for by his family friend, businesswomen, Chinese investor and landlady Helen Liu, couldn't have come at a worse time.

Given Rudd's declared standards of ministerial probity, it's probably a hanging offence but Fitzgibbon will get a suspended sentence as long as he doesn't have any more damaging disclosures.

His colleagues think he has behaved poorly but he still has the support of Rudd and Julia Gillard, whom he helped to their respective jobs.

As a minister he's been in trouble for a while but his failure to declare the trips - before he was a minister - doesn't create a vast Chinese conspiracy.

As China undoubtedly becomes more aggressive economically and militarily in a world it is increasingly going to influence, there are legitimate concerns about putting Australia's security - national, resource or economic - at Beijing's beck and call.

The Prime Minister and Wayne Swan both know they face a diabolical dilemma in choosing to accept much-needed Chinese investment while trying to keep China from controlling resource production in Australia and, hence, prices for our exports through state-owned companies or investment funds.

The choice is made more difficult by yesterday's decision to excise the sensitive area of the old Woomera rocket range from China's bid for OZ Minerals.

The Government's got a perception problem, Fitzgibbon's made it worse but there still isn't a Manchurian candidate. Dealing with China is part of the new world.

[via The Australian]

At the same time, we also have to recognize that China is rapidly increasing its military spending... We should not, at one level, be surprised that a more affluent China seeks to spend more on its military, but China also needs to be aware that its modernization drive also has an impact on the region. It is, in part, a question of transparency. It is also, in part, a question of uncertainties concerning long-term strategic purpose. We must remain vigilant to changing strategic terrain, but strategic vigilance must not be allowed, of itself, to become a self-fulfilling prophecy. There is nothing predetermined about a U.S.-China conflict in the future.

We decide the future by our actions today, and we need to give ourselves the best chance to choose the best future for us all. We need to have strong regional and global institutions, a China that is positively engaged in those institutions as a responsible stakeholder, contributing to a harmonious global and regional order and continued good management of the China-U.S. relations by both sides. [More] . . read more

George W was in Beijing too, looking a bit left behind maybe because China is now the world’s biggest CO2 emitter and all of George W’s “CO2 denial” has ended up sending vast pollution clouds from China across to North America. Well done, George, supporting China’s right to pollute. Maybe George didn’t notice but Kevin Rudd did. He’s not stupid and the smog that won’t quite go away despite closing down half the city is a bigger story than Michael Phelp’s record gold. Thanks to coal and minerals Australia and China are economically entwined for some years into the future but will this be a Faustian bargain with both countries locked in to a black spiral of coal fuelled CO2 emissions +/or trillions of wasted investments.

Kevin is back in Australia to face a string of Labor governments that all seem committed to building new coal power stations. Michael Costa, the NSW Treasurer will be keeping Kevin in line - don’t look at the clouds over China just mine more coal, burn more coal. Rudd has to go back to see Hu Jintao in late August to talk about the climate. The Olympic “Beijing-semi-Blue” skies will be clouding over and new science reports will be alarming. Will Kevin let himself see the truth and be honest with his new best friend? This is Kevin’s chance to become a world leader instead of Michael Costa’s stooge.  . . read more

Our shared future is not only one about harmony between nations and peoples. It is also about harmony with nature — the “Unity of Man and Nature” — a concept with ancient roots in Chinese thought. We all share responsibility for the future. One of the big future challenges for Australia and China is climate change. Australia is committed to strong action domestically and internationally on climate change. Because we know that climate change is the great moral, economic and environmental challenge of our time – one that all nations have to work together to overcome... I also believe it is important for China’s own future. Unless we are successful, China will face increasing pressure on its water supplies, changing rainfall patterns and rising sea levels.

A strong relationship, and a true friendship, are built on the ability to engage in direct, frank and ongoing dialogue about our fundamental interests and future vision. In the modern, globalised world, we are all connected; connected not only by politics and economics, but also in the air we breathe. A true friend is one who can be a “zhengyou” , that is a partner who sees beyond immediate benefit to the broader and firm basis for continuing, profound and sincere friendship. In other words, a true friendship which “offers unflinching advice and counsels restraint” to engage in principled dialogue about matters of contention. It is the kind of friendship that I know is treasured in China’s political tradition. It is the kind of friendship that I also offer China today.

Translation from Kevin Rudd's address to students at Peking University, Beijing. . . read more