Roberto Abraham Scaruffi

Sunday, 28 March 2010

Weekly Report from Taiwan Security Research (Mar. 28, 2010)
For full text, click on the title or visit the TSR web page at taiwansecurity.org
  
Google Shuts China Site

(New York Times, Mar. 23, 2010) Just over two months after threatening to leave China because of censorship and intrusions from hackers, Google on Monday closed its Internet search service there and began directing users in that country to its uncensored search engine in Hong Kong.


(Reuters, Mar. 25, 2010) The deafening silence from the U.S. corporate arena underscores how Google looks increasingly isolated in its hope of rewriting the rules in the world's largest Internet market by users.

Stance by China to Limit Google Is Risk by Beijing By Michael Wines (New York Times, Mar. 24, 2010) Google’s decision may not cause major problems for China right away, experts said. But in the longer run, they said, China’s intransigent stance on filtering the flow of information within its borders has the potential to weaken its links to the global economy.

(Washington Post, Mar. 28, 2010) China is no Soviet Union. Thanks to the Internet, Chinese citizens have acquired the technological means -- although not yet the full legal protections -- of free speech, defined as the ability to question and criticize the government.


(New York Times, Mar. 28, 2010) When Google announced last week that it would shut its censored online search service in China, it was doing more than standing up to a repressive government.

Cross-Strait Issues

(China Post, Mar. 22, 2010) There were reports that it was President Ma who is sending the delegates there to talk to the leaders in China and that they will exchange views about Taiwan's position with Xi Jin-ping, China's vice president during their stay.


(CNA, Mar. 26, 2010) China's Vice Minister of Commerce Jiang Zengwei, traveling as the head of a 50 member Chinese business delegation, arrived in Taipei Thursday for a five-day visit.


(China Post, Mar. 26, 2010) Bilateral trade between China and Taiwan totaled US$18.91 billion during the first two months of 2010, a 77.1 percent increase from the same period last year, said China's Ministry of Commerce.

Disputes over China's Currency Policy
Battle Between the US and China Over the Yuan Hotting Up By David Uren (The Australian, Mar. 22, 2010) The battle between the US and China over exchange rates is getting dangerous. And there is no sign that either side is interested in using the G20 to mediate -- the Australian government's strong preference.

(New York Times, Mar. 25, 2010) Despite mounting pressure in Congress for the Obama administration to declare China a currency manipulator, the Chinese government is giving no indication that it will change its exchange rate policy.

Obama Urged to Act on China’s Currency Manipulation By Howard Schneider (Washington Post, Mar. 26, 2010) Pressure is mounting on the Obama administration to take action against China for undervaluing its currency.

(Wall Street Journal, Mar. 26, 2010) A sound and stable China-U.S. economic and trade relationship is more important than ever. China-U.S. trade and economic cooperation has generated huge and real benefits for the United States, while China has been gaining a lot from it as well.

The World Needs Rebalancing, Not China Alone By Jeffrey E. Garten (YaleGlobal, Mar. 22, 2010) Most important is for the US and China to understand each other’s constraints and goals – in many ways the goals of both countries revolve around employment, even if the manner to achieve such an end is vastly different.

Military Balance and Arms Sales

(Reuters, Mar. 27, 2010) China has added long-range missiles near Taiwan and leads the self-ruled island in military defenses, a U.S. navy official said, suggesting that Taiwan may need new F-16 jet fighters.

Taiwan's Domestic Issues and Foreign Relations
Survey on Signing of Economic Cooperation Agreement with Other Countries, People’s Views on Unification with China and Independence and President Ma Ying-jeou’s Approval Rating (GVSRC, Mar. 23, 2010) 46.2 percent of people supported the authorities to sign ECFA with mainland China; meanwhile, President Ma’s approval rating is 23.8% this month.

(PacNet #13, Pacific Forum, CSIS, Mar. 23, 2010) If the party remains wedded to pursuing policies to achieve de jure independence, it should understand that Taiwan and US interests would increasingly diverge.
(CNA, Mar. 22, 2010) President Ma Ying-jeou departed for a week-long trip to the South Pacific that will take him to all six of Taiwan's diplomatic allies in the region.


(China Post, Mar. 28, 2010) President Ma Ying-jeou and his 90-member entourage returned to the Taiwan Taoyuan International Airport after concluding a one-week diplomatic visit to Taiwan's six allies in the South Pacific.


(Reuters, Mar. 27, 2010) Taiwan has leveraged its goal of a landmark trade deal with China to open talks with Japan, the United States and other powers on free trade deals expected to boost the long-isolated island economy, officials said.

China's Rise and Domestic Issues
Rio Tinto Bribery Case Highlights Tensions with Foreign Business in China (Washington Post, Mar. 23, 2010) The case against Hu comes at a time of heightened tensions between Beijing and the Western business community.

Regional Issues
The 2010 QDR and Asia: Messages for the Region By RADM Michael McDevitt (PacNet #12, Pacific Forum, CSIS, Mar. 23, 2010) The very explicit endorsement of the importance of US military presence in East Asia is a significant signal to Asia that the US has no intention of withdrawing from Asia in the face of growing Chinese military capability.
Posted by Roberto Abraham Scaruffi at 17:23