Chinese Economic Warfare

Source: http://www.chinadaily.com.cn/bizchina/2008-02/23/content_6478633.htm
US survey on Chinese economic clout disputed
By Qin Jize and Wang Zhenhua (China Daily)
Updated: 2008-02-23 09:35

Basic points from the article include:
~ 4 out f 10 Americans saw China as the world economic leader.
~ 33% chose the US as the world economic leader.
~ Most believed China will be the world's top economy in two decades.

The same survey conducted in 2000…
~ 65 percent chose the US as the world's economic leader.
~ More than half thought the US would remain the world's top economic in the next two decades.

~ Public opinion in the US about the Chinese economy has been misled by the Western media.
~ China's rapid growth has fostered the illusion that it could overtake the US as the global economic leader.
~ In China, the GDP growth for last year was 11.4 percent - the fastest in 13 years.

~ Uncertainty in the US is motivated by turbulence in financial markets, a weak dollar and worries over the fallout from the subprime mortgage crisis.

~ The economic gap between China and the United States remains huge."

According to the World Bank:
#1: The US had the world's biggest economy with a GDP of $13.2 trillion
#2: Japan had the world’s second biggest economy with a GDP of $4.34 trillion
#3: Germany had the world’s third biggest economy with a GDP of 2.9 trillion
#4: China, had the world’s fourth biggest economy with a GDP of $2.7 trillion
~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~

Here in the United States, its becoming commonplace to hear rumblings about how China is catching up the United States in the globalization game. This article appears to assuage America’s discomfort at the idea that we are losing sole super-power status to our eastern neighbors. I’m inclined to consider the source. This article, written by The China Daily clashes with other sources that suggests that China, on a global scale, enjoys a GDP trailing uncomfortably close to our own economic power.

In the book, China – Fragile Superpower, there are comments from China that are lifted right out of Sun Tzu’s Art of War, a military book devoted to warfare and military strategy. Whether it feels like war or not, the art of economics is a type of warfare. The notion of economic warfare and the fact that Chinese leadership frequently makes reference to this book of war, suggest that this book is a very popular volume among Chinese leaders. It also underscores that when we consider globalization, China is playing for keeps. China is at war with the United States of America. Meanwhile, America is asleep at the wheel. Maybe in the bigger picture, who holds the #1 economic position in the global market doesn’t really matter. Maybe we feel uncomfortable in the United States because of history. We may be wrong. Maybe China genuinely does intend to continue to work as a responsible neighbor. I’m inclined to point out that Chinese leadership is two-pronged. There are some in the Chinese government who value a long-term, worldwide economic win-win model. Meanwhile, there are other Chinese leaders who believe that they can best distinguish themselves on the worldwide stage by poking at the sleeping tiger. I want to believe that China has found a new direction; that the mistakes they have made represented growing pains, and that China has transformed into something wonderful. But no matter how hard I try, I can’t help feeling suspicious. Part of that suspicion is fueled by how frequently Chinese leaders use rhetoric lifted right out of Sun Tzu’s Art of War.

Why would the Chinese leadership be so familiar with The Art of War…so familiar that the rhetoric from this book is interlaced in their speech. Clearly, they view economics as warfare. The Chinese art of economic war is somewhat disturbing when we consider some of the basic premises in The Art of War. I’ll make no further commentary. Just read through and if you’ll find yourself thinking, repeatedly…how it sounds and feels strangely familiar (like something you just read about China, or a speech written by a Chinese beaurocrat)

Some concepts from the Art of War:

~ In conflict, straightforward actions generally lead to engagement; surprising actions generally lead to victory.
~ Those skilled in war subdue the enemy without battle... They conquer by strategy.
~ What is of the greatest importance in war is extraordinary speed: One cannot afford to neglect opportunity.
~ If an enemy has alliances, the problem is grave and the enemy's position strong; if he has no alliances, the problem is minor and the enemy's position weak.
~ The art of war is of vital importance to the State. It is a matter of life and death, a road either to safety or to ruin.
~ All warfare is based on deception. Hence, when able to attack, we must seem unable; when using our forces, we must seem inactive; when we are near, we must make the enemy believe we are far away; when far away, we must make him believe we are near. Hold out baits to entice the enemy. Feign disorder, and crush him.
~ Pretend to be weak, that he may grow arrogant
~ If he is in superior strength, evade him.
~ If his forces are united, separate them.
~ If sovereign and subject are in accord, put division between them.
~ Attack him where he is unprepared, appear where you are not expected.
~ We have heard of stupid haste in war, cleverness has never been seen associated with long delays.
~ Bring war material with you from home, but forage on the enemy... use the conquered foe to augment one's own strength.
~ The clever combatant imposes his will on the enemy, but does not allow the enemy's will to be imposed on him.
~ Avoid what is strong and to strike at what is weak.