Boston Bureau

China goes to Charm School

By Libby Hughes, Boston Bureau for Cape Cod Today

Despite the whoopee for the Red Sox triumph on Tuesday evening's celebration, the Kennedy School of Government attracted a full house for the Forum's Malcolm Wiener Lecture by James Kynge (on right), author of China Shakes the World.

The audience was silent, hanging on every word from the British journalist who has spent 20 years in Asia with both ears attuned to the peaks and valleys of China's Cultural Revolution and evolution.

Journalists in the mid-1980s

Kynge reminisced to the mid-1980s for foreign journalists in China. "There were rituals for them," he said. "There was a lunch to welcome incoming journalists where rules and regulations were explained, accompanied by a warning-their reports would not have the smallest effect on the development of the country. At the farewell lunch, there would be a plate presented to the journalist with a picture of the Great Wall of China engraved across it. The wall symbolized friendship."

Or did the Great Wall symbolize an impenetrable wall to the inscrutable facts of the real China?

Free markets and democracy?

After Dung Shao Ping's rule (1977-1997), China began to open its doors to a freer market. Chinese students were allowed to study abroad; tariffs came down; changes showed economic strength. It became apparent that China wanted to resemble the West. The West misinterpreted these changes by thinking that China was becoming a capitalist country, heading towards democracy and human rights. Oh no, that was not the case. They were clinging to their Communist Party control, but with an appetite for economic expansion.

China becomes a big investment player

In the last few years, according to Kynge, China has been changing and engaging in the world economy, watching the price of the dollar, the future, and Asia's business cycle. China has become a big player in the purchase of banks-specifically, the Standard Bank in South Africa. And yet, their entry into foreign markets is limited because the Chinese don't have a legal system to govern their purchases. Nevertheless, they have $1.4 billion in reserves and are looking for foreign investments. But China is unreformed politically. In fact, James Kynge alleges that the government of China is more powerful today than it was in 1949.

He said that the Communist Party and government manage U.S. relations. They were instrumental in getting North Korea to drop their nuclear power threats. China engages in military exercises with Russia. They are demanding that the United States withdraw from their bases in Asia.

Local disobedience in a big country

Because of growing domestic nationalism in China, young adults are being taught and warned against foreign domination, including Japan. Still, China is dependent on the world to supply them with oil, gas, and technology. Therefore, China is launching a soft power offensive of charm because of hosting the Olympic Games in August of 2008 when a deluge of 20,000 journalists will land in China.

The 15 questions came mostly from Chinese students. Here are some.

• 1. The first questioner asked if the Party Congress still had power. Kynge thought they were important, but not significant since more localities across China are becoming disobedient. He said there had been 87,000 incidents of disobedience.
• 2. The second question dealt with the Olympics and journalists. Again, Kynge noted that journalists are now free to travel anywhere in the country without prior permission. China hopes that the foreign press will show China as much more modern. A big step.
• 3. Another questioner wanted to know if China had any connection to the Middle East. Kynge thought that China's appetite for oil was the driving motive although they were making some attempt to show compassion in Darfur.
• 4. Climate changes affect China? The answer indicated that there is a crisis in pollution. China burns two billion tons of coal a year. Coal is 70% of the country's energy.
• 5. How do the Chinese youth respond to trends? Kynge noted that the Chinese youth are interested in material advancement, but they need spirituality and friendship to balance that against the desire for making money.
• 6. The inevitable question about Taiwan and China was raised. "China has toned down its language against Taiwan and is using charm instead. Taiwan only wants de facto independence. China wants to bring Taiwan back into the fold, but they know America will come to Taiwan's defense. Over time, economic convergence will pressure Taiwan into reunification."
• 7. What about the Chinese stock market? With a slight smile, Kynge stated that the stock market has had a dramatic rise in China, but predicted that it wouldn't fall before the Olympics. Understated laughter.

And so, the Chinese giant wields a club of charm. America, BEWARE.
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Editor's note: Author Libby Hughes lived in Asia for six years.