Chinese Aggression

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    - G. Parthasarathy (21.07.2011)

    - Nilanjan banik (21.10.2011)

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    Dr Henry Kissinger makes some interestingrevelations about China's invasion of Vietnamin March 1979 in his recent book on China.

    explains how Deng Xiao Ping made elaboratepreparations to invade Vietnam by embarkingon a charm offensive, with visits to Japan,South East Asia and last but not least, to theUS.

    According to Kissinger, Deng indicated thatChina's plan was to mount a limited punitivestrike, followed by a retreat in Vietnam, as ithad done in the 1962 conflict with India.

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    According to china, China in these days isbecoming more and more assertive in nature.

    Major issue is the chinese border claims with its

    neighbours. Also works on its projects in diverting waters of

    the river BRAHMAPUTRA.

    Clearly alarmed by China's growing

    assertiveness' on its maritime boundaries, fromJapan, South Korea and Vietnam to thePhilippines, Malaysia and Brunei, Hillary Clintonjoined Asean Foreign Ministers at an AseanRegional Forum meeting in Vietnam in July 2010,expressing concern about growing Chinesedisinclination to work constructively with itsAsean neighbours.

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    The US' concern was again expressed at ameeting of Defense Ministers of Asian and its

    partners in Hanoi in October 2010. During thepast year China has not hesitated to use forcealong its maritime boundaries with Japan,

    Vietnam and the Philippines.

    In May 2011, a Chinese fishing boat escorted bytwo Chinese naval vessels deliberatelyrammed a Vietnamese seismic survey ship.

    Vietnam was told: China will take whatevermeasures are necessary to protect its interestsin the South China Sea.

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    The Finance Minister, Mr Pranab Mukherjee,

    told Vietnam's Prime Minister, Mr Nguyen TanDung, on May 8 that India would continue toassist Vietnam in the modernisation of itsarmed forces, focusing attention primarily onits Air Force and Navy.

    If we are really serious about developingVietnam's capabilities to defend its maritime

    boundaries, we should be prepared to transferpotent weapon systems, such as the BrahmosCruise Missile, to that country.

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    Not only is claim being laid to the entire Stateof Arunachal Pradesh, but China is now

    alluding to the length of the Sino-Indianborder as 2,000 km instead of the actuallength of 3,488 km, thereby excluding itsborders in the western sector with Jammu andKashmir from the ambit of differences overthe Sino-Indian border.

    India needs to play an active role in buildingan inclusive architecture for security in theSouth China Sea and across the Asia-Pacific.

    We are expanding defence ties with Japan andparticipating in multilateral naval exercises.

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    These aggressive actions of china are anoutcome of a combination of factors, such asprotectionist measures in the US and the EUagainst Chinese exports; unabated price risein China, including higher labour costs,energy prices and land rents; and theappreciation of the renminbi.

    In this scenario, the South-East Asian regionpromises access to a bigger market.

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    China after 2008:

    During 2008, Chinese exports to the EU andthe US fell by 19.4 per cent and 12.5 per cent,

    respectively. Global Trade Alert (a database tracking

    number of protectionist measures imposedaround the world) has indicated that as many

    as 659 measures were initiated againstChinese exports after 2008.

    Chinese firms are looking for alternativeproduction bases to evade such protectionist

    measures. Given its geographical proximity tomainland China, the South-East Asian regionbecomes a natural choice.

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    Active intervention of the chinese centralbank in Foreign exchange market toappreciate renminbi and increase in incomesin China, have resulted in overheating of theeconomy.

    On a year-on-year basis, as of November 2010,

    labour costs were up by 21 per cent, and thehome prices across 70 cities in China havegone up 7.7 per cent.

    If allowances are to be added with annual

    wages, Chinese labour costs are at least doublecompared with other regions in South-East

    Asia.

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    Access to a bigger market:

    Trade and investment measures undertaken

    in the South-East Asian region are non-discriminatory and complementary in nature.

    Asean nations such as Cambodia, Laos,Myanmar and Vietnam are increasingly

    driving down tariff barriers and other bordercosts.

    Free market access for Chinese exports into

    this region means a larger market for theirmanufacturers.

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    China has also granted zero tariffs treatmentto Cambodia (83 products), Laos (91 products)and Myanmar (87 products).

    The US wanted to mediate using the Aseanforum, which China has been opposing. So

    what the Indian media calls Chinese

    aggression appears to be quite rational on thepart of China.

    Hence, China a shows a greater interest in thesouth east asian countries on the border wise

    and also market wise which indeed in wholeMaking china as a supreme power of ASIA.

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    COURTESY: BUSINESS LINE

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