China Global The German Marshall Fund

The Biden administration maintains that China is the only country with both the intent to reshape the international order and the power to do so. One part of China’s economic statecraft toolkit involves state-directed investments through high profile projects in the Belt and Road Initiative which are funded by loans through Chinese development banks. But the role and impact of Chinese companies that provide equity funding for foreign direct investment (FDI) often receive less attention. Does Chinese FDI have illiberal effects on recipient countries. And is this goal part of China’s economic statecraft and foreign policy strategy.

To address these questions and more, host Bonnie Glaser is joined by Dr. Jan Knoerich. He is the author on a chapter of Chinese FDI on the recent Oxford publication “Rising Power, Limited Influence”, a collection of essays on the effects of Chinese investment in Europe. Dr. Knoerich is a senior lecturer on the Chinese economy for the Lau China Institute at King’s College in London. He is an expert on the Chinese economy, FDI, and international investment law and policy.

When Hong Kong was handed over to China by the United Kingdom 1997, the city was given a mini-Constitution called the “Basic Law.” Article 23 of the Basic Law states that Hong Kong shall enact laws of its own to prohibit various national security offenses. The law did not pass, however, and was scrapped after mass protests in 2003. And in 2020, the Central Government of the People’s Republic of China (PRC) imposed a separate national security law on Hong Kong, citing the city’s delay in acting on Article 23.

This year on March 19th, Article 23 was passed unanimously by the city’s parliament and it came into effect just days later. The law covers five types of crime: treason, insurrection and incitement to mutiny, theft of state secrets, and espionage, sabotage, and external interference. Critics say that Article 23 could lead to even further erosions of civil liberties in Hong Kong.

To discuss Article 23 and its implications, host Bonnie Glaser is joined by Dr. Eric Yan-ho Lai. Dr. Lai is a Research Fellow at the Georgetown Center for Asian Law, an Associate Fellow at the Hong Kong Studies Hub of the University of Surrey, and a member of the Asian Civil Society Research Network.

In the past decade, policy toward China has hardened on both sides of the Atlantic. Governments and publics across Europe and in the United States view Xi Jinping as implementing more repressive policies domestically and more aggressive policies abroad. The US and most capitals in Europe see Beijing as seeking to revise the international order in ways that would be disadvantageous to democracies. They agree on the need for de-risking and to preserve the status quo in the Taiwan Strait.

Yet, despite the alignment in transatlantic assessments, cooperation on China remains limited. A new paper by experts from Chatham House and RUSI, leading think tanks in the United Kingdom, analyzes why transatlantic mechanisms have made slow progress, focusing on three domains: economics; security; and the multilateral system and global norms. The paper also offers ways to strengthen cooperation going forward.

The title of the report is “Transatlantic China Policy: In Search of an Endgame?” Host Bonnie Glaser is joined by one of its authors, Ben Bland who is the director of the Asia-Pacific program at Chatham House. His research focuses on the nexus of politics, economics, and international relations in Southeast Asia, as well as China’s growing role in the broader region and the contours of US–China strategic competition.

On a previous episode of the China Global Podcast, we discussed Beijing’s position on the conflict in Gaza during the early days following Hamas’ attacks on Israel on October 7, 2023. Today, we discuss one of the conflict’s spillover effects– the attacks on cargo and trade ships transiting the Red Sea by the Houthis, an Iranian-backed Shia group governing parts of Yemen. While the Chinese-brokered rapprochement between Saudi Arabia and Iran was as the beginning of a “wave of reconciliation” in the region by China’s foreign minister Wang Yi, the resurgence of violence since October 7th has proven that prediction to be overly optimistic.
At face value, disruptions of global trade may seem to run counter to Chinese interests, but Beijing’s hesitance to become more deeply involved in the crisis may tell us something about China’s calculations in this crisis. It may also show the limits of Chinese influence in the region.
Host Bonnie Glaser is joined by Ahmed Aboudouh. Ahmed is an associate fellow with the Middle East and North Africa Program at Chatham House, a nonresident fellow with the Atlantic Council, and heads the China Studies research unit at the Emirates Policy Center. His research focuses on China’s rising influence in the Middle East and North Africa region, Gulf geopolitics, and the effects of China-US competition worldwide.

On February 1st 2021, the Tatmadaw, or Myanmar military began a coup d’etat against the democratically-elected government, which was led by the National League for Democracy (or NLD) just before elected officials from the November 2020 elections could be sworn in. Since then, Myanmar has been largely controlled by a military junta, who continue to struggle against multiple ethnically-aligned armies dispersed throughout the country. Some countries in the region have refused to recognize the junta, but the People’s Republic of China called the coup simply a “major cabinet reshuffle” and accelerated their military trade with the junta while decrying Western sanctions on the country as escalatory measures, even going so far as to veto a security council resolution condemning the coup alongside Russia.

China’s approach to relations with Myanmar since the coup have been evolving swiftly, especially since the recent Operation 1027, a large offensive staged by the ethnic armed forces coalition known as the Three Brotherhood Alliance on October 27th 2023. The losses by the junta during the operation revealed their control of the country to be more tenuous than Beijing might have expected and exemplify the complex factors going into China’s decision-making approach to the conflict.

For this episode, host Bonnie Glaser is joined by Jason Tower, the country director for the Burma program at the United States Institute for Peace. Tower has over 20 years of experience working in conflict and security issues in China and Southeast Asia, including analysis on cross-border investments, conflict dynamics, and organized crime in the region. He worked previously in Beijing and is a former Fulbright research student and Harvard-Yenching fellow.

Many books about US-China strategic competition have been published in recent years. This episode will focus on Facing China: The Prospect for War and Peace, which examines various flashpoints in the Indo-Pacific that could result in military conflict.

There are several reasons why this book stands out: First, it includes an examination of debates within China about China’s national interests; Second, it focuses not only on the challenges of major wars, but also on China’s gray-zone strategy of deliberately pursuing its interests in ways that stay below the threshold that would trigger a US military response. And finally, it assesses the applicability of the Thucydides Trap to the US-China relationship. The Thucydides Trap concept was coined by Graham Allison who examined historical cases in which a rising power threatened to displace a ruling power in his book Destined for War: Can America and China Escape Thucydides’s Trap? Allison concluded that in the majority of historical cases the outcome was war.

This book is especially interesting because it is written by a European expert who has deep knowledge of Taiwan, mainland China, and the United States: Jean-Pierre Cabestan. He is an emeritus senior researcher at the French Center for Scientific Research in Paris and an emeritus professor political science at the Department of Government and International Studies at Hone Kong Baptist University, and a visiting senior fellow at GMF.