A Critical Matter of National and Economic Security: U.S.-China Economic and Security Review Commission 2010 Report to Congress

Today, [November 17, 2010] the U.S.-China Economic and Security Review Commission releases its 2010 Report to Congress. The Commission’s Chairman and Vice Chairman discuss the Commission’s findings and recommendations.



In his opening statement, Commission Chairman Dan Slane said “The 2010 Annual Report reflects the Commission’s conclusions that China has failed in some notable areas to fulfill the promises it made nine years ago when it joined the World Trade Organization. Specifically, China is adopting a highly discriminatory policy of favoring domestic producers over foreign manufacturers. Under the guise of fostering “indigenous innovation” in its economy, the government of China appears determined to exclude foreigners from bidding on government contracts at the central, provincial, and local levels. In addition, China has proposed that its many state-owned corporations be exempt from WTO rules on procurement. The Chinese government quite simply intends to wall off a majority of its economy from international competition.”


In her opening statement, Vice Chairman Carolyn Bartholomew commented on China’s military modernization, saying “As a result of China’s improved offensive air and missile capabilities, the Chinese military has strengthened its capacity to threaten U.S. forces and bases in the region. Currently, China’s conventional missile capabilities alone may be sufficient to temporarily knock out five of the six U.S. air bases in East Asia. Saturation missile strikes could destroy U.S. air defenses, runways, parked aircraft, and fuel and maintenance facilities. Complicating this scenario is the future deployment of China’s anti-ship ballistic missile, which could hold U.S. aircraft carriers at bay outside their normal operating range.”


Among the topics in the 316-page report:

Economics and Trade Issues:

· China’s ‘indigenous innovation’ policy to promote favored industries and limit imports.

· China’s currency manipulation and its effects on the United States.

· China’s purchases of U.S. Treasury securities and the implications for the United States.

· China’s measures to restrict rare earth element exports.

· China’s past and future role in the World Trade Organization.

Chinese Carrier Shi-Lang at Dalian Yards.This Ukr. 67,500 Ton Kuznetsov-class Vessel, Originally Varyag,is Operational
Now According to Our Intelligence Sources, Not 2015 as recently reported - Image PLAN

National Defense Issues:

· China’s growing air and missile capabilities, and the increasing capacity to strike U.S. bases and allies in the region.

· China’s improving commercial aviation manufacturing capabilities, and the spillover benefits for China’s defense aviation industry.

· The increasingly sophisticated nature of malicious computer activity associated with China.

Foreign Affairs Issues:

· China’s increasing political, economic, energy and security interactions with Southeast Asia, and the implications for U.S. interests in the region.

· Recent developments in the China-Taiwan relationship, and implications for the United States.
Energy and Environmental Issues:

· China’s efforts to promote green energy in order to increase its energy security, prevent environmental degradation, and develop a globally competitive green energy industry.

· Ohio’s response to China’s promotion of its alternative energy industries.

Censorship Issues:

· How China’s revised state secrets laws may conflict with U.S. disclosure requirements and put U.S. investments in Chinese firms at risk.

Related Analyses:

http://www.slideshare.net/GHHLLC2/ronis-scenario1-2-06a-sans-pw
http://www.slideshare.net/GHHLLC2/annual-report-to-congress-military-and-security-developments-involving-the-peoples-republic-of-china-2010
http://www.slideshare.net/GHHLLC2/project-on-national-security-reform-vision-working-group-report-and-scenarios-including-industrial-base-south-china-sea
http://www.slideshare.net/GHHLLC2/20092010-auto-industry-analysis-gms-transition-to-china-4-emotion-reportscom

The U.S.-China Economic and Security Review Commission (USCC) will release its 2010 Annual Report to Congress on November 17th



Image: China Flag.org

This year’s report will cover recent developments in the U.S.-China trade and economic relationship; implications of U.S. debt to China; China’s role in the WTO; China’s growing air and missile capabilities; China’s role in Asia, including Southeast Asia, Hong Kong, and Taiwan; China’s environmental and green energy policies; U.S. and Chinese efforts to promote solar and wind energy manufacturing; China’s domestic internet censorship practices; and the external implications of China’s internet related activities.

The 2009 Report can be accessed here:
http://www.uscc.gov/annual_report/2009/annual_report_full_09.pdf

Related: Project On National Security Reform Vision Working Group Report and Scenarios

http://www.slideshare.net/GHHLLC2/project-on-national-security-reform-vision-working-group-report-and-scenarios-including-industrial-base-south-china-sea

Testimony of eMOTION! REPORTS.com Publisher Myron D. Stokes During 2006 Hearings CHINA'S IMPACT ON THE U.S. AUTO AND AUTO PARTS INDUSTRIES (Page 174)

http://ow.ly/313Dn (note: Site may request download permission)

eMOTION! REPORTS.com Publisher's Response to ChinaDaily Analysis "SAIC Says Likely to Participate in GM IPO"

Delivery of Buick to Chinese Customer  Image: GM

"Colleagues:   

Until China ceases its prosecution of provable economic war against the United States, as confirmed by the United States-China Economic and Security Review Commission (USCC.gov) 2009 Report to Congress(http://www.uscc.gov/annual_report/2009/annual_report_full_09.pdf) and an unprecedented military build-up with the intent to challenge, if not usurp, the US/UK as the premier global power (stated with specificity by the US Department of Defense Annual Report to Congress (http://www.slideshare.net/GHHLLC2/annual-report-to-congress-military-and-security-developments-involving-the-peoples-republic-of-china-2010 ) GM leadership and its current owner, the United States government, are ill-advised to permit any further transfer of manufacturing processes and other sensitive technologies to still-communist China. Technology, it cannot be argued, that is being used to greatly enhance its own defense industrial base in the manner of DARPA.


"Moreover, recommendations are being made that the SEC delay the IPO for at least a year, and that CFIUS (Committee on Foreign Investment in the United States) is further empowered to prevent SAIC or any other Beijing-controlled entity from GM IPO participation in the interests of national security.


"The following analysis "GM's Transition to China" goes into great depth relative to China's aspirations, motivations and the profound changes it still needs to make --particularly in the human rights arena which includes acknowledgement of a Mao-ordered mass murder of old and infirm Chinese citizens of historically unprecedented magnitude in 1949 -- in order to gain the perception, if not reality, of "normalcy" it so desperately seeks through any means, covert or overt, necessary. ( http://www.slideshare.net/GHHLLC2/20092010-auto-industry-analysis-gms-transition-to-china-4-emotion-reportscom  )

"Whether those individuals, corporations and policy makers who have allowed themselves to become blinded by the economic potential that China represents -- and is demonstrating -- want to believe it or not, armed conflict with the world's oldest continuing civilization is on the near horizon; an emergent reality brought into sharp focus via the "Industrial Base" analysis contained within the recently released "Project on National Security Reform Vision Working Group Report and Scenarios". (http://www.slideshare.net/GHHLLC2/project-on-national-security-reform-vision-working-group-report-and-scenarios-including-industrial-base-south-china-sea)


"While we applaud the observable results of China's second "Great Leap Forward" we are mindful of the words a colleague once wisely uttered: "Embrace globalization... just don't let it kill you."


Myron D. Stokes
Publisher
eMOTION! REPORTS.com http://www.emotionreports.com

SOURCE: US "ENCOURAGING" CHINA'S SAIC TO TAKE CONTROLLING INTEREST IN GM DESPITE NATIONAL SECURITY RISK (Update 12/09 release)

GM Shanghai Campus Media Conference  Image: GM China

"It is our understanding several members of the original GM Task Force have been, and are, acting in the interests of China and not the US. We believe that the data presented in the December release and other analyses presented over the years, supports this contention." - Myron D. Stokes, Publisher


Detroit, MI, September 21, 2010 (PressReleasePoint) -- UPDATE: eMOTION! REPORTS.com sources are advising that officials within the US government, despite strong objections voiced by representatives of both CFIUS (Committee on Foreign Investment in the United States) and the Department of Defense (DoD), are "encouraging" China's SAIC to take a controlling interest in GM, with the intent of neutralizing its near-USD 50bil interest.



"Compromising national security", said a source who asked not to be identified as they were not authorized to speak on the adminstration's behalf, "in the interest of 'balancing the budget' with a Communist, dictatorial regime identified by the ANNUAL REPORT TO CONGRESS: Military and Security Developments Involving the People’s Republic of China 2010 as a clear and emergent 'threat' is not wise. It is our hope that wiser minds will prevail, considering the outcome in pursuing this course is decidedly ominous."



China's core aspirations to dominate the world's auto industry - and by natural extension, manufacturing as a whole - has been outlined with specificity by eMOTION! REPORTS.com, as evidenced by its December 2009 release 'GM's Transition to China"



Publisher Myron D. Stokes stated that "It is our understanding several members of the original GM Task Force have been, and are, acting in the interests of China and not the US. We believe that the data presented in the December release and other analyses presented over the years, supports this contention." -
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