China's Communist Party sees India as part of U.S. "containment" strategy

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http://www.thehindu.com/news/national/article1413573.ece

China's Communist Party has expressed concern at the country's neighbours, including India, being drawn into a United States-led "anti-China alliance," suggesting a seven-step strategy, from using China's economic clout better to building new alliances to counter American influence in the region.

An article published in the latest issue of Qiushi (Seek Truth), party's official magazine and an influential journal that is circulated among its members, called for a review of China's foreign policy and for the country to come up with an adequate response to new challenges posed by the U.S.

Last year has been seen by many in China as a particularly testing period for its diplomacy, with rising tensions with many of its neighbours and concerns at the U.S.'s renewed engagement in the Asia-Pacific.

"The U.S. seems highly interested in forming a very strong anti-China alliance. It not only made a high-profile announcement of its return to East Asia but also claimed to lead in Asia," said the article, whose author was named as Xu Yunhong.

"What is especially unbearable is how the U.S. blatantly encourages China's neighbouring countries to go against China," it added.

"Countries like Japan, India, Vietnam, Australia, the Philippines, Indonesia, and Korea are trying to join the anti-China group because they either had a war or another conflict of interest with China."

The journal is perhaps China's most influential publication on policy issues, published by the Communist Party and often used to articulate policy positions in clearer terms than the diplomatic language used by government officials.

While it remains unclear whether the article reflected the government's views, many Chinese strategists in official think-tanks have increasingly voiced similar anxieties about the U.S. attempting to "contain" a rising China by courting its neighbours.

Many of China's neighbours, including Japan and even Vietnam, have recently sought closer military alliances with the U.S., blaming an increasingly assertive Chinese military for creating tensions. Last year saw territorial disputes between China and several of its neighbours resurface. China's relations with Japan deteriorated over disputes over islands in the East China Sea, while new Chinese claims over the entire South China Sea triggered concerns among its South-East Asian neighbours.

India, too, has been increasingly perceived by some strategists in China — particularly in military circles — as moving closer to the U.S. and as a key element in this supposed "containment" strategy.

The article said, "The probability for India to cooperate with China is also not great," referring to the potential for the two countries to work together on economic issues to counter the U.S.

"India has stayed closely allied with the U.S. in recent years, and [U.S. President Barack] Obama promised to support India for a permanent membership in the UNSC [United Nations Security Council]," it said.

"India's purchasing power of foreign exchange reserves is very limited anyway, so it cannot influence the overall situation much," it added, suggesting China needed to use its economic clout to challenge the dominance of the U.S. currency.
U.S. measures

The article, which was translated by the website Chinascope, identified six measures used by the U.S. to contain China: trade war, an exchange rate war, a public opinion war, military exercises, an anti-China campaign and developing alliances with neighbours.

It called for a seven-pronged response, from using China's rising economic influence and better-organised military exercises to building alliances with countries that were not close to the U.S., with a focus on Europe and South America. "What is the most powerful weapon China has today? It is our economic power, especially our foreign exchange reserves. The key is to use it well," it suggested.

China needed "to send a clear signal to our neighbouring countries that we don't fear war, and we are prepared at any time to go to war to safeguard our national interests."

China's neighbours, it added, needed "China's international trade more than China needs them." China's economic strength was "the most effective means to avoid a war."
 

ganesh177

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India will be more than happy to have US leading asia, than china.
 

mayfair

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Not surprised to see Chindu enthusiastically serving as Chicom mouthpiece. These tossers are practically justifying every Chinese hostile act against India.
 

Virendra

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http://www.thehindu.com/news/national/article1413573.ece
"India's purchasing power of foreign exchange reserves is very limited anyway, so it cannot influence the overall situation much," it added, suggesting China needed to use its economic clout to challenge the dominance of the U.S. currency.
U.S. measures
Yeah I'd wish they keep thinking like that always. Rise of China or any other country is something no one can actually stop if it is really ought to and capable (as in this case). But what the Chinese could've done better in having this rise was to not let it riddle the sensitive skin of neighbours. You don't want to lift up brushing against others, leading to friction and spark unless you're dying to burn yourself up.

Regards,
Virendra
 

mattster

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Rise of China or any other country is something no one can actually stop if it is really ought to and capable (as in this case).
Virendra
Really if you look at China's India policy for the past 50 years - its been all about containing India by supporting Pakistan thru thick and thin.

Pakistan would not mean shit to China if it were not for their ability to create chaos for India. The entire China-Pak alliance is based on a mutual enemy which is India. I have to say the chinese have been pretty successful in supporting Pak in their proxy war against India.

What is funny is that the Chinese are starting to realize that people in Asia dont trust them one bit. The entire South-Asia region can turn on a dime if China makes any aggressive moves against any of its neighbours. The only real friend that China has in South-Asia is Pakistan. Even in Pakistan those mullahs probably hate the Chinamen. All their neighbours even the Russians are somewhat wary of China.

The Chinese think that they can buy their way into the hearts of some countries and people.
 

Virendra

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How true. I wonder at the irony that brothers of past are now tight rivals. So much that the barely known outsiders (China) exploited it like anything. If you take common sense and history into account, forgetting the rivalry for a while ofcourse, who would be a natural choice to relate to - for India or Pakistan. The brothers state with which so much is shared as one (remember I'm putting rivalry aside for a while) Or .... the mostly unknown entity with which neither parties had much in common? IMO this is a modern version of British divide and rule for South Asia, little more covert and in background.

Regards,
Virendra
 

Oracle

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China ready to go to war to safeguard national interests

BEIJING: Terming US attempts to woo India and other neighbours of China as "unbearable," an article in a Communist party magazine has said that Beijing must send a "clear signal" to these countries that it is ready to go to war to safeguard its national interests.

The article published in the Qiushi Journal, the official publication of the ruling Communist Party of China (CPC) said China must adhere to a basic strategic principle of not initiating war but being ready to counterattack.

"We must send a clear signal to our neighbouring countries that we don't fear war, and we are prepared at any time to go to war to safeguard our national interests," the article said, suggesting an aggressive strategy to counter emerging US alliances in the region.

"Throughout the history of the new China (since 1949), peace in China has never been gained by giving in, only through war. Safeguarding national interests is never achieved by mere negotiations, but by war," it said.

The piece said countries like Japan, India, Vietnam, Australia, the Philippines, Indonesia, and Korea are trying to join the anti-China group because they either had a war or a conflict of interest with China.

"What is especially unbearable is how the US blatantly encourages China's neighbouring countries to go against China. We cannot completely blame the US, as flies do not stare at seamless eggs.

"They are attempting to gain benefits by using US," it said.

It suggested that China should use its economic clout and trade as a weapon to rein in neighbours.

"China's neighbouring countries need China's international trade more than China needs them, with the vast majority of China's trade deficit caused by these countries," it said.

"Therefore, they, but not China, will suffer greater damage by antagonising China. China should make good use of these economic advantages and strategic power. This is also the most effective means to avoid a war," it said.

The article said the US has adopted a series of strategies to contain China like through an exchange rate war, through a public opinion war, besides launching military exercises and simulated warfare, and the development of an anti-China alliance.

China on its part, it said, can consider the idea of launching economic warfare through strategies to contain the US dollar and making effective use of forums like the IMF and initiating a space war by developing strong space weapons.

It also suggested as a counter-strategy the idea of pursuing a strong policy against neighbours joining the US alliance, even attacking a nearby enemy and forming anti-US alliances in Latin America and Africa.

It also said the China should also launch a public opinion war by making an effective use of the free media in the US and other democracies.


Though suggesting a hard-line policy towards neighbours, the article, however, proposes to rope in countries with good foreign reserves like India to neutralise the influence of US dollar.

"Of course, to fight the US, we have to come up with key weapons. What is the most powerful weapon China has today? It is our economic power, especially our foreign exchange reserves (USD 2.8 trillion). The key is to use it well. If we use it well, it is a weapon; otherwise it may become a burden," it said.

China, it said, should ensure that that fewer countries should keep their forex reserves in US dollars.

"China, Japan, the UK, India, and Saudi Arabia are all countries with high foreign exchange reserves," it said analysing each country's ability to align with China against the US.

"Japan is constrained by the Japan-US Security Treaty and will not break away from the US... Great Britain has always followed the US, so the probability that it will cooperate with China is also pretty low".

"India has stayed closely allied with the US in recent years, and Obama promised to support India for a permanent membership in the UNSC. Thus, the probability for India to cooperate with China is also not great.

"India's purchasing power of foreign exchange reserves is very limited anyway, so it cannot influence the overall situation much," it said.

So in view of this China should "pick up courage" and go for aggressive buying of other currencies, including the Indian Rupee hence taking the lead in affecting the market for US dollars.

This approach, it said, is market-driven and it will not be able to easily blame China.

"Of course, the most important condition is still that China must have enough courage to challenge the US currency. China can act in one of two ways. One is to sell US dollar reserves, and the second is not to buy US dollars for a certain period of time," which will weaken the currency and cause deep economic crisis for Washington.

Given the fact that China is the biggest buyer of US debt, its actions will have a demonstrable effect on the market.

"If China stops buying, other countries will pay close attention and are very likely to follow. Once the printed excess dollars cannot be sold, the depreciation of the dollar will accelerate and the impact on Americans wealth will be enormous.

"The US will not be able to withstand this pressure and will curtail the printing of US currency," it said.

Source
 

SHASH2K2

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SO Finally Alliance against china seems to making them restless. They were trying to eat more than they can chew and revealed their plans a too early . This statement is nothing but a statement out of frustration. Good Job India . we have taken right decision by aligning with America. Now feeling in China is same that we feel about their relationship with Pakistan.
 

thakur_ritesh

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i think few concerns are genuine.

where he says china should buy into indian currency and then try and manipulate it. i think after reading this, the previous article which was rather critical about rbi's decision about not making inr as trading currency between india-iran holds its ground, with rbi's decision making perfect sense and india's hesitance at going for full convertibility. having said that i hope there are not too many chinese or their proxies being allowed into the stock market either, which would result into as much disaster. hope the rbi, and MoF keep a steadfast eye on all these developments.

where he talks about trade war, well i think india doesnt as of now need to worry too much since the imports being done are not of basic necessities but none the less the government be up to the task here as well and continue putting as many anti dumping duties on as many articles as possible, restrict their product flow sighting xyz reasons and demand trade parity for any further increase in trade, these guys better be kept under check.

other than that the military threat has been faced by india for quite some time, and how is it that this person forgets the encirclement of india that china is doing in an attempt to bog down india significantly to the region but when the same happens with china they get all nervous and touchy about it and blast off this article?

anyways in all this hope india doesnt get too dependent on the US either else india could well be used as a bargaining chip at some point in time, also as i have said earlier, india needs to find a middle path than be seen as a spoiler by either, that said india needs to also continuously court the russians so that the balance and indian interests are well maintained and everyone remains interested and keeps doing that extra bit to gain india's attention.
 
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SO Finally Alliance against china seems to making them restless. They were trying to eat more than they can chew and revealed their plans a too early . This statement is nothing but a statement out of frustration. Good Job India . we have taken right decision by aligning with America. Now feeling in China is same that we feel about their relationship with Pakistan.
Chinese rise has peeked now the decline begins and payback from all the neighbors they made enemity with in their arrogance.
 

SHASH2K2

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Chinese rise has peeked now the decline begins and payback from all the neighbors they made enemity with in their arrogance.
I wish that was the case but looks like their growth continues. economy is still in very good shape that gives them confidence for being arrogant.
 
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I wish that was the case but looks like their growth continues. economy is still in very good shape that gives them confidence for being arrogant.
Since they are the new world leaders why worry about a USA-India alliance?? They can handle it and just overreacting.
 

kickok1975

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Last year is a disaster for China's foreign policy. If there is a check and balance, the person responsible for it should be fired off his post.

However, it's inevitable US will try to contain China, sooner or later. As only super power in the world, the world should be lead by American way in their eyes. Any challenges to their world dominance would be considered as threat, and thus, should be contained and prevented, regardless what type of country such challenge come from. India will face same situation once you grow big enough and not follow American way of world rules.

Regarding China's foreign policy, government (or military maybe?) miscalculated the situation, got over confident and bluntly spread some "core interest" theory that unnecessarily strained our relationship with some neighbors. But objectively speaking, when a country as big as China getting even powerful, her neighbors are in a forever mode of nervousness unless China can convince them her rise is peaceful and non-harmful.

As for India, being considered as a chess piece of America is nothing to be proud of. India is a proud country and right now is in a perfect diplomatic situation like China enjoyed 30 years ago. It would be in India's best interest not join any alliance or at least not openly support such ideal. We all know how fragile such alliance is and how unreliable our super power friend it is. US policy toward China could be hostile for now but both countries will still pretend to be friendly because they badly need each other. Other countries don't have such luxury. It would be naive and tragedy for a country to openly against China, expect reward from US, and later on find themselves left alone. US always did such thing. Vietnam and even Japan recognize it, not to mention Korea, Indonesia and Philippine. Vietnamese leader has secretly visited China several times to assure Chinese leader their true intention. Japanese prime minister has expressed his dire need to improve mutual relationship and vowed he want to visit China as soon as possible.

Just like that article says, Unlike US has huge trade deficit with China, most Chinese neighbors are benefiting from China. You could lose a lot more before you gain any, after all, US is thousands miles away.
 
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Kickok -India maintains an independent and neutral foreign policy and always has historically(non aligned movement) but is the the Chinese governments' overtly hostile position against India that has pushed India towards USA.
 

kickok1975

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Kickok -India maintains an independent and neutral foreign policy and always has historically(non aligned movement) but is the the Chinese governments' overtly hostile position against India that has pushed India towards USA.
I'm not happy with current India-China relationship. I guess most of India's resentments come from China's support to Pakistan. It's a complicated situation we should discuss in seperate thread.

Back to topic, India should be carful to play this "fire" game US created. Nevertheless, I do think you can gain a lot by stay neutral.
 

LurkerBaba

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Why is it so difficult to understand?

It's a friggin no brainer. China supports Pakistan (India's mortal) enemy, has given nukes to it too. What is India supposed to do? Sing songs of Asian Brotherhood? It's obvious why India is getting closer to the west
 
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SHASH2K2

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I'm not happy with current India-China relationship. I guess most of India's resentments come from China's support to Pakistan. It's a complicated situation we should discuss in seperate thread.

Back to topic, India should be carful to play this "fire" game US created. Nevertheless, I do think you can gain a lot by stay neutral.
Kikock India still maintain a independent foreign policy and is not an ally of USA . Recent working together with china on environmental issue is one such example but given hostility between our country some mutual understanding are bound to be there . After all enemies enemy is my friend .
 

Ray

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Kickok,

While one cannot agree with all your points, nonetheless, it is a good analysis from a Chinese standpoint with fine diplomatic balance. May I commend you for your post!

Your analysis of what the US perceptions are that is moving it in the direction that they have chosen, which also has been very pragmatically enunciated in the Chinese report, are valid and is a truism.

However, to be very frank and objective, the drawing in or nations mentioned in the report towards the US is the misguided, if I may say, Chinese 'belligerence' displayed of late. There is no denying that India is apprehensive of China for good reasons and so is Vietnam. However, the problems in Spratley and with Japan have worried all Nations who have nautical interest. Individually, even if each nation can stand up to China, it must be accepted that as a group, the task becomes easier. And the US is the ideal Pole Star to give direction and safety, given that the US stake is higher and thus will not flunk the task or funk the responsibility.

China has failed in its diplomacy and the hard work put in by the various leaders of China after the demise of the Mao era has been put to nought and instead has spooked the nations mentioned. I am surprised that China who has played their cards so well, has blundered in such a amateurish manner.

As far as cheap Chinese goods helping the nations, of that there is no doubt. However, when national sovereignty is involved, one has to be brave to gear up and gird their loins!

If China's exports dwindle, then who would China be manufacturing for? Obviously, that could also be US' aim so that if the Chinese entrepreneurs find that they have lost their markets, it will mean job loss and it will also mean that the current buoyancy of money with the common Chinese will vanish. It will job layoffs. It will thus give way to social unrest. And then would come the US coup de grace of a Colour Revolution in China!

I don't underestimate the US and its ways how to ensure their dominance!

I might as well say, it will be impossible for China to physically defeat India. And India will play a role in SE Asia, maybe along with the US, even if not in Alliance. To obviate this, China's support to a failed state as Pakistan is proving counter-productive to Chinese strategic interest. It is only achieving a two front against India and ensuring that Pakistan does not encourage the separatists in Xinjiang. Is it worth it when viewed with India playing a part in the US 'encirclement'?
 
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kickok1975

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I totally understand why India is not happy with China. If I were put into your shoes, I would have same feeling. I just hope as time goes on, our relationship will regain the normal level we had for many centuries.

I think India's current foreign policy is actually pretty smart and prudent. The world is pragmatic. Look how US treat long time ally Egypt president Mubarak, it's a humiliation! When dust settles, everything goes to national interest.
 

kickok1975

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Kickok,


China has failed in its diplomacy and the hard work put in by the various leaders of China after the demise of the Mao era has been put to nought and instead has spooked the nations mentioned. I am surprised that China who has played their cards so well, has blundered in such a amateurish manner.

Can't agree more on this. Ray, good analysis
 

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