Select Committee on Foreign Affairs Appendices to the Minutes of Evidence


APPENDIX 16

Memorandum submitted by Dr Flemming Christiansen, University of Leeds

  This memorandum addresses some general issues of Chinese politics in order to put on record a general evaluation of Chinese political and social development. The only recommendations that emerge from this are:

    1.  Interaction with China should be based on a long-term view of achievements in development and take into consideration the large regional and social differences that are emerging.

    2.  Issues of inhuman work conditions in some Chinese export manufacturing industries and of illegal immigrant Chinese labour in Europe should be regarded as functions of global labour markets and addressed in forums suitable for this.

    3.  China should be deemed to be in need of aid to solve problems of regional development.

    4.  Recognition should be given to the needs of Chinese middle classes to pursue education, to travel and to trade in Britain and the rest of Europe.

    5.  Chinese unification should be regarded as an internal matter of China.

LEADERSHIP ISSUES

  President Jiang Zemin's succession is becoming a matter of intense speculation. Jiang Zemin is due to give up his party and state top-posts in Spring 2002, and as Chinese politics is dominated by personalities, the succession has great importance. Far from speculating on which person may appear as his successor, I will here describe some of the dynamics that underlie the transfer of power, so as to provide a broader view of the potential outcomes.

  Jiang Zemin's position in Chinese politics does not rely on one, but three, core posts: He is President, Secretary General of the Chinese Communist Party, and Chairman of the Central Military Commission. The fact that he holds three posts concentrates dominant political power in his hands. In 2002, he must retire from the Presidency and the post as Secretary General. However, the Chairman of the Central Military Commission is not limited to a maximum period of office.

  It is obvious from this that Jiang Zemin's succession is not just a matter of yielding the presidency to somebody else, but rather of whether he retires from all posts, whether he designates one or several persons to take over his posts, and whether he aims to balance the power between a number of individuals.

  Jiang Zemin has the option to retire to a position similar to that of Deng Xiaoping in the 1980s, where he will only be the Chairman of the Central Military Commission, while reserving the power of ultimate informal power arbitration for himself. In this scenario he would be the peremptory leader. His successors to the posts of President and Secretary General would each have a much weaker position than Jiang has now.

  Jiang Zemin may decide to yield strong centralised power to one person, meaning that one person would take over the three posts Jiang holds now, or at least two of them. In this case, one could talk about real succession.

  Jiang Zemin may prefer a situation where he retires fully from politics, and puts in place a younger team of leaders in positions that out-balance each other; the new core leaders would then be the President, the Prime Minister, the Secretary General, the Chairman of the Standing Committee of the National People's Congress, and the Chairman of the Central Military Commission, supplemented with several dozen second-line leaders in the state and the party. This would probably require of a number of leaders of relative seniority that they given up any further political ambitions, and would involve their retirement into a position similar to the Central Advisory Committee of the CCP in the 1980s. This would likely lead to the formation of an information oligarchy dominated by Jiang, supervising the activities of the formal leadership behind the scenes.

  Although observers claim the Jiang Zemin is presently grooming Hu Jintao to take the lead among the next generation of leaders, it is the strategy of power transfer in terms of balancing the five leadership top posts that will determine the ramifications of Chinese politics after 2002.

  Jiang has already presented himself as a successor to Mao Zedong and Deng Xiaoping (rather than as the successor to past CCP chairmen and secretaries-general or state presidents; such a list would include names like Hua Guofeng, Zhao Ziyang, Hu Yaobang and Yang Shankun); his self-projected image is that of paramount leader and contributor to Marxism-Leninism-Mao-Zedong-Thought.

  One may guess that Jiang Zemin hopes to retain a controlling function similar to that previously held by Deng Xiaoping. In that case he would be able to fulfil his political ambition of directing work on the "great cause of national unification" (ie the unification of Taiwan with the Mainland) as a powerful statesman elevated above political office. He is on record as having said that the Taiwan Straits issue should be resolved while the older generation of politicians is still around. Whether or not he achieves it, depends on the compromises he can strike with different parts of the leadership in the period leading up to the relevant congresses in 2002.

CHINA'S POLITICAL SYSTEM

  Much attention has in recent years been given to the practice of democratic village elections in China, and the question whether we are witnessing incipient transition to a system of genuine democratic representation has been asked by many outside observers. The village elections are a convenient way of dealing with local improprieties and are likely to result in better local governance; by their very nature, they are contained and unlikely to cause the emergence of oppositional proto-parties. They do not constitute a direct challenge to the rest of the political system.

  Outside observers often take a sombre view of the general potential for democratic development in China, especially due to the consistent efforts to prevent the formation of independent political parties and other oppositional organisations (like independent trade unions), and the top-down political organisation of the country. One may, however, turn the issue around and note that the infrastructure exists, within which representative democracy could gradually grow strong: Formal division of legislative, executive and judiciary powers, a system of election and delegation to the legislature, an expanding system of codified law, formal separation of the Chinese Communist party from the state organs, a professional and formally independent civil service, and so on. While the Chinese Communist Party dominates the political process, the formal divisions of power are scrupulously adhered to.

  Since the introduction in 1979 of multiple candidates for elections to each seat in the local people's congresses we have witnessed a slow process of institutional change towards democracy. Recent efforts at strengthening the National People's Congress' supervision of the government, by demanding early submission of draft budgets, draft state plans and government reports is a step in that direction. The increasingly rigorous scrutiny of bills in NPC sub-committees means that the political process includes more interests and hears more opinions than ever before in the history of the People's Republic. Local interest organisations (like consumer associations and environmental groups) play an increasing role in putting issues on the agenda. There is still a long way to go, and the destination is uncertain. The sum of the last 22 years of political development in China has, with some setbacks, been positive, towards more freedom, a greater spread of political participation, less emphasis on political dogma and more rights for the individual. Persistence of iniquities, imperfections and transgressions in the political system must be seen against this overall improvement.

  The slow speed of the changes that have taken place reflect the size and complexity of the political reforms; rapid change and imbalances are held by Chinese politicians to potentially lead to political chaos. A careful analysis of the Tiananmen incident in 1989 will reveal that too great haste in forcing about political reform causes a rift to emerge in the leadership. At the time no viable democratic alternative could be realised.

  National sentiments have a strong presence in Chinese politics and among common people, a nationalism cast in the difference between Chinese and westerners, and highly sensitive to international humiliation of China or incursions on Chinese territory or sovereignty. Hawkish and aggressive statements from foreign politicians, scholars and media, who claim to promote democracy and human rights in China, have seriously impeded progress towards these aims, for they have incited retrograde nationalist feelings among Chinese and thus hampered constructive dialogue, cooperation and the forms of balanced criticism that might otherwise have great effect.

CHINA'S SOCIAL AND ECONOMIC DEVELOPMENT

  Perhaps the most spectacular development of China during the last two decades has been the rapid economic growth. The effect of this has been greater inequalities between regions, sectors of the economy and social classes. While one can safely say that all regions and groups in China are better off due to the reforms, some have gained disproportionately more than others.

  Parts of Chinese industry are technologically sophisticated and have the potential of competing seriously on the world market. Much has been said about persistent problems of state-owned enterprises; many such enterprises have turned around in the last few years, and others are still to follow; some will be wound up or merged in ways that gradually do away with inefficiency. State-owned enterprises in some cities have run with profit and with fully-fledged social security systems for a decade now, while in other cities they are still propped up with state subsidies. This reflects regional diversity and the concern of the leadership that social deprivation must be avoided. The process of reforming these enterprises is slow, mainly because redundant workers are funnelled into other sectors or given (largely symbolic) benefits. Changing the structure of the enterprises is a formidable task, for they tended to be small societies in their own right; their social and other non-productive assets and functions must be sold off or made independent in the least disruptive manner.

  These huge transitions in urban society create great anxiety and lead to local outbreaks of unrest; the process of change entails many instances of corruption and social injustice that anger people. New pockets of poverty emerge, but there is no general picture of social destitution. More people now rely on their own initiative in trade and petty production activities than ever before.

  China is catching up with the rest of the world in terms of the use of high-level technology. Central and local governments as well as the higher education system have gone onto the World Wide Web during the last few years; natural science, technology and engineering education and training in China are good, and further leaps in technology can be sustained by available skilled manpower. At the moment, the high demand for engineers across Europe draws in a supply of highly qualified people from China.

  A stratum of professionals is emerging in China, consisting of well-educated and high-earning engineers, managers, traders, artists, and entrepreneurs. Countries in Europe and the New World are gradually adapting to this situation; more and more students arrive at educational institutions without public scholarships and subsidies and read for degrees at their own expense; this has become widespread during the last 15 years with regard to further and higher education, and the trend is now expanding to secondary education; upper and middle class people wish their children to read for the equivalent of GCSEs and A-levels abroad.

  Chinese individual and corporate traders have increasingly entered the European and other markets, and European governments award them the necessary permits to ply their trade. Safeguarding the legitimate interests of these groups is perhaps the greatest contribution Europe can offer to Chinese development, as it will consolidate a new economic class with a cosmopolitan worldview. Much concern has been voiced about brain-drain crippling Chinese industry; however, China's most advanced industries and teaching and research institutions seem to be able to achieve staffing at levels commensurate with their technical sophistication. As China's technological development proceeds, domestically and foreign educated people will fill any gaps. A certain level of international competition in the field of skills and education will strengthen rather than weaken Chinese economic and technological development.

  Many organisations and governments outside China are concerned about the use of unskilled labour in sweatshop factories in China, where labour regulations, work hours, and labour safety fall short of those prevailing in Europe. The goods processed under such circumstances may be cheaper, but this is at the cost of the dignity, health and welfare of Chinese workers. This is, of course, not an entirely Chinese problem, for it relates to many third world countries. There is no doubt that assembly and processing on foreign, Hong Kong and Taiwanese contracts is an important source of income for local people in China (most of the factories are privately owned or owned by rural collectives, providing revenue and direct income for local authorities, as well as labour and income opportunities for the unskilled rural labour force). Restricting this type of production in China is likely to move the problem.

  The large illegal Chinese migration to Italy, Spain, France and other European countries, for example, is due to the emergence in those countries of an illegal and semi-legal sector of labour-intensive low-skills production of garments, leather ware, and gadgets. Illegal Chinese migrants (alongside illegal immigrants from other countries) have become a poorly paid and unorganised work force in certain parts of Europe due to the demand for processing from major European department stores and fashion houses. The fully justified moral indignity at the sub-standard treatment of Chinese workers (be it in China or in Europe), therefore, should not be considered as an issue of China-relations, but be elevated into the realm of international agreements on trade and labour. It should probably also be considered a moral issue in terms of to which degree department stores and procuring agents choose to guarantee the ethical provenance of their wares.

THE TAIWAN ISSUE

  The relations across the Taiwan Strait are still tense. The recent election of President Chen Shui-bian in Taiwan has, however, created hope for a new direction of the negotiations. The Mainland and Taiwanese economies have since 1986 become mutually independent, for Taiwan has invested heavily in the Mainland. Travel restrictions from Taiwan to the Mainland have been lifted since 1986, and cultural and other exchange between the two sides is intense.

  Although the two sides fail to agree on the basic interpretations of sovereignty and definitions of terms, negotiations have been pragmatic and substantial.

  Although the Taiwanese and Mainland sides seem poised to engage in tough and firm negotiations on a stronger platform than ever before, the key to their success is in the hands of the USA. There is a strong opposition among some groups in the USA to a Chinese unification, and a constructive approachment between the two sides may meet opposition in US political circles and media. A strong and united China is seen as a security challenge by the USA, and as Taiwan does provide the USA with a certain presence in the West Pacific, unification is met with great unease.

  Both sides of the Taiwan Strait will be reluctant to allow the USA to play a role in negotiations on what they regard as a domestic matter; yet they will need to involve the USA to a degree that pre-empts undue interference in the negotiation process (be it from the administration, Congress, pressure groups or the media). As both sides in the past have used lobbying and diplomatic contacts with the USA to seek support for their negotiation position, excluding US interference may prove to require a diplomatic balancing act.

  The popular opinion in Taiwan on the issue is far from decided, and neither the opposition to nor the support for unification is strong; in reality, there is very little to form an opinion on, as the negotiations have not so far brought out any clear conditions, and as Taiwan's long-term international isolation and unstable relations with the Mainland do not seem an attractive alternative, Taiwanese assets, family links, as well as linguistic and cultural affinity in the Mainland may sway the Taiwanese population towards acceptance of unification.


 
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