2011 report to congress - U.S.-China Economic and Security Review ...

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dkrause on DSKHT7XVN1PROD with $$_JOB13688. Michael Wines, ‘‘China Fortifies State Business to Fuel Growth,’’ New YorkTimes, August 29, 2010.89. Barry Naughton, The Chinese Economy: Transitions and Growth (Cambridge,MA: MIT Press, 2007), pp. 301–304.90. Barry Naughton, The Chinese Economy: Transitions and Growth (Cambridge,MA: MIT Press, 2007), p. 308.91. Gao Xu, ‘‘State-Owned Enterprises in China: How Big Are They?’’ East Asiaand Pacific on the Rise (World Bank Blog). http://blogs.worldbank.org/eastasiapacific/state-owned-enterprises-in-china-how-big-are-they.92. WTO, Trade Policy Review of China, Report of the Secretariat, WT/TPR/S/230 (Geneva, Switzerland: April 26, 2010), pp. 54–55. http://www.wto.org/english/tratop_e/tpr_e/tp330_e.htm.93. There is a discrepancy in the number of SOEs listed on the State-Owned AssetsSupervision and Administration Commission’s website in Chinese (121) and inEnglish (125). http://www.sasac.gov.cn/n1180/n1226/n2425/index.html.94. U.S.-China Economic and Security Review Commission, Hearing on ChineseState-Owned Enterprises and U.S.-China Bilateral Investment, testimony of DerekScissors, March 30, 2011.95. Cheng Li, ‘‘China’s Midterm Jockeying: Gearing Up for 2012 (Part 4: TopLeaders of Major State-Owned Enterprises),’’ China Leadership Monitor 34 (February2011): 3.96. U.S.-China Economic and Security Review Commission, Hearing on ChineseState-Owned Enterprises and U.S.-China Bilateral Investment, testimony of DerekScissors, March 30, 2011.97. U.S.-China Economic and Security Review Commission, ‘‘An Analysis ofState-Owned Enterprises and State Capitalism in China’’ (Washington, DC: CapitalTrade, Incorporated, October 2011), p. 11.98. Junyeop Lee, ‘‘State Owned Enterprises in China: Reviewing the Evidence,’’OECD Working Group on Privatization and Corporate Governance of State AssetsOccasional Paper (Paris, France: January 26, 2009), p. 5. http://www.oecd.org/dataoecd/14/30/42095493.pdf.99. Junyeop Lee, ‘‘State Owned Enterprises in China: Reviewing the Evidence,’’OECD Working Group on Privatization and Corporate Governance of State AssetsOccasional Paper (Paris, France: January 26, 2009), p. 6. http://www.oecd.org/dataoecd/14/30/42095493.pdf.100. World Trade Organization, Trade Policy Review: China (Revised), WT/TPR/S/230 (Geneva, Switzerland: May 31 and June 2, 2010), p. 54 (fn. 84). http://www.wto.org/english/tratop_e/tpr_e/tp330_e.htm.101. Junyeop Lee, ‘‘State Owned Enterprises in China: Reviewing the Evidence,’’OECD Working Group on Privatization and Corporate Governance of State AssetsOccasional Paper (Paris, France: January 26, 2009). http://www.oecd.org/dataoecd/14/30/42095493.pdf.102. U.S.-China Economic and Security Review Commission, Hearing on ChineseState-Owned Enterprises and U.S.-China Bilateral Investment, testimony of DerekScissors, March 30, 2011.103. U.S.-China Economic and Security Review Commission, ‘‘An Analysis ofState-Owned Enterprises and State Capitalism in China’’ (Washington, DC: CapitalTrade, Incorporated, October 2011), p. 25.104. Cheng Li, ‘‘China’s Midterm Jockeying: Gearing Up for 2012 (Part 4: TopLeaders of Major State-Owned Enterprises),’’ China Leadership Monitor 34 (February2011): 4.105. For a list of institutions under the administration of CSRC, see China BankingRegulatory Commission, ‘‘Domestic Financial Institutions.’’ http://www.cbrc.gov.cn/english/info/yjhjj/index_links.jsp?s=dbi.106. For a list of institutions under the administration of CIRC, see China InsuranceRegulatory Commission, ‘‘A–Z Index of China’s Insurance Companies.’’ http://www.gov.cn/misc/2006–01/05/content_148059.htm.107. Cheng Li, ‘‘China’s Midterm Jockeying: Gearing Up for 2012 (Part 4: TopLeaders of Major State-Owned Enterprises),’’ China Leadership Monitor 34 (February2011): 3.108. Cheng Li, ‘‘China’s Midterm Jockeying: Gearing Up for 2012 (Part 4: TopLeaders of Major State-Owned Enterprises),’’ China Leadership Monitor 34 (February2011): 4.109. Fortune, Fortune Global 500, July 26, 2010. http://money.cnn.com/magazines/fortune/global500/2010/full_list/.110. Fortune, Fortune Global 500, July 26, 2010. http://money.cnn.com/magazines/fortune/global500/2010/full_list/.111. Economist, ‘‘The Long Arm of the State,’’ June 23, 2011.VerDate Nov 24 2008 13:46 Nov 10, 2011 Jkt 067464 PO 00000 Frm 00148 Fmt 6601 Sfmt 6621 G:\GSDD\USCC\2011\067464.XXX 067464
dkrause on DSKHT7XVN1PROD with $$_JOB137112. Scott Otteman, ‘‘New China Procurement Plan Shows Improvement, but NoSub-Central Coverage,’’ Inside U.S.-China Trade, July 14, 2010.113. Loretta Chao, ″The Big Deal with Procurement,″ Wall Street Journal ChinaReal Time Report blog, July 21, 2010. http://blogs.wsj.com/chinarealtime/2010/07/21/the-big-deal-with-procurement/; WTO, Trade Policy Review of China, Report of theSecretariat, WT/TPR/S/230 (Geneva, Switzerland: April 26, 2010), p. 40. http://www.wto.org/english/tratop—e/tpr—e/tp330—e.htm; Demetrios Marantis, ″The WTOGovernment Procurement Agreement: A Tremendous Opportunity for China″(Shenyang, China: Consulate General of the United States, August 11, 2010).http://shenyang.usembassy-china.org.cn/wto-gpa.html.114. European Chamber of Commerce in China, Public Procurement in China:European Business Experiences Competing for Public Contracts in China (Beijing,China: April 2011), p. 15. http://www.europeanchamber.com.cn/images/documents/marketing_department/beijing/publications/2011/PP%20Study%20EN%20Final_0421.pdf.115. Gilbert Van Kerckhove, ‘‘Are Discussions around GPA Missing the RealIssue?’’ August 28, 2010. http://blog.strategy4china.com/wp-content/uploads/100828GPAcomments.pdf.116. U.S.-China Economic and Security Review Commission, Hearing on ChineseState-Owned Enterprises and U.S.-China Bilateral Investment, testimony of DerekScissors, March 30, 2011.117. Economist, ‘‘The Long Arm of the State,’’ June 23, 2011.118. Wang Jing, ‘‘Unirule: SOEs Register Negative Real Profits,’’ Caixin, March3, 2011.119. U.S.-China Economic and Security Review Commission, ‘‘An Assessment ofChina’s Subsidies to Strategic and Heavyweight Industries’’ (Washington, DC: CapitalTrade, Incorporated, March 2009).120. Barry Naughton, The Chinese Economy: Transitions and Growth (Cambridge,MA: MIT Press, 2007), p. 308; Economist, ‘‘Let a Million Flowers Bloom,’’May 10, 2011; Kellee S. Tsai, Capitalism Without Democracy: The Private Sector inContemporary China (Ithaca, NY: Cornell University Press, 2007), p. 192.121. Jonathan G.S. Koppell, ‘‘Political Control for China’s State-Owned Enterprises,’’Governance: An International Journal of Policy, Administration, and Institutions20:2 (April 2007): 261–273.122. Kellee S. Tsai, Capitalism Without Democracy: The Private Sector in ContemporaryChina (Ithaca, NY: Cornell University Press, 2007), p. 191.123. Kellee S. Tsai, Capitalism Without Democracy: The Private Sector in ContemporaryChina (Ithaca, NY: Cornell University Press, 2007), pp. 191–192.124. Some local governments are claimed to have pressured burgeoning privatebusinesses to merge or cooperate with struggling SOEs in exchange for land or capital.Kellee S. Tsai, Capitalism Without Democracy: The Private Sector in ContemporaryChina (Ithaca, NY: Cornell University Press, 2007), p. 192.125. Barry Naughton, The Chinese Economy: Transitions and Growth (Cambridge,MA: MIT Press, 2007), p. 324.126. U.S.-China Economic and Security Review Commission, Hearing on ChineseState-Owned Enterprises and U.S.-China Bilateral Investment, testimony of DerekScissors, March 30, 2011.127. U.S.-China Economic and Security Review Commission, ‘‘An Analysis ofState-Owned Enterprises and State Capitalism in China’’ (Washington, DC: CapitalTrade, Incorporated, October 2011).128. Economist, ‘‘Capitalism Confined,’’ September 3, 2011.129. U.S.-China Economic and Security Review Commission, ‘‘An Analysis ofState-Owned Enterprises and State Capitalism in China’’ (Washington, DC: CapitalTrade, Incorporated, October 2011), pp. 8, 22.130. China Europe International Business School, ‘‘CEIBS Releases 8th Annual‘China’s Top 100 Private Listed Companies’,’’ September 6, 2011. http://www.ceibs.edu/media/archive/65776.shtml.131. U.S.-China Economic and Security Review Commission, ‘‘An Analysis ofState-Owned Enterprises and State Capitalism in China’’ (Washington, DC: CapitalTrade, Incorporated, October 2011), pp. 22–25.132. Dinny McMahon, ‘‘Who are the Big Players in China’s Private Sector?’’ WallStreet Journal, September 8, 2011.133. Zhao Huanxin, ‘‘China names key industries for absolute state control,’’China Daily, December 19, 2006. http://www.chinadaily.com.cn/china/2006–12/19/content_762056.htm.134. U.S.-China Economic and Security Review Commission, Hearing on ChineseState-Owned Enterprises and U.S.-China Bilateral Investment, testimony of DerekScissors, March 30, 2011.VerDate Nov 24 2008 13:46 Nov 10, 2011 Jkt 067464 PO 00000 Frm 00149 Fmt 6601 Sfmt 6621 G:\GSDD\USCC\2011\067464.XXX 067464
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12011REPORT TO CONGRESSof theU.S.-C
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U.S.-CHINA ECONOMIC AND SECURITY RE
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CONTENTSPageTRANSMITTAL LETTER TO T
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23Figure 1:China’s Share of the U
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25The weakness in U.S. exports of a
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31Table 3:RMB Bond Issuances by Mul
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35of bilateral negotiations under t
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37Stonewalling the WTO: A Case Stud
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39that China’s existing system of
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41now. Because the structures of th
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43How Big Is China’s State Sector
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45Fortune Global 500, compared to j
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47panies are less profitable, after
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49erate primarily within state-cont
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57Figure 1: Chinese FDI Stock in th
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63U.S. firms with sensitive technol
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65Addendum I: SASAC Companies, Larg
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67Addendum I: SASAC Companies, Larg
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69dkrause on DSKHT7XVN1PROD with $$
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71January 2010, the heads of 19 U.S
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77cause Beijing had sought to exclu
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81China in Search of Western Techno
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83scious policy seeking to drive Ch
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Page 97 and 98: 89Like previous plans, the 12th Fiv
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187Therefore, the PLA maintains the
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189Of import, the PLA’s geographi
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197ther moves toward independence,
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199trates the depth of China’s sp
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201Figure 2:Representation of Beido
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205ganization, modeled on the Europ
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207China’s leadership also places
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211[General Armaments Department] p
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213Table 2: Select Chinese Satellit
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215weapons or coorbital satellite w
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217Malicious Cyber ActivitiesDirect
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RECOMMENDATIONSChina’s ‘‘Area
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239320. Chang Xianqi, Military Astr
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243woman Jiang Yu simply expressed
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245Table 1:Timeline of Sino-North K
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249China also provides economic sup
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251economic and social strains woul
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255Iran’s South Pars Gas Field af
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257When asked by Commissioners abou
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281trade, and dispute settlement. 2
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287of Request to the United States
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289fense, since its current fleet o
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323mation Office. Day-to-day superv
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327Although the slogans change over
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335What Constitutes a ‘‘Core In
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339Selected CAIFC/CPD Track Two Exc
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341disseminated through diplomatic
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375ecutive Schedule under section 5
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APPENDIX IIIPUBLIC HEARINGS OF THE
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APPENDIX IIIALIST OF WITNESSES TEST
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393Alphabetical Listing of Panelist
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397In TaiwanU.S. Government• Amer
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APPENDIX VLIST OF RESEARCH MATERIAL
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401The National Security Implicatio
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APPENDIX VIACRONYMS AND ABBREVIATIO
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