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

dkrause on DSKHT7XVN1PROD with $$_JOB297lawmakers and at least 1,000 citizens called for his resignation. 334A police review of security arrangements during the vice premier’svisit was ongoing at the time of the publication of this Report.Hong Kong police also have taken more subtle measures to obstructprotest activities. In an April protest opposing the arrest anddetention of mainland dissident artist Ai Weiwei,* and again duringthe annual July 1 protest, police restricted access to protestvenues. 335 Mr. Leong indicated in his meeting with the Commissionthat police directed participants in the June 4 candlelight vigilto walk an unnecessarily long distance to reach the venue. Mr.Leong characterized this excessive police requirement as ‘‘sendinga message to the Hong Kong public.’’ 336Restriction of travel to Hong Kong was also a growing problemin 2011. The Hong Kong government was accused of catering tomainland political sensitivities when it denied visas to two prominentmainland dissidents ostensibly to prevent them from attendingthe funeral of Szeto Wah, a founder of Hong Kong’s democracymovement. 337 The two dissidents, Wang Dan and Wu’er Kaixi, livein exile in Taiwan. A democratic member of the Legislative Councillamented this action as indicative of the erosion of the ‘‘one country,two systems’’ policy. 338Travel from Hong Kong to the mainland continued to be restrictedin 2011 as well. In an August 2011 letter to Vice PremierLi from Hong Kong’s Democratic Party, Chairman Alfred Ho wrote,‘‘For more than 20 years, many members of the Hong Kong pro-democracymovement have been banned from traveling to [the] Mainland.The freedom of travel to the Mainland is a fundamental rightof all Chinese citizens and should not be deprived of.’’ 339Implications for the United StatesChinese and Hong Kong policies to promote the gradual internationalizationof the RMB are intended, among other things, toallow the RMB to develop into an alternate reserve currency to theU.S. dollar, which is currently the internationally preferred reservecurrency. After the global financial crisis, Chinese policymakers indicateda desire to reduce reliance on the dollar and diversify awayfrom U.S. Treasuries. 340Hong Kong law, especially as it relates to commercial activity,impacts U.S. and foreign interests operating in Hong Kong. In thecase of the abovementioned court decision referred by Hong Kong’sCourt of Final Appeal to Beijing, a U.S. investment fund’s lawsuitfiled in Hong Kong was decided by China’s National People’s Congress.If Beijing becomes more active in Hong Kong’s judicial affairs,cases like this may occur again. 341Restrictions on Hong Kong’s administrative autonomy and freedomof expression and assembly run counter to Hong Kong’s BasicLaw, as memorialized in the U.S. Hong Kong Policy Act of 1992,which expresses U.S. support for the maintenance of a ‘‘high degree* Ai Weiwei, a mainland Chinese artist and political dissident, was arrested in April 2011 forsuspected ‘‘economic crimes,’’ although it is widely assumed that the government targeted himfor political, not economic, reasons. He was detained for almost three months before being releasedon June 22, 2011. Edward Wong, ‘‘Dissident Chinese Artist is Released,’’ New York Times,June 22, 2011. http://www.nytimes.com/2011/06/23/world/asia/23artist.html?pagewanted=all.VerDate Nov 24 2008 13:46 Nov 10, 2011 Jkt 067464 PO 00000 Frm 00309 Fmt 6601 Sfmt 6601 G:\GSDD\USCC\2011\067464.XXX 067464