dkrause on DSKHT7XVN1PROD with $$_JOB30219. Drew Thompson, Silent Partners: Chinese Joint Ventures in North Korea(Washing<strong>to</strong>n, DC: U.S.-Korea Institute at the School for Advanced InternationalStudies, February <strong>2011</strong>), p. 3.20. Dick K. Nan<strong>to</strong> <strong>and</strong> Mark E. Manyin, ‘‘<strong>China</strong>-North Korea Relations’’ (Washing<strong>to</strong>n,DC: Congressional Research Service, December 28, 2010), p. 14.21. International Trade Centre, ‘‘Trade Map’’ (Geneva, Switzerl<strong>and</strong>: August 12,<strong>2011</strong>). http://www.trademap.org/light/Bilateral_TS.aspx; Namsub Shim, ‘‘2010 South-North Trade, North-<strong>China</strong> Trade Tendency Comparison,’’ Special Reports (Seoul,South Korea: Korea International Trade Association, March 30, <strong>2011</strong>). http://global.kita.net/_engapp/board_view.jsp?no=807&code=S4001;<strong>and</strong> Dick K. Nan<strong>to</strong> <strong>and</strong>Mark E. Manyin, ‘‘<strong>China</strong>-North Korea Relations’’ (Washing<strong>to</strong>n, DC: CongressionalResearch Service, December 28, 2010), p. 15.22. International Trade Centre, ‘‘Trade Map’’ (Geneva, Switzerl<strong>and</strong>: August 12,<strong>2011</strong>). http://www.trademap.org/light/Bilateral_TS.aspx; <strong>and</strong> Dick K. Nan<strong>to</strong> <strong>and</strong>Mark E. Manyin, ‘‘<strong>China</strong>-North Korea Relations’’ (Washing<strong>to</strong>n, DC: CongressionalResearch Service, December 28, 2010), p. 16.23. International Trade Centre, ‘‘Trade Map’’ (Geneva, Switzerl<strong>and</strong>: August 12,<strong>2011</strong>). http://www.trademap.org/light/Bilateral_TS.aspx; <strong>and</strong> Dick K. Nan<strong>to</strong> <strong>and</strong>Mark E. Manyin, ‘‘<strong>China</strong>-North Korea Relations’’ (Washing<strong>to</strong>n, DC: CongressionalResearch Service, December 28, 2010), p. 16.24. Dick K. Nan<strong>to</strong>, ‘‘Increasing Dependency: North Korea’s <strong>Economic</strong> Relationswith <strong>China</strong>,’’ Korea’s Economy <strong>2011</strong>, 27 (Washing<strong>to</strong>n, DC: Korea <strong>Economic</strong> Institute,<strong>2011</strong>), p. 77.25. Jayshree Bajoria, ‘‘The <strong>China</strong>-North Korea Relationship’’ (Washing<strong>to</strong>n, DC:Council on Foreign Relations, Oc<strong>to</strong>ber 7, 2010). http://www.cfr.org/china/china-northkorea-relationship/p11097m.26. U.S.-<strong>China</strong> Business Council, ‘‘US–<strong>China</strong> Trade Statistics <strong>and</strong> <strong>China</strong>’s WorldTrade Statistics.’’ https://www.uschina.org/statistics/tradetable.html.27. Dick K. Nan<strong>to</strong> <strong>and</strong> Mark E. Manyin, ‘‘<strong>China</strong>-North Korea Relations’’ (Washing<strong>to</strong>n,DC: Congressional Research Service, December 28, 2010), p. 13; <strong>and</strong> Bureauof East Asian <strong>and</strong> Pacific Affairs, ‘‘Background Note: North Korea’’ (Washing<strong>to</strong>n,DC: U.S. Department of State, April 29, <strong>2011</strong>). http://www.state.gov/r/pa/ei/bgn/2792.htm.28. Open Source Center, ‘‘OSC Report: <strong>China</strong>—Direc<strong>to</strong>ry of PRC Enterprises inNorth Korea,’’ April 19, <strong>2011</strong>. OSC ID:KPP<strong>2011</strong>0419032002. http://www.opensource.gov.29. Korean Central News Agency, ‘‘KCNA: DPRK [Democratic People’s Republicof Korea], PRC Hold Ground-breaking Ceremonies for Joint Projects in Isl<strong>and</strong>s,Naso’n,’’ June 9, <strong>2011</strong>. OSC ID: KPP<strong>2011</strong>0609971156. http://www.opensource.gov;<strong>and</strong> Daniel Gearin, ‘‘Chinese Infrastructure <strong>and</strong> Natural Resources Investments inNorth Korea’’ (Washing<strong>to</strong>n, DC: U.S.-<strong>China</strong> <strong>Economic</strong> <strong>and</strong> <strong>Security</strong> <strong>Review</strong> Commission,Staff Backgrounder, Oc<strong>to</strong>ber 20, 2010).30. Jay Solomon <strong>and</strong> Jeremy Page, ‘‘Chinese Firm <strong>to</strong> Invest in North Korea,’’Wall Street Journal, January 19, <strong>2011</strong>. http://online.wsj.com/article/SB1001424052748704678004576090270026745 368.html.31. Chosun Ilbo (South Korea), ‘‘Construction of N. Korea-<strong>China</strong> Bridge <strong>to</strong> Startin Oc<strong>to</strong>ber,’’ February 26, 2010. http://english. chosun.com/site/data/html_dir/2010/02/26/2010022601081. html; Jay Solomon <strong>and</strong> Jeremy Page, ‘‘Chinese Firm <strong>to</strong> Investin North Korea,’’ Wall Street Journal, January 19, <strong>2011</strong>. http://online.wsj.com/article/SB1000 142405274870467800457609027002674 5368.html; <strong>and</strong> Park Jun Hyeong,‘‘New Bridge Rising from the Yalu,’’ Daily NK (South Korea), August 30, <strong>2011</strong>.http://www.dailynk.com/english/read.php?cataId=nk00100&num=8115.32. Open Source Center, ‘‘OSC Report: <strong>China</strong>—Direc<strong>to</strong>ry of PRC Enterprises inNorth Korea,’’ April 19, <strong>2011</strong>. OSC ID: KPP<strong>2011</strong>0419032002. http://www.opensource.gov; <strong>and</strong> United Nations, ‘‘Report <strong>to</strong> the <strong>Security</strong> Council from the Panel ofExperts established Pursuant <strong>to</strong> Resolution 1874 (2009)’’ (New York, NY: 2010), p.36. http://www.fas.org/irp/eprint/scr1874.pdf.33. Drew Thompson, Silent Partners: Chinese Joint Ventures in North Korea(Washing<strong>to</strong>n, DC: U.S.-Korea Institute at the School for Advanced InternationalStudies, February <strong>2011</strong>), p. 4.34. Drew Thompson, Silent Partners: Chinese Joint Ventures in North Korea(Washing<strong>to</strong>n, DC: U.S.-Korea Institute at the School for Advanced InternationalStudies, February <strong>2011</strong>), p. 4. Unfortunately, the <strong>report</strong> does not specify which companies,in particular.35. Open Source Center, ‘‘OSC Report: <strong>China</strong>—Direc<strong>to</strong>ry of PRC Enterprises inNorth Korea,’’ April 19, <strong>2011</strong>. OSC ID: KPP<strong>2011</strong>0419032002. http://www.opensource.gov.VerDate Nov 24 2008 13:46 Nov 10, <strong>2011</strong> Jkt 067464 PO 00000 Frm 00314 Fmt 6601 Sfmt 6621 G:\GSDD\USCC\<strong>2011</strong>\067464.XXX 067464
dkrause on DSKHT7XVN1PROD with $$_JOB30336. Ministry of Commerce, People’s Republic of <strong>China</strong>, ‘‘2010 Ni<strong>and</strong>u ZhongguoDuiwai Zhijie Touzi Tongji Gongbao’’ (Statistical Bulletin on <strong>China</strong>’s Outward DirectInvestment, 2010) (Beijing, <strong>China</strong>: <strong>2011</strong>), p. 82.37. Huanqiu Shibao (<strong>China</strong>), ‘‘Wai Jiaobu: Chaoxian Kaifang Liangdao ZuoZiyou Maoyiqu Bu Weifan Lianheguo Guoding,’’ (Foreign Ministry: North Korea’sOpening of Two Isl<strong>and</strong>s for Special <strong>Economic</strong> Zone Don’t Violate U.N. Stipulations),February 25, 2010. http://china.huanqiu.com/roll/2010–02/726837.html.38. Park Jun Hyeong, ‘‘New Bridge Rising from the Yalu,’’ Daily NK (SouthKorea), August 30, <strong>2011</strong>. http://www.dailynk.com/english/read.php?cataId=nk00100&num=8115.39. Jay Solomon <strong>and</strong> Jeremy Page, ‘‘Chinese Firm <strong>to</strong> Invest in North Korea,’’Wall Street Journal, January 19, <strong>2011</strong>. http://online.wsj.com/article/SB10001424052748704678004576090270026745368.html.40. Dick K. Nan<strong>to</strong> <strong>and</strong> Mark E. Manyin, ‘‘<strong>China</strong>-North Korea Relations’’ (Washing<strong>to</strong>n,DC: Congressional Research Service, December 28, 2010), p. 17.41. Dick Nan<strong>to</strong> <strong>and</strong> Emma Chanlett-Avery, ‘‘North Korea: <strong>Economic</strong> Leverage<strong>and</strong> Policy Analysis’’ (Washing<strong>to</strong>n, DC: Congressional Research Service, January 22,2010), p. 34; <strong>and</strong> Bates Gill, ‘‘<strong>China</strong>’s North Korea Policy: Assessing Interests <strong>and</strong>Influences’’ (Washing<strong>to</strong>n, DC: United States Institute of Peace, July <strong>2011</strong>), p. 5.42. United Nations, ‘‘Report <strong>to</strong> the <strong>Security</strong> Council from the Panel of Expertsestablished Pursuant <strong>to</strong> Resolution 1874 (2009)’’ (New York, NY: 2010), p. 36. http://www.fas.org/irp/eprint/scr1874.pdf.43. Mary Beth Nikitin et al., ‘‘Implementation of U.N. <strong>Security</strong> Council Resolution1874’’ (Washing<strong>to</strong>n, DC: Congressional Research Service, Oc<strong>to</strong>ber 8, 2010), p. 4.44. Mary Beth Nikitin et al., ‘‘Implementation of U.N. <strong>Security</strong> Council Resolution1874’’ (Washing<strong>to</strong>n, DC: Congressional Research Service, Oc<strong>to</strong>ber 8, 2010), p.4; International Crisis Group, ‘‘<strong>China</strong> <strong>and</strong> Inter-Korean Clashes in the Yellow Sea’’Asia Report 200 (Brussels, Belgium: January 21, <strong>2011</strong>): 12; <strong>and</strong> Tania Branigan,‘‘<strong>China</strong> denies role in North Korea-Iran missile trade,’’ Guardian (United Kingdom),May 18, <strong>2011</strong>. http://www.guardian.co.uk/world/<strong>2011</strong>/may/18/china-denies-role-northkorea-iran-missile-trade.45. Dick K. Nan<strong>to</strong> <strong>and</strong> Mark E. Manyin, ‘‘<strong>China</strong>-North Korea Relations’’ (Washing<strong>to</strong>n,DC: Congressional Research Service, December 28, 2010), pp. 18–19.46. United Nations <strong>Security</strong> Council, Resolution 1718 (New York, NY: UnitedNations, Oc<strong>to</strong>ber 14, 2006).47. United Nations <strong>Security</strong> Council, Resolution 1874 (New York, NY: UnitedNations, June 12, 2009).48. U.S.-<strong>China</strong> <strong>Economic</strong> <strong>and</strong> <strong>Security</strong> <strong>Review</strong> Commission, Hearing on <strong>China</strong>’sForeign Policy: Challenges <strong>and</strong> Players, testimony of David Helvey, April 13, <strong>2011</strong>.49. Bloomberg News, ‘‘<strong>China</strong> Sends General Guo <strong>to</strong> Mark North Korea’s ‘His<strong>to</strong>ricalGreat Vic<strong>to</strong>ry’,’’ Oc<strong>to</strong>ber 25, 2010. http://www. bloomberg.com/news/2010–10–25/china-sends-general-guo-<strong>to</strong>-mark-north-korea-s-his<strong>to</strong>rical-great-vic<strong>to</strong>ry-.html.50. Shirley A. Kan, ‘‘<strong>China</strong> <strong>and</strong> Proliferation of Weapons of Mass Destruction<strong>and</strong> Missiles: Policy Issues’’ (Washing<strong>to</strong>n, DC: Congressional Research Service, May26, <strong>2011</strong>), p. 26.51. Stephen Olson <strong>and</strong> Clyde Pres<strong>to</strong>witz, The Evolving Role of <strong>China</strong> in InternationalInstitutions (Washing<strong>to</strong>n, DC: The <strong>Economic</strong> Strategy Institute,January <strong>2011</strong>), p. 73. http://www.uscc.gov/researchpapers/<strong>2011</strong>/ The EvolvingRoleof<strong>China</strong>inInternationalInstitutions.pdf. See also Dick K. Nan<strong>to</strong> <strong>and</strong> Mark E. Manyin,‘‘<strong>China</strong>-North Korea Relations’’ (Washing<strong>to</strong>n, DC: Congressional Research Service,December 28, 2010), p. 4.52. U.S.-<strong>China</strong> <strong>Economic</strong> <strong>and</strong> <strong>Security</strong> <strong>Review</strong> Commission, Hearing on <strong>China</strong>’sForeign Policy: Challenges <strong>and</strong> Players, written testimony of Vic<strong>to</strong>r Cha, April 13,<strong>2011</strong>53. International Crisis Group, ‘‘<strong>China</strong> <strong>and</strong> North Korea: Comrades Forever?’’Asia Report 112 (Brussels, Belgium: February 1, 2006): 10.54. International Crisis Group, ‘‘<strong>China</strong> <strong>and</strong> Inter-Korean Clashes in the YellowSea,’’ Asia Report 200 (Brussels, Belgium: January 21, <strong>2011</strong>): 8.55. Bruce W. Bennett, cited in Robert D. Kaplan <strong>and</strong> Abraham M. Denmark,‘‘The Long Goodbye: The Future of North Korea,’’ World Affairs Journal (May-June,<strong>2011</strong>). http://www.worldaffairsjournal.org/articles/<strong>2011</strong>–MayJun/full-Kaplan-Denmark-MJ–<strong>2011</strong>.html;Minxin Pei, ‘‘Get Ready for DPRK [Democratic People’s Republicof Korea] Collapse,’’ Diplomat (Tokyo, Japan), May 12, 2010. http:// the-diplomat.com/2010/05/12/get-ready-for-dprk-collapse/2/;<strong>and</strong> John Pomfret, ‘‘Why <strong>China</strong>Won’t Do More with North Korea,’’ Washing<strong>to</strong>nPost, May 27, 2009. http://newsweek.washing<strong>to</strong>npost.com/postglobal/pomfretschina/2009/05/can_china_really_do_more_with.html.VerDate Nov 24 2008 13:46 Nov 10, <strong>2011</strong> Jkt 067464 PO 00000 Frm 00315 Fmt 6601 Sfmt 6621 G:\GSDD\USCC\<strong>2011</strong>\067464.XXX 067464
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12011REPORT TO CONGRESSof theU.S.-C
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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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89Like previous plans, the 12th Fiv
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95Consultative Conference National
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99panies account[ed] for fully 7 pe
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101Dr. Shih has testified before th
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103ment subsidies, which in turn wi
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105Addendum II: Figures 1-2Figure 1
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113drivers cited increased fuel pri
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123uating from college and hoping t
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131unfairly or unjustifiably harm U
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161gress, the DoD noted that China
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165eral U.S. military policies, inc
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167Figure 1:Territorial Disputes in
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171provides guidelines for dealing
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173network exploitations to facilit
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181ligence, surveillance, and recon
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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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- Page 343 and 344: 335What Constitutes a ‘‘Core In
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- Page 347 and 348: 339Selected CAIFC/CPD Track Two Exc
- Page 349 and 350: 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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