China Watch
CHINA "SLOWS" DEFENSE EXPANSION

03/05/2010

The Washington Post reports this morning that China plans to slow it's defense spending in 2010, but policy experts note that the budget still allows for significant military buildup to continue.

For the full article from The Washington Post, click here.

WSJ:  "All across China citizens are expressing the belief that in this year, the world may come to an end.  What's behind this belief? Look no further than "2012," director Roland Emmerich's 2009 film about a global disaster that brought the end of the world."  

WHAT CHINA'S RISE REALLY MEANS

Jim Clifton, Chairman and CEO of Gallup, and author of "The Coming Jobs War":  "The United States will be overwhelmed by China unless there is an economic miracle. Americans are betting their entire country and the future of their children and their grandchildren on one big ‘unless.'"

Des Moines Register:  "Iowa Christian conservative leader Bob Vander Plaats didn't require money in exchange for his endorsement, he said Thursday, but presidential candidate Rick Santorum says Vander Plaats told him 'he needed money' to promote his eventual endorsement." 

Corporate security analysts say businesses are under constant threat from sophisticated espionage, often sponsored by foreign governments, especially China's.  Due to recession, US companies become more vulnerable to spies as many scrimp on security to save money in recession.  

News that a Conservative Member of Parliament in Canada exchanged flirtatious emails with a reporter from China's state-run news agency is raising questions about whether Chinese spies have developed relationships with Canadian officials.  

China is expanding its economic and political ties across Africa.  This rapid rise in Chinese influence has sparked US concern Chinese firms will gain an edge over US competitors.  Another concern -- Beijing's strategic ambitions for the continent.  

On CNN's "Piers Morgan Tonight," Jon Huntsman declares in flawless Mandarin:  "I'm going to become the next President of the United States....The unfortunate thing is, I'm known by the wrong quarter of the world's population."  

Has China single handedly destroyed US job market? And is there no turning back? For some in manufacturing, the answer is "yes."  To others, China growth means they are hiring at home to support demand overseas.  Either way, China's impact on US economy is growing.  

A leading computer security firm has used logs produced by a single server to trace the hacking of more than 70 corporations and government organizations over many months, and experts familiar with the analysis say the snooping probably originated in China.  

China is the largest foreign holder of US dollar debt and - with much to lose if America defaults - is closely watching the debt-ceiling debate in DC.  But so far, the Chinese are avoiding voluble statements and following an official policy of silence.  

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